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CONTENTS INTRODUCTION .........................................................................................................................1 PROJECT OBJECTIVES................................................................................................................4 HOW FUNDING FOR RURAL PASSENGER TRANSPORTATION HAS GROWN WITH SAFETEA-LU.....................................................................................................................5 EFFECT OF INCREASED FUNDING ON RURAL PUBLIC AND INTERCITY BUS......22 IMPACT ON LOCAL COMMUNITIES ..................................................................................35 BARRIERS TO DEVELOPMENT OF NEW OR EXPANDED SERVICES ..........................53 Appendix A: Survey Form Appendix B: Potential State Information Sources Indicative of SAFETEA-LU Funded Activities in Support of Increased Rural Transit Services Appendix C: Obligation for State Programs (2004-2007) Appendix D: JARC/NF Designated Recipients for Urbanized Areas with Populations of 50,000 to 199,000 and for Non-urbanized Areas Appendix E: 2008 Examples