SACRAMENTO, CA – The Sacramento Regional Transit District (SacRT) is proud to announce the award of a $39.67 million grant from the Federal Transit Administration’s (FTA) Low or No Emission (Low-No) Grant Program. This critical funding will support the replacement of 49 aging compressed natural gas (CNG) buses with modern, low-emission vehicles and fund infrastructure upgrades that will improve service reliability, reduce emissions, and enhance transit access in underserved communities. 

This project builds on SacRT’s momentum from the nearly $77 million Low-No grant awarded in 2024, which is supporting the transformation of SacRT’s McClellan facility (BMF-2) into a state-of-the-art bus maintenance hub. Located at the former McClellan Air Force Base, BMF-2 was originally acquired in 2005 to relieve overcrowding at the Downtown Bus Maintenance Facility (BMF-1); however, it has faced years of deferred maintenance. A 2021 redesign enables the facility to house and maintain up to 270 buses, including the 49 new CNG buses funded through this grant and future clean-fuel vehicles. Together, these investments in fleet and facility will relieve pressure at BMF-1 and improve service reliability. 

SacRT is facing an urgent need to modernize its bus fleet. By the end of Fiscal Year 2025, 78 buses will be due for retirement, with 129 reaching the end of their useful life by 2028. The 49 buses being replaced through this project, some dating back to 2008, average 510,000 miles and 16 years in service, and operate at just 56% availability due to frequent mechanical issues.  

“This funding is another major step forward in our ongoing efforts to deliver cleaner, more efficient and more reliable transit for the Sacramento region,” said SacRT General Manager/CEO Henry Li. “These new buses will improve the rider experience and help SacRT continue to operate frequent bus service through the region.” 

“SacRT is leading the way in building a cleaner, more connected Sacramento. Investing in low-emission buses is another important step toward a sustainable future for our region, our communities, and reducing our environmental impact” said Congresswoman Doris Matsui (CA-07). “I’m proud to support SacRT’s efforts to modernize its fleet, improve service reliability, and reduce harmful emissions in the communities that need it most.”  

“Clean and reliable public transportation is essential to the health and economic vitality of our region. I’m pleased to see SacRT receive this critical funding to replace aging buses and invest in infrastructure that supports underserved communities,” said Representative Ami Bera, M.D. (CA-06). “These improvements will help reduce pollution, create good-paying jobs, and ensure that more residents have access to safe and efficient transit.” 

“This federal investment in SacRT’s bus fleet and maintenance infrastructure is a win for the Sacramento region. This project demonstrates that good things can happen when we work across party and geographic lines to get things done for local communities and residents,” said Congressman Kevin Kiley. “It will improve air quality, enhance transit reliability, and support emergency preparedness in communities north of the American River. I’m proud to advocate for funding that delivers real benefits to our constituents and strengthens our regional transportation network.” 

The new 2027 CNG buses will replace outdated models and are expected to significantly improve service reliability, reduce breakdowns, and ensure compliance with the FTA’s spare ratio guidelines. The project will modernize 69% of SacRT’s all-day bus routes, serving 26% of total riders, and is projected to cut lifetime emissions by over 6 million kilograms of carbon dioxide (CO₂), which is equivalent taking 1,300 passenger vehicles off the road for a year. 

In addition to environmental and service improvements, the project will generate substantial operational savings. During the first two years of the manufacturer warranty, SacRT anticipates saving approximately $1.19 million annually on spare parts, $827,800 on non-preventive maintenance labor, and $463,097 per year in fuel costs due to reduced consumption of 154,882 gasoline gallon equivalents. 

This funding is part of the FTA’s broader effort to modernize transit systems nationwide. In 2025, the FTA awarded approximately $2.1 billion to 165 projects across 45 states and territories through the Low-No and Buses and Bus Facilities programs.