Yesterday, House and Senate Appropriations Committee Leaders released the final, bipartisan Transportation, Housing and Urban Development, and Related Agencies Appropriations Act, 2024 (THUD Appropriations Act) (H.R. 4366, Division F) as part of a “minibus” bill of six appropriations acts, the Consolidated Appropriations Act, 2024 according to the American Public Transit Association. The House is expected to take up the bill on Wednesday, March 6. Under the expected House procedure, it will take a two-thirds vote to pass the bill. The Senate will consider the bill after House passage. The goal is to get the bill to the President’s desk by Friday, March 8. Under the existing Continuing Resolution (P.L. 118-40), U.S. Department of Transportation (DOT) funding expires on Friday.
Public Transit
The THUD Appropriations Act and IIJA provide $20.9 billion for public transit in FY 2024, which is $364 million (2 percent) less than the FY 2023 enacted level.
- Fully funds public transit contract authority of $14 billion as provided by the IIJA, a $356 million increase from the FY 2023 enacted level.
- $3.8 billion for Capital Investment Grants (CIG), which is $430 million less than the FY 2023 enacted level.
- Provides an additional $252 million for specific initiatives, including: $20 million for Passenger Ferry grants; $20 million for Rural Ferry grants; and $207 million for Congressionally directed spending on designated public transit projects.
The bill includes several important policy provisions. Section 163 of the bill blocks the Rostenkowski Test, preventing a possible across-the-board cut of FY 2024 transit formula funds to each public transit agency. Section 164 prohibits DOT from impeding or hindering a project from advancing or approving a project seeking a CIG federal share of more than 40 percent. Finally, the legislation authorizes projects in the Expedited Project Delivery for CIG Pilot Program to be eligible for funding under the CIG program without further evaluation or rating.
Passenger Rail
The THUD Appropriations Act and IIJA provide $16.3 billion for passenger and freight rail in FY 2024, which is $383 million (or 2 percent) less than the FY 2023 enacted level.
- $7.3 billion for Federal-State Partnership for Intercity Passenger Rail grants;
- $6.8 billion for Amtrak grants ($4.5 billion for National Network grants and $2.3 billion for the Northeast Corridor);
- $1.2 billion for Consolidated Rail Infrastructure and Safety Improvement (CRISI) grants (including $99 million for specific Congressionally directed CRISI projects); and
- $600 million for Railroad Crossing Elimination grants.
RAISE Grants and DOT Policy Provisions
The THUD Appropriations Act and IIJA provide $1.8 billion for Rebuilding American Infrastructure with Sustainability and Equity (RAISE) competitive grants for surface transportation projects, including public transportation and multi-modal projects. The bill sets aside five percent of these funds for grants for historically disadvantaged communities or areas of persistent poverty.