As Congress prepares for the next surface transportation reauthorization, The Bus Coalition (TBC) needs your input on the future of the 5339 Bus and Bus Facilities Program (BBF). The key question: should the BBF program continue prioritizing competitive grants, or should more funding shift to formula?
Of note, APTA is proposing a significant shift to more formula funds, but TBC and CTAA has long supported robust funding of the competitive pot and we want to gauge our members views to ensure we accurately reflect the position of our membership.
To help us, please read the issue background below and then click on the link to answer our quick 2-question poll!
5339 Funding Allocations: Issue Background
- Before MAP-21 passed in 2012, BBF was 100% a competitive grant program funded at $986 million. There were no formula funds. Systems of all sizes benefited, and bus fleets were healthy according to NTD data.
- MAP-21 eliminated competitive funding, shifted entirely to formula and cut BBF to $420 million. Because the top 20 systems receive nearly 60% of BBF formula funds, mid- and small-sized systems often lacked enough federal funds to buy even one bus per year with their formula funds.
- TBC was founded in response to the cuts made in MAP-21 with a focus on restoring the competitive grant program.
- With strong advocacy, TBC and allies restored the competitive program in the FAST Act (2015) and secured major new funding in the Bipartisan Infrastructure Law (2021). Today, the competitive pot is $1.5 billion annually—supporting thousands of buses and hundreds of facility upgrades in just the first three rounds of grant awards.
Please respond to the poll by Monday, September 8th. Click the link here for a link to our easy, online survey. We have also provided some additional context below for your review.
Why This Matters
Competitive grants give small and mid-sized systems, the vast majority of TBC members, the ability to address major capital needs that formula funds simply can’t cover. Since 2016, the top 20 systems have averaged 25% of competitive awards—compared to a guaranteed 58% of formula funds. Shifting dollars toward formulas would guarantee those large systems nearly triple what they typically receive through competition, and once locked in, such a shift would be very difficult to reverse.
Shifting to formula, would also significantly reduce the amount of competitive grants, likely going from $1.5 billion to roughly $500 million per year if the APTA proposal is accepted and funding for BBF is not increased significantly (which is likely under the current Congressional makeup).
The Stakes
A move away from competitive funding could mean fewer resources, delayed bus replacements, cancelled facility projects, and reduced mobility—particularly for mid-sized and smaller systems. The decisions made in this reauthorization will shape transit funding for decades as those large systems will build in these formula funds into their budget and be reluctant to see the allocation changed in future reauthorization bills.
We Need Your Input
Our Board wants to ensure our position reflects our members’ priorities and give us a clear direction to advocate for your priorities on the Hill. We feel we have a strong case to make to maintain the competitive program and believe we have congressional support as the competitive program is broadly distributed in urban, suburban and rural districts/states throughout the country.
Your input will directly guide TBC’s advocacy on the Hill. Thank you for your continued support and for all you do to strengthen transit for riders nationwide.
