The main purpose of the Low-No Program is to support the transition of the US transit fleet to the lowest polluting and most energy efficient transit vehicles.

Funds awarded for the Low-No Program will finance the purchase or lease of low or no emission vehicles that use advanced technologies, including related equipment or facilities, for transit revenue operations. Projects may include costs incidental to the acquisition of buses or to the construction of facilities, such as the costs of related workforce development and training activities, and project development. FTA may award additional funding that is made available to the program prior to the announcement of project selections.

FTA also announced the availability of approximately $211 million of Fiscal Year (FY) 2016 funds for the Section 5339(b) Grants for Buses and Bus Facilities Competitive Grant Program (Bus Program). Funds awarded for the Bus Program will finance capital projects to replace, rehabilitate, purchase or lease buses and related equipment and to rehabilitate, purchase, construct or lease bus-related facilities, including programs of bus and bus-related projects for subrecipients that are public agencies, private companies engaged in public transportation, or private non-profit organizations.