The investments will help advance President Obama’s vision for a cleaner, 21st century transportation system that reduces carbon emissions while expanding transportation options for families.
The Federal Transit Administration (FTA) announced the opportunity to apply for approximately $266 million in competitive grant funding for bus programs nationwide. The funding consists of $211 million in grants for buses and bus facilities projects, as well as $55 million specifically for FTA’s Low and No Emission (Low-No) bus program, which promotes technologically-advanced and environmentally-friendly buses.
The investments will help advance President Obama’s vision for a cleaner, 21st century transportation system that reduces carbon emissions while expanding transportation options for families.
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“Transit buses are a lifeline to opportunity for countless Americans, but too often these buses are outdated and unreliable,” said U.S. Transportation Secretary Anthony Foxx. “As demand for transit grows and our nation’s population continues to expand, these much-needed funds will help bring communities the latest technologies to strengthen and improve their bus infrastructure.”
Eligible projects include those that replace, rehabilitate, lease, and purchase buses and related equipment as well as projects to purchase, rehabilitate, construct or lease bus-related facilities, such as buildings for bus storage and maintenance.
“Our state and local partners across the country will benefit from the increased funding and flexibility available through this program,” said FTA Acting Administrator Therese McMillan. “With a large and growing maintenance backlog throughout the public transportation industry, it is vital for local agencies to have additional resources to address their community’s needs.”
FTA will award the grants to eligible transit agencies, state transportation departments and Indian tribes on a competitive basis. Projects will be evaluated by criteria outlined in the Notice of Funding Opportunity, including the need for investment in bus transit systems, benefits to the community (including economic and workforce development), implementation of low and no-emission technologies, and integration with local and regional long-term planning.
The region’s fixed-route system finished out the year with a total of 373.5 million rides. Adding 12.3 million rides over 2024 represents an increase that is equal to the annual transit ridership of Kansas City.
The service is a flexible, reservation-based transit service designed to close the first- and last-mile gaps and connect riders to employment for just $5 per day.
The upgraded system, which went live earlier this month, supports METRO’s METRONow vision to enhance the customer experience, improve service reliability, and strengthen long-term regional mobility.
The agreement provides competitive wages and reflects strong labor-management collaboration, positive working relationships, and a shared commitment to building a world-class transit system for the community, said RTA CEO Lona Edwards Hankins.
The priorities are outlined in the 2026 Board and CEO Initiatives and Action Plan, which serves as a roadmap to guide the agency’s work throughout the year and ensure continued progress and accountability on voter-approved transportation investments and essential mobility services.
