FTA Guidance Update: US Rail Grants & Sustainable Transport

FTA updates Capital Investment Grants program guidance, removing “social cost of carbon.” New revisions incorporate public feedback, impacting **railway** **infrastructure** projects nationwide.

November 14, 2025 11:54 pm

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Introduction

Federal Transit Administration (FTA) Administrator Marc Molinaro announced yesterday that the agency has finalized guidance for the Capital Investment Grants (CIG) program, eliminating the “social cost of carbon” criteria calculation previously required.

Capital Investment Grants Program Guidance Update

Capital Investment Grants (CIG) Program Changes

The FTA has updated its guidance for the Capital Investment Grants (CIG) program. The revisions eliminate calculations for the “social cost of carbon” criteria.

Revised Methodology

The FTA will revert to a methodology based on the U.S. Environmental Protection Agency’s National Ambient Air Quality Standards designation, determined by the location of the transit project.

Public Comment Incorporation

The updated guidance also includes feedback from the August 2025 Proposed Policy Guidance public comment period.

Stakeholder Feedback

Comments were received from transit agencies, interest groups, policy organizations, and individuals.

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Conclusion

The FTA’s revised guidance for the Capital Investment Grants program removes the “social cost of carbon” criteria and incorporates feedback from public comments.

Company Summary

Federal Transit Administration (FTA): The FTA is a U.S. government agency that provides financial and technical assistance to transit systems.

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