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S3978119th CongressWALLET

Investments in Rural Transit Act

Sponsored By: Senator Smith, Tina [D-MN]

Introduced

Summary

Increase federal support for rural transit. This bill would raise the federal operating share for rural transit and reform procurement, Tribal transit funding, and emissions planning to make rural systems more reliable and modern.

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  • Riders and rural agencies: Rural transit services would get a bigger federal subsidy for operating costs, raising Section 5311 assistance from 50% to 80%, which would help sustain or expand local routes and schedules.
  • Tribal transit agencies: Not less than 5% of Section 5339(b) funds would be set aside for Tribal transit, tribal projects could receive up to 100% federal funding, and a new Associate Administrator for Program Management and Tribal Transit would support capacity and technical assistance.
  • Procurement, governance, and emissions planning: The bill would expand cooperative procurement to include local governments, eligible nonprofit entities, and consortia. The Secretary would solicit feedback, publish annual advisory reports with recommendations and potential cost savings, establish a regulatory relief recommendation process, and produce a joint report within two years on low- and no-emission procurement opportunities with public partners.

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 3 benefits, 0 costs, 0 mixed.

More federal help for rural transit

The bill would raise the Federal share for rural transit grants under Section 5311 from 50% to 80%. Local and tribal partners would need to cover the remaining 20% instead of 50%. The bill would also require the Department of Transportation to set up a process to gather recommendations for regulatory relief from rural and Tribal transit agencies and others to reduce paperwork and improve how Section 5311 funds are used.

Expanded joint buying for transit equipment

The bill would expand who can join cooperative and joint procurements for transit goods. Local governments, nonprofit cooperative purchasing groups that are not grantees, and consortia could participate to buy rolling stock, fare equipment, software, and other eligible technology using federal transit assistance. The bill would also set short definitions for key terms like the Federal Transit Administration, Administrator, rural area, and Secretary, effective on enactment.

More help for Tribal transit programs

The bill would require that at least 5% of certain competitive transit funds in a fiscal year be distributed to Tribal transit agencies, unless there are not enough eligible applications. For Tribal projects, the federal share could be up to 100% of project costs. The Secretary would also have to name an Associate Administrator focused on Tribal transit within one year to help with capacity and technical assistance.

Sponsors & CoSponsors

Sponsor

Smith, Tina [D-MN]

MN • D

Cosponsors

  • Sen. Rounds, Mike [R-SD]

    SD • R

    Sponsored 3/3/2026

  • Sen. Baldwin, Tammy [D-WI]

    WI • D

    Sponsored 3/3/2026

Roll Call Votes

No roll call votes available for this bill.

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