[Federal Register Volume 71, Number 152 (Tuesday, August 8, 2006)]
[Notices]
[Pages 45100-45102]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E6-12847]
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DEPARTMENT OF TRANSPORTATION
Federal Transit Administration
[Docket Number: FTA-2006-24947]
Notice of Availability of Interim Guidance and Instructions for
Small Starts
AGENCY: Federal Transit Administration (FTA), DOT.
ACTION: Notice of availability.
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SUMMARY: This notice announces the availability of the Federal Transit
Administration's (FTA) Final Interim Guidance and Instructions for
Small Starts which was initially issued for comment on June 6, 2006.
This Guidance describes the eligibility, evaluation, and project
development procedures for projects seeking Small Starts funding, as
well as the information required from project sponsors to evaluate and
rate a project for the purpose of project advancement or a funding
recommendation. FTA is in the process of broader rulemaking on its
major capital investments program, but the Interim Guidance and
Instructions will allow projects into project development. The document
will also enable FTA to evaluate and rate projects as part of the
Annual New Starts Report and make funding recommendations prior to
completion of the broader rulemaking process. For a Small Starts
project to be included in the FY2008 Annual New Starts Report and
considered for a funding recommendation, project information must be
received by FTA by September 15, 2006 and any response to FTA comments
on the submittal must be completed by October 15, 2006.
EFFECTIVE DATE: These policies and procedures will take effect on
August 8, 2006.
FOR FURTHER INFORMATION CONTACT: Ron Fisher, Office of Planning and
Environment, telephone (202) 366-4033, Federal Transit Administration,
U.S. Department of Transportation, 400
[[Page 45101]]
Seventh Street, SW., Washington, DC 20590 or [email protected].
SUPPLEMENTARY INFORMATION:
1. Availability of the Final Guidance and Comments
A copy of the Proposed and Final Interim Guidance and Instructions
for Small Starts, comments received on the Proposed Interim Guidance,
and FTA's response to comments received from the public are part of
docket FTA-2006-24947 and are available for inspection or copying at
the Docket Management Facility, U.S. Department of Transportation, Room
PL-401 on the plaza level of the Nassif Building, 400 Seventh Street,
SW., Washington, DC between 9 a.m. and 5 p.m., Monday through Friday,
except Federal holidays. You may retrieve the guidance and comments
online through the Document Management System (DMS) at: http://dms.dot.gov. Enter docket number 24947 in the search field. The DMS is
available 24 hours each day, 365 days each year. Electronic submission
and retrieval help and guidelines are available under the help section
of the Web site. An electronic copy of this document may also be
downloaded by using a computer, modem and suitable communications
software from the Government Printing Office's Electronic Bulletin
Board Service at (202) 512-1661. Internet users may also reach the
Office of the Federal Register's home page at: http://www.nara.gov/fedreg and the Government Printing Office's Web page at: http://www.gpoaccess.gov/fr/index.html.
2. Background
On August 10, 2005, President Bush signed the Safe, Accountable,
Flexible, Efficient Transportation Equity Act: A Legacy for Users
(SAFETEA-LU). Section 3011 of SAFETEA-LU made a number of changes to 49
U.S.C. 5309, which authorizes the Federal Transit Administration's
(FTA's) capital investment program known as ``New Starts.'' In addition
to the changes made to the New Starts program, 49 U.S.C. 5309 has been
amended with the addition of a new subsection (e) containing a new
capital investment program category for projects requesting less than
$75,000,000 in Section 5309 capital investment funds with a total
project cost of less than $250,000,000. That new capital investment
program, which will be referred to as the ``Small Starts'' program, is
the subject of this Interim Guidance and Instructions. FTA, through its
rulemaking authority, plans to propose regulations that would (1)
implement changes to the existing New Starts program made by section
3011 of SAFETEA-LU and (2) formalize the requirements for the Small
Starts program.
On June 6, 2006, FTA published a Notice of Availability of the
Proposed Interim Guidance and Instructions for Small Starts for
Comments in the Federal Register (71 FR 33503, Jun. 9, 2006). FTA
requested--and received--comments on the Guidance in the June notice.
This Final Interim Guidance and Instructions for Small Starts reflects
FTA's consideration of these comments. FTA finds that there is good
cause to make this guidance effective upon publication of this notice
because sponsors of projects seeking Small Starts funding must have
adequate time to prepare information that FTA will use to evaluate
projects for inclusion in the President's FY2008 budget request to
Congress. As noted above, the deadline to submit these materials to the
FTA is September 15, 2006. This notice announces the availability of
FTA's final Interim Guidance and Instructions for Small Starts. This
document is available on the docket, which can be accessed by going to
http://dms.dot.gov, or on FTA's Web site for New Starts Planning and
Project Development at http://www.fta.dot.gov.
3. Response to Comments
Comments were received from 26 parties. These include transit
agencies, trade organizations, Members of Congress, and private
consulting firms. This section highlights the key issues identified in
the comments on the Proposed Interim Guidance and Instructions for
Small Starts, as well as FTA's response.
More Emphasis Needed on Economic Development Criterion
Comments: A total of eight comments were received. Respondents
noted the need for a greater role in the evaluation of economic
development. In addition, it was suggested that a separate evaluation
criterion be created instead of including economic development in the
``other factors'' category as was proposed.
FTA Response: The underlying premise for this interim guidance is
not to impose any significant changes in the process until the
rulemaking process has been completed. Further, there is a significant
challenge involved in properly evaluating a project's positive effect
on local economic development and establishing a system that can be
applied nationally, as well as the informational burden on project
sponsors that this would entail. Accordingly, FTA has determined that
the best way to allow for the consideration of economic development at
this stage is to give project sponsors the opportunity to provide
evidence of the project's impact on development under ``other
factors.'' Thus, no change was made from the approach offered in the
Proposed Interim Guidance. The approach allows project sponsors to cite
well-reasoned, strongly-justified, and verifiable qualitative and
quantitative explanations of the expected economic development outcomes
of the proposed Small Starts project. This could include developer
agreements or any other commitments of development related to the
project that would not occur if the project was not constructed.
Streetcars Excluded From Very Small Starts
Comments: A total of 14 comments were received. Respondents
indicated concern over several provisions in the Proposed Interim
Guidance and Instructions for Small Starts that they believe would
establish a process that would make it difficult to fund streetcar
projects through the Small Starts program. Respondents claimed that the
explicit exclusion of ``fixed guideway'' projects--and thus rail modes
such as urban streetcar--from Very Small Starts eligibility, as well as
the performance measures indicated in the Small Starts program, would
create a bias against this mode of transit.
FTA Response: FTA established the eligibility criteria for Very
Small Starts with the intent that the very nature of the performance of
these projects assured a cost-effective project. On reviewing the
comments, FTA agrees that the exclusion of a new fixed guideway from
the definition of Very Small Starts is unnecessary, as the
effectiveness and cost-effectiveness of a fixed guideway project can be
assured by these measures. Therefore, FTA will allow the construction
of fixed guideway projects to be eligible for Very Small Starts funding
if they meet the other criteria established for this category.
Specifically, to be eligible for the Very Small Starts category,
the project should (1) Have substantial transit stations; (2) use
traffic signal priority/pre-emption, to the extent, if any, that
traffic signals exist in the corridor; (3) have low-floor vehicles or
level boarding; (4) use a clear brand identity for the proposed
service; (5) operate 10 minute peak/15 minute off peak headways or
better and operate at least 14 hours per weekday (not required for
commuter rail or ferries); (6) be in corridors with at least 3,000
average weekday existing riders who will benefit from the proposed
project; and (7) have a total capital cost
[[Page 45102]]
less than $50 million (including all project elements) and less than $3
million per mile, exclusive of rolling stock.
Majority of Funds Will Go to Very Small Starts Projects Due to the Ease
of Evaluation and Implementation
Comments: A total of 11 comments were received. Respondents noted
concern that since Very Small Starts projects would have an easier time
being rated, that the majority of Small Starts funding would be
allocated to Very Small Starts projects. This would mean that very
little funding would be available for larger Small Starts, such as
fixed guideway rail projects.
FTA Response: The comments are not based on any requirement in the
Proposed Interim Guidance, but rather reflect speculation on how FTA
will make funding recommendations. The Proposed Interim Guidance did
not address how FTA would make its funding decisions, nor did it
address the division of funding between Small Starts and Very Small
Starts. As with all projects in the Section 5309 capital investment
grant program, the evaluation and rating process for Small Starts is
separate and distinct from FTA's decision to recommend a project for
funding. That decision is driven by a number of factors, including the
``readiness'' of projects for capital funding, geographic equity, the
amount of available funds versus the number and size of the projects in
New Starts the pipeline, and the project's overall rating. The Interim
Guidance and Instructions have been revised to add a section that
clearly states that funding decisions are not covered by the rating
process.
Requirement for 1,000 Riders at Endpoints Is Too High for Very Small
Starts
Comments: A total of 11 comments were received. Respondents
representing both large and small transit agencies, as well as trade
organizations, noted that this metric would be difficult to meet. Most
respondents noted that this requirement could be met at one end or at
points along a route, but achieving 1,000 riders at each endpoint is
not likely.
FTA Response: In light of the projected variety of project
candidates for Very Small Starts funding, this minimum ridership
requirement has been be eliminated in the Interim Guidance and
Instructions. However, as with any proposed New Start project, FTA will
review the scope and cost of the project to insure that significant
costs are not being incurred for unproductive lengths.
Request for Simpler Processes
Comments: A total of 12 comments were received. Respondents noted
that the application process for Small Starts funding was too
cumbersome in relation to the program's goals and expected project
size. Several comments cited similarities between the application
process for New Starts and Small Starts. Respondents noted the number
of long, involved, and often costly steps in New Starts projects, and
hoped to avoid these in the Small Starts program.
FTA Response: FTA believes that significant simplification has been
achieved, consistent with the underlying premise of the Proposed
Interim Guidance not to make major changes in the process until the
rulemaking has been completed. Nevertheless, FTA believes that further
simplification may be possible. The rulemaking process underway for New
Starts and Small Starts will provide an opportunity to consider
additional simplification. The requirements for an alternatives
analysis and the information necessary for local financial commitment
have been simplified. For Very Small Starts, evidence of eligibility,
which is information project sponsors usually develop for a project
regardless of funding source, is all that is required for project
justification. The timeframe for travel forecasts and financial plans
has been reduced to the date of opening, significantly reducing highway
and transit network development as well as other information needed for
forecasts. Simplified methods for travel forecasts are also possible.
The planning and evaluation process has been limited to the factors in
the law and the amount of supporting information has been minimized as
much as possible without compromising evaluation of project
justification and local financial commitment. In addition, in response
to the comments, the information required for the rating of land use
has been further simplified and included in the Appendix.
Issued in Washington, DC this 2nd day of August 2006.
Sandra K. Bushue,
Deputy Administrator.
[FR Doc. E6-12847 Filed 8-7-06; 8:45 am]
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