FTA Issues Dear Colleague Letter re Bus Procurement, Manufacturing


FTA is taking actions to strengthen the American bus manufacturing industry, reduce vehicle contract costs, and shorten vehicle delivery times, all of which is described in this Dear Colleague letter. The guidance comes as public transit agencies seek to procure buses using the historic investment provided by the 2021 Bipartisan Infrastructure Law.

The letter consolidates FTA’s existing guidance and highlights tools available to public transit agencies​ to address trends and challenges in federally funded bus procurements, including information about managing component prices, modifying contracts, lowering vehicle contract and production costs, and reducing unnecessary customization.

Actions and technical assistance resources include: