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Canada Public Transit Fund - Canada

Canada Public Transit Fund

Last Update: September 25, 2025
Canada
Supports long-term public transit and active transportation infrastructure development

At a glance

Eligible Funding
  • No Condition
Timeline
  • Receipt of requests is now closed
Financing Type
Grant and Funding
Eligible Industries
  • Construction
  • Transportation and warehousing
  • Public administration
Program status
Closed

Overview

The Canada Public Transit Fund provides up to $3 billion per year starting in 2026-27 to support the development and improvement of public transit and active transportation infrastructure across communities in Canada. The program aims to increase transit usage, support housing affordability, mitigate climate change, and funds activities including system expansion, improvements, and zero-emission solutions.

Financing terms and conditions

  • The Canada Public Transit Fund will provide $3 billion per year for public transit and active transportation infrastructure starting in 2026-27.

Activities funded

  • Planning and construction of public transit infrastructure in urban, rural, remote, northern, and Indigenous communities.
  • Expansion and improvement of existing public transit and active transportation systems.
  • Development of transit-oriented communities to increase housing supply near transit.
  • Implementation of zero emission transportation solutions.
  • Support for rural transit projects and active transportation networks, such as bicycle lanes and walking trails.
Examples of admissible projects:
$ 9,500,000
Upgrading a city bus fleet to electric zero-emission vehicles
$ 2,400,000
Constructing new cycling and pedestrian pathways along a transit corridor
$ 8,100,000
Developing mixed-income transit-oriented housing near a light rail stop
$ 2,950,000
Restoring and digitally modernizing a historic downtown transit terminal
$ 13,800,000
Extending a regional commuter rail line to increase ridership and access
$ 1,160,000
Implementing rural demand-responsive transit with electric minivans

Eligibility

  • The applicant must be a municipality, transit authority, or an eligible group responsible for public transit or active transportation infrastructure.
  • The proposed project must support public transit or active transportation infrastructure within a Canadian community.
  • Applicants seeking funding must take actions to directly unlock housing supply in areas where it is most needed, as outlined in the program guide for each stream.
  • Applicants may seek funding through multiple streams (Metro-Region Agreements, Baseline Funding, or Targeted Funding), with specific limitations for Metro-Region Agreements.

Who is eligible?

  • Municipalities
  • Transit authorities
  • Indigenous communities
  • Other groups involved in public transit and active transportation projects

Eligible expenses

  • Costs related to the construction and expansion of public transport infrastructures.
  • Expenditures for the maintenance and restoration of existing public transport networks.
  • Investments in active transport solutions (bike paths, walking trails, etc.).
  • Purchases of equipment and systems promoting zero-emission solutions in collective transport.

Eligible geographic areas

  • All communities across Canada, including large metropolitan areas, mid-size and smaller communities, rural, remote, northern, and Indigenous communities.

How to apply

1

Review eligibility and program streams

  • Review program details and eligibility criteria
  • Identify relevant funding streams such as Metro-Region Agreements, Baseline Funding, or Targeted Funding
  • Examine requirements for housing supply actions if applicable
2

Prepare application documents

  • Gather necessary information and supporting documents for the intended funding stream
  • Consider previous applications under related programs (e.g., Active Transportation Fund)
  • Ensure all local partners and stakeholders are included as required
3

Submit application

  • Complete and submit the appropriate application forms for the selected stream
  • Attach all required documentation and supporting evidence
  • Submit application within the specified program deadlines
4

Await funding decision

  • Wait for federal review and notification of funding decisions
  • Monitor communications for updates or requests for supplementary information
  • Be prepared to consider future opportunities if application is not successful

Additional information

  • Communities applying for funding must take actions to unlock housing supply near public transit as part of the application requirements.
  • The Canada Public Transit Fund was developed based on extensive consultations, including roundtables and feedback from various stakeholders in 2022.
  • Applicants can seek funding through multiple streams, but regions in a Metro-Region Agreement cannot participate in another Metro-Region Agreement.
  • Funding continues to support projects previously approved under other transportation-related government programs.
Apply to this program

Frequently Asked Questions about the Canada Public Transit Fund Program

Here are answers to the most common questions about the Canada Public Transit Fund. This section explains what the program is, how much funding is available, eligibility requirements, application deadlines, and other important details to help you determine if this grant is right for your business.

What is the Canada Public Transit Fund?

How much funding can be received?

What expenses are eligible under Canada Public Transit Fund?

What is the deadline to apply?

Is the Canada Public Transit Fund a grant, loan, or tax credit?

Who are the financial supporters of the Canada Public Transit Fund?

Who is eligible for the Canada Public Transit Fund program?

Who can I contact for more information about the Canada Public Transit Fund?

Where is the Canada Public Transit Fund available?

Are Indigenous Peoples eligible for the Canada Public Transit Fund program?

Apply to this program

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