YCIPTA returns nearly $12 million in federal transit funds

Yuma County Intergovernmental Public Transportation Authority, which operates YCAT, has returned almost $12 million in federal operating grants over the past four years because it could not supply the required local dollar-for-dollar match. The inability to secure matching funds has left the agency unable to fully use available federal assistance, constraining service expansion and maintenance across the county.

Federal operating grants generally require an equal local match. YCIPTA Director Shelly Kreger said annual operating costs are about $6.6 million and that the agency needs roughly $3 million in local match to fully leverage federal funds. Local contributions budgeted for fiscal 2026 total about $1.1 million, an increase of roughly $30,000 from the prior year but far short of the level needed to reverse the funding shortfall.

The agency’s most productive corridor, the Yellow Route connecting San Luis to Yuma, highlights the mismatch between demand and funding. The Yellow Route is YCIPTA’s highest-performing service, yet meeting match requirements for that route alone would require approximately $1.6 million in local funding. That sum approaches the entirety of local contributions and is difficult to secure as partner jurisdictions face competing budget pressures.

For riders this gap translates into missed opportunities: potential frequency increases, extended hours, or route expansions remain on hold. Transit-dependent residents, including workers who cross the border, seniors, and households without reliable vehicle access, are most likely to feel the effects. Where federal dollars could have amplified local investments, the practical result has been service stagnation.

Local governments that partner with YCIPTA face tight budgets and competing priorities, which officials say limit their ability to increase contributions. Without stronger local partnerships or new revenue streams, YCIPTA’s capacity to respond to ridership demand or to scale up successful services like the Yellow Route is constrained. Returning federal funds also carries a policy cost: federal grants awarded and relinquished cannot be used for other local needs, and repeated returns can weaken leverage for future discretionary grants.

The situation raises broader questions for Yuma County governance about how to fund essential transit services that support the workforce and connect communities. Options such as dedicated transit levies, intergovernmental funding agreements, or reallocating existing local revenues would require political will and voter support. Absent those choices, the agency will continue to face a structural funding gap that limits service improvements.

The takeaway? If you rely on YCAT or want a more connected Yuma County, ask your city and county leaders how they plan to meet match requirements or to create stable local revenue for transit. Local decisions now will determine whether federal dollars come back to Yuma County or vanish again.