To amend the Robert T. Stafford Disaster Relief and Emergency Assistance Act to provide disaster assistance for costs of operation of a transit system during a major disaster.

Amends the Robert J. Stafford Disaster Relief and Emergency Assistance Act to authorize the President to make contributions to a State or local government for the costs of operating a transit system during a major disaster. Authorizes the President to make loans to local governments suffering losses associated with the operation of such systems as a result of a major disaster.