The Multimodal Transportation Fund (MTF) is a grant program administered by the Pennsylvania Department of Community and Economic Development (DCED) under the direction of the Commonwealth Financing Authority (CFA). This fund was established to encourage economic development and ensure a safe and reliable transportation system for Pennsylvania residents. The program is designed to provide financial assistance to municipalities, councils of governments, businesses, economic development organizations, public transportation agencies, and ports to improve transportation-related infrastructure that enhances communities, improves pedestrian safety, and revitalizes transit systems.

Eligible applicants include municipalities, councils of governments, businesses (including non-profits), economic development organizations, public transportation agencies, and ports that own and maintain transportation infrastructure. Eligible projects include those that coordinate local land use with transportation assets to improve connectivity, safety, and economic development. These projects may include intercity bus and rail service improvements, bus stops, transportation centers, park and ride facilities, rail freight sidings, sidewalk safety improvements, bicycle lanes, and transit-oriented development projects. Additional projects may focus on improving connectivity or utilization of existing transportation assets, such as rail freight, airport facilities, and port infrastructure.

Applicants must provide at least a 30% local funding match, which can be in cash or cash-equivalent contributions, such as the appraised value of real estate necessary for project completion. However, some municipalities may qualify for a waiver of this match requirement under specific fiscal codes, which is set to expire on December 31, 2025. The program does not fund certain costs such as parking garages not associated with transit expansion, security cameras, application preparation fees, lobbying expenses, or refinancing of debt. Eligible costs include land acquisition, construction activities, environmental studies, and administrative costs (capped at 2% of the grant amount).

Grants are available for projects with a minimum total eligible cost of $100,000, and the maximum grant request per project is capped at $3 million. Applications must demonstrate financial feasibility, technical feasibility, and readiness for implementation. Projects are evaluated based on criteria including economic impact, alignment with local and regional planning, public safety benefits, job creation, and overall project feasibility.

Applications must be submitted online through the DCED's Electronic Single Application for Assistance portal, with required supporting documents. The application period runs annually from March 1 to July 31. There is a $100 non-refundable application fee. Following application review, approved applicants will receive a grant agreement, which must be signed and returned within 45 days. Grant funds are disbursed in intervals of at least 30 days upon certification of expenses by a licensed Pennsylvania engineer.

For further inquiries, applicants may contact the Pennsylvania Department of Community and Economic Development, Center for Business Financing – Grants Office, located in Harrisburg, PA. The program office can be reached by phone at (717) 787-6245 or via email at ra-dcedcbf@pa.gov.