Senate Committee on Appropriations
Advances FY 2025 Transportation Appropriations Bill
Provides Overwhelming Majority of Public Transit and Passenger Rail Funding
Authorized by Bipartisan Infrastructure Law
House in Recess, Returning September 9
Yesterday (July 25), the Senate Committee on Appropriations marked up S. 4796, the Transportation, Housing and Urban Development, and Related Agencies Appropriations Act, 2025 (THUD Appropriations Act). The bipartisan legislation was reported in a 28-1 vote from the Senate Committee. Earlier this month, (July 10), the House Committee on Appropriations marked up its THUD Appropriations bill (H.R. 9028) and approved it on a party-line vote of 31-26. View APTA’s Legislative Alert on the House THUD Appropriations bill.
The Senate THUD Appropriations bill appropriates the overwhelming majority of public transit and passenger rail funding authorized by the Infrastructure Investment and Jobs Act (IIJA). Specifically, the Senate THUD Appropriations bill, together with the IIJA’s advance appropriations, provides a total of $21.3 billion for public transit in Fiscal Year (FY) 2025, an increase of $439.8 million (2.1 percent) from the FY 2024 enacted level and $1.7 billion more than the House THUD Appropriations bill. The bill, together with the IIJA’s advance appropriations, provides $3.9 billion for Capital Investment Grants (CIG), an increase of $57 million from FY 2024 enacted levels, and $1.5 billion more than the House THUD Appropriations bill.
In addition, the Senate THUD Appropriations bill and IIJA provide $16.7 billion for passenger and freight rail in FY 2025, an increase of $440 million (2.7 percent) from the FY 2024 enacted level, and $703.6 million more than the House THUD Appropriations bill. The bill appropriates $2.63 billion for Amtrak, a significant increase from the House bill.
The Senate THUD Appropriations bill also includes important policy provisions, such as providing a 100 percent Federal share for § 5310 Enhanced Mobility of Seniors & Individuals with Disabilities and § 5311 Rural Area formula grants obligated in FY 2025. It does not include troubling policy riders, such as prohibiting actions on equity action plans and greenhouse gas emissions measures, included in the House THUD Appropriations bill.
Public Transit
The Senate THUD Appropriations bill and IIJA provide $21.3 billion for public transit in FY 2025, an increase of $439.8 million (2.1 percent) from the FY 2024 enacted level and $1.7 billion more than the House THUD Appropriations bill (8.9 percent). This total funding is $634.3 million (-2.9 percent) less than the amount authorized in the IIJA.
The bill fully funds the public transit contract authority of $14.28 billion as provided by the IIJA, an increase of $289 million (2.1 percent) from the FY 2024 enacted level.
The Senate THUD Appropriations bill and IIJA provide $3.9 billion for Capital Investment Grants, an increase of $57 million (1.5 percent) from the FY 2024 enacted level and $1.5 billion more than the House THUD Appropriations bill. Currently, communities are requesting more than $44.5 billion of CIG funds in FY 2025 and subsequent years to construct 65 projects in 25 states. View APTA’s CIG Project Pipeline Dashboard.
The Senate THUD Appropriations bill provides an additional $346 million for specific initiatives, including: $200 million for a bus leasing program for the 2028 Olympic and Paralympic Games; $2 million for Bus Testing Facility Grants; $67 million for Passenger Ferry and Rural Ferry Grants; $5 million for accelerating zero emission bus adoption; $5 million for the accelerating innovative mobility initiative; $500,000 for Tribal Technical Assistance; and $66 million for Congressionally directed spending for specific public transit projects.
The Senate THUD Appropriations bill includes several important transit policy provisions. Consistent with President Biden’s FY 2025 Budget request, section 167 authorizes a 100 percent Federal share for § 5310 Enhanced Mobility of Seniors & Individuals with Disabilities and § 5311 Rural Area formula grants obligated in FY 2025. For Indian Tribes, section 167 also authorizes a 100 percent Federal share for Buses and Bus Facilities Competitive Grants and Low-No Emission Bus Grants.
In addition, section 163 blocks the Rostenkowski Test, preventing a possible across-the-board cut of FY 2025 transit formula funds to each public transit agency. Section 164 prohibits the U.S. Department of Transportation (DOT) from impeding or hindering a project from advancing or approving a project seeking a CIG Federal share of more than 40 percent.
Consistent with President Biden’s FY 2025 Budget request, section 168 expands public transit agencies’ authority to acquire land prior to completion of National Environmental Policy Act (NEPA) review. Specifically, the provision amends 49 U.S.C. § 5323(q) by replacing the term “right-of-way” with “real property interests”, thereby expanding the opportunity for broader property acquisition prior to the completion of environmental reviews. This provision would bring the Federal Transit Administration’s property acquisition authority into parity with Federal Highway Administration programs. View APTA’s Fact Sheet on Real Property Acquisition.
Finally, section 169 prohibits funds from being used to award or amend a contract for bus or rail rolling stock with a manufacturer that, at any time, met the criteria outlined in § 5323(u), including any entities resulting from a reorganization or restructuring or any successor organizations regardless of whether the reorganized, restructured, or successor entity currently meets those restrictions.
View APTA’s Public Transit Funding Table of the Senate and House THUD Appropriations bills.
Passenger Rail
The Senate THUD Appropriations bill and IIJA provide $16.7 billion for passenger and freight rail in FY 2025, an increase of $440.8 million (2.7 percent) from the FY 2024 enacted level and $703.6 million more than the House THUD bill (4.4 percent). This total funding is $3.9 billion (-18.9 percent) less than the amount authorized in the IIJA.
Specifically, the bill appropriates $2.6 billion for Amtrak grants ($1.6 billion for the National Network and $1 billion for the Northeast Corridor), which is $210 million (8.7 percent) more than the FY 2024 enacted level. Conversely, the House THUD Appropriations bill only provided $2.1 billion for Amtrak grants. The legislation also includes $292.8 million for the Federal Railroad Administration’s Safety and Operations budget, an increase of $25 million (9.3 percent) from FY 2024 enacted levels. The accompanying report calls for increased research into wayside bearing defect detection systems, in line with the National Transportation Safety Board’s recommendations from its investigation into the derailment in East Palestine, Ohio.
The Senate THUD Appropriations bill provides $375.8 million for Consolidated Rail Infrastructure and Safety Improvements (CRISI) grants, an increase of $176 million (88.4 percent) from the FY 2024 enacted level. The CRISI grants include $75.8 million for Congressionally directed spending for designated CRISI projects. The Senate THUD Appropriations bill also allows CRISI grants to be used for commuter railroad projects that implement or sustain positive train control systems. The House THUD Appropriations bill does not authorize any commuter rail project eligibility for CRISI funds.
The Senate bill provides $100 million in additional funding for the Federal-State Partnership for Intercity Passenger Rail grants.
Unlike the House bill, the Senate THUD Appropriations bill does not include the controversial policy rider to prohibit any funding for the California High-Speed Rail Authority project.
Finally, section 154 includes a sense of Congress noting the importance of long-distance passenger rail routes, particularly for those in rural areas, and the need to sustain such routes and services to ensure connectivity throughout the National Network.
View APTA’s Passenger Rail Funding Table of the Senate and House THUD Appropriations bills.
U.S. Department of Transportation Programs
The Senate THUD Appropriations bill provides $550 million, in addition to the $1.5 billion of advance appropriations included in the IIJA, for the Rebuilding American Infrastructure with Sustainability and Equity (RAISE) competitive grant program for surface transportation projects, including public transportation and multi-modal projects. This amount equals the FY 2024 additional appropriation. However, the legislation does not provide additional appropriations for the Mega grant program.
House in Recess
The House is currently in recess and will not hold votes until it returns the week of September 9th, pausing any immediate action on the House THUD Appropriations bill.
View APTA’s Priorities Letter to Senate THUD Appropriators for FY 2025.
View the Senate Committee on Appropriations Summary of S. 4796, the THUD Appropriations Act.
View S. 4796, the THUD Appropriations Act.
View the Committee Report (S. Rpt.118-199) of S. 4796, the THUD Appropriations Act.
View the Congressionally Directed Spending Items of S. 4796, the THUD Appropriations Act.
View the Manager’s Amendment to S. 4796, the THUD Appropriations Act.
