Home > News > House and Senate Appropriations Committee Leaders Unveil Bipartisan Consolidated Appropriations Act, including Transportation Appropriations Act

House and Senate Appropriations Committee Leaders Unveil Bipartisan Consolidated Appropriations Act, including Transportation Appropriations Act

Today (December 20), House and Senate Appropriations Committee Leaders unveiled H.R. 2617, the Consolidated Appropriations Act, 2023, which represents a bipartisan, bicameral agreement on Fiscal Year (FY) 2023 appropriations legislation among Senate Democrats, Senate Republicans, and House Democrats. House Republican Leaders do not support the bill. The bill includes the Transportation, Housing and Urban Development, and Related Agencies Appropriations Act, 2023 (Division L) (THUD Appropriations bill).

The THUD Appropriations bill appropriates the overwhelming majority of public transit and passenger rail authorizations of the Infrastructure Investment and Jobs Act (IIJA). Specifically, the THUD Appropriations bill, together with the IIJA’s advance appropriations, provides a total of $21.2 billion for public transit in FY 2023, an increase of $704 million from the FY 2022 enacted level. In addition, the THUD Appropriations bill and IIJA provide $16.6 billion for passenger and freight rail in FY 2023, an increase of $69 million from the FY 2022 enacted level.

Public Transit

The THUD Appropriations bill and IIJA provide $21.2 billion for public transit in FY 2023, an increase of $704 million from the FY 2022 enacted level. This total appropriation is $66 million less than the total amount authorized in the IIJA.

The THUD Appropriations bill fully funds the public transit contract authority of $13.6 billion, as provided by the IIJA. The THUD Appropriations bill, together with the IIJA advance appropriations, provides $4.2 billion for Capital Investment Grants (CIG), $387 million more than the FY 2022 enacted level. The THUD bill’s $2.6 billion CIG appropriation includes $1.8 billion for New Starts, $100 million for Core Capacity projects, $215 million for Small Starts, $100 million for the Expedited Project Delivery for CIG Pilot Program, and an additional $425 million for projects with existing Full Funding Grant Agreements (Section 165). Please view APTA’s CIG Project Pipeline Dashboard for more information on the Federal Transit Administration’s current pipeline of CIG projects.

The THUD Appropriations bill also provides an additional $542 million for specific initiatives, including: $90 million for Buses and Bus Facilities Competitive Grants; $50 million for Low-No Emission Bus Grants; $32.5 million for Passenger Ferry and Rural Ferry Grants; and $360 million for congressionally directed spending on designated public transit projects.

Furthermore, the bill includes several important policy provisions. Section 163 of the bill blocks the Rostenkowski Test, preventing a possible across-the-board cut of FY 2023 transit formula funds to each public transit agency. Section 164 prohibits the U.S. Department of Transportation (DOT) from impeding or hindering a project from advancing or approving a project seeking a CIG federal share of more than 40 percent. 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.

Please view APTA’s Public Transit Funding Table of the THUD Appropriations bill.

Passenger Rail

The THUD Appropriations bill and IIJA provide $16.6 billion for passenger and freight rail in FY 2023, an increase of $69 million from the FY 2022 enacted level. This total appropriation is $3.2 billion less than the amount authorized in the IIJA.

The THUD Appropriations bill provides $3.4 billion for passenger rail investments, including $2.5 billion for Amtrak grants ($1.2 billion for National Network grants and $1.3 billion for the Northeast Corridor), $560 million for Consolidated Rail Infrastructure and Safety Improvement (CRISI) grants, and $100 million for Federal-State Partnership for Intercity Passenger Rail grants. The THUD Appropriations bill provides $25 million for specific CRISI projects and allows CRISI grants to be used for commuter railroad projects that implement or sustain positive train control systems.

Please view the APTA’s Passenger Rail Funding Table of the THUD Appropriations bill.

U.S. Department of Transportation Programs

The THUD Appropriations bill and IIJA provide $2.3 billion for Rebuilding American Infrastructure with Sustainability and Equity (RAISE) competitive grants for surface transportation projects, including public transportation and multi-modal projects. The THUD Appropriations bill provides $800 million for RAISE grants in FY 2023, which is $25 million more than the FY 2022 enacted level.

Please view the THUD Appropriations title (Division L) of H.R. 2617, the Consolidated Appropriations Act, 2023 and the accompanying Explanatory Statement.

Please view APTA’s May 27, 2022 letter to House and Senate THUD Appropriations Committee leaders.

FTA Emergency Relief Program

Division N, Title X of the Consolidated Appropriations bill provides $214 million for FTA’s Public Transportation Emergency Relief Program (49 U.S.C. § 5324) for public transit systems affected by major declared disasters occurring in calendar years 2017, 2020, 2021, and 2022.

APTA specifically advocated for Congress to provide emergency appropriations to the Public Transportation Emergency Relief Program in the FY 2023 Consolidated Appropriations Act. Please view APTA’s September 16, 2022 letter to House and Senate Appropriations Committee Leaders requesting emergency relief funding.

Statutory Pay-as-You-Go-Act of 2010 (PAYGO)

Division O, Title X, Section 1001 of the Consolidated Appropriations bill waives the Statutory Pay-as-You-Go-Act of 2010 (PAYGO) for FY 2023 and FY 2024. Waiving Statutory PAYGO ensures that the federal government continues to make Build America Bonds (BABs) subsidy payments to fulfill its commitments to public transit agencies that issued BABs. Congress created BABs in the American Recovery and Reinvestment Act in 2009. BABs were a new financing tool that allowed state and local governments to borrow at lower costs to build infrastructure projects, including public transportation projects.

APTA and its Coalition partners urged Congress to waive Statutory PAYGO provisions before the end of the 117th Congress. Please view APTA’s December 15, 2022 Coalition letter to House and Senate Leaders urging Congress to waive Statutory PAYGO provisions.