FTA announces increased flexibility to help transit agencies respond to COVID-19

The announcement allows transit providers to use their federal formula funds for operating expenses

March 19, 2020
transit agencies

The Federal Transit Administration (FTA) recently announced that expanded eligibility of federal assistance is available under FTA’s Emergency Relief Program to help transit agencies respond to the coronavirus (COVID-19).

This includes allowing all eligible transit providers, including those in large urban areas, to use federal formula funds for emergency-related capital and operating expenses, and raises the cap on the federal government’s share of those expenses.

"FTA grantees may now use their Urbanized Area and Rural formula funds to take measures to protect the health and safety of their riders and their workforce," FTA Acting Administrator K. Jane Williams said in a statement. "Expansion of the permissible uses of federal funds will allow transit providers greater flexibility in the areas of the country that need it most."

The announcement allows all transit providers impacted by the COVID-19 emergency to use their federal formula funds for operating expenses in addition to capital expenses and permits operating expenses to be covered at an 80% federal share rather than 50%.

The U.S. DOT is working closely with the Centers for Disease Control and Prevention (CDC) and other federal partners to provide guidance to the public transportation industry in response to the coronavirus (COVID-19).

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SOURCE: Federal Transit Administration

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