Sponsors (2)
The bill trades reduced federal exposure to streetcar project costs and frees federal transportation dollars for other uses against reduced transit options, shifted costs to local taxpayers, potential job and agency funding losses, and possible setbacks for local air-quality strategies.
State and local governments will be prevented from using federal STBG, CMAQ, Section 5307, or Section 5309 funds on streetcar procurement, operation, or maintenance, which frees limited federal transportation dollars for other road or transit priorities.
Taxpayers and the federal government will face reduced risk of covering cost overruns or long-term operating subsidies for streetcar projects because those projects would be ineligible for these federal grants.
Residents in urban communities will likely have fewer transit options and reduced local connectivity and economic-development benefits if planned streetcar services are canceled or delayed.
Local governments and cities that planned streetcar projects will lose access to federal STBG, CMAQ, Section 5307, and Section 5309 funds, making projects harder to build or operate and shifting costs to local taxpayers.
Transit agencies and transportation workers involved in streetcar systems may face operational funding shortfalls, cancelled expansions, or job risk because streetcar projects would be ineligible for these federal grants.
Based on analysis of 2 sections of legislative text.
Blocks use of federal STBG, CMAQ, 5307, and 5309 funds to procure, operate, or maintain streetcars.
Official title: To amend title 23 and title 49, United States Code, to prohibit funds from certain programs to be used to fund streetcars, and for other purposes.
Introduced June 6, 2025 by Scott Perry · Last progress June 6, 2025
Prohibits the use of federal surface transportation and transit formula and capital grant funds for streetcar projects, including procurement, operation, or maintenance. The ban applies across the Surface Transportation Block Grant Program, the Congestion Mitigation and Air Quality Improvement Program, Urbanized Area Formula Grants, and Fixed Guideway Capital Investment Grants, and is written to override other statutory provisions that might allow funding.