[Federal Register Volume 90, Number 158 (Tuesday, August 19, 2025)]
[Notices]
[Pages 40465-40466]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2025-15794]
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DEPARTMENT OF TRANSPORTATION
Federal Transit Administration
[FTA-2025-0068]
Notice of Availability of Proposed Policy Guidance for the
Capital Investment Grants Program
AGENCY: Federal Transit Administration (FTA), Department of
Transportation (DOT).
ACTION: Notice of availability of proposed policy guidance for the
Capital Investment Grants program.
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SUMMARY: The Federal Transit Administration (FTA) is making available
the agency's proposed policy guidance for the Capital Investment Grants
(CIG) program. These revisions are intended to address certain
Executive Orders signed by the President in early 2025 and DOT Order
2100.7, ``Ensuring Reliance Upon Sound Economic Analysis in Department
of Transportation Policies, Programs, and Activities.'' The proposed
guidance has been placed in the docket and posted on the FTA website.
DATES: Comments must be received on or before September 2, 2025. Late-
filed comments will be considered to the extent practicable.
ADDRESSES: You may submit comments to DOT docket number FTA-2025-0068
by any of the following methods:
Federal eRulemaking Portal: Go to https://www.regulations.gov and
follow the online instructions for submitting comments.
U.S. Mail: Docket Management Facility, U.S. Department of
Transportation, 1200 New Jersey Avenue SE, West Building, Room W12-140,
Washington, DC 20590-0001.
Hand Delivery or Courier: U.S. Department of Transportation, 1200
New Jersey Avenue SE, West Building, Ground Floor, Room W12-140,
Washington, DC 20590, between 9 a.m. and 5 p.m., Monday through Friday,
except Federal holidays.
Fax: 202-493-2251.
Instructions: You must include the agency name (Federal Transit
Administration) and docket number (FTA-2025-0068) for this notice at
the beginning of your comments. You must submit two copies of your
comments if you submit them by mail. If you wish to receive
confirmation FTA received your comments, you must include a self-
addressed, stamped postcard. Due to security procedures in effect since
October 2001, mail received through the U.S. Postal Service may be
subject to delays. Parties submitting comments may wish to consider
using an express mail firm to ensure prompt filing of any submissions
not filed electronically or by hand.
All comments received will be posted, without charge and including
any personal information provided, to https://www.regulations.gov,
where they will be available to internet users. You may review DOT's
complete Privacy Act Statement published in the
Federal Register on April 11, 2000, at 65 FR 19477. For access to
the docket and to read background documents and comments received, go
to https://regulations.gov at any time or to the U.S. Department of
Transportation, 1200 New Jersey Avenue SE, Docket Management Facility,
West Building Ground Floor, Room W12-140, Washington, DC 20590 between
9 a.m. and 5 p.m., Monday through Friday, except Federal holidays.
FOR FURTHER INFORMATION CONTACT: Mark Ferroni, FTA Office of Planning
and Environment at [email protected], or 202.366.3233
SUPPLEMENTARY INFORMATION:
I. Background
Pursuant to 49 U.S.C. 5309(g)(5), FTA is required to publish policy
guidance on the discretionary Capital Investment Grants (CIG) program
when the agency makes significant changes to the CIG review and
evaluation process and criteria. FTA must consider certain project
justification criteria pursuant to 49 U.S.C. 5309(d)(2)(A)(iii),
(e)(2)(A)(iv), and (h)(4). The policy guidance FTA issues for the CIG
program complements the FTA regulations governing the CIG program,
codified at 49 CFR part 611. The FTA regulations governing the CIG
program set forth the process grant applicants must follow to be
considered for discretionary funding and the procedures and criteria
FTA uses to rate and evaluate projects to determine applicant
eligibility. The policy guidance provides a greater level of detail
about the methods FTA uses and the sequential steps a sponsor must
follow in developing a project.
FTA is seeking comment on a proposed reversion to previous
methodology for evaluating the CIG environmental benefits criterion, as
well as other technical changes to FTA's CIG Policy Guidance last
issued in December 2024. (https://www.transit.dot.gov/funding/grants/grant-programs/capital-investments/2024-cig-policy-guidance). The
proposed revisions address Executive Orders (E.O.) 14148, Initial
Recissions of Harmful Executive Orders and Actions; E.O. 14154,
Unleashing American Energy; and E.O. 14151, Ending Radical and Wasteful
Government DEI Programs and Preferencing, signed by the President in
early 2025. Additional detail about these changes is provided below.
The proposed guidance is available on the agency's public website at
http://www.transit.dot.gov, and in the docket at https://www.regulations.gov. No other changes to the CIG policy guidance are
proposed at this time. Instead, FTA intends to propose a more
comprehensive update to the CIG policy guidance for notice and comment
in the future.
II. Proposed Changes to the CIG Policy Guidance
Environmental Benefits
FTA is proposing to revise the methodology for evaluating the
environmental benefits criterion of CIG projects. This methodology
would utilize the Environmental Protection Agency (EPA) National
Ambient Air Quality Standards (NAAQS) designation of the metropolitan
area in which the project is located. Projects in metropolitan areas
designated as ``non-attainment'' or ``maintenance'' areas for the
transportation-related criteria pollutants, carbon monoxide (CO),
nitrogen dioxide (NO2), ozone (O3), or particulate matter
(PM2.5), would receive a High rating; projects located in
``attainment'' areas in all four criteria pollutants would receive a
Medium rating. Project sponsors can determine the applicable EPA NAAQS
designation through the most recent version of EPA's Green Book
(https://www.epa.gov/green-book).
This proposal is similar to the environmental benefits methodology
FTA utilized prior to 2013, which it adopted in accordance with the
statutory notice and comment requirements under the Administrative
Procedure Act (APA), codified at 5 U.S.C. 553. However, the pre-2013
[[Page 40466]]
methodology did not prescribe how projects located in ``maintenance''
areas would be rated. To address this gap, FTA's proposal would specify
that projects located in ``maintenance'' areas would receive a ``High''
rating. ``Maintenance'' areas are geographic areas designated
previously as ``nonattainment'' for a particular pollutant that have
since met air quality standards but are still subject to requirements
in their Maintenance Plan and transportation conformity. Assigning a
``High'' rating to projects in maintenance areas for the
transportation-related criteria pollutants would further the goals of
the transportation conformity requirements under Clean Air Act (CAA)
section 176(c) (42 U.S.C. 7506(c)) to ensure Federally funded or
approved public transportation activities are consistent with
(``conform to'') the purpose of the State air quality implementation
plan.
This proposed methodology would replace the complex and burdensome
calculation of environmental benefits FTA has utilized since 2013,
which uses vehicle miles traveled (VMT) to estimate each project's
effect on air quality, energy use, greenhouse gas emissions, and
safety, and then monetizes those changes based on standard factors.
When FTA adopted the VMT-based environmental benefits measure in 2013,
FTA recognized it may be necessary in the future to update the
methodology as new information and research became available. (78 FR
1992, at 2001). After several years of experience with the measure, FTA
has determined the VMT-based calculation adds unnecessary burden and
complexity to the evaluation process for project sponsors and FTA. This
determination was also informed by several comments received on FTA's
April 2024 proposed CIG policy guidance (89 FR 24086). These comments
requested FTA to simplify the environmental benefits calculation and
consider replacing it with an automatic ratings process.
FTA has determined the change to the environmental benefits
methodology would not have a substantial impact on overall project
ratings. FTA believes the proposed change would achieve an appropriate
balance between reducing regulatory burden and maintaining sufficient
analytic rigor within the CIG project evaluation and rating process.
FTA is proposing to remove references to the VMT-based calculation of
environmental benefits, as well as related appendices and citations,
throughout the CIG policy guidance. These are merely conforming
changes.
In addition, FTA is proposing this change consistent with the
direction in E.O. 14154, Unleashing American Energy, which was signed
by the President on January 20, 2025; OIRA's Guidance Implementing
Section 6 of Executive Order 14154, Entitled ``Unleashing American
Energy,'' which was signed on May 5, 2025 (OIRA's Guidance); and DOT
Order 2100.7, ``Ensuring Reliance Upon Sound Economic Analysis in
Department of Transportation Policies, Programs, and Activities.''
Under the current CIG policy guidance, FTA directs project sponsors to
monetize the change in greenhouse gas emissions based on the mid-range
estimate of the social cost of carbon from the Interagency Working
Group (IWG) Technical Support Document of February 2021. Section 6(b)
of E.O. 14154 withdraws the guidance issued by the IWG, including the
Technical Support Document, as it is no longer representative of
governmental policy. Section 6(c) of E.O. 14154 and DOT Order 2100.7
also state the ``calculation of the `social cost of carbon' is marked
by logical deficiencies, a poor basis in empirical science,
politicization, and the absence of a foundation in legislation.''
Further, OIRA's implementing guidance limits the social cost of carbon
to uses where it is statutorily required and directs agencies to remove
its consideration from discretionary regulatory language ``as quickly
as feasible.'' Complying with E.O. 14145 and OIRA's Guidance, and based
on the aforementioned rationale, FTA is proposing to revise its
approach to calculating the environmental benefits measure, as directed
in the CIG Policy Guidance, to align with statutory requirements.
Access to Essential Services
With respect to the Land Use criterion, FTA is proposing to remove
the requirement to analyze urgent care centers from the evaluation of
access to essential services. FTA's December 2024 CIG policy guidance
instructs project sponsors to use data from the Department of Homeland
Security's (DHS) Homeland Infrastructure Foundational-Level Data
(HIFLD) website to evaluate access to essential services, including
data on urgent care centers. FTA has since learned the HIFLD website no
longer provides data on urgent care centers, making it impossible for
project sponsors to examine such data. Accordingly, FTA proposes to
remove urgent care centers from the requirement. FTA is not proposing
any other changes to the access to essential services requirement.
Other Changes
FTA is proposing other minor, technical changes to the CIG policy
guidance to eliminate references to Executive Orders and other
documents rescinded pursuant to E.O. 14148, Initial Rescissions of
Harmful Executive Orders and Actions (January 20, 2025); E.O. 14154,
Unleashing American Energy (January 20, 2025); and E.O. 14151, Ending
Radical and Wasteful Government DEI Programs and Preferencing.
Authority: 49 CFR 1.91.
Marcus J. Molinaro,
Administrator.
[FR Doc. 2025-15794 Filed 8-18-25; 8:45 am]
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