APTA to Congress: Transit needs another $24 billion

The American Public Transportation Association (APTA) is urging Congress and the Trump administration to provide $23.8 billion in additional emergency funding to help U.S. public transit agencies continue to provide essential services as they and the local communities they serve seek to recover from the COVID-19 pandemic.

Although the $25 billion that agencies received under the federal stimulus legislation known as the CARES Act helped address immediate needs under the crisis, the public transportation industry continues to experience increased costs and dramatic revenue losses as the pandemic and related stay-at-home orders continue, APTA officials said in a press release.

An independent economic analysis by EBP US Inc. determined the industry faces a $23.8 billion funding shortfall through the end of 2021, in addition to the $25 billion allocated under the CARES Act.

"The $25 billion ... was a lifesaver for public transit services, but we now have a more complete picture of the extraordinary and devastating impact," said APTA President and Chief Executive Officer Paul Skoutelas. "These additional funds are critical to continue service essential workers and make sure that we can help get our country back to work and to other activities that are so important for our economic recovery."

The pandemic has significantly increased public transit operating costs and slashed state and local sources of transit funding, including agency farebox, parking and other revenue; dedicated sales tax, gas tax and other state and local tax revenue. For instance, with stay-at-home orders and fare-free services for essential riders, transit fare revenue has plunged 86 percent over the past month.

The EBS economic report also showed that decreased investment in public transit will cost the country 37,000 construction jobs in 2020 and 34,000 construction jobs in 2021, APTA officials said.

Meanwhile, the Metropolitan Transportation Authority (MTA) in New York City recently produced its own estimate showing transit agencies nationwide will need an additional $32 billion to address the crisis through the rest of 2020 and through 2021, MTA officials said last week in a press release.

MTA Chairman and CEO Patrick Foye and the leaders of 14 public transportation agencies last week wrote to congressional leaders urging them to include additional aid to public transit agencies in the next COVID-19 relief bill. Combined, the agencies represented by the letter serve communities that generate 35 percent of the nation's gross domestic product.

"The national economy can't rebound without strong public transportation in the nation's major business districts," stated the letter. "We are the circulatory systems of this country, and our agencies move over 20 million Americans every day while revitalizing our local economies in the process."

To learn how the pandemic is affecting one major transit agency — Bay Area Rapid Transit — read this article in Progressive Railroading's May issue.