Federal transit planning grants expanded to cover more cities and project types

What does this do?

HR 7298 updates a federal grant program that funds community planning around public transit hubs such as bus and train stations. The bill expands eligible uses to include pre-construction activities like engineering studies, community meetings, utility planning, and accessibility reviews. It also widens which transit projects qualify, adding bus rapid transit and improvements to existing transit corridors alongside previously eligible new rail lines.

Who does it affect?

Local governments, transit agencies, and urban planners would apply for and use these grants to shape neighborhood development near transit stops. Residents in cities and suburbs near existing or planned transit stations could be affected, particularly seniors, veterans, and people with disabilities who depend on public transit.

Why does it matter?

Broadening eligibility to include bus rapid transit and corridor improvements means more cities and towns could access federal planning funds than under the current program. The expansion of covered activities to pre-construction steps could influence what gets built in communities near transit lines across the country.

What does it cost, and who pays?

• Up to $75M authorized per year
• Funding runs 2027 through 2031
• Grants go to local govts and agencies