Skip to Content
Streetsblog New York City home
Streetsblog New York City home
Log In
Federal Funding

A Smart Way for the Feds to Fund Transit Service

After yesterday's post on the campaign to increase federal funding for transit service, some readers expressed concern that the proposal on the table would let metro areas avoid paying for their own transit operations. The way things stand, big transit agencies can't spend federal cash to run their trains and buses. If they could, the thinking goes, what's to keep local governments from reducing the share they chip in?

Well, I neglected to mention that the bill in question, H.R. 2746, includes a good mechanism to prevent that from happening. In fact, it provides an excellent incentive for metro areas to bump up their dedicated transit funding.

Basically, Rep. Russ Carnahan's bill would allow a transit agency to spend more of its federal money on operations only if that agency receives more local revenue too (not counting farebox revenue). Making federal support for transit service contingent on a local match is a great incentive to push local transit policies in a better direction. And lots of American cities really need that push.

Consider: In New York, we have the biggest constituency for transit of any metro area in the nation, and this April we could barely muster enough votes in our state legislature to avoid crippling service cuts. Transit riders in other parts of the country aren't so lucky. In St. Louis, which Carnahan represents, voters turned down a referendum in November that would have increased transit funding with a half cent sales tax. Now, St. Louis transit riders are suffering through some of the worst service cuts in the nation.

It's true that the Carnahan bill is not a cure-all. It doesn't enlarge the feds' total pot of money for transit, so the more federal cash transit agencies spend on service, the less they will have available to spend on expanding and maintaining their systems. But without the greater flexibility provided by the Carnahan bill, and without the local incentives it includes, it seems like many transit agencies will be left to ponder the question: Why buy more trains and buses if we can't afford to run them?

Stay in touch

Sign up for our free newsletter

More from Streetsblog New York City

The Streetsblog Angle: The 70th Street Bike Lane Is In the Epstein Files!

Somewhere, maybe, Woody Allen finally regrets opposing that bike lane.

January 30, 2026

The Mamdani Effect: Three Delivery Apps Must Pay $5M In Minimum Pay Settlement

A new era: Mayor Mamdani's worker protection department announces new enforcement against UberEats, HungryPanda, and Fantuan for not complying with the minimum pay law.

January 30, 2026

Friday Video: Should We Stop Calling Them ‘Low-Traffic Neighborhoods’?

Is it time for London's game-changing urban design concept to get a rebrand?

January 30, 2026

Ten Years of Placard Abuse: The Criminal Practice that Mamdani Must End

Placard corruption has drowned New York City in illegally parked cars for more than a decade. Mayor Mamdani must end it for good.

January 30, 2026

Data Analysis: Super Speeders and Red Light Violators Are Less Likely to Get NYPD Tickets

Drivers caught most often by speed and red light cameras are at the receiving end of comparatively little NYPD enforcement.

January 30, 2026
See all posts