# FTA Fiscal Year 2007 Apportionments and Allocations and Program Information > Briefs, arguments, decisions, and more. URL: https://www.frixlaw.com/law-library/documents/fr%3A07-1290 ## Record - **Collection:** Federal Register - **Document type:** Notice - **Published:** March 23, 2007 - **Citation:** 72 FR 13872 ## Text DEPARTMENT OF TRANSPORTATION Federal Transit Administration FTA Fiscal Year 2007 Apportionments and Allocations and Program Information AGENCY: Federal Transit Administration (FTA), DOT. ACTION: Notice. SUMMARY: The “Revised Continuing Appropriations Resolution, 2007,” (Public Law 110-5), signed into law by President Bush on February 15, 2007, makes funds available for all of the surface transportation programs of the Department of Transportation (DOT) for the Fiscal Year (FY) ending September 30, 2007. This notice provides information on the FY 2007 funding available for the Federal Transit Administration (FTA) assistance programs, and provides program guidance and requirements, and information on several program issues important in the current year. The notice also includes tables that show unobligated carryover funding available in FY 2007 under certain discretionary programs from prior years. Finally, this notice also references separate Notices of Funding Availability (NOFA) published concurrently for discretionary opportunities under the Bus and Bus Facilities Program and the Alternatives Analysis Program. FOR FURTHER INFORMATION CONTACT: For general information about this notice contact Mary Martha Churchman, Director, Office of Transit Programs, at (202) 366-2053. Please contact the appropriate FTA regional office for any specific requests for information or technical assistance. The Appendix at the end of this notice includes contact information for FTA regional offices. An FTA headquarters contact for each major program area is also included in the discussion of that program in the text of the notice. SUPPLEMENTARY INFORMATION: Table of Contents I. Overview II. FY 2007 Funding for FTA Programs A. Funding Based on FY 2007 Continuing Appropriations Resolution, 2007, and SAFETEA-LU Authorization B. Program Funds Set-aside for Project Management Oversight III. FY 2007 FTA Key Program Initiatives and Changes A. SAFETEA-LU Implementation B. Planning Emphasis Areas C. Earmarks and Competitive Grant Opportunities D. Changes in Flexible Funding Procedures E. National Transit Database (NTD) Strike Policy IV. FTA Programs A. Metropolitan Planning Program (49 U.S.C. 5303) B. Statewide Planning and Research Program (49 U.S.C. 5304) C. Urbanized Area Formula Program (49 U.S.C. 5307) D. Clean Fuels Formula Program (49 U.S.C. 5308) E. Capital Investment Program (49 U.S.C. 5309)—Fixed Guideway Modernization F. Capital Investment Program (49 U.S.C. 5309)—Bus and Bus-Related Facilities G. Capital Investment Program (49 U.S.C. 5309)—New Starts H. Special Needs of Elderly Individuals and Individuals with Disabilities Program (49 U.S.C. 5310) I. Nonurbanized Area Formula Program (49 U.S.C. 5311) J. Rural Transportation Assistance Program (49 U.S.C. 5311(b)(3)) K. Public Transportation on Indian Reservation Program (49 U.S.C. 5311(c)) L. National Research Program (49 U.S.C. 5314) M. Job Access and Reverse Commute Program (49 U.S.C. 5316) N. New Freedom Program (49 U.S.C. 5317) O. Alternative Transportation in Parks and Public Lands (49 U.S.C. 5320) P. Alternatives Analysis Program (49 U.S.C. 5339) Q. Growing States and High Density States Formula (49 U.S.C. 5340) R. Over-the-Road Bus Accessibility Program (49 U.S.C. 5310 note) V. FTA Policy and Procedures for FY 2007 Grants Requirements A. Automatic Pre-Award Authority to Incur Project Costs B. Letter of No Prejudice (LONP) Policy C. FTA FY 2007 Annual List of Certifications and Assurances D. FHWA Funds Used for Transit Purposes E. Grant Application Procedures F. Payments G. Oversight H. Technical Assistance Tables 1. FTA FY 2007 Appropriations and Apportionments for Grant Programs 2. FTA FY 2007 Metropolitan Transportation Planning Program and Statewide Transportation Planning Program Apportionments 3. FTA FY 2007 Section 5307 and Section 5340 Urbanized Area Apportionments 4. FTA FY 2007 Section 5307 Apportionment Formula 5. FTA FY 2007 Formula Programs Apportionments Data Unit Values 6. FTA FY 2007 Small Transit Intensive Cities Performance Data and Apportionments 7. 2000 Census Urbanized Areas 200,000 or More in Population Eligible to Use Section 5307 Funds for Operating Assistance 8. FTA FY 2007 Section 5308 Clean Fuels Grant Program Allocations 9. FTA Prior Year Unobligated Section 5308 Clean Fuels Allocations 10. FTA FY 2007 Section 5309 Fixed Guideway Modernization Apportionments 11. FTA FY 2007 Fixed Guideway Modernization Program Apportionment Formula 12. FTA FY 2007 Section 5309 Bus and Bus-Related Allocations 13. FTA Prior Year Unobligated Section 5309 Bus and Bus-Related Facilities Allocations 14. FTA FY 2007 Section 5309 New Starts Allocations 15. FTA Prior Year Unobligated Section 5309 New Starts Allocations 16. FTA FY 2007 Special Needs for Elderly Individuals and Individuals With Disabilities Apportionments 17. FTA FY 2007 Section 5311 and Section 5340 Nonurbanized Area Formula Apportionments, and Rural Transportation Assistance Program (RTAP) Allocations 18. FTA FY 2007 National Research Program Allocations 19. FTA FY 2007 Section 5316 Job Access and Reverse Commute (JARC) Apportionments 20. FTA Prior Year Unobligated Jarc Allocations 21. FTA FY 2007 Section 5317 New Freedom Apportionments 22. FTA FY 2007 Section 5339 Alternative Analysis Allocations 23. FTA Prior Year Unobligated Section 5339 Alternative Analysis Alliocations Appendix I. Overview This document apportions or allocates the FY 2007 funds available under the Continuing Appropriations Resolution, 2007, among potential program recipients according to statutory formulas in 49 U.S.C. Chapter 53 or congressional designations in Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (SAFETEA-LU). For each FTA program included, we have provided relevant information on the FY 2007 funding currently available, requirements, period of availability, and other related program information and highlights, as appropriate. A separate section of the document provides information on requirements and guidance that are applicable to all FTA programs. II. FY 2007 Funding for FTA Programs A. Funding Based on FY 2007 Continuing Appropriations Resolution, 2007, and SAFETEA-LU Authorization The Revised Continuing Appropriations Resolution, 2007, (Pub. L. 110-5, February 15, 2007); hereafter called the Continuing Appropriations Resolution, 2007, provides general funds and obligation authority for trust funds that total $8.97 billion for FTA programs, through September 30, 2007. Table 1 of this document shows the funding for the FTA programs, as provided for in the Continuing Appropriations Resolution, 2007, and the reallocation of any prior year funds to the program. All the Formula Programs and the Section 5309 Bus and Bus Facilities Program are entirely funded from the Mass Transit Account of the Highway Trust Fund in FY 2007. The Section 5309 New Starts program, the Research program, and FTA administrative expenses are funded by appropriations from the General Fund of the Treasury. Congress has enacted a full year Continuing Appropriations Resolution, 2007, in lieu of a new Appropriations Act for FY 2007. This Notice includes tables of apportionments and allocations for FTA programs. Allocations based on SAFETEA-LU are included for some discretionary programs. In addition, FTA will issue separate Notices of Funding Availability to solicit applications for discretionary funds not allocated in SAFETEA-LU. B. Program Funds Set-Aside for Project Management Oversight FTA uses a percentage of funds appropriated to certain FTA programs for program oversight activities conducted by the agency. The funds are used to provide necessary oversight activities, including oversight of the construction of any major project under these statutory programs; to conduct safety and security, civil rights, procurement, management and financial reviews and audits; and to provide technical assistance to correct deficiencies identified in compliance reviews and audits. Section 5327 of title 49, U.S.C., 5327 authorizes the takedown of funds from FTA programs for project management oversight. Section 5327 provides oversight takedowns at the following levels: 0.5 percent of Planning funds, 0.75 percent of Urbanized Area Formula funds, 1 percent of Capital Investment funds, 0.5 percent of Special Needs of Elderly Individuals and Individuals with Disabilities formula funds, 0.5 percent of Nonurbanized Area Formula funds, and 0.5 percent of Alternative Transportation in the Parks and Public Lands funds. III. FY 2007 FTA Program Initiatives and Changes A. SAFETEA-LU Implementation. In FY 2007, FTA continues to focus on implementation of SAFETEA-LU through issuance of new and revised program guidance and regulations. As any documents that include binding obligations on grantees are issued, FTA makes them available for public comment prior to finalizing. We encourage grantees to regularly check the FTA Web site at http://www.fta.gov and the DOT docket management Web site at http://dms.dot.gov for new issuances and to comment to the docket established for each document on relevant issues. B. Planning Emphasis Areas FTA and the Federal Highway Administration (FHWA) are not issuing new planning emphasis areas for FY 2007, and are rescinding planning emphasis areas from prior years, in recognition of the priority that planning organizations and grantees must pay to implementing the new and changed provisions of SAFETEA-LU. C. Earmarks and Competitive Grant Opportunities The Continuing Appropriations Resolution, 2007, did not include any new earmarks under any FTA program. However, SAFETEA-LU contained statutory earmarks under several programs, and they are listed in the tables in this Notice. FTA will honor those statutory earmarks. This Notice also includes tables of unobligated balances for earmarks from prior years under the Bus and Bus Facilities Program, the New Starts Program, the Clean Fuels Program, and the Alternatives Analysis Program. FTA will continue to honor those earmarks. Because there are no new appropriations earmarks in FY 2007, there are unallocated balances available in several programs to be administered at FTA's discretion. FTA has allocated most of the discretionary New Starts funds to the projects listed in the President's Budget for FY 2007. FTA is soliciting applications for the unallocated balance of the Bus and Bus Facilities program through two Notices of Funding Availability, one published in a separate Part of today's Federal Register to address priorities identified by FTA, and the other, published in another Part of today's Federal Register , to support the Department's Congestion Initiative. FTA is also issuing a Notice of Funding Availability to solicit applications for the Alternatives Analysis program to advance the state of the art of planning for New Starts projects, included in yet another Part of today's Federal Register . D. Changes in Flexible Funding Procedures FHWA has changed the accounting procedures for flexible funds, high priority projects and transportation improvement projects transfers to FTA. As a result, FTA will no longer be able to combine these transferred funds in a single grant with FTA funds in the program to which they are transferred. FTA is establishing new codes and procedures for grants involving funds transferred from FHWA. See Section V D of this Notice for more information. E. National Transit Database (NTD) Strike Policy It has been FTA's policy not to make adjustments to the annual funding apportionment of transit agencies for strikes, labor disputes or work stoppages. FTA has changed this policy. Effective with NTD Report Year (RY) 2005 data, FTA will make “hold harmless” adjustments due to strikes, labor disputes, or work stoppages. An adjustment will be made beginning with the FY 2008 apportionment. NTD RY 2005 data are the actual data used in apportionment of FY 2007 funds. NTD RY 2006 data will be used in the FY 2008 apportionment. If your agency had a valid strike, labor dispute or work stoppage during RY 2005 or RY 2006, please contact the NTD Web site. Instructions for requesting a “hold harmless” adjustment can be found in the 2006 NTD Reporting Manual, http://www.ntdprogram.gov , under publications; see Introduction, page 7. IV. FTA Programs This section of the notice provides available FY 2007 funding and other important program-related information for the three major FTA funding accounts included in the notice (Formula and Bus Grants, Capital Investment Grants, and Research). Of the 17 separate FTA programs contained in this notice that fall under the major program area headings, the funding for ten is apportioned by statutory or administrative formula. Funding for the other seven is allocated on a discretionary or competitive basis. Funding and other important information for each of the 17 programs is presented immediately below. This includes program apportionments or allocations, certain program requirements, length of time FY 2007 funding is available to be committed, and other significant program information pertaining to FY 2007, including the availability of competitive opportunities under several programs. A. Metropolitan Planning Program (49 U.S.C. 5303) Section 5303 authorizes a cooperative, continuous, and comprehensive planning program for transportation investment decision-making at the metropolitan area level. State Departments of Transportation are direct recipients of funds, which are then allocated to Metropolitan Planning Organizations (MPOs) by formula, for planning activities that support the economic vitality of the metropolitan area, especially by enabling global competitiveness, productivity, and efficiency; increasing the safety and security of the transportation system for motorized and non-motorized users; increasing the accessibility and mobility options available to people and for freight; protecting and enhancing the environment, promoting energy conservation, and improving quality of life; enhancing the integration and connectivity of the transportation system, across and between modes, for people and freight; promoting efficient system management and operation; and emphasizing the preservation of the existing transportation system. For more about the Metropolitan Planning Program, contact Candace Noonan, Office of Planning and Environment at (202) 366-1648. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, provides $81,892,800 to the Metropolitan Planning Program (49 U.S.C. 5303). The total amount apportioned for the Metropolitan Planning Program (to States for MPOs' use in urbanized areas (UZAs) is $82,373,861, as shown in the table below, after the deduction for oversight (authorized by 49 U.S.C. Section 5327) and addition of prior year reapportioned funds. Metropolitan Transportation Planning Program Total Appropriation $81,892,800 Oversight Deduction −464,464 Prior Year Funds Added 890,525 Total Apportioned 82,373,861 States' apportionments for this program are displayed in Table 2. 2. Basis for Formula Apportionments As specified in law, 82.72 percent of the amounts authorized for Section 5305 are allocated to the Metropolitan Planning program. FTA allocates Metropolitan Planning funds to the States according to a statutory formula. Eighty percent of the funds are distributed to the States as a basic allocation based on each State's UZA population, based on the most recent Census. The remaining 20 percent is provided to the States as a supplemental allocation based on an FTA administrative formula to address planning needs in the larger, more complex UZAs. The amount published for each State is a combined total of both the basic and supplemental allocation. 3. Program Requirements The State allocates Metropolitan Planning funds to MPOs in UZAs or portions thereof to provide funds for projects included in an annual work program (the Unified Planning Work Program, or UPWP) that includes both highway and transit planning projects. Each State has either reaffirmed or developed, in consultation with their MPOs, a new allocation formula, as a result of the 2000 Census. The State allocation formula may be changed annually, but any change requires approval by the FTA regional office before grant approval. Program guidance for the Metropolitan Planning Program is found in FTA Circular C8100.1B, Program Guidance and Application Instructions for Metropolitan Planning Program Grants, dated October 25, 1996. FTA is in the process of updating this circular to incorporate references to the new and changed planning requirements in sections 5303 and 5305, as amended by SAFETEA-LU and associated rulemaking. 4. Period of Availability The funds apportioned under the Metropolitan Planning program remain available to be obligated by FTA to recipients for four fiscal years—which includes the year of apportionment plus three additional years. Any apportioned funds that remain unobligated at the close of business on September 30, 2010, will revert to FTA for reapportionment under the Metropolitan Planning Program. 5. Other Program or Apportionment Related Information and Highlights a. Planning Emphasis Areas (PEAs). FTA and FHWA are not issuing new PEAs this year, and are rescinding PEAs issued in prior years, in light of the priority given to implementation of SAFETEA-LU planning and program provisions. b. Consolidated Planning Grants. FTA and FHWA planning funds can be consolidated into a single consolidated planning grant (CPG), awarded by either FTA or FHWA. The CPG eliminates the need to monitor individual fund sources, if several have been used, and ensures that the oldest funds will always be used first. Unlike “flex funds,” State planning funds from FHWA will be able to be combined with FTA planning funds in a single grant. Alternatively FTA planning funds can be transferred to FHWA for administration. Under the CPG, States can report metropolitan planning expenditures (to comply with the Single Audit Act) for both FTA and FHWA under the Catalogue of Federal Domestic Assistance number for FTA's Metropolitan Planning Program (20.505). Additionally, for States with an FHWA Metropolitan Planning (PL) fund-matching ratio greater than 80 percent, the State (through FTA) can request a waiver of the 20 percent local share requirement in order that all FTA funds used for metropolitan planning in a CPG can be granted at the higher FHWA rate. For some States, this Federal match rate can exceed 90 percent. States interested in transferring planning funds between FTA and FHWA should contact the FTA regional office or FHWA Division Office for more detailed procedures. For further information on CPGs, contact Candace Noonan, Office of Planning and Environment, FTA, at (202) 366-1648, or Kenneth Petty, Office of Planning and Environment, FHWA, at (202) 366-6654. B. Statewide Planning and Research Program (49 U.S.C. 5304) This program provides financial assistance to States for Statewide planning and other technical assistance activities (including supplementing the technical assistance program provided through the Metropolitan Planning program), planning support for nonurbanized areas, research, development and demonstration projects, fellowships for training in the public transportation field, university research, and human resource development. For more about the Statewide Planning and Research Program contact Candace Noonan, Office of Planning and Environment, at (202) 366-1648. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, provides $17,107,200 to the Statewide Planning and Research Program (49 U.S.C. 5304). The total amount apportioned for the Statewide Planning and Research Program (SPRP) is $17,252,652, as shown in the table below, after the deduction for oversight (authorized by 49 U.S.C. Section 5327) and addition of prior year reapportioned funds. Statewide Transportation Planning Program Total Appropriation $17,107,200 Oversight Deduction −85,536 Prior Year Funds Added 230,988 Total Apportioned 17,252,652 State apportionments for this program are displayed in Table 2. 2. Basis for Apportionment Formula As specified in law, 17.28 percent of the amounts authorized for Section 5305 are allocated to the Statewide Planning and Research program. FTA apportions funds to States by a statutory formula that is based on information received from the latest decennial census, and the State's UZA population as compared to the UZA population of all States. However, a State must receive at least 0.5 percent of the amount apportioned under this program. 3. Requirements Funds are provided to States for statewide planning and research programs. These funds may be used for a variety of purposes such as planning, technical studies and assistance, demonstrations, management training, and cooperative research. In addition, a State may authorize a portion of these funds to be used to supplement Metropolitan Planning funds allocated by the State to its UZAs, as the State deems appropriate. Program guidance for the Statewide Planning and Research program is found in FTA Circular C8200.1, Program Guidance and Application Instructions for State Planning and Research Program Grants, dated December 27, 2001. FTA is in the process of updating this circular to incorporate the new and changed planning requirements in sections 5304 and 5305, as amended by SAFETEA-LU and associated rulemaking. 4. Period of Availability The funds apportioned under the Statewide Planning and Research program remain available to be obligated by FTA to recipients for four fiscal years—which include the year of apportionment plus three additional fiscal years. Any apportioned funds that remain unobligated at the close of business on September 30, 2010, will revert to FTA for reapportionment under the Statewide Planning and Research Program. 5. Other Program or Apportionment Related Information and Highlights The information about Planning Emphasis Areas and CPGs described in Section A. 5, above for the Metropolitan Planning Program (49 U.S.C. 5303), also applies to the Statewide Planning Program. C. Urbanized Area Formula Program (49.U.S.C. 5307) Section 5307 authorizes Federal capital and operating assistance for transit in Urbanized Areas (UZAs). A UZA is an area with a population of 50,000 or more that has been defined and designated as such in the most recent decennial census by the U.S. Census Bureau. The Urbanized Area Formula Program may also be used to support planning activities, as a supplement to that funded under the Metropolitan Planning program described above. Urbanized Areas Formula Program funds used for planning must be shown in the UPWP for MPO(s) with responsibility for that area. Funding is apportioned directly to each UZA with a population of 200,000 or more, and to the State Governors for UZAs with populations between 50,000 and 200,000. Eligible applicants are limited to entities designated as recipients in accordance with 49 U.S.C. 5307(a)(2) and other public entities with the consent of the Designated Recipient. Generally, operating assistance is not an eligible expense for UZAs with populations of 200,000 or more. However, there are several exceptions to this restriction. The exceptions are described in section 2(e) below. For more information about the Urbanized Area Formula Program contact Scott Faulk, Office of Transit Programs, at (202) 366-2053. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, provides $3,606,175,000 to the Urbanized Area Formula Program (49 U.S.C. 5307). The total amount apportioned for the Urbanized Area Formula Program is $3,924,820,789 as shown in the table below, after the deduction for oversight (authorized by 49 U.S.C. 5327) and including prior year reapportioned funds and funds apportioned to UZA's from the appropriation for Section 5340 for Growing States and High Density States. Urbanized Area Formula Program Total Appropriation $3,606,175,000 a Oversight Deduction −27,046,313 Prior Year Funds Added 4,957,616 Section 5340 Funds Added 340,734,486 Total Apportioned 3,924,820,789 a Includes $36,061,750 for one percent set-aside for Small Transit Intensive Cities Formula. Table 3 displays the amounts apportioned under the Urbanized Area Formula Program. 2. Basis for Formula Apportionment FTA apportions Urbanized Area Formula Program funds based on legislative formulas. Different formulas apply to UZAs with populations of 200,000 or more and UZAs with populations less than 200,000. For UZAs 50,000 to 199,999 in population, the formula is based simply on population and population density. For UZAs with populations of 200,000 and more, the formula is based on a combination of bus revenue vehicle miles, bus passenger miles, fixed guideway revenue vehicle miles, and fixed guideway route miles, as well as population and population density. Table 4 includes detailed information about the formulas. To calculate a UZA's FY 2007 apportionment, FTA used population and population density statistics from the 2000 Census and (when applicable) validated mileage and transit service data from transit providers' 2005 National Transit Database (NTD) Report Year. Also, pursuant to 49 U.S.C. 5336(b). FTA used 60 percent of the directional route miles attributable to the Alaska Railroad passenger operations system to calculate the apportionment for the Anchorage, Alaska UZA. We have calculated dollar unit values for the formula factors used in the Urbanized Area Formula Program apportionment calculations. These values represent the amount of money each unit of a factor is worth in this year's apportionment. The unit values change each year, based on all of the data used to calculate the apportionments. The dollar unit values for FY 2007 are displayed in Table 5. To replicate the basic formula component of a UZA's apportionment, multiply the dollar unit value by the appropriate formula factor (i.e., the population, population x population density), and (when applicable, data from the NTD (i.e., route miles, vehicle revenue miles, passenger miles, and operating cost). In FY 2007, one percent of funds appropriated for Section 5307, $36,061,750, is set aside for Small Transit Intensive Cities (STIC). FTA apportions these funds to UZAs under 200,000 in population that operate at a level of service equal to or above the industry average level of service for all UZAs with a population of at least 200,000, but not more than 999,999, in one or more of six performance categories: passenger miles traveled per vehicle revenue mile, passenger miles traveled per vehicle revenue hour, vehicle revenue miles per capita, vehicle revenue hours per capita, passenger miles traveled per capita, and passengers per capita. The data for these categories for the purpose of FY 2007 apportionments comes from the NTD reports for the 2005 reporting year. This data is used to determine a UZA's eligibility under the STIC formula, and is also used in the STIC apportionment calculations. Because this performance data change with each year's NTD reports, the UZAs eligible for STIC funds and the amount each receives may vary each year. In FY 2007, FTA apportioned $120,608 for each performance factor/category for which the urbanized area exceeded the national average for UZAs with a population of at least 200,000 but not more than 999,999. In addition to the funds apportioned to UZAs, according to the Section 5307 formula factors contained in 49 U.S.C. 5336, FTA also apportions funds to urbanized areas under Section 5340 Growing States and High Density States formula factors. In FY 2007, FTA apportioned $138,734,486 to 453 UZA's in 50 Growing States and $202,000,000 to 46 UZA's in seven High Density States. Half of the funds appropriated for Section 5340 are available to Growing States and half to High Density States. FTA apportions Growing States funds by a formula based on State population forecasts for 15 years beyond the most recent Census. FTA distributes the amounts apportioned for each State between UZAs and nonurbanized areas based on the ratio of urbanized/nonurbanized population within each State in the 2000 census. FTA apportions the High Density States funds to States with population densities in excess of 370 persons per square mile. These funds are apportioned only to UZAs within those States. FTA pro-rates each UZA's share of the High Density funds based on the population of the UZAs in the State in the 2000 census. FTA cannot provide unit values for the Growing States or High Density formulas because the allocations to individual States and urbanized areas are based on their relative population data, rather than on a national per capita basis. Based on language in the SAFETEA-LU conference report that directs FTA to show a single apportionment amount for Section 5307, STIC and Section 5340, FTA shows a single Section 5307 apportionment amount for each UZA in Table 3, the Urbanized Area Formula apportionments. The amount includes funds apportioned based on the Section 5307 formula factors, any STIC funds, and any Growing States and High Density States funding allocated to the area. FTA uses separate formulas calculations to generate the respective apportionment amounts for the Section 5307, STIC and Section 5340. For technical assistance purposes, the UZAs that received STIC funds are listed in Table 6. FTA will make available breakouts of the funding allocated to each UZA under these formulas, upon request to the regional office. 3. Program Requirements Program guidance for the Urbanized Area Formula Program is presently found in FTA Circular C9030.1C, Urbanized Area Formula Program: Grant Application Instructions, dated October 1, 1998, and supplemented by additional information or changes provided in this document. FTA is in the process of updating the circular to incorporate changes resulting from language in SAFETEA-LU. Several important program requirements are highlighted below. a. Urbanized Area Formula Apportionments to Governors. For small UZAs, those with a population of less than 200,000, FTA apportions funds to the Governor of each State for distribution. A single total Governor apportionment amount for the Urbanized Area Formula, STIC, and Growing States and High Density States is shown in the Urbanized Area Formula Apportionment table 3. The table also shows the apportionment amount attributable to each small UZA within the State. The Governor may determine the sub-allocation of funds among the small UZAs except that funds attributed to a small UZA that is located within the planning boundaries of a Transportation Management Area (TMA) must be obligated to that small UZA, as discussed in subsection f below. b. Transit Enhancements. Section 5307(d)(1)(K) requires that one percent of Section 5307 funds apportioned to UZAs with populations of 200,000 or more be spent on eligible transit enhancement activities or projects. This requirement is now treated as a certification, rather than as a set-aside as was the case under the Transportation Equity Act for the 21st Century (TEA-21). Designated recipients in UZAs with populations of 200,000 or more certify they are spending not less than one percent of Section 5307 funds for transit enhancements. In addition, Designated Recipients must submit an annual report on how they spent the money with the Federal fiscal year's final quarterly progress report in TEAM-Web. The report should include the following elements: (a) Grantee name, (b) UZA name and number, (c) FTA project number, (d) transit enhancement category, (e) brief description of enhancement and progress towards project implementation, (f) activity line item code from the approved budget, and (g) amount awarded by FTA for the enhancement. The list of transit enhancement categories and activity line item (ALI) codes may be found in the table of Scope and ALI codes on TEAM-Web, which can be accessed at http://FTATEAMWeb.fta.dot.gov. The term “transit enhancement” includes projects or project elements that are designed to enhance public transportation service or use and are physically or functionally related to transit facilities. Eligible enhancements include the following: (1) Historic preservation, rehabilitation, and operation of historic mass transportation buildings, structures, and facilities (including historic bus and railroad facilities); (2) bus shelters; (3) landscaping and other scenic beautification, including tables, benches, trash receptacles, and street lights; (4) public art; (5) pedestrian access and walkways; (6) bicycle access, including bicycle storage facilities and installing equipment for transporting bicycles on mass transportation vehicles; (7) transit connections to parks within the recipient's transit service area; (8) signage; and (9) enhanced access for persons with disabilities to mass transportation. It is the responsibility of the MPO to determine how the one-percent for transit enhancements will be allotted to transit projects. The one percent minimum requirement does not preclude more than one percent from being expended in a UZA for transit enhancements. However, activities that are only eligible as enhancements—in particular, operating costs for historic facilities—may be assisted only within the one-percent funding level. c. Transit Security Projects. Pursuant to section 5307(d)(1)(J), each recipient of Urbanized Area Formula funds must certify that of the amount received each fiscal year, it will expend at least one percent on “public transportation security projects” or must certify that it has decided the expenditure is not necessary. For applicants not eligible to receive Section 5307 funds for operating assistance, only capital security projects may be funded with the one percent. SAFETEA-LU, however, expanded the definition of eligible “capital” projects to include specific crime prevention and security activities, including: (1) Projects to refine and develop security and emergency response plans; (2) projects aimed at detecting chemical and biological agents in public transportation; (3) the conduct of emergency response drills with public transportation agencies and local first response agencies; and (4) security training for public transportation employees, but excluding all expenses related to operations, other than such expenses incurred in conducting emergency drills and training. New ALI codes have been established for these four new capital activities. The one percent may also include security expenditures included within other capital activities, and, where the recipient is eligible, operating assistance. The relevant ALI codes would be used for those activities. FTA is often called upon to report to Congress and others on how grantees are expending Federal funds for security enhancements. To facilitate tracking of grantees' security expenditures, which are not always evident when included within larger capital or operating activity line items in the grant budget, we have established a non-additive (“non-add”) scope code for security expenditures—Scope 991. The non-add scope is to be used to aggregate activities included in other scopes, and it does not increase the budget total. Section 5307 grantees should include this non-add scope in the project budget for each new Section 5307 grant application or amendment. Under this non-add scope, the applicant should repeat the full amount of any of the line items in the budget that are exclusively for security and include the portion of any other line item in the project budget that is attributable to security, using under the non-add scope the same line item used in the project budget. The grantee can modify the ALI description or use the extended text feature, if necessary, to describe the security expenditures. The grantee must provide information regarding its use of the one percent for security as part of each Section 5307 grant application, using a special screen in TEAM-Web. If the grantee has certified that it is not necessary to expend one percent for security, the Section 5307 grant application must include information to support that certification. FTA will not process an application for a Section 5307 grant until the security information is complete. d. FY 2007 Operating Assistance. UZAs under 200,000 population may use Section 5307 funds for operating assistance. In addition, Section 5307, as amended by, SAFETEA-LU and TEA-21, allows some UZAs with a population of 200,000 or more to use FY 2007 Urbanized Area Formula funds for operating assistance under certain conditions. The specific provisions allowing the limited use of operating assistance in large UZAs are as follows: (1) Section 5307(b)(2) allows UZAs that grew in population from under 200,000 to over 200,000, as a result of the 2000 Census to use FY 2007 funds for operating assistance in an amount up to 25 percent of the grandfathered amount for FY 2005 funds. (The provision is completely phased out in FY 2008.) Table 7 shows the maximum amount of each eligible UZA's Section 5307 apportionment that can be used for operating assistance. (2) Section 5307(b)(1)(E) provides for grants for the operating costs of equipment and facilities for use in public transportation in the Evansville, IN-KY urbanized area, for a portion or portions of the UZA if: the portion of the UZA includes only one State; the population of the portion is less than 30,000; and the grants will be not used to provide public transportation outside of the portion of the UZA. (3) Section 5307(b)(1)(F) provides operating costs of equipment and facilities for use in public transportation for local governmental authorities in areas which adopted transit operating and financing plans that became a part of the Houston, Texas, UZA as a result of the 2000 decennial census of population, but lie outside the service area of the principal public transportation agency that serves the Houston UZA. (4) Section 5336(a)(2) prescribes the formula to be used to apportion Section 5307 funds to UZAs with population of 200,000 or more. SAFETEA-LU amended 5336(a)(2) to add language that stated, “* * * except that the amount apportioned to the Anchorage urbanized area under subsection (b) shall be available to the Alaska Railroad for any costs related to its passenger operations.” This language has the effect of directing that funds apportioned to the Anchorage urbanized area, under the fixed guideway tiers of the Section 5307 apportionment formula, be made available to the Alaska Railroad, and that these funds may be used for any capital or operating costs related to its passenger operations. (5) Section 3027(c)(3) of TEA-21, as amended (49 U.S.C. 5307 note), provides an exception to the restriction on the use of operating assistance in a UZA with a population of 200,000 or more, by allowing transit providers/grantees that provide service exclusively to elderly persons and persons with disabilities and that operate 20 or fewer vehicles to use Section 5307 funds apportioned to the UZA for operating assistance. The total amount of funding made available for this purpose under Section 3027(c)(3) is $1.4 million. Transit providers/grantees eligible under this provision have already been identified and notified. e. Sources of Local Match. Pursuant to Section 5307(e), the Federal share of an urbanized area formula grant is 80 percent of net project cost for a capital project and 50 percent of net project cost for operating assistance. The remainder of the net project cost (i.e., 20 percent and 50 percent, respectively) shall be provided from the following sources: 1. In cash from non-Government sources other than revenues from providing public transportation services; 2. From revenues derived from the sale of advertising and concessions; 3. From an undistributed cash surplus, a replacement or depreciation cash fund or reserve, or new capital; 4. From amounts received under a service agreement with a State or local social service agency or private social service organization; and 5. Proceeds from the issuance of revenue bonds. In addition, funds from Section 403(a)(5)(C)(vii) of the Social Security Act (42 U.S.C. 603(a)(5)(C)(vii)) can be used to match Urbanized Area Formula funds. f. Designated Transportation Management Areas (TMA). Guidance for setting the boundaries of TMAs is in the joint transportation planning regulations codified at 23 CFR Part 450 and 49 CFR Part 613. In some cases, the TMA planning boundaries established by the MPO for the designated TMA includes one or more small UZAs. In addition, one small UZA (Santa Barbara, CA) has been designated as a TMA. In either of these situations, the Governor cannot allocate “Governor's Apportionment” funds attributed to the small UZAs to other areas; that is, the Governor only has discretion to allocate Governor's Apportionment funds attributable to areas that are outside of designated TMA planning boundaries. The list of small UZAs included within the planning boundaries of designated TMAs is provided in the table below. Designated TMA Small urbanized area included in TMA planning boundary Albany, NY Saratoga Springs, NY. Houston, TX Galveston, TX; Lake Jackson-Angleton, TX; Texas City, TX; The Woodlands, TX. Jacksonville, FL St. Augustine, FL. Orlando, FL Kissimmee, FL. Palm Bay-Melbourne, FL Titusville, FL. Philadelphia, PA-NJ-DE-MD Pottstown, PA. Pittsburgh, PA Monessen, PA; Weirton, WV-Steubenville, OH-PA (PA portion); Uniontown-Connellsville, PA. Seattle, WA Bremerton, WA. Washington, DC-VA-MD Frederick, MD. The MPO must notify the Associate Administrator for Program Management, Federal Transit Administration, 400 Seventh Street, SW., Washington, DC 20590, in writing, no later than July 1 of each year, to identify any small UZA within the planning boundaries of a TMA. g. Urbanized Area Formula Funds Used for Highway Purposes. Funds apportioned to a TMA are eligible for transfer to FHWA for highway projects. However, before funds can be transferred, the following conditions must be met: (1) Such use must be approved by the MPO in writing, after appropriate notice and opportunity for comment and appeal are provided to affected transit providers; (2) in the determination of the Secretary, such funds are not needed for investments required by the Americans with Disabilities Act of 1990 (ADA); and (3) the MPO determines that local transit needs are being addressed. The MPO should notify the appropriate FTA Regional Administrator of its intent to use FTA funds for highway purposes, as prescribed in section V.D below. Urbanized Area Formula funds that are designated by the MPO for highway projects will be transferred to and administered by FHWA. 4. Period of Availability The Urbanized Area Formula Program funds apportioned in this notice remain available to be obligated by FTA to recipients until September 30, 2010. Any of these apportioned funds that remain unobligated at the close of business on September 30, 2010, will revert to FTA for reapportionment under the Urbanized Area Formula Program. 5. Other Program or Apportionment Related Information and Highlights In each UZA with a population of 200,000 or more, the Governor in consultation with responsible local officials, and publicly owned operators of public transportation has designated one or more entities to be the Designated Recipient for Section 5307 funds apportioned to the UZA. The same entity(s) may or may not be the Designated Recipient for the Job Access and Reverse Commute (JARC) and New Freedom program funds apportioned to the UZA. In UZAs under 200,000 population, the State is the Designated Recipient for Section 5307 as well as JARC and New Freedom programs. The Designated Recipient for Section 5307 may authorize other entities to apply directly to FTA for Section 5307 grants pursuant to a supplemental agreement. While the requirement that projects selected for funding be included in a locally developed coordinated public transit/human service transportation plan is not included in Section 5307 as it is in Sections 5310, 5316 (JARC) and 5317 (New Freedom), FTA expects that in their role as public transit providers, recipients of Section 5307 funds will be participants in the local planning process for these programs. D. Clean Fuels Grant Program (49.U.S.C. 5308) The Clean Fuels Grant Program supports the use of alternative fuels in air quality maintenance or nonattainment areas for ozone or carbon monoxide through capital grants to urbanized areas for clean fuel vehicles and facilities. Previously an unfunded Formula Program under TEA-21, the program is now a discretionary program. FTA published a Notice of Proposed Rulemaking for the discretionary program on October 16, 2006, and is now in the process of reviewing comments and finalizing the rule. For more information about this program contact Kimberly Sledge, Office of Transit Programs, at (202) 366-2053. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, provides $45,000,000 to the Clean Fuels Grant Program (49 U.S.C. 5308). SAFETEA-LU earmarked $18,721,000 for specific Clean Fuel projects. The balance of $26,279,000 was transferred to the discretionary Bus Program. Clean Fuels Grant Program Total Appropriation $45,000,000 Transfer to Bus and Bus Facility −$26,279,000 Funds Allocated to SAFETEA-LU Earmarks 18,721,000 Allocations to projects earmarked under the Clean Fuels program in SAFETEA-LU are displayed in Table 8. 2. Basis for Allocation of Funds. Section 3044(b) of SAFETEA-LU included 16 projects to be funded through the Clean Fuels program. Table 8 displays the amounts available in FY 2007 to the Clean Fuels projects designated in SAFETEA-LU. FY 2006 carryover funds are shown in Table 9. No funds are available for competitive allocation in FY 2007. 3. Requirements Clean Fuels program funds may be made available to any grantee in a UZA that is designated as maintenance or nonattainment area for ozone or carbon monoxide as defined in the Clean Air Act. Eligible recipients include Section 5307 Designated Recipients as well as recipients in small UZAs. In the case of a small UZA, the State in which the area is located will act as the recipient. Eligible projects include the purchase or lease of clean fuel buses (including buses that employ a lightweight composite primary structure), the construction or lease of clean fuel buses or electrical recharging facilities and related equipment for such buses, and construction or improvement of public transportation facilities to accommodate clean fuel buses. Legislation will be necessary if a recipient wishes to use Clean Fuels funds earmarked in SAFETEA-LU for eligible program activities outside the scope of a project description. Unless otherwise specified in law, grants made under the Clean Fuels program must meet all other eligibility requirements as outlined in Section 5308. 4. Period of Availability Funds designated for specific Clean Fuels Program projects remain available for obligation for three fiscal years, which includes the year of appropriation plus two additional fiscal years. The FY 2007 funding for projects included in this notice remains available through September 30, 2009. Clean Fuels funds not obligated in an FTA grant for their original purpose at the end of the period of availability will generally be made available for other projects. E. Capital Investment Program (49 U.S.C. 5309)—Fixed Guideway Modernization This program provides capital assistance for the modernization of existing fixed guideway systems. Funds are allocated by a statutory formula to UZAs with fixed guideway systems that have been in operation for at least seven years. A “fixed guideway” refers to any transit service that uses exclusive or controlled rights-of-way or rails, entirely or in part. The term includes heavy rail, commuter rail, light rail, monorail, trolleybus, aerial tramway, inclined plane, cable car, automated guideway transit, ferryboats, that portion of motor bus service operated on exclusive or controlled rights-of-way, and high-occupancy-vehicle (HOV) lanes. Eligible applicants are the public transit authorities in those urbanized areas to which the funds are allocated. For more information about Fixed Guideway Modernization contact Scott Faulk, Office of Transit Programs, at (202) 366-2053. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, provides $1,448,000,000 to the Fixed Guideway Modernization Program. The total amount apportioned for the Fixed Guideway Modernization Program is $1,433,520,000, after the deduction for oversight, as shown in the table below. Fixed Guideway Modernization Program Total Appropriation $1,448,000,000 Oversight Deduction −14,480,000 Total Apportioned 1,433,520,000 The FY 2007 Fixed Guideway Modernization Program apportionments to eligible areas are displayed in Table 10. 2. Basis for Formula Apportionment The formula for allocating the Fixed Guideway Modernization funds contains seven tiers. The apportionment of funding under the first four tiers is based on amounts specified in law and NTD data used to apportion funds in FY 1997. Funding under the last three tiers is apportioned based on the latest available data on route miles and revenue vehicle miles on segments at least seven years old, as reported to the NTD. Section 5337(f) of title 49, U.S.C. provides for the inclusion of Morgantown, West Virginia (population 55,997) as an eligible UZA for purposes of apportioning fixed guideway modernization funds. Also, pursuant to 49 U.S.C. 5336(b) FTA used 60 percent of the directional route miles attributable to the Alaska Railroad passenger operations system to calculate the apportionment for the Anchorage, Alaska UZA under the Section 5309 Fixed Guideway Modernization formula. FY 2007 Formula apportionments are based on data grantees provided to the NTD for the 2005 reporting year. Table 11 provides additional information and details on the formula. Dollar unit values for the formula factors used in the Fixed Guideway Modernization Program are displayed in Table 5. To replicate an area's apportionment, multiply the dollar unit value by the appropriate formula factor, i.e., route miles and revenue vehicle miles. 3. Program Requirements Fixed Guideway Modernization funds must be used for capital projects to maintain, modernize, or improve fixed guideway systems. Eligible UZAs (those with a population of 200,000 or more) with fixed guideway systems that are at least seven years old are entitled to receive Fixed Guideway Modernization funds. A threshold level of more than one mile of fixed guideway is required in order to receive Fixed Guideway Modernization funds. Therefore, UZAs reporting one mile or less of fixed guideway mileage under the NTD are not included. However, funds apportioned to an urbanized area may be used on any fixed guideway segment in the UZA. Program guidance for Fixed Guideway Modernization is presently found in FTA Circular C9300.1A, Capital Program: Grant Application Instructions, dated October 1, 1998. FTA is in the process of updating this circular to incorporate changes resulting from language in SAFETEA-LU. 4. Period of Availability The funds apportioned in this notice under the Fixed Guideway Modernization Program remain available to be obligated by FTA to recipients for three fiscal years following FY 2007. Any of these apportioned funds that remain unobligated at the close of business on September 30, 2010, will revert to FTA for reapportionment under the Fixed Guideway Modernization Program. F. Capital Investment Program (49 U.S.C. 5309)—Bus and Bus-Related Facilities This program provides capital assistance for new and replacement buses and related facilities. Funds are allocated on a discretionary basis. Eligible purposes are acquisition of buses for fleet and service expansion, bus maintenance and administrative facilities, transfer facilities, bus malls, transportation centers, intermodal terminals, park-and-ride stations, acquisition of replacement vehicles, bus rebuilds, bus preventive maintenance, passenger amenities such as passenger shelters and bus stop signs, accessory and miscellaneous equipment such as mobile radio units, supervisory vehicles, fare boxes, computers, and shop and garage equipment. Eligible applicants are State and local governmental authorities. Eligible subrecipients include other public agencies, private companies engaged in public transportation and private non-profit organizations. For more information about Bus and Bus-Related Facilities contact Maria Wright, Office of Transit Programs, at (202) 366-2053. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, provides $881,779,000 for the bus and bus facilities program. This amount includes $855,500,000 provided for the Bus Program and $26,279,000 transferred from the Clean Fuels Program. The amount of funding for projects designated in Section 3044 of SAFETEA-LU for Bus and Bus-Related Facilities in FY 2007 is $459,670,089. The balance remains unallocated, as shown in the following table. Bus and Bus Facility Program Total Appropriation $881,779,000 a Oversight Deduction −8,817,790 SAFETEA-LU Statutory Provisions Projects 459,670,089 Funds Available for Discretionary/Competitive Allocation 413,291,121 Total Funds to be Allocated 872,961,210 a Includes $26,279,000 transferred from Clean Fuels Grant Program The FY 2007 Bus and Bus Facility Program allocations are displayed in Table 12. 2. Basis for Allocations Funds are provided annually under Section 5309 for discretionary allocation for bus and bus facilities projects. SAFETEA-LU listed 646 earmarked projects to be funded each year through the Bus Program (Section 3044) and specified additional projects in Section 5309(m)(7). Table 12 displays the allocation of the FY 2007 Bus and Bus-Related Facilities funds by State and project for projects earmarked in SAFETEA-LU. The table includes a SAFETEA-LU project number for each project listed in Section 3044. No additional projects were earmarked in the Continuing Appropriations Resolution, 2007. In fact, Section 112 of the Continuing Appropriations Resolution, 2007, (H.J. Res 20) specifically precluded using FY 2007 funds to award grants for projects designated Section 5309 bus funds in the statement of managers accompanying the FY 2006 Department of Transportation Appropriations Act (Pub. L. 109-115). 3. Requirements Section 125 and Section 113 of the FY 2005 and FY 2006 Department of Transportation Appropriations Acts, respectively, make projects identified in the statement of managers automatically eligible to receive the funds designated to the project “notwithstanding any other provision of law.” Similar language was first included as a general provision in Section 547 of the FY 2004 Department of Transportation Appropriations Acts. In addition, Section 3044 of SAFETEA-LU earmarked 646 Bus and Bus Facilities projects in FY 2007. FTA will review Congressional intent on a case by case basis. FTA honors Congressional earmarks for the purpose designated, for purposes eligible under the program or under the expanded eligibility of a “notwithstanding” provision. If you want to apply to use funds designated under the Bus Program in any year for project activities outside the scope of the project designation included in report language, you must submit your request for reprogramming to the House and Senate Committees on Appropriations for resolution. FTA will not reprogram projects Congress designated in report language without direction from the Appropriations Committees. FTA will honor projects earmarked to receive Section 5309 bus funds in SAFETEA-LU. Legislation will be necessary to amend the earmark if you wish to use funds for project activities outside the scope of the project description. Grants made under the Bus and Bus-Related Facilities program must meet all other eligibility requirements as outlined in Section 5309 unless otherwise specified in law. Program guidance for Bus and Bus-Related Facilities is found in FTA Circular C9300.1A, Capital Program: Grant Application Instructions. FTA is in the process of updating this circular to incorporate changes resulting from language in SAFETEA-LU. 4. Period of Availability The FY 2007 Bus and Bus-Related Facilities funds not obligated for their original purpose as of September 30, 2009, may be made available for other projects under 49 U.S.C. 5309. The unusual appropriations process in FY 2007 has not yet resulted in directions from Congress to FTA not to reallocate unobligated bus program funds for designations that lapsed at the end of FY 2006. 5. Other Program or Allocation Related Information and Highlights Prior year unobligated balances for Bus and Bus-Related allocations in the amount of $870,471,637 remain available for obligation in FY 2007. This includes $861,331,362 in fiscal years 2005 and 2006 unobligated allocations, and $9,140,275 for fiscal years 2002-2004 unobligated allocations that were extended by previous direction by the House and Senate appropriation committees. The unobligated amounts available as of September 30, 2006, are displayed in Table 13. In two Notices of Funding Availability (NOFA), published as separate parts of today's Federal Register , FTA is issuing procedures for grantees to apply competitively for discretionary funding for projects eligible under the Bus and Bus Facilities program. One NOFA invites applications from States and from Designated Recipients under the Urbanized Area Formula Program to fund bus and bus facility projects that address the following FTA priorities: Fleet replacement needs that cannot be met with formula funds, fleet expansion for significant service improvements, purchase of clean fuel vehicles, facility construction to support increased service or introduction of clean fuels, and intermodal terminal projects that include intercity bus providers, and Gulf Coast recovery. The other NOFA addresses the Department of Transportation Congestion Initiative and invites proposals from specific urbanized areas identified as the most congested in the nation. G. Capital Investment Program (49 U.S.C. 5309)—New Starts The New Starts program provides funds for construction of new fixed guideway systems or extensions to existing fixed guideway systems. Eligible purposes are light rail, rapid rail (heavy rail), commuter rail, monorail, automated fixed guideway system (such as a “people mover”), or a busway/high occupancy vehicle (HOV) facility, Bus Rapid Transit that is fixed guideway, or an extension of any of these. Projects become candidates for funding under this program by successfully completing the appropriate steps in the major capital investment planning and project development process. Major new fixed guideway projects, or extensions to existing systems, financed with New Starts funds typically receive these funds through a full funding grant agreement (FFGA) that defines the scope of the project and specifies the total multi-year Federal commitment to the project. Beginning in FY 2007, up to $200,000,000 each year is designated for “Small Starts” (Section 5309(e)) projects with a New Starts share of less than $75,000,000 and a net project cost of less than $250,000,000. The Continuing Appropriations Resolution, 2007, however, did not set aside a specific amount for Small Starts from the amounts appropriated for Capital Investment Grants. Section 5309(m)(6) also made annual allocations of New Start funding available to Alaska and Hawaii for ferryboats and to the Denali Commission in Anchorage, Alaska under the terms of Section 307(e) of the Denali Commission Act of 1998 (42 U.S.C. 3121) for docks, waterfront development projects and related transportation infrastructure in rural Alaska communities. For more information about New Starts project development contact Sean Libberton, Office of Planning and Environment, at (202) 366-4033, or for information about published allocations contact Kimberly Sledge, Office of Transit Programs, at (202) 366-2053. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, provides $1,566,000,000 to New Starts. The total amount allocated for New Starts is $1,550,340,000, as shown in the table below. New Starts Total Appropriation $1,566,000,000 a Oversight Deduction −15,660,000 Funds Allocated to Specific Projects in Table 14 b 1,284,478,399 Unallocated Funds Available for Discretionary/Competitive Allocation 265,861,601 Total Funds to be Allocated 1,550,340,000 a Includes $200 million for Small Starts. b Includes $20 million for the Denali Commission and Alaska and Hawaii Ferry projects. 2. Basis for Allocation Congress included authorizations for specific New Starts projects in SAFETEA-LU and in statutory takedowns from the program for Alaska and Hawaii Ferryboats and the Denali Commission. The Continuing Appropriations Resolution, 2007, did not include project allocations. FTA has allocated available FY 2007 New Starts funding as shown in Table 14, based on existing FFGAs and the President's Budget for FY 2007. 3. Requirements Because New Starts projects are earmarked in law rather than report language, reprogramming for a purpose other than that specified must also occur in law. New Starts projects are subject to a complex set of approvals related to planning and project development set forth in 49 CFR Part 611. FTA has published a number of rulemakings and interim guidance documents related to the New Starts program since the passage of SAFETEA-LU. Grantees should reference the FTA Web site at http://www.fta.dot.gov for the most current program guidance about project developments and management. Grant related guidance for New Starts is found in FTA Circular C9300.1A, Capital Program: Grant Application Instructions, dated October 1, 1998; and C5200.1A, Full Funding Grant Agreement Guidance, dated December 5, 2002. FTA is in the process of updating these circulars to incorporate changes resulting from language in SAFETEA-LU and recent rulemakings. 4. Period of Availability New Starts funds remain available for three fiscal years (including the fiscal year the funds are made available or appropriated plus two additional years.) FY 2007 funds remain available through September 30, 2009. Funds may be extended by Congress or made available for other projects after the period of availability has expired. The unusual appropriations process in FY 2007 has not yet resulted in any extensions of prior year unobligated balances that lapsed at the end of FY 2006. 5. Other Program or Apportionment Related Information and Highlights Prior year unobligated allocations for New Starts in the amount of $717,087,493 remain available for obligation in FY 2007. This amount includes $118,384,337 in FY 2005 and $598,703,156 in FY 2006 unobligated allocations. These unobligated amounts are displayed in Table 15. Information on pre-award authority for New Starts projects is detailed in section V below. H. Special Needs of Elderly Individuals and Individuals With Disabilities Program (49 U.S.C. 5310) This program provides formula funding to States for capital projects to assist private nonprofit groups in meeting the transportation needs of the elderly and individuals with disabilities when the public transportation service provided in the area is unavailable, insufficient, or inappropriate to meet these needs. A State agency designated by the Governor administers the Section 5310 program. The State's responsibilities include: notifying eligible local entities of funding availability; developing project selection criteria; determining applicant eligibility; selecting projects for funding; and ensuring that all subrecipients comply with Federal requirements. Eligible nonprofit organizations or public bodies must apply directly to the designated State agency for assistance under this program. For more information about the Elderly and Individuals with Disabilities Program contact Cheryl Oliver, Office of Transit Programs, at (202) 366-2053. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, provides $117,000,000 to the Elderly and Individuals with Disabilities Program (49 U.S.C. 5310). After deduction of 0.5 percent for oversight, and the addition of reapportioned prior year funds, $116,659,554 remains available for allocation to the States. Elderly and Individuals with Disabilities Program Total Appropriation $117,000,000 Oversight Deduction −585,000 Prior Year Funds Added 244,554 Total Apportioned 116,659,554 The FY 2007 Elderly and Individuals with Disabilities Program apportionments to the States are displayed in Table 16. 2. Basis for Apportionment FTA allocates funds to the States by an administrative formula consisting of a $125,000 floor for each State ($50,000 for smaller territories) with the balance allocated based on 2000 Census population data for persons aged 65 and over and for persons with disabilities. 3. Requirements Funds are available to support the capital costs of transportation services for older adults and people with disabilities. Uniquely under this program, eligible capital costs include the acquisition of service. Seven specified States (Alaska, Louisiana, Minnesota, North Carolina, Oregon, South Carolina, and Wisconsin) may use up to 33 percent of their apportionment for operating assistance under the terms of the SAFETEA-LU Section 3012(b) pilot program. Capital assistance is provided on an 80 percent Federal, 20 percent local matching basis except that Section 5310(c) allows States eligible for a higher match under the sliding scale for FHWA programs to use that match ratio for Section 5310 capital projects. Operating assistance is 50 percent Federal, 50 percent local, or the 62.5 percent of the sliding scale Federal share. Funds provided under other Federal programs (other than those of the DOT, with the exception of the Federal Lands Highway Program established by 23 U.S.C. 204) may be used as match. Revenue from service contracts may also be used as local match. While the assistance is intended primarily for private non-profit organizations, public bodies approved by the State to coordinate services for the elderly and individuals with disabilities, or any public body that certifies to the State that there are no non-profit organizations in the area that are readily available to carry out the service, may receive these funds. States may use up to ten percent of their annual apportionment to administer, plan, and provide technical assistance for a funded project. No local share is required for these program administrative funds. Funds used under this program for planning must be shown in the United Planning Work Program (UPWP) for MPO(s) with responsibility for that area. The State recipient must certify that: the projects selected were derived from a locally developed, coordinated public transit-human services transportation plan; and, the plan was developed through a process that included representatives of public, private, and nonprofit transportation and human services providers and participation by the public. The locally developed, coordinated public transit-human services transportation planning process must be coordinated and consistent with the metropolitan and statewide planning processes and funding for the program must included in the metropolitan and statewide Transportation Improvement Plan (TIP and STIP) at a level of specificity or aggregation consistent with State and local policies and procedures. Finally, the State must certify that allocations of the grant to subrecipients are made on a fair and equitable basis. The coordinated planning requirement is also a requirement in two additional programs. Projects selected for funding under the Job Access Reverse Commute program and the New Freedom program are also required to be derived from a locally developed coordinated public transit/human service transportation plan. FTA anticipates that most areas will develop one consolidated plan for all the programs, which may include separate elements and other human service transportation programs. The Section 5310 program is subject to the requirements of Section 5307 to the extent the Secretary determines appropriate. Program guidance is found in FTA C 9070.1E, dated October 1, 1998. FTA published a proposed revised circular for this program and is currently reviewing comments submitted to the docket. The new circular will be posted on the FTA Web site at http://www.fta.dot.gov when it is issued. 4. Period of Availability FTA has administratively established a three year period of availability for Section 5310 funds. Funds allocated to States under the Elderly and Individuals with Disabilities Program in this notice must be obligated by September 30, 2009. Any funding that remains unobligated as of that date will revert to FTA for reapportionment among the States under the Elderly and Individuals with Disabilities Program. 5. Other Program or Apportionment Related Information and Highlights States may transfer Section 5310 funds to Section 5307 or Section 5311, but only for projects selected under the Section 5310 program, not as a general supplement for those programs. FTA anticipates that the States would use this flexibility primarily for projects to be implemented by a Section 5307 recipient in a small urbanized area, or for Federally recognized Indian Tribes that elect to receive funds as a direct recipient from FTA under Section 5311. A State that transfers Section 5310 funds to Section 5307 must certify that each project for which the funds are transferred has been coordinated with private nonprofit providers of services. FTA has established a new scope code (641) to track 5310 projects included within a Section 5307 or 5311 grant. Transfer to Section 5307 or 5311 is permitted but not required. FTA expects primarily to award stand-alone Section 5310 grants to the State for any and all subrecipients. I. Nonurbanized Area Formula Program (49 U.S.C. 5311) This program provides formula funding to States and Indian Tribes for the purpose of supporting public transportation in areas with a population of less than 50,000. Funding may be used for capital, operating, State administration, and project administration expenses. Eligible subrecipients include State and local public agencies, Indian Tribes, private non-profit organizations, and private operators of public transportation services, including intercity bus companies. Indian Tribes are also eligible direct recipients under Section 5311, both for funds apportioned to the States and for projects selected to be funded with funds set aside for a separate Tribal Transit Program. For more information about the Nonurbanized Area Formula Program contact Lorna Wilson, Office of Transit Programs, at (202) 366-2053. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, provides $404,000,000 to the Nonurbanized Area Formula Program (49 U.S.C. 5311). The total amount apportioned for the Nonurbanized Area Formula Program is $386,179,139, after take-downs of two percent for the Rural Transportation Assistance Program (RTAP), 0.5 percent for oversight, and $10,000,000 for the Tribal Transit Program, and the addition of Section 5340 funds and prior year funds reapportioned, as shown in the table below. Nonurbanized Area Formula Program Total Appropriation $404,000,000 Oversight Deduction 2,020,000 RTAP Takedown 8,080,000 Tribal Transit Takedown 10,000,000 Prior Year Funds Added 2,277,688 Section 5340 Funds Added 63,265,514 Total Apportioned 449,443,202 The FY 2007 Nonurbanized Area Formula apportionments to the States are displayed in Table 17. 2. Basis for Apportionments FTA apportions the funds available for apportionment after take-down for oversight, the Tribal Transit Program, and RTAP according to a statutory formula. FTA apportions the first twenty percent to the States based on land area in nonurbanized areas with no state receiving more than 5 percent of the amount apportioned. FTA apportions the remaining eighty percent based on nonurbanized population of each State relative to the national nonurbanized population. FTA does not apportion Section 5311 funds to the Virgin Islands, which by a statutory exception are treated as an urbanized area for purposes of the Section 5307 formula program. FTA also allocated $63,265,514 to the 50 States for nonurbanized areas from the Growing States portion of Section 5340. FTA apportions Growing States funds by a formula based on State population forecasts for 15 years beyond the most recent census. FTA distributes the amounts apportioned for each State between UZAs and nonurbanized areas based on the ratio of urbanized/nonurbanized population within each State in the 2000 census. 3. Program Requirements The Nonurbanized Area Formula Program provides capital, operating and administrative assistance for public transit service in areas under 50,000 in population. The Federal share for capital assistance is 80 percent and for operating assistance is 50 percent, except that States eligible for the sliding scale match under FHWA programs may use that match ratio for Section 5311 capital projects and 62.5 percent of the sliding scale capital match ratio for operating projects. Each State must spend no less than 15 percent of its FY 2007 Nonurbanized Area Formula apportionment for the development and support of intercity bus transportation, unless the State certifies, after consultation with affected intercity bus service providers, that the intercity bus service needs of the State are being adequately met. SAFETEA-LU added this requirement for consultation with the industry to strengthen the certification requirement. FTA also encourages consultation with other stakeholders, such as communities affected by loss of intercity service. Each State prepares an annual program of projects, which must provide for fair and equitable distribution of funds within the States, including Indian reservations, and must provide for maximum feasible coordination with transportation services assisted by other Federal sources. In order to retain eligibility for funding, recipients of Section 5311 funding must report data annually to the NTD, beginning with the 2006 reporting year. Program guidance for the Nonurbanized Area Formula Program is found in FTA C 9040.1F, Nonurbanized Area Formula Program Guidance and Grant Application Instructions, dated April 1, 2007, which was revised and reissued after notice and comment. FTA announced availability of this circular in the Federal Register on February 28, 2007, and summarized the response to comments submitted to the docket. 4. Period of Availability Funds apportioned to nonurbanized areas under the Nonurbanized Area Formula Program will remain available for two fiscal years following FY 2007. Any funds that remain unobligated at the close of business on September 30, 2009, will revert to FTA for allocation among the States under the Nonurbanized Area Formula Program. 5. Other Program or Apportionment Related Information and Highlights By law, FTA requires that each recipient under the Section 5311 program submit an annual report to the NTD containing information on capital investments, operations, and service provided with funds received under the Section 5311 program. Section 5311(b)(4), as amended by SAFETEA-LU, specifies that the report should include information on total annual revenue, sources of revenue, total annual operating costs, total annual capital costs, fleet size and type, and related facilities, revenue vehicle miles, and ridership. In consultation with State Departments of Transportation (DOT), FTA previously developed a voluntary state-based rural data module for the NTD. The existing NTD Rural Data Reporting Module manual and reporting instructions are posted on the NTD Web site, http://www.ntdprogram.com. For each 5311 subrecipient, the State DOT will complete a one-page form of basic data. The existing module will serve as a basis for reporting requirements for the new, mandatory Rural Reporting Module of the NTD until FTA can modify it, in consultation with the States, among others. Pursuant to SAFETEA-LU, mandatory reporting began with the 2006 NTD Report Year. The first reports were due on October 28, 2006, for those States with State or local fiscal years ending between January 1 and June 30, 2006; on January 28, 2007, for those States with State or local fiscal years ending between July 1 and September 30, 2006; and April 30, 2007, for those States with State or local fiscal years ending between October 1 and December 31, 2006. Corresponding dates are applicable to the data for the 2007 NTD Report Year. To enter data and receive additional instructions, State DOTs can go to the NTD website. FTA will issue revised reporting instructions in the 2007 reporting manual, based on consultation with the States and public comment. J. Rural Transportation Assistance Program (49 U.S.C. 5311(b)(3)) This program provides funding to assist in the design and implementation of training and technical assistance projects, research, and other support services tailored to meet the needs of transit operators in nonurbanized areas. For more information about Rural Transportation Assistance Program (RTAP) contact Lorna Wilson, Office of Transit Programs, at (202) 366-2053. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, provides $8,080,000 to RTAP (49 U.S.C. 5311(b)(2)), as a two percent takedown from the funds appropriated for Section 5311. FTA has reserved 15 percent for the National RTAP program. After adding prior year funds eligible for reapportionment, $7,320,588 is available for allocations to the States, as shown in the table below. Rural Transit Assistance Program Total Appropriation $8,080,000 National RTAP Takedown 1,212,000 Prior Year Funds Added 452,588 Total Apportioned 7,320,588 Table 17 shows the FY 2007 RTAP allocations to the States. 2. Basis for Allocation FTA allocates funds to the States by an administrative formula. First FTA allocates $65,000 to each State ($10,000 to territories), and then allocates the balance based on nonurbanized population in the 2000 census. 3. Program Requirements States may use the funds to undertake research, training, technical assistance, and other support services to meet the needs of transit operators in nonurbanized areas. These funds are to be used in conjunction with a State's administration of the Nonurbanized Area Formula Program, but may also support the rural components of the Section 5310, JARC, and New Freedom programs. 4. Period of Availability Funds apportioned to States under RTAP remain available for two fiscal years following FY 2007. Any funds that remain unobligated at the close of business on September 30, 2009, will revert to FTA for allocation among the States under the RTAP. 5. Other Program or Apportionment Related Information and Highlights The National RTAP project is administered by the American Public Works Association in consortium with the Community Transportation Association of America, under a cooperative agreement re-competed at five-year intervals. During FY 2007, FTA will be soliciting proposals for the National RTAP program services for the next five years. The projects are guided by a project review board of managers of rural transit systems and State DOT RTAP programs. National RTAP resources also support the biennial TRB National Conference on Rural Public and Intercity Bus Transportation and other research and technical assistance projects of a national nature. The percentage takedown for RTAP, combined with rising funding levels for Section 5311, make additional resources available at the State RTAP program level as well as the national RTAP for projects such as providing technical assistance for the new tribal transit program and conducting intercity bus needs assessments. K. Public Transportation on Indian Reservations Program (49 U.S.C. 5311(c)(1)) FTA refers to this program as the Tribal Transit Program. It is funded as a takedown from funds appropriated for the Section 5311 program. Indian Tribes are defined as eligible direct recipients. The funds are to be apportioned for grants to Indian Tribes for any purpose eligible under Section 5311, which includes capital, operating, planning, and administrative assistance for rural public transit services and rural intercity bus service. For more information about the Tribal Transit Program contact Lorna Wilson, Office of Transit Programs, at (202) 366-2053. 1. Funding Availability in FY 2007 Under the Continuing Appropriations Resolution, 2007, the amount allocated to the program in FY 2007 is $10,000,000, as authorized in Section 5311(c)(1)(B). 2. Basis for Allocation Based on procedures developed in consultation with the Tribes, FTA will issue a Notice of Funding Availability (NOFA) soliciting applications for FY 2007 funds. 3. Requirements FTA developed streamlined program requirements based on statutory authority allowing the Secretary to determine the terms and conditions appropriate to the program. These conditions are contained in the annual NOFA. 4. Period of Availability Funds remain available for three fiscal years, which includes the fiscal year the funds were apportioned or appropriated plus two additional years. Funds appropriated in FY 2007 will remain available for obligation to the tribes competitively selected to receive the funds through September 30, 2009. Any funds that remain unobligated after September 30, 2009, will revert to FTA for reallocation among the Tribes. 5. Other Program or Apportionment Related Information and Highlights The funds set aside for the Tribal Transit Program are not meant to replace or reduce funds that Indian Tribes receive from states through the Section 5311 program but are to be used to enhance public transportation on Indian reservations and transit serving tribal communities. Funds allocated to Tribes by the States may be included in the State's Section 5311 application or awarded by FTA in a grant directly to the tribe. We encourage Tribes intending to apply to FTA as direct recipients to contact the appropriate FTA regional office at the earliest opportunity. Technical assistance for Tribes may be available from the State DOT using the State's allocation of RTAP or funds available for State administration under Section 5311, from the Tribal Transportation Assistance Program (TTAP) Centers supported by FHWA, and from the Community Transportation Association of America under a program funded by the United States Department of Agriculture (USDA). The National RTAP will also be developing new resources for Tribal Transit. L. National Research Programs (49 U.S.C. 5314) FTA's National Research Programs include the National Research and Technology Program (NRTP), the Transit Cooperative Research Program (TCRP), the National Transit Institute (NTI), and the University Transportation Centers Program (UTC). Through funding under these programs, FTA seeks to deliver solutions that improve public transportation. FTA's Strategic Research Goals are to provide transit research leadership, increase transit ridership, improve capital and operating efficiencies, improve safety and emergency preparedness, and to protect the environment and promote energy independence. For more information contact Bruce Robinson, Office of Research, Demonstration and Innovation, at (202) 366-4209. 1. Funding Availability in FY 2007 The Continuing Appropriations Resolution, 2007, provides $61,000,000 for the National Research Programs. Of this amount $9,300,000 is allocated for TCRP, $4,300,000 for NTI, $7,000,000 for the UTC, and $40,400,000 for NRTP. Within the NRTP—$22,800,920 is allocated for specific activities under 49 U.S.C. 5338(d) and in Section 3046 of SAFETEA-LU. A breakdown of NRP funds is provided in the table below. National Research Programs Total Appropriation $61,000,000 Funds Allocated for Specific Programs or Activities 43,400,920 Small Business Innovative Research Takedown 200,000 Funds Available for FTA Programming 17,399,080 Total NPR Funding 61,000,000 All research and research and development projects are subject to a 2.6% reduction for the Small Business Innovative Research Program (SBIR). The project allocations are listed in Table 18. 2. Program Requirements Application Instructions and Program Management Guidelines are set forth in FTA Circular 6100.1C. Research projects must support FTA's Strategic Research Goals and meet the Office of Management and Budget's Research and Development Investment Criteria. All research recipients are required to work with FTA to develop approved Statements of Work and plans to evaluate research results before award. Eligible activities under the NRTP include research, development, demonstration and deployment projects as defined by 49 U.S.C. 5312(a); Joint Partnership projects for deployment of innovation as defined by 49 U.S.C. 5312(b); International Mass Transportation Projects as defined by 49 U.S.C. 5312(c); and, human resource programs as defined by 49 U.S.C. 5322. Problem Statements for TCRP can be submitted on TCRP's website: http://www.tcrponline.org . Information about NTI courses can be found at http://www.ntionline.com . UTC funds are transferred to the Research and Innovative Technology Administration to make awards. 3. Period of Availability Funds are available until expended. 4. Other Program or Apportionment Related Information and Highlights Funds not designated by Congress for specific projects and activities will be programmed by FTA based on national priorities. Opportunities are posted in www.grants.gov under Catalogue of Federal Domestic Assistance Number 20.514. M. Job Access and Reverse Commute Program (49 U.S.C. 5316) The Job Access and Reverse Commute (JARC) program provides formula funding to States and Designated Recipients to support the development and maintenance of job access projects designed to transport welfare recipients and eligible low-income individuals to and from jobs and activities related to their employment, and for reverse commute projects designed to transport residents of UZAs and other than urbanized to suburban employment opportunities. For more information about the JARC program contact Henrika Buchanan-Smith, Office of Transit Programs, at (202) 366-2053. 1. Funding Availability in FY 2007 The Continuing Appropriations Resolution, 2007, provides $144,000,000 for the JARC Program. The total amount apportioned by formula is $144,000,000, as shown in the table below. Job Access and Reverse Commute Program Total Appropriation $144,000,000 Total Apportioned 144,000,000 Table 19 shows the FY 2007 JARC apportionments. 2. Basis for Formula Apportionment By law, FTA allocates 60 percent of funds available to UZAs with populations of 200,000 or more persons (large UZAs); 20 percent to the States for urbanized areas with populations ranging from 50,000 to 200,000 persons (small UZAs), and 20 percent to the States for rural and small urban areas with populations of less than 50,000 persons. FTA apportions funds based upon the number of low income individuals residing in a State or large urbanized area, using data from the 2000 Census for individuals below 150 percent of poverty. FTA publishes apportionments to each State for small UZAs and for rural and small urban areas and a single apportionment for each large UZA. The Designated Recipient, either for the State or for a large UZA, is responsible for further allocating the funds to specific projects and subrecipients through a competitive selection process. If the Governor has designated more than one recipient of JARC funds in a large UZA, the Designated Recipients may agree to conduct a single competitive selection process or sub-allocate funds to each Designated Recipient, based upon a percentage split agreed upon locally, and conduct separate competitions. States may transfer funds between the small UZA and the nonurbanized apportionments, if all of the objectives of JARC are met in the size area the funds are taken from. States may also use funds in the small UZA and nonurbanized area apportionments for projects anywhere in the State (including large UZAs) if the State has established a statewide program for meeting the objectives of JARC. A State planning to transfer funds under either of these provisions should submit a request to the FTA regional office. FTA will assign new accounting codes to the funds before obligating them in a grant. 3. Requirements States and Designated Recipients must solicit grant applications and select projects competitively, based on application procedures and requirements established by the Designated Recipient, consistent with the Federal JARC program objectives. In the case of large UZAs, the area-wide solicitation shall be conducted in cooperation with the appropriate MPO(s). Funds are available to support the planning, capital and operating costs of transportation services that address the needs of welfare recipients and eligible low-income individuals that are not met by other transportation services. The transportation services may be provided by public, non-profit, or private-for-profit operators. The Federal share is 80 percent of capital expenses and 50 percent of operating expenses. Funds provided under other Federal programs (other than those of the U.S. DOT) may be used for local/State match for funds provided under section 5316, and revenue from service contracts may be used as local match. Funding is available for transportation services provided by public, non-profit, or private-for-profit operators. Assistance may be provided for a variety of transportation services and strategies directed at assisting welfare recipients and eligible low-income individuals address unmet transportation needs, and to provide reverse commute services. States and Designated Recipients may use up to ten percent of their annual apportionment to administer, plan, and provide technical assistance for a funded project. No local share is required for these program administrative funds. Funds used under this program for planning must be shown in the UPWP for MPO(s) with responsibility for that area. The Designated Recipient must certify that: The projects selected were derived from a locally developed, coordinated public transit-human services transportation plan; and, the plan was developed through a process that included representatives of public, private, and nonprofit transportation and human services providers and participation by the public, including those representing the needs of welfare recipients and eligible low-income individuals. The locally developed, coordinated public transit-human services transportation planning process must be coordinated and consistent with the metropolitan and statewide planning processes and funding for the program must included in the metropolitan and statewide Transportation Improvement Program (TIP and STIP) at a level of specificity or aggregation consistent with State and local policies and procedures. Finally, the State must certify that allocations of the grant to subrecipients are made on a fair and equitable basis. The coordinated planning requirement is also a requirement in two additional programs. Projects selected for funding under the Section 5310 program and the New Freedom program are also required to be derived from a locally developed coordinated public transit-human service transportation plan. FTA anticipates that most areas will develop one consolidated plan for all the programs, which may include separate elements and other human service transportation programs. The JARC program is subject to the relevant requirements of Section 5307, including the requirement for certification of labor protections. FTA published a proposed circular for this program and is currently reviewing comments submitted to the docket. The new circular will be posted on the FTA Web site at http://www.fta.dot.gov when it is issued. 4. Period of Availability FTA is establishing a consistent three-year period of availability for JARC, New Freedom, and the Section 5310 program, which includes the year of apportionment plus two additional years. FY 2007 funding is available through FY 2009. Any funding that remains unobligated on September 30, 2009 will revert to FTA for reapportionment among the States and large UZAs under the JARC program. 5. Other Program or Apportionment Related Information and Highlights a. Carryover Earmarks. Table 20 lists prior year carryover of $45,154,056 for JARC projects designated by Congress in FYs 2002-2005. JARC earmarks carried over from TEA-21 are subject to the terms and conditions under which they were originally appropriated, including the requirement for a 50 percent local share for both capital and operating assistance. All projects should be in a regional JARC Plan as required under TEA-21 or in the new local coordinated plan required by the new formula JARC program. FTA will award a grant for a designated project upon receipt of a complete application, but can honor changes to the original designation only if so directed by the Appropriations Committee chairs. b. Designated Recipient. Beginning in FY 2007, FTA must have received formal notification from the Governor or Governor's designee of the Designated Recipient for JARC funds apportioned to a State or large UZA before awarding a grant to that area for JARC projects. c. Transfers to Section 5307 or 5311. States may transfer JARC funds to Section 5307 or Section 5311, but only for projects competitively selected under the JARC program, not as a general supplement for those programs. FTA anticipates that the States would use this flexibility primarily for projects to be implemented by a Section 5307 recipient in a small urbanized area or for Federally recognized Indian Tribes that elect to receive funds as a direct recipient from FTA under Section 5311. FTA has established a new scope code (646) to track JARC projects included within a Section 5307 or 5311 grant. Transfer to Section 5307 or 5311 is permitted but not required. FTA will also award stand-alone Section 5316 grants to the State for any and all subrecipients. In order to track disbursements accurately against the appropriate program, FTA will not combine JARC funds with Section 5307 funds in a single Section 5307 grant, nor will FTA combine JARC with New Freedom funds in a single Section 5307 grant. d. Evaluation. Section 5316(i)(2), as added by SAFETEA-LU, requires FTA to conduct a study to evaluate the effectiveness of the JARC program. To support the evaluation, annual GAO reports on the program, and DOT Performance Measures, while reducing the burden grantees previously experienced from separate reporting required for the JARC program under TEA-21, FTA has incorporated reporting for performance measures into the annual progress report all JARC grantees submit in TEAM. N. New Freedom Program (49 U.S.C. 5317) SAFETEA-LU established the New Freedom Program under 49 U.S.C. 5317. The program purpose is to provide new public transportation services and public transportation alternatives beyond those currently required by the Americans with Disabilities Act of 1990 (42 U.S.C. 12101 et seq.) that assist individuals with disabilities with transportation, including transportation to and from jobs and employment support services. For more information about the New Freedom program contact Henrika Buchanan-Smith, Office of Transit Programs, at (202) 366-2053. 1. Funding Availability in FY 2007 The Continuing Appropriations Resolution, 2007, provides $81,000,000 for the New Freedom Program. The entire amount is apportioned by formula, as shown in the table below. New Freedom Program Total Appropriation $81,000,000 Total Apportioned 81,000,000 Table 21 shows the FY 2007 New Freedom apportionments. 2. Basis for Formula Apportionment By law, FTA allocates 60 percent of funds available to UZAs with populations of 200,000 or more persons (large UZAs); 20 percent to the States for urbanized areas with populations ranging from 50,000 to 200,000 persons (small UZAs), and 20 percent to the States for rural and small urban areas with populations of less than 50,000 persons. FTA apportions funds based upon the number of persons with disabilities over the age of five residing in a State or large urbanized area, using data from the 2000 Census. FTA publishes apportionments to each State for small UZAs and for rural and small urban areas and a single apportionment for each large UZA. FTA has learned from the U.S. Bureau of the Census that there is a better source of disability data from the 2000 Census than the 2000 census file we had previously used for SAFETEA-LU projections and for the FY 2006 New Freedom program apportionments. We have therefore based the FY 2007 apportionments for the New Freedom program on the information for States and urbanized areas contained in the Census 2000 Summary File 3 (SF-3)—Sample Data (tables QT-P21 and P42), and Census publication PHC-2, which provides more accurate data for individuals with disabilities than the file based on projections from a sample that we had previously used. We will also base future apportionments on this data and will update the SAFETEA-LU estimates for FY 2008-2009 on the Web site. We regret any inconvenience this technical change in the source data for the formula may cause areas in their planning and selection of New Freedom projects. The Designated Recipient, either for the State or for a large UZA, is responsible for further allocating the funds to specific projects and subrecipients through a competitive selection process. If the Governor has designated more than one recipient of JARC funds in a large UZA, the Designated Recipients may agree to conduct a single competitive selection process or sub-allocate funds to each Designated Recipient, based upon a percentage split agreed upon locally and conduct separate competitions. 3. Requirements States and Designated Recipients must solicit grant applications and select projects competitively, based on application procedures and requirements established by the Designated Recipient, consistent with the Federal New Freedom program objectives. In the case of large UZAs, the area-wide solicitation shall be conducted in cooperation with the appropriate MPO(s). Funds are available to support the capital and operating costs of new public transportation services and public transportation alternatives that are beyond those required by the Americans with Disabilities Act. Funds provided under other Federal programs (other than those of the DOT) may be used as match for capital funds provided under Section 5317, and revenue from contract services may be used as local match. Funding is available for transportation services provided by public, non-profit, or private-for-profit operators. Assistance may be provided for a variety of transportation services and strategies directed at assisting persons with disabilities address unmet transportation needs. Eligible public transportation services and alternatives to public transportation funded under the New Freedom program must be both new and beyond the ADA. (Note, however, that FTA has published interim guidance holding Designated Recipients harmless for project selections conducted in good faith based on FTA's earlier preliminary determination that eligible services could be either new or beyond the ADA.) The Federal share is 80 percent of capital expenses and 50 percent of operating expenses. Funds provided under other Federal programs (other than those of the DOT) may be used for local/state match for funds provided under Section 5317, and revenue from service contracts may be used as local match. States and Designated Recipients may use up to ten percent of their annual apportionment to administer, plan, and provide technical assistance for a funded project. No local share is required for these program administrative funds. Funds used under this program for planning must be shown in the UPWP for MPO(s) with responsibility for that area. The Designated Recipient must certify that: the projects selected were derived from a locally developed, coordinated public transit-human services transportation plan; and, the plan was developed through a process that included representatives of public, private, and nonprofit transportation and human services providers and participation by the public, including those representing the needs of welfare recipients and eligible low-income individuals. The locally developed, coordinated public transit-human services transportation planning process must be coordinated and consistent with the metropolitan and statewide planning processes, and funding for the program must be included in the metropolitan and statewide Transportation Improvement Plan (TIP and STIP) at a level of specificity or aggregation consistent with State and local policies and procedures. Finally, the State must certify that allocations of the grant to subrecipients are made on a fair and equitable basis. The coordinated planning requirement is also a requirement in two additional programs. Projects selected for funding under the Section 5310 program and the JARC program are also required to be derived from a locally developed coordinated public transit-human service transportation plan. FTA anticipates that most areas will develop one consolidated plan for all the programs, which may include separate elements and other human service transportation programs. The New Freedom program is subject to the relevant requirements of Section 5307, but certification of labor protections is not required. FTA published a proposed circular for this program and is currently reviewing comments submitted to the docket. The new circular will be posted on the FTA Web site at http://www.fta.dot.gov when it is issued. 4. Period of Availability FTA is establishing a consistent three-year period of availability for New Freedom, JARC, and the Section 5310 program, which includes the year of apportionment plus two additional years. FY 2007 funding is available through FY 2009. Any funding that remains unobligated on September 30, 2009 will revert to FTA for reapportionment among the States and large UZAs under the New Freedom program. 5. Other Program or Apportionment Related Information and Highlights a. Designated Recipient. Beginning in FY 2007, FTA must have received formal notification from the Governor or Governor's designee of the Designated Recipient for New Freedom funds apportioned to a State or large UZA before awarding a grant to that area for New Freedom projects. b. Transfers to Section 5307 or 5311. States may transfer New Freedom funds to Section 5307 or Section 5311, but only for projects competitively selected under the New Freedom program, not as a general supplement for those programs. FTA anticipates that the States would use this flexibility for projects to be implemented by a Section 5307 recipient in a small urbanized area or for Federally recognized Indian Tribes that elect to receive funds as a direct recipient from FTA under Section 5311. FTA has established a new scope code (647) to track New Freedom projects included within a Section 5307 or 5311 grant. Transfer to Section 5307 or 5311 is permitted but not required. FTA will also award stand-alone Section 5317 grants to the State for any and all subrecipients. In order to track disbursements accurately against the appropriate program, FTA will not combine New Freedom funds with Section 5307 funds in a single Section 5307 grant, nor will FTA combine New Freedom with JARC funds in a single Section 5307 grant. c. Performance Measures. To support the evaluation of the program and Departmental reporting under the Governmental Performance and Results Act and the Office of Management and Budget's Performance Assessment and Rating Tool, FTA has incorporated reporting for performance measures into the annual progress report all New Freedom grantees submit in TEAM. O. Alternative Transportation in Parks and Public Land (49 U.S.C. 5320) The Alternative Transportation in Parks and Public Lands (ATPPL) program is administered by FTA in partnership with the Department of the Interior (DOI) and the U.S. Department of Agriculture's Forest Service. The purpose of the program is to enhance the protection of national parks and Federal lands, and increase the enjoyment of those visiting them. The program funds capital and planning expenses for alternative transportation systems such as buses and trams in federally managed parks and public lands. Federal land management agencies and State, tribal and local governments acting with the consent of a Federal land management agency are eligible to apply. DOI, after consultation with and in cooperation with FTA, determines the final selection and funding of projects. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, makes $23 million available for the program in FY 2007. Ten percent of the funds are reserved for administration and technical assistance. FTA published a Notice of Funding Availability (NOFA) in the Federal Register on December 5, 2006, inviting applications for projects to be funded in FY 2007. Applications were due to the appropriate Federal Land Management Agency on February 16, 2007. 2. Program Requirements Projects are competitively selected based on criteria specified in the Notice of Funding Availability. The terms and conditions applicable to the program are also specified in the NOFA. Projects must conserve natural, historical, and cultural resources, reduce congestion and pollution, and improve visitor mobility and accessibility. No more than 25 percent may be allocated for any one project. 3. Period of Availability The funds under the Alternative Transportation in Parks and Public Lands remain available until expended. 4. Other Program or Apportionment Related Information and Highlights Project selections for the FY 2006 funding were published in the Federal Register on September 12, 2006. Fifteen projects were awarded through direct grants to individual State and local governments. Twenty-seven projects were funded through reimbursable interagency agreements with the U.S. Forest Service, National Park Service, and Fish and Wildlife Service. Twenty-five of the projects (totaling $16 million) were capital projects and seventeen (totaling $3.6 million) were planning projects. P. Alternatives Analysis Program (49 U.S.C. 5339) The Alternatives Analysis Program provides grants to States, authorities of the States, metropolitan planning organizations, and local government authorities to develop studies as part of the transportation planning process. These studies include an assessment of a wide range of public transportation alternatives designed to address a transportation problem in a corridor or subarea; sufficient information to enable the Secretary to make the findings of project justification and local financial commitment required; the selection of a locally preferred alternative; and the adoption of the locally preferred alternative as part of the state or regional long-range transportation plan. For more information about this program contact Sean Libberton, Office of Planning and Environment, at (202) 366-4033. 1. FY 2007 Funding Availability The Continuing Appropriations Resolution, 2007, provides $25,000,000 to the Alternatives Analysis Program (49 U.S.C. 5339). The Act made available $18,900,000 for discretionary allocation to the projects designated in SAFETEA-LU. The balance of $6,100,000 will be made available for competitive allocation. Alternative Analysis Program Total Appropriation $25,000,000 Funds Allocated to SAFETEA-LU Earmarks 6,100,000 Funds Available for Discretionary/Competitive Allocation 18,900,000 Allocations to projects designated in SAFETEA-LU are displayed in Table 22. 2. Basis for Allocation of Funds Section 3037(c) of SAFETEA-LU included 18 projects to be funded through Alternatives Analysis Program in FYs 2006 and 2007. Table 22 displays the amounts available in FY 2007 to the Alternatives Analysis projects designated in SAFETEA-LU. In a separate part of today's Federal Register , FTA is publishing a Notice of Funding Availability to solicit applications for alternatives analysis projects that advance the state of the art for the balance of FY 2007 funds and the carryover funds available for competitive allocation from FY 2006. 3. Requirements Alternatives Analysis program funds may be made available to States, authorities of the States, metropolitan planning organizations, and local governmental authorities. The Government's share of the cost of an activity funded may not exceed 80 percent of the cost of the activity. The funds will be awarded as separate Section 5339 grants. The grant requirements will be comparable to those for Section 5309 grants. Eligible projects include planning and corridor studies and the adoption of locally preferred alternatives within the fiscally constrained Metropolitan Transportation Plan for that area. Funds awarded under the Alternatives Analysis Program must be shown in the UPWP for MPO(s) with responsibility for that area. Pre-award authority applies to these funds after Congress appropriates funds for these projects and the allocations are published in an FTA notice of apportionments and allocations. Legislation to amend the earmark is necessary should a recipient wish to use funds provided under Section 5339 for eligible project activities outside the scope of the project description. Unless otherwise specified in law, grants made under the Alternatives Analysis program must meet all other eligibility requirements as outlined in Section 5309. 4. Period of availability Funds designated for specific Alternatives Analysis Program projects remain available for obligation for three fiscal years, which includes the year of appropriation plus two additional fiscal years. The FY 2007 funding for projects included in this notice remains available through September 30, 2009. Alternatives Analysis funds not obligated in an FTA grant for their original purpose at the end of the period of availability will generally be made available for other projects. 5. Other Program or Apportionment Related Information and Highlights Table 23 lists prior year carryover of $19,305,000 for Alternative Analysis projects made available in FY 2006. Q. Growing States and High Density States Formula Factors The Continuing Appropriations Resolution, 2007, makes $404,000,000 available for apportionment in accordance with the formula factors prescribed for Growing States and High Density States in Section 5340 of SAFETEA-LU. Fifty percent of this amount (or $202,000,000) will be allotted eligible States and urbanized areas using the Growing State formula factors. The other 50 percent is apportioned to eligible States and urbanized areas using the High Density States formula factors. Based on application of the formulas, $138,734,486 of the Growing States funding was apportioned to urbanized areas and $63,265,514 to nonurbanized areas. All of the $202,000,000 allotted to High Density States is apportioned to urbanized areas. The term “State” is defined only to mean the 50 States. For the Growing State portion of Section 5340, funds are allocated based on the population forecasts for fifteen years after the date of that census. Forecasts are based on the trend between the most recent decennial census and Census Bureau population estimates for the most current year. Funds allocated to the States are then sub-allocated to urbanized and non-urbanized areas based on forecast population, where available. If forecasted population data at the urbanized level is not available, funds are allocated to current urbanized and non-urbanized areas on the basis of current population. Funds allocated to urbanized areas are included in their Section 5307apportionment. Funds allocated for non-urbanized areas are included in the states' Section 5311 apportionments. R. Over-the-Road Bus Accessibility Program (49 U.S.C. 5310 Note) The Over-the-Road Bus Accessibility (OTRB) Program authorizes FTA to make grants to operators of over-the-road buses to help finance the incremental capital and training costs of complying with the DOT over-the-road bus accessibility final rule, 49 CFR Part 37, published on September 28, 1998 (63 FR 51670). FTA conducts a national solicitation of applications, and grantees are selected on a competitive basis. For more information about the OTRB program contact Blenda Younger, Office of Transit Programs, at (202) 366-2053. 1. Funding Availability in FY 2007 The Continuing Appropriations Resolution, 2007, provides $7,600,000 for the Over-the-Road Bus Accessibility (OTRB) Program, which is the total amount allocable for OTRB, as shown in the table below. Total Appropriation $7,600,000 Funds Available for Competitive Allocation 7,600,000 Of this amount, $5,700,000 is allocable to providers of intercity fixed-route service, and $1,900,000 to other providers of over-the-road bus services, including local fixed-route service, commuter service, and charter and tour service. 2. Program Requirements Projects are competitively selected. The Federal share of the project is 90 percent of net project cost. Program guidance is provided in the Federal Register notice soliciting applications. We will publish a notice in the near future for applications for applications for the FY 2007 funding made available under the Continuing Appropriations Resolution, 2007. Operators of over the road buses may apply through www.grants.gov, or by submitting an application to the appropriate FTA regional office. Assistance is available to operators of buses used substantially or exclusively in intercity, fixed route, over-the-road bus service. Capital projects eligible for funding include projects to add lifts and other accessibility components to new vehicle purchases and to purchase lifts to retrofit existing vehicles. Eligible training costs include developing training materials or providing training for local providers of over-the-road bus services. 3. Period of Availability Funds are available until expended. 4. Other Program or Apportionment Related Information and Highlights A Federal Register notice of FY 2006 project selections was published December 4, 2007, and is available at http://www.fta.dot.gov/laws/leg_reg_federal_register.html/. V. FTA Policy and Procedures for FY 2007 Grants A. Automatic Pre-Award Authority To Incur Project Costs 1. Caution to New Grantees. While we provide pre-award authority for many projects, we do not recommend that first-time grant recipients utilize the automatic pre-award authority to incur expenses before the grant is actually awarded by FTA. As a new grantee, it is easy to misunderstand pre-award authority conditions and not be aware of all of the applicable FTA requirements that must be met in order to be reimbursed for project expenditures incurred in advance of grant award. FTA programs have specific statutory requirements that are often different from those for other Federal grant programs with which new grantees may be familiar. If funds are expended for an ineligible project or activity, FTA will be unable to reimburse the project sponsor. 2. Policy. FTA provides blanket, or automatic, pre-award authority in certain program areas described below. This pre-award authority allows grantees to incur certain project costs prior to grant approval and retain their eligibility for subsequent reimbursement after grant approval. The grantee assumes all risk and is responsible for ensuring that all conditions are met to retain eligibility. This automatic pre-award spending authority permits a grantee to incur costs on an eligible transit capital, operating, planning, or administrative project without prejudice to possible future Federal participation in the cost of the project or. In the Federal Register Notice of November 30, 2006, FTA extended pre-award authority for capital assistance under all formula programs through FY 2009, the duration of SAFETEA-LU. FTA provides pre-award authority for planning and operating assistance under the formula programs without regard to the period of the authorization. In addition, we extend pre-award authority for certain discretionary programs based on the annual Appropriations Act each year. All pre-award authority is subject to conditions and triggers stated below: a. FTA does not impose additional conditions on pre-award authority for operating, planning, or administrative assistance under the formula grant programs. Grantees may be reimbursed for expenses incurred prior to grant award so long as funds have been expended in accordance with all Federal requirements. In addition to cross-cutting Federal grant requirements, program specific requirements must be met. For example, a planning project must have been included in a UPWP; a New Freedom operating assistance project or a JARC planning or operating project must have been derived from a coordinated plan and competitively selected by the Designated Recipient prior to incurring expenses; expenditure on State Administration expenses under State Administered programs must be consistent with the State Management Plan. Designated Recipients for JARC and New Freedom have pre-award authority for the ten percent of the apportionment they may use for program administration. b. Pre-Award authority for Alternatives Analysis planning projects designated in 49 U.S.C. 5339, as amended by SAFETEA-LU, is triggered by the publication of the allocation in FTA's Federal Register Notice of Apportionments and Allocations following the annual Appropriations Act and must be included in the UPWP of the MPO for that metropolitan area. c. Pre-award authority for design and environmental work on a capital project is triggered by the authorization of formula funds, or the appropriation of funds for a discretionary project and publication of the project in FTA's annual Federal Register Notice of apportionments and allocations. d. Following authorization of formula funds or appropriation and publication of discretionary projects, pre-award authority for capital project implementation activities including property acquisition, demolition, construction, and acquisition of vehicles, equipment, or construction materials is triggered by completion of the environmental review process with FTA's concurrence in the categorical exclusion (CE) determination or signing of an environmental Record of Decision (ROD) or Finding of No Significant Impact (FONSI). Prior to exercising pre-award authority, grantees must comply with the conditions and Federal requirements outlined in paragraph 3 below. Failure to do so will render an otherwise eligible project ineligible for FTA financial assistance. Capital projects under the Section [Text truncated at 120,000 characters. The full text is on the page linked above.] --- Source: Frix Law Library, https://www.frixlaw.com/law-library/documents/fr%3A07-1290. Public record. Not legal advice.