Transit Operating Grant

We distribute state and federal operations funding to eligible rural, small urban, and tribal transit providers.

How it works

State rules require us to collect and consider specific information to allocate funding and award contracts. The information is needed for funding decisions, required for the Management Plan, and/or used in compliance monitoring and contract awards. The details for each item are included in a table within the instructions as well as the Checklist document.

Eligibility

Any legislatively established public transit commission or authority, any county or statutory or home rule charter city providing financial assistance to or operating public transit, any private operator of public transit, any tribal government, or any combination thereof is eligible to receive financial assistance through the public transit participation program.
Any organization that did not receive operating funds in the 2025 calendar year will need to contact Noel Shughart, program unit supervisor, at noel.shughart@state.mn.us for eligibility certification before beginning an application.
A completed solicitation does not guarantee a specific funding allocation. At any time in the review process, OTAT may request additional information or clarification to properly evaluate your submission.
All Operating Grant submissions will be considered within the confines of the statewide budget target.

Timeline

May 1, 2025: Application period opens
May 5, 2025: Application guidance webinar
June 30, 2025: Applications deadline
Fall 2025: Operating awards announced

Application process

Applications must be completed and submitted online through the BlackCat Transit Data Management System.

Step 1: Start your application

Log into the BlackCat system.
Choose Applications.
Select 2025 Application for 2026 Transit Operating Grant

Step 2: Complete and upload required forms

Download, complete, and upload all the required forms to your application in BlackCat.

Step 3: Complete and upload checklist

Check all the boxes on the application checklist and upload it to your application in BlackCat.

Step 4: Submit

Choose the submit button to submit your application by June 30, 2025.

Guidance

We held a webinar on May 5, 2025, to go over the application requirements and demonstrate how the forms work.

2026 operating - webinar presentation (PDF)

You can contact your transportation program manager if you need further assistance.

After you apply

We'll review your application for compliance.
We'll announce initial allocations in fall 2025.
We'll email award contracts in fall 2025.
You'll need to sign your contract and return it to us within 45 days from receipt.
Funding is available Jan. 1, 2026.

Reporting requirements

If we award you funds, you must submit the following reports:

Monthly Operating Budget
Monthly Ridership Statistics (service level and passenger stats)
Annual Vehicle Statistics Report (VSR)

For the Monthly Operating Budget and the Monthly Ridership Statistics, you'll complete the reports in BlackCat Transit Data Management System and submit them 30 days after the month of reporting. Work with your transportation program manager to complete these reports.

More information

Pursuant to Minn. Stat. 13.03, subd. 1, all government data collected, created, received, maintained or disseminated by a government entity shall be public unless classified by statute, or temporary classification pursuant to section 13.06, or federal law, as nonpublic or protected nonpublic, or with respect to data on individuals, as private or confidential. The responsible authority in every government entity shall keep records containing government data in such an arrangement and condition as to make them easily accessible for convenient use. Photographic, photostatic, microphotographic, or microfilmed records shall be considered as accessible for convenient use regardless of the size of such records.