Because communities were unable to take advantage of federal financial aid for transit, states provided part or all of the matching funds required to obtain federal aid. Some states, in addition, also aided local communities. Another major problem is the lack of skilled management staff. Many state governments are in a position to give needed management assistance to public transportation systems in preparing grant applications, aiding with documentation, determining appropriate federal officials to contact for advice, and providing examples of successful grant applications. The state can establish an information clearinghouse to share information about federal programs, maintenance techniques, labor agreements, and other relevant items. Other areas of possible state assistance include management performance audits, handbooks, personnel recruitment and training, equipment selection and purchase, insurance, and marketing. A strong state management and technical assistance program bill contribute to improved local transit and enable the achievement of state transit goals and objectives. This report discusses the Urban Mass Transportation Act of 1964, various types of state financial aid programs, and management assistance (goals, needs of local transit, the state role, state assistance programs, and tables of state programs).  This report is out of print and can be found at Order URL: https://onlinepubs.trb.org/onlinepubs/out_of_print.htm