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Congress Passes THUD Appropriations Bill

(Amtrak photo)

On March 14, before the funding deadline at midnight, the Senate passed H.R. 1968, the “Full-Year Continuing Appropriations and Extensions Act, 2025” to “avoid a shutdown and fund the government for the remainder of the year,” the American Public Transportation Association (APTA) recently reported. The bill previously passed in the House by a vote of 217-213.

In general, the full-year Continuing Resolution (CR) funds government programs, including programs of the Transportation, Housing and Urban Development, and Related Agencies (THUD) Appropriations Act, through Sept. 30, 2025, at the same levels as Fiscal Year (FY) 2024.

The CR, together with Infrastructure Investment and Jobs Act (IIJA) “advance appropriations, provides $20.9 billion for public transit and $16.2 billion for passenger rail in FY 2025,” according to APTA. Under the bill, total public transit investment increases less than 1% and total passenger rail funding decreases less than 1%. The bill eliminates all funding that was designated for earmarks in the FY 2024 THUD Appropriations Act. The President-elect, APTA, says, “supports this legislation and is expected to sign it quickly.”

Public Transit

The CR, together with IIJA advance appropriations, provides $20.9 billion for public transit in FY 2025, an increase of $82 million (0.4%) from the FY 2024 enacted level. This total funding represents 95 % of the amount authorized in the IIJA.

The CR includes a special provision to allow public transit formula and competitive grant funding (i.e., contract authority funded by the Mass Transit Account of the Highway Trust Fund) to increase by $289 million as provided in the IIJA.

The bill and IIJA also provide $3.8 billion for Capital Investment Grants (CIG), equal to the FY 2024 enacted level. Currently, communities are requesting more than $38.7 billion of CIG funds in FY 2025 and subsequent years to construct 58 projects in 25 states. View APTA’s CIG Project Pipeline Dashboard.

According to APTA, the bill retains important policy provisions enacted in the FY 2024 THUD Appropriations Act. “First, it blocks the Rostenkowski Test, preventing a possible across-the-board cut of FY 2025 transit formula funds to each public transit agency. It also prohibits U.S. Department of Transportation (USDOT) from impeding or hindering a project from advancing or approving a project seeking a CIG Federal share of more than 40%. Finally, the legislation authorizes projects in the Expedited Project Delivery for CIG Pilot Program to be eligible for funding under the CIG program without further evaluation or rating.”

View APTA’s Public Transit Funding Table for FY 2025.

Passenger Rail

The CR, together with IIJA advance appropriations, provides $16.2 billion for passenger and freight rail in FY 2025, a decrease of $99 million (-0.6 percent) from the FY 2024 enacted level. This total funding represents 78% of the amount authorized in the IIJA.

The CR and IIJA provide a total of $16.2 billion for passenger rail investments, including:

  • $7.3 billion for Federal-State Partnership for Intercity Passenger Rail grants.
  • $6.8 billion for Amtrak grants ($4.5 billion for National Network grants and $2.3 billion for the Northeast Corridor).
  • $1.1 billion for Consolidated Rail Infrastructure and Safety Improvement (CRISI) grants.
  • $600 million for Railroad Crossing Elimination grants.

The bill eliminates $99 million that was designated for CRISI grant earmarks in the FY 2024 THUD Act.

According to APTA, the CR retains important policy provisions enacted in FY 2024 THUD Appropriations Act, including authorizing CRISI grants for commuter railroad projects that implement or sustain Positive Train Control (PTC) systems. It also authorizes CRISI grants for passenger rail planning and project development activities (e.g., preliminary engineering).

View APTA’s Passenger Rail Funding Table for FY 2025.

“On behalf of the hard-working Amtrak team who moves more than 32 million passengers across the United States each year, we are pleased to see the $2.42 billion in FY25 funding allocated to continue Amtrak services and maintenance work,” said Amtrak CEO Stephen Gardner. This annual funding supports the operation of our trains and maintenance of our tracks, bridges, tunnels, and other assets each year. We look forward to receiving this funding as soon as possible so we can continue to work with the [President-elect] and Congress to serve America and support the economy.”

BUILD Grants and USDOT Policy Provisions

The CR and IIJA provide $1.8 billion for Better Utilizing Investments to Leverage Development (BUILD) competitive grants for surface transportation projects, including public transportation and multi-modal projects.

The bill retains a provision that prohibits DOT from enforcing a mask mandate in response to the COVID-19 virus in FY 2025.

View H.R. 1968, the Full-Year Continuing Appropriations and Extensions Act, 2025 and the section-by-section summary of the bill.

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