FTA Fiscal Year 1999 Apportionments, Allocations and Program Information
Federal RegisterNov 6, 1998
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DEPARTMENT OF TRANSPORTATION
Federal Transit Administration
FTA Fiscal Year 1999 Apportionments, Allocations and Program
Information
AGENCY: Federal Transit Administration (FTA), DOT.
ACTION: Notice.
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SUMMARY: The Omnibus Consolidated and Emergency Supplemental
Appropriations Act, Fiscal Year 1999 includes Appropriations for
Department of Transportation (DOT) and Related Agencies for fiscal year
1999 (Pub. L. 105-277), signed into law by President Clinton on October
21, 1998, and provides fiscal year 1999 appropriations for the Federal
Transit Administration (FTA) transit assistance programs. Based upon
this Act, the Transportation Equity Act for the 21st Century (TEA-21),
and 49 U.S.C. Chapter 53, this Notice contains a comprehensive list of
apportionments and allocations of the various transit programs.
This Notice includes the apportionment of fiscal year 1999 funds in
the 1999 Omnibus Appropriations Act for the Metropolitan Planning
Program and State Planning and Research Program, the Urbanized Area
Formula Program, the Nonurbanized Area Formula Program, the Elderly and
Persons with Disabilities Program, the Rural Transit Assistance
Program, and the Capital Program for Fixed Guideway Modernization. This
Notice also contains the allocations of funds for the New Starts and
Bus categories under the Capital Program in the 1999 Omnibus
Appropriations Act. Also it contains general information about new
programs established under TEA-21: the Clean Fuels Formula Program, the
Over-the-Road Bus Accessibility Program, the Job Access and Reverse
Commute Program, and the Transportation and Community and System
Preservation Pilot Program.
Information regarding TEA-21 funding authorization levels for use
in developing Metropolitan Transportation Improvement Programs (TIPS)
and State Transportation Improvement Programs (STIP) is also included.
For informational purposes, this Notice contains the apportionment of
fiscal year 1999 funds for the Federal Highway Administration (FHWA)
Metropolitan Planning Program and the estimated apportionment of the
fiscal year 1999 State Planning and Research Program.
Included in this Notice is a listing of prior year unobligated
allocations for the Section 5309 New Starts and Bus Programs as in
previous year notices. In addition, the FTA policy regarding pre-award
authority to incur project costs, the Letter of No Prejudice Policy, as
well as other pertinent program information is included.
FOR FURTHER INFORMATION CONTACT:
The appropriate FTA Regional Administrator for grant-specific
information and issues; Patricia Levine, Director, Office of Resource
Management and State Programs, (202) 366-2053, for general information
about the Urbanized Area Formula Program, the Nonurbanized Area Formula
Program, the Elderly and Persons with Disabilities Program, the Rural
Transit Assistance Program, the Clean Fuels Formula Program, the Over-
the-Road Bus Accessibility Program, or the Capital Program; or Robert
Stout, Director, Office of Planning Operations, (202) 366-6385, for
general information concerning the Metropolitan Planning Program, the
State Planning and Research Program, and the Transportation and
Community and System Preservation Pilot Program.
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Background
II. Overview of Appropriations for Grant Programs
A. General
B. TEA-21 Authorized Levels
C. Project Management Oversight
III. Outreach
A. FTA-Sponsored TEA-21 Listening Sessions
B. Revised Program Guidance Circulars
IV. Emphasis Areas
A. Americans with Disabilities Act Compliance
B. National ITS Architecture and Standards Requirements
V. Transportation Electronic Awards and Management System
A. Background
B. Transportation of Electronic Awards and Management System
C. Fiscal Year 1999 Emphasis
VI. Expanded Definition of Capital
A. Preventive Maintenance
B. ADA Complementary Paratransit Service
C. Capital Cost of Contracting
VII. Section 5303 Metropolitan Planning Program and Section 5313(b)
State Planning and Research Program
A. Metropolitan Planning Program
B. State Planning and Research Program
C. Data Used for Metropolitan Planning Apportionments and State
Planning and Research Apportionments
D. FHWA Metropolitan Planning Program and State Planning and
Research Program
E. Local Match Waiver for Job Access Planning Activities
F. Planning Emphasis Areas
G. Federal Planning Certification Reviews
H. Consolidated Planning Grant
I. New Starts Evaluation and Criteria
J. Metropolitan Transportation Improvement Programs (TIPs) and
State Transportation Improvement Programs (STIPs)
K. Metropolitan Planning
VIII. Section 5307 Urbanized Area Formula Program
A. Total Urbanized Area Formula Apportionments
B. Data Used for Urbanized Area Formula Apportionments
C. Adjustments for Energy and Operating Efficiencies
D. Urbanized Area Formula Fiscal Year 1999 Apportionments to
Governors
E. Transit Enhancements
F. Fiscal Year 1999 Operating Assistance
G. Carryover Funds for Operating Assistance
H. Designated Transportation Management Areas
I. Urbanized Area Formula Funds Used for Highway Purposes
IX. Section 5311 Nonurbanized Area Formula Program and Section
5311(b) Rural Transit Assistance Program (RTAP)
A. Nonurbanized Area Formula Program
B. Rural Transit Assistance Program (RTAP)
X. Section 5310 Elderly and Persons With Disabilities Program
XI. Surface Transportation Program Flexible Funds Used for Transit
Purposes (Title 23, U.S.C.)
A. Transfer Process
B. Matching Share for Flexible Funds
C. Other Funds Transferred to FTA
XII. Section 5309 Capital Program
A. Fixed Guideway Modernization
B. New Starts
C. Bus
XIII. New Programs
A. Section 5308 Clean Fuels Formula Program
B. Over-the-Road Bus Accessibility Program
C. Job Access and Reverse Commute Program
D. Transportation and Community and System Preservation Pilot
Program
XIV. Unit Values of Data for Section 5307 Urbanized Area Formula
Program, Section 5311 Nonurbanized Area Formula Program, and Section
5309 Fixed Guideway Modernization Program
XV. Period of Availability of Funds
XVI. Automatic Pre-award Authority To Incur Project Costs
A. Background
B. Conditions
C. Environmental, Planning, and Other Federal Requirements
XVII. Letter of No Prejudice Policy (Prior Approval of Pre-Award
Authority)
A. Policy
B. Conditions
C. Environmental, Planning, and Other Federal Requirements
D. Request for LONP
XVIII. State Infrastructure Banks
XIX. FTA Home Page on the Internet
XX. 1999 Annual List of Certifications and Assurances
XXI. Grant Application Procedures Tables
1. FTA Fiscal Year 1999 Appropriations for Grant Programs
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2. FTA Fiscal Year 1999 Section 5303 Metropolitan Planning
Apportionments and Section 5313(b) State Planning and Research
Apportionments
3. FHWA Fiscal Year 1999 Apportionment for the Metropolitan
Planning Program and Estimated Fiscal Year 1999 Apportionment for
the State Planning and Research Program
4. FTA Fiscal Year 1999 Section 5307 Urbanized Area Formula
Apportionments
5. FTA Fiscal Year 1999 Section 5311 Nonurbanized Area Formula
Apportionments, and Section 5311(b) Rural Transit Assistance Program
(RTAP) Allocations
6. FTA Fiscal Year 1999 Section 5310 Elderly and Persons With
Disabilities Apportionments
7. FTA Fiscal Year 1999 Section 5309 Fixed Guideway
Modernization Apportionments
8. FTA Fiscal Year 1999 Section 5309 New Start Allocations
8A. FTA Prior Year Unobligated Section 5309 New Start
Allocations
9. FTA Fiscal Year 1999 Section 5309 Bus Allocations
9A. FTA Prior Year Unobligated Section 5309 Bus Allocations
10. FTA TEA-21 Authorization Levels (Guaranteed Funding Only)
10A. FTA TEA-21 Authorization Levels (Guaranteed and
Nonguaranteed Funding)
11. FTA Fiscal Years 1999-2003 Apportionment Formula for Section
5307 Urbanized Area Formula Program
12. FTA Fiscal Years 1998-2003 Apportionment Formula for Section
5309 Fixed Guideway Modernization Program
13. Unit Values of Data--FTA FY 1999 Formula Grant
Apportionments
I. Background
Metropolitan Planning funds are apportioned by a statutory formula
to the Governors for allocation by them to Metropolitan Planning
Organizations (MPOs) in urbanized areas or portions thereof. State
Planning and Research funds also are apportioned to states by a
statutory formula. Urbanized Area Formula Program funds are apportioned
by statutory formula to urbanized areas and to the Governors to provide
capital, operating and planning assistance in urbanized areas.
Nonurbanized Area Formula Program funds are apportioned by statutory
formula to the Governors for capital, operating and administrative
assistance in nonurbanized areas. The Elderly and Persons with
Disabilities Program funds are apportioned by statutory formula to the
Governors to provide capital assistance to organizations providing
transportation service for the elderly and persons with disabilities.
Fixed Guideway Modernization funds are apportioned by statutory formula
to specified urbanized areas for capital improvements in rail and other
fixed guideways. New Start and Bus funds identified in the Omnibus
Appropriations Act are also included in this Notice.
II. Overview of Appropriations for Grant Programs
A. General
The fiscal year 1999 appropriations for the FTA program is
$5,390,000,000, the guaranteed funding level under TEA-21, plus an
additional $25,000,000 above the guaranteed level to support the
Administration's proposed and TEA-21 adopted Job Access and Reverse
Commute Program.
In fiscal year 1999, the appropriation for the Metropolitan
Planning Program is $43,841,600 and $9,158,400 for the State Planning
and Research Program. The appropriation for formula grants totals
$2,850,000,000. Under statutory authority, the distribution of the
total formula funds available is as follows: $4,849,950 is set aside
for the Alaska Railroad, $50,000,000 for the Clean Fuels Formula
Program is transferred to the Capital Investment Bus program, and
$2,000,000 is for the Over-the-Road Bus Accessibility Program. Of the
remaining amount of $2,793,150,050, 91.23 percent ($2,548,190,791) is
made available to the Urbanized Area Formula Program, 6.37 percent
($177,923,658) is made available to the Nonurbanized Area Formula
Program, and 2.4 percent ($67,035,601) is made available to the Elderly
and Persons with Disabilities Program.
The other program appropriations contained in this Notice are as
follows: $5,250,000 for the Rural Transit Assistance Program (RTAP);
and $2,257,000,000 for the Capital Program. Of the Capital Program
amount, $902,800,000 is for Fixed Guideway Modernization, $902,800,000
is for New Starts, and $451,400,000 is for Bus Capital. In addition,
$50,000,000 of formula funds for Clean Fuels was transferred to and
merged with the Bus Capital Program increasing that program to
$501,400,000. $75,000,000 is for the Job Access and Reverse Commute
Program.
Table 1 displays the amounts appropriated for these programs,
including adjustments and final apportionment and allocation amounts.
The following text provides a narrative explanation for the funding
levels and other factors affecting these apportionments and
allocations.
B. TEA-21 Authorized Program Levels
TEA-21 provides a combination of trust and general fund
authorizations that total $6,542,000,000 for fiscal year 1999 FTA
program. Of this amount, $5,365,000,000 is guaranteed under the
discretionary spending cap. See Table 9 for fiscal years 1998-2003
guaranteed fund levels by program, and Table 9A for the total of
guaranteed and non-guaranteed levels by program.
Information regarding estimates of the fundings levels for 1999-
2003 by state and urbanized area is available on the FTA home page at
www.fta.dot.gov. These numbers are for planning purposes only as they
will be revised in the future but may be used for programming
metropolitan transportation improvement programs and statewide
transportation improvement programs.
C. Project Management Oversight
49 U.S.C. Section 5327 allows the Secretary of Transportation to
use not more than one-half percent of the funds made available under
the Urbanized Area Formula Program, the Nonurbanized Area Formula
Program; the National Capital Transportation Act, as 1 amended; and
three-quarters percent of funds made available under the Capital
Program to contract with any person to oversee the construction of any
major project under these statutory programs; to conduct safety,
procurement, management and financial reviews and audits; and to
provide technical assistance to correct deficiencies identified in
compliance reviews and audits. Therefore, one-half percent of the funds
appropriated for the Urbanized Area Formula Program, the Nonurbanized
Area Formula Program and the National Capital Transportation Act, as
amended, for fiscal year 1999, and three-quarters percent of Capital
Program funds have been reserved for these purposes before
apportionment of funds.
III. Outreach
A. FTA-Sponsored TEA-21 Listening Sessions
Over a thirty-day period that began in early September of 1998, the
FTA conducted eight listening sessions for its customers and
constituents. Sessions were held in Dallas, Portland, San Francisco,
Atlanta, Kansas City, Chicago, Philadelphia, and New York.
The sessions were designed to allow FTA leadership and staff to
hear the concerns and issues that people had with respect to the
implementation of TEA-21. The overwhelming majority of people who spoke
during the sessions asked questions about new provisions,
implementation schedules and funding levels. The principal issues in
all of the
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sessions were changes in the New Start evaluation process, the new
preventive maintenance provision, and the three new programs: Job
Access and Reverse Commute; Clean Fuel Formula; and Over-the-Road Bus
Accessibility.
B. Revised Program Guidance Circulars
To incorporate changes introduced in TEA-21, FTA has issued revised
program guidance circulars. New circulars, which are all effective
October 1, 1998, include C9030.1C, Urbanized Area Formula Program:
Grant Application Instructions; C9040.1E, Nonurbanized Area Formula
Program Guidance and Grant Application Instructions; C9070.1E, Elderly
and Persons with Disabilities Program Guidance and Grant Application
Instructions; C9300.1A, Capital Program: Grant Application
Instructions; and C5010.1C, Grant Management Guidelines.
IV. Emphasis Areas
A. Americans With Disabilities Act Compliance
With eight years since the passage of the Americans with
Disabilities Act (ADA), compliance with all aspects of ADA is one of
FTA's highest priorities. FTA will continue to focus on grantees'
compliance with ADA. Several grantees have entered into voluntary
compliance agreements (VCAs) which represent their commitment to come
into full compliance. FTA will continue to monitor the milestones in
the VCAs and expects the grantees to meet them.
TEA-21 and the fiscal year 1999 Omnibus Appropriations Act provide
unprecedented levels of funding for public transportation and these
increased funds should be utilized to ensure speedy and full compliance
with all aspects of the ADA.
Grantees that may have difficulties with ADA compliance should
contact their FTA regional office as soon as they are aware of any
problems.
B. National ITS Architecture and Standards Requirements
Section 5206(e) of TEA-21 requires that Intelligent Transportation
Systems (ITS) projects using funds from the Highway Trust Fund
(including the Mass Transit Account) conform to the National ITS
Architecture and Standards. Interim guidance on conformity with
National ITS Performance Standards was issued October 2, 1998 jointly
by FTA and FHWA. This document provides guidance for meeting this
provision of TEA-21 and is available from the FTA regional office or on
the internet at www.its.dot.gov. These standards and requirements apply
to fiscal year 1999 bus allocations included in this notice which
contain ITS components.
Questions regarding the applicability of these standards and
requirements should be addressed to the FTA regional office or Ronald
Boenau, FTA Office of Research, Demonstration and Innovation at (202)
366-0195.
V. Transportation Electronic Awards and Management System
A. Background
The FTA Grants Management Information System (GMIS) became
operational 10 years ago. In 1994 FTA began the Electronic Grant Making
and Management (EGMM) initiative. The EGMM program is a paperless
electronic grant application, review, approval, acceptance and
management process. This program started as a pilot effort and involved
20 grantees nationwide who served as pilots. By fiscal year 1998, 191
grantees were participating in the FTA EGMM program. Over 800 grantees
were on line for various management activities such as filing of
financial and narrative status reports. In addition, grantees could use
EGMM for the electronic signature of annual certifications and
assurances. During the assessment of the GMIS, FTA became aware that
the GMIS was not Year 2000 compliant.
B. Transportation Electronic Awards and Management System (TEAM)
On November 2, 1998, FTA will introduce its third generation of
electronic enhancements when the Transportation Electronic Awards and
Management System, the TEAM system, becomes operational. This will make
FTA's mission critical grant management systems Year 2000 compliant,
and the FTA grant delivery process will not be interrupted. The TEAM
system utilizes graphical user interface (GUI) technology providing
point and click ``Smart'' selections that aid the grant recipients with
their business process for submitting applications and management
reporting.
During fiscal year 1999, the TEAM system will use a dual grant
numbering system which includes the current system and one that
reflects the codification of Federal transit laws. For example, a
current number may be NY-90-X321; the new number would be NY-5307-0321.
Starting with fiscal year 2000, only the numbers reflecting the
codification will be used.
FTA outreach to the industry has been extensive and thorough. FTA
personnel have traveled to 30 cities to conduct hands-on training
sessions, which have attracted over 1,200 transit industry
professionals--with more sessions underway until everyone who uses FTA
programs can access the TEAM system. On September 30, 1998, FTA began
distributing the TEAM system software to grantees at no charge and
expects all grantees to apply for grants electronically in fiscal year
1999.
C. Fiscal Year 1999 Emphasis
In fiscal year 1999 FTA expects grantees to use the TEAM system
grantees for grant application and approval, as well as for grant
management activities if they have not already done so. FTA also
expects all grantees to file the fiscal year 1999 Certifications and
Assurances electronically using the TEAM system.
VI. Expanded Definition of Capital
A. Preventive Maintenance
Preventive maintenance, an expense that became eligible for FTA
capital assistance for one year with the DOT 1998 Appropriations Act,
was established as permanently eligible for FTA capital assistance
under TEA-21; therefore, FY 1998 funds and subsequent fiscal year
appropriations may be used for preventive maintenance. Preventive
maintenance costs are defined as all maintenance costs. For general
guidance regarding eligible maintenance costs, the grantee should refer
to the definition of maintenance in the most recent National Transit
Database reporting manual. A grantee may continue to request assistance
for capital expenses under the FTA policies governing associated
capital maintenance items (spare parts), vehicle overhaul as 20 percent
of maintenance, maintenance of vehicle leased under contract, and
vehicle rebuilds (major re-work); or a grantee may choose to capture
all maintenance under preventive maintenance. If a grantee purchases
service instead of operating service directly, and maintenance is
included in the contract for that purchased service, then the grantee
may apply for preventive maintenance capital assistance under the
capital cost of contracting policy. The capital cost of contracting
policy is discussed below.
For accounting purposes, the grantee is cautioned not to confuse
the fact that an item generally considered to be an operating expense
is eligible for FTA capital assistance. Generally accepted accounting
principles and the grantee's accounting system detemine those costs
that are to be accounting for as operating costs. The National Transit
Database
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Reporting System (NTD) follows generally accepted accounting
principles, so a grant recipient reporting to the NTD must report the
operating costs the grant recipient has incurred as operating costs
regardless of its eligibility for FTA capital assistance. Nevertheless,
under provisions of TEA-21 and earlier under provision of the fiscal
year 1998 Approriations Act, some of those operating costs, while
continuing to be accounted for as operating costs in the grant
recipient's accounting records, are now eligible for FTA capital
assistance. Grantees may not count the same costs twice.
B. ADA Complimentary Paratransit Service
TEA-21 expanded the definition of an eligible capital project to
include: ``* * * the provision of nonfixed route paratransit
transportation in accordance with Section 223 of the Americans with
Disabilities Act of 1990 (42 U.S.C. 12143), but only for grant
recipients that are in compliance with the applicable requirements of
the Act, including both fixed route and demand responsive service, and
only for amounts not to exceed 10 percent of such recipient's annual
formula apportionment under sections 5307 and 5311.''
Recipients of formula funds under the Urbanized Area Formula
Program and the Nonurbanized Area Formula Program may now use up to 10
percent of their annual formula apportionment to pay for ADA
paratransit operating costs. Section 223 of the ADA defines the
specific type of paratransit service that is eligible for this new
provision which is implemented in Subpart F of the Department of
Transportation's ADA regulation, which (at 49 CFR Part 37) explains the
ADA paratransit eligibility process, and the service criteria (service
area, response time, fares, trip purpose restrictions, hours and days
of service and capacity constraints).
a. ADA Compliance. Eligibility for using this expanded definition
of capital is dependent upon compliance with ADA requirements.
Currently, FTA grantees are required to certify compliance with ADA on
an annual basis. Non-compliance with ADA is the result of a formal
determination by FTA. Transit systems determined as being in non-
compliance are not eligible to use this provision. Grantees who do not
make satisfactory progress in negotiating voluntary compliance
agreements or who do not achieve milestones within signed agreements
will lose their eligibility for funds for paratransit operating
expenses.
b. Non-ADA Paratransit. Operating costs associated with paratransit
services which are not required by the ADA are not eligible for this
funding option.
c. Time of Costs Incurred. FTA reimbursement at the 80 percent
Federal share for ADA paratransit costs under this provision must be by
means of a grant awarded after June 9, 1998. Eligible costs must have
been incurred in a local fiscal year ending after June 9, 1998.
d. Implementation in UZA's with More than One Grantee. For those
urbanized areas with more than one ADA paratransit provider, it will be
the responsibility of the Metropolitan Planning Organization (MPO),
working with the transit operators, to program up to 10 percent of the
urbanized area's apportionment should it want to utilize this
eligibility.
C. Capital Cost of Contracting
Some FTA grantees contract for transit service, for maintenance
service, or for vehicles that the grantee will use in transit service.
FTA traditionally provides assistance for the capital consumed in the
course of the contract. The concept of assisting with capital consumed
is referred to as the ``capital cost of contracting.'' FTA provides
assistance at the 80/20 FTA/local share ratio for the capital cost of
contracting.
To incorporate the fact that preventive maintenance is now an
eligible capital cost, FTA has changed the admininstration of the
Capital Cost of Contracting policy, effecitive with fiscal year 1998
funds. Preventive maintenance costs are now included within the capital
cost of contracting category, along with the capital charges for the
use of assets (capital consumed). Consequently, revisions have been
made to the schedule of precentages and type of contract used in the
past. The new schedule appears in the revised Circular 9030.1C.
VII. Section 5303 Metropolitan Planning Program and Section 5313(b)
State Planning and Research Program
A. Metropolitan Planning Program
The fiscal year 1999 Metropolitan Planning apportionment to states
for MPOs to be used in urbanized areas totals $43,901,198. This amount
includes $43,841,600 in fiscal year 1999 appropriated funds, and
$59,598 in prior year deobligated funds which have become available for
reallocation for this program. A basic allocation of 80 percent of this
amount ($35,120,958) is distributed to the states based on the state's
urbanized area population as defined by the U.S. Census Bureau for
subsequent state distribution to each urbanized area, or parts thereof,
within each state. A supplemental allocation of the remaining 20
percent ($8,780,240) is also provided to the States based on an FTA
administrative formula to address planning needs in the larger, more
complex urbanized areas. Table 2 contains the final state
apportionments for the combined basic and supplemental allocations.
Each state, in cooperation with the MPOs, must develop an allocation
formula for the combined apportionment which distributes these funds to
MPOs representing urbanized areas, or parts thereof, within the State.
This formula, which must be approved by the FTA, must ensure to the
maximum extent practicable that no MPO is allocated less than the
amount it received by administrative formula under the Metropolitan
Planning Program in fiscal year 1991 (minimum MPO allocation). Each
state formula must include a provision for the minimum MPO allocation.
Where the State and MPOs desire to use a new formula not previously
approved by FTA, it must be submitted to the appropriate FTA Regional
Office for prior approval.
B. State Planning and Research Program
The fiscal year 1999 apportionment for the State Planning and
Research Program totals $9,257,248. This amount includes $9,158,400 in
fiscal year 1999 appropriated funds, and $98,848 in prior year
deobligated funds which have become available for reallocation to this
program. Final state apportionments for this program are also contained
on Table 2. 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 planning funds
allocated by the state to its urbanized areas as the state deems
appropriate.
C. Data Used for Metropolitan Planning and State Planning and Research
Apportionments
Population data from the 1990 Census is used in calculating these
apportionments. The Metropolitan Planning funding provided to urbanized
areas in each state by administrative formula in fiscal year 1991 was
used as a ``hold harmless'' base in calculating funding to each State.
D. FHWA Metropolitan Planning Program and State Planning and Research
Program
For informational purposes, the fiscal year 1999 apportionment for
the FHWA
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Metropolitan Planning Program and estimated apportionment for fiscal
year 1999 State Planning and Research Program are contained in Table 3.
E. Local Match Waiver for Job Access Planning Activities
Federal, state, and local welfare reform initiatives may require
the development of new and innovative public and other transportation
services to ensure that former welfare recipients have adequate
mobility for reaching employment opportunities. In recognition of the
key role that transportation plays in ensuring the success of welfare-
to-work initiatives, FTA and FHWA are continuing the policy established
last year to permit waiver of the local match requirement for job
access planning activities undertaken with metropolitan Planning
Program and State Planning and Research Program funds. FTA and FHWA
will support requests for waivers when they are included in
metropolitan Unified Planning Work Programs and State Planning and
Research Programs and meet all other appropriate requirements.
F. Planning Emphasis Areas
(1) The Concept: The FTA and FHWA have cooperatively developed
Planning Emphasis Areas (PEA) for fiscal years 1999 and 2000. Emphasis
areas promote priority themes for consideration, as appropriate, in
metropolitan and statewide transportation planning processes.
(2) An Emphasis on System Management and Operation: TEA-21
identifies system management and operation as a focal theme and context
for transportation investment nationwide. The Conference Report
supporting TEA-21 contains language that places high priority on
Operations and Management, as indicated by the following excerpt. ``It
is in the national interest to encourage and promote the safe and
efficient management, operation, and development of surface
transportation systems that will serve the mobility needs of people and
freight and foster economic growth and development within and through
urbanized areas * * *''
TEA-21 identifies seven planning areas to be considered in
metropolitan and statewide planning. These include:
(A) support the economic vitality of the metropolitan area,
especially by enabling global competitiveness, productivity, and
efficiency;
(B) increase the safety and security of the transportation system
for motorized and nonmotorized users;
(C) increase the accessibility and mobility options available to
people and for freight;
(D) Protect and enhance the enviroment, promote energy
conservation, and improve quality of life;
(E) enhance the integration and connectivity of the transportation
system, across and between modes, for people and freight;
(F) promote efficient system management and operation; and
(G) emphasize the preservation of the existing transportation
system.
Planning area (F) promotes the consideration of efficient system
management and operation in transportation planning processes and
recognizes that we cannot always build our way out of congestion but
need to better manage and operate the existing system. Many agencies
that use a traditional capital intensive, capacity-enhancing
programming process to address the area's transportation problems will
need to review and revise their planning and programming process to
consider system management and operations.
(3) DOT Activities in Support of Management and Operations: FTA and
FHWA will work to support metropolitan areas and states in their
efforts to incorporate system management and operation strategies in
their local planning processes.
DOT is spearheading an effort to develop a collaborative dialogue
among a broad range of transportation stakeholders leading to a
consenus of the role of management and operations in transportation
decision-making. This dialogue would identify customer needs for
training and technical assistance. Support for integrated planning and
application of Intelligent Transportation Systems (ITS) strategies,
including the role of ITS National Architecture, is another effort
supporting system management and operation.
(4) Next Steps: FTA and FHWA will be working over the coming months
to support further development of the added emphasis on System
Management and Operation and outline a comprehensive approach for
consideration and use by MPOs.
G. Federal Planning Certification Reviews
Federal certification of the planning process is conducted in a
Transportation Management Area (TMA), which is an urbanized area with a
population of 200,000 and above or other urbanized areas designated by
the Secretary of Transportation (the Secretary). The Secretary is
responsible for certifying, at least once every three years, that the
metropolitan transportation planning process in the TMA is being
carried out under applicable provisions of Federal law.
Dates for site visits for the TMAs to be reviewed in fiscal year
1999 are being established and will be available on the FTA Home Page
at http://www.fta.gov/office/planning.
For further information regarding Federal certifications of the
planning process contact: For FTA: Mr. Charles Goodman, FTA
Metropolitan Planning Division (TPL-12), 202-366-1944; or Scott Biehl,
FTA Office of Chief Counsel (TCC-30), 202-366-4063. For FHWA: Mr.
Sheldon Edner, FHWA Metropolitan Planning Division (HEP-20), 202-366-
4066; or Reid Alsop, FHWA Office of the Chief Counsel (HCC-31), 202-
366-1371.
H. Consolidated Planning Grant
In fiscal year 1997, FTA and FHWA began offering states the option
of participating in a pilot Consolidated Planning Grant (CPG) program.
Eleven states are participating in the pilot so far. Since the first
CPG grant was awarded in April 1997, more than $95,000,000 has been
obligated by the pilot states. Of this total, more than $69,700,000 is
from FHWA sources. Of the eleven participants, nine have completed at
least one full year under the pilot. Of the nine, two states have
elected to continue the pilot with new, separate CPG grants for the
second year. This approach treats the CPG much as FHWA funds are
treated currently; that is, as basically annual apportionments with a
yearly close-out of project activities and a deobligation and
reobligation cycle. Seven states have elected to amend the original CPG
grant to add new fiscal year funds to treat the CPG more like an FTA
grant, but with even greater flexibility. Under the multi-year approach
option, the CPG grant would stay open for a period of years to be
determined by the state (and MPO, jointly, for Metropolitan Planning
funds) with the approval of the Federal Government. New apportionments
can be added by grant amendment as funds become available. The ease
with which a state can opt for the single year or the multi-year
approach to the CPG grant speaks to the flexibility intended for the
program.
One of our original goals in developing the CPG Pilot was to give
states and MPOs more control over their planning resources with a
combination of broader financial controls and greater flexibility in
the management of their planning activities. After more than one full
year's experience under the pilot,
[[Page 60057]]
FTA's annual review of planning program fund balances and potential
lapsing funds revealed that none of the pilot states had funds in
danger of lapsing (under FTA's planning programs, funds that are
unobligated after four years' time lapse to the state). Further, only
two of the eleven pilot states have any FTA planning funds available
that were appropriated before fiscal year 1998. As in previous years,
pre-award authority is granted to both of FTA's planning programs as
part of this annual Notice. This pre-award authority enables states to
continue planning program activities from year to year with the
assurance that eligible costs can later be converted to a regularly
funded Federal project without the need for prior approval or
authorization from the granting agency.
This November, FTA will be providing an enhancement to its
electronic grant system (TEAM system) that can be used to request
planning grants, obligate funds, monitor fund balances and grant
status, and file financial and status reports for the CPG. While
benefiting all grants, these enhancements are particularly well suited
to the very streamlined funding request format of the CPG Pilot. As
part of the pilot, FTA will continue to work with participating states
to increase the flexibility and further streamline the consolidated
approach to planning grants. For further information on participating
in the CPG Pilot, contact Ms. Candace Noonan, Intermodal and Statewide
Planning Division, FTA, at (202) 366-1648 or Anthony Solury,
Metropolitan Planning Division, FHWA, at (202) 366-5003.
I. New Starts Evaluation and Criteria
TEA-21 includes several changes to the evaluation process and
criteria for New Starts fixed guideway projects. The Secretary shall
consider several additional criteria in the Department's review and
evaluation of candidate New Starts projects. FTA will be required to
evaluate each project authorized for New Starts funding by each
criterion, as well as provide an overall project rating of ``highly
recommended,'' ``recommended,'' and ``not recommended.'' In addition to
its annual report to Congress on Funding Levels and Allocations of
Funds for Transit Major Capital Investments, FTA will be required to
issue a supplemental report in August of each year which rates all
projects that have completed alternatives analysis and preliminary
engineering since the date of the last report. FTA must also approve
candidate New Starts project's entry into final design. FTA also
continues its prior approval authority for entrance into preliminary
engineering.
TEA-21 requires that no less than 92 percent of the annual New
Starts program must be used for final design and construction.
FTA will soon issue regulations implementing the New Starts
provision of TEA-21.
J. Metropolitan Transportation Improvement Programs (TIPs) and State
Transportation Improvement Programs (STIPs)
Both the TIPs and STIPs, major products of the metropolitan and
State transportation planning processes, continue to be required under
TEA-21 and 23 CFR part 450. TEA-21 has provided new authorization
levels as well as new programs for the FTA and FHWA. Development of 3-
year TIPs and STIPs requires knowledge of Federal FTA and FHWA funding
amounts and sources. With respect to Federal funding sources,
``available'' or ``committed'' funds identified in TIPs and STIPs are
to be taken to mean authorized and/or appropriated funds. Authorized
amounts for the purposes of TEA-21 include the total of guaranteed and
nonguaranteed funding. FTA and FHWA funding amounts and sources for the
six years of TEA-21 are provided by State and/or urbanized areas on the
Internet at the following locations: (1) FTA, http://www.fta.dot.gov/
library/policy/t21toc.htm and (2) FHWA, http://www.fhwa.dot.gov/tea21/
98appor.htm.
K. Metropolitan Planning
TEA-21 retains much of the basic structure of the metropolitan and
statewide planning process, as established by ISTEA, with a few
significant changes. The set of sixteen metropolitan planning factors
has been reduced to seven factors: economic vitality; safety and
security; accessibility and mobility; environment, energy conservation
and quality of life; integration and connectivity; efficient operation
and management; and preservation of existing transportation resources.
Freight shippers and users of public transit are added to the explicit
set of stakeholders to be given opportunities to comment on
metropolitan plans and transportation improvement programs (TIPs).
Metropolitan planning organizations (MPOs) may include in their
TIPs an ``illustrative'' list of projects that could be implemented if
additional resources were made available. MPOs will also be encouraged
to coordinate the planning for Federally-funded non-emergency
transportation services as part of the metropolitan planning process.
FTA and FHWA will be revising the Joint Planning Regulations (23 CFR
part 450 and 49 CFR part 613) to formally incorporate changes to the
planning program.
VIII. Section 5307 Urbanized Area Formula Program
A. Total Urbanized Area Formula Apportionments
In addition to the appropriated fiscal year 1999 Urbanized Area
Formula funds of $2,548,190,791, the apportionment also includes
$5,055,703 in deobligated funds which have become available for
reapportionment for the Urbanized Area Formula Program as provided by
49 U.S.C. 5336(i).
Table 4 displays the amount apportioned for the Urbanized Area
Formula Program. After the one-half percent for oversight is set-aside
($12,740,954), the amount appropriated for this program is
$2,543,135,088. The funds to be reapportioned, described in the
previous paragraph, have then been added. Thus, the total amount
apportioned for this program is $2,540,505,540.
An additional $4,849,950 is appropriated for the Alaska Railroad
for improvements to its passenger operations. After the one-half
percent for oversight is reserved ($24,250), $4,825,700 is available
for the Alaska Railroad.
Table 2 contains the fiscal years 1999-2003 apportionment formula
for the Section 5307 Urbanized Area Formula Program.
B. Data Used for Urbanized Area Formula Apportionments
Data from the 1997 NTD (49 U.S.C. 5335) Report Year submitted in
late 1997 and early 1998 have been used to calculate the fiscal year
1999 Urbanized Area Formula apportionments for urbanized areas 200,000
in population and over. The population and population density figures
used in calculating the Urbanized Area Formula are from the 1990
Census.
C. Adjustments for Energy and Operating Efficiencies
49 U.S.C. 5336(b)(2)(E) provides that, if a recipient of Urbanized
Area Formula Program funds demonstrates to the satisfaction of the
Secretary that energy or operating efficiencies would be achieved by
actions that reduce revenue vehicle miles but provide the same
frequency of revenue service to the same number of riders, the
recipient's apportionment under 49 U.S.C. 5336(b)(2)(A)(i) shall not be
reduced as
[[Page 60058]]
a result of such actions. One recipient has submitted data acceptable
to FTA in accordance with this provision. Accordingly, the revenue
vehicle miles used in the Urbanized Area Formula database to calculate
the fiscal year 1999 Urbanized Area Formula apportionment reflect the
amount the recipient would have received without the reductions in
mileage.
D. Urbanized Area Formula Fiscal Year 1999 Apportionments to Governors
The total Urbanized Area Formula apportionment to the Governor for
use in areas under 200,000 in population for each state is shown on
Table 4. Table 4 also contains the total apportionment amount
attributable to each of the urbanized areas within the state. The
Governor may determine the allocation of funds among the urbanized
areas under 200,000 in population with one exception. As further
discussed below in Section H, funds attributed to an urbanized area
under 200,000 in population, located within the planning boundaries of
a transportation management area, must be obligated in that area.
E. Transit Enhancements
For urbanized areas with populations 200,000 and over, TEA-21
established a minimum annual expenditure requirement of one percent for
transit projects and project elements that qualify as enhancements
under the Urbanized Area Formula Program. Table 4 indicates the amount
set aside for enhancements in these areas. The term ``transit
enhancement'' includes projects or project elements that are designed
to enhance mass transportation service or use and are physically or
functionally related to transit facilities.
(1) Eligible enhancements. Following are the transit projects and
project elements that may be counted to meet the minimum enhancement
expenditure requirement.
(a) Historic preservation, rehabilitation, and operation of
historic mass transportation buildings, structures, and facilities
(including historic bus and railroad facilities);
(b) Bus shelters;
(c) Landscaping and other scenic beautification, including tables,
benches, trash receptacles, and street lights;
(d) Public art;
(e) Pedestrian access and walkways;
(f) Bicycle access, including bicycle storage facilities and
installing equipment for transporting bicycles on mass transportation
vehicles;
(g) Transit connections to parks within the recipient's transit
service area;
(h) Signage; and
(i) Enhanced access for persons with disabilities to mass
transportation.
(2) Requirements. One percent of the Urbanized Area Formula Program
apportionment in each urbanized area with a population of 200,000 and
over must be made available only for transit enhancements. When there
are several grantees in an urbanized area, it is not required that each
grantee spend one percent of its Urbanized Area Formula Program funds
on transit enhancements. Rather, one percent of the urbanized area's
apportionment must be expended on projects and project elements that
qualify as enhancements. If these funds are not obligated for transit
enhancements within three years following the fiscal year in which the
funds are apportioned, the funds will lapse and no longer be available
to the urbanized area, and will be reapportioned under the Urbanized
Area Formula Program.
It will be the responsibility of the MPO to determine how the one
percent will be allotted to transit projects. The one percent minimum
requirement does not preclude more than one percent being expended in
an urbanized area for transit enhancements. Items that are only
eligible as enhancements, however--in particular, operating costs for
historic facilities--may only be assisted within the one percent fund
level.
(3) Project Budget. The project budget for each grant application
that includes enhancement funds must include a scope code for transit
enhancements and specific budget activity line items for transit
enhancements.
(4) Enhancement Report. The recipient must submit a report to the
appropriate FTA Regional Office listing the projects or elements of
projects carried out with those funds during the previous fiscal year
and the amount expended. The report must be submitted in the Federal
fiscal year's final quarterly report, using activity line item codes
from the approved project budget.
(5) Bicycle Access. TEA-21 provides that projects providing bicycle
access to transit assisted with the FTA enhancement apportionment shall
be eligible for a 95 percent Federal share.
(6) Enhanced Access for Persons with Disabilities. Enhancement
projects or elements of projects designed to enhance access for persons
with disabilities must go beyond the requirements contained in the
Americans with Disabilities Act.
F. Fiscal Year 1999 Operating Assistance
Fiscal year 1999 funding for operating assistance is available only
to urbanized areas with populations under 200,000. For these smaller
areas, there is no limitation on the amount of the state apportionment
that may be used for operating assistance, and the Federal/local share
ratio is 50/50. In addition, for all areas, many of the activities
formerly funded by FTA with operating assistance are now eligible
capital items under the category of preventive maintenance at the
Federal/local share ratio of 80/20. TEA-21 provides one exception to
the non-availability of funds for operating assistance to areas with
populations 200,000 and above. Operating assistance is available to any
urbanized area with a populations of 200,000 and above if the number of
total bus revenue vehicle miles operated in or directly serving the
area is under 900,000, and if the number of buses operated in or
directly serving the area does not exceed 15.
This provision is not available to small operators within a large
urbanized area in which the total number of vehicles that provide
service is more than 15 and the total number of bus revenue vehicle
miles operated in or directly servicing the area is 900,000 or more.
The Omnibus Appropriations Act amended Section 3027 of TEA-21
(which in turn amended 49 U.S.C. 5336 regarding use of operating
assistance in larger urbanized areas) to allow transit providers of
services to the elderly and disabled that operate 20 or fewer vehicles
and are located in urbanized areas with a population of at least
200,000 to use Federal funds to finance the operating costs of
equipment and facilities used by the transit provider in providing mass
transit services to elderly persons and persons with disabilities,
providing that such assistance to all entities should not exceed
$1,000,000,000 annually.
G. Carryover Funds for Operating Assistance
The operating assistance limitations remain on the unused fiscal
years 1996-1998 funds. These funds continue to be available for
obligation at the Federal/local share ratio of 50/50 in fiscal year
1999 and throughout the period of availability. For unused fiscal year
1998 funds for areas under 200,000, operating assistance as a capital
project with an 80 percent federal match ratio (without limitation)
will continue to be available in fiscal year 1999 and throughout the
period of availability.
[[Page 60059]]
H. Designated Transportation Management Areas
All urbanized areas over 200,000 in population have been designated
as transportation management areas (TMAs), in accordance with 49 U.S.C.
Section 5305. These designations were formally made in a Federal
Register Notice dated May 18, 1992 (57 FR 21160), signed by the Federal
Highway Administrator and the Federal Transit Administrator. Additional
areas may be designated as TMAs upon the request of the Governor and
the MPO designated for such area or the affected local officials. As of
October 1, 1998, two additional TMAs have been formally designated:
Petersburg, Virginia, comprised solely of the Petersburg, Virginia,
urbanized area; and Santa Barbara, Santa Maria, and Lompoc, California,
which were combined and designated as one TMA.
Guidance for setting the boundaries of TMAs is contained in the
joint transportation planning regulations codified at 23 CFR part 450
and 49 CFR part 613. In some cases, the TMA boundaries, which have been
established by the MPO for the designated TMA, also include one or more
urbanized areas with less than 200,000 in population. Where this
situation exists, the discretion of the Governor to allocate Urbanized
Area Formula program ``Governor's Apportionment'' funds for urbanized
areas with less than 200,000 in population is restricted.
As required by 49 U.S.C. 5307(a)(2), a recipient(s) must be
designated to dispense the Urbanized Area Formula funds attributable to
TMAs. Those urbanized areas that do not already have a designated
recipient must name one and notify the appropriate FTA regional office
of the designation. This would include those urbanized areas with less
than 200,000 in population that may receive TMA designation
independently, or those with less than 200,00 in population which are
currently included within the boundaries of a larger designated TMA. In
both cases, the Governor would only have discretion to allocate
Governor's Apportionment funds attributable to areas which are outside
of designated TMA boundaries. In order for the FTA and Governors to
know which urbanized areas under 200,000 in population are included
within the boundaries of an existing TMA, and so that they can be
identified in future Federal Register notices, each MPO whose TMA
planning boundaries include these smaller urbanized areas is asked to
identify such areas to the FTA. This notification should be made in
writing to the Associate Administrator for Program Management, Federal
Transit Administration, 400 Seventh Street, SW, Washington, DC 20590,
no later than July 1 of each fiscal year. To date, FTA has been
notified of the following urbanized areas with less than 200,000 in
population that are included within the planning boundaries of
designated TMAs:
----------------------------------------------------------------------------------------------------------------
Small urbanized area included in
Designated TMA TMA boundaries
----------------------------------------------------------------------------------------------------------------
Baltimore, Maryland........................................................... Annapolis, Maryland.
Dallas-Fort Worth, Texas...................................................... Denton, Texas; Lewisville,
Texas.
Houston, Texas................................................................ Galveston, Texas; Texas City,
Texas.
Orlando, Florida.............................................................. Kissimmee, Florida.
Philadelphia, Pennsylvania.................................................... Pottstown, Pennsylvania.
Pittsburgh, Pennsylvania...................................................... Monessen, Pennsylvania;
Steubenville-Weirton, OH-WV-PA
(PA portion)
Seattle, Washington........................................................... Bremerton, Washington.
Washington, DC-MD-VA.......................................................... Frederick, Maryland (MD
portion).
----------------------------------------------------------------------------------------------------------------
I. Urbanized Area Formula Funds Used for Highway Purposes
Urbanized Area Formula funds apportioned to a TMA are also
available for highway projects if the following three conditions are
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.
Urbanized Area Formula funds which are designated for highway
projects will be transferred to and administered by the FHWA. The MPO
should notify FTA of its intent to program FTA funds for highway
purposes.
IX. Section 5311 Nonurbanized Area Formula Program and Section
5311(b) Rural Transit Assistance Program (RTAP)
A. Nonurbanized Area Formula Program
The fiscal year 1999 Nonurbanized Area Formula apportionments to
the states totaling $177,856,722 are displayed in Table 5. Of the
$177,923,658 appropriated, one-half percent ($889,618) was reserved for
oversight. In addition to the current appropriation, the funds
available for apportionment included $822,682 in deobligated funds from
fiscal years prior to 1999.
The population figures used in calculating these apportionments are
from the 1990 Census.
The Nonurbanized Formula Program provides capital, operating and
administrative assistance for areas under 50,000 in population. Each
state must spend no less than 15 percent of its fiscal year 1999
Nonurbanized Area Formula apportionment for the development and support
of intercity bus transportation, unless the Governor certifies to the
Secretary that the intercity bus service needs of the state are being
adequately met. Fiscal year 1999 Nonurbanized Area Formula grant
applications must reflect this level of programming for intercity bus
or include a certification from the Governor.
Funding for the Nonurbanized Area Formula Program is significantly
higher under TEA-21 than it was under the Intermodal Surface
Transportation Efficiency Act of 1991 (ISTEA). FTA encourages the
states to use the increase to begin to expand the coverage of transit
service into rural and small urban areas currently unserved and to
improve levels of service in those areas which currently have only
minimal transit service.
B. Rural Transit Assistance Program (RTAP)
The fiscal year 1999 RTAP allocations to the states totaling
$5,401,831 are also displayed on Table 5. This amount includes
$5,250,000 in fiscal year 1999 appropriated funds, and $151,831 in
[[Page 60060]]
prior year deobligated funds, which have become available for
reallocation for this program.
The funds are allocated to the states 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 the states' administration of the Nonurbanized
Area Formula Program.
Effective with fiscal year 1999, FTA has revised the administrative
formula used to allocate RTAP funds to the states, by increasing the
minimum allocation each state receives from $50,000 to $65,000. The
minimum allocation for the insular areas remains at $10,000. The effect
of this change is to distribute the increase in RTAP funds more
equitably to the smaller states, to enable them to continue to provide
effective RTAP services. Due to the increase in program funding, no
state receives an allocation in fiscal year 1999 that is less than in
fiscal year 1998.
X. Section 5310 Elderly and Persons with Disabilities Program
A total of $67,136,222 is apportioned to the states for fiscal year
1999 for the Elderly and Persons with Disabilities Program. In addition
to the fiscal year 1999 appropriation of $67,035,601, the fiscal year
1999 apportionment also includes $100,621 in prior year unobligated
funds which have become available for reapportionment for the Elderly
and Persons with Disabilities Program. Table 6 shows each state's
apportionment.
The formula for apportioning these funds uses 1990 Census
population data for persons aged 65 and over and for persons with
disabilities.
The funds provide capital assistance for transportation for elderly
persons and persons with disabilities. Eligible capital expenses may
include, at the option of the recipient, the acquisition of
transportation services by a contract, lease, or other arrangement.
While the assistance is intended primarily for private non-profit
organizations, public bodies that coordinate services for the elderly
and persons with disabilities, or any public body that certifies to the
state that non-profit organizations in the area are not readily
available to carry out the service, may receive these funds.
These funds may be transferred by the Governor to supplement the
Urbanized Area Formula or Nonurbanized Area formula capital funds
during the last 90 days of the fiscal year.
XI. Surface Transportation Program Flexible Funds Used for Transit
Purposes (Title 23, U.S.C.)
A. Transfer Process
TEA-21 made changes in how funds are to be transferred from FHWA to
FTA. Under ISTEA, obligation authority was not transferred to and from
FTA. TEA-21 provides that obligation authority will be transferred to
and from FHWA to FTA. In order to accommodate this change, FHWA and FTA
are revising internal transfer procedures. The external process from
transferring funds may also be revised. Until these revised procedures
are developed, the two agencies have agreed to use the transfer process
that was established under ISTEA which is described below.
Flexible DOT funds, such as Surface Transportation Program (STP)
funds, Congestion Mitigation and Air Quality (CMAQ) funds, or others,
which are designated for use in transit projects, are transferred from
the FHWA to FTA after which FTA approves the project and awards a
grant. Flexible funds designated for transit projects must result from
the metropolitan and state planning and programming process, and must
be included in an approved State Transportation Improvement Program
(STIP) before the funds can be transferred. In order to initiate the
transfer process, the grantee must submit a completed application to
the FTA Regional Office, and must notify the state highway/
transportation agency that it has submitted an application which
requires a transfer of funds. Once the state highway/transportation
agency determines that the state has sufficient obligation authority,
the state agency notifies the FHWA Division Office that the funds are
to be used for transit purposes. FHWA then notifies the FTA of the
transfer project for processing and obligation. The flexible funds
transferred to FTA will be placed in an urbanized area or state account
for one of the three existing formula programs--Urbanized Area,
Nonurbanized Area, or Elderly and Persons with Disabilities.
The flexible funds are then treated as FTA formula funds, although
they retain a special identifying code. They may be used for any
purpose eligible under these FTA programs. All FTA requirements are
applicable to transferred funds. Flexible funds should be combined with
regular FTA formula funds in a single annual grant application.
B. Matching Share for Flexible Funds
The provisions of Title 23, U.S.C. regarding the non-Federal share
apply to Title 23 funds used for transit projects. Thus, flexible funds
transferred to FTA retain the same matching share that the funds would
have if used for highway purposes and administered by the FHWA.
There are three instances in which a higher than 80 percent Federal
share would be maintained. First, in states with large areas of Indian
and certain public domain lands, and national forests, parks and
monuments, the local share for highway projects is determined by a
sliding scale rate, calculated based on the percentage of public lands
within that state. This sliding scale, which permits a greater Federal
share, but not to exceed 95 percent, is applicable to transit projects
funded with flexible funds in these public land states. FHWA develops
the sliding scale matching ratios for the increased Federal share.
Secondly, commuter carpooling and vanpooling projects and transit
safety projects using flexible funds administered by FTA may retain the
same 100 percent Federal share that would be allowed for ride-sharing
or safety projects administered by the FHWA. The third instance
includes the 100 percent Federal safety projects; however, these are
subject to a nationwide 10 percent program limitation.
C. Other Funds Transferred to FTA
Certain demonstration projects authorized in title 23 are specified
to be used for transit projects and are more appropriately administered
by FTA. In such cases, FHWA has transferred the funds to FTA for
administration. Since these funds are not STP flexible funds, they are
transferred into the appropriate Capital Program category (Bus, New
Starts, or fixed Guideway Modernization) for obligation and are
administered as Capital projects.
XII. Section 5309 Capital Program
A. Fixed Guideway Modernization
TEA-21 modified the formula for allocating the Fixed Guideway
Modernization funds. The new formula contains seven tiers. The
allocation of funding under the first four tiers, through fiscal year
2003, will be allocated based on data used to apportion the funding in
fiscal year 1997. Funding in the three new tiers will be apportioned
based on the latest available route miles and revenue vehicle miles on
segments at least seven years old as reported to the National Transit
Database.
Table 7 displays the fiscal year 1999 Fixed Guideway Modernization
apportionments. Fixed Guideway
[[Page 60061]]
Modernization funds apportioned for this section must be used for
capital projects to maintain, modernize, or improve fixed guideway
systems.
All urbanized areas with fixed guideway systems that are at least
seven years old are eligible to receive Fixed Guideway Modernization
funds. A request for the start-up service dates for fixed guideways has
been incorporated into the National Transit Database reporting system
to ensure that all eligible fixed guideway data is included in the
calculation of these apportionments. A threshold level of more than one
mile of fixed guideway is required to receive Fixed Guideway
Modernization funds. Therefore, urbanized areas reported one mile or
less of Fixed Guideway mileage under the National Transit Database are
not included.
For fiscal year 1999, $902,800,000 was appropriated for fixed
guideway modernization. After deducting the three-fourth percent for
Oversight ($6,771,000), $896,029,000 is available for apportionment to
the specified urbanized areas.
Each year, the new fixed guideway modernization formula will
allocate funds by seven tiers as follows:
Tier 1
The first $497,700,000 shall be apportioned to the following
urbanized areas as follows: Baltimore $8,372,000; Boston $38,948,000;
Chicago/Northwestern Indiana $78,169,000; Cleveland $9,509,500; New
Orleans $1,730,588; New York $176,034,461; Northeastern New Jersey
$50,604,653; Philadelphia/Southern New Jersey $58,924,764; Pittsburgh
$13,662,463; San Francisco $33,989,571; Southwestern Connecticut
$27,755,000.
Tier 2
The next $70,000,000 shall be apportioned as follows: 50 percent to
areas identified in Tier I and 50 percent to other urbanized areas with
fixed guideway segments which have been in operation at least seven
years. These funds are apportioned using the Urbanized Area Formula
Program fixed guideway tier formula factors that were used to apportion
funds for the Fixed Guideway Modernization Program in fiscal year 1997.
Tier 3
The next $5,700,000 shall be apportioned to the following urbanized
areas as follows: Pittsburgh, 61.76 percent; Cleveland, 10.73 percent;
New Orleans, 5.79 percent; the remaining 21.72 percent is apportioned
to all other cities using the same fixed guideway tier data used for
Tier II.
Tier 4
The next $186,600,000 shall be apportioned to all eligible areas
using the same year fixed guideway tier data that was used for Tiers II
and III.
Tier 5
The next $70,000,000 shall be apportioned as follows: 65 percent to
the eleven areas specified in Tier I, and 35 percent to other urbanized
areas with fixed guideway system segments in revenue service for at
least seven years. Allocations will be based on the latest available
route miles and revenue vehicle miles for fixed guideway segments at
least seven years old as reported to the National Transit Database.
Tier 6
The next $50,000,000 shall be apportioned as follows: 60 percent to
the eleven areas specified in Tier I, and 40 percent to the other
urbanized areas with fixed guideway system segments in revenue service
for at least seven years. Allocations will be based on the latest
available route miles and revenue vehicle miles for fixed guideway
segments at least seven years old as reported to the National Transit
Database.
Tier 7
Any remaining amounts shall be apportioned as follows: 50 percent
to the eleven urbanized areas specified in Tier I, and 50 percent to
the other urbanized areas with fixed guideway system segments in
revenue service for at least seven years. Allocations will be based on
the latest available route miles and revenue vehicle miles for fixed
guideway segments at least seven years old as reported to the National
Transit Database.
Table 12 contains the fiscal years 1998-2003 apportionment formula
for the Section 5309 Fixed Guideway Modernization Program.
B. New Starts
The fiscal year 1999 appropriation for New Starts is $902,800,000
which was fully allocated in the fiscal year 1999 DOT Appropriations
Act. However, by statute, this amount is reduced by three-fourth
percent ($6,771,000) for Oversight activities, leaving $896,029,000
available for allocations to areas. The Oversight reduction was applied
on a prorata basis to all 95 projects specified in the fiscal year 1999
Omnibus Appropriations Act yielding the final allocation for each of
these projects (contain in Table 8 of this Federal Register Notice).
Prior year unobligated appropriations for New Starts in the amount
of $430,856,230 remain available for obligation in fiscal year 1999.
These carryover amounts are displayed in Table 8A, along with
explanatory notes.
Since New Starts funds are used for design and construction of new
systems or extensions to existing systems, preventive maintenance is
not an eligible cost under this program.
C. Bus
The fiscal year 1999 appropriation for Bus is $451,400,000 for the
purchase of buses, bus-related equipment and paratransit vehicles, and
for the construction of bus-related facilities. TEA-21 established a
$100,000,000 Clean Fuels Formula Program under Section 5308. The
program is authorized to be funded with $50,000,000 from the Bus
category of the Capital Program, and $50,000,000 from the Formula
Program. However, the fiscal year 1999 Omnibus Appropriations Act
directs FTA to transfer $50,000,000 Appropriated under the Formula
Program to and merge it with funding provided for the Bus category of
the Capital Program. Thus, $501,400,000 is available for funding the
Bus category of the Capital Program. After deducting the three-fourth
percent for oversight ($3,760,500), $497,639,500 remains available for
projects.
The 1999 Omnibus Appropriations Act earmarked all of the fiscal
year 1999 Bus funds to specified states or localities for bus and bus-
related projects.
Because the three-fourth percent for oversight was subtracted from
the amount appropriated, each bus project identified in the Conference
Report receives three-fourth percent less than the funding level
contained in the report. No funds remain available for discretionary
allocation by the Federal Transit Administrator. Table 9 displays the
allocations of the fiscal year 1999 Bus funds by area and also shows
prior year unobligated earmarks for the Bus Program. The fiscal year
1999 bus allocations include the funding which would have been
available for the Clean Fuels Formula Program under TEA-21.
Prior year unobligated appropriations for Bus in the amount of
$379,813,842 remain available for obligation in fiscal year 1999, and
are displayed in Table 9A.
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XIII. New Programs
A. Section 5308 Clean Fuels Formula Program
TEA-21 established a $100,000,000 Clean Fuels Formula Program under
Section 5308, to be funded with $50,000,000 from the Bus category of
the Capital Program, and $50,000,000 from the Formula Program. However,
the fiscal year 1999 Omnibus Appropriations Act transfers $50,000,000
appropriated under the Formula Program to and merges it with funding
provided for the replacement, rehabilitation and purchase of buses and
related equipment and the construction of bus related facilities under
the Bus category of the Capital Program. In addition, in fiscal year
1999 Congress allocated the entire Bus category, including the
$100,000,000, which TEA-21 provides for funding of the Clean Fuels
Formula Program. These appropriation actions override the provisions
established in TEA-21 for the Clean Fuels Formula Program. Therefore,
FTA cannot implement this new program. A rulemaking to implement the
Clean Fuels Formula program is being developed for use in fiscal year
2000. The fiscal year 1999 Bus Allocations on Table 9 include the
funding which would have been available for the Clean Fuels Formula
Program under TEA-21.
B. Over-the-Road Bus Accessibility Program
The Over-the-Road Bus Accessibility Program (OTRB) authorizes FTA
to make grants to operators of over-the-road buses to finance the
incremental capital and training costs of complying with the DOT over-
the-road bus accessibility final rule, published on September 24, 1998.
The legislation calls for national solicitation of applications, with
grantees to be selected on a competitive basis. Federal funds are
available for up to 50 percent of the project cost. A total of
$2,000,000 is apportioned for intercity fixed route operators in fiscal
year 1999.
FTA is exploring two approaches for implementation of the capital
portion of the program. One approach would be to enter into a
cooperative agreement with an intermediate entity which represents the
over-the-road bus industry. This entity would serve as the funding
distribution mechanism. This approach has the merit of consolidating
numerous small grants and would allow a group familiar with the over-
the-road bus industry to carry out the program. The entity would accept
and review grant applications and make recommendations for funding
based on the criteria in TEA-21 and in coordination with FTA and enter
into agreements with over-the-road bus providers. The entity would also
pass on all Federal requirements to the over-the-road bus operators.
TEA-21 provides that all Federal requirements applicable to the Section
5311 Nonurbanized Area Formula Program are applicable to the Over-the-
Road Bus Program. Federal requirements include but are not limited to
competitive procurement, labor protections, Buy America, and civil
rights requirements.
Alternately, FTA may implement the program with individual grants
to over-the-road bus operators. With this approach, there would be a
national solicitation of applications and FTA would review applications
against the criteria in TEA-21 and make recommendations for funding.
The appropriate FTA regional office would review the application and
approve the grant.
In addition, FTA is proposing to enter into an agreement with a
single agency which represents the disability community to take the
lead on a national training initiative.
FTA will issue further guidance and application instructions for
this program.
C. Job Access and Reverse Commute Program
A total of $75,000,000 is appropriated for the Job Access and
Reverse Commute Program in fiscal year 1999. Of this amount,
$50,000,000 is guaranteed under the discretionary spending cap and
$25,000,000 was made available from other discretionary spending
offsets. This program, established under TEA-21, provides funding for
the provision of transportation services designed to increase access to
jobs and employment-related activities. Job Access projects are those
which transport welfare recipients and low-income individuals in urban,
suburban, or rural areas to and from jobs and activities related to
their employment. Reverse Commute projects provide transportation
services for the general public from urban, suburban, and rural areas
to suburban employment opportunities.
One of the major goals of the Job Access and Reverse Commute
program is to increase collaboration among transportation providers,
human service agencies, employers, metropolitan planning organizations,
states, and affected communities and individuals. All projects funded
under this program must be derived from a regional Job Access and
Reverse Commute Transportation Plan, developed through a regional
approach which supports the implementation of a variety of
transportation services designed to connect welfare recipients to jobs
and related activities. A key element of the program is making the most
efficient use of existing public, nonprofit and private transportation
service providers.
A Federal Register Notice will be published by the end of October
which will provide program guidance and application procedures. The
notice will also be available on the FTA website.
D. Transportation and Community and System Preservation Pilot Program
(TCSP)
Section 1221 of TEA-21 established a pilot program that will enable
grantees to plan or implement activities that investigate and address
the relationship between transportation and community and system
preservation. Eligible grantees are State agencies, metropolitan
planning organizations (MPOs) and units of local governments, including
public transit agencies. TCSP will provide $20,000,000 in fiscal year
1999 and $25,000,000 per year for fiscal years 2000 through 2003 for
planning and implementation grants, as well as research, which address
transportation efficiency while meeting community preservation and
environmental goals.
TCSP activities must be eligible under Title 23 (the Federal
highway program) of Chapter 52 of Title 49 (the Federal transit
program) of the United States Code, or must be activities which the
Secretary of Transportation determines to be appropriate. TCSP
discretionary grants will be used to plan and implement strategies
which (1) improve the efficiency of the transportation system; (2)
reduce the impacts of transportation on the environment; (3) reduce the
need for costly future public infrastructure; (4) ensure efficient
access to jobs, services and centers of trade, and (5) encourage
private sector development patterns which achieve these goals. Grants
will be directed to new and innovative activities that are eligible but
under the current Federal-aid program. TCSP activities must be
coordinated with the MPO and/or state transportation planning
processes.
The FHWA is administering this program and has established an
interagency working group, which includes the FTA, to design and
implement TCSP. On September 16, 1998, a Federal Register Notice
requested comments within 60 days on TCSP implementation in fiscal year
2000 and beyond. The Notice also requested that eligible entities
interested in applying for fiscal year 1999 planning and implementation
grants should
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submit letters of intent within 60 days. The DOT expects to select
about 50 letters of intent to be developed into full proposals, and to
fund 20 to 30 planning and implementation grants in fiscal year 1999.
TCSP research activities will begin in fiscal year 2000. The voice mail
for information on TCSP is (800) 488-6034.
XIV. Unit Values of Data for the Section 5307 Urbanized Area
Formula Program, Section 5311 Nonurbanized Area Formula Program,
and Section 5309 Capital Fixed Guideway Modernization
For technical assistance purposes, the dollar unit values of data
derived from the computations of the Urbanized Area Formula Program,
the Nonurbanized Area Formula Program, and the Capital Program--Fixed
Guideway Modernization apportionments are included in this Notice in
Table 13. To determine how a particular apportionment amount was
developed, areas may multiply their population, population density, and
data from the NTD by these unit values.
XV. Period of Availability of Funds
The funds apportioned under the Metropolitan Planning Program and
the State Planning and Research Program, the Urbanized Area Formula
Program, and the Fixed Guideway Modernization Program, in this notice,
will remain available to be obligated by FTA to recipients for three
fiscal years following fiscal year 1999. Any of these apportioned funds
unobligated at the close of business on September 30, 2002 will revert
to FTA for reapportionment under these respective programs.
Funds apportioned to nonurbanized areas under the Nonurbanized Area
Formula Program, including RTAP funds, will remain available for two
fiscal years following fiscal year 1999. Any such funds remaining
unobligated at the close of business on September 30, 2001, will revert
to FTA for reapportionment among the states under the Nonurbanized Area
Formula Program. Funds allocated to States under the Elderly and
Persons with Disabilities Program in this Notice must be obligated by
September 30, 1999. Any such funds remaining unobligated as of this
date will revert to FTA for reapportionment among the states under the
Elderly and Persons with Disabilities Program. The fiscal year 1999
Omnibus Appropriations Act includes a provision requiring that fiscal
year 1999 New Starts and Bus funds not obligated for their original
purpose as of September 30, 2001, shall be made available for other
discretionary projects within the respective categories of the Capital
Program. Similar provisions in the 1998 and 1997 DOT Appropriations
Acts required that fiscal year 1998 Bus and New Starts funds that are
not obligated by September 30, 2000 also be made available for other
discretionary Bus or New Starts projects, respectively; and fiscal year
1997 Bus and New Starts funds unobligated by September 30, 1999 shall
be made available for other discretionary Bus or New Starts projects,
respectively.
XVI. Automatic Pre-Award Authority to Incur Project Cost
A. Background
Since fiscal year 1994, FTA has provided pre-award authority to
cover certain planning and capital costs prior to grant award. This
automatic pre-award spending authority permits a grantee to incur costs
on an eligible transit capital or planning project without prejudice to
possible future Federal participation in the cost of the project or
projects. Prior to exercising pre-award authority, grantees must comply
with the conditions and environmental planning and other Federal
requirements outlined in paragraphs B and C immediately below. Failure
to do so will render an otherwise eligible project ineligible for FTA
financial assistance. In addition, grantees are strongly encouraged to
consult with the appropriate regional office if there could be any
question regarding the eligibility of the project for future FTA funds
or the applicability of the conditions and Federal requirements.
Authority to incur costs for fiscal year 1998 Fixed Guideway
Modernization, Metropolitan Planning, Urbanized Area Formula, Elderly
and Persons with Disabilities, Nonurbanized Area Formula, STP or CMAQ
flexible funds to be transferred from the FHWA and State Planning and
Research Programs in advance of possible future Federal participation
was provided in the December 5, 1997, Federal Register Notice. Pre-
award authority was extended in the June 24, 1998 Federal Register
Notice on TEA-21 to all formula funds and flexible funds that will be
apportioned during the authorization period of TEA-21, 1998-2003. Pre-
award authority also applies to Capital Bus funds identified in this
notice. Pre-award authority does not apply to Capital New Start funds,
or to Capital Bus projects not specified in this or previous notices.
Pre-award authority also applies to preventive maintenance costs
incurred within a local fiscal year ending during calendar year 1997,
or thereafter, under the formula programs cited above.
B. Conditions
Similar to the FTA Letter of No Prejudice (LONP) authority, the
conditions under which this authority may be utilized are specified
below:
(1) This pre-award authority is not a legal or moral commitment
that the project(s) will be approved for FTA assistance or that FTA
will obligate Federal funds. Furthermore, it is not a legal or moral
commitment that all items undertaken by the applicant will be eligible
for inclusion in the project(s).
(2) All FTA statutory, procedural, and contractual requirements
must be met at the appropriate time.
(3) No action will be taken by the grantee that prejudices the
legal and administrative findings which the Federal Transit
Administrator must make in order to approve a project.
(4) Local funds expended by the grantee pursuant to and after the
date of this authority will be eligible for credit toward local match
or reimbursement if FTA later makes a grant for the project(s) or
project amendment(s).
(5) The Federal amount of any future FTA assistance to the grantee
for the project will be determined on the basis of the overall scope of
activities and the prevailing statutory provisions with respect to the
Federal/local match ratio at the time the funds are obligated.
(6) For funds to which this authority applies, the authority
expires with the lapsing of the fiscal year funds.
C. Environmental, Planning, and Other Federal Requirements
FTA emphasizes that all of the Federal grant requirements must be
met for the project to remain eligible for Federal funding. Some of
these requirements must be met before pre-award costs are incurred,
notably the requirements of the National Environmental Policy Act
(NEPA), and the planning requirements. Compliance with NEPA and other
environmental laws or executive orders (e.g., protection of parklands,
wetlands, historic properties) must be completed before state or local
funds are spent on implementing activities such as final design,
construction, and acquisition for a project that is expected to be
subsequently funded with FTA funds. Depending on which class the
project is included under in FTA environmental regulations (23 CFR part
771), the grantee may not advance the project beyond planning and
preliminary engineering before FTA has approved either a categorical
exclusion (refer to 23 CFR part 771.117(d)), a finding of no
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significant impact, or a final environmental impact statement. The
conformity requirements of the Clean Air Act (40 CFR part 93) also must
be fully met before the project may be advanced with non-Federal funds.
Similiarly, the requirement that a project be included in a locally
adopted metropolitan transportation improvement program and federally
approved statewide transportation improvement program must be followed
before the project may be advanced with non-Federal funds. In addition,
Federal procurement procedures, as well as the whole range of Federal
requirements, must be followed for projects in which Federal funding
will be sought in the future. Failure to follow any such requirements
could make the project ineligible for Federal funding. In short, this
increased administrative flexibility requires a grantee to make certain
that no Federal requirements are circumvented through the use of pre-
award authority. If a grantee has questions or concerns regarding the
environmental requirements, or any other Federal requirements that must
be met before incurring costs, it should contact the appropriate
regional office.
Before an applicant may incur costs either for activities expected
to be funded by New Start funds, or for Bus Capital projects not listed
in this notice or previous notices, it must first obtain a written LONP
from FTA. To obtain an LONP, a grantee must submit a written request
accompanied by adequate information and justification to the
appropriate FTA regional office.
XVII. Letter of No Prejudice Policy (Prior Approval of Pre-Award
Authority)
A. Policy
The latest guidance on Letters of No Prejudice (LONP) policy and
procedures is contained in an October 21, 1982 Federal Register Notice.
Since the issuance of that notice in 1982 there have been many changes
to the FTA program including automatic pre-award authority for formula
funds, flexible funds transferred from the FHWA and for bus earmarks.
The 1982 policy was based on the philosophy that LONPs would only be
issued under the most extenuating circumstances. With substantial
experience with automatic pre-award authority, this philosophy is no
longer an accurate reflection of FTA policy. This Federal Register
Notice supersedes the Letter of No Prejudice (LONP) policy issued
October 21, 1982.
LONP authority allows an applicant to incur costs on a future
project utilizing non-Federal resources with the understanding that the
costs incurred subsequent to the issuance of the LONP may be
reimbursable as eligible expenses or eligible for credit toward the
local match should the FTA approve the project at a later date. LONPs
are applicable to projects not covered by automatic pre-award
authority. The majority of LONPs will be for New Starts not covered
under a full funding grant agreement or for Section 5309 bus funds not
yet appropriated by Congress. At the end of an authorization period,
there may be LONPs for formula funds beyond the life of the current
authorization.
Under most circumstances the LONP will cover the total project.
Under certain circumstances the LONP may be issued for local match
only. In such cases the local match would be to permit real estate to
be used for match for the project at a later date.
B. Conditions
The following conditions apply to all LONPs.
(1) LONP pre-award authority is not a legal or moral commitment
that the project(s) will be approved for FTA assistance or that FTA
will obligate Federal funds. Furthermore, it is not a legal or moral
commitment that all items undertaken by the applicant will be eligible
for inclusion in the project(s).
(2) All FTA statutory, procedural, and contractual requirements
must be met.
(3) No action will be taken by the grantee that prejudices the
legal and administrative findings which the Federal Transit
Administrator must make in order to approve a project.
(4) Local funds expended by the grantee pursuant to and after the
date of the LONP will be eligible for credit toward local match or
reimbursement if FTA later makes a grant for the project(s) or project
amendment(s).
(5) The Federal amount of any future FTA assistance to the grantee
for the project will be determined on the basis of the overall scope of
activities and the prevailing statutory provisions with respect to the
Federal/local match ratio at the time the funds are obligated.
(6) For funds to which this pre-award authority applies, the
authority expires with the lapsing of the fiscal year funds.
C. Environmental, Planning, and Other Federal Requirements
As with automatic pre-award authority, FTA emphasizes that all of
the Federal grant requirements must be met for the project to remain
eligible for Federal funding. Some of these requirements must be met
before pre-award costs are incurred, notably the requirements of the
National Environmental Policy Act (NEPA), and the planning
requirements. Compliance with NEPA and other environmental laws or
executive orders (e.g., protection of parklands, wetlands, historic
properties) must be completed before state or local funds are spent on
implementation activities such as final design, construction, or
acquisition for a project expected to be subsequently funded with FTA
funds. Depending on which class the project is included under in FTA's
environmental regulations (23 CFR part 771), the grantee may not
advance the project beyond planning and preliminary engineering before
FTA has approved either a categorical exclusion (refer to 23 CFR part
771.117(d)), a finding of no significant impact, or a final
environmental impact statement. The conformity requirements of the
Clean Air Act (40 CFR part 93) also must be fully met before the
project may be advanced with non-Federal funds.
Similarly, the requirement that a project be included in a locally
adopted metropolitan transportation improvement program and federally
approved statewide transportation improvement program must be followed
before the project may be advanced with non-Federal funds. In addition,
Federal procurement procedures, as well as the whole range of Federal
requirements, must be followed for projects in which Federal funding
will be sought in the future. Failure to follow any such requirements
could make the project ineligible for Federal funding. In short, this
pre-award authority requires a grantee to make certain that no Federal
requirements are circumvented. If a grantee has questions or concerns
regarding the environmental requirements, or any other Federal
requirements that must be met before incurring costs, it should contact
the appropriate regional office.
D. Request for LONP
Before an applicant may incur costs for a project not covered by
automatic pre-award authority, it must first submit a written request
for an LONP to the appropriate regional office. This written request
must include a description of the project for which pre-award authority
is desired and a justification for the request.
XVIII. State Infrastructure Banks
The State Infrastructure Bank (SIB) pilot program was authorized in
the National Highway System Designation Act of 1995. It allows the
creation of state-level institutions that can use Federal Highway
Administration (FHWA) and FTA funds to make loans
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and loan guarantees (and other forms of credit enhancement) to transit
and highway projects. The SIBs may earn interest on deposits of Federal
funds, and they may charge below-market interest rates on long-term
loans.
While 31 states established SIBs under the NHS Act authorizations,
TEA-21 only renewed this authority to four states--California, Florida,
Missouri, and Rhode Island. Thus, the original SIBs may continue to
function with funds appropriated for their use in 1996 and 1997, but
only the four SIBs authorized in TEA-21 will be allowed to use fiscal
year 1998 and subsequent year grant funds for capitalization. These
states may use up to 100 percent of their highway or transit formula
funds for capitalization, but there are no additional funds apportioned
specifically to SIBs. TEA-21 also allowed the four authorized SIBs to
use any Federal capital funds to make loans to highway, transit, and
rail projects--a significant increase in flexibility.
XIX. FTA Home Page on the Internet
FTA provides extended customer service by making available transit
information on the FTA Home Page web site, including this Apportionment
Notice. Also posted on the web site are FTA program circulars:
C9030.1C, Urbanized Area Formula Program: Grant Application
Instructions, dated October 1, 1998; C9040.1E, Nonurbanized Area
Formula Program Guidance and Grant Application Instructions, dated
October 1, 1998; C9070.1E, Elderly and Persons with Disabilities
Program Guidance and Application Instructions, dated October 1, 1998;
C9300.1A, Capital Program: Grant Application Instructions, dated
October 1, 1998; 4220.1D, Third Party Contracting Requirements, dated
April 15, 1996; C5010.1C, Grant Management Guidelines, dated October 1,
1998; and C8100.1B, Program Guidance and Application Instructions for
Metropolitan Planning Program Grants, dated October 25, 1996. The
fiscal year 1999 Annual List of Certifications and Assurances is also
posted on the FTA web site. Other documents on the FTA web site of
particular interest to public transit providers and users include the
1997 Statistical Summaries of FTA Grant Assistance Programs, and the
National Transit Database Profiles.
The FTA Home Page may be accessed at: http://www.fta.dot.gov. FTA
circulars and other guidance are at: http://www.fta.dot.gov/program.
Grantees should check our web site frequently to keep up to date on
new postings.
XX. 1999 Annual List of Certifications and Assurances
The Fiscal Year 1999 Annual List of Certifications and Assurances
is published in conjunction with the Apportionments, as per 49 U.S.C.
section 5307(k). It appears as a separate Part of the Federal Register
on the same date whenever possible. The 1999 list contains several
changes to the previous year's Federal Register publication. (1) All
applicants for FTA Capital Program or Formula Program assistance, and
current grantees with an active project financed with FTA Capital
Program or Formula Program assistance, will be required to provide the
Appendix A Certifications and Assurances within 90 days from the date
of the above Federal Register publication or with its first grant
application in fiscal year 1999, whichever comes first. (2) The
attorney signature from previous years on the single signature page is
not acceptable. A current attorney's affirmation is required to certify
applicant's legal authority to comply with fiscal year 1999 FTA funding
assistance. (3) As in previous years, the grant applicant should (when
possible) certify electronically, indicating that a current attorney's
signature is on file. (4) The applicant is advised that Transit
Enhancement activities (49 U.S.C. 5307(k)) require an annual report
listing projects carried out during the previous year.
The fiscal year 1999 Annual List of Certifications and Assurances
is accessible on the Internet at www.fta.dot.gov. Any questions
regarding this document may be addressed to the appropriate Regional
Office or to Pat Berkley, Office of Program Management, Federal Transit
Administration, (202) 366-6470.
XXI. Grant Application Procedures
All applications for FTA funds should be submitted to the
appropriate FTA Regional Office. As described in Section V, FTA is
expecting that most applications will be filed electronically in FY
1999 using the new TEAM system. Formula grant applications should be
prepared in conformance with the following FTA Circulars: Program
Guidance and Application Instructions for Metropolitan Planning Program
Grants--C8100.1B, October 25, 1996; Urbanized Area Formula Program:
Grant Application Instructions--C9030.1C, October 1, 1998; Nonurbanized
Area Formula Program Guidance and Grant Application Instructions--
C9040.1E, October 1, 1998; Section 5310 Elderly and Persons with
Disabilities Program Guidance and Application Instructions C9070.1E,
October 1, 1998; and Section 5309 Capital Program: Grant Application
Instructions--C9300.1A, October 1, 1998. Applications for STP
``flexible'' fund grants should be prepared in the same manner as the
apportioned funds under the Urbanized Area Formula, Nonurbanized Area
Formula, or Elderly and Persons with Disabilities Programs. Guidance on
preparation of applications for State Planning and Research funds may
be obtained from each FTA Regional Office. Copies of circulars are
available from FTA Regional Offices as well as the FTA Home Page on the
Internet.
Issued on: October 29, 1998.
Gordon J. Linton,
Administrator.
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[FR Doc. 98-29683 Filed 11-5-98; 8:45 am]
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This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.