Fiscal Year 2026 Competitive Funding Opportunity: Buses and Bus Facilities Program

The Federal Transit Administration, an agency of the U.S. Department of Transportation, is offering competitive funding through the Grants for Buses and Bus Facilities Infrastructure Programs, a joint funding opportunity comprising the Grants for Buses and Bus Facilities Program and the Low or No Emission Grant Program. The programs are authorized under 49 U.S.C. 5339(b) and (c) and share the goal of enhancing safety and renewing public transportation systems through modern buses, related equipment, and facilities. The programs also seek to maximize benefits for families and communities by increasing access to jobs, healthcare facilities, recreational activities, and commercial activity. Approximately $610 million is available for this funding round, consisting of approximately $21 million for the Bus Program and approximately $589 million for the Low-No Program. The Bus Program supports capital projects to purchase, lease, or rehabilitate transit buses and related equipment and to acquire, construct, lease, or rehabilitate bus-related facilities. The Low-No Program supports the purchase or lease of low-emission and zero-emission transit buses and the acquisition, construction, rehabilitation, or leasing of supporting facilities and equipment, including recharging, refueling, and maintenance facilities. Prototype vehicle development or deployment is not eligible. Projects must relate to public transportation, new transit bus models must successfully complete applicable FTA bus testing, and buses must be procured from certified transit vehicle manufacturers. Incidental costs such as administration expenses may be included when the project includes and results in an eligible capital asset. Zero-emission projects generally must budget 5 percent of the associated Federal request for workforce development unless the applicant certifies that less or no funding is needed and explains why. Eligible recipients for the Bus Program include designated recipients, states including territories and Washington, D.C., local government entities, and federally recognized Indian tribes. Except for Indian tribes, eligible Bus Program recipients must allocate funds to or operate fixed-route bus service. Eligible Bus Program subrecipients include otherwise eligible recipients and private nonprofit organizations engaged in public transportation, and these subrecipients are not required to allocate funds to or operate fixed-route bus service. Eligible Low-No Program recipients and subrecipients include designated recipients, states, local government entities, and federally recognized Indian tribes. Except for projects proposed by Indian tribes, rural projects must be submitted by a State individually or through a consolidated State application. Applicants must have sufficient legal, financial, and technical capability to administer Federal funding. The maximum Federal share is generally 80 percent of eligible project costs, requiring a non-Federal share for the balance. The Federal share may be 85 percent for qualifying transit buses compliant with the Clean Air Act or accessible to people with disabilities and may be 90 percent for qualifying equipment and facility components related to low- or zero-emission buses or accessibility. The Bus Program has no stated minimum award amount, but a single recipient may not receive more than 10 percent of the amount available under that program. The Low-No Program has no stated maximum award amount. At least 25 percent of Low-No awarded funds are reserved for low-emission projects that are not zero-emission, while at least 15 percent of Bus Program awarded funds are reserved for projects in rural areas. A complete application consists of the SF-424 Application for Federal Assistance, the FY 2026 Low-No and Bus Programs Supplemental Form, and applicable supporting attachments. Applicants must complete required sections of both forms and attach the Supplemental Form and supporting documents through Grants.gov. Applications are limited to 15 total attachments. A Zero-Emission Fleet Transition Plan is required for zero-emission projects. Supporting documentation must be identified and referenced by file name in the Supplemental Form. Applicants applying to both programs use the same Supplemental Form but must submit the application materials separately through each applicable Grants.gov opportunity. The opportunity IDs are FTA-2026-010-TPM-BUS for the Bus Program and FTA-2026-011-TPM-LWNO for the Low-No Program. Mail and fax submissions are not accepted, and applicants must maintain the required SAM registration and valid Unique Entity Identifier. FTA evaluates eligible applications using demonstration of need, demonstration of benefits, planning and local or regional prioritization, local financial commitment, project implementation strategy, and technical, legal, and financial capacity. Additional considerations include qualified Opportunity Zone impacts, cost-effective vehicle procurement practices, actions that strengthen the U.S. vehicle manufacturing industry, and benefits for families and communities. Applications are rated Highly Recommended, Recommended, or Not Recommended, after which the FTA Administrator determines final project selections and funding amounts. Selection considerations may also include geographic variety, transit system size, propulsion type, applicant area type, tribal status, prior Federal transit funding, and management of those funds. FTA states that selections will be made within 75 days of the application due date. The funding opportunity was posted July 27, 2026, and complete applications are due through the Grants.gov APPLY function by 11:59 p.m. Eastern Time on September 21, 2026. FTA strongly recommends submitting at least 72 hours before the deadline. Late proposals are considered only under extraordinary circumstances outside the applicant's control. Based on the statutory 75-day selection period, selections are expected no later than December 5, 2026. Selected applicants subsequently apply for the grant through TrAMS, where the appropriate FTA Regional Office obligates the funds. Questions may be directed to Kirsten Wiard-Bauer in the Office of Program Management at FTALowNoBusNOFO@dot.gov or 202-366-2053. The sources describe this as the FY 2026 funding round but do not state an annual or other recurring application schedule.

Submit at least 72 hours before the deadline to allow time to correct Grants.gov problems. Use the current year's electronic Supplemental Form rather than a scanned, print-to-PDF, converted, or prior-year version. Directly reference supporting documentation by file name and page number where applicable. Clearly document need, benefits, planning consistency, committed local funding, implementation readiness, and technical, legal, and financial capacity. Include a detailed implementation schedule and identify opportunities to obligate the grant within 12 months because FTA rates faster obligation more favorably. For scalable projects, identify the minimum viable funding amount and explain the effect of a reduced award.