Some of the information is hard to find, but it looks like it was $2M from a larger ($27M) federal Flexible Funds grant, funds from which were restricted to what's on this list:

http://www.fhwa.dot.gov/hep/guidance/superseded/bkepedtble.cfm

According to this (http://blog.oregonlive.com/commuting/2011/12/portlands_bike-sharing_proposa.html) other projects funded from this specific $27M pool included (among others):

$4.2M for sidewalks, buffered bike lanes and improved pedestrian crossings in the area south of Interstate 84, east of I-205 and north of Foster Road in Portland
$3.25M for pedestrian and bicycle crossing improvements at three Foster Road intersections between Southeast 63rd and 84th avenues.
$3.4M for transit and bike connections in East Portland.

So...Biketown got $2M.  Poor kids got at least $10.85M from the same grant.  Not sure how to categorize the rest ($5.1M Sherwood, $2.9M Milwaukie, $2.4M St. John's,  $790K Clackamas).