Increase Number of Systems
Receiving Operating Assistance


ATU Supports

The Transit System Flexibility Protection Act, which would allow transit systems located in areas above 200,000 in population that operate less than 100 peak fixed-route buses to use their federal transit funds for operating assistance.


Ironically, while high gas prices are encouraging more people to ride transit, rising diesel prices are also causing small to mid-size mass transit systems nationwide to raise fares, cut service, lay off staff, and delay capital spending.

Generally, mid-size transit agencies are limited to using only state and local dollars to pay operating expenses, putting a huge strain on their budgets. Federal funds may not be used for this purpose; generally, they may be used for capital expenses only, with few exceptions, for areas above 200,000 in population. Therefore, despite significant growth of the federal transit program under SAFETEA-LU, transit systems nationwide have been experiencing a new phenomenon – lots of new buses, but not enough money to put service on the street.

The Transit System Flexibility Protection Act would allow transit systems located in areas above 200,000 in population that operate less than 100 peak fixed-route buses to use their federal transit funds for operating assistance.

If this bill is passed, transit agencies would be able to offer improved and expanded bus service, allowing more people an opportunity to try public transportation and hopefully decrease the pain at the pump that we are all experiencing.


Other ATU Federal Legislative Priorities: