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Fargo transit faces $800K federal cut, GTC vacate and rising fleet costs
Summary
Transit leaders told commissioners Fargo lost about $800,000 in federal funding after being reclassified as a 'large urban' FTA recipient; the city now administers regional grants but must cover fleet replacement, GTC relocation and safety improvements.
Transit staff described a period of rapid operational change and tightening revenue. Jordan Smith said the 2020 census reclassification moved the metro into the FTA "large urban" category, which reduced Fargo's federal allocation: "We lost about $800,000 in federal funding," he said. Jordan and Cole explained the city became the designated recipient for the metro in 2024, centralized administration, and in 2026 brought drivers in-house to save costs and improve morale.
Staff outlined capital and personnel needs: five-year capital requests shared among Fargo, West Fargo, Moorhead and NDSU; a proposed 2027 personnel request adding nine bus operators and one road supervisor to improve driver coverage; and fleet replacement pressures (per-bus costs rose from about $488,000 in 2020 to roughly $731,000 in the most recent order). Transit staff also reported structural problems at the downtown Ground Transportation Center and said consultants advised vacating the facility: "we have been advised by the consultant to vacate the facility and find a new location," Jordan said. Commissioners asked for partner contribution details and options to earmark local matching funds.
