The bill addresses the financial operations and funding mechanisms of the Franklin Regional Transit Authority (FRTA), which is governed by Massachusetts General Laws. It establishes that local assessments to member municipalities can increase by no more than 2.5% annually, alongside their share of any new services. The FRTA has maintained a fare-free policy since the COVID-19 pandemic began and has access to federal pandemic funds through fiscal year 2029. The financial report indicates that the Authority anticipates sufficient funding from State Contract Assistance and Federal 5311 funds for fiscal year 2026, along with other federal assistance, including the Federal CARES Act.

Additionally, the bill outlines regulations regarding the management of the Authority's deposits, investments, and liabilities, specifying that deposits in any one financial institution must be collateralized if they exceed certain levels. It details allowable investments, including U.S. Government obligations, and addresses custodial credit risk. The bill also provides updates on the Authority's pension plan, including required contributions and actuarial assumptions, and emphasizes the importance of maintaining a reserve for extraordinary expenses. Furthermore, it includes financial metrics such as total operating expenses and the net cost of service for the fiscal year ending June 30, 2025, highlighting the Authority's reliance on federal and state funding as a significant revenue source.