Transit Funding Flexibility Act

HR 5024, the Transit Funding Flexibility Act, removes a population restriction that previously limited certain federal transit grants to urban areas with fewer than 200,000 residents. It requires transit agencies receiving these grants to annually certify they maintain local funding for operating costs covered by federal money. If an agency fails to maintain this local funding, the bill mandates a 1/3 reduction in their next year's federal grant amount. This bill directly affects public transit agencies in smaller urban areas that now gain access to operating cost funding, while requiring them to sustain local financial commitments.