By Ron Thaniel
August 5, 2002

The U.S. House Transportation and Infrastructure Committee approved a bill on July 24 that will extend flexibility in the use of federal transit funds to some smaller urbanized areas across the nation.

Introduced by Transportation Committee Chairman Don Young (AK), H.R. 5157 amends section 5307 of title 49, United States Code, to allow transit systems in urbanized area that grew to more than 200,000 in the 2000 Census to retain their operating flexibility in the use of their federal transit formula grants, to the same extent they had it in the current fiscal year, for FY03 only. This bill does not change the amount of transit formula funding these communities (or any other community) will receive under TEA-21 in FY03.

Fifty-two communities nationwide were impacted by the 2000 Census urbanized area designation process, crossing from below populations of 200,000 to above 200,000. Under Federal transit law, areas of more than 200,000 cannot use federal formula grants to pay for transit operating expenses.

"The Transit Operating Flexibility Act is a common sense bill that will allow communities that grew to more then 200,000 to keep their public transportation systems running while they transition to their new urbanized status under the 2000 Census," said Young.