Rural Transit Solutions Fund: Overview

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The application intake for the Capital Projects stream closed on April 7, 2022.

The application intake for the Planning and Design Projects stream closed on October 7, 2021.

The Rural Transit Solutions Fund seeks to help Canadians living in rural and remote areas get around their communities more easily day-to-day and connect with nearby communities.

People living in rural, remote, Northern and Indigenous communities often depend on private vehicles for transportation and more often than not lack access to transit options. Additionally, people without access to private vehicles or who are unable to drive are left isolated from essential services or are unable to travel with ease within their community or visit nearby communities.

The Rural Transit Solutions Fund is the first federal fund to target the development of transit solutions in rural and remote communities. It is making $250 million in federal funding available over 5 years, beginning in 2021, to support the development of locally-driven transit solutions that will help people living in rural communities get to work, school, appointments, and visit loved ones.

From on-demand services, to publicly-owned, ride shares, and volunteer community car-pooling, funding will help rural, remote, Northern and Indigenous communities and eligible organizations across Canada develop and offer new public transit options to their residents.

Eligible applicants can seek grants of up to $50,000 in support of planning and design projects; up to $3 million to help cover capital costs (e.g. purchase of a vehicle or digital platforms); and up to $5 million to support zero-emission transit solutions (e.g. for the purchase of a zero-emission vehicle(s)).

The Rural Transit Solutions Fund also supports reconciliation by improving the safety of Indigenous women, girls and two-spirited individuals who live in rural and remote areas. A minimum of 10% of the total $250 million funding envelope for Rural Transit Solutions Fund will be allocated to projects that benefit Indigenous populations and communities.