The Federal Transit Administration today announced the availability of $1.5 billion to support state and local efforts to modernize aging transit fleets with low- and no-emission buses, renovate and construct bus facilities, and support workforce development. Made possible by the President’s Bipartisan Infrastructure Law, which included historic funding to support public transportation, this Notice of Funding Opportunity (NOFO) is for two programs that help transit agencies replace old buses, provide good-paying jobs, improve transit affordability and reliability, invest in community health and environmental justice, and contribute to the President’s goal of net-zero emissions by 2050.
FTA’s Low or No Emission (Low-No) Program helps transit agencies buy or lease U.S.-built zero-emission and low-emission transit buses along with charging equipment and supporting facilities. The Bipartisan Infrastructure Law provides $5.5 billion through 2026 for the program – more than six times greater than the previous five years of funding. For Fiscal Year 2024, approximately $1.1 billion is authorized for grants under this program.
FTA’s Grants for Buses and Bus Facilities Program supports transit agencies in buying and rehabilitating buses, vans, and related equipment and building bus facilities. The Bipartisan Infrastructure Law provides nearly $2 billion through 2026 for the program. For Fiscal Year 2024, approximately $390 million is authorized for grants under this program. Both programs support buses that reduce air pollution and help meet President Biden’s goal of net-zero emissions by 2050.
FTA is also focused on strengthening U.S. bus manufacturing, which can stabilize the cost of new buses and accelerate delivery of new vehicles. More standardized bus models will shorten manufacturing timelines, so transit agencies competing for funds are encouraged to consider strategies to avoid customization. By prioritizing this in applications, FTA is encouraging improvements in bus vehicle delivery that will result in more American-built buses getting on the road faster.
Instructions for applying and eligibility information can be found on and in GRANTS.GOV (FTA-2024-003-TPM-LWNO; FTA-2024-004-TPM-BUS). Complete proposals must be submitted electronically through the GRANTS.GOV “APPLY” function by April 25, 2024.
FTA will host two webinars to provide information to potential applicants, including a review of program eligibility, an overview of the evaluation criteria and selection considerations, and the submission process. Potential applicants may attend either webinar, the first of which will be held February 22, 2024 from 1:00 – 2:30 pm ET and will be a general session for all applicants. The second will be on March 5, 2024 from 2:00 – 3:30 pm ET and will have a question-and-answer session focused on questions from rural and tribal applicants. FTA is committed to providing equal access to these sessions for all participants. If you need alternative formats, options, or services, please email ftalownobusnofo@dot.gov.
