Program Description
Contact: Metropolitan or Regional Office
The transit capital investment program (49 U.S.C. 5309) provides capital assistance for three primary activities:
Eligible recipients for capital investment funds are public bodies and agencies (transit authorities and other state and local public bodies and agencies thereof) including states, municipalities, other political subdivisions of states; public agencies and instrumentalities of one or more states; and certain public corporations, boards, and commissions established under state law. Funds are allocated on a discretionary basis.
New Starts
The New Starts program provides funds for construction of new fixed guideway systems or extensions to existing fixed guideway systems.
Eligible purposes are light rail, rapid rail (heavy rail), commuter rail, monorail, automated fixed guideway system (such as a “people mover”), or a busway/high occupancy vehicle (HOV) facility, or an extension of any of these. Projects become candidates for funding under this program by successfully completing the appropriate steps in the major capital investment planning and project development process.
Major new fixed guideway projects, or extension to existing systems financed with New Starts funds, typically receive these funds through a full funding grant agreement that defines the scope of the project and specifies the total multi-year Federal commitment to the project.
Funding allocation recommendations are made in an annual report to Congress: “Annual Report on New Starts.”
Program Summary Fact Sheet
Appropriation: Is funded under Capital Investment Grants
Description: Grants for construction of a new fixed guideway system or an extension to an existing fixed guideway system. A fixed guideway refers to any transit service that uses exclusive or controlled rights-of-way or rails, entirely or in part. The term includes heavy rail, commuter rail, light rail, trolleybus, aerial tramway, inclined plane, cable car, automated guideway transit, ferryboats, that portion of motor bus service operated on exclusive or controlled rights-of-way, and high-occupancy-vehicle (HOV) lanes.
Statutory Reference: 49USC5309
Eligible Recipients: Public bodies and agencies (transit authorities and other state and local public bodies and agencies thereof) including states, municipalities, other political subdivisions of states; public agencies and instrumentalities of one or more states; and certain public corporations, boards, and commissions established under state law.
Eligible Purposes: Light rail line, rapid rail (heavy rail), commuter rail, automated fixed guideway system (such as a "people mover"), or a busway/high occupancy vehicle (HOV) facility, or an extension of any of these. Also, new start projects can involve the development of transit corridors and markets to support the eventual construction of fixed guideway systems, including the construction of park-and-ride lots and the purchase of land to protect right-of-ways. Projects become candidates for funding under this program by successfully completing the appropriate steps in the major capital investment planning and project development process.
Allocation of Funding: Allocated at the discretion of the Secretary although Congress fully earmarks all available funding.
Match: The statutory match for New Starts funding is 80 percent Federal, 20 percent local. However, FTA continues to encourage project sponsors to request a Federal New Starts funding share that is as low as possible. The Congressional Conference Report that accompanied the FY 2002 Department of Transportation Appropriations Act instructs “FTA not to sign any new full funding grant agreements after September 30, 2002 that have a maximum Federal share of higher than 60 percent.”
Funding Availability: Year appropriated plus two years (total of three years)
For More Information Contact: The Office of Program Management, (202) 366-4020
Contact Information
For additional information about planning a New Starts project, contact the FTA Office of Planning: 202-366-2360.
For additional information about New Starts projects under construction, contact the FTA Office of Engineering: (202) 366-1656.
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