Generally, a transportation management area is an urbanized area with a population of 200,000 or over. The Governor or Governor's designee is the designated recipient for urbanized areas between 50,000 and 200,000. All preventive maintenance and some Americans With Disabilities Act complementary paratransit service are considered capital costs.
Funding is apportioned on the basis of legislative formulas.
For areas of 50,000 to 199,999 in population, the formula is based on population and population density. For areas with populations of 200,000 and more, the formula is based on a combination of bus revenue vehicle miles, bus passenger miles, fixed guideway revenue vehicle miles, and fixed guideway route miles as well as population and population density. The Federal share is not to exceed 80 percent of the net project cost. The Federal share may be 90 percent for the cost of vehicle-related equipment attributable to compliance with the Americans With Disabilities Act and the Clean Air Act. The Federal share may also be 90 percent for projects or portions of projects related to bicycles.