To improve, initiate, or continue public transportation service in nonurbanized areas (rural areas and small cities under 50,000 in population) and to provide technical assistance for rural transportation providers. The Section 5311 program supports both the maintenance of existing public transportation services and the expansion of those services through the following program goals: enhancing access in rural areas to health care, shopping, education, employment, public services, and recreation; assisting in the maintenance, development, improvement, and use of public transportation systems in rural areas; encouraging and facilitating the most efficient use of all transportation funds used to provide passenger transportation in rural areas through the coordination of programs and services; providing financial assistance to help carry out national goals related to mobility for all, including seniors, individuals with disabilities, and low-income individuals; increasing availability of transportation options through investments in intercity bus services; assisting in the development and support of intercity bus transportation; encouraging mobility management, employment-related transportation alternatives, joint development practices, and transit-oriented development; and providing for the participation of private transportation providers in rural public transportation. The Public Transportation on Indian Reservations Program is a set-aside from the Formula Grants for Rural Areas program that consists of both a formula and competitive grant program for federally recognized Indian tribes or Alaska Native villages, groups or communities in rural areas.

Eligible uses include: Planning, Capital, Operating Assistance.