PolicyBrief
S. 3284
119th CongressDec 1st 2025
Streamline Transit Projects Act
IN COMMITTEE

This act allows large transit agencies to assume federal environmental review responsibilities for routine projects to streamline project delivery.

Mike Lee
R

Mike Lee

Senator

UT

LEGISLATION

Big City Transit Agencies Could Soon Fast-Track Projects, Bypassing Federal Environmental Review

The Streamline Transit Projects Act is trying to solve a common complaint in infrastructure development: things take too long. Specifically, this bill gives large, qualified transit agencies the power to take over the federal government’s role in environmental review for routine projects, potentially speeding up everything from bus lane additions to station upgrades.

The Environmental Review Shortcut

Right now, when a transit agency wants to build something using federal funds, they often have to go through the National Environmental Policy Act (NEPA) review process. This involves determining if the project needs a full-blown Environmental Impact Statement (EIS) or a less intensive Environmental Assessment (EA). This bill creates a way for certain agencies to decide for themselves if a project qualifies as a “categorical exclusion”—a designation for projects that typically have no significant environmental impact. Think of it as getting pre-approved for a small loan instead of having to file a full financial disclosure.

Who qualifies? Any transit agency in an urban area with over 200,000 people, provided they can prove to the Secretary of Transportation that they have the legal, technical, and financial chops to handle the responsibility. If they qualify, they sign a Memorandum of Understanding (MOU) with the feds, and boom—they become the ones calling the shots on these environmental determinations.

Local Control, Local Liability

This shift of power has a major catch: the agency becomes solely responsible and liable for compliance with all the environmental laws they assume. If they mess up an environmental determination and get sued, the local transit agency is on the hook, not the federal government. For taxpayers and transit riders, this is a double-edged sword. On one hand, projects could move faster, potentially delivering better service sooner. On the other hand, if the agency makes a costly mistake, it’s local money—likely fare revenue or local taxes—that pays the legal bills and fines. The bill even explicitly allows agencies to use their federal transit funds to pay for attorney’s fees related to these projects.

The Tribal Consultation Gap

While the bill aims to hand over much of the environmental review authority, it makes one critical exception: the agency cannot assume responsibility for government-to-government consultation with Indian Tribes. This means that for any project that requires tribal consultation, the federal government still has to step in and handle that specific part of the process, even if the local agency handles everything else. This carve-out is a significant detail. It means that while federal oversight is reduced across the board, the responsibility for ensuring tribal voices are heard remains with the DOT. However, by delegating all other environmental compliance to the local agency, it creates a fragmented review process, which could potentially complicate coordination and weaken overall environmental protection efforts.

What This Means for Your Commute

If you live in a large metro area, this bill could be a game-changer for project delivery speed. Imagine your local transit authority wants to quickly add bus rapid transit lanes or build a new maintenance facility. Under the current system, the review process can add months or even years. Under this new system, if your agency qualifies, they could potentially cut that timeline down significantly. The trade-off is relying on the local agency’s internal expertise and diligence, rather than full federal oversight, to ensure environmental safeguards aren't skipped in the rush to build. This move essentially trades some federal checks and balances for local efficiency and speed.