[House Report 110-727]
[From the U.S. Government Publishing Office]





110th Congress                                            Rept. 110-727
                        HOUSE OF REPRESENTATIVES
 2d Session                                                      Part 1

======================================================================



 
        SAVING ENERGY THROUGH PUBLIC TRANSPORTATION ACT OF 2008

                                _______
                                

                 June 20, 2008.--Ordered to be printed

                                _______
                                

Mr. Oberstar, from the Committee on Transportation and Infrastructure, 
                        submitted the following

                              R E P O R T

                        [To accompany H.R. 6052]

      [Including cost estimate of the Congressional Budget Office]

  The Committee on Transportation and Infrastructure, to whom 
was referred the bill (H.R. 6052) to promote increased public 
transportation use, to promote increased use of alternative 
fuels in providing public transportation, and for other 
purposes, having considered the same, report favorably thereon 
without amendment and recommend that the bill do pass.

                       Purpose of the Legislation

    H.R. 6052, the ``Saving Energy Through Public 
Transportation Act of 2008'', promotes increased public 
transportation use and increased use of alternative fuels in 
providing public transportation, and for other purposes.

                  Background and Need for Legislation

    According to the U.S. Department of Energy (``DOE''), the 
transportation sector accounts for 68 percent of the total U.S. 
petroleum consumption, and Americans used almost 14 million 
barrels of oil each day for transportation purposes in 2006.
    In addition, the U.S. Environmental Protection Agency 
(``EPA'') estimates that 27.7 percent of the total greenhouse 
gas emissions produced by the United States come from the 
transportation sector, second only to electricity generation. 
DOE reports that the carbon dioxide emissions from the 
transportation sector grew 25.4 percent between 1990 and 2006, 
an average of 1.4 percent each year. The most recent DOE data 
show that transportation produces more metric tons of energy-
related carbon dioxide than the residential and commercial 
sectors, and almost as much as the industrial sector. Nearly 
all of these transportation-related emissions come from the use 
of petroleum products.
    In response to these adverse energy and emissions effects 
of transportation, the Federal Government has implemented a 
wide array of initiatives, including support for public transit 
and nonmotorized transportation, alternative fuels research and 
implementation, programs to improve air quality and to reduce 
congestion, and programs to increase the number of Federal 
employees who use public transportation for their commute. 
While these initiatives assist Americans in reducing their 
transportation-related emissions, energy consumption, and 
reliance on foreign oil, improvements to these programs in 
addition to new Federal initiatives are needed in order to move 
the United States toward greater energy independence.
    Increasing public transportation use in America is one of 
the most promising ways to meet our energy and emissions 
reduction goals. As such, the primary objective of H.R. 6052, 
the ``Saving Energy Through Public Transportation Act of 
2008'', is to reduce the United States' dependence on foreign 
oil by encouraging more people to use public transportation. By 
increasing incentives for commuters to choose transit options, 
the Federal Government can strengthen its role in partnering 
with the American public in reducing our transportation-related 
energy consumption and reliance on foreign oil.
    The energy savings and emissions reductions generated by 
public transportation use in the United States are well 
documented. According to two recent studies, the direct 
petroleum savings attributable to current public transportation 
use in the United States is 1.4 billion gallons per year. When 
the secondary effects of transit availability on travel are 
also taken into account, public transportation saves the 
equivalent of 4.2 billion gallons of gasoline annually--more 
than 11 million gallons of gasoline per day. Moreover, if 
Americans used transit at the same rate as Europeans--for 
roughly 10 percent of their daily travel needs--the United 
States could reduce its dependence on imported oil by more than 
40 percent, nearly equal to the 550 million barrels of crude 
oil that we import from Saudi Arabia each year.
    Public transportation use is also estimated to reduce 
carbon dioxide emissions by 37 million metric tons annually. 
When a solo commuter switches from a single occupancy vehicle 
to a transit commute, this single mode shift can reduce carbon 
dioxide emissions by 20 pounds per day--more than 4,800 pounds 
in a year.
    To a great degree, public transportation use is already 
experiencing a renaissance in many American cities and towns. 
In 2007, Americans took over 10.3 billion trips on public 
transportation, the highest level in 50 years. Public 
transportation use is up 32 percent since 1995, a figure that 
is more than double the growth rate of the population and is 
substantially greater than the growth rate of vehicle miles 
traveled on our nation's highways for that same period. Around 
the country, voters continue to approve state and local ballot 
initiatives to support public transportation, even when it 
means local taxes will be raised or continued.
    As the average price of regular gasoline has reached $4 per 
gallon, even more commuters are choosing to ride the train or 
the bus to work rather than drive alone in their cars. Transit 
systems in metropolitan areas are currently reporting increases 
in ridership of five, ten, and even 15 percent over last year's 
figures. In the first quarter of 2008, commuters took more than 
2.6 billion trips on trains, subways, light rail, and buses 
nationwide, an increase of 3.3 percent over the first quarter 
of 2007. Light rail saw the greatest increase in ridership--
light rail ridership increased 10 percent to 110 million trips 
in the first quarter of 2008. During the same timeframe, 
highway vehicle miles traveled declined by 2.3 percent. In 
Denver, for example, ridership was up eight percent in the 
first three months of 2008 compared with last year, while 
Minneapolis, Seattle, Dallas-Fort Worth and San Francisco all 
reported similar increases.
    Some of the largest increases in transit ridership are 
occurring in many areas in the South and West where new bus and 
light rail lines have been built in recent years. The Charlotte 
Area Transit System, which recently opened a new light rail 
line, has increased ridership more than 34 percent from 
February 2007 to February 2008. Caltrain, the commuter rail 
line that serves the San Francisco Peninsula and the Santa 
Clara Valley, set a record for average weekday ridership in 
February with a 9.3 percent increase over 2007. The South 
Florida Regional Transportation Authority, which operates a 
commuter rail system from Miami to Fort Lauderdale and West 
Palm Beach, posted a rise of more than 20 percent in ridership 
in March and April compared to the same time last year.
    Meeting this impressive demand for public transportation 
services is no small task for local transit agencies. The cost 
of fuel and power for public transportation has sharply 
increased in recent years. In 2005, approximately 911 million 
gallons of fossil fuels and six billion kilowatt-hours of 
electricity were used to move transit vehicles. These figures 
represent an increase of 50 million gallons of fuels and 400 
million kilowatt-hours during only a three-year period. 
Moreover, the slowing economy means less state and local 
funding is available to cover the costs of the increased fuel 
and electricity needed to maintain transit services. Some 
transit agencies are facing service cuts and fare increases as 
a result of the high cost of fuel, which may result in less--
rather than more--Americans riding transit.
    In addition to increasing transit ridership, increasing the 
amount of alternative fuels and clean technologies that transit 
agencies use in providing public transportation can 
significantly further our energy and emissions reduction goals. 
By switching to non-petroleum-based or cleaner burning fuel, 
transit vehicles can reduce the amount of carbon-based 
pollutants they emit. On average, alternative fuels burn 
cleaner than traditional petroleum fuels, and in some cases 
burn up to 90 percent cleaner. Alternative fuels help reduce 
emissions of carbon monoxide, organic compounds, nitrogen 
oxide, sulfur and particulate matter. Cleaner fuels, along with 
better engineered engines, have helped reduce air pollution 
levels in most urban communities over the past 10 years, 
although widespread use of alternative fuels across all transit 
modes has yet to be achieved. In 2005, only 6.3 percent of 
paratransit vehicles and only 19.1 percent of buses used an 
alternative form of power, compared with 49.6 percent of 
commuter rail cars, 98.8 percent of light rail cars, and 100 
percent of heavy rail and streetcars.
    Currently, the Federal Government provides a Federal share 
of 90 percent for clean fuel and alternative fuel transit bus, 
ferry or locomotive-related equipment or facilities. However, 
given the way in which the Federal Transit Administration 
administers this provision, the average Federal share for these 
types of clean fuel projects is only 83 percent. As such, it is 
important to further increase the Federal share for clean and 
alternative fuel transit projects, thereby assisting transit 
agencies in reducing their transportation-related emissions and 
reliance on foreign oil.
    Another approach to meeting our energy and emissions 
reduction goals is to increase the number of transit commuters 
within the Federal workforce. For more than 20 years, laws have 
been in place to encourage Federal employees to commute by 
means other than single-occupancy vehicles in order to improve 
air quality and reduce congestion. The most commonly used 
program to achieve these goals at the Federal level has been 
the Federal Transit Benefits Program, but current law does not 
require that all Federal agencies implement the program. 
Rather, participation is only required in certain regions and 
by certain agencies, thereby limiting an otherwise successful 
initiative.
    Transit benefits programs create incentives for commuters 
to switch from driving alone to work to taking public 
transportation. These programs have reduced Federal employees' 
contribution to traffic congestion and air pollution and 
expanded their commuting alternatives. The Department of 
Transportation has called for the nationwide expansion of the 
Federal Transit Benefits Program, an action which will provide 
more Federal employees with the option to choose transit for 
their commute, thereby reducing their transportation-related 
energy consumption and reliance on foreign oil.
    As Congress begins to more fully address the negative 
consequences of energy dependence and climate change, the role 
that public transportation plays in lessening our carbon 
footprint should be rightfully recognized. The Federal 
Government should continue to provide incentives for commuters 
to choose transit options, especially those commuters within 
the Federal workforce, and encourage transit agencies to 
increase their use of clean and alternative fuels. Each of 
these initiatives will help increase public transportation use 
nationwide, thereby reducing the United States' transportation-
related energy consumption and reliance on foreign oil and 
decreasing our greenhouse gas emissions. Providing more 
Americans with the opportunity to choose transit options over 
driving alone is one of the most promising ways to meet our 
energy and emissions reduction goals.
    H.R. 6052 authorizes $1.7 billion in immediate funding to 
increase public transportation use across the United States. 
Transit agencies may use these funds to reduce transit fares or 
expand transit services in order to provide incentives for 
commuters to choose transit options. These funds will allow 
transit agencies to provide incentives for commuters to choose 
transit options, thereby reducing their transportation-related 
energy consumption and reliance on foreign oil, as well as 
decreasing their greenhouse gas emissions.


                       Summary of the Legislation


Sec. 1. Short title

    This section designates the short title of the Act as the 
``Energy Savings Through Public Transportation Act of 2008''.

Sec. 2. Findings

    This section details findings made by Congress regarding 
the ways in which public transportation use helps Americans 
reduce their transportation-related energy consumption and 
reliance on foreign oil, as well as decrease their greenhouse 
gas emissions.

Sec. 3. Grants to improve public transportation services

    This section authorizes $1.7 billion in immediate funding 
to increase public transportation use across the United States. 
Transit agencies may use these funds to reduce transit fares or 
expand transit services in order to provide incentives for 
commuters to choose transit options. This section provides $850 
million for each of fiscal years 2008 and 2009 for these 
grants. The funds are distributed by the urbanized area formula 
(section 5307) and the rural formula (section 5311) of title 
49, United States Code. The funds are available to expand 
transit services and reduce transit fares. The funds are 
available for two years and have a 100 percent Federal share.
    These funds will allow transit agencies to provide 
incentives for commuters to choose transit options, thereby 
reducing their transportation-related energy consumption and 
reliance on foreign oil, as well as decreasing their greenhouse 
gas emissions.

Sec. 4. Increased Federal share for clean air act compliance

    This section increases the Federal share for clean fuel and 
alternative fuel transit bus, ferry or locomotive-related 
equipment or facilities from 90 percent to 100 percent of the 
net project cost for fiscal years 2008 and 2009, unless the 
grant recipient requests a lower grant percentage.
    The increased Federal share creates incentives for transit 
agencies to purchase alternative fuel transit equipment.

Sec. 5. Federal agency transit benefits

    This section establishes a nationwide Federal transit pass 
benefits program and requires all Federal agencies in the 
United States to offer transit passes to Federal employees 
working in urbanized areas with fixed route transit systems. It 
also requires that specific guidelines be followed in 
implementing the nationwide program to avoid the possibility of 
fraud and abuse.
    Section 3049 of P.L. 109-59, the ``Safe, Accountable, 
Flexible, Efficient Transportation Equity Act: A Legacy for 
Users'', currently requires that all Federal agencies within 
the National Capital Region implement a transit pass fringe 
benefits program and offer employees transit passes. This 
requirement originated from Executive Order 13150, signed by 
President Clinton on April 21, 2000. The Executive Order also 
required the Department of Transportation, the Environmental 
Protection Agency, and the Department of Energy to implement a 
nationwide three-year pilot transit pass benefit program for 
all qualified Federal employees of those agencies.
    The Department of Transportation (``DOT'') has determined 
that both the National Capital Region program and the 
nationwide pilot program are a success, and recommends that the 
transit pass benefits program be extended to all Federal 
employees nationwide.
    Data from the Washington Metropolitan Area Transportation 
Authority covering the first three years of the National 
Capital Region transit pass program show that more than 15,500 
automobiles were eliminated from roads in the Washington, D.C., 
area as a result of Federal employees shifting their travel 
mode away from single occupancy vehicle (``SOV'') use to public 
transportation use for commuting to work. The Department of 
Transportation estimated that emissions and energy savings from 
this mode shift included the reduction of more than eight 
million gallons of gasoline, nearly 40,000 tons of carbon 
dioxide, and over 675 tons of carbon monoxide for each of the 
three years that they studied. DOT also studied the results of 
the nationwide pilot and found that, within the three covered 
agencies, 11 percent of the participants shifted their travel 
mode away from SOV use to public transportation use for 
commuting to work, again producing marked energy and emissions 
savings, reduced congestion and cleaner air.
    This program will allow Federal agencies nationwide to 
provide incentives for commuters to choose transit options, 
thereby reducing their transportation-related energy 
consumption and reliance on foreign oil, as well as decreasing 
their greenhouse gas emissions.

    FULL-TIME FEDERAL EMPLOYMENT IN 27 METROPOLITAN STATISTICAL AREAS
------------------------------------------------------------------------
                                                       Number of Federal
                  Metropolitan area                        employees
------------------------------------------------------------------------
Washington-Baltimore, DC-MD-VA-WV....................            312,854
New York-Northern New Jersey-Long Island.............             65,083
Los Angeles-Riverside-Orange County, CA..............             46,432
Philadelphia-Wilmington-Atlantic City, PA............             39,242
Norfolk-Virginia Beach-Newport News, VA..............             38,630
Seattle-Tacoma-Bremerton, WA.........................             34,432
Atlanta, GA..........................................             31,798
San Diego, CA........................................             29,212
Boston-Worcester-Lawrence, MA-NH-ME-CT...............             29,015
Chicago-Gary-Kenosha, IL-IN-WI.......................             28,687
San Francisco-Oakland-San Jose, CA...................             27,652
Dallas-Fort Worth, TX................................             24,411
Salt Lake City-Ogden, UT.............................             23,088
Oklahoma City, OK....................................             22,144
Denver-Boulder-Greeley, CO...........................             21,240
Kansas City, MO-KS...................................             19,868
San Antonio, TX......................................             19,572
Honolulu, HI.........................................             19,509
Miami-Fort Lauderdale, FL............................             15,787
Detroit-Ann Arbor-Flint, MI..........................             15,531
Houston-Galveston-Brazoria, TX.......................             14,353
Portland-Salem, OR-WA................................             12,442
Cleveland-Akron-Lorain, OH...........................             11,077
Cincinnati-Hamilton, OH-KY-IN........................             10,709
San Juan-Caguas-Arecibo, PR..........................              8,967
Sacramento-Yolo, CA..................................              7,033
Milwaukee-Racine, WI.................................              4,855
    Total............................................            933,623
------------------------------------------------------------------------
------------------------------------------------------------------------
Source: U.S. Office of Personnel Management, March 31, 2004

Sec. 6. Capital cost of contracting vanpool pilot program

    This provision creates a pilot program to allow the amount 
expended by private providers of public transportation by 
vanpool for the acquisition of vans to be used as the non-
Federal share for matching Federal transit funds in five 
communities. Under current law, only local public funds may be 
used as local match, and this pilot program allows private 
funds to be used in limited circumstances. This section 
requires the private providers of vanpool services to use 
revenues they receive in providing public transportation, in 
excess of its operating costs, for the purpose of acquiring 
vans, excluding any amounts the providers may have received in 
Federal, state, or local government assistance for such 
acquisition. The Department of Transportation will implement 
and oversee the vanpool pilot projects, and will report to 
Congress on the costs, benefits, and efficiencies of the 
vanpool projects.
    This program will encourage expanded partnering of local 
communities with private vanpool providers to provide commuters 
with additional transit options, thereby reducing their 
transportation-related energy consumption and reliance on 
foreign oil, as well as decreasing their greenhouse gas 
emissions.

Sec. 7. Increased Federal share for end-of-line fixed guideway stations

    This provision increases the Federal share for right-of-way 
acquisition, design, engineering, and construction of 
additional parking facilities at end-of-line fixed guideway 
stations from 80 percent to 100 percent of the net project cost 
for fiscal years 2008 and 2009, unless the grant recipient 
requests a lower grant percentage. Suburban commuters are more 
likely to use transit options, such as commuter rail or heavy 
rail, if there is adequate parking at the station.
    This provision will increase the total number of transit 
commuters who have access to transit facilities, thereby 
reducing their transportation-related energy consumption and 
reliance on foreign oil, as well as decreasing their greenhouse 
gas emissions.

            Legislative History and Committee Consideration

    On June 20, 2007, the Committee on Transportation and 
Infrastructure ordered reported H.R. 2701, the ``Transportation 
Energy Security and Climate Change Mitigation Act of 2007,'' 
favorably to the House. Section 201 and section 202 of H.R. 
2701 are the basis for sections 3 and 4 of H.R. 6052. H.R. 
2701, as ordered reported was incorporated into H.R. 3221, the 
``New Direction for Energy Independence, National Security, and 
Consumer Protection Act.'' See sections 8201 and 8202 of H.R. 
3221. Section 6 of this bill was adopted as an amendment to 
H.R. 3221 during Floor consideration of the bill. On August 4, 
2007, the House passed H.R. 3221 by a recorded vote of 241-172. 
However, these provisions were not included in the final 
version of P.L. 110-140, the ``Energy Independence and Security 
Act of 2007.''
    On May 14, 2008, Chairman James L. Oberstar introduced H.R. 
6052, the ``Saving Energy Through Public Transportation Act of 
2008.''
    On May 15, 2008, the Committee on Transportation and 
Infrastructure met to consider H.R. 6052, and ordered the bill 
reported favorably to the House by voice vote with a quorum 
present.

                              Record Votes

    Clause 3(b) of rule XIII of the House of Representatives 
requires each committee report to include the total number of 
votes cast for and against on each record vote on a motion to 
report and on any amendment offered to the measure or matter, 
and the names of those members voting for and against. There 
were no recorded votes taken in connection with consideration 
of H.R. 6052 or ordering it reported. A motion to order H.R. 
6052 reported favorably to the House was agreed to by voice 
vote with a quorum present.

                      Committee Oversight Findings

    With respect to the requirements of clause 3(c)(1) of rule 
XIII of the Rules of the House of Representatives, the 
Committee's oversight findings and recommendations are 
reflected in this report.

                          Cost of Legislation

    Clause 3(c)(2) of rule XIII of the Rules of the House of 
Representatives does not apply where a cost estimate and 
comparison prepared by the Director of the Congressional Budget 
Office under section 402 of the Congressional Budget Act of 
1974 has been timely submitted prior to the filing of the 
report and is included in the report. Such a cost estimate is 
included in this report.

                    Compliance With House Rule XIII

    1. With respect to the requirement of clause 3(c)(2) of 
rule XIII of the Rules of the House of Representatives, and 
308(a) of the Congressional Budget Act of 1974, the Committee 
references the report of the Congressional Budget Office 
included in the report.
    2. With respect to the requirement of clause 3(c)(4) of 
rule XIII of the Rules of the House of Representatives, the 
performance goals and objectives of this legislation are to 
promote increased public transportation use and increased use 
of alternative fuels in providing public transportation.
    3. With respect to the requirement of clause 3(c)(3) of 
rule XIII of the Rules of the House of Representatives and 
section 402 of the Congressional Budget Act of 1974, the 
Committee has received the enclosed cost estimate for H.R. 6052 
from the Director of the Congressional Budget Office:

                                     U.S. Congress,
                               Congressional Budget Office,
                                     Washington, DC, June 13, 2008.
Hon. James L. Oberstar, Chairman,
Committee on Transportation, and Infrastructure,
House of Representatives, Washington, DC.
    Dear Mr. Chairman: The Congressional Budget Office has 
prepared the enclosed cost estimate for H.R. 6052, the Saving 
Energy Through Public Transportation Act of 2008.
    If you wish further details on this estimate, we will be 
pleased to provide them. The CBO staff contact is Sarah Puro.
            Sincerely,
                                         Robert A. Sunshine
                                   (For Peter R. Orszag, Director).
    Enclosure.

H.R. 6052--Saving Energy Through Public Transportation Act of 2008

    Summary: H.R. 6052 would authorize the appropriation of 
$850 million in 2009 for grants to public transportation 
authorities to reduce fares or expand services. The bill also 
would require all federal agencies in areas that meet certain 
criteria to offer their employees subsidies to take public 
transportation; however, almost all agencies currently offer 
such a benefit. CBO estimates that providing additional transit 
subsidies under this provision would cost about $5 million a 
year.
    CBO estimates that implementing H.R. 6052 would cost $806 
million over the 2009-2013 period, assuming the appropriation 
of the necessary funds. The legislation could also affect 
direct spending by agencies not funded through annual 
appropriations (such as the Tennessee Valley Authority). CBO 
estimates, however, that any net increase in spending by those 
agencies would not be significant.
    The bill contains no intergovernmental or private-sector 
mandates as defined in the Unfunded Mandates Reform Act (UMRA) 
and would impose no costs on state, local, or tribal 
governments.
    Estimated cost to the Federal Government: The estimated 
budgetary impact of H.R. 6052 is shown in the following table. 
The costs of this legislation fall within budget function 400 
(transportation).

----------------------------------------------------------------------------------------------------------------
                                                                By fiscal year, in millions of dollars
                                                     -----------------------------------------------------------
                                                                                                          2009-
                                                        2009      2010      2011      2012      2013      2013
----------------------------------------------------------------------------------------------------------------
                                  CHANGES IN SPENDING SUBJECT TO APPROPRIATION

Public Transportation Grants:
    Authorization Level.............................       850         0         0         0         0       850
    Estimated Outlays...............................       128       255       170       128       102       782
Transit Benefits for Federal Employees:
    Estimated Authorization Level...................         5         5         5         5         5        25
    Estimated Outlays...............................         4         5         5         5         5        24
Total Changes:
    Estimated Authorization Level...................       855         5         5         5         5       875
    Estimated Outlays...............................       132       260       175       132       107       806
----------------------------------------------------------------------------------------------------------------
Note: Components may not sum to totals because of rounding.

    Basis of estimate: For this estimate, CBO assumes that H.R. 
6052 will be enacted near the start of fiscal year 2009 and 
that the authorized and necessary amounts will be appropriated 
each year beginning in fiscal year 2009. (H.R. 6052 also would 
authorize the appropriation of $850 million in 2008 for grants 
to public transportation authorities; however, those amounts 
are not included in this cost estimate because CBO assumes that 
no further appropriations will be provided in 2008 for such 
programs.) Estimates of spending are based on historical 
spending patterns of existing programs.

Public transportation grants

    H.R. 6052 would direct the Department of Transportation to 
administer grants that would aid public transportation 
authorities to either reduce fares or to expand services, and 
it would authorize the appropriation of $850 million for fiscal 
year 2009. That amount includes $750 million for such programs 
in urban areas with populations over 50,000 and $100 million 
for areas with populations under 50,000. Based on spending 
patterns for similar programs, CBO estimates that implementing 
those grant programs would cost $782 million over the 2009-2013 
period.

Transit benefits for Federal employees

    H.R. 6052 would require all federal agencies with employees 
in urbanized areas served by public transportation systems that 
operate on fixed routes to offer their employees passes to be 
used on such transportation so that they may commute to work. 
About 40 metropolitan statistical areas have such 
transportation systems. Under current law, all employees in the 
National Capital Area are offered such a benefit, and about 35 
percent of such employees currently take the benefit.
    Although not required by current law, according to the 
Department of Transportation, the Department of Health and 
Human Services, and the Environmental Protection Agency, almost 
all agencies with employees in urban areas outside of the 
National Capital Area offer their employees a subsidy to take 
public transportation as would be required by the provisions in 
H.R. 6052. Because most employees are already eligible for a 
subsidy, CBO estimates that no more than 5,000 additional 
employees would receive the subsidy under the bill. Nationwide, 
the average amount that employees receive for the transit 
benefit is a nearly $90 per month. Thus, CBO estimates that 
implementing this provision would cost about $5 million 
annually over the 2009-2013 period, assuming the availability 
of appropriated funds.
    Intergovernmental and private-sector impact: H.R. 6052 
contains no intergovernmental or private-sector mandates as 
defined in UMRA. The bill would benefit state, local, and 
tribal governments by authorizing grants for transportation 
projects.
    Previous CBO estimate: On July 18, 2007, CBO provided an 
estimate for H.R. 2701, the Transportation Energy Security 
Climate Change Mitigation Act of 2007, as ordered reported by 
the House Committee on Transportation and Infrastructure on 
June 20, 2007. That bill would also authorize grants to public 
transportation authorities to either reduce fares or to expand 
service. Because CBO now assumes that no further appropriations 
will be provided in 2008 for public transportation programs, 
the estimate for H.R. 2701 included more spending than our 
estimate for H.R. 6052. H.R. 2701 would not authorize transit 
benefits for additional federal employees, but it contains 
several other provisions with significant costs that are not 
contained in H.R. 6052. Neither bill contains intergovernmental 
or private-sector mandates.
    Estimate prepared by: Federal costs: Sarah Puro; Impact on 
state, local, and tribal governments: Elizabeth Cove; Impact on 
the private sector: Jacob Kuipers.
    Estimate approved by: Peter H. Fontaine, Assistant Director 
for Budget Analysis.

                     Compliance With House Rule XXI

    Pursuant to clause 9 of rule XXI of the Rules of the House 
of Representatives, H.R. 6052, does not contain any 
congressional earmarks, limited tax benefits, or limited tariff 
benefits as defined in clause 9(d), 9(e), or 9(f) of rule XXI 
of the Rules of the House of Representatives.

                   Constitutional Authority Statement

    Pursuant to clause (3)(d)(1) of rule XIII of the Rules of 
the House of Representatives, committee reports on a bill or 
joint resolution of a public character shall include a 
statement citing the specific powers granted to the Congress in 
the Constitution to enact the measure. The Committee on 
Transportation and Infrastructure finds that Congress has the 
authority to enact this measure pursuant to its powers granted 
under article I, section 8 of the Constitution.

                       Federal Mandates Statement

    The Committee adopts as its own the estimate of Federal 
mandates prepared by the Director of the Congressional Budget 
Office pursuant to section 423 of the Unfunded Mandates Reform 
Act (Public Law 104-4).

                        Preemption Clarification

    Section 423 of the Congressional Budget Act of 1974 
requires the report of any Committee on a bill or joint 
resolution to include a statement on the extent to which the 
bill or joint resolution is intended to preempt state, local, 
or tribal law. The Committee states that H.R. 6052 does not 
preempt any state, local, or tribal law.

                      Advisory Committee Statement

    No advisory committees within the meaning of section 5(b) 
of the Federal Advisory Committee Act are created by this 
legislation.

                Applicability to the Legislative Branch

    Section 102(b)(3) of the Congressional Accountability Act 
(Public Law 104-1) requires the report of any Committee on a 
bill or joint resolution relating to terms and conditions of 
employment or access to public services or accommodations to 
describe the manner in which the bill or joint resolution 
applies to the legislative branch.
    Section 5 of H.R. 6052 establishes a nationwide Federal 
transit pass benefits program and requires all Federal agencies 
in the United States to offer transit passes to Federal 
employees working in urbanized areas with fixed route transit 
systems. It also requires that specific guidelines be followed 
in implementing the nationwide program to avoid the possibility 
of fraud and abuse.
    Pursuant to section 3049 of P.L. 109-59, the ``Safe, 
Accountable, Flexible, Efficient Transportation Equity Act: A 
Legacy for Users'', current law requires all Federal agencies 
within the National Capital Region to implement a transit pass 
fringe benefits program and offer employees transit passes. The 
legislative branch is considered an agency for purposes of this 
requirement. Pursuant to 5 U.S.C. 7905, the term ``agency'' 
includes an entity of the legislative branch. An ``entity of 
the legislative branch'' means the House of Representatives, 
the Senate, the Office of the Architect of the Capitol 
(including the Botanic Garden), the Capitol Police, the 
Congressional Budget Office, the Copyright Royalty Tribunal, 
the Government Printing Office, and the Library of Congress. 
Therefore, under current law, the legislative branch is 
required to offer transit passes to employees in the National 
Capital Region. In addition, a legislative branch employee 
applying for the benefit must certify that the employee is 
eligible for the benefit, will use the benefit for his or her 
regular daily commute, will not transfer the benefit, and that 
the amount that the employee receives does not exceed the 
employee's average monthly commuting cost.
    Section 5 of H.R. 6052 extends this requirement to all 
legislative branch employees working in urbanized areas with 
fixed route transit systems. The Committee understands that 
transit pass benefits are currently widely available to 
legislative branch employees.

         Changes in Existing Law Made by the Bill, as Reported

  In compliance with clause 3(e) of rule XIII of the Rules of 
the House of Representatives, changes in existing law made by 
the bill, as reported, are shown as follows (existing law 
proposed to be omitted is enclosed in black brackets, new 
matter is printed in italic, existing law in which no change is 
proposed is shown in roman):

      SECTION 3049 OF THE SAFE, ACCOUNTABLE, FLEXIBLE, EFFICIENT 
             TRANSPORTATION EQUITY ACT: A LEGACY FOR USERS

SEC. 3049. TRANSPORTATION FRINGE BENEFITS.

  (a) Transit Pass Transportation Fringe Benefits.--
          (1) In general.--[Effective as of the first day of 
        the next fiscal year beginning after the date of the 
        enactment of this Act, each covered agency] Each agency 
        shall implement a program under which all qualified 
        Federal employees serving in or under such agency at a 
        location in an urbanized area of the United States that 
        is served by fixed route public transportation shall be 
        offered transit pass transportation fringe benefits, as 
        described in paragraph (2).

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          (3) Definitions.--In this subsection--
                  [(A) the term ``covered agency'' means any 
                agency, to the extent of its facilities in the 
                National Capital Region;]
                  [(B)] (A) the term ``agency'' means any 
                agency (as defined by 7905(a)(2) of title 5, 
                United States Code), the Postal Rate 
                Commission, and the Smithsonian Institution;
                  [(C)] (B) the term ``National Capital 
                Region'' includes the District of Columbia and 
                every county or other geographic area covered 
                by section 2 of Executive Order No. 13150;
                  [(D)] (C) the term ``Executive Order No. 
                13150'' refers to Executive Order No. 13150 (5 
                U.S.C. 7905 note);
                  [(E)] (D) the term ``Federal agency'' is used 
                in the same way as under section 2 of Executive 
                Order No. 13150; and
                  [(F)] (E) any determination as to whether or 
                not one is a ``qualified Federal employee'' 
                shall be made applying the same criteria as 
                would apply under section 2 of Executive Order 
                No. 13150.
          (4) Rule of construction.--Nothing in this subsection 
        shall be considered to require that [a covered agency] 
        an agency--
                  (A) * * *

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          (5) Guidance.--
                  (A) Issuance.--Not later than 60 days after 
                the date of enactment of this paragraph, the 
                Secretary of Transportation shall issue 
                guidance on nationwide implementation of the 
                transit pass transportation fringe benefits 
                program under this subsection.
                  (B) Uniform application.--
                          (i) In general.--The guidance to be 
                        issued under subparagraph (A) shall 
                        contain a uniform application for use 
                        by all Federal employees applying for 
                        benefits from an agency under the 
                        program.
                          (ii) Required information.--As part 
                        of such an application, an employee 
                        shall provide, at a minimum, the 
                        employee's home and work addresses, a 
                        breakdown of the employee's commuting 
                        costs, and a certification of the 
                        employee's eligibility for benefits 
                        under the program.
                          (iii) Warning against false 
                        statements.--Such an application shall 
                        contain a warning against making false 
                        statements in the application.
                  (C) Independent verification requirements.--
                The guidance to be issued under subparagraph 
                (A) shall contain independent verification 
                requirements to ensure that, with respect to an 
                employee of an agency--
                          (i) the eligibility of the employee 
                        for benefits under the program is 
                        verified by an official of the agency;
                          (ii) employee commuting costs are 
                        verified by an official of the agency; 
                        and
                          (iii) records of the agency are 
                        checked to ensure that the employee is 
                        not receiving parking benefits from the 
                        agency.
                  (D) Program implementation requirements.--The 
                guidance to be issued under subparagraph (A) 
                shall contain program implementation 
                requirements applicable to each agency to 
                ensure that--
                          (i) benefits provided by the agency 
                        under the program are adjusted in cases 
                        of employee travel, leave, or change of 
                        address;
                          (ii) removal from the program is 
                        included in the procedures of the 
                        agency relating to an employee 
                        separating from employment with the 
                        agency; and
                          (iii) benefits provided by the agency 
                        under the program are made available 
                        using an electronic format (rather than 
                        using paper fare media) where such a 
                        format is available for use.
                  (E) Enforcement and penalties.--The guidance 
                to be issued under subparagraph (A) shall 
                contain a uniform administrative policy on 
                enforcement and penalties. Such policy shall be 
                implemented by each agency to ensure compliance 
                with program requirements, to prevent fraud and 
                abuse, and, as appropriate, to penalize 
                employees who have abused or misused the 
                benefits provided under the program.
                  (F) Periodic reviews.--The guidance to be 
                issued under subparagraph (A) shall require 
                each agency, not later than September 1 of the 
                first fiscal year beginning after the date of 
                enactment of this paragraph, and every 3 years 
                thereafter, to develop and submit to the 
                Secretary a review of the agency's 
                implementation of the program. Each such review 
                shall contain, at a minimum, the following:
                          (i) An assessment of the agency's 
                        implementation of the guidance, 
                        including a summary of the audits and 
                        investigations, if any, of the program 
                        conducted by the Inspector General of 
                        the agency.
                          (ii) Information on the total number 
                        of employees of the agency that are 
                        participating in the program.
                          (iii) Information on the total number 
                        of single occupancy vehicles removed 
                        from the roadway network as a result of 
                        participation by employees of the 
                        agency in the program.
                          (iv) Information on energy savings 
                        and emissions reductions, including 
                        reductions in greenhouse gas emissions, 
                        resulting from reductions in single 
                        occupancy vehicle use by employees of 
                        the agency that are participating in 
                        the program.
                          (v) Information on reduced congestion 
                        and improved air quality resulting from 
                        reductions in single occupancy vehicle 
                        use by employees of the agency that are 
                        participating in the program.
                          (vi) Recommendations to increase 
                        program participation and thereby 
                        reduce single occupancy vehicle use by 
                        Federal employees nationwide.
          (6) Reporting requirements.--Not later than September 
        30 of the first fiscal year beginning after the date of 
        enactment of this paragraph, and every 3 years 
        thereafter, the Secretary shall submit to the Committee 
        on Transportation and Infrastructure and the Committee 
        on Oversight and Government Reform of the House of 
        Representatives and the Committee on Banking, Housing, 
        and Urban Affairs of the Senate a report on nationwide 
        implementation of the transit pass transportation 
        fringe benefits program under this subsection, 
        including a summary of the information submitted by 
        agencies pursuant to paragraph (5)(F).

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