Transit Tips

Notes from 2004 CTAA EXPO in Seattle
by Linda Freeman

Funding Strategies for Transit

I tried to keep my notes on this session short but there is a lot available. There may be some surprises, or reading may spark a new idea of your own.

Local & county:

• Donated time on your local access channel can be used as match if cost is quantified
• Coordinate with other providers for services, facilities, maintenance and training
  • Don't forget about secondary schools and colleges
• Private and corporate donations including materials and services
• Business sponsorship, marketing and advertising
• Leasing facilities
• City or county government funds including mill levy
• Hospital foundations and gaming non-profits
• Rent or sell access roads
• CRA (Community Reinvestment Act)
  • Available to local banks to benefit communities
  • Transit services and facilities can be a part of the loan dollars
• Community development block grants
• Community health centers
  • Transit is a portion of their budgets

State & federal:

• Kellogg Foundation
• 5309 - Earmarked through public body
  • 20% match except for lifts which is 10%
• 5311 - State allocated & administered
  • Can be used for operating, capital or maintenance
• 5310 - State administered
  • Can be used for purchase of services
• 5307 - Urban operating & capitol dollars-formula funded
• JARC (Job Access & Reverse Commute)
  • Earmarked for new & enhanced services for low-income employment related
  • 50% match
  • Can be matched with TANF funds
• Economic development dollars available for economically stressed areas
• OAA (Older Americans Act) IIIB
  • Can be used for coordinated services
• GSA may sell, loan or donate surplus equipment
• Medicaid
  • Can be a major revenue source
  • State administered
• Head Start
  • Discretionary grant program under Human Services
  • State administered
• CMAC
  • Air quality act allows funds for up to 2 years public transit sometimes even if state has no air quality problems
  • State administered
• USDA grant and loan programs for rural areas
  • Facilities and vehicles eligible
  • No local match
  • Must encourage and support economic development
• RTAP
  • Training funds
  • State administered
• CTAA manages a Rural Transit Investment Program (RTIP) which is a loan program
  • For computer and communication equipment, purchase and development of land for transit facilities, making facilities accessible
• State tax such as portion of licensing fees or portion of gas taxes

Grants & funding sources that include transit or transit facilities as part of application:

• Rural health outreach grants
• Homeless funding
• Supportive housing for elderly (Section 202)
• Indian housing block grants
• Senior employment agencies
• Veteran's medical care
• National Corridor Planning & Development & Border Infrastructure Program

Others:

• FTA can participate in non-public transit portion of a project if profit generated is used to support public transit portion of operation
• Match waivers are available under extraordinary circumstances
  • State must repay in a future year
• Tapered match is an option
  • Quarterly payments are delayed to year end
• Flexed funding
  • Surface transportation and highway dollars can be flexed into transit by state

Grant Writing Tips:

• Read the RFP at least twice so you know what is required (prioritize based on RFP points given)
• Research, plan and assign tasks to the team (make sure the right people have the right jobs)
• Put non-required information in appendices (if you have a website, refer to it)
• Have all members review grant before mailing (make sure all required copies are ready and you have a copy for yourself)
• You are owed a review response (don't be afraid to ask for one)
• When you receive funding, review reporting requirements, set benchmarks and evaluate spending (celebrate your success)