President Donald Trump has signed a short-term funding measure that keeps federal surface transportation programs operating through December 11, while leaving public transit and passenger rail without billions of dollars in advance appropriations previously provided by the Infrastructure Investment and Jobs Act (IIJA).

H.R. 6500, the Continuing Appropriations and Extensions Act, 2027, passed the House of Representatives by a 370-48 vote on September 1 and was signed into law. The Senate previously approved the legislation 90-6 on August 8.

The continuing resolution funds federal agencies and extends surface transportation programs that otherwise would have expired at the end of September.

While the measure avoids an immediate lapse in federal surface transportation programs, the American Public Transportation Association (APTA) said it does not continue the IIJA's advance appropriations, creating a significant funding gap for public transportation and passenger rail.

Transit and Rail Funding Under the Extension

According to APTA, advance appropriations currently provide $4.25 billion annually for public transit and $13.2 billion annually for passenger rail investments.

Without those appropriations, APTA said total federal public transit investment is 20% below current fiscal year 2026 funding levels. Passenger rail investment is cut by 81%, and passenger rail receives no guaranteed funding.

Programs that could be disproportionately affected, according to APTA, include:

• Buses and Bus Facilities Grants
• State of Good Repair Formula Grants
• Capital Investment Grants (CIG)
• Federal Railroad Administration programs

The legislation does, however, extend Highway Trust Fund contract authority programs and programs supported by regular appropriations at FY 2026 levels. H.R. 6500 also extends the disbursement authority for certain CIG projects facing impending funding lapses, a provision APTA had urged Congress to include.

TCC Raises Concerns Over Funding Certainty

The Transportation Construction Coalition (TCC) said the short-term extension prevents an immediate funding lapse but does not provide the certainty transportation agencies need to plan and advance projects.

“Congress took an important step by preventing an immediate funding lapse, but this short-term extension does not provide the long-term certainty states and communities need,” TCC said. “Short-term extensions make it more difficult to plan and advance transportation projects that would improve safety, reduce congestion, and modernize outdated infrastructure. Americans can already see the real-world consequences of those delays every day. Congress should act before the new December deadline to provide long-term transportation funding and keep critical transportation projects moving.”

TCC is urging Congress to restore long-term funding certainty as the December 11 deadline approaches.

Reauthorization Debate Continues

The short-term extension gives lawmakers additional time to negotiate the next surface transportation authorization.

Earlier this year, the House Transportation and Infrastructure Committee advanced the BUILD America 250 Act, a surface transportation reauthorization proposal that includes provisions affecting public transit, motorcoach operators, and other transportation sectors.

The legislation would authorize federal highway, transit, and transportation programs for fiscal years 2027 through 2031.

With the temporary extension now in place, Dec. 11 becomes the next key deadline as Congress considers longer-term surface transportation policy and funding levels for transit and passenger rail.