Federal Transit Administration

Federal Transit Administration (FTA) Funding Sources, Programs, and Planning

The Federal Transit Administration provides funding to state, regional, and local governments to provide mass transportation services to the public. These funds include: FTA Section 5303, FTA Section 5307, FTA Section 5309 Fixed Guideway, FTA Section 5309 Bus, FTA Section 5309 New Starts, FTA Section 5310, FTA Section 5311, FTA Section 5316 Job Access and Reverse Commute (JARC), and FTA Section 5317 New Freedom Programs.

As the Metropolitan Planning Organization (MPO), MTC is responsible for including the region's projects funded with FTA fund sources in MTC's Transportation Improvement Program (TIP), and has varying levels of administrative oversight of the funds.

FTA Section 5303 Metropolitan Planning Program funds are distributed to regions based on urbanized area population and an FTA administrative formula to address planning needs in urbanized areas. There are currently 22 operators in the Bay Area that request FTA Section 5303 funds for assistance in preparing their Short Range Transit Plans (SRTP) in accordance with MTC’s adopted guidelines (PDF).

FTA Section 5307 funds are distributed to regions on urbanized area formula. The Bay Area consists of 12 urbanized areas, 5 large and 7 small. In general, large urbanized area formula funds can be used for transit capital purposes only. Small urbanized area formula funds can be used for both transit capital and transit operations. MTC staff works with the region's transit operators to determine how these funds are prioritized. There are currently 22 operators in the Bay Area that request FTA Section 5307 funds.

FTA Section 5309 Fixed Guideway (FG) funds are also distributed to regions on an urbanized area formula. Unlike 5307 funds, the 5309 FG funds are generated in large urbanized areas only, and can be used for capital purposes on fixed guideway transit services such as rail, ferry, cable cars, and buses operating in exclusive rights of way.  MTC staff works with the region's transit operators to determine how these funds are programmed. There are currently seven operators in the Bay Area that request FTA Section 5309 FG funds.

FTA Section 5309 Bus and New Starts are earmarked by Congress. FTA Section 5309 Bus can be used for capital projects such as replacement or expansion of buses or bus facilities. FTA Section 5309 New Starts are used for building new rail, bus rapid transit, and ferry systems, or extensions to existing systems.

FTA Section 5310 funds are distributed to the states by the federal government to provide transit capital grants to non-profit agencies that provide transportation services to the elderly or persons with disabilities.

FTA Section 5311 funds are distributed to the regions on non-urbanized area formula. These funds are used for transit capital and operating purposes in non-urbanized areas.

FTA Section 5316 Job Access and Reverse Commute (JARC) funds are directed to services that provide transportation to low income individuals. MTC prioritizes JARC funds (in addition to State Transit Assistance (STA) Population-based funds, Proposition 1B-Transit bond funds, and Surface Transportation Program (STP)/Congestion Management and Air Quality (CMAQ) funds) for its Lifeline Transportation Program, which provides capital and operating funding for transportation services to eligible low-income populations in the MTC region.

FTA Section 5317 New Freedom Program funds are directed to elderly and disabled transportation services that go beyond those required by the Americans with Disabilities Act (ADA).

Surface Transportation Program (STP) Transit Capital Shortfall are Federal Highway Administration funds that the MTC region “flexes” to transit capital projects. MTC sets aside these funds to meet high-scoring transit capital shortfall needs.