Section 5307 Urbanized Area Formula Grants

Section 5307 Urbanized Area Formula Grants
Name	Section 5307 Urbanized Area Formula Grants
Program	Urbanized Area Formula Grants
Statute	49 U.S.C. § 5307
Agency	Federal Transit Administration
Established	1974
Purpose	Capital and operating assistance for public transportation

Section 5307 Urbanized Area Formula Grants Section 5307 Urbanized Area Formula Grants provide formula-based financial assistance to public transit agencies serving urbanized areas, supporting capital projects and limited operating expenses. The program is administered by the Federal Transit Administration and interacts with statutes, metropolitan planning organizations, and state departments of transportation to allocate funds among transit operators and regional authorities. Recipients use funds for buses, rail, paratransit, and facility investments, subject to federal compliance and reporting requirements.

Overview

The program is administered by the Federal Transit Administration under provisions of 49 U.S.C. § 5307 and implemented through regulations in the Code of Federal Regulations and guidance from the United States Department of Transportation. Section 5307 interacts with metropolitan planning processes involving Metropolitan Planning Organizations, regional transit agencies such as the Metropolitan Transportation Authority (New York) and the Chicago Transit Authority, and state partners including the California Department of Transportation and the Texas Department of Transportation. Funding flows from congressional appropriations enacted in statutes like the Surface Transportation and Uniform Relocation Assistance Act of 1987 and the Fixing America’s Surface Transportation Act to urbanized areas identified by the United States Census Bureau.

Eligibility and Allocation Formula

Eligible recipients include direct recipients such as designated recipients in urbanized areas, state departments of transportation, and transit operators including authorities like the Massachusetts Bay Transportation Authority and the Los Angeles County Metropolitan Transportation Authority. The allocation formula incorporates data from the United States Census Bureau urbanized area delineations, service population statistics, and factors tied to performance metrics reported by operators such as the Washington Metropolitan Area Transit Authority and the Southeastern Pennsylvania Transportation Authority. Statutory provisions and administrative rules specify set-asides and apportionment adjustments affecting small urbanized areas, tribal transit programs like the Indian Reservation Roads Program, and competition for discretionary grants offered by the Federal Transit Administration.

Funding Uses and Requirements

Funds may be used for capital projects, preventive maintenance, modernizing fleets for agencies like the New Jersey Transit Corporation and the Bay Area Rapid Transit District, and limited operating assistance under specified conditions for agencies such as the Port Authority Trans-Hudson Corporation. Allowable activities include rolling stock acquisition, construction of facilities, and compliance investments for Americans with Disabilities Act obligations involving entities like Access Services (Los Angeles) and Paratransit (transportation) providers. Requirements attach to procurements subject to Federal Acquisition Regulation principles, Buy America provisions, and environmental review processes under the National Environmental Policy Act when projects intersect with infrastructure work undertaken by authorities like the Metropolitan Transportation Commission (San Francisco Bay Area).

Application and Administration

Designated recipients submit programs of projects and grant applications to the Federal Transit Administration and coordinate with metropolitan planning organizations such as the Los Angeles County Metropolitan Transportation Authority (MPO) and the Metropolitan Council (Minnesota). Application processes reference guidance issued by the Federal Transit Administration and compliance frameworks used by agencies including the Port Authority of New York and New Jersey and the Metropolitan Transportation Authority (New York). Administrative duties include procurement oversight, audit readiness in line with the Office of Management and Budget Circulars, and coordination with state partners like the New York State Department of Transportation for intergovernmental agreements and subrecipient management.

Performance Measures and Reporting

Recipients report on asset condition, safety, vehicle miles traveled, and ridership metrics consistent with requirements adopted from rulemaking by the Federal Transit Administration and coordinated with planning bodies such as the Chicago Metropolitan Agency for Planning. Performance measures align with national goals reflected in statutes like the Moving Ahead for Progress in the 21st Century Act and are used to assess agencies including the Metropolitan Atlanta Rapid Transit Authority and the King County Metro system. Reporting flows into federal databases and may trigger state-level audits by entities such as the California State Auditor or oversight by the Inspector General of the Department of Transportation.

Historical Development and Legislation

The program traces origins to urban mass transportation reforms in the 1970s under legislation such as the Urban Mass Transportation Act of 1964 amendments and evolved through major statutes including the Intermodal Surface Transportation Efficiency Act of 1991, the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users, and the Fixing America’s Surface Transportation Act. Over time, changes affected apportionment methods, eligible activities, and compliance obligations impacting large systems like the Metropolitan Transportation Authority (New York) and the Washington Metropolitan Area Transit Authority, as well as smaller systems in places such as Rochester, New York and Fresno, California. Legislative and administrative developments have also intersected with judicial decisions and policy initiatives from administrations including Presidency of Barack Obama and Presidency of Donald Trump regarding infrastructure priorities and urban transit investment.

Category:Federal Transit Administration programs