WASHINGTON, D.C. — A bipartisan group of U.S. senators is taking aim at outdated federal regulations they say are stifling the domestic bus manufacturing industry. Led by Senator John Fetterman (D-PA), Senators Tina Smith (D-MN), Kevin Cramer (R-ND), and Katie Britt (R-AL) have reintroduced the Bus Rolling Stock Modernization Act, a bill that seeks to cut red tape and provide much-needed flexibility to local transit agencies and manufacturers.
Current regulations, designed more than four decades ago, limit the ability of transit systems to make upfront payments to bus manufacturers. Advocates for change argue this rule drives up costs unnecessarily and hinders manufacturers’ ability to invest in vital resources like equipment and workers. The consequences have been dire for the industry, with many companies forced to shutter operations despite high demand for new and efficient buses.
A Common-Sense Solution for an Urgent Problem
The newly proposed legislation is simple but impactful. It would allow bus buyers to make advanced payments of up to 20% of the bus cost, providing manufacturers with the financial stability needed to expand production capacity. This measure, lawmakers say, will strengthen the backbone of domestic manufacturing while empowering local transit systems to meet rising demand efficiently and cost-effectively.
“Right now, we’re stuck with 40-year-old rules that prevent bus manufacturers from investing in the workers and equipment they need. It’s a problem that’s hurting transit agencies in big cities and small towns across Pennsylvania,” Senator Fetterman stated. “This bill fixes that by giving local agencies the flexibility they need to get buses on the road faster and at a lower cost, while helping American manufacturers meet demand.”
Building Better Transit for Americans
The proposed reforms emphasize the broader national importance of an efficient and reliable transit system. Senator Smith highlighted how transit systems connect communities to critical resources like jobs, schools, and healthcare, while also easing traffic congestion. “This bill makes a commonsense update to current practice by cutting unnecessary red tape,” Smith noted. “It will support U.S. bus manufacturing jobs, get more buses into service, and help Americans get to their work, school, and health care appointments more easily.”
The new legislation also has champions in regions where domestic bus manufacturing plays an essential economic role. Senator Cramer cited the benefits for North Dakota-based manufacturers, while Senator Britt emphasized the ripple effects for Alabama’s local and rural transit communities. “Our bipartisan legislation supports domestic manufacturing and helps local transit agencies better serve our communities. Cutting senseless red tape while supporting Made in America manufacturing is simply common sense,” Britt declared.
Why It Matters
The Bus Rolling Stock Modernization Act emerges at a critical crossroads for public transit in America. The COVID-19 pandemic underscored the challenges faced by transit systems that serve both major metropolitan areas and underserved rural communities. Buses are a lifeline for millions of Americans, but decades-old regulations and financial constraints have made it harder for transit agencies to upgrade fleets and keep pace with modern transit needs.
The legislation also brings into sharper focus the importance of supporting domestic manufacturing amid ongoing concerns about supply chain disruptions and economic competition. Restoring the health of the U.S. bus manufacturing sector could yield benefits far beyond improving the availability of transit vehicles, boosting jobs, and anchoring production capabilities in the U.S.
Looking Ahead
The reintroduction of the Bus Rolling Stock Modernization Act signals strong bipartisan recognition of the issue. Having already been proposed during the previous Congress, the renewed push reflects lawmakers’ urgency to deliver results for transit systems and workers alike.
If passed, the legislation has the potential to transform how buses are built and deployed across the country, driving down costs for transit agencies and rejuvenating a battered domestic industry. More broadly, it could pave the way for further efforts to modernize outdated regulations that have outlived their utility.
America’s public transit systems rely on buses to connect people, move commerce, and ease strain on infrastructure. This bill presents a chance to ensure that these vehicles continue to be built by American hands and for American communities, keeping the nation moving forward.
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