[Federal Register Volume 80, Number 26 (Monday, February 9, 2015)]
[Notices]
[Pages 7254-7284]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2015-02555]
[[Page 7253]]
Vol. 80
Monday,
No. 26
February 9, 2015
Part V
Department of Transportation
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Federal Transit Administration
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FTA Fiscal Year (FY) 2015 Apportionments, Allocations, and Program
Information; Notice
Federal Register / Vol. 80, No. 26 / Monday, February 9, 2015 /
Notices
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DEPARTMENT OF TRANSPORTATION
Federal Transit Administration
FTA Fiscal Year (FY) 2015 Apportionments, Allocations, and
Program Information
AGENCY: Federal Transit Administration (FTA), DOT.
ACTION: Notice.
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SUMMARY: On December 16, 2014, President Obama signed the Consolidated
and Further Continuing Appropriations Act, 2015 (FY 2015
Appropriations) which provided $11.008 billion in new budget authority
including a full fiscal year's funding for the Federal Transit
Administration's (FTA) programs funded from the General Fund of the
Treasury, which funds its administrative expenses as well as its
Research, Technical Assistance and Training programs, Capital
Investment Grants program, and Grants to the Washington Metropolitan
Area Transit Authority. The FY 2015 Appropriations Act follows several
continuing resolutions that provided funds for these programs through
December 15, 2014.
The Highway and Transportation Funding Act of 2014 extended FTA's
contract (budget) authority to carry out its formula assistance
programs only through May 31, 2015. The act pro-rated the amount of
budget authority available for the period October 1, 2014 through May
31, 2015 based on an anticipated full FY 2015 total of $8.595 billion.
As a result, FTA may apportion only 8/12th or $5.722 billion in
contract authority at this time. When combined with the full-year
funding from the General Funded programs listed above, FTA is
apportioning or allocating in this notice a total of $8.136 billion of
the $11.008 billion of new budget authority provided in the FY 2015
Appropriations. Congress will have to extend the authorization for
public transportation beyond May 31, 2015, before additional contract
authority can be provided for the formula assistance programs.
FTA annually publishes one or more notices apportioning funds
appropriated by law. This notice apportions and provides information on
the FY 2015 funding currently available for FTA assistance programs,
provides program guidance and requirements, and information on several
program issues important in the current year. This notice also provides
information on FTA's discretionary programs and forthcoming program
guidance.
FOR FURTHER INFORMATION CONTACT: For general information about this
notice contact Jamie Pfister, Director, Office of Transit Programs, at
(202) 366-2053. Please contact the appropriate FTA Regional Office for
any specific requests for information or technical assistance. A list
of FTA Regional Offices and contact information is available on the FTA
Web site under the heading ``Regional Offices'' at http://www.fta.dot.gov. An FTA headquarters contact for each major program
area is included in the discussion of that program in the text of the
notice.
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Overview
II. FY 2015 Available Funding for FTA Programs
A. Funding Based on the Consolidated Appropriations Act, 2015
B. Oversight Takedown
C. FY 2015 Formula Apportionments; Data and Methodology
D. FY 2015 Discretionary Program Funding
III. FY 2015 Program Highlights and Changes
A. MAP-21 Implementation
B. Transitioning to a New Electronic Grant Management System
C. New Common Rule
D. The Recovery Act
E. Vanpool In-Kind Match Provision
F. Flood Insurance
G. In-State or Local Geographical Preferences
H. Federal Highway Administration (FHWA) Congestion Mitigation
and Air Quality (CMAQ) Funds for Operating Assistance
IV. FY 2015 Program Specific Information
A. Metropolitan Planning Program (49 U.S.C. 5305(d))
B. State Planning and Research Program (49 U.S.C. 5305(e))
C. Urbanized Area Formula Program (49 U.S.C. 5307)
D. Passenger Ferry Grant Program (49 U.S.C. 5307(h))
E. Fixed Guideway Capital Investment Grant Program (49 U.S.C.
5309)--New and Small Starts and Core Capacity
F. Enhanced Mobility of Seniors and Individuals With
Disabilities Program (49 U.S.C. 5310)
G. Rural Area Formula Program (49 U.S.C. 5311)
H. Rural Transportation Assistance Program (49 U.S.C.
5311(b)(3))
I. Appalachian Development Public Transportation Assistance
Program (49 U.S.C. 5311(c)(2))
J. Formula Grants for Public Transportation on Indian
Reservations Program (49 U.S.C. 5311(j))
K. Research, Development, Demonstration, and Deployment Projects
(49 U.S.C. 5312)
L. Transit Cooperative Research Program (49 U.S.C. 5313)
M. Technical Assistance and Standards Development (49 U.S.C.
5314)
N. Human Resources and Training Programs (49 U.S.C. 5322)
O. Public Transportation Emergency Relief Program (49 U.S.C.
5324)
P. State Safety Oversight Grant Program (49 U.S.C. 5329(e)(6))
Q. State of Good Repair Program (49 U.S.C. 5337)
R. Bus and Bus Facilities Formula Program (49 U.S.C. 5339)
S. Growing States and High Density States Formula Factors (49
U.S.C. 5340)
T. Washington Metropolitan Area Transit Authority Grants
(Section 601 of Pub. L. 110-432)
V. FTA Policy and Procedures for FY 2015 Grants
A. Automatic Pre-Award Authority To Incur Project Costs
B. Letter of No Prejudice (LONP) Policy
C. FY 2015 Annual List of Certifications and Assurances
D. Civil Rights
E. FHWA Flex Funds and Consolidated Planning Grants
F. Grant Application Procedures
G. Grant Management
I. Overview
On October 1, 2012, the Moving Ahead for Progress in the 21st
Century Act (MAP-21) (Pub. L. 112-141) authorized the Federal Transit
Administration's (FTA) public transportation assistance programs for
FYs 2013-2014. A notice announcing changes and implementation
instructions in FTA programs in accordance with MAP-21 was published in
the Federal Register on October 16, 2012. (See 77 FR 63669). On August
8, 2014, Congress passed the Highway and Transportation Funding Act of
2014 (Pub. L. 113-159) which extended MAP-21 authorizations as well as
contract authority to carry out FTA's formula programs through May 31,
2015. On December 16, 2014, the FY 2015 Appropriations Act (Pub. L.
113- 235) was signed into law, providing a full fiscal year of funding
for FTA's discretionary programs and its administrative expenses which
are funded from the General Fund of the Treasury. Prior to December 16,
2014, Congress provided partial funding for FY 2015 through continuing
resolutions (Pub. L. 113-164, Pub. L. 113-202, and Pub. L. 113-203).
This notice apportions formula funds based on the Highway and
Transportation Funding Act of 2014, which made 8/12th or $5.722 billion
of the anticipated fiscal year 2015 total of $8.595 billion available
through May 31, 2015. As a result, FTA may only apportion $5.722
billion to carry out FTA's formula programs at this time. Should
Congress pass legislation that provides additional contract authority
to support the formula programs for FY 2015, FTA will
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issue a notice apportioning any amount above the $5.722 billion up to
$8.595 billion, which is the obligation limitation provided for such
programs in the FY 2015 Appropriations Act. In addition, this notice
provides funding information for FTA's FY 2015 discretionary programs,
including $2.12 billion in new budget authority for FY 2015 Capital
Investment Grant (CIG) Program allocations as well as prior year
discretionary programs and their unobligated balances.
The FY 2015 Appropriations also provides $150 million in new budget
authority for FY 2015 for grants to the Washington Metropolitan Area
Transportation Authority and $37.5 million for the Research, Technical
Assistance and Training Programs. Finally, this notice provides program
information, including the status of MAP-21 implementation for many of
the grant programs and other regulatory requirements.
II. FY 2015 Available Funding for FTA Programs
A. Funding Based on the Consolidated Appropriations Act, 2015
The FY 2015 Appropriations Act provides $2.41 billion in new budget
authority for FTA's Capital Investment Grants program, Research,
Technical Assistance and Training programs, Grants to the Washington
Metropolitan Transit Authority and administrative expenses in FY 2015.
In addition to $2.12 billion made available to carry out the Capital
Investment Grants (CIG) program, the FY 2015 Appropriations Act directs
FTA to use $27.98 million in FY 2011 or prior fiscal years' unobligated
discretionary bus and bus facilities funds for new bus rapid transit
projects recommended in the President's FY 2015 budget submission to
Congress provided that such funds are subject to the CIG Program
requirements under 49 U.S.C. 5309. This brings the total funding
available for CIG to $2.148 billion in FY 2015.
In addition, the Highway and Transportation Funding Act of 2014
provides $5.722 billion in contract authority derived from the Mass
Transit Account of the Highway Trust Fund for the period October 1,
2014 through May 31, 2015 to carry out FTA's formula programs in FY
2015. This is in addition to over $7.92 billion in formula and bus
funds that remain unobligated from prior fiscal years. FTA will issue
another notice apportioning any additional FY 2015 contract authority
for formula assistance programs Congress may provide beyond May 31,
2015.
B. Oversight Takedown
In order to conduct oversight activities in accordance with 49
U.S.C. 5338(i), 0.5 percent is set aside from the amounts available to
carry out the Planning Programs (section 5305); the Enhanced Mobility
of Seniors and Individuals with Disabilities Formula Program (section
5310); and the Rural Areas Formula Grants Program (section 5311). In
addition, 0.75 percent is set aside from amounts made available to
carry out the Urbanized Area Formula Grants Programs, and the High
Intensity Fixed Guideway State of Good Repair Formula Program (section
5337(c)). Additionally, one percent of the amount made available to
carry out the CIG Program (section 5309) as well as one percent of the
amount available for Grants to the Washington Metropolitan Area Transit
Authority (section 601 of the Passenger Rail Investment and Improvement
Act of 2008 (Pub. L. 110-432)) is set aside for FTA oversight
activities.
C. FY 2015 Formula Apportionments; Data and Methodology
FTA is publishing apportionment tables on its Web site for each
program that reflects the full year appropriations less oversight take-
downs, as applicable. FTA is continuing to use, as it did in FYs 2013
and 2014, urbanized area and demographic data from the 2010 Census.
Tables displaying the funds available to eligible states, tribes, and
urbanized areas have been posted on FTA's Web site at http://www.fta.dot.gov/apportionments.
1. National Transit Database and Census Data Used in the FY 2015
Apportionments
Consistent with past practices, the calculations for sections 5307,
5311, including 5311(j) (``Tribal Transit''), 5329, 5337, and 5339
programs rely on the most-recent transit service data reported to the
National Transit Database (NTD), which in this case is the 2013 report
year. In some cases where an apportionment is based on the age of the
system, the age is calculated as of September 30, 2014, which was the
last day before FY 2015 began. Any recipient or beneficiary of either
the section 5307 or section 5311 program funds is required to report to
the NTD. Additionally, a number of transit operators report to the NTD
on a voluntary basis. For the 2013 report year, the NTD includes data
from 852 reporters in urbanized areas, 819 of which reported operating
transit service. The NTD also includes data from 1,404 providers of
rural transit service, which includes 124 Indian Tribes providing
transit service.
The tiers of the sections 5303, 5305, 5307 and 5339 formulas that
are based on population and population density continue to rely on data
published by the 2010 Census, as required by law. Likewise, the tiers
of the section 5311 formula that are based on rural population and
rural land area are calculated using 2010 Census data.
The formulas for sections 5307, 5311, and 5311(j) include tiers
where funding is allocated on the basis of the number of persons living
in poverty, and the section 5310 formula allocates funding on the basis
of the population of older adults and people with disabilities. The
Census Bureau no longer publishes decennial census data on persons
living in poverty and persons with disabilities. As a result, FTA uses
the data for these populations available via the Census' American
Community Survey (ACS).
The FY 2015 apportionments use data on low-income persons, persons
with disabilities, and older adults from the 2008-2012 ACS five-year
data set, which was published in December 2013. This data set provides
the first estimates that are based on the new Urbanized Area boundaries
from the 2010 Census. These data represent the most recent five-year
ACS estimates that are available as of October 1st for the year being
apportioned.
The NTD and census data that FTA used to calculate the
apportionments associated with this notice can be found on FTA's Web
site: www.fta.dot.gov/apportionments.
D. FY 2015 Discretionary Program Funding
1. Notices of Funding Availability
MAP-21 authorized several discretionary grant programs, such as the
Transit-Oriented Development (TOD) Planning Pilot Program, Low or No
Emissions Bus and Facilities Program, Tribal Transit Discretionary
Program, and Passenger Ferry Program. FTA publishes individual Notices
of Funding Availability (NOFAs), which contain specific application and
eligibility information, for its discretionary programs announcing the
availability of funds. However, in several cases, such as for the
Workforce Development Program and the Tribal Transit Discretionary
Program, FTA will use proposals received in response to the previously
published FY 2014 NOFAs for purposes of allocating both FY 2014 and FY
2015 available funding. NOFAs are posted in Grants.Gov and on FTA's Web
site once published in the Federal Register.
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2. Research, Technical Assistance, and Training Program Funding
The FY 2015 Appropriations provides approximately $37.5 million for
Research, Technical Assistance and Training program activities of which
$30 million is available to carry out Research, Development,
Demonstration, and Development projects under 49 U.S.C. 5312, and $3
million is available for Transit Cooperative Research Program
activities under 49 U.S.C. 5313. In addition, $4 million is available
for Technical Assistance and Standards Development under 49 U.S.C. 5314
and $500,000 is provided to carry out Human Resource and Training
activities under 49 U.S.C. 5322(a) and (b). More information about
these programs can be found in Section IV of this notice.
3. FY 2015 Capital Investment Grant Program Allocations
The Capital Investment Grant (CIG) Program (49 U.S.C. 5309), which
historically authorizes the New and Small Starts Programs and now
includes the Core Capacity Improvement Program, is excluded from the
NOFA process because the program has an ongoing project development and
review process, and funding is allocated consistent with information
already available to FTA. By way of this notice, FTA is publishing the
FY 2015 CIG Allocations table (Table 7) to its Web site for
approximately $2.12 billion available in new budget authority to carry
out the program. These projects were included in the FY 2015 Annual
Report on Funding Recommendations for CIG Program published on March 3,
2014. Pursuant to FY 2015 appropriations, in addition to funds
appropriated to carry out the CIG program, $27.98 million in FY 2011
and prior year unobligated or recovered section 5309 (Discretionary Bus
and Bus Facilities) funds are available to carry out bus rapid transit
(BRT) projects subject to the requirements of the CIG program. More
information about this program can be found in Section IV of this
notice.
4. Unobligated Prior Year Discretionary Allocations
FTA is posting tables of prior year discretionary allocations that
remain unobligated as of September 30, 2014 to its FY 2015
Apportionments Web page. These tables can be found here:
www.fta.dot.gov/apportionments and are numbered Tables 14-17. Each
table contains information pertaining to the lapse date of these funds.
III. FY 2015 Program Highlights and Changes
A. MAP-21 Implementation
1. Guidance
A result of the MAP-21 authorization and in addition to regulatory
activities, FTA is continuing to update program circulars to reflect
MAP-21 changes and provide guidance for new and existing programs.
Below is a chart of publication dates or expected publication dates for
the program circulars. FTA publishes draft circulars for notice and
comment, and takes into consideration all comments received prior to
final publication. In the interim and until FTA publishes final program
circulars, existing program circulars combined with the interim
guidance in the October 16, 2012 apportionment notice can be used to
administer the programs. FTA's electronic grant management system and
financial systems both have been updated to reflect new programs and
new codes provided by MAP-21. If there are additional questions about
the major formula programs or grants, please contact your Regional
Office or the Headquarters program contacts listed in Section IV of
this notice.
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Actual publication date (for Actual/expected publication of
Program notice and comment) final circular
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Urbanized Area Formula Grant Program April 22, 2013..................... January 16, 2014.
(Section 5307).
Enhanced Mobility for Seniors and July 11, 2013...................... June 6, 2014.
Individuals with Disabilities
(Section 5310).
Rural Areas Formula Program (Section September 26, 2013................. October 24, 2014.
5311).
State of Good Repair Formula Program March 4, 2014...................... January 28, 2015.
(Section 5337).
Bus and Bus Facilities Formula Program July 30, 2014...................... Winter/Spring 2015.
(Section 5339).
Research, Technical Assistance and August 13, 2014.................... Winter/Spring 2015.
Training Program: Application
Instructions and Program Management
Guidelines.
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2. Rulemakings
On June 2, 2014, FTA and the Federal Highway Administration (FHWA)
published a Notice of Proposed Rulemaking (NPRM) on Statewide and
Nonmetropolitan Transportation Planning: Metropolitan Transportation
programing in the Federal Register requesting comment on proposed
revisions to the regulations governing the development of metropolitan
transportation plans and programs for urbanized areas, State
transportation plans and programs, and the congestion management
process. The changes reflect the new requirements for a performance
based planning process required by MAP-21, and proposed that State
Departments of Transportation and metropolitan planning organizations
take a performance-based approach to planning and programming; a new
emphasis on the nonmetropolitan transportation planning process; a
structural change to the membership of larger Metropolitan Planning
Organizations (MPOs); a new framework for voluntary scenario planning;
and a framework for programmatic mitigation processes. The comment
period for the NPRM closed on October 2, 2014. FTA and FHWA are
currently reviewing approximately 160 letters from commenters. FTA
expects to issue a Final Rule in 2015.
On October 3, 2013 FTA published an expansive Advanced Notice of
Proposed Rulemaking (ANRPM) in the Federal Register requesting comment
on a number of questions related to the implementation of the new
requirements under MAP-21 for a National Transit Safety Plan, Agency
Safety Plans, a new Safety Certification Training Program, and a new
National Transit Asset Management System. The comment period for this
ANPRM closed on January 2, 2014. FTA currently is reviewing
approximately 2,500 pages of comments from more than 140 commenters.
FTA expects to issue NPRMs on these topics in 2015.
FTA is also continuing to work with States with rail fixed guideway
public transportation systems (rail transit systems) to develop and
carry out State Safety Oversight (SSO) Programs consistent with the
requirements of MAP-21. On October 1, 2013, FTA announced the initial
certification status of each State and is now working with each State
to address, among other things, identified gaps in their SSO
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Programs (SSO Program or SSOP) with MAP-21 requirements and to develop
work plans to address these gaps as well as enhance a State's SSOP. As
of December 31, 2014, FTA had certified two states as having SSO
Programs compliant with the MAP-21 statutory provisions and approved 25
Certification Work Plans. FTA expects to issue an NPRM in FY 2015
seeking comment on its plan to implement the SSO Program. Additional
information on FTA's safety authority and the requirements under
section 5329 can be found in Section IV of this notice.
B. Transitioning to a New Electronic Grant Management System
FTA's Transportation Electronic Award and Management (TEAM) system
was opened in October 2014 for awarding grants with funds appropriated
in FY 2014 or a prior fiscal year. However, FTA is planning to
transition to the Transit Award Management System (TrAMS) in April,
2015 and to close TEAM for grant making on March 1, 2015.
TrAMS, by design, collects and presents information contained in
new grant applications differently than TEAM, which will make it
difficult to migrate applications that have not yet been awarded by
March 1, 2015 into the new system. FTA has previously provided guidance
that grant applications needed to be in submitted status in TEAM as of
January 1, 2015 to ensure award could be made by March 1, 2015. FTA
will make a concerted effort to award any other pending grant
applications in TEAM by March 1, 2015. However, grant applications not
awarded in TEAM by March 1 will not be migrated into TrAMS and the
recipient will need to re-create their application in TrAMS.
When deployed, TrAMS aims to offer a more efficient, user-friendly,
and flexible tool to award and manage grants and cooperative
agreements. It seeks to provide more useful information, and will
strengthen the integrity and consistency of our grant award and
management process.
FTA has created a page on its Web site, http://www.fta.dot.gov/TrAMS to provide additional information and updates on our new grant
making system. Individuals who would like access to this Web site
should contact their FTA Regional Office for the password to use or
send an email to [email protected].
FTA will continue to provide training and technical assistance on
using TrAMS. Training will include live, hands-on workshops, where
feasible, as well as training videos and guidance and technical
assistance documents. More information on upcoming training will be
posted at http://www.fta.dot.gov/TrAMS.
FTA also will migrate data, information, and attachments about
current recipients and their awarded grants (as of March 1, 2015) from
TEAM into TrAMS.
In addition, in order to minimize the amount of data and
information that needs to be migrated into TrAMS, FTA encourages its
grantees to promptly close any awarded grants where funds are fully
disbursed or where the grantees no longer plan to implement the
projects funded in the grant. FTA grantees will be able to use TrAMS to
manage active grants where work on the transit projects identified in
the grant is ongoing. (These grants will be migrated from TEAM to
TrAMS).
C. New Common Rule
On December 26, 2013 the Office of Management and Budget (OMB)
issued the Uniform Administrative Requirements, Cost Principles, and
Audit Requirements for Federal Awards in 2 CFR part 200. Part 200
replaces the former Uniform Administrative Requirements for Grants (OMB
Circular A-102 and Circular A-110 or 2 CFR part 215 or Circular) as
well as the Cost Principles (Circulars A-21 or 2 CFR part 220; Circular
A-87 or 2 CFR part 225; and A-122, 2 CFR 230). Additionally it replaces
Circular A-133 guidance on the Single Annual Audit.
The administrative requirements and cost principles found in 2 CFR
part 200 (Uniform Guidance) became effective for new awards and
additional funding to existing awards on December 26, 2014. The audit
requirements will apply to audits of fiscal years beginning on or after
December 26, 2014. For the most part 2 CFR part 200 does not
substantially change administrative requirements, cost principles and
audit requirements as experienced by FTA grantees.
Except as otherwise provided in 2 CFR part 1201, which was
published as an interim final rule in the Federal Register on December
26, 2014 and effective that same date, the Department of Transportation
adopted OMB's Uniform Administrative Requirements, Cost Principles, and
Audit Requirements for Federal Awards under 2 CFR part 200. Part 1201
deviates from part 200 only with respect to standard application
requirements, equipment, procurements by States, and financial
reporting. In addition, part 1201 supersedes and repeals the
requirements of the Department of Transportation Common Rules (49 CFR
part 18--Uniform Administrative Requirements for Grants and Cooperative
Agreements to State and Local Governments and 49 CFR part 19--Uniform
Administrative Requirements--Uniform Administrative Requirements for
Grants and Agreements with Institutions of Higher Education, Hospitals,
and other Non-Profit Organizations), except that grants and cooperative
agreements executed prior to December 26, 2014 shall continue to be
subject to 49 CFR parts 18 and 19 as in effect on the date of such
grants or agreements. DOT's interim final rule can be viewed at https://www.federalregister.gov/articles/2014/12/19/2014-28697/federal-awarding-agency-regulatory-implementation-of-office-of-management-and-budgets-uniform#sec-1201-102.
FTA is working to update its guidance, FTA Circular 5010.1D,
``Grant Management Requirements'' to ensure it is consistent with the
new Common Rule. As FTA is required to issue revised updated guidance
through a notice and comment process, grantees may continue to follow
the procedures of FTA Circular 5010.1D. However, where Circular 5010
references specific requirements of 49 CFR 18 or 19, or the old Common
Rule, non-Federal entities should follow the guidance in the 2 CFR part
200 and 2 CFR part 1201 for awards or amendments made after December
26, 2014. As the following requirements are incorporated in Circular
5010 by reference, non-Federal recipients are expected to follow these
requirements for new awards or amendments made after December 26, 2014:
Cost Principles: Where our Circulars reference cost
principles found in the former Common Rule, non-federal entities must
now follow the Cost Principles in 2 CFR 200 Subpart E, unless stated
otherwise in 2 CFR part 1201, for awards made after December 26, 2014.
Indirect Cost Rates: Non-federal entities must follow
procedures for Indirect Cost Rates found in 2 CFR 200, unless stated
otherwise in 2 CFR part 1201, for awards made after December 26, 2014.
Audit Requirements: Non-federal entities whose FY 2015
fiscal year starts January 1, 2015, or later, must follow the Single
Annual Audit requirements of 2 CFR 200 Subpart F.
D. The Recovery Act
The American Recovery and Reinvestment Act (ARRA) (Pub. L. 111-5)
appropriated $8.4 billion for three major FTA transit programs.
Pursuant to ARRA, FTA had until September 30, 2010 to obligate the $8.4
billion in grants. Additionally, as a matter of law,
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all remaining ARRA funds MUST be disbursed (paid) from grants by the
end of the 5th fiscal year (FY) after funds were required to be
obligated. (SEE 31 U.S.C. 1552.) For FTA ARRA projects, that
requirement takes affect at the end of FY 2015. Accordingly, once ECHO
closes for disbursements (payments) in late September 2015, all
remaining unliquidated obligations within FTA ARRA funded grants will
no longer be available to the grantee and will be deobligated from the
grant. Even if a grantee has incurred costs or disbursed funds prior to
the close of ECHO, if the grantee has not actually drawn down the funds
by the time ECHO closes in late September 2015, FTA will be unable to
reimburse the grantee. Therefore, grantees with open ARRA grants are
strongly encouraged to ensure project activities are completed and all
funds are draw down before late September 2015. For ARRA TIGER 1
projects, the same requirement will be in effect for the end of FY
2016.
E. Vanpool In-Kind Match Provision
MAP-21 amended 49 U.S.C. 5323(i) ``Government Share of Costs for
Certain Projects'' to include a paragraph that allows a grantee to
credit towards its local share the costs a private provider incurs when
acquiring rolling stock to be used in providing public transportation
in the grantee's service area. The credit in this case will be handled
in a similar manner as transportation development credits (formerly
known as toll revenue credits). In order to take advantage of this
credit, the private provider must exclude any amounts received from the
federal, state or local government when acquiring the rolling stock. To
determine the amount of credit available to a grantee and to track the
application of the use of van pool capital acquisition for local share,
the grantee that will apply the share to a grant will be required to
supply the following information in the TEAM/TrAMS grant: Vehicle
Identification Number; cost/value of the van when it joined the program
(including capital cost of contracting calculations if applicable);
amount of federal, state or local financial assistance used to acquire
the van (note that if any federal funds were used to acquire the van--
then the required local share will also be deducted); amount used as
credit for previous grants; the amount to be used as credit for this
grant; and a copy of the Certified Statement to verify the van is being
used in grantee's service area. In addition, section 5323(i)(2)(B)
allows a vanpool provider to use revenues in excess of its operating
costs to acquire rolling stock if the private provider and the grantee
enter into an agreement that the private provider will use the rolling
stock in the grantee's service area.
Grantees should contact their Regional Office for assistance if
they intend to use this provision. FTA will also develop additional
guidance and frequently asked questions to assist grantees with using
this new match provision.
F. Flood Insurance
Recipients are reminded they need to maintain flood insurance for
any building located in a special flood hazard area that received
Federal financial assistance. Section 102 of the Flood Disaster
Protection Act of 1973 (FDPA) prohibits the Federal government from
providing funds for acquisition or construction of buildings located in
a special flood hazard area (100-year flood zone) unless the owner of
the property first has obtained flood insurance. FTA's Master Agreement
and annual Certifications and Assurances reference FDPA and recipients
agree they will have flood insurance for buildings in a special flood
hazard area.
Specifically, Federal agencies may not provide any financial
assistance for the acquisition, construction, reconstruction, repair,
or improvement of a building unless the recipient has first acquired
flood insurance under the National Flood Insurance Act to cover the
buildings constructed or repaired with Federal funds. Consistent with
the Federal Emergency Management Agency's (FEMA) definition of
``building,'' FTA has defined ``building'' in its Emergency Relief
program regulation at 49 CFR 602.5, for insurance purposes, as ``a
structure with two or more outside rigid walls and a fully secured
roof, that is affixed to a permanent site. This includes manufactured
or modular office trailers that are built on a permanent chassis,
transported to a site in one or more sections, and affixed to a
permanent foundation.'' In addition, where structures are both above
and below ground, the flood insurance requirement applies where at
least 51 percent of the cash value of the structure, less land value,
is above ground.
This flood insurance requirement applies to transit facilities such
as maintenance facilities, storage facilities, and above-ground
stations/terminals, as well as equipment and fixtures in the
facilities. It does not apply to underground subway stations, track,
tunnels, ferry docks, or to any transit assets outside of a special
flood hazard area.
A covered structure must be insured through the NFIP or a
comparable private policy. The policy must provide coverage at least
equal to the project cost for which Federal assistance is provided, or
to the maximum limit of coverage available under the National Flood
Insurance Act (currently $500,000 for buildings and $500,000 for
equipment and fixtures), whichever amount is less. Facilities owned by
state governments may be self-insured, but only where FEMA has approved
the state's self-insurance policy. Private entities, and public
entities other than state governments, may not self-insure and must
obtain a flood insurance policy before receiving Federal funds and
maintain the policy subsequent to grant award.
G. In-State or Local Geographical Preferences
As part of the Appropriations Act for 2015, Congress enacted
section 418 (Section 418 of the Consolidated and Further Continuing
Appropriations Act, 2015, Pub. L. 113-235), which prohibits FTA from
using FY 2015 funds to implement, administer, or enforce 49 CFR
18.36(c)(2) for construction hiring. Section 18.36(c)(2) prohibits the
use of statutorily or administratively imposed in-State or local
geographical preferences in the evaluation of bids or proposals.
Effective December 26, 2014, 49 CFR part 18 will apply only to grants
obligated on or before December 25, 2014. Grants obligated on or after
December 26, 2014 will be subject to 2 CFR part 200. This provision
(18.36(c)(2)) is codified at 2 CFR 200.319(b) and is substantively the
same as 18.36(c)(2). Although Congress did not address the change in
codification in section 418, FTA intends to apply section 418 to grants
obligated on or after December 26, 2014 and subject to 2 CFR
200.319(b). Accordingly, grantees may include in-State or local
geographic preferences in construction contracts awarded or advertised
in FY2015. FTA will provide additional guidance regarding the
implementation and applicability of section 418 on its Web site at
www.fta.dot.gov. Grantees may not use section 418 to alter or amend the
requirements of the Disadvantaged Business Enterprise Program.
H. Federal Highway Administration (FHWA) Congestion Mitigation and Air
Quality Improvement Program (CMAQ) Funds for Operating Assistance
In response to the modifications made by section 125 of the
Consolidated Appropriations Act, 2014, Public Law 113-76, FHWA in
coordination with FTA has clarified what is meant by the
[[Page 7259]]
provision that prohibits the imposition of a time limitation for
operating assistance eligibility on a system ``for which CMAQ funding
was made available, obligated or expended in fiscal year 2012.'' The
phrase ``made available'' applies to projects designated for CMAQ
operating assistance in fiscal year (FY) 2012 through statute or to any
commitment by the party that by law selects projects for operating
assistance funding so long as the commitment occurred during FY 2012.
There must be official documentation demonstrating that there was a
specific commitment in FY 2012 to provide CMAQ funding for operating
assistance for a particular project or service. Such official
documentation could include a TIP or STIP, or other State or MPO
official records. The specific project or service for which the CMAQ
funds are being sought for operating assistance without a time
limitation must be clearly identified in this documentation.
Transportation services expressly eligible for CMAQ funding under
SAFETEA-LU sections 1808(g)-(k) and certain provisions in previous
appropriations acts are eligible to use CMAQ funds for operating
assistance without time limitations. ``Obligated'' funding occurs on
the date that the funds were obligated and FTA awarded the grant.
``Expended'' funding occurs on the date that the grantee draws-down
funds for eligible expenses from an FTA grant. FTA will work with
grantees at the time of grant application to verify eligibility under
this provision. Complete guidance regarding eligibility for operating
assistance under the CMAQ Program can be found in the Revised Interim
Guidance on CMAQ Operating Assistance under MAP-21, published in July
2014 and available at http://www.fhwa.dot.gov/environment/air_quality/cmaq/.
IV. FY 2015 Program Specific Information
This section of the notice provides the available FY 2015 funding
to date and/or other important program-related information for 20 FTA
programs that are contained in this notice. Funding for twelve programs
is apportioned by statutory or administrative formula. Funding for the
other eight programs will be allocated on a discretionary or
competitive basis. Available funding and/or other important information
for each of the programs is presented immediately below. This includes
program apportionments or allocations, certain program requirements,
length of time FY 2015 funding is available for obligation and other
significant program information pertaining to FY 2015. For the formula
programs, the funding represents the $5.722 billion available at this
time as authorized by the Highway and Transportation Funding Act of
2014. FTA expects to publish another notice should Congress provide
additional contract authority for this fiscal year.
A. Metropolitan Planning Program (49 U.S.C. 5305(d))
Section 5305(d) authorizes Federal funding to support a
cooperative, continuous, and comprehensive planning program for
transportation investment decision-making at the metropolitan area
level. The specific requirements of metropolitan transportation
planning are set forth in 49 U.S.C. 5303 and further explained in 23
CFR part 450, as incorporated by reference in 49 CFR part 613,
Statewide Transportation Planning; Metropolitan Transportation
Planning; Final Rule. FTA apportions funds directly to State
Departments of Transportation (DOTs). State DOTs then allocate the
funds to Metropolitan Planning Organizations (MPOs), for planning
activities that support the economic vitality of the metropolitan area.
MAP-21 requires that the metropolitan transportation planning
process must provide for the establishment of a performance-based
approach to decision-making. Upon publication of a final rule on the
metropolitan transportation planning program, MPOs will be required to
establish specific performance targets that address transportation
system performance measures (to be issued by U.S. DOT), where
applicable, to use in tracking progress towards attaining critical
outcomes. These performance targets will be established by MPOs in
coordination with States and transit providers. MPOs also will be
required to provide a system performance report that evaluates their
progress in meeting the performance targets in comparison with the
system performance identified in prior reports.
This funding must support work elements and activities resulting in
balanced and comprehensive intermodal transportation planning for the
movement of people and goods in the metropolitan area. Comprehensive
transportation planning is not limited to transit planning or surface
transportation planning, but also encompasses the relationships among
land use and all transportation modes, without regard to the
programmatic source of Federal assistance. Eligible work elements or
activities include, but are not limited to, studies relating to
management, mobility management, planning, operations, capital
requirements, and economic feasibility; evaluation of previously funded
projects; peer reviews and exchanges of technical data, information,
assistance, and related activities in support of planning and
environmental analysis among MPOs and other transportation planners;
work elements and related activities preliminary to and in preparation
for constructing, acquiring, or improving the operation of facilities
and equipment; and development of coordinated public transit human
services transportation plans.
During the spring of 2014, the Acting Administrators of FTA and
FHWA issued a Planning Emphasis Area letter to the MPO's requesting
that they include work activities in their Unified Planning Work
Programs (UPWP) to advance the following activities; (1) Transition to
Performance Based Planning and Programming. This involves the
development and implementation of a performance management approach to
transportation planning and programming that supports the achievement
of transportation system performance outcomes; (2) Models of Regional
Planning--Promote cooperation and coordination across MPO boundaries
and across State boundaries where appropriate to ensure a regional
approach to transportation planning. This is particularly important
where more than one MPO or State serves an urbanized area or adjacent
urbanized areas. This cooperation could occur through the metropolitan
planning agreements that identify how the planning process and planning
products will be coordinated, through the development of joint planning
products, and/or by other locally determined means; and (3) Ladders of
Opportunity--Access to essential services--USDOT is encouraging state
and local decision makers to plan for transportation investments and
policies that provide ``ladders of opportunity'' connecting people
safely to jobs, education, and health care and other essential services
and improving their quality of life.
An exhaustive list of eligible work activities is provided in FTA
Circular 8100.1C, Program Guidance for Metropolitan Planning and State
Planning and Research Program Grants, dated September 1, 2008. For more
about the Metropolitan Planning Program, contact Victor Austin, Office
of Planning and Environment at (202) 366-2996 or [email protected].
[[Page 7260]]
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides a total of $70,931,607 for the
Metropolitan Planning Program (section 5305(d)) to support metropolitan
transportation planning activities set forth in section 5303. The total
amount apportioned for the Metropolitan Planning Program to States for
MPOs' use in urbanized areas (UZAs) is $70,576,949 as shown in the
table below, after the deduction for oversight (authorized by section
5338).
Metropolitan Planning Program--FY 2015
------------------------------------------------------------------------
------------------------------------------------------------------------
Total Appropriation.................................. $70,931,607
Oversight Deductions................................. -354,658
------------------
Total Apportioned.................................. 70,576,949
------------------------------------------------------------------------
States' apportionments for this program are displayed in Table 2.
2. Basis for Allocation
Eighty percent of the funds are apportioned to the States based on
the most recent decennial Census for each State's UZA population. The
remaining 20 percent is provided to the States with UZAs with one
million or more in population in order to address planning needs in
larger, more complex UZAs.
3. Requirements
The State allocates Metropolitan Planning funds to MPOs in UZAs or
portions thereof to provide funds for planning projects included in a
one or two-year program of planning work activities (the Unified
Planning Work Program, or UPWP). The UPWP includes multimodal systems
planning activities spanning both highway and transit planning topics.
Each State has either reaffirmed or developed, in consultation with
their MPOs, an allocation formula among MPOs within the State, based on
the 2010 Census. The allocation formula among MPOs in each State may be
changed annually, but the FTA Regional Office must approve any change
before grant award. Program guidance for the Metropolitan Planning
Program is found in FTA Circular 8100.1C, Program Guidance for
Metropolitan Planning and State Planning and Research Program Grants,
dated September 1, 2008.
4. Period of Availability
The Metropolitan Planning program funds apportioned in this notice
are available for obligation during FY 2015 plus three additional
fiscal years. Accordingly, funds apportioned in FY 2015 must be
obligated in grants by September 30, 2018. Any FY 2015 apportioned
funds that remain unobligated at the close of business on September 30,
2018, will revert to FTA for reapportionment under the Metropolitan
Planning program.
B. State Planning and Research Program (49 U.S.C. 5305(e))
This program provides financial assistance to States for statewide
transportation planning and other technical assistance activities,
including supplementing the technical assistance program provided
through the Metropolitan Planning program. The specific requirements of
Statewide transportation planning are set forth in 49 U.S.C. 5304 and
further explained in 23 CFR part 450 as referenced in 49 CFR part 613,
Statewide Transportation Planning; Metropolitan Transportation
Planning; Final Rule. This funding must support work elements and
activities resulting in balanced and comprehensive intermodal
transportation planning for the movement of people and goods.
Comprehensive transportation planning is not limited to transit
planning or surface transportation planning, but also encompasses the
relationships among land use and all transportation modes, without
regard to the programmatic source of Federal assistance. For more
information, contact Victor Austin, Office of Planning and Environment
at (202) 366-2996 or [email protected].
1. FY 2015 Funding Availability
FY 2015 Appropriations provides a total of $14,817,434 for the
State Planning and Research Program (section 5305(e)). The total amount
apportioned for the State Planning and Research Program (SPRP) is
$14,743,347 as shown in the table below, after the deduction for
oversight (authorized by section 5338).
Statewide Planning Program--FY 2015
------------------------------------------------------------------------
------------------------------------------------------------------------
Total Appropriation.................................. $14,817,434
Oversight Deductions................................. -74,087
------------------
Total Apportioned.................................... 14,743,347
------------------------------------------------------------------------
States' apportionments for this program are displayed in Table 2.
2. Basis for Allocation
FTA apportions funds to States by a statutory formula that is based
on the most recent decennial Census data available, and the State's UZA
population as compared to the UZA population of all States.
3. Requirements
Funds are provided to States for statewide transportation planning
programs. These funds may be used for a variety of purposes such as
planning, technical studies and assistance, demonstrations, and
management training. In addition, a State may authorize a portion of
these funds to be used to supplement Metropolitan Planning funds
allocated by the State to its UZAs, as the State deems appropriate.
Program guidance for the State Planning and Research program is found
in FTA Circular 8100.1C, Program Guidance for Metropolitan Planning and
State Planning and Research Program Grants, dated September 1, 2008.
MAP-21 requires that the statewide and non-metropolitan
transportation planning process must provide for the establishment and
use of a performance-based approach to decision-making. Upon
publication of a final rule on the statewide and non-metropolitan
transportation planning program, State Departments of Transportation
will be required to establish specific performance targets that address
transportation system performance measures (to be issued by U.S. DOT),
where applicable, to use in tracking progress towards attaining
critical outcomes. These performance targets will be established by
States in coordination with MPOs and transit providers. States will be
encouraged to provide a system performance report that evaluates their
progress in meeting the performance targets in comparison with the
system performance identified in prior reports.
4. Period of Availability
The State Planning and Research program funds apportioned in this
notice are available for obligation during FY 2015 plus three
additional fiscal years. Accordingly, funds apportioned in FY 2015 must
be obligated in grants by September 30, 2018. Any FY 2015 apportioned
funds that remain unobligated at the close of business on September 30,
2018 will revert to FTA for reapportionment under the State Planning
and Research program.
C. Urbanized Area Formula Program (49 U.S.C. 5307)
Section 5307 authorizes Federal assistance for capital, planning,
job access and reverse commute projects, and, in some cases, operating
assistance for public transportation in urbanized areas. An urbanized
area (UZA) is an area with a population of 50,000 or more that has been
defined and
[[Page 7261]]
designated as such by the U.S. Census Bureau.
FTA calculates an apportionment amount for each UZA based on
statutory formulas. For UZAs with populations of 200,000 or more, FTA
apportions funds directly to one or more designated recipients, which
are local or statewide agencies designated by the governor in
accordance with sections 5303 and 5304, to receive and allocate section
5307 funds to eligible public transportation projects in the UZA. For
UZAs with populations between 50,000 and 200,000, FTA apportions funds
directly to the governor for allocation to eligible public
transportation projects in those areas of the state. Eligible funding
recipients are limited to designated recipients and other local
government authorities that a designated recipient or governor
authorizes to apply for the funds directly to FTA.
Additional detailed guidance on the Urbanized Area Formula Program
is available in FTA Circular 9030.1E, Urbanized Area Formula Program:
Program Guidance and Application Instructions, dated January 16, 2014.
This circular is in effect for all grants awarded after the date of its
publication. The circular can be accessed at www.fta.dot.gov/circulars.
The circular contains guidance on several provisions that were
established by MAP-21 and took effect beginning in FY 2013. These
include a new provision allowing operating assistance for transit
agencies in UZAs over 200,000 in population that operate a maximum of
100 buses in fixed route service during peak service hours, the
eligibility of job access and reverse commute projects under section
5307, changes to the definition of ``capital project,'' expanded
eligibility for sources of local match, and the replacement of the
``transit enhancements'' requirements with a similar ``associated
transit improvements'' requirement. For more information about the
Urbanized Area Formula Program contact Adam Schildge, Office of Program
Management, at (202) 366-0778 or [email protected].
1. FY 2015 Funding Availability
FY 2015 Appropriations provides a total of $2,968,361,507 for the
Urbanized Area Formula Program (section 5307). The total amount
apportioned to UZAs is $3,211,537,790, which includes the addition of
amounts apportioned to UZAs pursuant to the section 5340 Growing States
and High Density States Formula factors. This amount excludes the set-
aside for the Passenger Ferry Discretionary Program, apportionments
under the State Safety Oversight Program, and funding for oversight
(authorized by section 5338), as shown in the table below.
Urbanized Area Formula Program--FY 2015
------------------------------------------------------------------------
------------------------------------------------------------------------
Total Appropriation.................................. \a\
$2,968,361,507
Ferry Discretionary Program.......................... -19,972,603
State Safety Oversight Program....................... -14,841,808
Oversight Deduction.................................. -22,262,711
Section 5340 Funds Added............................. 300,253,404
------------------
Total Apportioned.................................. 3,211,537,790
------------------------------------------------------------------------
\a\ Includes 1.5 percent set-aside for Small Transit Intensive Cities
Formula. Table 3 displays the amounts apportioned under the Urbanized
Area Formula Program.
2. Basis for Allocation
FTA apportions Urbanized Area Formula Program funds based on
statutory formulas. Congress established four separate formulas that
are used to apportion portions of the available funding: The section
5307 Urbanized Area Formula Program formula, the Small Transit
Intensive Cities (STIC) formula, the Growing States and High Density
States formula, and a formula based on low-income population.
Additional information on these formulas is provided in the following
subsections.
Consistent with prior apportionment notices, Table 3 shows a total
section 5307 apportionment for each UZA, which includes amounts
apportioned under each of these formulas. Detailed information about
the formulas is provided in Table 4. For technical assistance purposes,
the UZAs that receive STIC funds are listed in Table 6. FTA will
provide breakouts of the funding allocated to each UZA under these
formulas upon request; such requests should be directed to your FTA
Regional Office.
i. Section 5307--Urbanized Area Formula
For UZAs between 50,000 and 199,999 in population, the section 5307
formula is based on population and population density. For UZAs with
populations of 200,000 and more, the formula is based on a combination
of bus revenue vehicle miles, bus passenger miles, bus operating costs,
fixed guideway vehicle revenue miles, and fixed guideway route miles,
as well as population and population density. The Urbanized Area
Formula is defined in 49 U.S.C. 5336.
To calculate a UZA's FY 2015 apportionment, FTA used population and
population density statistics from the 2010 Census and validated
mileage and transit service data from transit providers' 2013 National
Transit Database (NTD) Report Year (when applicable). Consistent with
section 5336(b), FTA has included in the urbanized area formula 22.27
percent of the fixed guideway directional route miles and vehicle
revenue miles from eligible transit systems that were ordinarily
attributable to rural areas.
FTA has calculated dollar unit values for the formula factors used
in the Urbanized Area Formula Program apportionment calculations. These
values represent the amount of money each unit of a factor is worth in
this year's apportionment. The unit values change each year, based on
all of the data used to calculate the apportionments, as well as the
amount appropriated by Congress. The dollar unit values for FY 2015 are
displayed in Table 5. To replicate the basic formula component of a
UZA's apportionment, multiply the dollar unit value by the appropriate
formula factor (i.e., the population, population x population density),
and when applicable, data from the NTD (i.e., route miles, vehicle
revenue miles, passenger miles, and operating cost).
ii. Small Transit Intensive Cities Formula
Under the STIC formula, FTA apportions funds to UZAs under 200,000
in population that have public transportation service that operates at
a level equal to or above the industry average for all UZAs with a
population of at least 200,000, but not more than 999,999. STIC funds
are apportioned on the basis of six performance categories: Passenger
miles traveled per vehicle revenue mile, passenger miles traveled per
vehicle revenue hour, vehicle revenue miles per capita, vehicle revenue
hours per capita, passenger miles traveled per capita, and passengers
per capita. A UZA is granted a ``STIC share'' for each performance
category in which its data exceeds the average of all UZAs between
200,000 and 1 million in population. The total dollar amount available
for apportionment in the STIC formula is then divided evenly among each
of the STIC shares.
The data used to determine a UZA's eligibility under the STIC
formula and to calculate the STIC apportionments was obtained from the
NTD reports for the 2013 reporting year. Because performance data
change with each year's NTD reports, the UZAs eligible for STIC funds
and the amount each receives may vary each year. UZAs that received
funding through the STIC
[[Page 7262]]
formula for FY 2015 are listed in Table 6.
iii. Section 5340--Growing States and High Density States Formula
FTA also apportions funds to qualifying UZAs and States according
to the section 5340 Growing States and High Density States formula.
Half of the funds appropriated for section 5340 are apportioned to
Growing States and half to High Density States. More information on
this program and its formula is found in Section IV.S. of this notice.
iv. Low-Income Population
Beginning in FY 2013, the formula for this program has included a
formula factor for low-income population. Of the amount authorized and
appropriated for the Urbanized Area Formula Program in each year, 3.07
percent is apportioned on the basis of low income population.
3. Requirements
Program guidance for the Urbanized Area Formula Program is found in
FTA Circular 9030.1E, Urbanized Area Formula Program: Program Guidance
and Application Instructions, dated January 16, 2014, and is
supplemented by additional information and changes that may be provided
in this notice, otherwise published in the Federal Register, or posted
to the Section 5307 Web page.
4. Period of Availability
Section 5307 funds are available for a period of six years (year of
apportionment plus five additional years). Accordingly, 5307 funds
apportioned in FY 2015 must be obligated in grants by September 30,
2020. Any FY 2015 apportioned funds that remain unobligated at the
close of business on September 30, 2020 will revert to FTA for
reapportionment under the Urbanized Area Formula Program. Grantees are
encouraged to obligate funds when projects are ready and not wait until
the last year the funds are available.
5. Other Program Information
i. Allocating Funds to Small Urbanized Areas and Designated Recipients
Consistent with the definition of ``designated recipient,'' FTA
apportions funds according to the formula under section 5336 to
designated recipients in UZAs of 200,000 or more in populations (large
UZAs) and to the Governor of the State for UZAs of less than 200,000 in
population (small UZAs). Pursuant to section 5336(e), the Governor of
the State may allocate apportionments among the small UZAs. FTA
interprets the legislation to allow a Governor to do so regardless of
whether a small UZA has been designated as a TMA. FTA can make grants
under this program to direct recipients after sub-allocation of funds.
ii. State Safety Oversight Funding
As mentioned above, under MAP-21 there is a 0.5 percent take-down
from the Section 5307 Urbanized Area program that has been made
available to states for State Safety Oversight (SSO) program activities
as authorized under 49 U.S.C. 5329. More information about this program
funding is in Section IV of this notice.
iii. Eligibility for Safety Certification Training
Recipients of sections 5307 funds may use up to 0.5 percent of
those funds to cover up to 80 percent of the cost of participation by
an employee who has direct safety oversight responsibility for the
public transportation system. Likewise, participation by SSOA personnel
with direct safety oversight responsibilities will be an eligible
expense for section 5329(e)(6)(A) funds.
iv. National Transit Database Reporting
Section 5335 requires that each recipient or beneficiary under the
Section 5307 program submit an annual report to the NTD containing
information on financial, operating, and asset condition information.
An annual NTD report should be a full report of all transit activities,
regardless of funding source. For the 2014 Report Year, the reporting
requirements apply to any recipient of a Section 5307 grant obligated
in 2013, any recipient of a Section 5307 grant with outlays in 2014, or
any entity that continued to benefit in 2014 from capital assets
purchased using Section 5307 grants. Also, recipients or subrecipients
that benefitted from Section 5307 grants in prior years, and which
anticipate benefitting from Section 5307 grants in future years, should
also continue to report to the NTD. Recipients or beneficiaries of
Section 5307 grants that do not operate transit service, either
directly or through a contract for purchased transportation services,
are still required to report to the NTD on capital and planning
expenditures, but have significantly reduced reporting requirements.
Recipients or beneficiaries of Section 5307 grants that operate 30 or
fewer vehicles in maximum service across all transit modes are also
eligible for reduced, ``Small Systems'' reporting requirements.
Recipients or beneficiaries making full annual reports to the NTD are
also subject to monthly reporting requirements on service operations
and safety incidents. MAP-21 also established new requirements for
reporting asset inventories and condition assessments to FTA at section
5326(b)(3), 5335(a), and 5335(c). FTA previously proposed guidance for
implementing these requirements in the Federal Register. FTA is
currently reviewing and analyzing the comments received on this
proposal, and will publish a future notice in the Federal Register with
the final reporting requirements. The NTD Reporting Manuals contains
detailed reporting instructions and are posted on the NTD Web site.
D. Passenger Ferry Grant Program (49 U.S.C. 5307(h))
The Passenger Ferry Grant Program (Ferry program) is an authorized
discretionary program funded from the Section 5307 Urbanized Area
Formula Grants program and offers public ferry systems in urbanized
areas financial assistance for capital projects. For more information
about the Ferry Program, contact Vanessa Williams, Office of Program
Management, at (202) 366-4818 or [email protected].
1. Funding Available
The FY 2015 Appropriations provides a total of $19,972,603 in
section 5307 Urbanized Area Formula grant funding to be set-aside for
the Ferry program.
2. Basis for Allocation
Funds are allocated by a discretionary competition and published in
a Notice of Funding Availability (NOFA) in the Federal Register. The
NOFA will announce the available funding, program description,
application procedures, specific eligibility, and criteria for project
selection for the Ferry program. Announcement of project selections are
posted to FTA's Web site and published in the Federal Register.
3. Program Requirements
Eligible recipients are designated recipients or eligible direct
recipients of Section 5307 funds engaged in providing a public
transportation passenger ferry service. Ferry systems that accommodate
cars must also accommodate walk-on passengers. Funding may be used to
support existing ferry service, establish new ferry service, repair and
modernize ferry boats, terminals, and related facilities and equipment.
Funds may not be used for operating expenses, planning, or preventive
maintenance.
The Federal match for this program is 80 percent, 85 percent for
net project
[[Page 7263]]
costs for acquiring vehicles (including clean-fuel or alternative fuel)
in compliance with the Clean Air Act (CAA) or the Americans with
Disabilities Act (ADA) of 1990; and 90 percent for net project costs
for vehicle-related equipment or facilities (including clean-fuel or
alternative-fuel vehicle-related equipment or facilities) in compliance
CAA or ADA.
4. Period of Availability
Passenger Ferry funds follow the same period of availability as
section 5307, and are available for a period of six years (year of
apportionment plus five additional years). Accordingly, funds allocated
in FY 2015 must be obligated in grants by September 30, 2020. Any of
the funds allocated in FY 2015 that remain unobligated at the close of
business on September 30, 2020 will revert to FTA for reallocation
under the Ferry program. Grantees are encouraged to obligate funds when
projects are ready and not wait until the last year the funds are
available.
5. Other Program Information
The Ferry program grantees, the same as with all other FTA
grantees, are required to comply with all applicable Federal statutes
and regulations as a condition of their financial assistance. This
includes all third party procurement guidance as described in
FTA.C.4220.1F.
E. Fixed Guideway Capital Investment Grant (CIG) Program (49 U.S.C.
5309)--New and Small Starts and Core Capacity
The Fixed Guideway Capital Investment Grant (CIG) Program provides
funds for construction of new corridor-based bus rapid transit and
fixed guideway systems or extensions to existing systems and, as
amended by MAP 21, projects that will expand the core capacity of an
existing fixed guideway corridor. Eligible projects are new fixed-
guideway systems, such as rapid rail (heavy rail), commuter rail, light
rail, hybrid rail, trolleybus (using overhead catenary), cable car,
passenger ferries, and bus rapid transit, or an extension of any of
these. The Small Starts program also includes corridor-based bus rapid
transit projects where the majority of the alignments do not operate on
a separate fixed guideway but include features that emulate the
services provided by rail fixed guideway including defined stations,
traffic signal priority for public transit vehicles, and short headway
bi-directional services for a substantial part of weekdays and weekend
days. The addition of Core Capacity eligibility under the program
provides funds for substantial, corridor-based investments in existing
fixed guideway systems that are at capacity today or will be in five
years. Core Capacity Improvement projects must increase the capacity of
the existing fixed guideway system in the corridor by at least 10
percent. Projects become candidates for funding under this program by
successfully completing steps in the process defined in section 5309
and obtaining a satisfactory rating under the statutorily-defined
criteria. For New Starts and Core Capacity Improvement projects, the
steps in the process include project development, engineering, and
construction. For Small Starts projects the steps in the process
include project development and construction. New Starts and Core
Capacity Improvement projects receive construction funds from the
program through a full funding grant agreement (FFGA) that defines the
scope of the project and specifies the total multi-year Federal
commitment to the project. Small Starts projects receive construction
funds through a single year grant or a Small Starts Grant Agreement
(SSGA) that defines the scope of the project and specifies the Federal
commitment to the project.
For more information about the New or Small Starts or Core Capacity
project development process or evaluation and rating process contact
Elizabeth Day, Office of Planning and Environment, at (202) 366-4033 or
[email protected], or for information about published allocations
contact Eric Hu, Office of Transit Programs, at (202) 366-0870 or
[email protected].
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides a total of $2,120,000,000 in
new budget authority for the section 5309 program. Pursuant to FY 2015
appropriations, in addition to funds appropriated to carry out the CIG
program, $27.98 million in FY 2011 and prior year unobligated or
recovered section 5309 (Discretionary Bus and Bus Facilities) funds are
available to carry out bus rapid transit (BRT) projects subject to the
requirements of the CIG program. The total amount available for
allocation is $2,098,800,000, after the one percent deduction for
oversight, as shown in the table below.
Capital Investment Grant (CIG) Program--FY 2015
------------------------------------------------------------------------
------------------------------------------------------------------------
Total Appropriation............................ $2,120,000,000
Oversight Deductions........................... -21,200,000
------------------------------------------------------------------------
Total Available.............................. $2,098,800,000
------------------------------------------------------------------------
2. Basis for Allocation
Funds are allocated on a discretionary basis and subject to program
evaluation. Within the amounts appropriated by the 2015 Appropriations
Act, the Act directed FTA to first fully fund those projects covered by
a full funding grant agreement, then fully fund those projects whose
section 5309 share is less than 40 percent, and then distribute the
remaining funds so as to protect as much as possible the projects'
budgets and schedules. It is not, however, a requirement for projects
to have a New Starts share of less than 40 percent to be eligible for
federal funding under the CIG program or to receive an allocation.
Rather, as section 165 of the FY 2015 Appropriations Act states, the
section 5309 Federal share for New Starts and Core Capacity projects
may be up to 60 percent.
3. Requirements
In January 2013, FTA published a final rule explaining the MAP-21
evaluation and rating process for New and Small Starts projects, which
became effective in April 2013. Additionally, FTA published
corresponding final policy guidance in August 2013 that provides
additional details and explanations on that process. FTA will be
completing additional rulemaking and guidance documents related to the
remainder of the section 5309 MAP-21 provisions, including: Getting
into and through the steps in the New Starts and Small Starts process;
the evaluation and rating process for the Core Capacity Improvement
program; getting into and through the steps in the Core Capacity
process; warrants; expedited technical capacity reviews; and Programs
of Inter-Related Projects. Project sponsors should reference the FTA
Web site at www.fta.dot.gov for the most current fixed guideway capital
investment grant program information. Grant-related guidance is found
in FTA Circular 9300.1B, Capital Investment Program Guidance and
Application Instructions, November 1, 2008; and C5200.1A, Full Funding
Grant Agreement Guidance, December 5, 2002, which will be updated in
the future to incorporate the changes made by MAP-21.
4. Period of Availability
MAP-21 expanded the period of availability for section 5309 capital
investment funds to five years, (the fiscal year in which the amount is
made
[[Page 7264]]
available plus four additional years). Therefore, funds for a project
identified in FY 2015 must be obligated for the project by September
30, 2019. Section 5309 funds that remain unobligated to the projects
for which they originally were designated after five fiscal years may
be made available for other section 5309 projects. Grantees are
encouraged to obligate funds when projects are ready and not wait until
the last year the funds are available.
F. Enhanced Mobility of Seniors and Individuals With Disabilities
Program (49 U.S.C. 5310)
The Enhanced Mobility of Seniors and Individuals with Disabilities
Program provides formula funding to States and Designated Recipients of
large UZAs (areas with populations of 200,000 or more) to improve
mobility by expanding transportation options for seniors and
individuals with disabilities. This program provides funds for: (1)
Public transportation capital projects planned, designed, and carried
out to meet the special needs of seniors and people with disabilities
when public transportation is insufficient, unavailable, or
inappropriate; (2) public transportation projects that exceed the
requirements of the Americans with Disabilities Act (ADA) of 1990; (3)
public transportation projects that improve access to fixed route
service and decrease reliance by people with disabilities on
complementary paratransit; and (4) alternatives to public
transportation that assist seniors and individuals with disabilities
with transportation. A critical component of meeting these goals is the
development and approval of projects by key community stakeholders,
including seniors and individuals with disabilities, of a locally
developed coordinated plan.
FTA apportions funds specifically for large UZAs, small UZAs (areas
under 200,000 in population) and rural areas (areas under 50,000 in
population) and requires new designations in large UZAs. Additionally,
MAP-21 expanded the eligibility provisions to include operating
expenses. Other provisions include the requirement that at least 55% of
funds be used for traditional capital projects; up to 10% can be used
for administrative expenses; and the remainder can be used for
nontraditional projects. MAP-21 also reinforces the utility of
interventions like mobility management which is eligible as a capital
expense for both traditional and nontraditional projects.
On June 6, 2014, FTA published the final program circular, FTA C
9070.1G, Enhanced Mobility of Seniors and Individuals with
Disabilities: Program Guidance and Application Instructions, which
reflects changes made to the program pursuant to MAP-21 and detailed
guidance on its provisions. The circular can be accessed at
www.fta.dot.gov/circulars.
For more information about the Enhanced Mobility of Seniors and
Individuals with Disabilities Program, contact Mary Leary, Office of
Transit Programs, at (202) 366-0224 or [email protected].
1. FY 2015 Funding Availability
FY 2015 Appropriations provides a total of $171,964,110 for the
section 5310 program. The total amount apportioned to States and UZAs
for the section 5310 program is $171,104,289, after the deduction for
oversight (authorized by section 5338), as shown below in the table.
Enhanced Mobility of Seniors and Individuals With Disabilities Program--
FY 2015
------------------------------------------------------------------------
------------------------------------------------------------------------
Total Appropriation.................................. $171,964,110
Oversight Deductions................................. -859,821
------------------
Total Apportioned.................................. 171,104,289
------------------------------------------------------------------------
Table 8 displays the amounts apportioned under the Enhanced Mobility of
Seniors and Individuals with Disabilities Program.
2. Basis for Allocation
Based on the statutory formula, sixty percent of the funds are
apportioned among Designated Recipients for large UZAs; twenty percent
of the funds are apportioned among the States for their small UZAs; and
twenty percent of the funds are apportioned among the States for their
rural areas.
3. Requirements
Recipients and subrecipients should refer to the program circular,
FTA C 9070.1G, Enhanced Mobility of Seniors and Individuals with
Disabilities: Program Guidance and Application Instructions, dated June
6, 2014, for a complete list of program requirements. Listed below are
a few critical requirements and reminders about the program that can
prevent award of funds to designated recipients.
i. Designated Recipients
For small UZAs and rural areas, the State is the Designated
Recipient for section 5310. Current 5310 designations remain in effect
until changed by the Governor of a State by officially notifying the
appropriate FTA regional administrator of re-designation.
In large UZAs, the recipient charged with administering the section
5310 program must be officially designated through a process consistent
with sections 5303 and 5304 prior to grant award. The MPO, State, or
another public agency may be a preferred choice based on local
circumstances. The designation of a recipient shall be made by the
Governor in consultation with responsible local officials and publicly
owned operators of public transportation, as required in sections 5303
and 5304. Section 5310 funds cannot be awarded until this designation
is on file with the FTA Regional Office. A State agency may be the
Designated Recipient for section 5310 funds for a large UZA; this
arrangement still requires a designation letter to administer the
program under MAP-21. However, if the State is selected as the
Designated Recipient in a large UZA, the apportioned funds for the
large UZA must be allocated to eligible subrecipients within the UZA.
Designated Recipients are responsible for administering the
program. Responsibilities include: Notifying eligible local entities of
funding availability; developing project selection processes;
determining project eligibility; developing the program of projects;
obligating and managing the program funds; program reporting; and
ensuring that all subrecipients comply with Federal requirements.
Although FTA will only award grants to the States for the small
urbanized and rural areas and Designated Recipients for the large
urbanized areas under this program, there are other entities eligible
to receive funding as a subrecipient. These include private nonprofit
agencies, public bodies approved by the state to coordinate services
for elderly persons and persons with disabilities, or public bodies
which certify to the Governor that no nonprofit corporations or
associations are readily available in an area to provide the service.
ii. Eligible Expenses
MAP-21 expanded eligibility of the funds, permitting them to be
used for operating, in addition to capital, for transportation services
that address the needs of seniors and individuals with disabilities.
However, not less than 55 percent of the funds available for this
program must be used for capital projects planned, designed, and
carried out to meet the special needs of seniors and individuals with
disabilities when public transportation is insufficient, inappropriate,
or unavailable. FTA refers to these projects as ``traditional 5310''
projects and based on the statutory language, these projects must be
carried out by the traditional 5310 subrecipients, which are non-
profits, or
[[Page 7265]]
a State or local governmental authority that is approved by a State to
coordinate services for seniors and individuals with disabilities, or
certifies that there are no non-profit organizations readily available
in the area to provide the service. The 55 percent is a floor.
Recipients may use more or all of their section 5310 funds for these
types of projects. Remaining funds may be used for operating or capital
projects such as: Public transportation projects that exceed the
requirements of the ADA; public transportation projects that improve
access to fixed-route service and decrease reliance by individuals with
disabilities on complementary paratransit; or alternatives to public
transportation that assist seniors and individuals with disabilities.
Eligible subrecipients for these other eligible section 5310 activities
include a State or local governmental authority, a private non-profit
organization, or an operator of public transportation that receives a
section 5310 grant indirectly through a recipient. The acquisition of
public transportation services remains an eligible capital expense
under this section.
States and Designated Recipients may use up to ten percent of their
annual apportionment to administer, plan, and provide technical
assistance for a funded project. No local share is required for these
program administrative funds.
iii. Planning and Consultation
The States and Designated Recipients must certify that: Projects
selected for funding under this program are included in a locally
developed, coordinated public transit-human services transportation
plan; and the plan was developed and approved through a process that
included participation by seniors, individuals with disabilities,
representatives of public, private, nonprofit transportation and human
services providers, and other members of the public. Although the
requirement for a coordinated plan is not new, FTA recognizes that some
large UZAs may need to modify existing coordinated plans to address the
specific needs of the program's target populations and/or be approved
by individuals from the target populations. Modifications to existing
plans are acceptable. FTA also encourages the integration of locally
developed coordinated planning activities with other planning
activities including those of the Department of Transportation and of
other Federal agencies. MAP-21 requires that to the maximum extend
feasible, the services funded under this section are coordinated with
transportation services of other Federal departments and agencies.
Additional guidance for developing coordinated plans can be found
in Chapter V of the FTA C 9070.1G, Enhanced Mobility of Seniors and
Individuals with Disabilities: Program Guidance and Application
Instructions, dated June 6, 2014.
iv. State and Project Management Plans
FTA requires States and Designated Recipients responsible for
implementing the section 5310 program to document their approach to
managing the program in a Program Management Plan (PMP) or State
Management Plan (SMP). States and Designated Recipient are required to
submit SMPs and PMPs to the Regional Office prior to grant award for
review and approval. Approval of these plans must be on file before the
award of a section 5310 grant in FY 2015. For assistance with
developing these plans, recipients can use Chapter VII of the FTA C
9070.1G, Enhanced Mobility of Seniors and Individuals with
Disabilities: Program Guidance and Application Instructions, dated June
6, 2014. This chapter includes guidance on how to create and use SMP
and can be used as a guide to develop a PMP for the large UZAs. The
primary purposes of management plans are to serve as the basis for FTA
management reviews of the program, and to provide public information on
the administration of the programs.
4. Period of Availability
For Enhanced Mobility of Seniors and Individuals with Disabilities
Program funds apportioned under this notice, the period of availability
is three years (year of apportionment plus two additional years).
Accordingly, funds apportioned in FY 2015 must be obligated in grants
by September 30, 2017. Any FY 2015 apportioned funds that remain
unobligated at the close of business on September 30, 2017 will revert
to FTA for reapportionment among the States and UZAs.
5. Other Program Information
FTA recently developed frequently asked questions (FAQs) that are
posted to its Web site. These questions are meant to assist recipients
and stakeholders with the continued implementation of the program.
Please visit: http://www.fta.dot.gov/about/15035.html for the FAQs and
other information about FTA's formula programs.
MAP-21 required FTA to report to Congress on candidate performance
measures for the Section 5310 program. FTA initially sought comments on
this topic during publication of the proposed program circular, and
then sought additional comments through an Online Dialogue in 2014.
This report will be provided to Congress and then made available in
2015. Grantees under the Section 5310 must still continue to report
annually on the existing performance measures for this program, in
accordance with FTA's responsibilities under the Government Performance
and Results Act. The following are the current quantitative and
qualitative performance measures: (1) Gaps in Service Filled. Provision
of transportation options that would not otherwise be available for
seniors and individuals with disabilities measured in numbers of
seniors and people with disabilities afforded mobility they would not
have without program support as a result of traditional Section 5310
projects implemented in the current reporting year. (2) Ridership.
Actual or estimated number of rides (as measured by one-way trips)
provided annually for individuals with disabilities and seniors on
Section 5310-supported vehicles and services as a result of traditional
Section 5310 projects implemented in the current reporting year. (3)
Increases or enhancements related to geographic coverage, service
quality, and/or service times that impact availability of
transportation services for seniors and individuals with disabilities
as a result of other Section 5310 projects implemented in the current
reporting year. (4) Additions or changes to physical infrastructure
(e.g., transportation facilities, sidewalks, etc.), technology, and
vehicles that impact availability of transportation services for
seniors and individuals with disabilities as a result of other Section
5310 projects implemented in the current reporting year. (5) Actual or
estimated number of rides (as measured by one-way trips) provided for
seniors and individuals with disabilities as a result of other Section
5310 projects implemented in the current reporting year. The data for
these five performance measures are due with the 4th quarter or annual
report submitted by recipients no later than October 30 in FTA's
electronic award management system.
G. Rural Area Formula Program (49 U.S.C. 5311)
The Rural Areas program provides formula funding to States and
Indian tribes for the purpose of supporting public transportation in
areas with a population of less than 50,000 (rural areas). Funding may
be used for capital, operating, planning, job access and reverse
commute projects, and State
[[Page 7266]]
administration expenses. Eligible sub-recipients include State and
local governmental authorities, Indian Tribes, private non-profit
organizations, and private operators of public transportation services,
including intercity bus companies. Indian Tribes are also eligible
direct recipients under section 5311, both for funds apportioned to the
States and for projects apportioned or selected to be funded with funds
set aside for a separate Tribal Transit Program. One significant
modification to section 5311 was the inclusion of job access and
reverse commute projects. Additionally, the program should coordinate
public transportation services with rural transportation services by
other Federal sources.
On October 24, 2014, FTA published final guidance for the program
in FTA Circular 9040.1G, Formula Grants for Rural Areas: Program
Guidance and Application Instructions, which reflected updates pursuant
to MAP-21. The circular can be accessed at www.fta.dot.gov/circulars.
For more information about the Formula Grants for Rural Areas
program, contact Mary Leary, Office of Transit Programs, at (202) 366-
0224 or [email protected].
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides $404,644,932 for the section
5311 program. The total amount apportioned to the States for the
section 5311 program is $411,107,459, after the deductions for the
Rural Transportation Assistance Program (RTAP), oversight (authorized
by section 5338), the Tribal Transit Program, the Appalachian
Development Public Transportation Assistance Program, and the addition
of section 5340 for Growing States, as shown in the table below.
Formula Grants for Rural Areas Program--FY 2015
------------------------------------------------------------------------
------------------------------------------------------------------------
Total Appropriation.................................. $404,644,932
Oversight Deductions................................. -2,023,225
RTAP Takedown........................................ -8,092,899
Tribal Takedown...................................... -19,972,603
Appalachian Takedown................................. -13,315,068
Section 5340 Funds................................... 49,866,322
------------------
Total Apportioned.................................. 411,107,459
------------------------------------------------------------------------
Table 9 displays the amounts apportioned to the States under the Formula
Grants for Rural Areas Program.
2. Basis for Allocation
The section 5311 funds are apportioned pursuant to a statutory
formula. The majority of rural formula funds (83.15 percent) are
apportioned based on land area and population factors. In this first
tier, no State may receive more than 5 percent of the amount
apportioned on the basis of land area. The remaining rural formula
funds (16.85 percent) are apportioned based on land area, vehicle
revenue miles, and low-income individual factors. Vehicle revenue miles
are a new service factor and the low-income individual factor reflects
that job access and reverse commute projects are now eligible under the
program. In this second tier, no State may receive more than 5 percent
of the amount apportioned on the basis of land area, or more than 5
percent of the amounts apportioned for vehicle revenue miles. In
addition to funds made available under section 5311, FTA adds amounts
apportioned based on rural population according to the growing States
formula factors of 49 U.S.C. 5340 to the amounts apportioned to the
States under the section 5311 formula.
Data from the Rural Module of the National Transit Database (NTD)
2013 Report Year was used for this apportionment, including data from
directly-reporting Indian tribes.
Other than the .5 percent takedown for oversight, the section 5311
program includes three takedowns: The Appalachian Development Public
Transportation Assistance Program (ADTAP); the Rural Transit Assistance
Program (RTAP); and the Tribal Transit Program. These separate programs
are described in the sections that follow.
3. Requirements
The section 5311 program provides funding for capital, operating,
planning, job access and reverse commute projects, and administration
expenses for public transit service in rural areas. The planning
activities undertaken with section 5311 funds are in addition to those
awarded to the State under section 5305 and must be used specifically
for rural areas' needs. States may elect to use 10 percent of their
apportionment at 100 percent federal share to administer the section
5311 program and provide technical assistance to subrecipients.
Technical assistance includes project planning, program and management
development, public transportation coordination activities, and
research the State considers appropriate to promote effective delivery
of public transportation to rural areas.
Each State prepares an annual program of projects, which must
provide for fair and equitable distribution of funds within the States,
including Indian reservations, and must provide for maximum feasible
coordination with transportation services assisted by other Federal
sources.
Additional program guidance for the Rural Areas Program is found in
FTA Circular 9040.1G, Formula Grants for Rural Areas: Program Guidance
and Application Instructions, dated October 24, 2014.
4. Period of Availability
For section 5311 program funds apportioned under this notice, the
period of availability is three years (year of apportionment plus two
additional years). Accordingly, funds apportioned in FY 2015 must be
obligated in grants by September 30, 2017. Any FY 2015 apportioned
funds that remain unobligated at the close of business on September 30,
2017 will revert to FTA for reapportionment under the Formula Grants to
Rural Areas Program.
5. Other Program Information
i. National Transit Database (NTD) Reporting
Section 5335 requires that each recipient or beneficiary under the
section 5311 program submit an annual report to the NTD containing
information on capital investments, operations, and service. Section
5311(b)(4) specifies that the report shall include information on total
annual revenue, sources of revenue, total annual operating costs, total
annual capital costs, fleet size and type, and related facilities,
revenue vehicle miles, and ridership. Annual NTD reports should be a
complete report of all transit activities, regardless of funding
source. State or Territorial DOT 5311 grant recipients must complete a
one-page form of basic data for each 5311 sub-recipient, unless the
sub-recipient is already providing a full report to the NTD, either as
a Tribal Transit direct recipient, or as a subrecipient of another
State, or as an UZA reporter (without receiving a full reporting
waiver). For the 2014 Report Year, State or Territorial DOTs must
report on behalf of any sub-recipient included in the program of
projects for a grant that was open in 2014, that received outlays of
section 5311 grant funds in 2014, or that continued to benefit in 2014
from capital assets purchased using section 5311 grants. State or
Territorial DOTs should also continue to report on behalf of any sub-
recipients that benefitted from section 5311 grants in prior years, and
which anticipate benefitting from section 5311 grants in future years.
For Tribal Transit direct recipients that have not previously reported
to the NTD, your organization is required to report to the NTD if one
of the following apply:
[[Page 7267]]
You obligated a grant in 2013, expended funds from a section 5311 grant
in 2014; or you continued to benefit in 2014 from capital assets using
section 5311 grants, unless the Tribe is already filing a full NTD
Report as an UZA reporter or unless the Tribe has only received $50,000
or less in planning grants. MAP-21 also established new requirements
for reporting asset inventories and condition assessments to FTA at
sections 5326(b)(3), 5335(a), and 5335(c). FTA grantees and sub-
recipients should look for a future Federal Register Notice with
proposed changes to the FTA's NTD Reporting Manual for more information
and an opportunity to comment on FTA's implementation of these new
statutory requirements.
H. Rural Transportation Assistance Program (49 U.S.C. 5311(b)(2))
This program provides funding to assist in the design and
implementation of training and technical assistance projects, research,
and other support services tailored to meet the needs of transit
operators in rural areas. For more information about the Rural
Transportation Assistance Program (RTAP) contact Mary Leary, Office of
Transit Programs, at (202) 366-0224 or [email protected].
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides $8,092,899 for the section 5311
RTAP Program. Of this amount, 15 percent, or $1,213,935 is available
for the National RTAP program. The remainder is allocated to the
States, as shown below.
Rural Transportation Assistance Program--FY 2015
------------------------------------------------------------------------
------------------------------------------------------------------------
Total Appropriation.................................. $8,092,899
National RTAP........................................ -1,213,935
------------------
Total Apportioned.................................. 6,878,964
------------------------------------------------------------------------
Table 9 shows the FY 2015 RTAP allocations to the States.
2. Basis for Allocation
FTA allocates funds to the States by an administrative formula.
First, FTA allocates $65,000 to each State ($10,000 to territories),
and then allocates the balance based on rural population in the 2010
Census.
3. Requirements
States may use the funds to undertake research, training, technical
assistance, and other support services to meet the needs of transit
operators in rural areas. These funds are to be used in conjunction
with a State's administration of the Rural Areas Formula Program, but
also may support the rural components of the section 5310 program.
4. Period of Availability
The section 5311 RTAP funds apportioned in this notice are
available for obligation in FY 2015 plus two additional years,
consistent with that established for the section 5311 program. Any
funds that remain unobligated on September 30, 2017 will revert to FTA
for apportionment under the program.
5. Other Program Information
The National RTAP project is administered by cooperative agreement
and re-competed at five-year intervals. In July of 2014, FTA awarded a
cooperative agreement to Neponset Valley Transportation Management
Association to administer the National RTAP program. The National RTAP
projects are guided by a project review board that consists of managers
of rural transit systems and State DOT RTAP programs. National RTAP
resources also support the biennial TRB National Conference on Rural
Public and Intercity Bus Transportation and other research and
technical assistance projects of a national scope to promote effective
delivery of public transportation in rural areas.
I. Appalachian Development Public Transportation Assistance Program (49
U.S.C. 5311(c)(2))
MAP-21 established this program as a take-down under the section
5311 program to provide additional funding to support public
transportation in the Appalachian region. There are sixteen eligible
States that receive an allocation under this provision. The States and
their allocation are shown in the Rural Areas Formula program table
posted on FTA's Web site under the FY 2015 Apportionments page. For
more information about the Appalachian Development Public
Transportation Assistance Program (ADTAP), contact Mary Leary, Office
of Transit Programs, at (202)366-0224 or [email protected].
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides $13,315,068 for the ADTAP, as
shown below.
Appalachian Development Public Transportation Assistance Program--FY
2015
------------------------------------------------------------------------
------------------------------------------------------------------------
Total Appropriation.................................. $13,315,068
Total Apportioned.................................... 13,315,068
------------------------------------------------------------------------
2. Basis for Allocation
FTA apportions the funds using percentages established under
section 9.5(b) of the Appalachian Regional Commission Code (subtitle IV
of title 40). According to this provision, allocations will be based in
general on each State's remaining estimated need to complete eligible
sections of the Appalachian Development Highway System as determined
from the latest percentages of available cost estimates for completion
of the System. Such cost estimates shall be produced at approximate
five year intervals. Allocations shall contain upper and lower limits
in amounts to be determined by the Commission and shall be made in
accordance with legislation.
3. Requirements
Funds apportioned under this program can be used for purposes
consistent with section 5311 to support public transportation in the
Appalachian region. Funds can be applied for in the State's annual
section 5311 grant.
MAP-21 includes a provision that permits the use of Appalachian
program funds that cannot be used for operating to be used for a
highway project under certain circumstances. States should contact
their Regional Office if they intend to request a transfer. Additional
information about the requirements for this funding can be found in
Chapter VII of the FTA Circular 9040.1G, Formula Grants for Rural
Areas: Program Guidance and Application Instructions, dated October 24,
2014.
4. Period of Availability
Section 5311 Appalachian program funds are available for three
years (year of apportionment plus two additional years), consistent
with that established for the section 5311 program. Funds that remain
unobligated on September 30, 2017 will revert to FTA for reallocation.
J. Public Transportation on Indian Reservations Program (49 U.S.C.
5311)
The Public Transportation on Indian Reservations Program (Tribal
Transit Program) is a takedown from the section 5311 apportionment,
which allocates funds by both statutory formula consistent with 5311(j)
and through a competitive discretionary program consistent with section
5311(c)(1)(A). The Tribal Transit formula funds are apportioned to
Indian tribes for any purpose eligible under section 5311, which
includes capital, operating, planning, job access and reverse commute
projects, and administrative assistance for rural public transit
[[Page 7268]]
services and rural intercity bus service. Eligible direct recipients
are federally recognized Indian tribes in rural areas.
On December, 9, 2014, FTA published a Notice of Funding
Availability (NOFA) soliciting proposals for the FY 2014 discretionary
resources. FTA intends to use this solicitation and proposals received
in response to this NOFA to allocate FY 2015 discretionary resources.
Applications are due February 18, 2015. Specific eligibility for the
discretionary resources is outlined in the NOFA.
For more information about the Tribal Transit Program contact
[Eacute]lan Flippin, Office of Transit Programs at (202) 366-3800 or
[email protected].
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides $19,972,603 for the program, of
which $14,972,603 is apportioned by formula and $5,000,000 will be
allocated through a competitive discretionary program.
Public Transportation on Indian Reservations Program--FY 2015
------------------------------------------------------------------------
------------------------------------------------------------------------
Total Appropriation.................................. $19,972,603
Total Appropriated to Tribes by Formula.............. 14,972,603
Total Available for Discretionary Allocation......... 5,000,000
------------------------------------------------------------------------
2. Basis for Allocation
The majority of the funding is allocated by formula, as described
below. The remainder of the appropriation plus prior year discretionary
funds that have lapsed, will be made available through a discretionary
competition.
i. Tribal Transit Formula Program
The Tribal Transit formula program is distributed to eligible
Indian tribes providing public transportation on tribal lands. The
formula apportionment shown in Table 10 is based on a statutory formula
which includes three tiers. Tiers 1 and 2 are based on data reported to
NTD by Indian tribes; Tier 3 is based on 2008-2012 American Community
Survey data.
The three tiers for the formula are:
Tier 1--50 percent based on vehicle revenue miles reported to the NTD
Tier 2--25 percent provided in equal shares to Indian tribes reporting
at least 200,000 vehicle revenue miles to the NTD
Tier 3--25 percent based on Indian tribes providing public
transportation on reservations where more than 1,000 low income
individuals reside
Tribes should continue to report vehicle revenue miles to the NTD
for inclusion in future TTP formula apportionments.
ii. Tribal Transit Discretionary Program
The Tribal Transit Discretionary program funds are allocated
annually based on a discretionary competition and as published in a
NOFA in the Federal Register. Funds are allocated for grants to Indian
tribes for purposes eligible under section 5311; however, FTA may limit
the discretionary program based on funding priorities. FTA published a
NOFA in the Federal Register soliciting projects for the available FY
2014 discretionary funds on December 9, 2014. FTA intends to use this
solicitation to allocate FY 2015 discretionary funds, as available. The
NOFA contains information about the available funding, application
procedures, specific eligibility, and criteria for project selection
for the discretionary program.
3. Requirements
Formula funds apportioned under this program can be used for
purposes consistent with section 5311 to support public transportation
on Indian Reservations in rural areas. Funds allocated under the
discretionary program must be used consistent with the tribe's proposal
and the allocation notice published in the Federal Register, which is
used to announce the selected projects. Eligible recipients under both
the discretionary and formula program include Federally-recognized
Indian tribes or Alaska native villages, groups, or communities as
identified by the U.S. Department of the Interior Bureau of Indian
Affairs (BIA). A tribe must have the legal, financial and technical
capabilities to receive and administer Federal funds.
Section 5335 requires NTD reporting for all direct recipients of
section 5311 funds. This reporting requirement has and continues to
apply to the Tribal Transit Program. Tribes that provide public
transportation in rural areas are reminded to report annually so they
are included in the Tribal Transit formula apportionments. Tribes
needing assistance with reporting to the NTD should contact the NTD
Helpline at 1-888-252-0936 or [email protected].
4. Period of Availability
Tribal Transit program funds are available for three years (year of
apportionment or allocation plus two additional years), consistent with
that established for the section 5311 program. Any FY 2015 formula
funds that remain unobligated at the close of business on September 30,
2017 will revert to FTA for reapportionment under the Tribal Transit
Program.
5. Other Program Information
The funds set aside for the Tribal Transit Program are not meant to
replace or reduce funds that Indian tribes receive from States through
the section 5311 program but are to be used to enhance public
transportation on Indian reservations and transit serving tribal
communities. Funds allocated to Indian tribes by the States may be
included in the State's section 5311 application or awarded by FTA in a
grant directly to the Indian tribe. FTA encourages Indian tribes
intending to apply to FTA as direct recipients to contact the
appropriate FTA Regional Office at the earliest opportunity.
Tribal Transit Program grantees, the same as with all other FTA
grantees, are obliged to comply with applicable Federal requirements as
a condition of their financial assistance. To assist tribes with
understanding these requirements and the recent program changes, FTA
conducted five Tribal Transit Technical Assistance Workshops in FY 2013
and FY 2014. FTA will continue similar offerings in FY 2015; workshops
are tentatively planned for Santa Fe, Sacramento, and Denver. In
addition, FTA will begin reviews to assess technical assistance needs
and provide specific technical assistance for tribes beginning in March
2015; these reviews will include an assessment of capabilities related
to compliance areas pursuant to the Master Agreement, a site visit and
technical assistance from FTA and its contractors. FTA will post
information about upcoming workshops to its Web site and will
disseminate information about the reviews through the Regional Offices.
FTA has regional tribal transit liaisons in each of the FTA Regional
Offices that are available to assist tribes with applying for and
managing FTA grants. A list of regional tribal transit liaisons can be
found on FTA's Web site at http://www.fta.dot.gov/13094_15845.html.
Tribes are encouraged to work directly with their regional tribal
transit liaison.
Technical assistance for Indian tribes may also be available from
the State DOT using the State's allocation of RTAP or funds available
for State administration under section 5311, from the Tribal
Transportation Assistance Program (TTAP) Centers supported by FHWA, and
from the Community Transportation Association of America under a
program funded by the United States Department of Agriculture (USDA).
National RTAP will also be developing new resources for Tribal
[[Page 7269]]
Transit. For more information about National RTAP, contact [Eacute]lan
Flippin, Program Manager at 202-366-3800 or visit the National RTAP Web
site http://www.nationalrtap.org.
K. Research, Development, Demonstration, and Deployment Projects (49
U.S.C. 5312)
MAP-21 amended the section 5312: Research; Innovation and
Development; and, Demonstration, Deployment and Evaluation to include a
Low or No Emission Vehicle Deployment program to fund low or no
emission vehicles, facilities, or related equipment in non-attainment
or maintenance areas. Additionally, MAP-21 established a structured
process for applications, evaluations, and reporting for the research
programs. For more information contact Vincent Valdes, Office of
Research, Demonstration and Innovation, at (202) 366-3052 or
[email protected].
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides a total of $30,000,000 for
section 5312. Of this amount, $22,500,000 is allocated for the Low or
No Emissions Vehicle Deployment Program.
2. Basis for Allocation
Topical areas are based on the Department's Strategic Goals and
projects are generally selected through Notices of Funding Availability
(NOFAs).
3. Requirements
Application Instructions and Program Management Guidelines are set
forth in FTA Circular 6100.1D, Research, Technical Assistance and
Training Programs: Application Instructions and Program Management
Guidelines. FTA is in the process of updating this circular to
incorporate changes resulting from MAP-21 and expects to publish a
final circular in early 2015. All research recipients are required to
work with FTA to develop approved Statements of Work. Under MAP-21, all
research projects now require at least a 20 percent non-Federal share.
In some cases, FTA may require a higher non-Federal share if FTA
determines a recipient would obtain a clear and direct financial
benefit from the project, or if non-Federal share is an evaluation
factor under a competitive selection process. Projects under the Low or
No Emission Vehicle Deployment Program are also subject to section 5307
requirements.
4. Period of Availability
Except for the Low or No Emission Vehicle Deployment Program, FTA
establishes the period in which the funds must be obligated to the
project. If the funds are not obligated within that period of time,
they revert to FTA for reallocation under the program. Low or No
Emission Vehicle Deployment funds are available for two years in
addition to the year the funds are made available to a recipient, for a
total of three years.
5. Other Program Information
Requests for research proposals will be published in Grants.gov.
Awards for Low and No Emission Vehicle Deployment competition with
previous fiscal year funds will be announced on February 5, 2015.
L. Transit Cooperative Research Program (49 U.S.C. 5313)
The Transit Cooperative Research Program (TCRP) funds a variety of
applied research efforts for practitioners in the transit industry.
TCRP is the cooperative effort of three organizations: The FTA; the
National Academies, acting through the Transportation Research Board
(TRB); and the Transit Development Corporation, Inc. (TDC), a nonprofit
educational and research organization established by the American
Public Transportation Association (APTA).
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides a total of $3,000,000 for this
section.
2. Basis for Allocation
TCRP issues annual calls for problem statements. For more
information and past reports see www.tcrponline.org.
3. Requirements
Funds are allocated directly to the Transportation Research Board
at the National Academies of Sciences. For application requirements for
this program, please see www.tcrponline.org.
4. Period of Availability
The Transportation Research Board establishes the period in which
funds must be obligated to a project.
M. Technical Assistance and Standards Development (49 U.S.C. 5314)
This section allows FTA to provide technical assistance to
recipients to more effectively and efficiently provide transit service
and to improve administration of Federal transit funds. It also
authorizes the development of voluntary and consensus-based standards
and best practices. Additionally, through a competitive process, FTA
may enter into agreements with national nonprofit organizations to
assist providers of public transportation to: Comply with the Americans
with Disabilities Act (ADA); comply with human services transportation
coordination requirements and enhance Federal coordination; to meet the
transportation needs of elderly individuals; to increase transit
ridership in coordination with MPOs and other entities through
development around public transportation stations; to address
transportation equity needs; and to provide any other technical
assistance activities deemed necessary by FTA. For more information
contact Vincent Valdes, Office of Research, Demonstration and
Innovation, at 202-366-3052 or [email protected] or Jamie Pfister,
Office of Program Management, at 202-366-2053 or [email protected].
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides a total of $4,000,000 for this
section.
2. Basis for Allocation
FTA will allocate funds based on identified technical assistance
and standards needs for the transit industry and generally selected
through a competitive process.
3. Requirements
Application Instructions and Program Management Guidelines are set
forth in FTA Circular 6100.1D, Research, Technical Assistance, and
Training Programs: Application Instructions and Program Management
Guidelines, dated May 1, 2011. FTA is in the process of updating this
circular to incorporate changes resulting from language in MAP-21 and
expects to publish the final circular in early 2015. All recipients of
Technical Assistance and Standards funds are required to work with FTA
to develop approved Statements of Work. Projects funded using grants
require at least a 20 percent non-Federal share.
4. Period of Availability
FTA establishes the period in which funds must be obligated to a
project. If the funds are not obligated within that period of time,
they revert back to FTA for reallocation under the program.
5. Other Program Information
Requests for proposals will be published in Grants.gov.
N. Human Resources and Training Programs (49 U.S.C. 5322)
FTA may make grants or enter into contracts for human resource
needs
[[Page 7270]]
including: Employment training programs; outreach programs to increase
minority and female employment; research on public transportation
personnel and training need; and, training and assistance for minority
business opportunities. Additionally, the Innovative Public
Transportation Workforce Development program is a competitive grant
program to assist in the development of innovative workforce
activities.
A national transit institute is authorized under section 5322(d).
The institute is authorized to develop training and education programs
related to topics in public transportation. For more information
contact Vincent Valdes, Office of Research, Demonstration and
Innovation, at (202) 366-3052 or [email protected].
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides $500,000 for this section to
carry out human resource activities under section 5322(a), (b) and (e).
There is $3,328,767 is available for a national transit institute
authorized under section 5322(d).
2. Basis for Allocation
On September 5, 2014, FTA published a Notice of Funding
Availability (NOFA) soliciting proposals for Ladders of Opportunity:
Public Transportation Workforce Development Projects. FTA intends to
use that solicitation and proposals received in response to that NOFA
to allocate FY 2015 discretionary resources. Applications were due
November 17, 2014. Specific eligibility for the discretionary resources
was outlined in the NOFA. FTA will allocate funds based on identified
workforce development and training needs, as well as by an innovative
workforce development competition or through a standard award process.
3. Requirements
Application Instructions and Program Management Guidelines are set
forth in FTA Circular 6100.1D, Research, Technical Assistance, and
Training Programs: Application Instructions and Program Management
Guidelines, dated May 1, 2011. FTA is in the process of updating this
circular to incorporate changes resulting from language in MAP-21. All
recipients of Human Resources and Training funds are required to work
with FTA to develop approved Statements of Work. FTA may award funds
through contracts or grants. Grants funded under the Human Resources
and Training and the Innovative Public Transportation Workforce
Development Program require a 50 percent non-Federal share.
4. Period of Availability
FTA establishes the period in which funds must be obligated to a
project. If the funds are not obligated within that period of time,
they revert back to FTA for reallocation under the program.
5. Other Program Information
Requests for proposals will be published in Grants.gov.
O. Public Transportation Emergency Relief Program (49 U.S.C. 5324)
FTA's Emergency Relief (ER) Program is authorized to provide
funding for public transportation expenses incurred as a result of an
emergency or major disaster. No funding was provided in the FY 2015
Appropriations Act for this program. Eligible expenses include
emergency operating expenses, such as evacuations, rescue operations,
and expenses incurred to protect assets in advance of a disaster, as
well as capital projects to protect, repair, reconstruct, or replace
equipment and facilities of a public transportation system in the
United States or on an Indian reservation that the Secretary determines
is in danger of suffering serious damage or has suffered serious damage
as a result of an emergency. While Congress did not provide funding for
this program in FY 2015, in the event of a declared emergency or major
disaster recipients may use funds apportioned under sections 5307 and
5311 for emergency purposes. However, recipients are advised that
formula funds used for emergency purposes will not be replaced or
restored in the event that funding is subsequently made available
through FTA under the ER Program or by FEMA.
In response to Hurricane Sandy, the Disaster Relief Appropriations
Act of 2013 made $10.9 billion available (which was subsequently
reduced to $10.2 billion by sequestration and intergovernmental
transfers of funds to other bureaus and offices within DOT) for the
Emergency Relief program for public transportation systems only in the
affected areas. These funds cannot be used for other disasters. FTA has
announced and allocated funding for affected transit agencies within
the declared disaster area through a series of Federal Register notices
beginning in 2013 and continuing through 2014.
In order for an agency to be eligible for Emergency Relief funding,
the agency must have been affected by an emergency as defined under
section 5324. Section 5324(a)(2) defines an emergency as ``a natural
disaster affecting a wide area (such as a flood, hurricane, tidal wave,
earthquake, severe storm) or a catastrophic failure from any external
cause as a result of which (a) the Governor of a State has declared an
emergency and the Secretary has concurred or (b) the President has
declared a major disaster under section 401 of the Robert T. Stafford
Disaster Relief and Emergency Assistance Act.'' Expenses incurred due
to incidents that do not rise to the level of a Governor's declaration
with concurrence by the Secretary of Transportation will not be
eligible to be funded under section 5324. Further, in the event of a
Presidential declaration of emergency, FTA may reimburse only those
expenses that are not reimbursed under the Stafford Act. If funding is
available under the Emergency Relief program for a public
transportation system affected by an emergency, agencies are directed
to seek emergency relief from FTA rather than FEMA.
If a recipient has been affected by an emergency or major disaster,
the recipient should contact the appropriate FTA Regional Office as
soon as practicable to determine whether Emergency Relief funds are
available, and to notify it that it plans to seek reimbursement for
emergency operations and/or repairs that have already taken place or
are in process. If Emergency Relief funds are unavailable the recipient
may seek reimbursement from FEMA. Properly documented costs for which
the grantee has not received reimbursement from FEMA may later be
reimbursed by grants made either from section 5324 funding (if
appropriated) or section 5307 and 5311 program funding, once the
eligible recipient formally applies to FTA for reimbursement and FTA
determines that the expenses are eligible for emergency relief.
On October 7, 2014, FTA published final program regulations for the
Emergency Relief Program at 49 CFR part 602. This final rule replaces
the interim final rule published on March 29, 2013. This final rule
establishes and clarifies the procedures and eligibility requirements
for entities seeking or receiving funding under this program. FTA
solicited and responded to public comments in the development of these
regulations.
FTA anticipates publishing for notice and comment a program
guidance manual for the ER Program in early 2015. This guidance manual
will contain additional information on the procedures, eligibility
requirements, and recommended practices for entities that have been or
may be affected by an emergency or disaster, including those
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seeking or receiving funding under this program. FTA will solicit and
respond to public comments on this manual. The publication of this
guidance manual will be announced in a subsequent notice.
Additional information about the Emergency Relief program and FTA's
response to Hurricane Sandy is available on the FTA Web site at
www.fta.dot.gov/emergencyrelief.
For more information on the ER Program or FTA's response to
Hurricane Sandy, contact Adam Schildge, Office of Program Management,
at 202-366-0778 or [email protected]. For questions regarding the
Final Rule, contact Bonnie Graves, Office of Chief Counsel, at 202-366-
4011 or [email protected].
P. State Safety Oversight Grant Program (49 U.S.C. 5329(e)(6))
MAP-21 establishes a Public Transportation Safety Program (section
5329) authorizing FTA to establish and enforce a new comprehensive
framework to oversee the safety of public transportation throughout the
United States. Section 5329(e)(6) of 49 U.S.C. provides funding to
support States with rail fixed guideway public transportation systems
(rail transit systems) to develop and carry out State Safety Oversight
(SSO) Programs consistent with the requirements of MAP-21. For more
information about the State Safety Oversight Formula Grant Program,
contact Maria Wright, Office of Safety Review, at (202)366-5922 or
[email protected].
1. Funding Available
Under MAP-21, there is a 0.5 percent take-down from the section
5307 Urbanized Area Formula grant program that provides the funding to
be apportioned to States for SSO program activities. For the partial FY
2015 year apportionment, the amount available for the SSO program is
$14,841,808.
2. Basis for Allocation
FTA apportions SSO grant program funds to eligible States using a
three-tier formula based on statutory requirements:
(a) Tier 1, the Service Tier, apportions sixty percent (60%) of
available funds based on the vehicle passenger miles (PMT), vehicle
revenue miles (VRM), and directional route miles (DRM) reported by the
rail fixed guideway public transportation systems in each State. The
Service Tier also includes a cap so that no State can receive more than
15% of the funding available for each of the above service measures
(i.e. PMT, VRM, DRM).
(b) Tier 2, the Base Tier, apportions twenty percent (20%) of
available funds equally to each eligible State, to ensure a minimum
funding level for each State, regardless of the level of service
provided by the rail transit agencies overseen in the program.
(c) FTA apportions the remaining twenty percent (20%) through Tier
3, the Modal Tier, which takes into account the number of separate rail
transit systems (e.g., light rail, heavy rail, etc.) not regulated by
the FRA in each State's jurisdiction. The Modal Tier also includes rail
transit agencies in engineering or construction that are overseen by
the State.
3. Program Requirements
i. Eligible Recipients
Eligible recipients include any eligible State or entity designated
by the eligible State(s) with the legal capacity to perform all of the
following responsibilities: (a) Receive and dispense Federal funds for
the purposes of the State Safety Oversight Program (SSOP); (b) submit
grant applications to FTA; and (c) enter into formal grant agreements
with FTA.
ii. Eligible Activities
FTA requires each applicant to demonstrate in its grant application
that its proposed grant activities will develop, lead to, or carry out
an enhanced SSOP that meets the requirements under 49 U.S.C. 5329(e).
Grant funds may be used for program operational and administrative
expenses, including employee training activities.
Grant funds under this program used for activities related to
oversight of rail transit systems within an SSOA's jurisdiction must
meet the definition of a rail fixed guideway public transportation
system, including those rail transit systems in operation, in the
engineering or construction phase of development, and those in a
planning or other earlier phase occurring prior to the engineering or
construction phase as long as that rail transit system meets all
applicable Federal requirements. FTA maintains a list of these systems
based on documentation provided by States in annual reports and other
submittals to FTA. Eligible States should contact FTA as soon as they
become aware of a new rail transit system in planning, engineering,
construction, or operations in their jurisdictions.
Eligible States must detail how they will use SSO Formula Grant
Funds in certification work plans and SSO grant applications. SSO
formula grant funds may only be used to support activities that meet
existing 49 CFR part 659 requirements if those activities also meet 49
U.S.C. 5329(e). FTA has provided FAQs to further clarify eligible
activities: http://www.fta.dot.gov/tso.html.
FTA is in the process of implementing the National Public
Transportation Safety Program under 49 U.S.C. 5329, and a rulemaking on
the SSO Program, among other things, is expected under 49 U.S.C.
5329(e). If FTA subsequently establishes criteria or conditions for
grants made under the SSO Formula Grant Program that are different from
those in this notice, the different criteria or conditions will not be
applied retroactively to applications submitted or grants awarded
consistent with this notice, unless the change benefits the applicant.
iii. SSOP Certification
As stated in the FTA's March 14, 2014 Federal Register notice on
the SSO Formula Grant Program, the SSO grant award and certification
processes are considered separate and distinct from each other. FTA
announced the initial certification status of each eligible State on
October 1, 2013. To determine this status, FTA evaluated each eligible
State's submitted SSO program against the statutory mandates set forth
in 49 U.S.C. 5329(e). As required in 49 U.S.C. 5329(e)(7), FTA provided
each State with the results of this evaluation in writing by October 1,
2013. FTA also conducted teleconference calls with the eligible States
to review these results.
States that were certified may be awarded grants to cover the costs
associated with implementing or carrying out their SSO programs. States
that were not certified, but received FTA approval to submit grant
applications, may be awarded grants to support initial development and
implementation of enhanced SSOPs.
To confirm States use their grant funds to enhance their SSOPs in
ways that address MAP-21 requirements, FTA intends for States to use
FTA's October 1, 2013 certification correspondence and the supporting
teleconference calls to develop work plans to supplement their
applications to FTA's new SSO Formula Grant Program.
States that are not certified are required to provide these work
plans as part of the grant application process. An eligible State's
work plan must be submitted and approved prior to submission of the
State's grant application. States that are certified are encouraged,
but not required, to submit work plans that will further enhance their
SSOPs.
[[Page 7272]]
These work plans should demonstrate a clear and workable transition
to meet MAP-21 statutory requirements. They should identify gaps or
deficiencies in their respective State's authorizing safety legislation
relative to MAP-21 statutory requirements, articulate a clear end
result to achieve compliance, and identify eligible activities with
reasonable timeframes to accomplish these goals. FTA will provide
States with a work plan template, as well as supporting materials for
addressing some of the more common gaps in meeting MAP-21 provisions.
These materials are available on the FTA Web site at: http://www.fta.dot.gov/tso.html.
States are not required to use these materials and may use a format
of their choice when developing their work plan.
FTA will work with grantees to identify meaningful milestones to
apply grant funding. FTA will review each plan to assess compliance
with MAP-21 statutory requirements and the reasonableness of the
activities and timeframes proposed. FTA must accept each State's work
plan before the State may submit its grant application and the funds
can be awarded. FTA will work closely with each eligible State to
determine conformance with these eligibility criteria and to develop
these transition or remedial work plans to address any non-compliance
with these criteria.
FTA will conduct quarterly teleconference calls and quarterly and
annual reporting to monitor the progress of eligible States in meeting
MAP-21 statutory requirements.
iv. Ineligible Activities
The SSO Formula Grant Program specified in 49 U.S.C. 5329(e)(6) is
intended to support administrative and operating costs for State safety
oversight of rail transit systems. Therefore, the following costs are
ineligible:
(a) Project costs that cover rail transit system expenses;
(b) Project costs for State activities unrelated to the SSOP;
(c) Project costs that directly support the operation or
maintenance of a rail transit system;
(d) Project costs for which the recipient has received funding from
another Federal agency; and
(e) Other project costs that FTA determines are not appropriate for
the SSOP.
To find standards for determining eligible and ineligible expenses,
see 2 CFR part 200.
v. Grant Application Procedures
To receive the funds apportioned through this formula, each
eligible State must be or become an FTA grantee. Eligible States should
follow these steps to begin the grant application process:
(a) Identify FTA grant recipient: Each Governor will need to
identify the State agency that will be the FTA grant recipient for
these program funds by sending a letter to the appropriate FTA Regional
Administrator. A listing of FTA Regional Offices and full contact
information is available at http://www.fta.dot.gov/.
(b) Coordinate with the FTA Regional Office: The identified grant
recipient should work with the FTA Regional Office to determine what
additional activities or information are required with respect to the
new SSO Formula Grant Program. If the identified grant recipient is not
an existing FTA grant recipient, it must work with the appropriate FTA
Regional Office to be established as a new FTA recipient. The FTA
Regional Office will identify the specific activities necessary to
become established as a FTA recipient.
(c) Identify sufficient and allowable matching funds: Eligible
States are required to provide a twenty percent (20%) match for FTA-
funded SSOP activities.
vi. Grant Requirements
Section 5329(e)(6)(B)(ii) requires that grant funds apportioned to
eligible States must be subject to uniform administrative requirements
for grants and cooperative agreements to State and local governments
under part 18 of title 49, Code of Federal Regulations, for grants
awarded prior to December 26, 2014 and 2 CFR part 200 and 2 CFR part
1201 for grants awarded on or after December 26, 2014 and as well as
amendments to grants after that date. Among these requirements, the
following terms and conditions apply:
(a) Work Plan Submission Requirements. States that have not yet
been certified as part of FTA's October 1, 2013 initial certification
determination must submit a work plan. The work plan must identify and
address gaps and deficiencies in the State's SSOP to meet 49 U.S.C.
5329(e) requirements.
(b) 49 CFR part 659. Until three years after a final rule issued by
FTA, 49 U.S.C. 5330 and its implementing regulations at 49 CFR part 659
will stay effective. In order to receive FTA funding for its SSOP,
recipients in compliance with 49 CFR part 659 as of October 1, 2013,
must, at a minimum, maintain compliance until these provisions are
repealed. However, as stated above, SSO Formula Grant Program funds may
not be used to support activities that meet 49 CFR part 659
requirements unless those activities also meet 49 U.S.C. 5329(e)
requirements.
(c) Local Share. FTA's formula provides a Federal share covering up
to eighty percent (80%) of the eligible project costs of an SSOP grant
developed or carried out under MAP-21. Eligible States must provide at
least a twenty percent (20%) local share. The twenty percent (20%)
local share may not include other Federal funds, any funds received by
the State from a rail transit agency, or any revenues earned by a rail
transit agency. Section 5329(e)(4)(A)(i) requires each SSOA to be
financially and legally independent from any public transportation
entity it oversees. States that currently rely entirely upon fees,
assessments, or funding from rail transit systems in their jurisdiction
to fund SSO activities are unable to use those funds for any SSO
Formula Grant Program activities and will need to address this issue of
financial and legal independence as part of their work plan. FTA will
work with these States on an individual basis, to the extent necessary,
to identify permissible local share sources. States overseeing multi-
state operations may include funds collected from partner States as
part of their local share as long as those funds are not otherwise
prohibited under this Grant Program. As part of the grant application,
States need to include the source of the local match. In addition, for
those States overseeing multi-state operations must show evidence of
agreement regarding how the local share will be met among the States.
4. Period of Availability
SSO Formula Grant Program funds are available for three years (year
of apportionment plus two additional years). Any FY 2015 funds that
remain unobligated at the close of business on September 30, 2017 will
revert to FTA for reapportionment under the SSO Formula Grant Program.
5. Other Program Requirements
i. Pre-Award Authority
Grantees may be reimbursed for eligible activities incurred as of
the date of publication of this notice, provided the grantee has been
certified or upon approval of a certification work plan. A grant marked
for pre-award authority cannot be executed unless the Initial Federal
Financial Report (FFR) has been completed in TEAM-Web. Please see the
[[Page 7273]]
most current version of FTA Circular 5010, ``Grants Management
Guidelines'' found on FTA's Circular Web page. (http://www.fta.dot.gov/circulars) or contact your Regional Office for more information.
ii. Procurement and Contracting Guidelines
FTA procurement and contracting requirements apply to projects
funded by the SSO Formula Grant Program. For additional information,
please see the latest version of FTA Circular 4220.1, ``Third Party
Contracting Guidance.'' (http://www.fta.dot.gov/circulars)
iii. Grant Management
FTA Circular 5010, ``Grants Management Guidelines'' (http://www.fta.dot.gov/circulars) provides FTA's grant management
requirements. All recipients need to affirm the current version of
FTA's Master Agreement, which contains the terms and conditions
applicable to awards of Federal financial assistance. The Master
Agreement will be incorporated by reference and made part of the
underlying Grant Agreement when executed. The latest Master Agreement
can be found on FTA's Web site (http://www.fta.dot.gov/grants/15072.html).
iv. Annual Certifications and Assurances
Each Applicant for (and later Recipient of) SSO grant funds must
sign and submit the required Certifications and Assurances and submit
updated Certifications and Assurances annually thereafter. Submissions
may be made electronically through TEAM-Web (or its successor, TrAMS).
The latest Certifications and Assurances can be found on FTA's Web site
at http://www.fta.dot.gov/grants/13071.html.
v. Planning Requirements
Projects funded by the SSO Formula Grant Program may, but are not
required to, be included in the Statewide Transportation Improvement
Program (STIP) or a Metropolitan Transportation Improvement Plan (TIP).
Inclusion of such projects in the STIP or TIP is not a prerequisite in
order to be reimbursed by FTA.
vi. Cost Principles (2 CFR Part 200 Subpart E)
Cost principles established in 2 CFR part 200 subpart E must be
used as guidelines for determining the eligibility of specific types of
expenses. Grantees should exercise care when incurring costs to confirm
all expenditures meet the criteria of eligible costs. Failure to comply
with these requirements may result in expenditures for which use of
project funds cannot be authorized. For further information on
allowable costs and FTA financial grant management expectations, please
refer to the most current version of FTA Circular 5010, ``Grants
Management Guidelines'' Chapter VI, ``Financial Management.'' The
document can be found at the following web address: http://www.fta.dot.gov/documents/C_5010_1D_Finalpub.pdf.
Q. State of Good Repair Program (49 U.S.C. 5337)
The State of Good Repair (SGR) Grant program provides capital
assistance for maintenance, rehabilitation, and replacement projects of
existing fixed guideway and high intensity motorbus systems to maintain
a state of good repair. FTA estimates that a backlog of $86 billion of
transit assets need to be replaced or repaired and that number
continues to grow. Additionally, SGR grants are eligible for developing
and implementing Transit Asset Management plans. This program provides
funding for the following transit modes: Rapid rail (heavy rail),
commuter rail, light rail, hybrid rail, monorail, automated guideway,
trolleybus (using overhead catenary), aerial tramway, cable car,
inclined plane (funicular), passenger ferries, bus rapid transit, and
fixed-route bus services operating on high-occupancy-vehicle (HOV)
facilities.
MAP-21 replaces and modifies elements of the fixed guideway
modernization program (section 5309) with this program. Projects,
including new maintenance facilities or maintenance equipment, that
solely expand capacity or service are not eligible projects. However,
FTA will permit expansion of capacity within replacement projects to
meet current or projected short-term service needs (e.g., replacing a
maintenance facility with a larger facility, or replacing a bus with a
larger bus). The SGR program is intended to fund projects to maintain,
replace or rehabilitate transit assets of existing fixed guideway and
high intensity motorbus systems.
FTA published the State of Good Repair program guidance, FTA
Circular 5300.1, State of Good Repair Grants Program: Guidance and
Application Instructions, dated January 28, 2015. The circular can be
accessed at www.fta.dot.gov/circulars.
For more information about the SGR program, contact Eric Hu, Office
of Transit Programs, at (202) 366-0870 or [email protected].
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides a total of $1,441,955,342 for
the SGR program. After a 0.75 percent oversight takedown from the
amount apportioned to the fixed guideway tier, the total amount
allocated for the SGR program is $1,431,448,895, as shown in the table
below.
State of Good Repair Formula Grant Program--FY 2015
------------------------------------------------------------------------
------------------------------------------------------------------------
Total Appropriation.................................. \a\$1,441,955,342
Oversight Deductions................................. -10,506,447
------------------
Total Apportioned.................................. 1,431,448,895
------------------------------------------------------------------------
\a\ Total Appropriation includes $1,400,859,615 for the High Intensity
Fixed Guideway tier and $41,095,727 for the High Intensity Motorbus
tier.
Table 11 shows the FY 2015 SGR Program formula apportionments to
eligible UZAs.
2. Basis for Allocation
FTA allocates SGR program funds according to a statutory formula.
Funds are apportioned to UZAs with fixed guideway and high intensity
motorbus systems that have been in operation for at least seven years.
This means that only segments of fixed guideway and high intensity
motorbus systems that entered into revenue service on or before
September 30, 2007 are included in the formula, as identified in the
NTD.
The law requires that 97.15 percent of the total amount authorized
for the SGR program be apportioned to UZAs with ``high intensity fixed
guideway'' systems. The apportionments to UZAs with ``high intensity
fixed guideway'' systems are determined by two equal elements: (1) The
proportion a recipient would have received of the fiscal year 2011
apportionment for 49 U.S.C. 5337, as it then existed, if calculated
using the current version of 49 U.S.C. 5336(b)(1) and the current
definition of ``fixed guideway'' at 49 U.S.C. 5337(a); (2) the
proportion of vehicle revenue miles of an UZA to the total vehicle
revenue miles of all UZAs and the proportion of directional route miles
of an UZA to the total directional route miles of all UZAs. High
Intensity Motorbus systems will receive the remaining 2.85 percent of
the total amount authorized for the SGR program, and the apportionments
to UZAs are based on vehicle revenue miles and directional route miles.
Apportionment changes resulting from the exclusion of vehicle revenue
and directional miles reported from bus service provided other than on
High Occupancy Vehicle (HOV) lanes will take effect in FY 2016.
[[Page 7274]]
Vehicle revenue miles and directional route miles that are
attributable to an UZA must be placed in revenue service at least 7
years before the first day of the fiscal year. FTA will apportion
section 5337 funds to the section 5307 Designated Recipient for the UZA
with fixed guideway transportation systems operating at least 7 years.
The Designated Recipients will then allocate funds as appropriate to
recipients that are public entities in the UZA and provide split
letters to the FTA. FTA can make grants to direct recipients after sub-
allocation of funds.
3. Requirements
In addition to the program guidance found in the circular, all
recipients will need to certify that they will comply with the
forthcoming rule issued under section 5326 for the Transit Asset
Management plan, and SGR projects will need to be included in
recipients' Transit Asset Management plans. This requirement is subject
to FTA rulemaking and will become effective only after the rule is
issued.
While funds are apportioned based only on fixed guideway and high
intensity motorbus segments that have been in operation seven years or
longer, a recipient may use the funds apportioned to it for eligible
maintenance, replacement, and rehabilitation projects on any part of
its existing fixed guideway system. Eligible capital projects are those
necessary to maintain fixed guideway systems in a state of good repair,
including projects to replace and rehabilitate:
i. Rolling stock;
ii. Track;
iii. Line equipment and structures;
iv. Signals and communications;
v. Power equipment and substations;
vi. Passenger stations and terminals;
vii. Security equipment and systems;
viii. Maintenance facilities and equipment;
ix. Operational support equipment, including computer hardware and
software;
x. Development and implementation of a transit asset management
plan; and
xi. Other replacement and rehabilitation projects FTA determines
appropriate.
Allowable activities within eligible replacement projects include
the replacement of older features with new ones. Allowable activities
within eligible rehabilitation projects include the incorporation of
current design standards and additional features required by Federal
law. Equipment, vehicles, and facilities to be replaced must have
reached or exceeded its minimum useful life to be eligible for SGR
funds.
In addition to replacement and rehabilitation, new maintenance
facilities or maintenance equipment are eligible if needed to maintain
the existing fixed guideway system or equipment in a state of good
repair. Also, preventive maintenance activities are eligible.
FTA will permit expansion of capacity within eligible replacement
projects to meet current or projected short-term service needs (e.g.,
replacing a maintenance facility with a larger facility, or replacing a
bus with a larger bus). For any expansion elements included in a
replacement project, the grantee will need to address how the project
meets current or short term service levels. FTA will review the
reasonableness of such expansion elements when reviewing the grant.
4. Period of Availability
The SGR funds apportioned in this notice are available for
obligation during FY 2015 plus three additional years. Accordingly,
funds apportioned in FY 2015 must be obligated in grants by September
30, 2018. Any FY 2015 apportioned funds that remain unobligated at the
close of business on September 30, 2018 will revert to FTA for
reapportionment under the SGR Program.
5. Other Program Information
Projects that maintain and rehabilitate capital assets used for bus
service other than on High Occupancy Vehicle (HOV) lanes, such as High
Occupancy Toll (HOT) lanes, are not eligible for high intensity
motorbus funds. High intensity motorbus funds may be used for public
transportation service provided on HOV lanes during peak hours.
Apportionment changes resulting from the exclusion of bus service other
than on HOV will take effect in FY 2016.
R. Bus and Bus Facilities Formula Grants (49 U.S.C. 5339)
MAP-21 established the Bus and Bus Facilities Formula program,
replacing some of the elements of the former Bus and Bus Facilities
discretionary program under SAFETEA-LU. The program provides funding to
replace, rehabilitate, and purchase buses and related equipment as well
as construct bus-related facilities.
Eligible recipients are designated recipients and States that
operate or allocate funding to fixed-route bus operators. Eligible
subrecipients include public agencies or private nonprofit
organizations engaged in public transportation, including those
providing services open to a segment of the general public, as defined
by age, disability, or low income. While the statute limits eligible
recipients to fixed route bus operators or those entities that allocate
funding to fixed route bus operators, eligible projects are not
restricted to fixed route bus capital projects.
FTA is in the process of finalizing the program circular (FTA
Circular 5100.1), which was published for notice and comment in July
2014. In the meantime, recipients should review the sections below for
interim program guidance combined with the previously published interim
guidance contained in the FY 2013 Apportionment Notice, dated October
16, 2012. For more information about the Bus and Bus Facilities
program, contact Sam Snead, Office of Transit Programs, at (202) 366-
1089 or [email protected].
1. FY 2015 Funding Availability
The FY 2015 Appropriations provides a total of $284,809,315 for the
Bus and Bus Facilities program. After the take-down for the States and
Territories (National Distribution), $241,202,466 is available to be
apportioned to the UZAs, as shown below.
Bus and Bus Facilities--FY 2015
------------------------------------------------------------------------
------------------------------------------------------------------------
Total Appropriation.................................. $284,809,315
State and Territory Allocation....................... -43,606,849
------------------
Total Apportioned.................................. 241,202,466
------------------------------------------------------------------------
Table 12 shows the FY 2015 Bus and Bus Facilities formula apportionments
to States, Territories, and UZAs.
2. Basis for Allocation
Funds are apportioned according to a statutory formula. However,
State and Territories (including the District of Columbia and Puerto
Rico) receive a fixed allocation before FTA applies the formula. This
fixed allocation, referred to as the National Distribution allocation,
provides each State $832,192 and each territory $332,877. These funds
are available for use anywhere in the State or Territory. The remainder
of the funding is apportioned for UZAs based on population, vehicle
revenue miles and passenger miles and is specifically for use in UZAs.
For large UZAs, the Designated Recipient(s) work with interested
parties, including the MPO, to allocate amounts among eligible
subrecipients. The Designated Recipient in consultation with interested
parties should determine the subarea allocation fairly and rationally
through a process based on local needs.
[[Page 7275]]
Pursuant to section 5339(c)(2), except for the funds set aside for
distribution to each state, funds available to carry out section 5339
are apportioned consistent with the formula set forth in section 5336
other than subsection (b). Pursuant to section 5336(e), the Governor
exercises the authority to allocate section 5339 formula apportionments
to all small UZAs within the State--including those that lie within the
planning areas of MPOs serving TMAs. Federal law clearly states that it
is up to the State to determine the distribution method for section
5339 funds among small UZAs, and inclusion of small UZAs within the
planning area of an MPO that serves a transportation management area
(TMA) does not change the status of those small UZAs. They are still
small UZAs and subject to the Governor's allocation. There is no legal
prohibition to the Governor allocating the apportioned funds through
competition. Regardless of how the State decides to allocate the
section 5339 bus funds, the MPO, the State, and the transportation
operators are reminded that, with exceptions not relevant in this case,
projects not included in a federally-approved Statewide Transportation
Improvement Program (STIP) will not be eligible to receive those
program funds. (See 23 CFR 450.330(d)).
3. Requirements
Eligible capital projects include projects to replace,
rehabilitate, and purchase buses and related equipment, and projects to
construct bus-related facilities. This includes the acquisition of
buses for fleet and service expansion, bus maintenance and
administrative facilities, transfer facilities, bus malls,
transportation centers, intermodal terminals, park-and-ride stations,
acquisition of replacement vehicles, bus rebuilds, passenger amenities
such as passenger shelters and bus stop signs, accessory and
miscellaneous equipment such as mobile radio units, supervisory
vehicles, fare boxes, computers, and shop and garage equipment. While
bus rehabilitation activities (e.g. rebuilds to extend the useful life)
are eligible, preventive maintenance is not eligible under this
program. The draft circular included language that stated that mid-life
overhauls are not eligible as they are a form of preventive
maintenance. FTA is reviewing comments related to this topic as well as
others and will address those comments in the Federal Register notice
accompanying the publication of the final circular. The grant
requirements of section 5307, such as the requirement for Department of
Labor Certification, apply to recipients of grants made under this
section.
Section 5339 limits eligible direct (grant) recipients under this
program to the Designated Recipients in large UZAs and States for all
areas under 200,000 in population (small UZAs and rural areas). States
are expected to be the grant recipient for the National Distribution
amounts, unless the funds are transferred to a 5307 recipient. Please
see additional guidance for permissible transfers in ``Other Program
Information'' section below.
A grant for a capital project under this section shall be for 80
percent of the net capital costs of the project, unless a recipient of
a grant provides additional local matching amounts. The local match
shall be provided in cash from non-Government sources other than
revenues from providing public transportation services; from revenues
derived from the sale of advertisement or concessions; from
undistributed cash surplus, a replacement or depreciation cash fund or
reserve, or new capital; or from amounts received under a service
agreement with a State or local social service agency or private social
service organization.
FTA is in the process of finalizing the circular for this formula
program. In the meantime, grantees can utilize program guidance and
requirements found in this notice along with the interim guidance
published in the Federal Register on October 16, 2012 (See 77 FR
63669), combined with the FTA circular for the former discretionary Bus
program, which can be found in FTA Circular 9300.1B, Bus and Bus
Facilities Instructions.
4. Period of Availability
The Bus and Bus Facilities Formula Program funds apportioned in
this notice are available for obligation during FY 2015 plus three
additional years. Accordingly, funds apportioned in FY 2015 must be
obligated in grants by September 30, 2018. Any FY 2015 apportioned
funds that remain unobligated at the close of business on September 30,
2018 will revert to FTA for reapportionment under the Bus and Bus
Facilities Formula Program.
5. Other Program Information
The only allowable transfer provision for these program funds to
another FTA program applies to the National Distribution allocation.
The Governor of a State may transfer any part of the State's National
Distribution amounts to supplement funding under the rural areas
(section 5311) or urbanized areas (5307) formula programs. If
transferred to a 5307 direct recipient (in a large or small UZA), FTA
will permit the recipient to apply directly for the funds in a 5307
grant. However, the funds can only be used for purposes eligible under
Section 5339.
As for the funding apportioned by formula, for small UZAs, the
Governor has flexibility to allocate the funds among the small UZAs to
meet the capital bus needs in those areas.
S. Growing States and High Density States Formula Factors (49 U.S.C.
5340)
FTA continues to use formula factors (established under 49 U.S.C.
5340) to distribute additional funds to the section 5307 and section
5311 programs for Growing States and High Density States. FTA publishes
single UZA and rural apportionments that show the total amount for 5307
and 5311 programs that includes apportionments for these programs
together with section 5340.
1. FY 2015 Funding Availability
The FY 2015 Appropriation provides $350,119,726 to be apportioned
using the formula factors prescribed for Growing States and High
Density States set forth in section 5340.
2. Basis for Allocation
Under the Growing States portion of the section 5340 formula, 50
percent of funds are allocated to States on the basis of their
projected population growth. FTA projects each State's 2025 population
by comparing each State's apportionment year population (as determined
by the Census Bureau) to the State's 2010 Census population and
extrapolating to 2025 based on each State's rate of population growth
between 2010 and the apportionment year. Each State receives a share of
Growing States funds on the basis of its projected 2025 population
relative to the nationwide projected 2025 population.
Once each State's share is calculated, funds attributable to that
State are divided into an UZA allocation and a non-UZA allocation on
the basis of the percentage of each State's 2010 Census population that
resides in UZA and non-UZA areas. Urbanized areas receive portions of
their State's urbanized area allocation on the basis of the 2010 Census
population in that UZA relative to the total 2010 Census population in
all UZAs in the State. These amounts are added to the UZA's section
5307 apportionment.
The States' rural area allocation is added to the allocation that
each State receives under the section 5311 Formula Grants for Rural
Areas program.
The remaining 50 percent of the section 5340 funds are allocated
under
[[Page 7276]]
the High Density States portion of the section 5340 formula. These
funds are allocated to UZAs in States with a population density equal
to or greater than 370 persons per square mile. Based on this threshold
and 2010 Census data, the States that qualify are Maryland, Delaware,
Massachusetts, Connecticut, Rhode Island, New York and New Jersey
(these are the same States that qualified under SAFETEA-LU). The amount
of funds provided to each of these seven States is allocated on the
basis of the population density of the individual State relative to the
population density of all seven States. Once funds are allocated to
each State, funds are then allocated to UZAs within the States on the
basis of an individual UZA's population relative to the population of
all UZAs in that State.
FTA cannot provide unit values for the Growing States or High
Density formulas because the apportionments to individual States and
UZAs are based on their relative population data, rather than on a
national per capita basis.
T. Washington Metropolitan Area Transit Authority Grants
The FY 2015 Appropriations provides $150,000,000 for grants to the
Washington Metropolitan Area Transit Authority (WMATA). Such funding is
authorized under section 601 of the Passenger Rail Investment and
Improvement Act of 2008. See Public Law 110-432, Division B, Title VI.
Grants may be provided for capital and preventive maintenance
expenditures for WMATA after (1) FTA certifies that WMATA is making
significant progress in eliminating the material weaknesses,
significant deficiencies, and minor control deficiencies in the most
recent Financial Management Oversight Review; and (2) FTA determines
that WMATA has placed the highest priority on investments that will
improve the safety of the system.
FTA will communicate further program requirements directly to
WMATA.
V. FTA Policy and Procedures for FY 2015 Grants
A. Automatic Pre-Award Authority To Incur Project Costs
This section includes some changes to automatic pre-award authority
published in previous notices, particularly in light of the new
authorization and several new formula programs, some of which will
require new Designated Recipients before projects costs can be
reimbursed.
1. Caution to New Grantees and for New Formula Programs
While FTA provides pre-award authority to incur expenses before
grant award for formula programs, it recommends that first-time grant
recipients and recipients of grants under new formula programs NOT
utilize this automatic pre-award authority without verifying with the
appropriate FTA Regional Office that all pre-requisite requirements
have been met. As a new grantee, it is easy to misunderstand pre-award
authority conditions and be unaware of all of the applicable FTA
requirements that must be met in order to be reimbursed for project
expenditures incurred in advance of grant award. FTA programs have
specific statutory requirements that are often different from those for
other Federal grant programs with which new grantees may be familiar.
If funds are expended for an ineligible project or activity, or for an
eligible activity but at an inappropriate time (e.g., prior to NEPA
completion), FTA will be unable to reimburse the project sponsor and,
in certain cases, the entire project may be rendered ineligible for FTA
assistance.
2. Policy
FTA provides pre-award authority to incur expenses before grant
award for certain program areas described below. This pre-award
authority allows grantees to incur certain project costs before grant
approval and retain the eligibility of those costs for subsequent
reimbursement after grant approval. The grantee assumes all risk and is
responsible for ensuring that all conditions are met to retain
eligibility. This pre-award spending authority permits an eligible
grantee to incur costs on an eligible transit capital, operating,
planning, or administrative project without prejudice to possible
future Federal participation in the cost of the project. In this
notice, FTA provides pre-award authority until September 30, 2017 for
capital assistance under all formula programs, so long as the
conditions described below are met. Historically, FTA provides pre-
award authority until the end of the authorization period and then
extends it in one to two year increments. Recipients entering into any
contracts that assume federal funding beyond September 30, 2017, should
contact their Regional Office to request a letter of no prejudice (see
section below). FTA provides pre-award authority for planning and
operating assistance under the formula programs without regard to the
period of the authorization. For a discretionary program in which FTA
publishes a Notice of Funding Availability (NOFA), recipients should
refer to the specific NOFA or notice of award for specific details as
to the eligibility of pre-award authority for that funding opportunity.
Additional information pertaining to specific uses of pre-award
authority is below:
i. Operating, Planning, or Administrative Assistance. FTA does not
impose additional conditions on pre-award authority for operating,
planning, or administrative assistance under the formula grant
programs. Grantees may be reimbursed for expenses incurred before grant
award so long as funds have been expended in accordance with all
Federal requirements, and the grantee is otherwise eligible to receive
the funding. In addition to cross-cutting Federal grant requirements,
program specific requirements must be met. For example, a planning
project must have been included in a Unified Planning Work Program
(UPWP); a 5310 project must have been included in a coordinated public
transit-human services transportation plan (coordinated plan) and
selected by the Designated Recipient before incurring expenses;
expenditure on State Administration expenses under State Administered
programs must be consistent with the State Management Plan (as defined
in the most current version of FTA Circular 9040.1, Chapter 6).
Designated Recipients for section 5310 have pre-award authority for the
ten percent of the apportionment they may use for program
administration.
ii. Transit Capital Projects. For transit capital projects, the
date that costs may be incurred is: (1) For design and environmental
review, the date of the authorization of formula funds or the date of
the announcement of the discretionary allocation of funds for the
project; (2) for property acquisition, demolition, construction, and
acquisition of vehicles, equipment, or construction materials for
projects that qualify for a categorical exclusion pursuant to 23 CFR
771.118(c), the date of the authorization of formula funds or the date
of the announcement of the discretionary allocation of funds for the
project; and (3) for property acquisition, demolition, construction,
and acquisition of vehicles, equipment, or construction materials for
projects that require a categorical exclusion pursuant to 23 CFR
771.118(d), an environmental assessment, or an environmental impact
statement, the date that FTA completes the environmental review process
required by NEPA and its implementing regulations by its issuance of a
Section 771.118(d) categorical exclusion
[[Page 7277]]
determination, a Finding of No Significant Impact (FONSI), or a Record
of Decision (ROD). For projects that qualify for a categorical
exclusion pursuant to 23 CFR 771.118(c), if a project is subsequently
found not to qualify for this CE, it will be ineligible for FTA
assistance. FTA recommends that any grant applicant that is concerned
that a larger project may not clearly qualify for the CEs at 23 CFR
771.118(c)(8), (c)(9), (c)(10), (c)(12), and (c)(13), contact FTA's
Regional Office for assistance in determining the appropriate
environmental review process and level of documentation necessary
before incurring costs for property acquisition, demolition,
construction, and acquisition of vehicles, equipment, or construction
materials.
iii. New Starts, Small Starts and Core Capacity Projects. The pre-
award authority described above does not apply to section 5309 Fixed
Guideway Capital Investment Grant Program (CIG) projects. Specific
instances of pre-award authority for CIG Program projects are described
in paragraph 4 below. If pre-award authority has not been granted for a
particular type of work on a CIG program project, the project sponsor
must obtain a written Letter of No Prejudice (LONP) from FTA before
starting that work. To obtain an LONP for a CIG program project, a
grantee must submit a written request accompanied by adequate
information and justification to the appropriate FTA Regional Office,
as described in Section 4. below.
iv. Research, Technical Assistance, and Training. Unless provided
for in an announcement of project selections, pre-award authority does
not apply to section 5312 Research, development, demonstration, and
deployment projects, section 5314 Technical Assistance and Standards
Development, or section 5322 Human Resources and Training. Before an
applicant may incur costs for activities under these programs, it must
first obtain a written Letter of No Prejudice (LONP) from FTA. To
obtain an LONP for a Research, Technical Assistance or Training
project, a grantee must submit a written request accompanied by
adequate information and justification to the appropriate FTA
headquarters office. Information about LONP procedures may be obtained
from the appropriate headquarters office.
3. Conditions
Before incurring costs, grantees are strongly encouraged to consult
with the appropriate FTA Regional Office regarding the eligibility of
the project for future FTA funds and for questions on environmental
requirements, or any other Federal requirements that must be met.
The conditions under which pre-award authority may be utilized are
specified below:
i. Pre-award authority is not a legal or implied commitment that
the subject project will be approved for FTA assistance or that FTA
will obligate Federal funds. Furthermore, it is not a legal or implied
commitment that all items undertaken by the applicant will be eligible
for inclusion in the project.
ii. All FTA statutory, procedural, and contractual requirements
must be met.
iii. No action will be taken by the grantee that prejudices the
legal and administrative findings that the Federal Transit
Administrator must make in order to approve a project.
iv. Local funds expended by the grantee after the date of the pre-
award authority will be eligible for credit toward local match or
reimbursement if FTA later makes a grant or grant amendment for the
project. Local funds expended by the grantee before the date of the
pre-award authority will not be eligible for credit toward local match
or reimbursement. Furthermore, the expenditure of local funds or
undertaking of project implementation activities such as land
acquisition, demolition, or construction before the date of pre-award
authority for those activities (i.e., the completion of the NEPA
process) would compromise FTA's ability to comply with Federal
environmental laws and may render the project ineligible for FTA
funding.
v. The Federal amount of any future FTA assistance awarded 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.
vi. For funds to which the pre-award authority applies, the
authority expires with the lapsing of the fiscal year funds.
vii. When a grant for the project is subsequently awarded, the
initial Federal Financial Report, in TEAM-Web (or, its successor,
TrAMS), must indicate the use of pre-award authority.
viii. Planning, Environmental, and Other Federal requirements.
All Federal grant requirements must be met at the appropriate time
for the project to remain eligible for Federal funding. The growth of
the Federal transit program has resulted in a growing number of
inexperienced grantees who find compliance with Federal planning and
environmental laws increasingly challenging.
FTA has modified its approach to pre-award authority, and the date
that costs may be incurred is as follows. For design and environmental
review, costs may be incurred as of the date of the authorization of
formula funds or the date of the announcement of the discretionary
allocation of funds for the project. For property acquisition,
demolition, construction, and acquisition of vehicles, equipment, or
construction materials for projects that qualify for a categorical
exclusion pursuant to 23 CFR 771.118(c), costs may be incurred as of
the date of the authorization of formula funds or the date of the
announcement of the discretionary allocation of funds for the project.
For property acquisition, demolition, construction, and acquisition of
vehicles, equipment, or construction materials for projects that
require a categorical exclusion pursuant to 23 CFR 771.118(d), an
environmental assessment, or an environmental impact statement, costs
may be incurred as of the date that FTA completes the environmental
review process required by NEPA and its implementing regulations (i.e.,
through issuance of a Section 771.118(d) categorical exclusion
determination, a Finding of No Significant Impact (FONSI), or a Record
of Decision (ROD)). For pre-award authority triggered by the completion
of the NEPA process, the completion of planning and air quality
requirements is a prerequisite, as those activities are completed prior
to conclusion of the environmental review process.
The requirement that a project be included in a locally-adopted
Metropolitan Transportation Plan, the metropolitan transportation
improvement program and federally approved statewide transportation
improvement program (23 CFR part 450) must be satisfied before the
grantee may advance the project beyond planning and preliminary design
with non-Federal funds under pre-award authority triggered by the
completion of the NEPA process. If the project is located within an
EPA-designated non-attainment or maintenance area for air quality, the
conformity requirements of the Clean Air Act, 40 CFR part 93, must also
be met before the project may be advanced into implementation-related
activities under pre-award authority triggered by the completion of the
NEPA process. For projects that qualify for a categorical exclusion
pursuant to 23 CFR 771.118(c), if a project is subsequently found not
to qualify for this CE, it will be ineligible for FTA assistance. For
all other projects, compliance with NEPA and other
[[Page 7278]]
environmental laws and executive orders (e.g., protection of parklands,
wetlands, and historic properties) must be completed before State or
local funds are spent on implementation activities, such as site
preparation, construction, and acquisition, for a project that is
expected to be subsequently funded with FTA funds.
For a planning project to have pre-award authority, the planning
project must be included in a MPO-approved Unified Planning Work
Program (UPWP).
ix. Federal procurement procedures, as well as the whole range of
applicable Federal requirements (e.g., Buy America, Davis-Bacon Act,
Disadvantaged Business Enterprise (DBE)) 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.
x. Recipients exercising pre-award authority to update, repair, or
modernize stations, must be mindful that the DOT ADA regulations at 49
CFR 37.161(b) provide that an accessibility feature must be repaired
promptly if it is damaged or out of order. When the accessibility
feature is out of order, a Recipient must take reasonable steps to
accommodate individuals with disabilities who would otherwise use the
feature. The rule does not, and probably could not, state a time limit
for making particular repairs, given the variety of circumstances
involved. However, repairing accessible features must be made a high
priority. Allowing obstructions or out of order accessibility equipment
to persist beyond a reasonable period of time would violate part 37, as
would mechanical failures due to improper or inadequate maintenance.
Failure of the entity to ensure that accessible routes are free of
obstruction and properly maintained, or failure to arrange prompt
repair of inoperative elevators, lifts, or other accessibility-related
equipment, would also violate part 37.
xi. All program specific requirements must be met. For example,
projects under section 5310 must comply with specific program
requirements, including coordinated planning.
xii. Recipients exercising pre-award authority are expected to
comply with the DBE regulations. The Department of Transportation's DBE
program helps small businesses owned by socially and economically
disadvantaged individuals to compete in the marketplace, and is
designed to support the people who create jobs--our nation's
entrepreneurs. When procuring vehicles, recipients are reminded of the
requirements of 49 CFR 26.49(a), which requires ``if you are a transit
vehicle manufacturer, you must establish and submit for FTA's approval
an annual overall percentage goal'' and ``as a transit vehicle
manufacturer, you may make the certification required by this section
if you have submitted the goal this section requires and FTA has
approved it or not disapproved it.'' Recipients are advised that it is
not enough to accept a certification stating that ``FTA has not
disapproved'' of a TVMs DBE goal. Rather, Recipients must ensure that
the TVM has submitted a goal to FTA and FTA has either approved it or
not disapproved it. A recipient may request from FTA verification that
a TVM has submitted a DBE goal to FTA for its review. Please email your
Regional Civil Rights Officer regarding your request and FTA will
respond via email within five business days. Furthermore, to assist
with TVM certification compliance, FTA maintains a web posting of all
certified TVMs located at http://www.fta.dot.gov/12326_5626.html.
Finally, FTA takes the position that failure by a Recipient to verify a
TVM's eligibility to bid on an FTA-assisted contract prior to award
cannot be cured after award of the contract and will likely result in
FTA declining to provide Federal funding for the vehicle procurement.
4. Pre-Award Authority for the Fixed Guideway Capital Investment
Program (New and Small Starts Projects and Core Capacity Projects)
Projects proposed for section 5309 Capital Investment Grants (CIG)
program funds are required to follow a process defined in law. For New
Starts and Core Capacity projects, this process includes three phases--
project development (PD), engineering, and construction. For Small
Starts projects, this process includes two phases--PD and construction.
After receiving a letter from the project sponsor requesting entry into
the PD phase, FTA must respond in writing within 45 days whether the
information was sufficient for entry. If FTA's correspondence indicates
the information was sufficient and the New Starts, Small Starts or Core
Capacity project may enter PD, FTA extends pre-award authority to the
project sponsor to incur costs for PD activities. PD activities include
the work necessary to complete the environmental review process and as
much engineering and design activities as the project sponsor believes
are necessary to support the environmental review process. Upon
completion of the environmental review process for a New Starts, Small
Starts, or Core Capacity Improvement project with a ROD, FONSI, or CE
determination by FTA, FTA extends pre-award authority to project
sponsors in PD to incur costs for as much engineering and design as
needed to develop a reasonable cost estimate and financial plan for the
project, utility relocation, and real property acquisition and
associated relocations for any property acquisitions not already
accomplished as a separate project for hardship or protective purposes
or right-of-way under 49 U.S.C. 5323(q). Upon receipt of a letter
notifying a New Starts or Core Capacity project sponsor of the
project's approval into the engineering phase, FTA extends pre-award
authority for any remaining engineering and design, demolition, vehicle
purchases, and procurement of long lead items for which market
conditions play a significant role in the acquisition price. The long
lead items include, but are not limited to, procurement of rails, ties,
and other specialized equipment, and commodities. Please contact the
FTA Regional Office for a determination of activities not listed here,
but which meet the intent described above. FTA provides this pre-award
authority in recognition of the long-lead time and complexity involved
with purchasing vehicles as well as their relationship to the
``critical path'' project schedule. FTA cautions grantees that do not
currently operate the type of vehicle proposed in the project about
exercising this pre-award authority. FTA encourages these sponsors to
wait until later in the process when project plans are more fully
developed. FTA reminds project sponsors that the procurement of
vehicles must comply with all Federal requirements including, but not
limited to, competitive procurement practices, the Americans with
Disabilities Act, and Buy America. FTA encourages project sponsors to
discuss the procurement of vehicles with FTA in regards to Federal
requirements before exercising pre-award authority. Because there is
not a formal engineering phase for Small Starts projects, FTA does not
extend pre-award authority for demolition, vehicle purchases and
procurement of long lead items. Instead, this work must await receipt
of a construction grant award.
i. Real Property Acquisition
As noted above, FTA extends pre-award authority for the acquisition
of real property and real property rights for fixed guideway capital
investment
[[Page 7279]]
projects (New or Small Starts or Core Capacity) upon completion of the
environmental review process for that project. The environmental review
process is completed when FTA signs an environmental Record of Decision
(ROD) or Finding of No Significant Impact (FONSI), or makes a
Categorical Exclusion (CE) determination. With the limitations and
caveats described below, real estate acquisition may commence, at the
project sponsor's risk. For FTA-assisted projects, any acquisition of
real property or real property rights must be conducted in accordance
with the requirements of the Uniform Relocation Assistance and Real
Property Acquisition Policies Act (URA) and its implementing
regulations, 49 CFR part 24. This pre-award authority is strictly
limited to costs incurred: (i) To acquire real property and real
property rights in accordance with the URA regulation, and (ii) to
provide relocation assistance in accordance with the URA regulation.
This pre-award authority is limited to the acquisition of real property
and real property rights that are explicitly identified in the final
environmental impact statement (FEIS), environmental assessment (EA),
or CE document, as needed for the selected alternative that is the
subject of the FTA-signed ROD or FONSI, or CE determination. This pre-
award authority regarding property acquisition that is granted at the
completion of the environmental review process does not cover site
preparation, demolition, or any other activity that is not strictly
necessary to comply with the URA, with one exception. That exception is
when a building that has been acquired, has been emptied of its
occupants, and delaying demolition poses a potential fire safety hazard
or other hazard to the community in which it is located, or is
susceptible to reoccupation by vagrants. Demolition of the building is
also covered by this pre-award authority upon FTA's written agreement
that the adverse condition exists. Pre-award authority for property
acquisition is also provided when FTA makes a CE determination for a
protective buy or hardship acquisition in accordance with 23 CFR
771.117(d)(12). Pre-award authority for property acquisition is also
provided when FTA completes the environmental review process for the
acquisition of right-of-way as a separate project in accordance with 49
U.S.C. 5323(q). Guidance on this approach to property acquisition is
available on FTA's Web site.
When a tiered environmental review in accordance with 23 CFR
771.111(g) is used, pre-award authority is NOT provided upon completion
of the first tier environmental document except when FTA signs the
Tier-1 ROD or FONSI and explicitly provides such pre-award authority
for a particular identified acquisition. Project sponsors should use
pre-award authority for real property acquisition relocation assistance
with a clear understanding that it does not constitute a funding
commitment by FTA. FTA provides pre-award authority upon completion of
the environmental review process for real property acquisition and
relocation assistance to maximize the time available to project
sponsors to move people out of their homes and places of business, in
accordance with the requirements of the URA, but also with maximum
sensitivity to the circumstances of the people so affected.
ii. Reimbursement of Costs Incurred Under Pre-Award Authority
Although FTA provides pre-award authority for property acquisition,
long lead items, and vehicle purchases upon completion of the
environmental review process, FTA will not make a grant to reimburse
the sponsor for real estate activities, vehicle purchases or purchases
of long lead items conducted under pre-award authority until the
project receives its construction grant. This is to ensure that Federal
funds are not risked on a project whose advancement into construction
is still not yet assured.
iii. National Environmental Policy Act (NEPA) Activities
NEPA requires that major projects proposed for FTA funding
assistance be subjected to a public and interagency review of the need
for the project, its environmental and community impacts, and
alternatives to avoid and reduce adverse impacts. Projects of more
limited scope also need a level of environmental review, either to
support an FTA finding of no significant impact (FONSI) or to
demonstrate that the action is categorically excluded (i.e., CE) from
the more rigorous level of NEPA review. FTA's regulation titled
``Environmental Impact and Related Procedures,'' at 23 CFR part 771
states that a grant applicant's costs for the preparation of
environmental documents requested by FTA are eligible for FTA financial
assistance (23 CFR 771.105(e)). Accordingly, FTA extends pre-award
authority for costs incurred to comply with NEPA regulations and to
conduct NEPA-related activities, effective as of the earlier of the
following two dates: (1) The date of the Federal approval of the
relevant STIP or STIP amendment that includes the project or any phase
of the project, or that includes a project grouping under 23 CFR
450.216(j) which includes the project; or (2) the date that FTA
approves the project into project development. The grant applicant must
notify the FTA Regional Office upon initiation of the Federal
environmental review process in accordance with the FTA Administrator's
``Dear Colleague'' letter the dated February 24, 2011. NEPA-related
activities include, but are not limited to, public involvement
activities, historic preservation reviews, section 4(f) evaluations,
wetlands evaluations, endangered species consultations, and biological
assessments. This pre-award authority is strictly limited to costs
incurred to conduct the NEPA process and associated engineering, and to
prepare environmental, historic preservation and related documents.
When a New Starts, Small Starts, or Core Capacity project is granted
pre-award authority for the environmental review process, the
reimbursement for NEPA activities conducted under pre-award authority
may be sought at any time through section 5307 (Urbanized Area Formula
Program), section 5309, or the flexible highway programs (STP and
CMAQ). As with any pre-award authority, FTA reimbursement for costs
incurred is not guaranteed.
iv. Other New and Small Starts and Core Capacity Project Activities
Requiring Letter of No Prejudice (LONP)
Except as discussed in paragraphs i through iii above, a major
capital investment project sponsor must obtain a written LONP from FTA
before incurring costs for any activity. To obtain an LONP, an
applicant must submit a written request accompanied by adequate
information and justification to the appropriate FTA Regional Office,
as described in B below.
B. Letter of No Prejudice (LONP) Policy
1. Policy
LONP authority allows an applicant to incur costs on a 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
FTA approve the project at a later date. LONPs are applicable to
projects and project activities not covered by automatic pre-award
authority. The majority of LONPs will be for section 5309 Capital
Investment Grant (CIG) program (New or
[[Page 7280]]
Small Starts or Core Capacity) projects undertaking activities not
covered under automatic pre-award authority. LONPs may be issued for
formula and discretionary funds beyond the life of the current
authorization or FTA's extension of automatic pre-award authority,
which, by way of this notice, has been extended until September 30,
2017; however, the LONP is limited to a five-year period, unless
otherwise authorized in the LONP. Recipients preparing to enter into
contracts that assume federal funding beyond September 30, 2017, should
contact their Regional Office to pursue a LONP.
2. Conditions and Federal Requirements
The conditions and requirements for pre-award authority specified
in Section V.A.2 and V.A.3. above apply to all LONPs. Because project
implementation activities may not be initiated before completion of the
environmental review process, FTA will not issue an LONP for such
activities until the environmental review process has been completed
with a ROD, FONSI, or CE determination.
3. Request for LONP
Before incurring costs for project activities not covered by
automatic pre-award authority, the project sponsor must first submit a
written request for an LONP, accompanied by adequate information and
justification, to the appropriate Regional Office and obtain FTA's
written approval. FTA approval of an LONP is determined on a case-by-
case basis. Receipt of Federal funding under the capital investment
program is not implied or guaranteed by an LONP.
C. FY 2015 Annual List of Certifications and Assurances
On October 31, 2014, FTA published a Notice of Availability in the
Federal Register stating that the FY 2015 Certifications and Assurances
are available on the FTA Web site at http://www.fta.dot.gov and in
TEAM-Web at http://ftateamweb.fta.dot.gov. The FY 2015 Certifications
and Assurances must be used for all grants and cooperative agreements
awarded in FY 2015. All recipients with active projects are required to
sign the FY 2015 Certifications and Assurances within 90 days after its
publication.
D. Civil Rights Requirements
1. Disadvantaged Business Enterprise (DBE)
The Department of Transportation's (DOT) Disadvantaged Business
Enterprise (DBE) program is an affirmative action program designed to
combat discrimination and its continuing effects by providing
contracting opportunities on Federally-funded highway, transit, and
airport projects for small businesses owned and controlled by socially
and economically disadvantaged individuals. Over the years, the
Department has met or exceeded the national aspirational goal
established by Congress in the statutes authorizing the program since
1983 and has made continuous program improvements. The Department's
2014 Final Rule, which went into effect on November 5, 2014, contains
important improvements to the implementation and administration of the
DBE program regulations.
First, the Department revised its standard Uniform Certification
application to remove unnecessary details (e.g., the phone number and
address of applicant's bank). The application now includes new items
useful to certifiers such as State departments of transportation,
transit authorities, and airports. For example, the Personal Net Worth
form is an adaptation of the SBA Form 413 tailored to DBE program
requirements. All applicants must use this simplified form to document
the economic status of the disadvantaged owner(s). The spouse of a
disadvantaged owner who is involved in the operation of the firm must
also submit a personal net worth form with the application.
Second, the Uniform Report of DBE Awards or Commitments and
Payments captures data on minority women-owned DBEs and actual payments
to DBEs during the reporting period. FTA recipients will continue
reporting in TEAM until the new DBE reporting module is finalized in
TrAMS, which we expect to be completed by the June 1, 2015 reporting
cycle.
Third, MAP-21 requires State Departments of Transportation, on
behalf of the Unified Certification Program, submit the percentage of
DBEs in the state owned by non-minority women, minority women, and
minority men. All reports must be submitted by January 1, 2015 to the
USDOT Departmental Office of Civil Rights at [email protected].
Fourth, bidders/offerors that are required to submit DBE
information for a DOT-assisted contract that contains a DBE goal must
provide the information at the time of bid (as a matter of
responsiveness) or no later than seven days after bid opening (as a
matter of responsibility). The seven days period will be reduced to
five days beginning January 1, 2017. The DBE information submitted must
include the North American Industrial Classification System code
applicable to the kind of work the DBE will perform on the contract,
and, when a non-DBE subcontractor is selected over a DBE, copies of the
quotes from each DBE and non-DBE subcontractor. The bidder/offeror
shall make copies of DBE subcontracts available upon request. In
addition, the Final Rule provides additional examples of the ways to
evaluate good faith efforts. A bidder/offeror will not be deemed to
demonstrate good faith if it rejects a DBE simply because it is not the
low bidder, or if it is unable to find a replacement DBE at the
original price, without more. When evaluating the efforts of the low
bidder to meet the contract goal, recipients should review the
performance of other bidders.
Fifth, regarding transit vehicle manufacturers (TVMs), the Final
Rule adds a definition for TVM that includes ferry boat manufacturers.
Recipients purchasing ferries must ensure that they purchase from
entities that have been approved by FTA and are therefore on FTA's TVM
Web page (http://www.fta.dot.gov/12326_5626.html) or they have
submitted a goal that has not been disapproved by FTA. Please contact
your Regional Civil Rights Officers if you are unsure that the entity
has submitted a DBE goal to FTA. FTA will develop a Memorandum of
Understanding with the Federal Highway Administration (FHWA) so ferry
purchases with FHWA funding will also be subject to the TVM provisions
(i.e., approved by FTA and listed on FTA's TVM Web site).
Sixth, recipients are advised that including DBE goals on federally
assisted vehicle purchases, without FTA's prior approval, is
impermissible. All requests should be submitted to Britney Berry at
[email protected] for FTA approval.
Lastly, in order to provide appropriate flexibility in implementing
TVM DBE provisions, FTA reminds recipients that overly prescriptive
contract specifications on vehicle procurements eliminate opportunities
for DBEs in vehicle manufacturing and counter the intent of the DBE
program. FTA is acutely aware that recipients identify specific major
system suppliers in the request for proposals (RFPs), which effectively
excludes small businesses and DBEs from the most lucrative portion of
the vehicle contract: The major systems. FTA urges recipients to
explore ways that encourage TVMs and major systems suppliers to
implement supplier diversity and development programs, which will
assist TVMs in achieving their DBE goals.
[[Page 7281]]
2. Title VI of the Civil Rights Act of 1964
The U.S. DOT's Title VI implementing regulations are found in 49
CFR part 21. FTA's Title VI Circular (4702.1B) provides guidance on
carrying out the regulatory requirements. For recipients in urbanized
areas of 200,000 or more in population and with 50 or more fixed-route
vehicles in peak service, the recipient must conduct a service equity
analysis for all service changes that meet the recipient's definition
of ``major service change'' prior to implementing the service change.
Recipients also must conduct a fare equity analysis for all fare
increases or decreases prior to implementing a fare change.
Furthermore, an environmental justice analysis is not a substitute for
a Title VI service equity analysis triggered by a major service change
or fare change. As recipients prepare their budgets, it is vitally
important that an appropriate major service change or fare change
analysis is completed prior to taking the proposed action. Should you
have any questions, please contact your Regional Civil Rights Officer.
3. Americans With Disabilities Act (ADA)
FTA has developed a 12 chapter Circular regarding recipient
compliance with ADA requirements. A notice was published in the Federal
Register on November 12, 2014, regarding the availability of seven
chapters that are open for public comment. The comment period for these
seven chapters was originally set to close on January 12, 2015. At the
request of the American Public Transit Association, FTA has extended
the comment period for another 30 days or until February 12, 2015.
E. FHWA ``Flex Funding'' and Consolidated Planning Grants
Certain Federal-aid highway program funds under the title 23 may be
transferred or ``flexed'' to FTA for eligible Title 49, Chapter 53
purposes. These Title 23 programs include the Surface Transportation
Program (23 U.S.C. 133) (STP), the Transportation Alternatives Program
(23 U.S.C. 101) (TAP), the Congestion Mitigation and Air Quality
Improvement Program (23 U.S.C. 149) (CMAQ), the National Highway
Performance Program (23 U.S.C. 119) (NHPP).
1. Transferring Title 23 Funds From FHWA to FTA
Section 104(f) of title 23 U.S.C. allows FHWA, at the request of
the State, to transfer funds for transit capital projects and eligible
operating activities that have been designated as part of the
metropolitan and statewide planning and programming process. The
project must be included in an approved STIP before the funds can be
transferred. The State DOT may request, by letter, that the FHWA
Division Office transfer highway funds for a transit project. The
letter should include a description of the project as contained in the
STIP, the amount to be transferred, the apportionment year, State,
urbanized area, Federal-aid apportionment category (i.e., STP, CMAQ,
TAP, NHPP) or other funding source, indication of the intended
recipient and the FTA formula program (i.e., section 5307, 5310, or
5311). As noted in the CMAQ paragraph below, requests to transfer CMAQ
funding from FHWA to FTA must also clearly identify the amount to be
used for operating assistance.
Once a written request for transfer is received (using FHWA
transfer request form 1576), if, upon review, the FHWA Division Office
concurs in the transfer, it provides written confirmation to the State
DOT and FTA that the apportionment amount is available for transfer.
The FHWA Division Office provides the transfer request to the FHWA
Office of Budget which transfers the funds to FTA.
FHWA funds transferred to FTA will be administered under one of the
three FTA formula programs (i.e., Urbanized Area Formula (section
5307), Formula Grants for the Enhanced Mobility of Seniors and
Individuals with Disabilities (section 5310), or Formula Grants for
Rural Areas (section 5311)). Unobligated balances for High Priority
projects under Section 1702 of SAFETEA-LU or Transportation Improvement
projects under Section 1934 of SAFETEA-LU and other such funds for
which Congress has identified a particular project that are transferred
to FTA will be aligned with and administered through FTA's Urbanized
Area Formula Grant Program (section 5307). Under 23 U.S.C. 104(f), FHWA
funds transferred to FTA retain the same matching share that the funds
would have if used for highway purposes and administered by FHWA.
Transferred funds may be used for a capital transit purpose
eligible under the FTA formula program to which they are transferred.
MAP-21 revised the operating assistance eligibilities under CMAQ as
described in Section 3 below.
The FTA grantee's application for the project must specify the
program in which the funds will be used, and the application must be
prepared in accordance with the requirements and procedures governing
that program. Upon review and approval of the grantee's application,
FTA obligates funds for the project.
In the event that the transferred funds are not obligated for the
intended purpose within the period of availability of the formula
program to which they were transferred, in most instances, they become
available to the State for any eligible capital transit project under
the program to which they were transferred.
2. Matching Share for FHWA Transfers
Pursuant to 23 U.S.C. 104(f)(1)(B), FHWA funds transferred to FTA
retain the same matching share that the funds would have if used for
highway purposes and administered by FHWA. For the STP, CMAQ, and TAP
programs, this Federal share is generally 80 percent, subject to upward
adjustment in sliding scale States as noted below.
For a period of time under SAFETEA-LU, CMAQ funds were available at
a 100 percent Federal share. Starting on October 1, 2012, the CMAQ
Federal share generally will be 80 percent. There are a few instances
in which a Federal share on funds transferred from FHWA can be higher
than 80 percent. 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 transfers used to fund transit
projects in these public land States. FHWA develops the sliding scale
matching ratios for the increased Federal share. Also, there may be
instances where the applicable Federal share may be reduced to a lower
Federal share than is generally applicable, such as under the NHPP
where the Federal share must be reduced to a maximum of 65 percent if
the State DOT does not develop and implement an asset management plan.
Certain safety projects or projects that include an air quality or
congestion relief component such as commuter carpooling and vanpooling
projects using FHWA transfer funds administered by FTA may retain the
same 100 percent Federal share; however, these projects are subject to
a limitation for each State of an amount equal to 10 percent of the
sums apportioned for programs under 23 U.S.C 104.
For further guidance, please see FHWA Order, issued on August 12,
2013 on ``Fund Transfers to Other Agencies and Among Title 23
Programs'', which is available at
[[Page 7282]]
http://www.fhwa.dot.gov/legsregs/directives/orders/45511.pdf.
3. CMAQ Funds for Operating Assistance
The CMAQ program, at 23 U.S.C. 149, continues to provide a flexible
funding source to State and local governments for transportation
projects and programs to help achieve the goals of the Clean Air Act.
Funding is available for projects that reduce congestion and improve
air quality for areas that do not meet the National Ambient Air Quality
Standards (NAAQS) for ozone, carbon monoxide, or particulate matter--
nonattainment areas--and for areas that were out of compliance but have
now met the standards--maintenance areas. Transit investments,
including transit vehicle acquisitions and construction of new
facilities or improvements to facilities that increase transit capacity
may be eligible for CMAQ funds. For additional information on this
program, refer to the Interim CMAQ Program Guidance under MAP-21
available at http://www.fhwa.dot.gov/environment/air_quality/cmaq/.
FHWA is considering comments received on its Notice of Interim Guidance
issued in the Federal Register on November 12, 2013 and will issue
final guidance in the near future. (See 78 FR 67442-02.)
Under limited circumstances, funds may also be used for operating
assistance. Refer to the Revised Interim Guidance on CMAQ Operating
Assistance under MAP-21 available at http://www.fhwa.dot.gov/environment/air_quality/cmaq, as well as the discussion in Section
III.H in this notice, for additional information.
As a reminder, all CMAQ transfer requests initiated by grantees to
the MPO and State, and ultimately processed from FHWA to FTA, must
clearly identify whether the CMAQ funds will be used for operating
assistance or capital projects. Grantees must clearly identify the
operating assistance amounts in the grant budget and, also, when
requesting expenditures in ECHO-Web.
4. Consolidated Planning Grants
FTA and FHWA planning funds under both the Metropolitan Planning
and State Planning and Research Programs can be consolidated into a
single consolidated planning grant (CPG), awarded by either FTA or
FHWA. The CPG eliminates the need to monitor individual fund sources,
if several have been used, and ensures that the oldest funds will
always be used first. Under the CPG, States can report metropolitan
planning program expenditures (to comply with the Single Audit Act) for
both FTA and FHWA under the Catalogue of Federal Domestic Assistance
number for FTA's Metropolitan Planning Program (20.505). Additionally,
for States with an FHWA Metropolitan Planning (PL) fund-matching ratio
greater than 80 percent, FTA's 20 percent local share requirement can
be waived to allow FTA funds used for metropolitan planning in a CPG to
be granted at the higher FHWA rate. For some States, this Federal match
rate can exceed 90 percent.
States interested in transferring planning funds between FTA and
FHWA should contact the FTA Regional Office or FHWA Division Office for
more detailed procedures. Current guidelines are included in FHWA's
Order dated August 12, 2013, on ``Fund Transfers to Other Agencies and
Among Title 23 Programs'', which is available at http://www.fhwa.dot.gov/legsregs/directives/orders/45511.pdf.
For further information on CPGs, contact Ann Souvandara, Office of
Budget and Policy, FTA, at (202) 366-0649.
F. Grant Application Procedures
All applications for FTA funds should be submitted to the
appropriate FTA Regional Office. FTA utilizes TEAM-Web, an Internet-
accessible electronic grant application system, and all applications
are filed electronically. As noted in Section III of this notice,
beginning in April, FTA will use the TrAMS system as a replacement to
TEAM.
FTA regional staff is responsible for working with grantees to
review and process grant applications. In order for an application to
be considered complete and for FTA to assign a grant number, enabling
submission in TEAM-Web and submitted to Department of Labor (when
applicable), the following requirements must be met:
Recipient's contact information, including Dun and
Bradstreet Data Universal Numbering System (DUNS), is correct and up-
to-date. If requested by phone (1-866-705-5711), DUNS is provided
immediately. If your organization does not have one, you will need to
go to the Dun & Bradstreet Web site at http://fedgov.dnb.com/webform to
obtain the number.
Recipient has registered in the System for Award
Management (SAM) and its registration is current. (https://www.sam.gov)
Recipient has properly submitted its annual certifications
and assurances.
Recipient's Civil Rights submissions are current and
approved.
Documentation is on file to support recipient's status as
either a designated recipient (for the program and area) or a direct
recipient.
Funding is available, including any flexible funds
included in the budget, and split letters or suballocation letters on
file (where applicable) to support amount being applied for in grant
application.
The project is listed in a currently approved
Transportation Improvement Program (TIP); Statewide Transportation
Improvement Program (STIP), or Unified Planning Work Program (UPWP).
All eligibility issues are resolved.
Required environmental findings are made.
The project budget's Activity Line Items (ALI), scope, and
project description meet FTA requirements.
Local share funding source(s) is identified.
For projects involving new construction (using at least
$100 million in New Starts or formula funds), FTA has reviewed the
project management plan and given approval.
Milestone information is complete, or FTA determines that
milestone information can be finalized before the grant is ready for
award. FTA will also review status of other open grants' reports to
confirm financial and milestone information is current on other open
grants and projects.
Before FTA can award grants for discretionary projects and
activities, notification must be given to the House and Senate
authorizing and appropriations committees.
Other important issues that impact FTA grant processing activities
are discussed below.
1. Dun and Bradstreet Universal Numbering System (DUNS) Number and
System for Award Management (SAM) Registration
Each applicant or recipient of Federal Funds is required to: (1) Be
registered in SAM before submitting its application; (2) provide a
valid DUNS number in its application; and (3) continue to maintain an
active SAM registration with current information at all times during
which it has an active award or an application or plan under
consideration by the Federal Transit Administration (FTA). FTA will not
make an award to an applicant until the applicant has complied with all
applicable DUNS and SAM requirements and, if an applicant has not fully
complied with the requirements by the time the FTA is ready to make a
Federal award, FTA may determine that the applicant is not
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qualified to receive a Federal award and use that determination as a
basis for making a Federal award to another applicant.
The System for Award Management (SAM) https://www.sam.gov/portal/SAM/ is the Official U.S. Government system that consolidated the
capabilities of CCR/FedReg, ORCA, and EPLS. There is no fee to register
or use this site. Entities may register and update their information at
no cost directly from the above site.'' Your SAM registration (formerly
CCR registration) needs to be renewed at least annually.
2. Grant Budgets--SCOPE and ALI Codes; Financial Purpose Codes
FTA uses the SCOPE and Activity Line Item (ALI) Codes in the grant
budgets to track program trends, to report to Congress, and to respond
to requests from the Inspector General and the Government
Accountability Office (GAO), as well as to manage grants. The accuracy
of the data is dependent on the careful and correct use of codes. FTA
is in the process of revising the SCOPE and ALI table to include new
codes for the newly eligible capital items, to better track certain
expenditures, and to accommodate the new programs. FTA encourages
grantees to review the table before selecting codes from the drop-down
menus in TEAM-Web while creating a grant budget. Additional information
about how to use the SCOPE and ALI codes to accurately code budgets
will be added to the resources available through TEAM-Web.
Under sections 5307 and 5311, FTA will continue to use the SCOPE
established for job access and reverse projects (646-00) in order to
track the use of these program funds for this eligible purpose.
Similarly, for section 5310 grants made with FY 2013 and later funds,
FTA will continue to use the SCOPE established for ``new-freedom'' type
projects (647-00).
In addition to SCOPE and ALI codes, FTA uses financial purpose
codes (FPCs) in TEAM to identify specific funding uses and track the
actual obligations and expenditures of funds to a specific use, such as
capital, planning, or operating. FPCs are identified at the time
program funds are reserved and must be identified when a grantee
requests a draw-down in ECHO-web. The available FPCs differ by program,
based on the programs eligibility. For example, in a grant for a
capital-only program (e.g. section 5337 or 5339), the funds would be
obligated using FPC 00. Grantees should be aware that several new FPCs
were introduced for MAP-21 grants, particularly for section 5307, 5310,
and 5311 to track eligible uses like job access and reverse commute
projects (FPC 03) and new-freedom projects (FPC 03). Grantees should
pay close attention to the FPCs used when their grants are obligated so
they use the correct FPCs in their ECHO-Web requests. FTA will no
longer use FPC codes in TRAMS.
3. Designated and Direct Recipients, Documentation and Supplemental
Agreements
For its formula programs, FTA primarily apportions funds to the
Designated Recipient in the large UZAs (areas over 200,000), or for
areas under 200,000 (small UZAs and rural areas), it apportions the
funds to the Governor, or its designee (e.g., State DOT). Depending on
the program and as described in the individual program sections found
in Section IV of this notice, further suballocation of funds may be
permitted to eligible recipients who can then apply directly to FTA for
the funding (``direct recipients''), so long as the required
documentation is on file. However, there are certain programs under
MAP-21 whereby FTA will only award grants to the designated recipients
for the area or program. These include sections 5310 and 5339.
For the programs in which FTA can make grants to eligible direct
recipients, other than the Designated Recipient(s), recipients are
reminded that documentation must be on file to support the (1) status
of the recipient either as a Designated Recipient or direct recipient;
and (2) the allocation of funds to the direct recipient. Additionally,
FTA requires a supplemental agreement to be pinned to the grant in
TEAM-Web prior to grant execution. The supplemental agreement is
required when the recipient of the funds is not the Designated
Recipient. It permits the grant recipient (e.g., direct recipient) to
receive and dispense the Federal funds and sets forth that the grant
recipient is assuming all responsibilities of the grant agreement.
Under MAP-21, with the exception of the new UZAs resulting from the
2010 Census under the section 5307 program, the only program for which
NEW designations are needed in the large urbanized areas before a grant
can be made is section 5310. Before the first grant application in a
large UZAs under section 5310 is submitted to FTA, the Governor must
designate an agency charged with administering the Enhanced Mobility of
Seniors and Individuals with Disabilities funds. This designation must
be on file with the Regional Office prior to the award of any section
5310 grants in large UZAs.
For all other programs, documentation to support existing
designated recipients for the UZA must also be on file at the time of
the first application in FY 2015. Further, split letters and/or
suballocation letters (Governor's Apportionment letters), must also be
on file to support grant applications from direct recipients.
4. Payments
Once a grant has been awarded and executed, requests for payment
can be processed. To process payments FTA uses ECHO-Web, an Internet
accessible system that provides grantees the capability to submit
payment requests on-line, as well as receive user-IDs and passwords via
email. New applicants should contact the appropriate FTA Regional
Office to obtain and submit the registration package necessary for set-
up under ECHO-Web.
5. Oversight
FTA is responsible for conducting oversight activities to help
ensure that grants recipients use FTA federal financial assistance in a
manner consistent with their intended purpose and in compliance with
regulatory and statutory requirements. FTA conducts periodic oversight
reviews to assess grantee compliance with applicable Federal
requirements. Each Urbanized Area Formula Program recipient is reviewed
every three years, (also known as FTA's Triennial Review); and States
and state-wide public transportation agencies are reviewed periodically
to assess the management practices and program implementation of FTA
state-wide programs (e.g., Planning, Rural Areas, Enhanced Mobility of
Seniors and Individuals with Disabilities Programs). Other more
detailed reviews are scheduled based on an annual grantee oversight
assessment. Important objectives of FTA's oversight program include,
but are not limited to: Determining grantee compliance with Federal
requirements; identifying technical assistance needs, and delivering
technical assistance to meet those needs; spotting emerging issues with
grantees in a forward-looking fashion; recognizing when there is a need
for more in-depth reviews in the areas of procurement, financial
management, and civil rights; and identifying grantees with recurring
or systemic issues.
6. Technical Assistance
As noted throughout the notice, FTA continues to rely on several of
the existing program circulars for general program guidance. FTA is
continuing to update the program circulars, with an opportunity for
notice and comment, to reflect changes under MAP-21. In the
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meantime, if you have any questions, please do not hesitate to contact
FTA. FTA headquarters and regional staff will be pleased to answer your
questions and provide any technical assistance you may need to apply
for FTA program funds and manage the grants you receive. At its
discretion, FTA may also use program oversight consultants to provide
technical assistance to grantees on a case by case basis. This notice
and the program guidance circulars previously identified in this
document may be accessed via the FTA Web site at www.fta.dot.gov.
G. Grant Management
Recipients of FTA funds are reminded that all FTA grantees require
some level of grant reporting and that it is critical to ensure reports
demonstrate reasonable progress is being made on the project. At a
minimum, all grants require a Federal Financial Report (FFR) and a
Milestone Progress Report (MPR) on an annual basis, with some reports
required quarterly depending on the recipient and the type of projects
funded under the grant. The requirements for these reports and other
reporting requirements can be found in FTA Circular 5010.1D, Grant
Management Requirements, dated August 27, 2012. FTA staff, auditors,
and contractors rely on the information provided in the FFR and MPR to
review and report on the status of both financial and project-level
activities contained in the grant. It is critical that recipients
provide accurate and complete information in these reports and submit
them by the required due date. Failure to report and/or demonstrate
reasonable progress on projects can result in suspension or close-out
of a grant.
In FY 2015, FTA will continue to focus on inactive grants and
grants that do not comply with reporting requirements and, if
appropriate, will take action to close out and deobligate funds from
these grants if reasonable progress is not being made. The efficient
use of funds will further FTA's fulfillment of its mission to provide
efficient and effective public transportation systems for the nation.
Furthermore, inactive grants continue to be a major audit finding
within the Department of Transportation and FTA must take action to
ensure its grants do not impact the Department not receiving a ``clean
audit'' opinion on its annual financial statement audit.
In October of 2014 FTA identified a list of grants that were
awarded on or prior to September 30, 2011 and have had no funds
disbursed since September 30, 2012 or have never had a disbursement.
FTA Regional Offices will be contacting grant recipients with one
or more grants that meet this criteria to notify them that FTA intends
to close the grant and deobligate any remaining funds unless the
grantee can provide information that demonstrates that the projects
funded by the grant remain active and the grantee has a realistic
schedule to expedite completion of the projects funded in the grant.
In addition, recipients of open American Recovery and Reinvestment
Act (ARRA) grants should be aware that, as a matter of law, all
remaining ARRA funds MUST be disbursed from grants by the end of the
5th fiscal year (FY) after funds were required to be obligated. (SEE 31
U.S.C. 1552.) For FTA ARRA projects, that requirement takes affect at
the end of FY 2015. Accordingly, once ECHO closes for disbursements in
late September 2015, all remaining funds within FTA ARRA funded grants
will no longer be available to the grantee and will be deobligated from
the grant. Even if a grantee has incurred costs or disbursed funds
prior to the close of ECHO, if the grantee has not actually drawn down
the funds by the time ECHO closes in late September, FTA will be unable
to reimburse the grantee. Therefore, grantees with open ARRA grants
must ensure project activities are completed and all funds are drawdown
before ECHO closes by late September 2015. For ARRA TIGER 1 projects,
the same requirement will be in effect for the end of FY 2016.
Therese McMillan,
Acting Administrator.
[FR Doc. 2015-02555 Filed 2-6-15; 8:45 am]
BILLING CODE 4910-57-P