Above photo: Metra Milwaukee West trains meet at Elmwood Park, Ill., on Feb. 27, 2026. A new study says that every $1 billion in public transit funding yields $5 billion in benefits. David Lassen.
Study for American Public Transportation Association looks at benefits of proposed federal funding.
Washington, DC — A new independent economic study assessing the American Public Transportation Association’s recommendations for public transportation funding estimates that every $1 billion in such funding generates $5 billion in long-term economic value.
This week’s report, Economic Impact of Public Transportation Investment, also says the funding supports tens of thousands of jobs nationwide.
In February, APTA called for $138 billion for public transit and $130 billion for passenger rail in its recommendations for the new surface transportation authorization due from Congress this year. The new report, prepared for APTA by consulting firm EBP, that funding would lead to an additional $140 billion in annual impacts for the U.S. economic, through job creation, increased tax revenue, improved access to jobs and healthcare, reduced congestion, and lower household transportation costs.
“Public transportation is one of the smartest investments we can make in America’s economic future,” APTA CEO Paul P. Skoutelas said in a press release. “A $1 billion investment doesn’t just move people. It moves our entire economy forward, creating tens of thousands of jobs and unlocking billions in economic opportunity.”
According to the report, each $1 billion in transit spending leads to $1.4 billion in direct spending from construction, manufacturing and operations, and $3.6 billion in long term benefits; leads to creation of 41,400 jobs and $3.1 billion in worker income, and generates $251 million in federal, state, and local tax revenues.
