In allocating highway funds, the Board may use such funds for highway aid to mass transit facilities when such use will best accomplish the purpose of serving the transportation needs of the greatest number of people. Highway aid to mass transit may be accomplished by (i) using highway funds to aid in paying transit operating costs borne by localities; (ii) acquiring or constructing transit-related highway facilities such as exclusive bus lanes; bus turn-outs; bus passenger shelters; fringe parking facilities, including necessary access roads, to promote transit use and relieve highway congestion; and off-street parking facilities to permit exclusive use of curb lane by buses; or (iii) permitting mass transit facilities to occupy highway median strips without the reimbursement required by § 33.2-1015, all to the end that highway traffic may be relieved through the development of more efficient mass transit. Expenditures pursuant to this section shall be made from funds available for the construction of state highways within the highway construction district in which the transit facilities are wholly or partly located. The Board may contract with the governing bodies constituting a transportation district, or in its discretion, other local governing bodies, for the accomplishment of a project to which funds have been allocated under the provisions of this section. Whenever such projects are being financed by advance annual allocation of funds, the Board may make such funds available to the contracting governing bodies in annual increments that may be used for other transit purposes until needed for the project for which allocated; however, the Board may require bond or other satisfactory assurance of final completion of the contract. The Board may also, at the request of local governing bodies, use funds allocated for urban highways or secondary highways within their jurisdiction to accomplish the purposes of this section. The General Assembly may, through the general appropriation act, provide for (i) limits on the amounts or purposes of allocations made under this section and (ii) the transfer of allocations from one eligible recipient to another.