Today (July 28), the Senate Committee on Appropriations released its draft Fiscal Year (FY) 2023 Transportation, Housing and Urban Development, and Related Agencies (THUD) Appropriations bill. It is unclear if the Senate will mark up this bill, but it will be a starting point for further negotiations.

The Senate THUD Appropriations bill appropriates the overwhelming majority of public transit and passenger rail authorizations of the Infrastructure Investment and Jobs Act (IIJA). Specifically, the THUD Appropriations bill, together with the IIJA’s advance appropriations, provides a total of $21.1 billion for public transit in FY 2023, an increase of $565 million (3 percent) from the FY 2022 enacted level. In addition, the THUD Appropriations bill and IIJA provide $16.9 billion for passenger and freight rail in FY 2023, an increase of $325 million (2 percent) from the FY 2022 enacted level.

Public Transit

The Senate THUD Appropriations bill and IIJA provide $21.1 billion for public transit in FY 2023, an increase of $565 million (3 percent) from the FY 2022 enacted level. This total appropriation is $621 million less than the House THUD Appropriations bill and $204 million less than the total amount authorized in the IIJA.

The Senate THUD Appropriations bill fully funds the public transit contract authority of $13.6 billion as provided by the IIJA. The THUD Appropriations bill, together with the IIJA advance appropriations, provides $4.1 billion for Capital Investment Grants (CIG), $489 million less than the IIJA authorization. The THUD bill’s $2.5 billion CIG appropriation includes $1.9 billion for New Starts, $100 million for Core Capacity projects, $411 million for Small Starts, and $100 million for the Expedited Project Delivery for CIG Pilot Program. Unlike the House THUD Appropriations bill, the Senate THUD Appropriations bill does not include a set aside for projects with existing Full Funding Grant Agreements. Please click here to view APTA’s CIG Project Pipeline Dashboard.

The Senate THUD Appropriations bill also provides an additional $527 million for specific initiatives, including: $220 million for Buses and Bus Facilities Competitive Grants; $135 million for Low-No Emission Bus Grants; $40 million for Passenger Ferry and Rural Ferry Grants; and $98 million for congressionally directed spending on designated public transit projects.

Furthermore, the bill includes several important policy provisions. Section 163 of the bill includes language blocking the Rostenkowski Test to prevent a possible across-the-board cut of FY 2023 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. 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. The House THUD Appropriations bill also includes each of these policy provisions.

To view APTA’s Public Transit Funding Table of the THUD Appropriations bill, please click here.

Passenger Rail

The Senate THUD Appropriations bill and IIJA provide $16.9 billion for passenger and freight rail in FY 2023, an increase of $325 million (2 percent) from the FY 2022 enacted level. This total appropriation is $164 million less than the House THUD Appropriations bill and $3.0 billion less than the amount authorized in the IIJA.

The Senate THUD Appropriations bill provides $3.7 billion for passenger rail investments, including $2.6 billion for Amtrak grants ($1.5 billion for National Network grants and $1.1 billion for the Northeast Corridor), $535 million for Consolidated Rail Infrastructure and Safety Improvement (CRISI) grants, and $200 million for Federal-State Partnership for Intercity Passenger Rail grants. The Senate THUD Appropriations bill 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 commuter rail project eligibility for CRISI funds.

To view APTA’s Passenger Rail Funding Table of the THUD Appropriations bill, please click here.

U.S. Department of Transportation Programs

The Senate THUD Appropriations bill and IIJA provide $2.6 billion for Rebuilding American Infrastructure with Sustainability and Equity (RAISE) competitive grants for surface transportation projects, including public transportation and multi-modal projects. The THUD Appropriations bill provides $1.1 billion for RAISE grants in FY 2023, which is $315 million more than the House THUD Appropriations bill and the FY 2022 enacted level.

To view the draft Senate THUD Appropriations bill, please click here.

To view the draft Senate THUD Appropriations bill Explanatory Statement, please click here.

To view APTA’s letter to Senate THUD Appropriations Committee leaders, please click here.