Gov. Dan McKee announced Monday afternoon his administration will give the cash-strapped Rhode Island Public Transit Authority (RIPTA) over half a million dollars, but it won’t go toward the agency’s operational costs.
Instead, $510,000 has been earmarked for three projects meant to help the state’s public bus agency meet Rhode Island’s lofty climate goals.
The funding is part of a larger $1.5 million fiscal 2026 spending plan approved by the Executive Climate Change Coordinating Council (EC4) at its meeting Monday afternoon.
“The approval of this funding represents continued investment in Rhode Island’s progress toward a climate-resilient future,” McKee said.
And crucial to that task, the governor said, is in exploring lower cost transit options as outlined in the “budget framework” he reached with the agency to avoid bus driver layoffs under a now abandoned plan originally proposed July 24 to address a $10 million budget deficit.
RIPTA was considering cutting or reducing 58 routes but instead will reduce service by cutting some buses, reducing schedule spans, decreasing frequency, and getting rid of segments on 46 different lines.
In return, McKee is filling RIPTA’s deficit with $3 million in federal Congestion Mitigation and Air Quality funds the agency will have to pay back later.
The $510,000 is for three specific programs: on-demand transit services, a “vanpool” subsidy program, and a new effort to promote public transportation to visitors traveling to Rhode Island.
The bulk of RIPTA’s share of the financial package — $440,000 — will go toward trips that can be booked in advance in Newport, Middletown, Narragansett, South Kingstown and Woonsocket.
Another $15,000 is earmarked toward continuing RIPTA’s “vanpool” services, which allows a group of commuters to lease a shared vehicle through Enterprise Rent-A-Car and use it for daily commutes in areas without robust bus service. Costs to use a van vary based on mileage, but start around $50 a month, according to RIPTA.
In return, the statewide bus agency provides commuters with a $100 subsidy. The EC4’s spending plan adds an additional $200 monthly subsidy for new vanpool riders.
The remaining $55,000 for RIPTA will be used to promote transit to offer roughly 4,000 complimentary bus passes to travelers who fly into Rhode Island T.F. Green International Airport and stay in nearby hotels.
Funding is not allowed to be used toward RIPTA operations, Rhode Island Department of Environmental Management spokesperson Kim Keough confirmed in a phone call Monday afternoon. She said EC4 funding is only eligible for the three earmarked projects and must be spent within a year.
Funds are expected to be disbursed in November or December, Keough said in a text message.
RIPTA CEO Christopher Durand thanked the McKee administration for the $500,000.
“This funding will allow RIPTA to not only improve mobility for residents, workers, and tourists, but also help grow ridership and advance Rhode Island’s long-term climate and transportation goals,” he said in a statement.
This story was originally published by the Rhode Island Current.