Transit funding would depend on crime rules and safety measures

The Transportation Secretary would withhold up to all covered grants when state or local laws fail the funding conditions. The rule covers agencies receiving urban-area transit grants directly. Fare evasion must be a crime, and people found to have committed violent crimes on transit must be barred from transit in that jurisdiction. People released before trial on criminal charges throughout the jurisdiction must provide bail bonds backed by people able to pay them. An agency serving several jurisdictions cannot have funds withheld in a way that harms jurisdictions meeting the conditions. Before withholding funds, the Secretary would give the agency 30 days to fix the problem.

Covered transit agencies would generally have to charge fares to receive urban-area transit grants. The rule covers agencies serving urban areas with at least 200,000 people and running at least 100 fixed-route or on-demand buses at peak times. The count excludes required paratransit service for people with disabilities. Exceptions cover certain rider groups, including students, people with disabilities, and veterans. Temporary disaster, emergency, and major-event programs could also qualify. Other exceptions cover fully subsidized programs run by contractors, fares offset by local taxes adopted for a specific area, and programs allowed by federal rules. A major-event exception could begin no more than six months before the event and end no more than six months after it.

Transit agencies would reserve at least 3% of their urban-area grants for safety projects. The fare-control purchase condition covers agencies serving urban areas with at least 200,000 people. The Secretary could allow agencies serving areas with fewer than 200,000 people to reserve less than 3%. The Secretary could choose how agencies spend all of the reserved safety money. The fare-control promise would cover all stations, terminals, and transit vehicles and require equipment meeting federal performance standards. For fiscal year 2027 grants, covered agencies would certify that they will buy the fare-control equipment in fiscal year 2028.

The Transportation Secretary could withhold grants or demand repayment based on fare-evasion, assault, or murder rates. The general 10%-above-average rule covers agencies serving urban areas with at least 200,000 people. Assault rates cover both riders and workers. A general rule permits withholding or repayment of urban-area grants when listed rates are 10% above the national average. Separate tiers allow withholding or repayment of up to 25% of formula grants when any listed rate is more than 25% but less than 50% above average, and up to 50% when it is at least 50% above average. The penalties would depend on rates during the fiscal year for which the grants were awarded.

To receive federal formula grants, covered agencies would post annual transit letter grades and security-camera images of people committing crimes. The posting requirement covers agencies serving urban areas with at least 200,000 people. Posting would be required on agency websites and at covered rail stations and bus terminals. Covered facilities include those displaying maps, conduct rules, or arrival boards at enactment, plus new or improved facilities displaying that information. The Secretary could waive crime-image displays at a station or terminal if the agency certifies that posting there would not be workable. Crime images and information identifying the crime would be posted within seven days of the crime and remain posted for at least 45 days.