Governor Hochul announces $121 million in new state funding to modernize and strengthen public transportation services across New York

Albany, New York – Governor Kathy Hochul has unveiled a major new funding opportunity aimed at reshaping public transportation across New York State, announcing that $121 million is now available to support the modernization of transit systems outside the Metropolitan Transportation Authority. The funding will be distributed through the state’s Transit Ready NY program, which is designed to help counties, municipalities, and regional transit providers improve how people move within and between communities.

The initiative focuses on non-MTA transit systems, many of which serve smaller cities, suburbs, and rural areas that rely heavily on buses and regional services. Eligible agencies are encouraged to apply for funds that support large-scale capital projects, from rebuilding aging facilities to introducing new technology that improves reliability and rider experience. Applications will be accepted through May 21, 2026.

Governor Hochul framed the announcement as both a quality-of-life investment and a long-term economic strategy.

“An investment in public transit is an investment in better quality of life for the New Yorkers who rely on it every single day,” Governor Hochul said. “Helping public transit providers modernize their services means faster, more efficient, and less stressful commutes, and that means better access to jobs, services, and key destinations for New Yorkers across the state.”

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State officials say the program is designed to do more than replace worn-out infrastructure. Projects will be evaluated based on how well they advance statewide goals, including improved operational efficiency, stronger coordination among regional and rural transit systems, and expanded service levels. Proposals that help reduce vehicle emissions will receive added consideration, reflecting the state’s broader push to lower greenhouse gas output from the transportation sector.

To qualify, all projects must demonstrate a useful service life of at least 10 years, ensuring that state dollars support improvements with lasting benefits. The funding can be used for a wide range of transit-related upgrades. These include the construction of transit centers, intercity bus stations, and mobility hubs that bring multiple transportation options together in one place. Transit priority improvements on roadways, such as dedicated bus lanes or signal upgrades, are also eligible.

Technology plays a significant role in the program as well. Funding may support systems that provide real-time service updates, modern fare payment options, or tools that help transit agencies manage fleets more efficiently. Other eligible uses include improving pedestrian access to transit, installing new stops and shelters, upgrading street amenities, and rehabilitating or expanding bus garages and maintenance facilities.

The Transit Ready NY program is administered by the New York State Department of Transportation and is open to counties and municipalities that meet the state’s Pro-Housing Communities designation requirements. Completed applications must be submitted by May 21, 2026, with additional guidance available through the department’s website.

New York State Department of Transportation Commissioner Marie Therese Dominguez said the funding reflects a continued commitment to making transit more inclusive and effective across the state.

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“I’ve always believed that supporting public transit is foundational to reducing barriers and expanding opportunities for New Yorkers, connecting them to the places they want and need to go,” Dominguez said. “Under Governor Hochul’s leadership, New York continues to make smart investments in public transit that do just that, benefiting communities statewide. Thanks to her generous commitment, we are enhancing public transit infrastructure to meet current and future needs, and aligned with our goal to reduce emissions from the transportation sector.”

Transportation advocates note that for many residents, especially seniors, students, and workers without access to a car, reliable transit is essential. Modernized systems can shorten commute times, improve safety, and make it easier to reach healthcare, education, and employment. In rural areas, stronger coordination between transit providers can also reduce service gaps and improve efficiency.

The Department of Transportation emphasized that the Transit Ready NY program aligns with its broader mission to deliver a transportation system that is safe, equitable, and resilient. By investing in modern infrastructure and cleaner technology, the state aims to support economic growth while protecting the environment.

As communities across New York consider how to rebuild and adapt their transit networks, the $121 million funding pool offers a rare opportunity to pursue projects that might otherwise remain out of reach. State officials say the goal is simple but ambitious: to create public transportation systems that are ready for the demands of today and flexible enough to meet the needs of tomorrow.