Proposed policy cuts threaten U.S. public transit systems' funding

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Patrick Gaspard President and Chief Executive Officer at Center for American Progress | Official website

Proposed policy cuts threaten U.S. public transit systems' funding

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In April 2023, a Washington, D.C.-based think tank released a policy blueprint titled "Mandate for Leadership: The Conservative Promise," proposing significant changes to local transportation systems across the United States. Chapter 19 of this document targets the Federal Transit Administration (FTA), suggesting the elimination of funding for its core programs and Capital Investment Grants (CIG) program.

The FTA’s core programs provided over $14 billion to local transit agencies in fiscal year 2024, supporting essential maintenance work that facilitated more than 7 billion trips in 2023. The blueprint's author equates continued funding of these programs to “throwing good money after bad.”

Additionally, the blueprint advocates for discontinuing the CIG program, which contributed $4.2 billion in fiscal year 2023 to help transit authorities expand their systems and improve service. The author supports the Trump Administration’s previous recommendation to eliminate this program or subject it to a stringent cost-benefit analysis. However, current procedures already involve an extensive review process evaluating costs relative to expected ridership.

The Metropolitan Transportation Authority (MTA) exemplifies potential impacts of these proposed policies. Operating bus, subway, and commuter rail services in New York City, MTA received $2.1 billion from FTA core formula programs in 2023. These funds are crucial for maintaining infrastructure and acquiring new buses. Federal formula funds constitute 19 percent of MTA’s capital program from fiscal years 2020–2024. Without this support, MTA might defer maintenance, reduce services, or increase fares.

The FTA has also committed substantial funds to major projects such as replacing Hudson River tunnels ($7.4 billion) and extending the Second Avenue subway line ($3.4 billion). Continued federal partnership is deemed essential for New York City's future development.

Nationwide, there are 2,147 transit agencies receiving FTA funding; over half serve rural communities. In 2023 alone, Americans took approximately 7.1 billion transit trips—half by bus—highlighting public transit's role in reducing highway congestion and transportation costs while enhancing job access.

Ending FTA funding would disrupt this longstanding federal-local partnership that ensures affordable and efficient mobility across the country.

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