[Federal Register Volume 78, Number 44 (Wednesday, March 6, 2013)]
[Notices]
[Pages 14620-14622]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-05226]


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DEPARTMENT OF TRANSPORTATION

Federal Transit Administration

[Docket FTA-2013-0013]


Joint Development: Proposed Circular

AGENCY: Federal Transit Administration (FTA), DOT.

ACTION: Notice of Availability of Proposed Circular and Request for 
Comments

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SUMMARY: The Federal Transit Administration (FTA) has placed in the 
docket and on its web site proposed guidance, in the form of a 
circular, on joint development. This circular provides guidance to 
recipients of Federal Transit Administration (FTA) financial assistance 
on how to use FTA funds or FTA-funded real property for joint 
development. This circular: (1) Defines the term ``joint development'';

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(2) explains how to determine which joint development activities are 
eligible for FTA funding; (3) describes the legal requirements 
applicable to the acquisition, use, and disposition of FTA-funded real 
property; and (4) outlines the most common crosscutting requirements. 
This circular incorporates provisions of the Moving Ahead for Progress 
in the 21st Century Act (MAP-21), Public Law 112-141 (2012), advances 
the goals of 49 U.S.C. 5315 by informing FTA recipients of 
opportunities for private sector participation in public transportation 
projects, and includes the most current guidance for the federal public 
transportation program. By this notice, FTA invites public comment on 
this proposed circular.

DATES: Comments must be submitted by April 5, 2013. Late-filed comments 
will be considered to the extent practicable.

ADDRESSES: You may submit comments to DOT Docket ID Number FTA-2013-
0013 by any of the following methods:
    Federal e-Rulemaking Portal: Go to http://www.regulations.gov and 
follow the online instructions for submitting comments.
    Mail: Docket Management Facility: U.S. Department of 
Transportation, 1200 New Jersey Avenue SE., West Building, Ground 
Floor, Room W12-140, Washington, DC 20590-0001.
    Hand Delivery or Courier: West Building Ground Floor, Room W12-140, 
1200 New Jersey Avenue SE., between 9 a.m. and 5 p.m. Eastern time, 
Monday through Friday, except Federal holidays.
    Fax: 202-493-2251.
    Instructions: You must include the agency name (Federal Transit 
Administration) and Docket number (FTA-2013-0013) for this notice at 
the beginning of your comments. You should submit two copies of your 
comments if you submit them by mail. If you wish to receive 
confirmation that FTA received your comments, you must include a self-
addressed stamped postcard. Note that all comments received will be 
posted without change to http://www.regulations.gov including any 
personal information provided and will be available to internet users. 
You may review DOT's complete Privacy Act Statement published in the 
Federal Register on April 11, 2000 (65 FR 19477). Docket: For access to 
the docket to read background documents and comments received, go to 
http://www.regulations.gov at any time or to the U.S. Department of 
Transportation, 1200 New Jersey Ave. SE., Docket Operations, M-30, West 
Building Ground Floor, Room W12-140, Washington, DC 20590 between 9:00 
a.m. and 5:00 p.m., Monday through Friday, except Federal holidays.

FOR FURTHER INFORMATION CONTACT: For legal questions, Jayme L. 
Blakesley, Office of Chief Counsel, 1200 New Jersey Avenue SE., Room 
E56-316, phone: (202) 366-0304, or email, [email protected]; For 
program questions, Sharon Pugh, Office of Budget and Policy, Federal 
Transit Administration, 1200 New Jersey Ave. SE., Room E52-322, 
Washington, DC 20590, phone: (202) 366-0713, or email, 
[email protected].

SUPPLEMENTARY INFORMATION:

I. Introduction

    It is FTA's policy to maximize the utility of FTA-funded projects 
and to encourage transit agencies to generate program income through 
joint development. The benefits of joint development include revenue 
generation for the transit system through ``value capture'' mechanisms, 
such as income derived from rental or lease payments, and private 
sector contributions to public infrastructure. Other benefits include 
shared costs, efficient land use, reduced distance between 
transportation and other activities, economic development, increased 
transit ridership, and improved transit connectivity.
    This proposed circular is intended to guide interested parties 
through the FTA program and policy requirements that must be considered 
when pursuing a joint development project.
    This following is a summary of the proposed circular. The proposed 
circular itself is not included in this notice; an electronic version 
may be found on FTA's Web site at www.fta.dot.gov or on the Docket at 
www.regulations.gov (Docket No. FTA-2013-0013). Paper copies of the 
proposed circular may be obtained by contacting FTA's Administrative 
Services Help Desk at (202) 366-4865. FTA seeks comment on the proposed 
circular.

II. Chapter Summary

A. Chapter I--Introduction and Background

    Chapter I is an introductory chapter. It defines terms used 
throughout the proposed circular, provides a brief background of FTA's 
authorizing legislation, the effect of the circular, and instructions 
for how to contact FTA.

B. Chapter II--Circular Overview

    Chapter II introduces the substance of the proposed circular. It 
describes joint development as a concept and lists several elements of 
a joint development capital project, including the funding sources, 
project eligibility criteria, crosscutting requirements, and 
restrictions on the use of real property acquired with federal 
assistance. The real property section includes discussion on the 
requirements for real property acquisition, satisfactory continuing 
control, incidental use, and disposition.

C. Chapter III--FTA Assistance for Planning and Capital Projects

    Chapter III describes the eligibility requirements for an FTA-
funded joint development capital project or planning activity.
    FTA planning grants are available to assist states, metropolitan 
planning organizations, local governments, and others to plan 
transportation projects, including joint developments.
    FTA program funds may be used to support capital projects. The 
Moving Ahead for Progress in the Twenty First Century Act (MAP-21), 
Public Law 112-141, provides the most recent authorization for FTA's 
programs. MAP-21 explicitly includes joint development within the 
definition of capital project. The proposed circular describes the MAP-
21 provisions on joint development and explains each element of the 
statutory eligibility criteria. Chapter III is based on previously 
published guidance on the eligibility of joint development activities 
for FTA funding. 72 FR 5788 (Feb. 7, 2007).

D. Chapter IV--Real Property Considerations

    Chapter IV reviews the requirements applicable to the acquisition, 
use, and disposition of real property acquired with FTA funds. Chapter 
IV gives special attention to circumstances that are most likely to be 
part of a joint development project. For example, Chapter IV discusses 
subordination of the federal government's unrecorded interest in real 
property, the incidental use of real property for non-transit purposes, 
and the maintenance of satisfactory continuing control of real property 
in the context of a joint development project.

E. Chapter V--Crosscutting Federal Requirements

    Chapter V reviews federal requirements that are not unique to 
public transportation projects, but which have application to all 
federally assisted projects, including joint development projects 
funded by FTA.

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III. Request for Comments and Examples

    In addition to general comments about the proposed circular, FTA 
invites comments on the following topics specifically:
    Currently, the proposed circular does not expressly define the term 
``fair share of revenue'' and does not set a monetary threshold for the 
same. Instead, FTA proposes to reserve the right to decline funding for 
a joint development project if the project does not generate a 
meaningful amount of revenue. FTA seeks comment on how it should assess 
whether a project generates a ``fair share of revenue,'' including any 
measures or criteria FTA should use.
    The proposed circular does not yet include a chapter on the process 
FTA will follow to review and approve or concur in a joint development 
project. Before drafting this chapter, FTA seeks comment from its 
stakeholders. After considering comments, FTA intends to include a 
chapter on FTA's review process in the final version of the proposed 
circular.
    FTA requests the submission of examples that illustrate the many 
issues that arise in joint development projects.

    Issued in Washington, DC, this 27th day of February, 2013.
Peter Rogoff,
Administrator.
[FR Doc. 2013-05226 Filed 3-5-13; 8:45 am]
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