Federal Grant Award Summary

The Federal Transit Administration (FTA) awarded Texas Department of Transportation (TxDOT) $118.36 million under the Formula Grants for Rural Areas and Tribal Transit Program (CFDA 20.509) on July 16, 2026, with a completion date of November 30, 2028. This formula grant enables Texas transit districts to provide public transportation services in rural areas through operating assistance, vehicle procurement and maintenance, capital projects, project administration, and state-level training and technical assistance. The funding supports both the continuation of established transit routes and expansion of new services to underserved rural communities across Texas.

Through its role as the designated state transportation agency, TxDOT distributes these funds to subrecipient transit providers who deliver passenger transportation services to the general public in rural communities with populations under 50,000. The grant supports essential transit operations, preventive vehicle maintenance and repairs, technology solutions, and capital improvements that enhance service delivery and resilience for rural passengers, employees, and communities. The expected outcomes include improved mobility for rural transit riders and expanded transit provider capacity to serve populations with limited transportation alternatives.