Coronavirus Relief Funds for Transit

KCATA is the designated recipient of federal Urbanized Area Formula Funds allocated to the Kansas City region for transit. In response to the COVID-19 pandemic, Congress passed three federal funding programs that include critical funding for transit agencies throughout the region. These programs are for the purpose of supplementing lost revenues, including sales tax, passenger fares and local support, along with operating and capital expenses, including additional expenses specifically related to COVID-19.

As the regional designated recipient of federal transit funds, KCATA is responsible for management, allocation, and distribution of the funds in the region. In collaboration with the Mid-America Regional Council, KCATA has developed the following policy for allocation to regional transit partners. The KCATA board approved the regional allocation of Coronavirus Aid, Relief and Economic Security Act (CARES) funding in May 2020. The board approved regional allocation of Coronavirus Response and Relief Supplemental Appropriations Act (CRRSAA) funding in March 2021.

• Allocations should be based on the funding needs of the local communities. American Recovery Program (ARP) funds and remaining CARES and CRRSAA funds should be used to offset losses or reductions in revenue through 2023. CARES and CRRSSA funds must be spent before receiving ARP funding.
• Zero Fare should be funded regionally through 2023. Regional transit partners will only receive set aside zero fare funding if they participate in no-fare collection. 
• Funds will be used to support operational and capital needs through 2023.
• A cap on funding for Capital and Operating will be established for each sub-recipient based on a hybrid method:
  • 50% based on the regional sub-allocation formula
  • 50% on adjusted local operating budget

Allocations from CARES, CRRSSA and ARP allow transit operations to continue without depleting transit reserve funds.

The final allocation of funding by agency is: