The purpose of this grant award is for sddot to provide two years of funding for capital expenses to their subrecipients

The Federal Transit Administration awarded the State of South Dakota Department of Transportation $1.242 million in formula grant funding on May 27, 2026, under the Buses and Bus Facilities Formula Grant Program (CFDA 20.526) to provide two years of capital funding for transit vehicle and equipment purchases by rural transit subrecipients across South Dakota.

SDDOT will distribute funds to eight subrecipients—Community Transit of Watertown/Sisseton, Peoples Transit, Aberdeen Ride Line, Brookings Area Transit Authority, Palace Prairie Hills Transit, and River Cities Public Transit—to purchase expansion transit vehicles, capital equipment including software, and miscellaneous equipment supporting rural public transit operations. The capital investment is intended to improve and sustain transit service delivery to residents and visitors in rural communities throughout the state.

The award obligates $1.242 million with a period of performance extending through January 30, 2028. Place of performance is South Dakota. This is a formula grant under CFDA 20.526, which provides capital funding to states and transit agencies for bus replacement, rehabilitation, purchase, lease, and bus-related facility work.

Activities

The activities in this grant award include purchase of expansion transit vehicles and capital equipment including software and miscellaneous equipment.

Expected outcomes

These capital funds allow for the improvement and continuation of transit service for subrecipients throughout rural communities in south dakota.

Intended beneficiaries

Residents and visitors to rural communities across the state of south dakota.

Subrecipient activities

Eights subrecipients will use these funds to purchase capital expenses that support the provision of rural public transit. Subrecipients include: ctwsi peoples aberdeen ride line bata palace prairie hills transit rcpt southeast public transit.please see the attached program of projects for more information.