[Federal Register Volume 75, Number 61 (Wednesday, March 31, 2010)]
[Notices]
[Pages 16229-16233]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2010-7083]
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DEPARTMENT OF TRANSPORTATION
Federal Transit Administration
Urbanized Area Formula Program: Notice of Final Circular
AGENCY: Federal Transit Administration (FTA), DOT.
ACTION: Notice of Availability of Final Circular.
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SUMMARY: The Federal Transit Administration (FTA) is issuing Circular
9030.1D to provide comprehensive assistance to grantees in implementing
the Urbanized Area Formula Program (Section 5307) for capital,
planning, and some operating grants in urbanized areas.
DATES: The effective date of this circular is May 1, 2010.
ADDRESSES: A copy of the circular and comments and material received
from the public, as well as any documents indicated in the preamble as
being available in the docket, are part of docket FTA-2009-0010 and are
available for inspection or copying at the Docket Management Facility,
U.S. Department of Transportation, 1200 New Jersey Ave., SE., West
Building Ground Floor, Room W12-140, Washington, DC between 9 a.m. and
5 p.m., Monday through Friday, except Federal holidays.
You may also review the circular, comments, and supporting
documents online through the Federal Document Management System (FDMS)
at Web site: http://regulations.gov. Enter the docket number FTA-2009-
0010 in the search field. The FDMS 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.
This notice does not include the final circular. Electronic
versions of the final circular will be posted on http:/regulations.gov
as well as on the FTA Web site http://www.fta.dot.gov. Paper copies of
the final circular may be obtained by contacting FTA's Administrative
Services Help Desk, at 202-366-4865.
FOR FURTHER INFORMATION CONTACT: Henrika Buchanan-Smith, Office of
Program Management, Federal Transit Administration, 1200 New Jersey
Ave., SE., East Building, Fourth Floor, Washington, DC 20590, phone:
(202) 366-5080, fax: (202) 366-7951, or e-mail, [email protected]; or Richard Wong, Office of Chief Counsel, Federal
Transit Administration, 1200 New Jersey Ave., SE., East Building, Fifth
Floor, Washington, DC 20590, phone: (202) 366-0675, fax: (202) 366-
3809, or e-mail, [email protected].
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Overview
II. Chapter-by-Chapter Analysis
A. Chapter I--Introduction and Background
B. Chapter II--Program Overview
C. Chapter III--General Program Information
D. Chapter IV--Program Development
E. Chapter V--Coordinated Planning
F. Chapter VI--Program Management and Administrative
Requirements
G. Chapter VII--Other Provisions
H. Appendices
I. Overview
This notice provides a summary of changes to FTA Circular 9030.1C,
Urbanized Area Formula Program: Program Guidance and Grant Application
Instructions and addresses comments received in response to FTA's
September 30, 2009 Federal Register publication announcing the
availability of the proposed circular (74 FR 50273). The final Circular
9030.1D supersedes FTA Circular 9030.1C. Readers familiar with the
former FTA Circular 9030.1C will notice that FTA is proposing a
complete reorganization to make this circular consistent with the style
of other circulars FTA has updated. Substantive changes in content are
discussed in the chapter-by-chapter analysis.
Seven commenters responded to the notice of availability, including
a public transportation trade association, a vanpool operator, two
large metropolitan transit agencies, a member of the public, and one
who wished to remain anonymous.
One commenter asked that FTA extend the comment period for an
additional 45 to 60 days. FTA declined this request, as FTA specified
in the Notice of Availability that ``[l]ate-filed comments will be
considered to the extent practicable,'' and FTA has considered all
comments received after the November 20, 2009, deadline. Several
commenters asked that FTA withhold publication of the circular until
new surface transportation reauthorization legislation had been
enacted. FTA believes that such an approach is not feasible, given
uncertainty concerning the reauthorization process and the need to
implement changes mandated by the 2005 reauthorization bill.
One commenter objected to the language in section 6 of the title
page where FTA reserved the right to update the circular to reflect
changes in revised or new guidance or regulation. FTA disagrees with
this objection, noting that FTA is already obligated to include an
opportunity for notice and comment when revising a circular or
regulation, and there is no need to duplicate that effort when updating
each circular affected by that revision.
A. Chapter I--Introduction and Background
Chapter I of the revised circular is the introductory chapter
containing general information about FTA, including contact
information. It briefly addresses the current authorizing legislation
for the Urbanized Area Formula program (a.k.a. ``Section 5307
program''), provides information about Grants.gov, includes definitions
applicable to the program and provides a brief program history. A
``Definitions'' section has been added to this circular, defining
common terms used in the Section 5307 program.
Chapter I contains a number of topics that have been reorganized in
the new circular. The former section ``Other Funds Available for
Transit Projects'' is now renamed ``Relationship to Other Programs'' to
be consistent with other FTA circulars, and moved to Chapter II. We
have also moved the section titled ``Flexible Funds'' to the
``Relationship to Other Programs'' section in Chapter II, and
transferred information on apportionments and local and Federal share
to Chapter III. In addition, we have incorporated the information in
the section titled ``Grant Application Process'' into other sections of
the revised circular.
Several commenters suggested that the term ``direct recipient'' be
deleted in favor of the term ``designated recipient.'' FTA declines to
adopt that change, as the two terms are not identical. A ``designated
recipient'' is an entity officially designated by the Governor through
the planning process to receive and apportion funds. A direct
recipient, in contrast, is any entity that receives funds directly from
FTA. In some cases, the designated recipient may also be a direct
recipient, although a direct recipient may not necessarily be the
designated recipient.
One commenter suggested that content be added to address the
National Transit Database (NTD) and the Uniform System of Accounts
(USOA). FTA has accepted and incorporated those changes in Chapter I,
under the section titled ``Definitions.'' Another suggested that
administrative costs be defined and addressed in the Circular, which
FTA has done in Chapter III, section 6, ``Eligible Capital Projects.''
One commenter asked FTA to address force account plans, which FTA has
done in Appendix E, ``Preventive Maintenance.''
B. Chapter II--Program Overview
Chapter II of the former circular, ``Applicant Eligibility'' has
been augmented to contain additional detail about the Urbanized Area
Formula program. Chapter II addresses the statutory authority for the
Urbanized Area Formula program, followed by the goals of the program,
recipient designation, the respective roles of the
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designated recipient and FTA, a discussion about transportation
management areas, FTA oversight, and the relationship of the Urbanized
Area Formula Program to other FTA programs. This format conforms to
Chapter II in the other circulars FTA has recently updated. In
discussions regarding Transportation Management Areas in Chapter II and
Apportionments in Chapter III, to conform to revisions of the joint
planning regulation issued in February 2007, we deleted references to
the expanded planning areas of a Transportation Management Area when
referring to the Governor authority to reallocate funds apportioned to
the Governor for urbanized areas under 200,000 in population. The
Governor's authority is restricted only in the case of small urbanized
areas officially designated as Transportation Management Areas.
One commenter, a large metropolitan transportation agency, objected
to FTA's attempt to meet GPRA (Government Performance and Results Act)
requirements by setting performance targets, using program measures to
determine grant funding levels, or using those measures in a punitive
manner. The commenter suggested that FTA provide additional
clarification in the final circular as to the measurement of fleet
condition and specifically recommends that FTA require recipients to
report ``average fleet age'' information. FTA acknowledges the
commenter's concerns, but ridership and condition data are long-
standing national data measures and submitted to the National Transit
Database on a regular basis. With regard to their use as determinants,
formulas such as the fixed guideway tier of the 5307 formula are
determined by Congress and implemented by FTA. Finally, FTA believes
that comprehensive fleet age and condition statistics are necessary for
FTA to estimate fleet condition on a national level with a reasonable
degree of accuracy.
C. Chapter III--General Program Information
Chapter III continues to address eligible capital, operating and
planning activities, as well as advance capital project authority,
reflecting changes made by Safe, Accountable, Flexible, Efficient
Transportation Equity Act: A Legacy for users (SAFETEA-LU).
Transportation development credits (formerly referred to as toll
revenue credits) have been added to Chapter III to provide a
calculation method that is consistent with the method used by the
Federal Highway Administration (FHWA). FTA has moved and supplemented
information about ``Preventive Maintenance'' into a new Appendix E due
to the length and complexity of the topic. FTA has moved pre-award
authority and letters of no prejudice to Chapter IV. Additional
information addressed in Chapter III includes apportionments, funds
availability, and local and Federal share. All of these sections have
been updated to be consistent with the law and with the format of other
recently revised FTA circulars.
One commenter asked FTA to support a definition of Mobility
Management that included employer-oriented Transportation Management
Organizations. FTA has included language in Chapter III, section 6f(5)
to implement this request. The same commenter asked that FTA revise
Chapter III to address eligibility that takes into account emissions
benefits for purposes of compliance with the Clean Air Act. Emissions
benefits, while a factor under the Congestion Management and Air
Quality (CMAQ) program, are not statutory factors for consideration
under the section 5307 program. Finally the same commenter asked that
the circular include stronger provisions to include private providers
and operators in the local planning and programming process. FTA does
not get involved in the details of the local public participation
process, and instead defers to the local Metropolitan Planning
Organizations (MPOs) to determine their locally-developed processes and
procedures.
D. Chapter IV--Program Development
The sections of former Chapter IV, ``Apportionments,'' describing
how funds are apportioned under the urbanized area formula program and
apportionments are transferred to other eligible programs, are now in
the first sections of Chapter III. FTA has added a new Chapter IV,
``Program Development,'' to address the role of the designated
recipient and the metropolitan planning organization (MPO), applicants
other than designated recipients; pass-through arrangements (formerly
found in Chapter II); subarea allocation and transfer of funds for
highway projects (formerly found in Chapter IV); planning requirements
(formerly in Appendix A); program of projects and public participation
requirements; certifications and assurances (formerly found in Chapter
V); undertaking projects in advance; a catch-all section for pre-award
authority; and letters of no prejudice (formerly found in Chapter III).
FTA has revised each of these sections to reflect changes in
statutes, regulations, and FTA policy. We are also streamlining some
sections, such as planning, while expanding others, such as
certifications and assurances, to provide more detailed guidance to our
recipients.
One commenter noted that the draft circular did not account for the
various roles of designated recipients vis-[agrave]-vis Metropolitan
Planning Organizations (MPO) throughout the country. Given the wide
variation of these roles among the various urbanized areas (UZA), the
commenter stated that the circular must be flexible. The commenter
perceived that Chapter IV of the draft assumes a Metropolitan Planning
Organization (MPO) is the sole designated recipient for the UZA. This
structure is impractical in some communities where the Metropolitan
Planning Organization (MPO) is not staffed sufficiently to undertake
the duties of a designated recipient or others where the independence
of local governments is more pronounced and, as a result, a single
Metropolitan Planning Organization (MPO) function is primarily to
coordinate the activities of multiple designated recipients. FTA agrees
with this commenter and has revised Chapter IV accordingly to clarify
the relationship between Metropolitan Planning Organization (MPO),
Designated Recipient and other recipients. Chapter IV has also been
revised to clarify that the Metropolitan Planning Organization (MPO)
and the designated recipient can be two separate entities.
Another commenter, a large metropolitan transportation agency
operating across state boundaries, asked that the circular specifically
address transit agencies that must work with multi-state Metropolitan
Planning Organization (MPO)s, acknowledging them as designated
recipients. Consistent with statute, however, designated recipients are
determined by local officials, not FTA, and FTA believes language in a
circular would have no effect on that process.
One commenter asked why ``toll revenue credits'' had been renamed
``transportation development credits'' in the revised circular. FTA is
making this change to reflect statutory changes in the 2005
reauthorization law.
Several commenters suggested that the planning justification be
removed from the Transportation Electronic Award Management (TEAM)
system as redundant, because by virtue of their inclusion in a
Statewide Transportation Improvement Plan (STIP), they already have
been through the Metropolitan Planning Organization (MPO) planning
process. FTA does not agree with this
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suggestion, as Transportation Electronic Award and Management (TEAM) is
the official administrative record for FTA-funded projects and the data
must be included with the Transportation Electronic Award and
Management (TEAM) file. The justification to be included with the
application is more project-specific.
Finally, one commenter suggested that the discussion of joint
development address private investment and provide additional guidance
on how retail space can qualify as incidental space. FTA believes that
FTA's publication ``Final Agency Guidance on the Eligibility of Joint
Development Improvements Under Federal Transit Law'' (72 FR 5788, Feb.
7, 2007) provides adequate direction, but interested parties may
contact FTA's headquarters or regional offices for specific questions
not addressed by the Final Agency Guidance document.
E. Chapter V--Coordinated Planning
The revised Chapter V addresses the coordinated planning process
required under the Section 5310, Elderly Individuals and Individuals
with Disabilities formula program; the Section 5316, Job Access and
Reverse Commute (JARC) program; and the Section 5317, New Freedom
program. Often the designated recipient for the Urbanized Area Formula
program will also be the designated recipient for one or more of these
human services transportation programs. The revised Chapter V contains
substantially the same information as that found in FTA Circular
9040.1F, Nonurbanized Area Formula Program Guidance and Grant
Application Instructions.
The information found in the former Chapter V, ``Requirements
Associated with Urbanized Area Formula Program Grants'' has been
reorganized into other chapters. For example, the section, ``National
Transit Database Reporting System'' has been updated and moved to the
new Chapter VI. We are also providing a link to the FTA Web site as
well as to the TEAM system, where applicants can find the instructions.
FTA has moved the section titled ``Certification Procedures'' to the
rewritten Chapter IV. The section titled ``FTA Oversight'' has been
updated and moved to the new Chapter II. The section titled
``Certifications Particular to the Urbanized Area Formula Program'' has
been renamed ``Certifications Required by 49 U.S.C. 5307'' and moved to
Chapter IV. Updated information on program of projects and public
participation requirements have also been moved to Chapter IV. Finally,
FTA is eliminating the ``Alphabetical List of Other Requirements'' as
the content of that section is already addressed in other chapters.
Updated information related to ``Associated Capital Maintenance
Items,'' ``New Technology Introduction'' and ``Lease vs. Buy
Considerations'' can be found in Chapter III under ``Capital
Projects;'' updated information on ``Buses,'' ``Bus Facilities,'' and
``Fixed Guideway Rolling Stock,'' has been consolidated into Chapter
IV's section titled, ``Requirements Related to Rolling Stock and
Equipment.'' The section on ``New Starts'' has been removed because
information on the relationship between the New Starts program and the
Urbanized Area Formula program is already addressed in Chapter II.
Other provisions in the former Chapter V can be found in the revised
Chapter VII, ``Other Provisions.''
F. Chapter VI--Program Management and Administrative Requirements
The content of the former Chapter VI, ``Application Instructions,''
has been updated, streamlined, and moved to Appendix A. The revised
Chapter VI contains information on the TEAM system, Electronic Clearing
House Operation (ECHO) system, and, as previously discussed,
information on the National Transit Database, requirements related to
vehicles and equipment, and requirements related to facilities. The
information in this chapter is consistent with that found in other
recently updated FTA circulars.
Several commenters stated that the estimation of useful service
life in Chapter VI, section 5, for facilities was impractical, given
variations in climate, geography, and usage. They claimed that such an
exercise would result in additional investments of time and costs on
transit agencies and FTA alike with no practical benefit. FTA does not
agree with these commenters--by establishing a standard useful life for
facilities, FTA can ensure consistency across projects and regions.
G. Chapter VII--Other Provisions
Chapter VII of the former circular contained instructions for
preparing a project budget. This information has been updated and moved
to Appendix B, consistent with other recently revised FTA circulars.
The revised Chapter VII conforms to the ``Other Provisions'' chapters
in other FTA circulars, and addresses common Federal requirements that
FTA grantees are held to in addition to the program-specific
requirements. As previously stated, some of the information has been
relocated from the former Chapter V's ``Alphabetical Listing of Other
Requirements.'' Other sections, such as the Presidential Coin Act, are
new to this circular. Recipients should use this chapter, in
conjunction with FTA's Master Agreement and the current fiscal year
Certifications and Assurances to assure that they have met all
requirements. Recipients may contact FTA HQ or Regional Counsel if they
have additional questions concerning these requirements.
Once commenter asked FTA to include explicit language excluding
vanpool drivers from FTA's drug and alcohol testing requirements.
Consistent with prior legal opinions from FTA's Chief Counsel, FTA has
included specific language in Chapter VII, section 7 of the revised
circular.
H. Appendices
The appendices are intended as tools for developing a grant
application. Appendix A specifically addresses steps and instructions
for preparing a grant application, including pre-application and
application stages. This information is comparable to Chapter VI,
``Application Instructions,'' in the former circular, although it has
been updated and reorganized. Appendix A also includes an application
checklist. Appendix B provides budgetary information, including a
sample budget, replacing the information formerly found in Chapter VII,
``Instructions for Preparing a Project Budget.'' Appendix C consists of
the content of the former Appendix D, ``Operating Assistance
Projects.'' Appendix D contains the content of the former Appendix F,
``Forms and Representative Documents,'' with the exception of documents
we have removed that are now readily available online. Appendix E
contains a description of the preventive maintenance program, and is
new to this circular. Appendix F contains updated contact information
for FTA's regional and metropolitan offices, which was previously
contained in Chapter VIII of the former circular.
Several commenters opined that the ``Engineering Review'' required
in the revised Appendix A would unnecessarily add time and costs
without likely improvement of project management. One commenter claimed
that this proposal raises the bar for new projects and will increase
the cost of project development, grant management, and FTA oversight.
Another commenter added that state of good repair projects and routine
replacement investments should not be subjected to more extensive
oversight. FTA responds that this is not a new requirement, but rather,
is currently required under Chapter VI, section 9c, of the outgoing FTA
Circular 9030.1C,
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and remains an effective management tool. The commenter perhaps
misunderstood that the ``Engineering Review'' was performed by FTA in
reviewing the grant application and that the grantee simply had to
provide sufficient information in the grant application about the
proposed project for FTA to review. In the final circular the review
has been renamed ``Engineering/Technical'' review to clarify the nature
of the review is relative to the complexity of the project.
Issued in Washington, DC, this 23rd day of March 2010.
Peter Rogoff,
FTA Administrator.
[FR Doc. 2010-7083 Filed 3-30-10; 8:45 am]
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