This grant is for iowa city transits operating assistance for FY2025 using federal FY2024 section 5307 funds of $2997574

The City of Iowa City was awarded $5,995,148 on August 27, 2025, under the Federal Transit Formula Grants program (CFDA 20.507), administered by the Federal Transit Administration. This formula grant provides operating assistance to Iowa City Transit for fiscal year 2025, with federal funds totaling $2,997,574 supplemented by a 50 percent local match of $2,997,574 from Iowa City's transit levy funding. The grant funds eligible operating expenses, including salaries and payroll costs, to support the continuation of the municipality's planned transit service levels through the performance period ending March 31, 2027.

Iowa City Transit utilizes this funding to maintain its municipal public transportation services, delivering affordable transit options to residents of the Iowa City metropolitan area. By supporting the agency's core operational expenses, the grant enables the transit system to sustain its comprehensive urban bus network and associated infrastructure while serving the general public and priority populations including seniors, persons with disabilities, and low-income individuals. No subrecipients are involved in the award, with all funds reimbursing eligible operating expenses directly to Iowa City Transit for the period July 1, 2024, through October 31, 2026.

Activities

This funding will support normal operations by contributing to salaries and payroll expenses for iowa city transit.

Expected outcomes

Iowa city transit will continue to operate at its planned level of service.

Intended beneficiaries

Users of iowa city transit will benefit from affordable fares with the assistance of this funding

Subrecipient activities

None. These funds will be used to reimburse iowa city transit eligible operating expenses from 07/01/2024 to 10/31/2026.