The route would connect the University of Houston and Texas Southern University to the Westchase Park & Ride, and buses would travel in their own lanes.
According to ABC13's news partners at the Houston Chronicle, the project would have cost approximately $2.2 billion, which was planned to come from federal funds.
METRO said the financial estimates from 2019 were "aspirational," adding that COVID-19 reduced ridership and increased costs. Officials said these variables were not calculated when the project was first proposed.
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The transportation agency said the project's cost would impact other plans and day-to-day operations.
According to METRO, it would limit public safety, bus frequency, bus and train cleanliness, improved bus shelters, and enhanced sidewalks and roadways due to the federal grant's inability to cover the estimated $1.5 billion liability.
"METRO's decision to not proceed with the federal grant process at this time is based upon the need to prioritize improved customer and community essential services and will better position the Authority to increase overall system ridership," METRO Chair Elizabeth González Brock said.
Former Mayor Sylvester Turner criticized METRO's decision, calling it a "major setback to public transit for Houston" and a "huge blow."
The agency said it would move forward with other developmental plans, such as the Gulfton Transit and Revitalization Project.
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