Need help finding federal funding sources for your projects? Try our new and improved Funding Tool

Section 5307 for Urbanized Areas

Federal Agency


Federal Transit Administration (FTA)


To make federal resources available to urbanized areas and to governors for transit capital and operating assistance in urbanized areas and for transportation-related planning.

Applicant and/or Project Eligibility Requirements

Governors, responsible local officials, and publicly owned operators of transit services shall designate a recipient to apply for, receive, and dispense funds for urbanized areas. The governor or governor's designee acts as the designated recipient for urbanized areas between 50,000 and 200,000. For urbanized areas with 200,000 in population and over, funds are apportioned and flow directly to a designated recipient selected locally to apply for and receive Federal funds. For urbanized areas under 200,000 in population, the funds are apportioned to the governor of each state for distribution.

Decarbonization Considerations

Decarbonization strategies may focus on investments that expand transit services in a manner that reduces single passenger vehicle miles traveled, invest in zero-emission vehicles and charging infrastructure, and holistic transportation strategies that emphasize walking, cycling, and public transit connectivity alongside electric vehicle (EV) infrastructure build-out for ride-sharing and vehicle sharing programs.

Equity Considerations

See the "Equity Design Considerations for Federal Funding" for general considerations and additional sector-based resources:

Helpful Tips

Note that $26.1 billion of this funding is from the American Rescue Plan and may not be recurring in future years.

Other Notes


Deadline (Announced or Anticipated)


Funding Available


Max Award Amount


Expected Allocations

Table 3: FY 2021 Section 5307 and 5340 Urbanized Area Formula Appropriations | FTA (

Average Award (Estimated)


Matching Funds

20% cost share required

Go to Program Website