$390M Federal Boost Transforms Bus Transit in 19 States and Puerto Rico

The US Department of Transportation has announced nearly $390 million in funding for 34 bus projects across 19 states and Puerto Rico. The investment will bring almost 200 new balance and upgrades to 11 maintenance facilities. California, New York, and Texas will receive the largest shares, with allocations of $85 million, $65 million, and $52 million respectively.

The funding comes from the Federal Transit Administration's (FTA) Grants for Buses and Bus Facilities Program. It supports public transit agencies in purchasing, repairing, and modernising buses, vans, and related infrastructure. The selected projects were drawn from applications submitted under the 2025 funding round, with final approvals using 2026 appropriations passed by Congress on 3 February.

Over the past two financial years, the FTA has distributed $2.4 billion through this program and the Low or No Emission Program. The latest round alone will fund 199 initiatives nationwide, covering 48 states, Puerto Rico, and the District of Columbia.

The new balance and facility upgrades will expand and improve public transport networks in multiple regions. California, New York, and Texas lead in funding, reflecting their large-scale transit needs. The projects are expected to roll out in the coming months as agencies finalise contracts and begin implementation.