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Federal transit cuts could hit rural America hardest

September 18, 2026 · Grist · Score: 32

Congress is working out a new transportation bill, the BUILD America 250 Act, to replace the 2021 infrastructure law before it expires at the end of the year. The new bill would put $16.5 billion less into public transit over five years than the old law provided, and every state would get at least $10 million less in federal transit funding over that time.

Rural areas would feel this hardest, since small transit systems depend more heavily on federal money than big-city subway and bus systems do. Idaho could see the largest percentage cut in the country, at 18 percent, and Maine could see a 16 percent drop. In both states, transit officials say rides are already limited and local governments have little ability to make up the difference. Advocates warn that seniors and people with disabilities who rely on these services to get to medical appointments or leave the house could be hit especially hard. Indiana would see a similar cut, which could mean older, less reliable buses and longer waits for rural riders who already face weeks-long delays for reservations.

Cities are not immune either — New York City alone could lose $2.3 billion over five years. Advocates argue that weaker transit service could push some households to rely more on cars, adding costs for gas, insurance, and repairs. If you live somewhere with limited bus or paratransit service already, this is worth watching, since the final funding levels for your state and county depend on what Congress decides in the coming months.

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Program details
Program
BUILD America 250 Act
Deadline
2026-12-31

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