Action
Final rule
Summary
This final rule implements the Transportation Equity Act for the 21st Century, Public Law 105-178 (TEA-21), which allows all Federal Transit Administration (FTA) capital grant funds to be used for leasing facilities and equipment if a lease is more cost effective than purchase or construction. Before the enactment of TEA-21, recipients were permitted to lease assets only with funds received under 49 U.S.C. 5307. This rule amends FTA's leasing regulation to extend this option to all FTA funds, to the extent a recipient meets all other regulatory requirements.