Allocate the amount allowed for FY 2025 section 5307 operating assistance found at…

The Department of Transportation Federal Transit Administration awarded the Chattanooga Area Regional Transportation Authority (CARTA) $7.374 million on February 23, 2026, under the Federal Transit Formula Grants program (CFDA 20.507) to provide operating assistance for transit service in the Chattanooga urbanized area through March 30, 2031. The funding supports CARTA's continued operation of fixed-route bus service, paratransit, and specialized mobility services serving the Chattanooga urbanized area. The operator cap allocation for FY 2025 is $3.687 million in federal funds, matched by an equal $3.687 million local contribution from the City of Chattanooga. The total obligated amount of $7.374 million reflects the federal and local match combined. Performance takes place in Tennessee. The award was included in the FY 23–26 State Transportation Improvement Plan as a TIP amendment dated June 25, 2025. CARTA and its riders benefit from the funding, which enables transit access to employment and other destinations that improve quality of life.

Purpose

The purpose of this grant is to allocate the amount allowed for FY 2025 section 5307 operating assistance found at https://WWW.transit.DOT.GOV/funding/apportionments/table-3A-FY-2025-section-5307-operating-assistance-special-rule-operator-0 . The operator cap for the chattanooga urbanized area is $3687461 for FY 2025. This grant has been included in the FY 23-26 stip as a tip amendment dated june 25 2025. Local match will be provided by the city of chattanooga.

Activities

FY 25 section 5307 formula grant to: 1. Operating assistance $3687461 federal/$3687461 city of chattanooga local match - ALI 30.09.03 tip ID CHC ctransopassist amendment 0211

Expected outcomes

Funding will permit carta to continue operating transit service within the chattanooga urbanized area.

Intended beneficiaries

Carta and its riders will benefit from continued services permitting riders to get to work and other destination that improve quality of life.