Transit agencies have a significant funding opportunity on the horizon. The Federal Transit Administration (FTA) has announced the availability of $610 million in competitive grant funding through the FY 2026 Grants for Buses and Bus Facilities Infrastructure Programs, providing critical investments to modernize public transportation systems, improve facilities, and expand workforce development efforts.

The Notice of Funding Opportunity (NOFO) includes funding through two major programs:

Grants for Buses and Bus Facilities Program

This program provides funding to help transit agencies purchase and rehabilitate buses and vans while also supporting the construction, renovation, and modernization of bus maintenance facilities, transit centers, and related infrastructure.

Low or No Emission Grant Program

FTA's Low or No Emission Program assists transit agencies with purchasing or leasing U.S.-built low- and no-emission transit vehicles, as well as supporting charging infrastructure, related equipment, and facility improvements needed to transition to cleaner fleets.

Public transportation providers, state departments of transportation, tribal governments, and other eligible applicants are encouraged to review the Notice of Funding Opportunity and begin preparing applications as soon as possible.

Applications must be submitted electronically through Grants.gov no later than September 21, 2026.

SWTA encourages member agencies to evaluate their capital needs, coordinate with project partners, and begin assembling application materials well in advance of the deadline.

For complete program guidance, eligibility requirements, and application instructions, visit the FTA website.