The 2026 Missouri Legislative session wrapped the budget process before the May 8 deadline with a second consecutive year of reduced investment in public transit. HB4, approved by the Conference Committee, included $2.5 million from Capitol Commission Funds plus $1.7 million from the State Transportation Fund for transit operations. This represents a 37% reduction from 2025 funding levels and a 64% reduction in state transit investment since Governor Kehoe took office.
In January, Governor Kehoe proposed cutting $5 million in General Revenue support for transit in his FY2027 budget recommendations. The proposal followed a 42% reduction in state funding last year. If enacted, the additional cut would leave just $1.7 million to be split among 30 transit providers statewide for operating assistance. Missouri’s per-capita transit investment has already dropped from $1.89 to $1.08 in the last year — which is among the lowest in the nation. The House Budget Committee supported the Governor’s proposed reduction in its budget released in March. However, Senate Appropriations Chair Rusty Black worked to restore funding support by including $5 million from the Capitol Commission Funds in the Senate Appropriations Committee version of the budget. Ultimately, the Conference Committee compromised at $2.5 million from the Capitol Commission Funds in addition to the $1.7 million from the State Transportation Fund.
“Kudos to Senate Appropriations Chair Rusty Black and the bipartisan leadership who understood the need to maintain some level of funding support for public transit,” said Kimberly Cella, Executive Director of the Missouri Public Transit Association. “Are we there yet? No, every cut to transit investment will result in lost service for Missourians, however, being able to hold on to the $2.5 million during a challenging state revenue environment is important – every dollar matters to our providers.”
“Public transit providers deliver nearly 40 million rides each year across rural and urban Missouri, while also generating $4 billion in economic activity statewide. Restoration of $2.5 million will take steps to ensure that countless Missourians maintain access to reliable transportation. Without this funding, the impending service cuts or loss of service altogether would disproportionately affect vulnerable populations, including seniors, individuals with disabilities and those living in rural and underserved areas. It means losing access to jobs, dialysis appointments, essential health care services, necessary medications and groceries. It is critical now for riders, advocates and supporters to reach out to the Governor’s office to ensure this $2.5 million remains in the budget,” added Cella.
This funding is also essential because it helps provide the local match required for Missouri transit providers to access federal funds earmarked for transit through the $1.2 trillion Infrastructure Investment and Jobs Act. Federal funding support requires a 50:50 match for transit operations and an 80:20 match for capital projects. Missouri transit providers have been working diligently to identify local funding sources through sales tax, private contracts and more, but the most significant missing link up to this point had been the lack of state funding.
Missouri Elderly Handicap Transportation Assistance (MEHTAP) funding remained level at $5 million.
The budget process is not complete yet. The budget now heads to the Governor, who can either sign the funding into law or reduce it through the veto process. Last year, transit investment emerged from Conference Committee at $10 million in General Revenue but was later reduced to $5 million by the Governor.
Now is the time for transit supporters to reach out to the Governor on the importance of preserving the $2.5 million in transit funding included in the final legislative budget. Contact to the Governor’s office can be made here: https://governor.mo.gov/contact-us/mo-governor or calls can be made to: 573.751.3222.