Sponsors (13)
Official title: Authorize urbanized area formula grants for service improvement and safety and security enhancement, and for other purposes.
Introduced December 11, 2025 by Christopher Van Hollen · Last progress December 11, 2025
The bill provides substantial federal operating support and flexibility to expand and secure urban transit service, but it binds localities to maintain current non‑Federal spending and relaxes regional planning oversight, potentially shifting existing transit funding priorities and limiting certain service model changes.
Local transit agencies (and thus riders and local taxpayers) can get federal funding that covers up to 80% of net operating project costs, substantially lowering local budget pressure for service expansions or increased frequency.
Urban communities and transit riders can see expanded or more frequent service, larger network coverage, and increased vehicle revenue service because agencies can use funds for service expansion and improvements.
Transit agencies may fund capital safety risk mitigation projects recommended by safety committees, improving rider and worker safety on public transit.
Local governments are required to keep non‑Federal operating and security spending at or above recent levels, which can constrain local budgets and crowd out other local services or investments.
Operating and planning funds may be used outside metropolitan or STIP planning processes, reducing regional planning oversight and opportunities for public input on service changes.
Counting §5308 amounts as part of §5336 apportionments could reallocate existing funds and potentially reduce funding available for other §5336-eligible projects.
Based on analysis of 2 sections of legislative text.
Creates a formula grant for urbanized-area transit service, planning, security, and safety projects apportioned by operating expenses and requiring maintenance of local operating/security spending.
Creates a new federal formula grant program that gives annual funds to urbanized areas to improve transit service, plan service changes, enhance security, and address safety risks identified by transit safety committees. Grants are apportioned based on each urbanized area’s reported operating expenses and are added to certain existing transit apportionments; operating grants cover 80% of net project cost and require recipients to maintain or increase non‑Federal operating and security spending compared with the most recent fiscal year. The bill also allows a limited reclassification (up to 10%) of another transit apportionment to be treated as if provided under this new program, exempts certain operating-assistance uses from metropolitan/state TIP requirements, and prohibits converting existing fixed‑route service into third‑party on‑demand contracts with these funds.