Anchorage appropriates $2.5M in federal transit grants for bus fleet

The Anchorage Assembly appropriated $6.6 million in total funding for transit vehicle replacement and maintenance on June 9, 2026, including $6.3 million in Federal Transit Administration grants to replace aging transit vehicles, expand micro-transit capacity, and fund preventive maintenance for People Mover fixed-route buses.

The Municipality will provide $1.4 million in local match from bonds and operating funds.

The largest grant, $1.2 million, will replace fixed-route buses. The Assembly appropriated $1.2m for the project, including $24,002 from the 2026 operating budget. A second grant of $1.4 million will replace paratransit vehicles and add micro-transit vehicles. A third grant of $159,197 will fund mobility management software.

The Assembly also appropriated $3.7 million for preventive maintenance. The project requires a total local match of $900,009.