FTA Announces Funding Opportunity for Transit Bus and Facilities Projects

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FTA Announces Funding Opportunity for Transit Bus and Facilities Projects

Discretionary grant funding available to support transit agencies in buying and rehabilitating buses, building bus facilities and transitioning to more energy efficient transit vehicles

May 22, 2025 

The Federal Transit Administration (FTA) has announced a discretionary grant funding opportunity of nearly $1.5 billion for transit bus and bus facilities projects nationwide. 

The grants for Buses and Bus Facilities Program 5339(b) will award up to $398 million in the federal fiscal year 2025. The purpose of the funding is to support transit agencies in buying and rehabilitating buses, vans, and related equipment and building bus facilities.  

The Low or No Emission Bus Program 5339(c) will award up to $1.10 billion in federal fiscal year 2025. The purpose of the funding is to support the transition of the nation’s transit fleet to the lowest polluting and most energy efficient transit vehicles.  

Large urban agencies that are direct FTA grantees will apply directly to the FTA for these grant opportunities. ODOT’s Public Transportation Division will submit a statewide application on behalf of local governmental authorities, Tribes, rural transit providers, or any other agency that does not receive direct funding from the FTA. Small urban agencies that are designated FTA grantees can either submit directly to the FTA or submit to ODOT Public Transportation to be included in the statewide application.  

The deadline for indicating an intent to apply through ODOT is Monday, June 9, 2025, at 5 p.m. Complete and submit the Pre-Application Form available at this link: Pre-Application For 5339 (b) and (c) Federal Grant Opportunities.   

The information requested in the Pre-Application is necessary to provide to the Oregon Legislature for their approval and authority to seek federal funding and submit these applications. Please contact either your Regional Transit Coordinator or Brian Roth if you have any questions regarding the form.  

This year’s NOFO updates previous requirements by removing federal funding priorities related to climate change, sustainability, environmental justice, and diversity, equity, and inclusion. FTA is prioritizing transit agencies that describe how their projects will improve the accessibility of transportation for families with young children, with a focus on improved access to jobs, healthcare, and retail for both 5339 (b) and (c). 

If you intend to apply for these discretionary programs through ODOT, you must complete and submit the full  application  with any supporting materials to  PTDApplications@odot.oregon.gov by Monday, June 23, 2025, at 5 p.m. For applicants applying directly to FTA, the deadline is July 14, 2025. 

Please see the PTD funding web page for more application information and general information regarding the 5339(b) and 5339(c) programs. You may also visit the FTA website for more information.