This synthesis will be of interest to transit practitioners and transportation professionals, including technical and research staff, as well as those working with them, with regard to the use of performance measures for the allocation of financial assistance to local transit agencies. The synthesis explores current perspectives, practices, and experiences. It focuses primarily on the extent to which traditional measures of transit performance such as internal measures of economic efficiency, service effectiveness, and productivity are used in allocating funds to transit. The report summarizes the experiences of a variety of transit agencies. In addition, it sought to capture key perspectives of transit and transportation professionals on the relationship between system performance and funding decisions and to identify barriers to more extensive use of performance measures in the allocation of funds for public transportation.