Why Are States Passing Up Billions in Federal Transit Funds?

Money for mass transit is hard to come by, so you'd think when the federal government offers some, states and localities would jump at the chance. A few do, but most don't, according to a GAO report released earlier this month [PDF]. Of the $53 billion in "flexible" transportation funding issued from 2007 to 2011, only about $5 billion was used for urban public transit.

Federal funding for public transportation generally comes from the mass transit account of the rapidly depleting Highway Trust Fund. Since 1991, however, state and metropolitan planners have had the option of shifting some federal money intended for highways into transit projects. These "flexible" funds arrive through the Federal Highway Administration via two main sources: the Surface Transportation Program and the Congestion Mitigation and Air Quality Improvement Program.