President Trump’s FY21 budget proposal: What’s in and what’s out for transit

President Donald Trump unveiled his budget for Fiscal Year 2021 that includes $88.72 billion for the U.S. Department of Transportation (USDOT). While discretionary funding for USDOT is down more than 11 percent compared to FY20 enacted levels, the total budget represents a slight increase in overall funding.

The administration’s FY21 budget also serves as the first year in a 10-year surface transportation reauthorization proposal that calls for $810 billion in infrastructure investments.

A brief rundown of the numbers included in the FY21 budget proposal:

USDOT, Office of the Secretary:

• $1 billion for Infrastructure for Rebuilding America Grants (INFRA)
• $1 billion for the Better Utilizing Investments to Leverage Development Transportation Discretionary Grants program (BUILD)
• $311 million for Transportation Infrastructure Finance and Innovation Act (TIFIA) loans

Federal Transit Administration:

• $11.05 billion for Transit Formula Grants
• $1.88 billion for the transit Capital Investment Grant Program, which includes $945 million for projects with existing Full Funding Grant Agreements and $924.8 million for projects that will be ready for funding through either the New Starts Program or Core Capacity Program.
• $8 million for Transit Research
• Eliminates discretionary funding for Transit Infrastructure Grants; the administration reasons that the transit state of good repair and bus programs funded through the Highway Trust Fund has been increased by $896 million in FY21, which no longer requires the “plus-ups” funding to the programs.

Federal Railroad Administration:

• $1.49 billion for Amtrak, which represents a more than 25-percent budget reduction, which includes $324.5 million for Northeast Corridor Grants (NEC). The NEC proposed funding represents a 53.5-percent reduction compared to FY20 enacted levels.
• $330 million for Consolidated Rail Infrastructure and Safety Improvements Grants (CRISI)

10-year surface transportation reauthorization numbers (FY21-FY30):

• USDOT: $15.6 billion
• FTA: $155.4 billion, including $131.4 billion in Transit Formula Grants and $22.5 billion in Capital Investment Grants
• FRA: $16.6 billion, including $3.9 billion for Amtrak NEC grants and $3.9 billion for CRISI grants.

Following the administration’s budget proposal, American Public Transportation Association President and CEO Paul P. Skoutelas issued a statement that praised the administration’s proposal.

“We commend the administration and Secretary of Transportation Elaine L. Chao for recognizing the importance of modernizing our public transportation systems by significantly increasing funding to address the state-of-good-repair backlog for our bus and rail systems,” said Skoutelas. “We are encouraged by the momentum behind increased investment in public transportation and look forward to working with the administration and Congress to enact a FY2021 budget and to authorize new surface transportation legislation prior to its expiration on Sept. 30, 2020.

He concluded, “Providing the necessary investment to bring our public transit systems to a state of good repair and meet growing community demands for increased mobility choices would reap economic and environmental benefits nationwide.”