[Federal Register Volume 88, Number 72 (Friday, April 14, 2023)]
[Notices]
[Pages 23117-23140]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2023-07761]


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DEPARTMENT OF TRANSPORTATION

Federal Transit Administration


FTA Fiscal Year 2023 Apportionments, Allocations and Program 
Information

AGENCY: Federal Transit Administration (FTA), Department of 
Transportation (DOT).

ACTION: Notice.

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SUMMARY: This notice provides priorities for programs in fiscal year 
(FY) 2023, announces the Consolidated Appropriations Act, 2023, and 
full-year apportionments and allocations for grant programs, provides 
contract authority, and describes plans for several competitive 
programs.

FOR FURTHER INFORMATION CONTACT: For general information about this 
notice, contact John Bodnar, Director of Transit Programs, Office of 
Program Management, at (202) 366-2053. Please contact the appropriate 
FTA Regional Office for any specific requests for information or 
technical assistance. FTA Regional Office contact information is 
available on FTA's website: https://www.transit.dot.gov/about/regional-offices/regional-offices. An FTA headquarters contact for each major 
program area is included in the discussion of that program in the text 
of this notice. FTA recommends stakeholders subscribe via: https://public.govdelivery.com/accounts/USDOTFTA/subscriber/new to receive 
email notifications when new information is available.

SUPPLEMENTARY INFORMATION: 

Table of Contents

I. Overview
II. FY 2023 Funding for FTA Programs
    A. Funding Available Under the Consolidated Appropriations Act, 
2023
    B. Oversight Takedown
    C. FY 2023 Formula Apportionments Data and Methodology
III. FY 2023 Program Highlights and Updates
    A. Focus Areas
    1. Safety--PTASP and Safety Committees
    2. Census Urbanized Areas Designations
    3. Build America-Buy America Act
    4. State, Local, Tribal, and Territorial Fiscal Recovery, 
Infrastructure, and Disaster Relief Flexibility Act (Cornyn-Padilla)
    5. FTA Strategic Plan
    B. Program Updates
    1. FY 2023 Competitive Programs Update
IV. Program Information
    A. Metropolitan and Statewide Transportation Planning Program 
(49 U.S.C. 5303 and 5305(d))
    B. State Planning and Research Program (49 U.S.C. 5304 and 
5305(e))
    C. Urbanized Area Formula Program (49 U.S.C. 5307)
    D. Fixed Guideway Capital Investment Grants Program (49 U.S.C. 
5309)
    E. Enhanced Mobility of Seniors and Individuals with 
Disabilities Program (49 U.S.C. 5310)
    F. Formula Grants for Rural Areas Program (49 U.S.C. 5311)
    G. Rural Transportation Assistance Program (49 U.S.C. 
5311(b)(3))
    H. Appalachian Development Public Transportation Assistance 
Program (49 U.S.C. 5311(c)(2))
    I. Formula Grants for Public Transportation on Indian 
Reservations Program (49 U.S.C. 5311(j))
    J. Public Transportation Innovation (49 U.S.C. 5312)
    K. Technical Assistance and Workforce Development (49 U.S.C. 
5314)
    L. Public Transportation Emergency Relief Program (49 U.S.C. 
5324)
    M. Public Transportation Safety Program (49 U.S.C. 5329)
    N. State of Good Repair Program (49 U.S.C. 5337)
    O. Grants for Buses and Bus Facilities Program (49 U.S.C. 5339)
    P. Growing States and High-Density States Formula Factors (49 
U.S.C. 5340)
    Q. Washington Metropolitan Area Transit Authority Grants
    R. Community Project Funding/Congressionally Directed Spending
V. FTA Policy and Procedures for FY 2023 Grants
    A. Automatic Pre-Award Authority To Incur Project Costs
    B. FY 2023 Annual List of Certifications and Assurances
    C. Letter of No Prejudice (LONP) Policy
    D. Civil Rights Requirements
    E. Consolidated Planning Grants
    F. Grant Application Procedures

I. Overview

    This notice provides priorities for the Federal Transit 
Administration's (FTA) programs in Fiscal Year (FY) 2023, announces the 
Consolidated Appropriations Act, 2023, Public Law 117-328 and full-year 
apportionments and allocations for grant programs, provides contract 
authority, as well as describes plans for several competitive programs.
    It also contains information on how FTA plans to administer its 
transit programs in FY 2023 and how funds appropriated and allocated 
prior to FY 2023 will be treated.
    This notice highlights updates and changes to FTA programs, 
describes definitional changes and cross-cutting requirements and 
provides specific information about FTA's statutory programs.
    For each FTA program, FTA provides information on the 
Infrastructure Investment and Jobs Act (IIJA, also called the 
Bipartisan Infrastructure Law (BIL), Public Law 117-58) authorized 
funding levels for FY 2023, the basis for apportionment or allocation 
of funds, requirements specific to the program, period of availability 
of funds, and other program information. A separate section provides 
information on pre-award authority and other requirements and guidance 
applicable to FTA programs and grant administration. Finally, the 
notice includes references to tables on FTA's website that show amounts 
apportioned under the FY 2023 appropriations and approximately $6.6 
billion in unobligated or carryover funding available in FY 2023 under 
certain competitive programs carried out in accordance with prior 
authorization acts.
    Information in this document includes references to existing FTA 
program guidance and circulars. Some information in guidance and 
circulars may have been superseded by

[[Page 23118]]

provisions in IIJA, but these guidance documents and circulars remain a 
resource for program management in most areas. FTA intends to revise 
the guidance and circulars, as appropriate, with an opportunity for 
public comment when necessary.

II. FY 2023 Funding for FTA Programs

A. Funding Available Under the Consolidated Appropriations Act, 2023

    A total of $21,432,364,662 was appropriated for FY 2023 including 
funding from the Consolidated Appropriations Act, 2023 and advance 
appropriations.
    Division L, title I, of the Consolidated Appropriations Act, 2023, 
appropriated $16,968,459,324 for FY 2023, providing the authorized 
$13.634 billion from the Mass Transit Account; $542 million in Transit 
Infrastructure Grants, including: an additional $90 million for the 
Buses and Bus Facilities Competitive grant program, an additional $50 
million for the Low or No Emission Grants program, an additional $15 
million for the Urbanized Area Passenger Ferry program, an additional 
$2 million for the Bus Testing program, an additional $7 million for 
several research programs, an additional $17.5 million to the ferry 
service for rural communities program, and $360.5 million for Community 
Project Funding/Congressionally Directed Spending. The Consolidated 
Appropriations Act, 2023, also appropriated $7.5 million in additional 
technical assistance and training funding; $2.2 billion for the Capital 
Investment Grant (CIG) program and the Expedited Project Delivery Pilot 
Program; $425 million in additional support for New Start and Core 
Capacity CIG Projects with Existing Full Funding Grant Agreements that 
met criteria listed in division L, section 165 of the Consolidated 
Appropriations Act, 2023; and $150 million for the Washington 
Metropolitan Area Transit Authority.
    Division N, title X of the Consolidated Appropriations Act, 2023, 
appropriated $213,905,338 for Public Transportation Emergency Relief 
for transit systems affected by major declared disasters occurring in 
calendar years 2017, 2020, 2021, and 2022.
    In addition, IIJA provided $4.25 billion in advance appropriations 
for FY 2023, including $1.6 billion for Capital Investment Grants; 
$2.05 billion for Transit Infrastructure Grants; $350 million for the 
All Stations Accessibility Program; $50 million for the Electric or 
Low-Emitting Ferry Program; and $217.5 million for Ferry Service for 
Rural Communities.
    Current funding availability for each program is identified in 
section IV of this notice and in table 1 located on FTA's FY 2023 
Apportionments web page: https://www.transit.dot.gov/funding/apportionments/current-apportionments.

B. Oversight Takedown

    The following oversight takedowns of FTA programs will be applied: 
0.5 percent of Metropolitan and Statewide Planning funds, 0.75 percent 
of Urbanized Area Formula funds, 1 percent of Fixed Guideway Capital 
Investment Grants funds, 0.5 percent of Formula Grants for the Enhanced 
Mobility of Seniors and Individuals with Disabilities, 0.5 percent of 
Formula Grants for Rural Areas, 1 percent of State of Good Repair 
Formula funds, 0.75 percent for Grants for Buses and Bus Facilities, 
and 1 percent of Capital and Preventive Maintenance Projects for 
Washington Metropolitan Area Transit Authority funds. The funds are 
used to provide necessary oversight activities, such as oversight of 
the construction of any major capital project receiving Federal transit 
assistance; to conduct State Safety Oversight, drug and alcohol, civil 
rights, procurement systems, management, planning certification, and 
financial reviews and audits, as well as evaluations and analyses of 
recipient-specific problems and issues; to generally provide technical 
assistance and correct deficiencies identified in compliance reviews 
and audits; and to support FTA's administrative expenses.
    Additionally, there remains a 2 percent administrative/oversight 
takedown from each of the advance appropriations provided under 
Division J, Title VIII of IIJA, except for the Capital Investment Grant 
takedown, which remains at 1 percent. One-half percent of the 2 percent 
is to be transferred to the U.S. DOT Office of the Inspector General 
(OIG).

C. Formula Apportionment Data and Methodology

1. Apportionment Tables
    FTA published apportionment tables on its website for each program 
that reflect the full-year appropriations less oversight takedowns, as 
applicable. Tables displaying the funds available to eligible states, 
tribes, and urbanized areas have been posted to Fiscal Year 2023 
Apportionment Tables (Full Year). This website contains a page listing 
the apportionment and allocation tables for FY 2023, as well as links 
to prior year formula apportionment notices and tables and the National 
Transit Database and Census data used to calculate the FY 2022 
apportionments.
2. National Transit Database and Census Data Used in the FY 2023 
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 at the time of apportionment was the 2021 
report year. However, due to the impacts of the COVID-19 pandemic, 
through this final fiscal year, FTA allowed agencies to use either 2019 
NTD data or 2021 NTD data, defaulting to the year with the higher 
vehicle revenue miles unless instructed otherwise by the reporting 
agency. In some cases where an apportionment is based on the age of the 
system, the age is calculated as of September 30, 2022, which was the 
last day before FY 2023 began. Any recipient or subrecipient of either 
section 5307 or section 5311 program funds is required to report to the 
NTD. All FTA grant recipients that own, operate, or manage transit 
capital assets must report their asset data to the NTD. Additionally, a 
number of transit operators report to the NTD on a voluntary basis. For 
the 2021 report year, the NTD includes data from 963 urban reporters, 
935 of which reported operating transit service; 313 of these urban 
reporters also provide service in rural areas. The NTD also includes 
data from 1,338 rural transit providers. Additionally, 137 Tribes 
report service to the NTD, with 129 of them reporting exclusively rural 
service, and 8 operating both rural and urban service.\1\ IIJA made a 
number of changes to NTD reporting requirements. FTA finalized the 
proposal in a Federal Register notice published on March 3, 2023 (88 FR 
13497). Some of the changes will take effect beginning in NTD Report 
Year (RY) 2023 or 2024, which corresponds to an agency's fiscal year, 
while others will take effect in calendar year (CY) 2023.
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    \1\ Tribal reporters operate public transportation in a tribal 
area and receive or benefit from section 5311 funding under FTA's 
Tribal Transit Program. In some limited cases, tribal reporters may 
also receive section 5307 funding, in which case, these tribes may 
be counted as urban. The 137 tribes noted are those that receive 
Tribal Transit Program funding and excludes those tribes (if any) 
that receive section 5307 funding, for consistency with the other 
counts provided herein.
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    The 2010 Census data was used to determine population and 
population density for sections 5303, 5305, 5307 and 5339 as well as 
rural population and rural land area for section 5311. The formulas for 
sections 5307, 5311, and

[[Page 23119]]

5311(j) include tiers where funding is allocated on the basis of the 
number of persons living in poverty, and the section 5310 formula 
program 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, since FY 2013, FTA has been 
using the data for these populations available via the Census' American 
Community Survey (ACS). The NTD and census data that FTA used to 
calculate the apportionments associated with this notice can be found 
on FTA's Formula Apportionments Data web page: (https://www.transit.dot.gov/funding/apportionments/formula-apportionments-data).
    The FY 2023 apportionments use data on low-income persons, persons 
with disabilities, and older adults from the 2016-2020 ACS five-year 
data set, which was published in December 2021. This data represents 
the most recent five-year ACS estimates that are available as of 
October 1 for the year being apportioned. As was the case in prior 
years, data on low-income persons comes from ACS Table B17024, ``Age by 
Ratio of Income to Poverty in the Last Twelve Months,'' and data on 
people with disabilities under 65 years old comes from ACS table S1810, 
``Disability Characteristics.'' For the FY 2023 apportionments, FTA is 
using data on older adults (over 65 years old) from ACS table B01001, 
``Sex by Age'' after determining that the ACS table used in prior 
fiscal years (ACS table S.0103, ``People over 65 in the United 
States'') did not include data for all urbanized areas.

III. FY 2023 Program Highlights and Updates

A. Focus Areas

1. Safety--PTASP and Safety Committees
    IIJA amended 49 U.S.C. 5329(d) to require a transit agency that 
receives section 5307 funding and serves a large, urbanized area (an 
urbanized area with a population of 200,000 or more) to establish a 
Safety Committee consistent with 49 U.S.C. 5329(d)(5). The transit 
agency must certify, through their Certifications and Assurances, that 
the safety committee of the operator approved the Public Transportation 
Agency Safety Plan (PTASP) or any updates to the Public Transportation 
Agency Safety Plan prior to approval by the Board of Directors, or 
Equivalent Authority.
    The Safety Committee also is responsible for, at a minimum: (1) 
identifying and recommending risk-based mitigations or strategies 
necessary to reduce the likelihood and severity of consequences 
identified through the agency's safety risk assessment; (2) identifying 
mitigations or strategies that may be ineffective, inappropriate, or 
were not implemented as intended; and (3) identifying safety 
deficiencies for purposes of continuous improvement.
    IIJA also amended 49 U.S.C. 5329(d)(1)(B) to require a transit 
agency serving a small, urbanized area (an urbanized area with a 
population of fewer than 200,000) to review and update its PTASP in 
cooperation with frontline employee representatives. Transit agencies 
serving a small urbanized area are required to certify, through their 
Certifications and Assurances, that their Public Transportation Agency 
Safety Plan was developed or updated in cooperation with frontline 
worker representatives prior to approval by the Board of Directors, or 
Equivalent Authority.
2. Census Urbanized Areas Designations
    On December 29, 2022, the Census Bureau announced final urban area 
designations based on the 2020 Census. FTA program eligibility and 
funding distribution is determined in part by service provision and 
demographics in both urban and non-urban areas. The 2020 Census 
delineations will impact FTA formula apportionments beginning in FY 
2024. Eligibility and requirements associated with a Notice of Funding 
Opportunity (NOFO) published in FY 2023 will be determined using 2010 
Census designations. FTA has additional resources and information 
available on its Census landing page, https://transit.dot.gov/census.
3. Build America, Buy America Act
    The Infrastructure Investment and Jobs Act (IIJA) includes the 
Build America, Buy America Act (BABA), Public Law 117-58, division G, 
title IX, subtitle A, part I, sections 70901 through 70927, which 
greatly strengthens Made in America standards. Specifically, BABA 
expands the coverage and application of Buy America preferences in 
Federal financial assistance programs for infrastructure. BABA requires 
that no later than May 14, 2022--180 days after the date of enactment--
the head of each covered Federal agency shall ensure that ``none of the 
funds made available for a Federal financial assistance program for 
infrastructure . . . may be obligated for a project unless all of the 
iron, steel, manufactured products, and construction materials used in 
the project are produced in the United States.'' IIJA section 70914(a).
    BABA provides that the preferences under section 70914 apply only 
to the extent that a domestic content procurement preference as 
described in section 70914 does not already apply to iron, steel, 
manufactured products, and construction materials. IIJA section 
70917(a)-(b). This provision allows FTA to continue to implement its 
existing Buy America regulations and policies for steel and iron, 
manufactured products, and rolling stock, which meet or exceed the 
standards required by BABA. One of the new Buy America preferences 
included under section 70914 of BABA is for construction materials. By 
May 14, 2022, each covered Federal agency had to ensure that all 
manufacturing processes for construction materials used in federally 
assisted infrastructure projects occur in the United States.
    On April 18, 2022, OMB issued memorandum M-22-11, ``Initial 
Implementation Guidance on Application of Buy America Preference in 
Federal Financial Assistance Programs for Infrastructure'' 
(``Implementation Guidance''). Under section VIII of the Implementation 
Guidance, ``Preliminary Guidance for Construction Materials,'' 
``construction materials'' includes: An article, material, or supply--
other than an item of primarily iron or steel; a manufactured product; 
cement and cementitious materials; aggregates such as stone, sand, or 
gravel; or aggregate binding agents or additives--that is or consists 
primarily of: Non-ferrous metals; plastic and polymer-based products 
(including polyvinylchloride, composite building materials, and 
polymers used in fiber optic cables); glass (including optic glass); 
lumber; or drywall. Implementation Guidance at p. 13-14. The 
Implementation Guidance also states that ``an article, material, or 
supply should only be classified into one of the following categories: 
(1) Iron or steel; (2) a manufactured product; or (3) a construction 
material. For ease of administration, an article, material, or supply 
should not be considered to fall into multiple categories.'' Id. at p. 
6. The Implementation Guidance also explains that ``items that consist 
of two or more of the listed materials that have been combined together 
through a manufacturing process, and items that include at least one of 
the listed materials combined with a material that is not listed 
through a manufacturing process, should be treated as manufactured 
products, rather than as construction materials.'' Id. at p. 14.

[[Page 23120]]

    On May 19, 2022, the U.S. Department of Transportation (DOT) issued 
a general waiver that delayed the effective date of BABA's domestic 
preference requirements for construction materials, until November 10, 
2022 (87 FR 31931). All FTA grants obligated on or after November 10 
have required construction materials produced in the United States.
    On January 30, 2023, DOT announced a new, limited waiver of the Buy 
America requirement for construction materials for certain contracts 
and solicitations. The waiver is intended to assist project sponsors 
transitioning to using U.S. manufactured construction materials without 
delaying delivery of projects in sufficiently advanced stages. The 
waiver of BABA's domestic preference for construction materials applies 
to: (1) Any contract entered into before November 10, 2022; and (2) Any 
contract entered into on or after November 10, 2022, and before March 
10, 2023, if the contract results from a solicitation published prior 
to May 14, 2022. For contracts executed on or after May 14, 2022, and 
before March 10, 2023, the waiver does not apply to any construction 
materials that a contractor or subcontractor takes delivery of on or 
after October 1, 2024.
    This waiver applies only to: (i) DOT awards (including FTA awards) 
obligated on or after January 30, 2023; and (ii) for awards that are 
obligated on or after November 10, 2022, but prior to January 30, 2023, 
to expenditures for construction materials incurred on or after January 
30, 2023. FTA encourages recipients to contact their FTA Regional 
Office with any questions regarding applicability of this waiver.
4. State, Local, Tribal, and Territorial Fiscal Recovery, 
Infrastructure, and Disaster Relief Flexibility Act (Cornyn-Padilla)
    Division LL of the Consolidated Appropriations Act, 2023, is the 
``State, Local, Tribal, and Territorial Fiscal Recovery, 
Infrastructure, and Disaster Relief Flexibility Act,'' also known as 
Cornyn-Padilla. The law amends title VI of the Social Security Act (42 
U.S.C. 801, et seq.), as amended by the Infrastructure Investment and 
Jobs Act (IIJA), to allow coronavirus relief funds to be used for 
certain infrastructure projects by State, Territorial, Tribal, 
metropolitan, city, non-entitlement unit of local government, or county 
recipients. Among other eligible uses, funds may be used for capital 
projects eligible under FTA's Urbanized Area Formula Grants Program 
(section 5307), Capital Investment Grants Progra (section 5309), Rural 
Area Formula Grants Program (section 5311), State of Good Repair Grants 
Program (section 5337), and Bus and Bus Facility Grants Program 
(section 5339). Funds specifically may be used to meet the non-Federal 
share requirement for capital investment grants and may be used to 
repay TIFIA loans.
    The law requires the Department of Treasury, in consultation with 
U.S. DOT, to issue guidance or promulgate a rule to carry out the 
transportation section of the bill. FTA encourages recipients to review 
the Treasury guidance or rule when it becomes available and to contact 
their FTA Regional Office with any questions.
5. FTA Strategic Plan
    FTA recently completed an agency-specific strategic plan, in 
alignment with the recently completed DOT Strategic Plan for 2021-2026. 
FTA's plan sets five strategic goals for the agency:
     Enhance Safety--reduce safety events on the Nation's 
transit systems.
     Build Resiliency--renew our transit systems and increase 
resiliency into the future.
     Increase Sustainability--reduce greenhouse gas emissions 
and environmental impacts from transit construction and operations.
     Improve Equity--address disparities in access to 
opportunities and services; and
     Connect Communities--expand high quality transit service 
to build communities that connect people

B. Program Updates

1. FY 2023 Competitive Program Updates
    FTA's competitive grant programs and the FY 2023 appropriated 
funding levels are identified in the chart below. FTA selects projects 
for funding after issuance of a Notice of Funding Opportunity.

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                                                                     FY 2023 funding                                              Application due date
    Program/competitive grant title         Statute 49 U.S.C.         appropriated       Proposed or actual NOFO publication          and comments
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Transit-Oriented Development Planning   MAP-21 Section 20005(b),          $13,432,051  Summer 2023............................  TBA.
 Pilot Program.                          IIJA Section 30009.
Low or No Emission Grants and Grants    Section 5339(b) and (c)..       1,621,126,602  January 27, 2023.......................  April 13, 2023.
 for Buses & Bus Facilities.
Tribal Transit Grants.................  Section 5311(c)(1)(A)....           8,935,753  March 28, 2023.........................  June 26, 2023.
Passenger Ferry Grants, Electric or     Sections 5307/5311.......         307,500,000  Spring 2023 (Passenger Ferry and Rural   Part of FY23 Rural Ferry
 Low-Emitting Ferry Program, Ferry                                                      Only).                                   and all FY23 Low-
 Service for Rural Communities.                                                                                                  Emitting Ferry
                                                                                                                                 selections were
                                                                                                                                 announced in January
                                                                                                                                 2023. Approximately
                                                                                                                                 $50M in Passenger Ferry
                                                                                                                                 and $170M in Rural
                                                                                                                                 Ferry funding will be
                                                                                                                                 made available through
                                                                                                                                 NOFO.
Innovative Coordinated Access &         Section 5312.............           9,525,190  Fall 2023..............................  TBA.
 Mobility.
All Station Accessibility Program.....  Sections 5307/5311.......         343,000,000  N/A....................................  Project selections
                                                                                                                                 announced in December
                                                                                                                                 2022.
Competitive Grants for Rail Vehicle     Section 5337.............         300,000,000  N/A....................................  FY22 and FY23 funding
 Replacement.                                                                                                                    announced in the same
                                                                                                                                 NOFO on October 12,
                                                                                                                                 2022.
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[[Page 23121]]

IV. Program Information

A. Metropolitan Planning Program (49 U.S.C. 5303, 5305(d), and 5305(f))

    Section 5305(d) and (f) makes available 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 in 23 CFR part 450, as 
incorporated by reference in 49 CFR part 613, Metropolitan and 
Statewide and Non-metropolitan Planning. State Departments of 
Transportation (DOTs) are direct recipients of planning funds allocated 
by FTA, and the funds are then sub-allocated to Metropolitan Planning 
Organizations (MPOs) for planning activities that support the economic 
vitality of the metropolitan area.
    The metropolitan transportation planning process must establish a 
performance-based approach in which the MPO will develop specific 
performance targets that address transportation system performance 
measures (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 will provide a system performance report that evaluates 
the progress of the MPO 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 
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. A represenatataive list of eligible work elements 
or activities is provided in FTA Circular 8100.1D, Program Guidance for 
Metropolitan Planning and State Planning and Research Program Grants, 
dated September 10, 2018.
    The Infrastructure Investment and Jobs Act (IIJA), also known as 
the Bipartisan Infrastructure Law (BIL), amended 49 U.S.C. 5305(f) to 
require a Federal share of not less than 90 percent for grants under 
the Metropolitan Planning Program (MPP) and the State Planning and 
Research Program (SPRP). Eligible recipients seeking an increased 
Federal share under 49 U.S.C. 5305(f)(2) must demonstrate that planning 
activities support increased mobility through expanded access to public 
transportation in areas with a lower population density or a lower 
average income in relationship to surrounding areas. In addition, on 
March 13, 2023, FTA approved a waiver of the non-Federal match for the 
MPP and the SPRP funds authorized at 49 U.S.C. 5305(f)(1) for Complete 
Streets planning activities conducted by States and MPOs in their 
transportation planning processes. The non-Federal match waiver for MPP 
and SPRP funds is limited to Complete Streets planning activities as 
identified in BIL, section 11206(c)). The waiver of the non-Federal 
share for Complete Streets planning activities will end once a State or 
MPO receives approval from FHWA to opt out of meeting the requirements 
described in BIL, section 11206(c). Once a State or MPO opts out, they 
must notify FTA.
    For more about the Metropolitan Planning Program, contact Ryan 
Long, Office of Planning and Environment at (215) 656-7051 or 
[email protected].
1. Authorized Amounts
    IIJA authorized $799.4 million over five years to provide financial 
assistance for metropolitan planning needs under section 5305.
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $155,931,187 is 
available to the Metropolitan Planning Program (section 5305(d) and 
(f)) to support metropolitan transportation planning activities set 
forth in section 5303. The total amount apportioned for the 
Metropolitan Planning Program to States for use by MPOs is $155,151,531 
as shown in the table below, after the deduction for oversight 
(authorized by section 5338).

------------------------------------------------------------------------
 
------------------------------------------------------------------------
                  Metropolitan Planning Program--FY2023
------------------------------------------------------------------------
Total FY 2023 Appropriation Available...............        $155,931,187
Oversight Deduction.................................           (779,656)
                                                     -------------------
  Total Apportioned.................................         155,151,531
------------------------------------------------------------------------

3. Basis for Formula Apportionment
    Of the amounts authorized in section 5305, 82.72 percent is made 
available to the Metropolitan Planning program. Eighty percent of those 
funds are apportioned on a statutory basis 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 based on an FTA 
administrative formula to address planning needs in larger, more 
complex UZAs. The amount published for each State includes the 
supplemental allocation.
4. 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) that 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 any change requires approval by the FTA Regional 
Office before grant approval. Program guidance for the Metropolitan 
Planning Program is found in FTA Circular 8100.1D.
5. Period of Availability
    The Metropolitan Planning program funds apportioned in this notice 
are available for obligation during FY 2023 plus three additional 
fiscal years. Accordingly, funds apportioned in FY 2023 must be 
obligated in grants by September 30, 2026. Any FY 2023 apportioned 
funds that remain unobligated at the close of business on September 30, 
2026, will revert to FTA for reapportionment under the Metropolitan 
Planning program.

B. State Planning and Research Program (49 U.S.C. 5304, 5305(e), and 
5305(f))

    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 
in 23 CFR part 450, as incorporated by reference in 49 CFR part 613, 
Metropolitan and Statewide and Nonmetropolitan Planning. State DOTs are 
required to reference

[[Page 23122]]

performance measures and performance targets within the Statewide 
Planning process. This funding must support work elements and 
activities resulting in comprehensive intermodal transportation 
planning for the movement of people and goods and has the same 
eligibilities as metropolitan planning funds. 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.
    The Infrastructure Investment and Jobs Act (IIJA), also known as 
the Bipartisan Infrastructure Law (BIL), amended 49 U.S.C. 5305(f) to 
require a Federal share of not less than 90 percent for grants under 
the Metropolitan Planning Program (MPP) and the State Planning and 
Research Program (SPRP). Eligible recipients seeking an increased 
Federal share under 49 U.S.C. 5305(f)(2) must demonstrate that planning 
activities support increased mobility through expanded access to public 
transportation in areas with a lower population density or a lower 
average income in relationship to surrounding areas. In addition, on 
March 13, 2023, FTA approved a waiver of the non-Federal match for the 
MPP and the SPRP funds authorized at 49 U.S.C. 5305(f)(1) for Complete 
Streets planning activities conducted by States and MPOs in their 
transportation planning processes. The non-Federal match waiver for MPP 
and SPRP funds is limited to Complete Streets planning activities as 
identified in BIL, section 11206(c)). The waiver of the non-Federal 
share for Complete Streets planning activities will end once a State or 
MPO receives approval from FHWA to opt out of meeting the requirements 
described in BIL, section 11206(c). Once a State or MPO opts out, they 
must notify FTA.
    For more information, contact Ryan Long, Office of Planning and 
Environment at (215) 656-7051 or [email protected].
1. Authorized Amounts
    IIJA authorized $167 million over five years to provide financial 
assistance for statewide planning and other technical assistance 
activities under section 5305.
2. FY 2023 Funding Availability
    In FY 2023, $32,573,633 is available to the State Planning and 
Research Program (section 5305(e) and (f)). The total amount 
apportioned for the State Planning and Research Program (SPRP) is 
$32,412,789 as shown in the table below, after the deduction for 
oversight and addition of reapportioned funds.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
                   Statewide Planning Program--FY 2023
------------------------------------------------------------------------
Total Appropriation.................................         $32,573,633
Oversight Deductions................................           (162,868)
Reapportioned Funds.................................               2,024
                                                     -------------------
  Total Apportioned.................................          32,412,789
------------------------------------------------------------------------

    States' apportionments for this program are displayed in table 2.
3. Basis for Formula Apportionment
    Of the amount authorized in section 5305, 17.28 percent is 
allocated to the State Planning and Research Program. FTA apportions 
these 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.
4. Requirements
    Funds are provided to States for Statewide transportation planning 
programs. These funds may be used for a variety of statewide and 
nonmetropolitan transportation planning purposes such as developing 
transportation plans and programs, planning and evaluating public 
transportation projects, and conducting technical studies. 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 8100.1D.
5. Period of Availability
    The State Planning and Research program funds apportioned in this 
notice are available for obligation during FY 2023 plus three 
additional fiscal years. Accordingly, funds apportioned in FY 2023 must 
be obligated in grants by September 30, 2026. Any FY 2023 apportioned 
funds that remain unobligated at the close of business on September 30, 
2026, will revert to FTA for reapportionment under the State Planning 
and Research Program.

C. Urbanized Area Formula Program (49 U.S.C. 5307)

    The Urbanized Area Formula Program provides Federal assistance for 
capital, planning, job access and reverse commute projects, and, in 
some cases, operating assistance for public transportation in urbanized 
areas. In accordance with 49 U.S.C. 5302, an urbanized area (UZA) is an 
Urban Area, as defined and designated as such by the U.S. Census 
Bureau, with a population of 50,000 or more. Program funds are 
apportioned to urbanized areas through a statutory formula. In 
addition, $30 million is allocated each year under this program to 
passenger ferry projects through a discretionary funding competition.
    For more information about the Urbanized Area Formula Program, 
contact Bret Martin with the Office of Transit Programs, at (202) 366-
0870 or [email protected].
1. Authorized Amounts
    IIJA authorized $33.5 billion over five years to provide financial 
assistance for urbanized areas under section 5307. Of the amounts 
authorized and appropriated for section 5307 in each year, $30 million 
is set aside for the competitive discretionary Passenger Ferry Grant 
Program, 0.75 percent is apportioned to eligible States for State 
Safety Oversight (SSO), and 0.75 percent is set aside for oversight.
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $6,542,164,133 is 
available for the Urbanized Area Formula program. The total amount 
apportioned is $7,060,120,714 after deductions for the State Safety 
Oversight Program, Passenger Ferry Program, and oversight (authorized 
by section 5338) and the addition of section 5340 and reapportioned 
funds as shown in the table below.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
                 Urbanized Area Formula Program--FY 2023
------------------------------------------------------------------------
Total Appropriation.................................      $6,542,164,133
Oversight Deductions................................        (49,066,231)
State Safety Oversight Program......................        (49,066,231)
Passenger Ferry Program.............................        (30,000,000)
Section 5340 High Density States....................         355,566,259
Section 5340 Growing States.........................         286,316,112
Reapportioned Funds.................................           4,206,672
                                                     -------------------
  Total Apportioned.................................       7,060,120,714
------------------------------------------------------------------------

3. Basis for Formula Apportionment
    FTA apportions Urbanized Area Formula Program funds based on 
statutory formulas. Congress established four separate formulas that 
are used to apportion 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 formulas, and a 
formula based on low-income population.

[[Page 23123]]

a. 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 vehicle revenue miles, bus passenger miles, bus operating costs, 
fixed guideway vehicle revenue miles, and fixed guideway directional 
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 2023 apportionment, FTA used population and 
population density statistics from the 2010 Census and validated 
mileage and transit service data from transit providers' 2019 or 2021 
National Transit Database (NTD) Report Year, defaulting to the year 
with the higher vehicle revenue miles unless instructed otherwise by 
the reporting agency. Consistent with section 5336(b), FTA has included 
27 percent of the fixed guideway directional route miles and vehicle 
revenue miles from eligible urbanized area transit systems, but which 
were attributable to rural areas outside of the urbanized areas from 
which the system receives funds. 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 for the 
apportionment. The dollar unit values for FY 2023 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., directional route miles, 
vehicle revenue miles, passenger miles, and operating cost).
b. Small Transit Intensive Cities Formula (STIC)
    Under the STIC formula, FTA apportions 3 percent of the funds made 
available for section 5307 to UZAs that are under 200,000 in population 
and have public transportation service that operates at a level equal 
to or above the industry average for UZAs with a population of at least 
200,000, but not more than 999,999. STIC funds are apportioned on the 
basis of one or more of six performance categories: passenger miles 
traveled per vehicle revenue mile, passenger miles traveled per vehicle 
revenue hour, vehicle revenue miles per capita, vehicle revenue hours 
per capita, passenger miles traveled per capita, and passengers per 
capita.
    The data used to determine a UZA's eligibility under the STIC 
formula and to calculate the STIC apportionments was obtained from the 
NTD. 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 formula for FY 2023 
are listed in table 6.
c. 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, as 
shown in table 3. More information on this program and its formula is 
found in section IV.P. of this notice.
d. 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.
    As specified in statute, FTA apportions 75 percent of the available 
funds to UZAs with a population of 200,000 or more. Funds are 
apportioned based on the ratio of the number of low-income individuals 
in each UZA to the total number of low-income individuals in all 
urbanized areas of that size. FTA apportions the remainder of the funds 
(25 percent) to UZAs with populations of less than 200,000, according 
to an equivalent formula. The low-income populations used for this 
calculation were based on the American Community Survey (ACS) data set 
for 2016--2020. This information is updated by the Census Bureau 
annually.
4. Eligible Expenses
    Eligible activities include planning, engineering, design and 
evaluation of transit projects and other technical transportation-
related studies; capital investments in bus and bus-related activities 
such as replacement, overhaul and rebuilding of buses; crime prevention 
and security equipment; construction of maintenance and passenger 
facilities; and capital investments in new and existing fixed guideway 
systems, including rolling stock, overhaul and rebuilding of vehicles, 
track, signals, communications, and computer hardware and software. All 
preventive maintenance and some Americans with Disabilities Act 
complementary paratransit service costs are considered capital costs. 
For urbanized areas with populations less than 200,000, operating 
assistance is an eligible expense. In areas with a population of 
200,000 or more, operating assistance is an eligible expense for an 
applicant that operates a maximum of 100 buses during peak service 
hours, per 49 U.S.C. 5307(a)(2) (the ``100-bus rule''). Job access and 
reverse commute activities remain eligible under the program.
    In addition, recipients may use up to one-half of one percent of 
their section 5307 funds to support workforce development activities, 
including supportive services, at an 80 percent Federal share; the 
eligible workforce development activities are defined in section 5314; 
see section IV.K. of this notice for more information. This provision 
is in addition to the one-half of one percent that a recipient may use 
for training activities with the National Transit Institute.
5. 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 provided in this 
notice and that may be posted to the FTA's section 5307 web page.
6. Period of Availability
    Funds made available under section 5307 are available for 
obligation during the year of apportionment plus five additional years. 
Accordingly, funds apportioned in FY 2023 must be obligated in grants 
by September 30, 2028. Any FY 2023 apportioned funds that remain 
unobligated at the close of business on September 30, 2028, will revert 
to FTA for reapportionment under the Urbanized Area Formula Program.

D. Fixed Guideway Capital Investment Grants Program (49 U.S.C. 5309)

    The Capital Investment Grants (CIG) Program includes three types of 
eligible projects--New Starts projects, Small Starts projects, and Core 
Capacity Improvement projects. Funding is provided for construction of: 
(1) new fixed guideway systems or extensions to existing fixed guideway 
systems such as rapid rail (heavy rail), commuter rail, light rail, 
trolleybus (using overhead catenary), cable car, passenger ferries, and 
bus rapid transit operating on an exclusive transit lane for the 
majority of

[[Page 23124]]

the corridor length that also includes 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 service for a substantial part of weekdays and weekends; 
(2) corridor-based bus rapid transit service that does not operate on 
an exclusive transit lane but includes 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 (3) 
projects that expand the capacity by at least 10 percent of an existing 
fixed guideway corridor that is at capacity today or will be in ten 
years.
    Projects become candidates for funding under the Capital Investment 
Grants program by successfully completing steps in the multi-year 
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 an expedited grant 
agreement that defines the scope of the project and specifies the 
Federal commitment to the project.
    Bundles of CIG projects, comprised of multiple New Starts, Core 
Capacity, or Small Starts projects being pursued by the same project 
sponsor, are also allowed. Bundles must enhance or increase the 
capacity of the transportation system and streamline procurements or 
enable time or cost savings for the projects.
    For more information about the Capital Investment Grants program 
contact Elizabeth Day, Office of Capital Project Development, at (202) 
366-5159 or [email protected].
    For information about published allocations contact Kevin Osborn, 
Office of Transit Programs, at (202) 366-7519 or [email protected].
1. Authorized Amounts
    IIJA authorized $15 billion to be appropriated over five years for 
the CIG program and the Expedited Project Delivery Pilot Program (EPD), 
with an additional $8 billion in advance appropriations.
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $3,810,000,000 is 
available for the Capital Investment Grants (CIG) Program and the FAST 
Act section 3005(b) Expedited Project Delivery Pilot Program. The total 
amount available for projects is $3,771,900,000 as shown in the table 
below, after the deduction for oversight (authorized by section 5338).

------------------------------------------------------------------------
 
------------------------------------------------------------------------
                Capital Investment Grant Program--FY 2023
------------------------------------------------------------------------
Total Appropriation.................................      $3,810,000,000
Oversight...........................................        (38,100,000)
Deduction...........................................  ..................
                                                     -------------------
  Total Apportioned.................................       3,771,900,000
------------------------------------------------------------------------

    In addition, $425,000,000 is available as additional funding to 
support New Start and Core Capacity Improvement CIG Projects with 
existing Full Funding Grant Agreements (FFGA) that met criteria listed 
in division L, section 165 of the Consolidated Appropriations Act, 
2023. Such amounts are in addition to the CIG amounts identified in the 
FFGA.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
       Additional Funding to Projects with Existing FFGAs--FY 2023
------------------------------------------------------------------------
Additional Funding for Existing FFGAs...............        $425,000,000
                                                     -------------------
  Total Apportioned.................................         425,000,000
------------------------------------------------------------------------

3. Basis for Allocation
    CIG Funds are allocated on a discretionary basis and subject to 
program evaluation. However, the $425 million in additional funding to 
projects with existing FFGAs was allocated based on factors identified 
in the Consolidated Appropriations Act, 2023.
4. Eligible Expenses
    See beginning of section D above.
5. Requirements
    Project sponsors should reference the FTA website at https://www.transit.dot.gov/CIG for the most current Capital Investment Grants 
program policy guidance to learn what is required to enter and advance 
through the program. Grant-related guidance is found in FTA Circular 
9300.1B, Capital Investment Grant Program Guidance and Application 
Instructions, November 1, 2008; and C5200.1A, Full Funding Grant 
Agreement Guidance, December 5, 2002.
6. Period of Availability
    Funding is available for four years, which is the fiscal year in 
which the amount is allocated to a project plus three additional years. 
Therefore, funds for a project allocated funding in FY 2023 must be 
obligated for the project by September 30, 2026. Section 5309 funds 
that remain unobligated after four fiscal years to the projects for 
which they were originally designated may be made available for other 
section 5309 projects.

E. 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 apportioned to direct recipients: 
States for rural (population under 50,000) and small urbanized areas 
(population from 50,000 to 199,999); and designated recipients chosen 
by the Governor of the State for large urbanized areas (populations of 
200,000 or more); or a State or local governmental entity that operates 
a public transportation service. The section 5310 program provides 
capital and operating assistance to improve the mobility for older 
adults and people with disabilities by removing barriers to 
transportation service and expanding transportation mobility options. 
This program supports transportation services planned, designed, and 
carried out to meet the transportation needs of older adults and people 
with disabilities.
    This program provides funds for capital and operating assistance 
for: (1) public transportation to meet the needs of older adults and 
people with disabilities when public transportation is insufficient, 
inappropriate, or unavailable; (2) public transportation projects that 
exceed the requirements of the Americans with Disabilities Act (ADA); 
(3) public transportation projects that improve access to fixed-route 
service and decrease reliance on complementary paratransit; and (4) 
alternatives to public transportation that meet the transportation 
needs of older adults and people with disabilities.
    Section 5310 funds are available for capital and operating expenses 
to support the provision of transportation services to meet the 
specific needs of older adults and people with disabilities. Additional 
information on eligible expenses can be found in FTA Circular 9070.1G, 
Enhanced Mobility of Seniors and Individuals with Disabilities Program 
Guidance and Application Instructions, dated July 7, 2014.

[[Page 23125]]

    For more information about the section 5310 program, contact 
Destiny Buchanan, Office of Transit Programs, at (202) 493-8018 or 
[email protected].
1. Authorized Amounts
    IIJA authorized $1,943,105,343 over five years for the Enhanced 
Mobility of Seniors and Individuals with Disabilities formula program, 
with an additional $250 million provided in advance appropriations.
2. FY 2023 Funding Availability
    In FY 2023, $429,002,836 is appropriated for the program. A total 
of $428,004,567 is available for allocation after the oversight and 
administrative deduction, transfer to the U.S. DOT Office of Inspector 
General, and addition of reapportioned funds as shown in the table 
below.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
                  Section 5310 Formula Program--FY 2023
------------------------------------------------------------------------
Total Appropriation.................................        $429,002,836
Oversight and Administrative........................         (2,890,014)
Transfer to OIG.....................................             (5,000)
Reapportioned Funds.................................           1,896,745
                                                     -------------------
  Total Apportioned.................................         428,004,567
------------------------------------------------------------------------

3. Basis for Formula Apportionment
    Sixty percent of the funds are apportioned among designated 
recipients for urbanized areas with a population of 200,000 or more 
individuals. Twenty percent of the funds are apportioned among the 
States for their urbanized areas with a population of at least 50,000 
but less than 200,000. Twenty percent of the funds are apportioned 
among the States for rural areas with a population of less than 50,000. 
Census Data on Older Adults and People with Disabilities is used for 
the section 5310 Enhanced Mobility of Older Adults and People with 
Disabilities Apportionments. To view the table 8, which displays the 
amounts apportioned under the Enhanced Mobility of Seniors and 
Individuals with Disabilities Program, see FTA's FY 2023 Apportionments 
web page.
    Under the section 5310 formula, funds are allocated using Census 
data on seniors (i.e., persons 65 and older) and people with 
disabilities. However, beginning in 2010, the Census Bureau stopped 
collecting this demographic information as part of its decennial 
census. Data on seniors and people with disabilities is now only 
available from the American Community Survey (ACS), which is conducted 
and published on a rolling basis. FTA's FY 2023 section 5310 
apportionments incorporate ACS data published in December 2021, which 
was the most-recent data available at the start of Federal FY 2023. 
Data on seniors comes from the ACS 2016--2020 five-year data set, Table 
B01001, ``Sex by Age.'' Data on persons with disabilities comes from 
the ACS 2016--2020 five-year data set, Table S.1810, ``Disability 
Characteristics.''
4. Requirements
    Eligible direct recipients include States for rural and small urban 
areas and designated recipients chosen by the Governor of the State for 
large urban areas. Federally recognized Indian tribes and State or 
local governmental entities that operate a public transportation 
service are also eligible direct recipients.
    Eligible subrecipients include private nonprofit organizations, and 
state or local governmental authorities approved by a state to 
coordinate services for older adults and people with disabilities, or 
state or local governmental authorities which certify to the Governor 
that no nonprofit organizations or associations are readily available 
in an area to provide the service.
    Of the amounts apportioned to states and designated recipients, not 
less than 55 percent of funds must be used for ``traditional'' section 
5310 projects--those public transportation capital projects planned, 
designed, and carried out to meet the specific needs of seniors and 
individuals with disabilities when public transportation is 
insufficient, unavailable, or inappropriate. Up to 45 percent of an 
area's apportionment may be used for additional public transportation 
projects that: exceed the Americans with Disabilities Act minimum 
requirements; improve access to fixed-route service and decrease 
reliance by individuals with disabilities on ADA complementary 
paratransit service; or provide alternatives to public transportation 
that assist seniors and individuals with disabilities with 
transportation.
    All projects funded under this program must be included in a 
locally developed, coordinated public transit-human service 
transportation plan.
5. Period of Availability
    For Enhanced Mobility of Seniors and Individuals with Disabilities 
Program funds apportioned under this notice, the period of availability 
is the year of apportionment plus two additional years. Accordingly, 
funds apportioned in FY 2023 must be obligated in grants by September 
30, 2025. Any FY 2023 apportioned funds that remain unobligated at the 
close of business on September 30, 2025, will revert to FTA for 
reapportionment among the States and urbanized areas.
6. Other Program Highlights
    Recipients may use a competitive selection process to select 
projects, but it is not required. A State may transfer funds 
apportioned to small, urbanized areas and rural areas to other parts of 
the state if it can certify that the needs are being met in the area to 
which the funds were originally apportioned. Funds apportioned to 
large, urbanized areas may not be used outside the urbanized area to 
which they were apportioned.
    Transit service providers receiving section 5310 funds may 
coordinate and assist in providing meal delivery services on a regular 
basis as long as this does not conflict with the provision of transit 
services.
    Additional information about the requirements for the section 5310 
program can be found in FTA Circular 9070.1G, Enhanced Mobility of 
Seniors and Individuals with Disabilities Program Guidance and 
Application Instructions, dated July 7, 2014.

F. Formula Grants for Rural Areas 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. Funding may be used for 
capital, operating, planning, job access and reverse commute projects, 
and State administration expenses. Eligible subrecipients 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.
    For more information about the Formula Grants for Rural Areas 
program, contact Matt Lange, Office of Transit Programs, at (312) 353-
4118 or [email protected].
1. Authorized Amounts
    IIJA authorized $4.1 billion over five years to provide financial 
assistance for rural areas under section 5311(c)(3). The section 5311 
program includes three other programs: the Rural Transit Assistance 
Program (RTAP); the

[[Page 23126]]

Appalachian Development Public Transportation Assistance Program; and 
the Tribal Transit Program. These separate programs are described in 
the sections that follow.
    In addition to the funds made available to States under section 
5311, $114.6 million of the funds authorized for the section 5340 
Growing States formula factors are apportioned to States for use in 
rural areas.
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $804,217,747 is 
available for the Rural Area Formula Program. The total amount 
apportioned to the program is $914,581,455 as shown in the table below, 
after the addition of section 5340 Growing States, reapportioned funds 
and the oversight deduction authorized by section 5338.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
             Grants for Rural Areas Formula Program--FY 2023
------------------------------------------------------------------------
Total FY 2023 Appropriation.........................        $804,217,747
Oversight Deduction.................................         (4,467,876)
Section 5340 Growing States.........................         114,641,584
Reapportioned Funds.................................             190,000
                                                     -------------------
  Total Apportioned.................................         914,581,455
------------------------------------------------------------------------

3. Basis for Formula Apportionment
    FTA apportions section 5311 funds to the states by 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. 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. Before FTA apportions section 5311 funds to the states, 
FTA subtracts funding from the total available amounts for the 
Appalachian Development Transportation Assistance Program, the Tribal 
Transit Program, the Rural Transportation Assistance Program (RTAP), 
and FTA oversight activities.
    Data from the Rural Module of the National Transit Database (NTD) 
was used for this apportionment, including data from directly reporting 
Indian tribes. Data from public transportation systems that reported to 
the Annual (Urbanized Area) Module, and not attributable to an 
urbanized area, was also included.
4. 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 under 50,000 in 
population. 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. Additional 
information on eligible expenses can be found in Circular 9040.1G, 
Formula Grants for Rural Areas: Program Guidance and Application 
Instructions, dated October 24, 2014.
a. Intercity Bus Transportation
    Each State must spend no less than 15 percent of its annual Rural 
Areas Formula apportionment for the development and support of 
intercity bus transportation, unless it can certify, after consultation 
with affected intercity bus service providers, that the intercity bus 
service needs of the State are adequately being met.
b. State Administration
    States may elect to use up to 10 percent of their apportionment at 
100 percent Federal share to administer the section 5311 program and 
provide technical assistance to subrecipients.
c. Eligibility for Safety Certification Training
    Recipients of section 5311 funds are permitted to use not more than 
0.5 percent of their formula funds under the Rural Areas program to pay 
not more than 80 percent of the cost of participation for an employee 
who is directly responsible for safety oversight to participate in 
public transportation safety certification training. Safety 
certification training program requirements are established in 
accordance with section 5329.
    The Federal share for capital assistance is 80 percent and for 
operating assistance is 50 percent, except that States eligible for the 
sliding scale match under FHWA programs may use that match ratio for 
section 5311 capital projects and 62.5 percent of the sliding scale 
capital match ratio for operating projects.
    Each State 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, and is 
supplemented by additional information and changes provided in this 
notice and that may be posted to FTA's section 5311 web page.
5. Period of Availability
    Section 5311 funds remain available to states for obligation for 
three Federal fiscal years, beginning with the year of apportionment 
plus two additional years. The Rural Areas program funds apportioned in 
this notice are available for obligation during FY 2023 plus two 
additional years. Any FY 2023 apportioned funds that remain unobligated 
at the close of business on September 30, 2025, will revert to FTA for 
reapportionment under the Rural Areas program.

G. Rural Transportation Assistance Program (49 U.S.C. 5311(b)(3))

    The Rural Transportation Assistance Program (RTAP) provides funding 
to states 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.
    The National Rural Transit Assistance Program (NRTAP) is 
administered through a cooperative agreement and re-competed at five-
year intervals. In 2019, FTA awarded a cooperative agreement to 
Neponset Valley Transportation Management Association to administer 
NRTAP. NRTAP addresses the training and technical assistance needs of 
rural and tribal transit operators across the nation and supports state 
RTAP programs. NRTAP's comprehensive set of free technical assistance 
programs and resources includes training materials, webinars, 
newsletters and technical briefs, peer resources, research, and 
innovative technology initiatives.
    For more information about Rural Transportation Assistance Program 
(RTAP) contact Matt Lange, Office of Transit Programs, at (312) 353-
4118 or [email protected].

[[Page 23127]]

1. Authorized Amounts
    IIJA authorizes $105 million over five years to carry out this 
program. Of this amount, 15 percent is reserved for the National RTAP 
program.
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $17,871,506 is 
available for the RTAP. The total amount apportioned for RTAP is 
$15,190,780 as shown in the table below, after the deduction for NRTAP.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
            Rural Transportation Assistance Program--FY 2023
------------------------------------------------------------------------
Total Appropriation.................................         $17,871,506
National RTAP.......................................         (2,680,726)
                                                     -------------------
  Total Apportioned.................................          15,190,780
------------------------------------------------------------------------

    State allocations are shown in table 9 posted on FTA's FY 2023 
Apportionments web page.
3. Basis for Formula Apportionment
    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.
4. Requirements
    Eligible expenses include 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.
    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 should be used in conjunction 
with a State's administration of the Rural Areas Formula Program and 
may also support the rural components of the section 5310 program.
5. Period of Availability
    The section 5311 RTAP funds apportioned in this notice are 
available for obligation in FY 2023 plus two additional years, 
consistent with that established for the section 5311 program. Any FY 
2023 apportioned funds that remain unobligated at the close of business 
on September 30, 2025, will revert to FTA for reapportionment under the 
Rural Areas program.

H. Appalachian Development Public Transportation Assistance Program (49 
U.S.C. 5311(c)(2))

    This program provides additional funding to support public 
transportation in the Appalachian region. There are thirteen eligible 
States that receive an allocation under this provision. The States and 
their allocation are shown in the table 9 posted on FTA's FY 2023 
Apportionments web page.
    For more information about the Appalachian Development Public 
Transportation Assistance Program, contact Matt Lange, Office of 
Transit Programs, at (312) 353-4118 or [email protected].
1. Authorized Amounts
    A total of $137.4 million is authorized over five years to support 
public transportation in the Appalachian region.
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $26,807,258 
million is available. The total amount apportioned to the program is 
$26,849,056 as shown in the table below, after the addition of 
reapportioned funds.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
                     Appalachian Development Public
               Transportation Assistance Program--FY 2023
------------------------------------------------------------------------
Total FY 2023 Available.............................         $26,807,258
Reapportioned Funds.................................              41,798
                                                     -------------------
  Total Apportioned.................................          26,849,056
------------------------------------------------------------------------

3. Basis for Formula Apportionment
    FTA apportions the funds using percentages established under 
section 9.5(b) of the Appalachian Regional Commission Code (subtitle IV 
of title 40 U.S.C.). Allocations are 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. 
Allocations contain upper and lower limits in amounts determined by the 
Commission and are made in accordance with legislative instructions.
4. 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. Appalachian program funds that cannot be used for 
operating may 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 section can be found in chapter VII of FTA 
Circular 9040.1G, Formula Grants for Rural Areas: Program Guidance and 
Application Instructions, dated October 24, 2014.
5. Period of Availability
    Section 5311 Appalachian program funds are available for three 
years, which includes the year of apportionment plus two additional 
years, consistent with that established for the section 5311 program. 
Any FY 2023 apportioned funds that remain unobligated at the close of 
business on September 30, 2025, will revert to FTA for reapportionment 
under the Rural Areas program.

I. Formula Grants for Public Transportation on Indian Reservations 
Program (49 U.S.C. 5311(j))

    The Public Transportation on Indian Reservations Program or Tribal 
Transit Program (TTP) is funded as a takedown from the section 5311 
program. Eligible direct recipients are federally recognized American 
Indian Tribes and Alaskan Native Villages, groups and communities 
providing public transportation in rural areas. The TTP funds are 
allocated for grants to eligible recipients for any purpose eligible 
under section 5311, which includes capital, operating, planning, and 
job access and reverse commute projects. No local match is required for 
TTP formula funds.
    For more information about the Tribal Transit Program contact Elan 
Flippin-Jones, Office of Transit Programs at (202) 366-3800 or 
[email protected].
1. Authorized Funding
    A total of $229 million is authorized over five years, of which 
$183.2 million is for a formula program and $45.8 million is for a 
discretionary grant program.
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $35,743,011 is 
available for the Tribal Transit formula program. The total apportioned 
for the formula program is $36,413,211 after the addition of 
reapportioned funds.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
                     Public Transportation on Indian
              Reservations Program Formula Grants--FY 2023
------------------------------------------------------------------------
Total FY 2023 Appropriation Available...............         $35,743,011
Reapportioned Funds.................................             670,200
                                                     -------------------
  Total Apportioned.................................          36,413,211
------------------------------------------------------------------------


[[Page 23128]]

3. Basis for Formula Apportionment
    Funding is allocated by formula to eligible Indian Tribes providing 
public transportation on tribal lands in rural areas. 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 2016-2020 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 Tribal Lands (American Indian 
Areas, Alaska Native Areas, and Hawaiian Home Lands) on which more than 
1,000 low income individuals reside. If more than one Tribe provides 
public transportation services on Tribal Lands in a single Tribal 
Statistical area, and the tribes cannot determine how to allocate Tier 
3 funds, FTA will allocate the funds based on the relative portion of 
transit (as defined by unlinked passenger trips) operated by each 
Tribe, as reported to the National Transit Database.
4. 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.
    Section 5335 requires NTD reporting for all direct recipients and 
subrecipients 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 TTP formula apportionments. Tribes needing 
assistance with reporting to the NTD should contact the NTD Helpdesk: 
[email protected] or the Appian NTD Reporting Application Support line: 
(877) 561-7466.
    Additional program guidance for the TTP is found in FTA Circular 
9040.1G, Formula Grants for Rural Areas: Program Guidance and 
Application Instructions, dated October 24, 2014, and is supplemented 
by additional information and changes provided in this notice and that 
may be posted to FTA's Tribal Transit web page.
5. Period of Availability
    Funding under the TTP is available for three years, which includes 
the year of apportionment or allocation plus two additional years, 
consistent with that established for the section 5311 program. Any FY 
2023 formula funds that remain unobligated at the close of business on 
September 30, 2025, will revert to FTA for reapportionment under the 
TTP.
6. Other Program Highlights
    The funds set aside for the TTP 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 a State 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.
    TTP recipients must comply with all applicable Federal statutes, 
regulations, executive orders, FTA circulars, and other Federal 
requirements in carrying out the project supported by the FTA grant. 
FTA assists Tribes with understanding these requirements through Tribal 
Transit Technical Assistance Workshops, and the Tribal Transit 
Technical Assistance Assessments initiative. Through these assessments, 
FTA collaborates with Tribal Transit grantees to review processes and 
identify areas in need of improvement and then assist with solutions to 
address these needs--all in a supportive and mutually beneficial 
manner. Information about upcoming workshops and other technical 
assistance opportunities will be posted on the FTA website. FTA's 
Regional Tribal Transit Liaisons 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 website at: https://www.transit.dot.gov/funding/grants/federal-transit-administrations-regional-tribal-liaisons.
    The Tribal Transportation Self-Governance Program (TTSGP) was 
authorized by the FAST Act and is codified at 23 U.S.C. 207. Grant 
funding made available through the FTA formula or competitive TTP may 
be included in a Tribal Transportation Self-Governance funding 
agreement if there is an existing Self-Governance compact in place 
between the Tribe and the Department of Transportation. If funds are 
transferred to a Tribal Self-Governance funding agreement, the funds 
will be subject to the requirements and provisions of the Tribal 
Transportation Self-Governance Program regulation at 49 CFR part 29 and 
may be used only for the purpose for which they were awarded.
    For more information about the Tribal Transit Program, please 
contact Elan Flippin-Jones at [email protected] or (202)366-3800.

J. Public Transportation Innovation (49 U.S.C. 5312)

    FTA's innovative research program includes three distinct programs: 
(a) a Research, Development, Demonstration, Deployment, and Evaluation 
program (49 U.S.C. 5312(b)-(e)); (b) a Low or No Emission Vehicle 
Component Assessment Program (Lo-No CAP) (49 U.S.C. 5312(h)); and (c) a 
Transit Cooperative Research Program (TCRP) (49 U.S.C. 5312(i)).
    For more information about the Public Transportation Innovation 
program, contact Mary Leary, Office of Research, Demonstration and 
Innovation at (202) 366-4052 or [email protected].
1. Authorized Funding
    IIJA authorizes $192.8 million over five years.
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $32,789,262 is 
available for the Public Transportation Innovation program. The total 
amounts apportioned to each subcomponent of the program is shown below 
in the table.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
                Public Transportation Innovation--FY 2023
------------------------------------------------------------------------
Research, Development, Demonstration, Deployment,            $32,789,262
 and Evaluation.....................................
Low or No Emission Vehicle Component Testing........           5,104,455
Transit Cooperative Research Program (TCRP).........           6,716,026
                                                     -------------------
  Total Apportioned.................................          44,609,743
------------------------------------------------------------------------

3. Basis for Allocation of Funds
    Section 5312 funds are allocated according to the authorized 
purposes and amounts described above, and then remaining amounts are 
subject to discretionary allocations where not specifically authorized. 
For FY 2023, FTA intends to fund projects and activities in support of 
the FTA FY 2023 action plan in five major areas: safety, climate and 
resiliency, equity, economic strength, and transformation. The 
Consolidated Appropriations Act, 2023, included $7 million in Transit

[[Page 23129]]

Infrastructure Grants, including: $1 million for demonstration and 
deployment for innovation mobility solutions; $1 million for the 
accelerating innovative mobility initiative; and $5 million for 
technical assistance, research, demonstration, or deployment activities 
or projects to accelerate the adoption of zero emissions buses. 
Projects may be selected through competitive Notices of Funding 
Opportunity (NOFO), noncompetitive awards, and partnerships with other 
Federal entities through interagency agreements. Potential recipients 
can register to receive information on NOFOs that are released under 
this program on https://www.Grants.gov.
4. Eligible Expenses
    Eligible expenses include activities involving research; innovation 
and development; demonstration, deployment, and evaluation; accelerated 
implementation and deployment of advanced digital construction 
management systems; evaluation; low or no emission vehicle component 
testing and research; and the Transit Cooperative Research Program.
5. Requirements
    Generally, the Government share of the cost of a project carried 
out under section 5312 shall not exceed 80 percent, except if there is 
substantial public interest or benefit, FTA may approve a greater 
Federal share. The non-Government share of the cost of a project 
carried out under section 5312 may be derived from in-kind 
contributions. If FTA determines that there would be a clear and direct 
financial benefit to an entity under a grant, contract, cooperative 
agreement, or other agreement under this section, FTA shall establish a 
Government share of the costs of the project to be carried out under 
the grant, contract, cooperative agreement, or other agreement that is 
consistent with the benefit. However, for the Lo-No Component Testing 
Program, the Government share is 50 percent; the remaining 50 percent 
of the costs will be paid by amounts recovered through the fees 
established by the testing facilities. There is no match requirement 
for the TCRP.
    Application instructions and program management guidelines are set 
forth in FTA Circular 6100.1E, Technology Development and Deployment, 
``Research, Technical Assistance and Training Program: Application 
Instructions and Program Management Guidelines'' dated April 10, 2015. 
All research recipients are required to work with FTA to develop 
approved Statements of Work.
    Pursuant to the Small Business Innovation Development Act, a 
portion of the section 5312 funds must be set aside for the 
Department's Small Business Innovation Research program to address high 
priority research that will demonstrate innovative, economic, accurate, 
and durable technologies, devices, applications, or solutions to 
significantly improve current transit-related service including transit 
vehicle operation, safety, infrastructure and environmental 
sustainability, mobility, rider experience, or broadband communication.
6. Period of Availability
    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.

K. Technical Assistance and Workforce Development (49 U.S.C. 5314)

    The Technical Assistance and Workforce Development program, 49 
U.S.C. 5314, provides assistance to: (1) carry out technical assistance 
activities that enable more effective and efficient delivery of 
transportation services, foster compliance with Federal laws, and 
improve public transportation service; (2) develop standards and best 
practices for the transit industry; and (3) address public 
transportation workforce needs through research, outreach, training and 
the implementation of a frontline workforce grant program, and conduct 
training and educational programs in support of the public 
transportation industry.
    For more information about the Technical Assistance and Workforce 
Development program, contact Mary Leary, Office of Research, 
Demonstration, and Innovation at 202-366-4052 or [email protected].
1. Authorized Amounts
    IIJA authorizes $61.98 million over five years for technical 
assistance. Of this amount, $34.4 million is authorized for the 
National Transit Institute under section 5314(c).
2. FY 2023 Funding Availability
    In FY 2023, under the Consolidated Appropriations Act, 2023, 
$19,588,846 is available for the Technical Assistance and Workforce 
Development program, as shown in the table below. The total apportioned 
for the formula program is $12,872,820 after the deduction of $6.7 
million for National Transit Institute.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
         Technical Assistance and Workforce Development--FY 2022
------------------------------------------------------------------------
Technical Assistance, Standards Development & Human          $19,588,846
 Resource Training..................................
National Transit Institute..........................         (6,716,026)
                                                     -------------------
  Total Appropriated................................          12,872,820
------------------------------------------------------------------------

3. Basis for Allocation of Funds
    Under the appropriated amounts for section 5314, $6.7 million is 
available for the National Transit Institute (NTI) in FY 2023. The 
remaining $12.87 million of appropriated funds will be allocated in 
support of both FTA and USDOT strategic goals for technical assistance, 
standards development, and workforce development. Projects may be 
selected through Notices of Funding Opportunity (NOFO) or sole source 
cooperative agreements. Potential recipients can register to receive 
notification of NOFOs under this program on https://www.Grants.gov.
    Once selected, FTA enters into cooperative agreements, contracts, 
or other agreements to award funds and manage the projects carried out 
under this section.
4. Eligible Expenses
    Eligible expenses include activities involving (a) technical 
assistance; (b) standards development; and (c) human resources and 
training, which includes workforce development programs and activities 
as well as supportive services. Supportive services are wraparound 
services that help individuals, and especially those from 
underrepresented and underserved groups, enroll in and successfully 
complete training. For mor information on Supportive Services please go 
to: https://www.transit.dot.gov/funding/grants/federal-transit-administration-faqs-supportive-services.
    Eligible technical assistance activities may include activities to 
support: (a) compliance with the Americans with Disabilities Act (ADA); 
(b) compliance with coordinating planning and human services 
transportation; (c) meeting the transportation needs of elderly 
individuals; (d) increasing transit ridership in coordination with MPOs 
and other entities, particularly around transit-oriented development; 
(e) addressing transportation equity with regard to the effect that 
transportation planning, investment, and operations have for low-income 
and minority individuals; (f) facilitating best practices to promote 
bus driver safety; (g) compliance with Buy America and pre- and post-
award audits; (h) assisting with the development and deployment of low

[[Page 23130]]

and no emission vehicles or components for vehicles; (i) and other 
technical assistance activities that are necessary to advance the 
interests of public transportation.
    Eligible standards activities include the development of voluntary 
and consensus-based standards and best practices by the industry to 
include those needed for safety, fare collection, intelligent 
transportation systems, accessibility, procurement, security, asset 
management, operations, maintenance, vehicle propulsion, 
communications, and vehicle electronics.
    Eligible human resources and training activities include (a) 
employment training programs; (b) outreach programs to increase 
employment for veterans, females, individuals with disabilities, and 
minorities in public transportation activities; (c) research on public 
transportation personnel and training needs; (d) training and 
assistance for veteran and minority business opportunities; and (e) 
consensus-based national training standards and certifications in 
partnership with industry stakeholders. FTA funding directly allocated 
for these eligible purposes must be done through a competitive 
frontline workforce development program as required in the 
authorization. Should FTA allocate funds for these purposes, it will 
advertise the available funding in a Notice of Funding Opportunity 
(NOFO) on https://www.Grants.gov and on its website. FTA will be 
issuing additional guidance in the coming months on how recipients can 
utilize their formula funds in support of these eligible activities.
5. Requirements
    Generally, the Government's share of the cost of a project carried 
out using a grant under section 5314 shall not exceed 80 percent. 
However, for the human resources and training, including the Innovative 
Public Transportation Frontline Workforce Development Program, the 
Government's share cannot exceed 50 percent. The Federal share for 
other types of awards will be stated in the agreement. 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 the non-Federal share is an evaluation factor under a 
competitive selection process. There is no match requirement for the 
National Transit Institute.
    Application instructions and program management guidelines are set 
forth in FTA Circular 6100.1E, Research, Technical Assistance and 
Training Program: Application Instructions and Program Management 
Guidelines dated April 10, 2015.
    Under 49 U.S.C. 5314(b)(4), recipients may use no more than 0.5 
percent of their section 5307, 5337 and 5339 funds to support workforce 
development activities. In addition, 49 U.S.C. 5314(c)(4) allows 
recipients to use no more than 0.5 percent of their 5307, 5337, and 
5339 funds to attend NTI training. Both provisions allow recipients to 
use these funds to pay up to 80 percent of the cost of training.
6. Period of Availability
    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.
7. Other Program Highlights
    For more information about the NTI, contact Lisa Colbert, at the 
FTA Office of Research, Demonstration, and Innovation (TRI): 
[email protected] or call 202-366-9261.

L. 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. The Consolidated Appropriations Act, 2023 
(Pub. L. 117-328), appropriated $213,905,338 for FTA's Emergency Relief 
Program for transit systems affected by major declared disasters 
occurring in calendar years 2017, 2020, 2021, and 2022. Costs related 
to the COVID-19 pandemic are not eligible for this funding. After the 
administrative takedown of 0.75 percent, FTA announced a Notice of 
Availability of Emergency Relief Funding (NAERF), the availability of 
$212,301,048 in FY 2023.
    In the event of a publicly declared emergency or disaster, eligible 
expenses will 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. Additional 
information on eligible expenses and the process for applying for ER 
Program funding can be found in FTA's Emergency Relief Manual: A 
Reference Manual for States & Transit Agencies on Response and Recovery 
from Declared Disasters and FTA's Emergency Relief Program (49 U.S.C. 
5324), which was published on October 5, 2015.
    Recipients of FTA funding affected by a declared emergency or 
disaster are authorized to use funds apportioned under sections 5307 
and 5311 for emergency purposes. Recipients are advised that formula 
funds used for emergency purposes will not be replaced or restored with 
funding available through FTA under the ER Program or by the Federal 
Emergency Management Agency (FEMA).
    In the event of a disaster affecting a public transportation 
system, the affected recipient should contact their FTA Regional Office 
as soon as practicable to determine whether Emergency Relief funds are 
available, and to notify FTA that it plans to seek reimbursement for 
emergency operations 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 
recipient has not received reimbursement from FEMA may later be 
reimbursed by grants made either from section 5324 funding (if 
appropriated) or sections 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.
    In addition, before receiving a grant under this section following 
an emergency, the recipient shall: (1) submit documentation 
demonstrating proof of insurance required under Federal law for all 
structures related to the grant application; and (2) certify that the 
recipient has insurance required under State law for all structures 
related to the grant application.
    Additional information about the Emergency Relief program is 
available on the FTA website at https://www.transit.dot.gov/funding/grant-programs/emergency-relief-program.
    For more information, contact Tom Wilson, Office of Program 
Management, at 202-366-5279 or [email protected].

M. Public Transportation Safety Program (49 U.S.C. 5329)

    Section 5329(e)(6) 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 49 U.S.C. 5329. For more information,

[[Page 23131]]

contact Maria Wright, Office of Safety Review at (202) 366-5922 or 
[email protected].
1. Authorized Amounts
    A total of $251.6 million is authorized over five years for the 
State Safety Oversight Program.
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $49,066,231 is 
available for the State Safety Oversight (SSO) Formula program. The 
total apportioned for the formula program is $50,416,539 after the 
addition of reapportioned funds, as shown in the table below.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
              Public Transportation Safety Program--FY 2023
------------------------------------------------------------------------
Total Appropriation.................................         $49,066,231
Reapportioned Funds.................................           1,350,308
                                                     -------------------
  Total Apportioned.................................          50,416,539
------------------------------------------------------------------------

3. Basis for Formula Apportionment
    FTA will continue to allocate funds to the States by an 
administrative formula, which is detailed in the Federal Register 
notice which apportioned the initial SSO Formula Grant Program funds 
(79 FR 13380). Grant funds for the SSO program are apportioned to 
eligible States using a three-tier formula based on statutory 
requirements, which apportion 60 percent of available funds based on 
rail transit system vehicle passenger miles (PMT), vehicle revenue 
miles (VRM), and directional route miles (DRM), 20 percent of available 
funds equally to each eligible State, and 20 percent based on the 
number of rail transit systems.
4. Requirements
    FTA requires each applicant to demonstrate in its grant application 
that its proposed grant activities will develop, lead to, or carry out 
a State Safety Oversight program 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. Please 
see the Federal Register notice (79 FR 13380) for more information.
    IIJA enhances State safety oversight programs by strengthening rail 
inspection practices by providing state safety oversight agencies 
authority to collect and analyze data and conduct risk-based 
inspections of rail fixed guideway transportation systems. Recipients 
may also use funds in support of the development and implementation of 
transmission-based train control systems that enforce train speed 
regulation and ensure train separation and collision avoidance. FTA 
continues to be authorized to issue restrictions and prohibitions to 
address unsafe conditions or practices, and to withhold funds for non-
compliance with safety requirements.
5. Period of Availability
    SSO Formula Grant Program funds are available for the year of 
apportionment plus two additional years. Any FY 2023 funds that remain 
unobligated as of September 30, 2025, will revert to FTA for 
reapportionment under the SSO Formula Grant Program.

N. State of Good Repair Program (49 U.S.C. 5337)

    The State of Good Repair (SGR) program provides capital assistance 
for maintenance, replacement, and rehabilitation projects of existing 
high intensity fixed guideway and high intensity motorbus systems to 
maintain a state of good repair. Additionally, SGR grants are eligible 
for developing and implementing Transit Asset Management plans. This 
program provides funding for the following fixed guideway 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 ferry, 
and bus rapid transit. Fixed-route bus capital projects for services 
operating on high-occupancy-vehicle (HOV) facilities are also funded 
through the High Intensity Motorbus tier of this program. Of the amount 
authorized for section 5337 each year, $300 million is set aside for 
the competitive Rail Vehicle Replacement Program.
    FTA published the State of Good Repair program guidance, FTA 
Circular 5300.1, State of Good Repair Grants Program: Guidance and 
Application Instructions, on January 28, 2015.
    For more information about the SGR program, contact Donna Iken, 
Office of Transit Programs, at (202) 366-0876 or [email protected].
1. Authorized Amounts
    IIJA authorized $18.39 billion over five years for the State of 
Good Repair program, including $1.5 billion for the Rail Vehicle 
Replacement Program, and provided an additional $4.75 billion in 
advance appropriations.
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $4,537,778,037 is 
available for the State of Good Repair Program. The total amount 
apportioned is $4,183,665,069 after the deductions for oversight and 
transfers to OIG, the set-aside for the rail vehicle replacement 
program, and the addition of reapportioned funds as shown in the table 
below. Of the total amount apportioned, $4,063,735,620 is apportioned 
to the High Intensity Fixed Guideway Formula and $119,929,449 is 
apportioned to the High Intensity Motorbus Formula.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
              State of Good Repair Formula Program--FY 2023
------------------------------------------------------------------------
Total Appropriation.................................      $4,537,778,037
Oversight Deductions................................        (54,782,780)
Transfer to OIG.....................................            (95,000)
Reapportioned Funds.................................             764,812
FY 2023 Rail Replacement Competitive Grant..........       (300,000,000)
                                                     -------------------
    Total Available to Apportion....................       4,183,665,069
    Total Apportioned to High Intensity Fixed              4,063,735,620
     Guideway Formula...............................
  Total Apportioned to High Intensity Motorbus               119,929,449
   Formula..........................................
------------------------------------------------------------------------

3. Basis for Formula Apportionment
    FTA allocates State of Good Repair program funds according to a 
statutory formula. Funds are apportioned to urbanized areas with high 
intensity fixed guideway and high intensity motorbus systems that have 
been in operation for at least seven years. This means that only 
segments of high intensity fixed guideway and motorbus systems that 
entered into revenue service on or before September 30, 2015, are 
included in the formula, as identified in the NTD.
    The law requires that 97.15 percent of the total amount authorized 
for the State of Good Repair program be apportioned to urbanized areas 
with ``High Intensity Fixed Guideway'' systems. The apportionments to 
urbanized areas with ``High Intensity Fixed Guideway'' systems are 
determined by two equal elements: (1) the proportion of the amount an 
urbanized area would have received in FY 2011 to the total amount 
apportioned to all urbanized areas in FY 2011 using new fixed guideway 
definition; and (2) the proportion of vehicle revenue miles of an 
urbanized area to the total vehicle revenue miles of all urbanized 
areas and the proportion of directional route miles of an urbanized 
area to the total directional route miles of all urbanized areas. High 
Intensity Motorbus systems will receive the remaining 2.85 percent of 
the total amount authorized for the State of Good

[[Page 23132]]

Repair program, and the apportionments to urbanized areas are based on 
vehicle revenue miles and directional route miles.
    Vehicle revenue miles and directional route miles attributable to 
an urbanized area must be placed in revenue service at least 7 years 
before the first day of the fiscal year. A threshold level of more than 
one mile of high intensity fixed guideway is required in order to 
receive State of Good Repair funds. Therefore, urbanized areas 
reporting one mile or less of fixed guideway mileage under the NTD are 
not included. FTA will apportion funds to designated recipients in the 
UZAs (see section IV.C. of this notice for more information about 
designated recipients; FTA will apportion section 5337 funds to the 
section 5307 designated recipient for the UZA) with high intensity 
fixed guideway and/or high intensity motorbus systems operating at 
least 7 years. The designated recipients will then allocate funds as 
appropriate to recipients that are public entities in the urbanized 
areas and provide split letters to FTA. FTA can make grants to direct 
recipients after sub-allocation of funds.
4. Eligible Expenses
    Eligible activities include projects that maintain, rehabilitate, 
and replace transit assets, as well as projects that implement Transit 
Asset Management plans. Additionally, training and workforce 
activities, including supportive services, authorized under 49 U.S.C. 
5314(b) and (c) are eligible for the State of Good Repair funds; funds 
for such activities are limited to 1 percent of the total amount 
apportioned to the recipient (0.5 percent for each of the authorized 
activities). See section IV.K. of this notice for more information on 
workforce development activities.
5. Requirements
    In addition to the program guidance found in the Circular, all 
recipients will need to certify that they will comply with the rule 
issued under section 5326 for the Transit Asset Management plan, 49 CFR 
part 625, and SGR projects will need to be included in recipients' 
Transit Asset Management plans.
6. Period of Availability
    The State of Good Repair Program funds apportioned in this notice 
are available for obligation during FY 2023 plus three additional 
years. Accordingly, funds apportioned in FY 2023 must be obligated in 
grants by September 30, 2026. Any FY 2023 apportioned funds that remain 
unobligated at the close of business on September 30, 2026, will revert 
to FTA for reapportionment under the State of Good Repair Program.

O. Grants for Buses and Bus Facilities Program (49 U.S.C. 5339)

    The section 5339 program provides funding to replace, rehabilitate, 
and purchase buses and related equipment as well as construct bus-
related facilities.
    Additional guidance on the section 5339(a) formula program can be 
found in FTA Circular 5100.1, Bus and Bus Facilities Program: Guidance 
and Application Instructions, which was published on May 18, 2015. 
Information on the section 5339(b) Buses and Bus Facilities Competitive 
Grant Program and the section 5339(c) Low or No Emission Vehicle 
Program was published in a Notice of Funding Opportunity on January 27, 
2023.
    For more information about the Low or No Emission Vehicle Program 
and the Buses and Bus Facilities program, contact Margaretta Veltri, 
Office of Transit Programs at (202) 366-5094 or 
[email protected].
1. Authorized Amounts
    IIJA authorized a total of $5.5 billion to be appropriated over 
five years for the Section 5339 Program. IIJA provided an additional 
$5.25 billion over five years in advance appropriations for the Section 
5339(c) Low or No Emission Program.
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $2,213,211,810 is 
available for Grants for Buses and Bus Facilities. Of this amount: 
$613,179,354 is available for the Formula Grants for Buses and Bus 
Facilities Program after the deduction for oversight and the addition 
of reapportioned funds; $469,445,424 is available for the Competitive 
Grants for Buses and Bus Facilities Program after the takedowns for 
oversight and the Low or No Emission grants; and $1,151,681,178 
(including advance appropriations) is available for the Low or No 
Emission Competitive Grants Program after the takedowns for oversight 
and transfer to the OIG. These amounts are detailed in the table below.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
           5339(a) Formula Grants for Buses and Bus Facilities
------------------------------------------------------------------------
Total FY 2023 Appropriation Available...............        $616,610,699
Oversight Deduction.................................         (4,624,580)
Reapportioned Funds.................................           1,193,235
                                                     -------------------
    Total Apportioned...............................         613,179,354
------------------------------------------------------------------------
     Section 5339(b) Competitive Grants for Buses and Bus Facilities
------------------------------------------------------------------------
Total FY 2023 Appropriation Available...............         546,601,111
Oversight Deduction.................................         (4,099,509)
Less Section 5339(c) Low or No Emission Grants              (73,056,178)
 (Competitive)......................................
                                                     -------------------
    Total Apportioned...............................         469,445,424
------------------------------------------------------------------------
         Section 5339(c) Low or No Emission Grants (Competitive)
------------------------------------------------------------------------
Total FY 2023 Available.............................       1,173,056,178
Less FY 2023 Oversight and Admin....................        (21,270,000)
Less FY 2023 Transfer to OIG........................           (105,000)
                                                     -------------------
  Total Available for Allocation....................       1,151,681,178
------------------------------------------------------------------------

3. Basis for Allocation
    Section 5339(a) Buses and Bus Facilities formula program funds are 
apportioned to States, territories, and designated recipients based on 
a statutory formula. Under the national distribution, each State is 
allocated $4 million, and each territory is allocated $1 million, for 
use anywhere in the State or territory. The remainder of the available 
funding is then apportioned for UZAs based on population, vehicle 
revenue miles and passenger miles using the same apportionment formula 
and allocation process as section 5307. Funds for UZAs under 200,000 in 
population are apportioned to the State through a section 5339(a) 
Governor's apportionment for allocation to eligible recipients within 
such areas of the State at the Governor's discretion. Funds for UZAs 
with populations of 200,000 or more are apportioned directly to one or 
more designated recipients within each UZA for allocation to eligible 
projects and recipients within the UZA.
4. Eligible Expenses
    Eligible capital projects under the Buses and Bus Facilities 
formula program (section 5339(a)) continue to include projects to 
replace, rehabilitate, and purchase buses and related equipment, and 
projects to construct bus-related facilities. Recipients may use up to 
one-half of one percent of their section 5339 funds to support 
workforce development activities, including supportive services, at an 
80 percent Federal share; the eligible workforce development activities 
are defined in section 5314; see section IV.K. of this notice for more 
information. This provision is in addition to the one-half of one 
percent that recipients may use for training

[[Page 23133]]

activities with the National Transit Institute.
5. Requirements
    Eligible recipients of the Buses and Bus Facilities formula program 
(section 5339(a)) include designated recipients that operate fixed 
route bus service or that allocate funding to fixed route bus 
operators; and State or local governmental entities that operate fixed 
route bus service that are eligible to receive direct grants under the 
Urbanized Area Formula (section 5307) and Rural Formula (section 5311) 
programs. Eligible subrecipients continue to 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.
    The requirements of section 5307 apply to recipients of section 
5339 funds within an urbanized area. The requirements of section 5311 
apply to recipients of section 5339 funds within rural areas. For 
additional program requirements, refer to FTA Circular 5100.1, Bus and 
Bus Facilities Program: Guidance and Application Instructions.
6. Period of Availability
    The Buses and Bus Facilities Formula Program funds apportioned in 
this notice are available for obligation during FY 2023 plus three 
additional years. Accordingly, funds apportioned in FY 2023 must be 
obligated in grants by September 30, 2026. Any FY 2023 apportioned 
funds that remain unobligated at the close of business on September 30, 
2026, will revert to FTA for reapportionment under the Buses and Bus 
Facilities Formula Program.
    Discretionary program funds authorized under section 5339(b) and 
(c) (Bus and Low No, respectively) follow the same period of 
availability: year of allocation to a project plus three additional 
years.

P. Growing States and High-Density States Formula Factors (49 U.S.C. 
5340)

    IIJA continues the use of formula factors to distribute additional 
funds to the section 5307 and section 5311 programs for Growing States 
and High-Density States. FTA will continue to publish single urbanized 
and rural apportionments that show the total amount for section 5307 
and 5311 programs that includes section 5340 apportionments for these 
programs.
a. Authorized Amounts
    IIJA authorized $3.879 billion over five years for the Growing 
States and High-Density States Formula factors.
FY 2023 Funding Availability
    In FY 2023, $756,523,955 is authorized and appropriated for 
apportionment in accordance with the formula factors prescribed for 
Growing States and High-Density States set forth in section 5340 for FY 
2023.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
     Growing States and High-Density States Formula Factors--FY 2023
------------------------------------------------------------------------
5340 High Density States............................        $355,566,259
5340 Growing States.................................         400,957,696
                                                     -------------------
  Total Apportioned.................................         756,523,955
------------------------------------------------------------------------

b. Basis for Formula Apportionment
    Under the Growing States portion of the section 5340 formula, 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 urbanized area allocation and a non-urbanized 
area allocation on the basis of the percentage of each State's 2010 
Census population that resides in urbanized and non-urbanized areas. 
Urbanized areas receive portions of their State's urbanized area 
allocation on the basis of the 2010 Census population in that urbanized 
area relative to the total 2010 Census population in all urbanized 
areas in the State. These amounts are added to the Urbanized Area'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 High-Density States portion of the section 5340 formula are 
allocated to urbanized areas 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 in FY 2023 are Maryland, 
Delaware, Massachusetts, Connecticut, Rhode Island, New York and New 
Jersey. 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 
urbanized areas within the States on the basis of an individual 
urbanized area's population relative to the population of all urbanized 
areas in that State.

Q. Washington Metropolitan Area Transit Authority Grants

1. Authorized Amounts
    Section 601(f) of the Passenger Rail Investment and Improvement Act 
of 2008, as amended by IIJA, authorized $150 million per year for each 
of fiscal years of 2022 through 2030 for capital and preventive 
maintenance grants to the Washington Metropolitan Area Transit 
Authority (WMATA).
2. FY 2023 Funding Availability
    Under the Consolidated Appropriations Act, 2023, $150,000,000 is 
available. The total amount available is $148,500,000 after the 
deduction for oversight as shown in the table below.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
     Washington Metropolitan Area Transit Authority Grants--FY 2023
------------------------------------------------------------------------
Total Appropriation.................................        $150,000,000
Oversight Deduction.................................         (1,500,000)
                                                     -------------------
  Total Apportioned.................................         148,500,000
------------------------------------------------------------------------

3. Period of Availability
    Funds appropriated for WMATA under the Consolidated Appropriations 
Act, 2023, shall remain available until expended.
    For more information about WMATA grants, contact Kevin Osborn, 
Office of Transit Programs, at (202) 366-7519 or [email protected].

R. Transit Infrastructure Grants--Community Project Funding/
Congressionally Directed Spending

    For more information about Community Project Funding grants, 
contact Amy Volz, Office of Transit Programs, at (202) 366-7484 or 
[email protected].
1. Appropriated Amounts
    The Consolidated Appropriations Act, 2023, appropriated 
$360,459,324 for Community Project Funding/Congressionally Directed 
Spending for 125 projects in 31 States, identified in the accompanying 
Joint Explanatory Statement. Table 20 identifies the recipient, 
project, amount and a project ID that will be used to identify the 
project in TrAMS.

------------------------------------------------------------------------
 
------------------------------------------------------------------------
  Community Project Funding/Congressionally Directed Spending--FY 2023
------------------------------------------------------------------------
  Total Appropriated................................        $360,459,324
------------------------------------------------------------------------


[[Page 23134]]

2. Period of Availability
    Funds remain available until expended. Recipients are, however, 
encouraged to apply for these funds by the end of FY 2026. First time 
grant recipients should contact the relevant Regional Office for 
assistance to initiate steps to become a FTA recipient.
3. Requirements
    As the Consolidated Appropriations Act, 2023 specifies that funds 
are available for projects and activities eligible under chapter 53, 
generally applicable chapter 53 requirements apply to these funds, 
including the planning requirements of sections 5303 and 5304; bus 
testing requirements of section 5318; general provision requirements of 
section 5323 (such as Buy America compliance); contract requirements of 
section 5325; project management requirements of section 5327; 
nondiscrimination requirements of section 5332; disposition 
requirements of section 5334; and applicability of FTA oversight of 
section 5338, as well as the National Environmental Policy Act (NEPA) 
and related requirements.
    Unlike in FY 2022, Community Project Funding/Congressionally 
Directed Spending projects funded by the Consolidated Appropriations 
Act, 2023 will receive a maximum Federal share of 80 percent of the net 
costs of the project. Non-Federal match of 20 percent is required for 
these funds.
    Upon written request by the recipient named in table 20 and a 
proposed pass-through recipient, FTA may approve another entity to act 
as the direct recipient of the funding and the named recipient may 
serve as a subrecipient. Pre-award authority is provided consistent 
with the requirements for FTA's formula funds as of the date all 
necessary requirements were met (see section V, below.) However, before 
incurring costs, recipients 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 before 
incurring pre-award costs.

V. FTA Policy and Procedures for FY 2023 Grants

A. Automatic Pre-Award Authority To Incur Project Costs

1. Caution to New Recipients
    While FTA provides pre-award authority to incur expenses before 
grant award for formula programs, it recommends that first-time grant 
recipients not utilize this automatic pre-award authority without 
verifying with the appropriate FTA Regional Office that all pre-
requisite requirements have been met. Commonly, a new recipient may 
misunderstand pre-award authority conditions and be unaware of all 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 recipient 
may be familiar. If costs are incurred 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 recipients to incur certain project costs before grant 
approval and retain the eligibility of those costs for subsequent 
reimbursement after grant approval. The recipient assumes all risk and 
is responsible for ensuring that all conditions are met to retain 
eligibility. This pre-award spending authority permits an eligible 
recipient 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 continues to provide pre-award authority through the 
authorization period of IIJA (October 1, 2022, through September 30, 
2026) for capital assistance under all formula programs, so long as the 
conditions described below are met. Pre-award authority is indicated in 
the application. The actual items of cost associated with the use of 
pre-award authority are documented in the initial Federal Financial 
Report (FFR) that is required to be completed prior to the recipient 
executing the award. FTA provides pre-award authority for planning and 
operating assistance under the formula programs without regard to the 
period of the authorization. For projects funded by competitive 
programs, pre-award authority may be granted at the time of project 
selection unless otherwise noted. All pre-award authority is subject to 
conditions and triggers stated below:
a. 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. Recipients may be reimbursed for expenses incurred 
before grant award so long as funds have been expended in accordance 
with all Federal requirements, costs would have been allowable if 
incurred after the date of award, and the recipient is otherwise 
eligible to receive the funding. In addition to cross-cutting Federal 
grant requirements, program specific requirements must be met. 
Designated recipients of section 5310 funds have pre-award authority 
for the ten percent of the apportionment for program administration.
b. Transit Capital Projects
    For transit capital projects, the date that costs may be incurred 
varies depending on the type of activity and its potential to have a 
significant impact on the human and natural environment as described in 
section 3., Conditions, below.
c. Public Transportation Innovation, Technical Assistance and Workforce 
Development
    Unless provided for in an announcement of project selections, pre-
award authority does not apply to section 5312 Public Transportation 
Innovation projects or section 5314 Technical Assistance and Workforce 
Development projects. Before an applicant may incur costs for 
activities under these programs, it must first obtain a written Letter 
of No Prejudice (LONP) from FTA.
    For more information, contact Lisa Colbert, at the FTA Office of 
Research, Demonstration, and Innovation (TRI): [email protected] or 
call 202-366-9261.
3. Conditions
    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 recipient that prejudices the 
legal and administrative findings that FTA must make in order to 
approve a project.

[[Page 23135]]

    iv. Local funds expended by the recipient 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 recipient 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 the 
undertaking of certain activities that would compromise FTA's ability 
to comply with Federal environmental laws (e.g., project implementation 
activities such as land acquisition, demolition, or construction before 
the date of pre-award authority) may render the project ineligible for 
FTA funding.
    v. The Federal amount of any future FTA assistance awarded to the 
recipient 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 
grant and the Federal Financial Report in TrAMS must indicate the use 
of pre-award authority and an initial Federal Financial Report must be 
submitted in TrAMS to associate those costs with the award.
    viii. Environmental Requirements--All Federal grant requirements 
must be met at the appropriate time for the project to remain eligible 
for Federal funding. Designated recipients may incur costs for design 
and environmental review activities for all formula funded projects 
from the date of the authorization of the formula funds or for 
discretionary funded projects other than those funded by the Capital 
Investment Grants (CIG) program from the date of the announcement of 
the competitive allocation of funds for the project.
    For projects that qualify for a categorical exclusion (CE) pursuant 
to 23 CFR 771.118(c), designated recipients may start activities and 
incur costs under pre-award authority for property acquisition, 
demolition, construction, and acquisition of vehicles, equipment, or 
construction materials from the date of the authorization of formula 
funds or the date of the announcement of competitive allocations for 
the project.
    FTA recommends that a grant applicant considering a CE pursuant to 
23 CFR 771.118(c) contact the appropriate FTA Regional Office for 
assistance in determining the proper environmental review process, 
including other applicable environmental laws, and level of 
documentation necessary before incurring the above-mentioned costs. 
This applies especially when the grant applicant believes a c-list CE 
with construction activities, such as 23 CFR 771.118(c)(8), (9), (10), 
(12), or (13), applies to its project or if a grant applicant intends 
to acquire property through the use of pre-award authority. If FTA 
subsequently finds that a project does not qualify for a CE under 23 
CFR 771.118(c) and the sponsor has already undertaken activities under 
pre-award authority that are only allowable for projects that qualify 
for a CE under 23 CFR 771.118(c), the project will be ineligible for 
FTA assistance.
    For all other non-CIG projects that do not qualify for a CE under 
23 CFR 771.118(c), grant applicants may take action and incur costs for 
property acquisition, demolition, construction, and acquisition of 
vehicles, equipment, or construction materials from the date that FTA 
completes the environmental review process required by NEPA and its 
implementing regulations, 23 U.S.C. 139, and other environmental laws, 
by its issuance of a 23 CFR 771.118(d) CE determination, a finding of 
no significant impact (FONSI), a combined final environmental impact 
statement (FEIS)/record of decision (ROD), or a ROD.
    ix. Planning and other requirements--Formula funds must be 
authorized, or appropriated, and competitive project allocations 
published or announced before pre-award authority can be considered.
    The requirements that a capital project be included in a locally 
adopted Metropolitan Transportation Plan, the Metropolitan 
Transportation Improvement Program, and the federally approved 
Statewide Transportation Improvement Program (23 CFR part 450) must be 
satisfied before the recipient may advance the project beyond planning 
and preliminary design with non-Federal funds under pre-award 
authority. 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 a planning project to have pre-award authority, the 
planning project must be included in an MPO-approved UPWP that has been 
coordinated with the State.
    x. Federal procurement procedures, as well as the whole range of 
applicable Federal requirements (e.g., Buy America, Davis-Bacon Act, 
and Disadvantaged Business Enterprise), 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, the administrative flexibility requires a 
recipient to make certain that no Federal requirements are 
circumvented.
    xi. All program specific requirements must be met. For example, 
projects under section 5310 must comply with specific program 
requirements, including coordinated planning.
    Before incurring costs, recipients 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.
4. Pre-Award Authority for the Fixed Guideway Capital Investment Grants 
Program
    Projects proposed for section 5309 Capital Investment Grant (CIG) 
program funds are required to follow a multi-step, multi-year 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 enters PD, FTA 
extends pre-award authority at that time 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 with a Record of Decision (ROD), Finding 
of No Significant Impact (FONSI), or Categorical Exclusion (CE) 
determination by FTA for a New Starts, Small Starts, or Core Capacity 
Improvement project, FTA extends pre-award authority to project 
sponsors to incur costs for as much engineering and design as needed to 
develop a reasonable cost estimate and financial

[[Page 23136]]

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).
    For Small Starts projects, upon completion of the environmental 
review process and confirmation from FTA that the overall project 
rating is at least a Medium, FTA extends pre-award authority for 
vehicle purchases. 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 vehicle 
purchases as well as any remaining engineering and design, demolition, 
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 appropriate 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 recipients 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 regard 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 and procurement of long lead items. Instead, this work must 
await receipt of a construction grant award or an expedited grant 
agreement.
a. Real Property Acquisition
    FTA extends pre-award authority for the acquisition of real 
property and real property rights for CIG 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 a combined FEIS/ROD, ROD, FONSI or makes a CE determination. 
With the limitations and caveats described below, real estate 
acquisition may commence, at the project sponsor's risk. To maintain 
eligibility for a possible future FTA grant award, 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 documented in the draft 
environmental impact statement (DEIS), 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--namely when a 
building that has been acquired, has been vacated and awaits demolition 
poses a potential fire safety hazard or other hazard to the community 
in which it is located or is susceptible to reoccupation by 
unauthorized occupants. 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 771.118(d)(3). 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). 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 the Tier-1 ROD or FONSI signed by 
FTA 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 
for displaced persons and businesses in accordance with the 
requirements of the URA.
b. 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 does not generally award Federal 
funding for these activities conducted under pre-award authority until 
the project receives a CIG program construction grant. This is to 
ensure that Federal funds are not risked on a project whose advancement 
into construction is not yet assured.
c. 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, to determine 
whether there are significant environmental impacts or confirmation 
that a CE applies. FTA's regulation titled ``Environmental Impact and 
Related Procedures,'' at 23 CFR part 771 states that the costs incurred 
by a grant applicant for the preparation of environmental documents 
requested by FTA are eligible for FTA financial assistance (23 CFR 
771.105(f)). 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) that includes the project; 
or (2) the date that FTA approves the project into the project 
development phase of the CIG program. The grant applicant must notify 
the appropriate FTA Regional Office upon initiation of the Federal 
environmental review process consistent with 23 CFR 771.111. NEPA-
related activities include, but are not limited to, public involvement 
activities, historic preservation reviews, section 4(f) evaluations, 
wetlands evaluations, and endangered species consultations. This pre-
award authority

[[Page 23137]]

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) or the flexible highway 
programs (e.g., Surface Transportation Program or Congestion Mitigation 
and Air Quality Improvement Program). Reimbursement from the section 
5309 CIG program for NEPA activities conducted under pre-award 
authority is provided only for expenses incurred after entry into the 
project development phase and only once a construction grant agreement 
is signed. FTA reimbursement for costs incurred is not guaranteed and 
recipients may not start activities and incur costs under pre-award 
authority for property acquisition, demolition, construction, and 
acquisition of vehicles, equipment, or construction materials until the 
environmental review process is complete.
    For more information about FTA's National Environmental Policy Act 
(NEPA) activities, contact Megan Blum, Office of Environmental 
Programs, at (202) 366-0463 or [email protected].
d. Other CIG Project Activities Requiring Letter of No Prejudice (LONP)
    Except as discussed in paragraphs i through iii above, a CIG 
project sponsor must obtain a written LONP from FTA before incurring 
costs for any activity not covered by pre-award authority. 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 C. Letter of No Prejudice (LONP) Policy, below.
    For more information about the Fixed Guideway Capital Investment 
Grants program, including LONP policy, real property acquisition, and 
reimbursement of costs incurred under Pre-Award Authority, contact 
Elizabeth Day, Office of Capital Project Development, at (202) 366-5159 
or [email protected].
e. Pre-Award Authority for the Expedited Project Delivery (EPD) Pilot 
Program
    The EPD Pilot Program, as authorized by section 3005(b) of the 
Fixing America's Surface Transportation Act (FAST Act), is aimed at 
expediting delivery of new fixed guideway capital projects, small 
starts projects, or core capacity improvement projects. Section 3005(b) 
requires FTA to notify Congress and the applicant, in writing, within 
120 days after the receipt of a complete application, on the decision 
of project selection. FTA will extend pre-award authority for all 
eligible project costs at the time it is announced that a project has 
been selected. There is no pre-award authority provided until a project 
selection announcement is made, and costs incurred prior to project 
selection are not eligible. Letters of No Prejudice will not be 
provided for the EPD Pilot Program, as all eligible costs are covered 
by pre-award authority at the time of project selection.
    Although FTA provides pre-award authority for eligible project 
costs, FTA does not award Federal funding for activities conducted 
under pre-award authority until the project receives an EPD Pilot 
Program construction grant. This is to ensure that Federal funds are 
not risked on a project whose advancement into construction is not yet 
assured. To maintain eligibility for a possible future FTA grant award, 
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.
    For more information about the Expedited Project Delivery Pilot 
Program, contact Elizabeth Day, Office of Capital Project Development, 
at (202) 366-5159 or [email protected].

B. FY 2023 Annual List of Certifications and Assurances

    Section 5323(n) requires FTA to publish annually a list of all 
certifications required under Chapter 53 concurrently with the 
publication of this annual apportionment notice. The FY 2023 version of 
FTA's Certifications and Assurances is available on FTA's website at 
https://www.transit.dot.gov/funding/grantee-resources/certifications-and-assurances/certifications-assurances.
    FTA cannot make an award or an amendment to an award unless the 
recipient has executed the latest version of FTA's Certifications and 
Assurances. FTA encourages recipients of formula funding to execute the 
FY 2023 Certifications and Assurances electronically in TrAMS within 90 
days of this notice, to prevent delays.

C. 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 CIG program 
projects undertaking activities not covered under automatic pre-award 
authority. LONPs may be issued for formula funds beyond the life of the 
current authorization or FTA's extension of automatic pre-award 
authority; however, the LONP is limited to a five-year period, unless 
otherwise authorized in the LONP, or otherwise extended. Receipt of 
Federal funding under any program is not implied or guaranteed by an 
LONP.
2. Conditions and Federal Requirements
    The conditions and requirements for pre-award authority specified 
in section V.4.ii and V.4.iii above apply to all LONPs for the CIG 
program. 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 combined FEIS/ROD, 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 written 
approval from FTA. FTA approval of an LONP is determined on a case-by-
case basis. Federal funding under the CIG program is not implied or 
guaranteed by an LONP. Specifically, when requesting an LONP, the 
applicant shall provide the following items:
    a. Description of the activities to be covered by the LONP.
    b. Justification for advancing the identified activities. The 
justification should include an accurate assessment of the consequences 
to the project scope, schedule, and budget should the LONP not be 
approved.
    c. Allocated level of risk and contingency for the activity 
requested.

[[Page 23138]]

D. Civil Rights Requirements

    Recipients must ensure their programs and services operate in a 
nondiscriminatory manner and fulfill reporting requirements to document 
their civil rights compliance as a condition to receiving Federal 
funds.
    Americans With Disabilities Act (ADA) of 1990: Recipients must 
carry out provisions of the ADA, related provisions in section 504 of 
the Rehabilitation Act of 1973, as amended, and the Department of 
Transportation's implementing regulations at 49 CFR parts 27, 37, 38, 
and 39. FTA's ADA Circular 4710.1, Americans With Disabilities Act 
Guidance, provides guidance for implementing the regulatory 
requirements of the ADA. As public entities, recipients may also be 
subject to Department of Justice regulations implementing Title II of 
the ADA (28 CFR part 35); in addition, as employers, recipients may be 
subject to Equal Employment Opportunity Commission regulations 
implementing the employment titles of the ADA (29 CFR part 1630).
    In addition, recipients must regularly prepare and submit in TrAMS 
civil rights program plans and reports to establish and demonstrate 
compliance and document policies and practices in the following areas:
    Title VI of the Civil Rights Act of 1964: The Department of 
Transportation's title VI implementing regulations are found in 49 CFR 
part 21. FTA's Title VI Circular 4702.1B, Title VI Requirements and 
Guidelines for Federal Transit Administration Recipients, provides 
guidance for carrying out the regulatory requirements and outlines the 
Title VI program requirements and timeline for submitting updates.
    Disadvantaged Business Enterprise (DBE) program: The Department of 
Transportation's DBE implementing regulations are found in 49 CFR part 
26 and set forth requirements for implementing the DBE program in good 
faith and developing and reporting on the triennial DBE goal.
    Title VII of the Civil Rights Act of 1964, Equal Employment 
Opportunity (EEO): The Department of Transportation's EEO implementing 
regulations are found in 49 CFR part 21. FTA's EEO Circular 4704.1A 
Equal Employment Opportunity (EEO) Act Guidance, provides guidance for 
carrying out the regulatory requirements and outlines the EEO program 
submission process.
    Recipients are expected to maintain current civil rights program 
plans and submit required reports in TrAMS. Recipients with past due or 
expired programs are ineligible for new funding awards and may be 
subject to other remedies or sanctions at FTA's discretion.
    While not new requirements, recipients are specifically reminded of 
the following:
     Recipients awarding more than $250,000 in FTA-funded 
contracts must comply with the Disadvantaged Business Enterprise (DBE) 
regulations, including by implementing a DBE program that creates a 
level playing field for DBEs to compete on FTA-funded projects. The 
recipient must conduct outreach to and consultation with small 
businesses, women-owned businesses, and minority-owned businesses; 
apply DBE goals as needed when exercising pre-award authority; and 
verify the DBE compliance of transit vehicle manufacturers before 
purchasing transit vehicles.
     Recipients in urbanized areas of 200,000 or more in 
population and with 50 or more fixed-route vehicles in peak service 
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. Those 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. When a full equity 
analysis is not required due to the size of the recipient or duration 
of a change, FTA expects agencies to take steps to ensure changes are 
equitable and nondiscriminatory.
    Recipients are encouraged to reach out to FTA's Office of Civil 
Rights when contemplating new projects, new services, or new service 
models for technical assistance and guidance, to support recipients in 
achieving their equity and accessibility goals and complying with 
Federal civil rights requirements.
    For more information, contact the Office of Civil Rights at 
[email protected].

E. Consolidated Planning Grants

    The Consolidated Planning Grants (CPG) Program allows States and 
Metropolitan Planning Organizations (MPOs) to merge funds from the FTA 
Metropolitan Planning Program and State Planning and Research Program 
(SPRP) with FHWA Planning and SPRP funds into a single consolidated 
planning grant. Transferred planning funds can be awarded and 
administered 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 Uniform Administrative Requirements, 2 
CFR part 200, subpart E, 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 fund-matching ratio greater than 80 percent, the State can 
waive the 20 percent local share requirement, with FTA's concurrence, 
to allow FTA funds used for metropolitan planning in a CPG to be 
granted at the higher FHWA sliding scale 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. FHWA Order 4551.1 dated August 12, 2013, on 
``Fund Transfers to Other Agencies and Among Title 23 Programs'' 
(https://www.fhwa.dot.gov/legsregs/directives/orders/45511.cfm) 
provides guidance and more detailed information.
    For further information on CPGs, contact Ann Souvandara, Office of 
Budget and Policy, FTA, at (202) 366-0649 or [email protected]; or 
Ryan Long, Office of Planning and Environment at (215) 656-7051 or 
[email protected].

F. Grant Application Procedures

    All applications are filed electronically. FTA continues to award 
and manage grants and cooperative agreements using the Transit Award 
Management System (TrAMS). To access TrAMS, contact your FTA Regional 
Office. Resources on using TrAMS can be found on FTA's website at 
https://www.transit.dot.gov/TrAMS.
    FTA regional staff are responsible for working with potential 
recipients to review and process grant applications. In order for an 
application to be considered complete and for FTA to assign a Federal 
Award Identification Number (FAIN), enabling submission in TrAMS, and 
submission to the Department of Labor (when applicable), the following 
requirements must be met:
    i. Applicants must be registered and have an ``active status'' in 
the System for Award Management (SAM) and its registration is current. 
To register an entity or check the status and renew registration, visit 
the SAM website at https://www.sam.gov/SAM.

[[Page 23139]]

    ii. Applicant's contact information is correct and up to date.
    iii. Applicant has properly submitted its annual certifications and 
assurances.
    iv. Applicant's Civil Rights submissions are current and approved.
    v. Recipient has a Transit Asset Management plan in place that 
meets the requirements of 49 CFR part 625 or is covered by a compliant 
Group Plan.
    vi. Documentation is on file to support status as either a 
designated recipient (for the program and area) or a direct recipient.
    vii. 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.
    viii. The activity is listed in a currently approved Transportation 
Improvement Program (TIP); Statewide Transportation Improvement Program 
(STIP), or Unified Planning Work Program (UPWP) unless such 
requirements have been waived for the specific funding and activity 
type to facilitate response and recovery from the COVID-19 public 
health emergency.
    ix. All eligibility issues are resolved.
    x. Required environmental findings are made.
    xi. The application contains a well-defined scope of work including 
at least one project with accompanying project narratives, budget that 
includes scope codes and activity line-item information, Federal and 
non-Federal funding amounts, and milestones.
    xii. Major Capital Projects as defined by 49 CFR part 633 Project 
Management Oversight must document that FTA has reviewed the project 
management plan and provided approval.
    xiii. Milestone information is complete. FTA will also review 
status of other open grant reports to confirm financial and milestone 
information is current on other open awards.
    xiv. Applicant has ensured that it has registered to report to the 
National Transit Database, and that any subrecipients that provide 
public transportation service have also registered to report to the 
National Transit Database.
    xv. FTA must provide Congressional notification before awarding 
competitive grants.
    Other important issues that impact FTA grant processing activities 
are discussed below.
a. Award Budgets--Scope Codes and Activity Line Items (ALI) Codes; 
Financial Purpose Codes
    FTA uses the Scope and Activity Line Item (ALI) Codes in the award 
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. ALI 
codes should contain information on quantities (e.g., the number of 
vehicles) related only to the funding identified for that ALI code.
b. Designated and Direct Recipients Documentation
    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 the Governor's 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 may then apply 
directly to FTA for the funding as direct recipients.
    For the programs in which FTA can make grants to eligible direct 
recipients, other than the designated recipients, 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.
    Documentation to support existing designated recipients for the UZA 
must also be on file at the time of the first application in FY 2023. 
Suballocation letters (also called split letters or governor's 
apportionment letters) must also be on file to support grant 
applications from direct recipients. Once suballocation letters for FY 
2023 funding are finalized they should also be uploaded as part of the 
application into TrAMS.
    The Direct Recipient is required to upload to TrAMS a copy of the 
suballocation letter indicating the allocation of funding for the 
appropriate fund program when the applicant transmits its application 
for initial review. The suballocation letter must be signed by the 
Designated Recipient, or as applicable in accordance with local 
planning requirements. If there are two Designated Recipients, both 
entities must sign the suballocation letter. The suballocation letter 
must: (1) specify the allocations to the respective Direct Recipients 
listed in the letter; (2) incorporate language above the signatories to 
reflect this agreement; and (3) make clear that the Direct Recipient 
will assume all responsibility associated with the award for the funds. 
When drafting the suballocation letter, Designated Recipients may use 
the template language below:
    ``As identified in this Letter, the Designated Recipient(s) 
authorize(s) the reassignment/reallocation of [enter fund source, e.g., 
section 5307 funds] to the Direct Recipient(s) named herein. The 
undersigned agree to the amounts allocated/reassigned to each Direct 
Recipient. Each Direct Recipient is responsible for its application to 
the Federal Transit Administration to receive such funds and assumes 
the responsibilities associated with any award for these funds.''
1. 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 recipients 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.
2. Oversight
    FTA is responsible for conducting oversight activities to help 
ensure that grant recipients use FTA Federal financial assistance in a 
manner consistent with their intended purpose and in compliance with 
regulatory and statutory requirements. Each Urbanized Area Formula 
Program recipient is reviewed every three years, (FTA's Triennial 
Review); and States and statewide public transportation agencies are 
reviewed periodically to assess the management practices and program 
implementation of FTA statewide 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 
recipient oversight assessment. Important objectives of FTA's oversight 
program include but are not limited to: determining recipient 
compliance with Federal requirements; identifying technical assistance 
needs and delivering technical assistance to meet those needs; spotting 
emerging issues with recipients 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 
recipients with recurring or systemic issues.

[[Page 23140]]

3. 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 where warranted, to reflect amendments to chapter 53 
of title 49, U.S.C. made by IIJA. In the 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 
recipients on a case-by-case basis. This notice and the program 
guidance circulars previously identified in this document may be 
accessed via the FTA website at https://www.transit.dot.gov/.

G. Grant Management

1. Grant Reporting
    Recipients of FTA funds are reminded that all FTA recipients are 
required to report on their grants and that it is critical to ensure 
reports demonstrate that reasonable progress is being made on the 
project. At a minimum, all awards require a Federal Financial Report 
(FFR) and a Milestone Progress Report (MPR) on an annual basis, with 
some reports required quarterly or monthly 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 5010.1E, Grant Management Requirements, dated July 16, 2018. 
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 or 
demonstrate reasonable progress on projects can result in suspension or 
premature close-out of a grant.
2. Inactive Grants and Grant Closeout
    In FY 2023, FTA will continue to focus on inactive grants and 
grants that do not comply with reporting requirements. If appropriate, 
FTA 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.
    At the end of Federal Fiscal Year 2023, FTA will identify the list 
of grants that were awarded on or prior to September 30, 2020, have had 
no funds disbursed or have not had a disbursement since September 30, 
2022. FTA Regional Offices will contact grant recipients with grants 
that meet these criteria to notify them that FTA intends to close the 
grant and deobligate any remaining funds unless the recipient can 
provide information that demonstrates that the projects funded by the 
grant remain active and the recipient has a realistic schedule to 
expedite completion of the projects funded in the grant.
3. Transportation Investments Generating Economic Recovery (TIGER), 
Better Utilizing Investments To Leverage Development (BUILD) and 
Rebuilding American Infrastructure With Sustainability and Equity 
(RAISE) Discretionary Grants
    Recipients of open TIGER, BUILD and RAISE grants should be aware 
that, as a matter of law, all remaining TIGER funds must be disbursed 
from grants by the end of the fifth fiscal year after the Expiration of 
Obligation Authority. (See, 31 U.S.C. 1552.) For FTA TIGER VII 
projects, that deadline was extended to the end of FY 2023. For FTA 
TIGER VIII projects, that deadline is the end of FY 2024. Accordingly, 
once ECHO closes for disbursements in late September 2023 (September 
2024 for TIGER VIII), all undisbursed funds within FTA TIGER VII-funded 
grants will no longer be available to the recipient. These undisbursed 
funds will be deobligated from the grant. Even if a recipient has 
incurred costs or disbursed funds prior to the close of ECHO, if the 
recipient has not actually drawn down the funds by the time ECHO 
closes, FTA will be unable to reimburse the recipient. Therefore, 
recipients with open TIGER VIII grants must ensure project activities 
are completed and all funds are drawn down before ECHO closes by late 
September 2024 (September 2023 for TIGER VII).
    For more information about the Transportation Investments 
Generating Economic Recovery (TIGER), Better Utilizing Investments to 
Leverage Development (BUILD) and Rebuilding American Infrastructure 
with Sustainability and Equity (RAISE) Discretionary Grants program, 
contact Victor Waldron, Office of Transit Programs at (202) 366-5183 or 
[email protected].
    The contents of this document do not have the force and effect of 
law and are not meant to bind the public in any way. This document is 
intended only to provide clarity to the public regarding existing 
requirements under the law or agency policies. Recipients should refer 
to applicable regulations and statutes referenced in this document.

Nuria I. Fernandez,
Administrator.
[FR Doc. 2023-07761 Filed 4-13-23; 8:45 am]
BILLING CODE 4910-57-P