American Recovery and Reinvestment Act of 2009 Public Transportation Apportionments, Allocations and Grant Program Information, 9656-9691 [E9-4745]

Agencies

• Federal Transit Administration
• DEPARTMENT OF TRANSPORTATION

[Federal Register Volume 74, Number 42 (Thursday, March 5, 2009)]
[Notices]
[Pages 9656-9691]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: E9-4745]


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DEPARTMENT OF TRANSPORTATION

Federal Transit Administration


American Recovery and Reinvestment Act of 2009 Public 
Transportation Apportionments, Allocations and Grant Program 
Information

AGENCY: Federal Transit Administration (FTA), DOT.

ACTION: Notice.

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SUMMARY: The ``American Recovery and Reinvestment Act, 2009'' (Pub. L. 
111-5; ``ARRA''), signed into law by President Barack Obama on February 
17, 2009, includes $8.4 billion for transit capital improvements. This 
notice implements the transit formula program related provisions of the 
ARRA and provides program and grant application requirements for these 
funds, to be made available through Federal Transit Administration 
(FTA) assistance programs. Additional notices will be published in the 
near future for the transit discretionary program provisions in the 
ARRA.

DATES: Complete grant applications must be submitted in TEAM by July 1, 
2009. FTA must reallocate certain unobligated funds by September 1, 
2009.

FOR FURTHER INFORMATION CONTACT: For general information about this 
notice contact Henrika Buchanan-Smith, Director, Office of Transit 
Programs, at (202) 366-2053. Please contact the appropriate FTA 
regional or metropolitan office (Appendix C) for any specific requests 
for information or technical assistance. An FTA headquarters contact 
for each major program area also is included in the discussion of that 
program in the text of the notice.

SUPPLEMENTARY INFORMATION: 

Table of Contents

I. Overview of This Notice
II. The American Recovery and Reinvestment Act of 2009
    A. Overview of the ARRA
    B. Public Transportation and the American Recovery and 
Reinvestment Act of 2009
III. FTA ARRA Programs and Funding
    A. Transit Capital Assistance Program
    B. Fixed Guideway Infrastructure Investment
    C. Capital Investment Grants (New Starts and Small Starts)
IV. FTA Policy and Procedures for ARRA Grants Requirements
    A. Civil Rights
    B. Automatic Pre-Award Authority to Incur Project Costs
    C. Grant Application Procedures
    D. Reporting Requirements and Certifications Applicable to 
Recipients of ARRA Funding
    E. Oversight
    F. Technical Assistance
Tables
    1. Appropriations and Apportionments for Grant Programs
    2. Transit Capital Assistance (Urbanized)
    3. Transit Capital Assistance (Urbanized) FORMULA
    4. Transit Capital Assistance (Urbanized) Formula Data Unit 
Values
    5. Transit Capital Assistance (Nonurbanized)
    6. Fixed Guideway Infrastructure Investment Apportionments
    7. Fixed Guideway Infrastructure Investment Formula
APPENDIX A: GRANT APPLICATION

[[Page 9657]]

INSTRUCTIONS
APPENDIX B: ARRA QUESTIONS AND ANSWERS
APPENDIX C: REGIONAL AND METROPOLITAN OFFICE CONTACT INFORMATION

I. Overview

    The American Recovery and Reinvestment Act of 2009 (ARRA) provides 
new funding for, among many other categories, public transportation 
capital projects. This legislation includes three separate capital 
investment programs for public transportation. Because of the purposes 
of the legislation, it presents both opportunities and responsibilities 
for those who provide public transportation throughout the United 
States.
    This Federal Register notice does several things. First, it 
provides a summary of ARRA as it relates to public transportation 
programs. Second, the notice discusses in detail the FTA programs 
funded by the ARRA, including specific dollar amounts made available 
under ARRA for each program and program requirements for eligible 
projects. Third, the notice includes policies and requirements that 
apply to the ARRA funds, including general reporting requirements and 
specific application requirements for the different formula programs. 
Fourth, the notice includes tables that apportion funds distributed by 
formula. It does not allocate funds to New/Small Starts projects under 
the Capital Investment Grants program or make discretionary allocations 
for the transit energy program or the tribal transit program. FTA will 
issue subsequent notices addressing these programs. Finally, we include 
three appendices covering application instructions, Questions and 
Answers, and contact information for our regional and metropolitan 
offices.

II. The American Recovery and Reinvestment Act of 2009

A. Overview of the ARRA

    The American Recovery and Reinvestment Act of 2009 (ARRA) was 
signed into law by President Barack Obama on Tuesday, February 17, 
2009. The ARRA includes appropriations and tax law changes totaling 
approximately $787 billion to support multi-pronged efforts to 
stimulate the economy. Goals of the statute include the preservation or 
creation of jobs and promotion of an economic recovery, as well as the 
investment in transportation, environmental protection and other 
infrastructure providing long-term economic benefits.
    Of the $787 billion of spending and tax law changes in ARRA, over 
$48 billion will be invested in transportation infrastructure, 
facilities, and equipment. The Secretary of Transportation has received 
an appropriation of $1.5 billion for a competitive surface 
transportation grant program, including public transportation projects. 
The Federal Highway Administration (FHWA) has received $27.5 billion 
for projects eligible under their Highways and Bridges program, 
including public transportation. FHWA funds can be used to support 
public transportation projects consistent with the Flexible Funding 
procedures under the Safe, Accountable, Flexible, Efficient 
Transportation Equity Act: A Legacy for Users (SAFETEA-LU). FRA has 
received $8 billion for high speed and intercity rail grants. Finally, 
FTA has received $8.4 billion for three categories of funding: Transit 
Capital Assistance, Fixed Guideway Modernization grants, and Capital 
Investment Grants (New Starts/Small Starts). More on the transit 
programs follows.

B. Public Transportation Programs and the ARRA

1. Introduction
    The ARRA includes a total of $8.4 billion in General Fund dollars 
for public transportation, appropriated for three different programs: 
1. Transit Capital Assistance, 2. Fixed Guideway Infrastructure 
Investment, and 3. Capital Investment Grants (New/Small Starts). Tables 
1 through 8 of this notice list the ARRA transit formula funds 
apportioned in this Federal Register notice. Additionally, for each FTA 
program included in this notice, we have provided relevant information 
on the ARRA funding available, program requirements, period of 
availability, and other related program information and highlights, as 
appropriate.
    The ARRA specifies that funds are to be used only for capital 
expenditures. This means that only items defined as capital under FTA's 
current law (Title 49, U.S.C. Chapter 53) are eligible activities under 
this program. (The one exception to this is program administration 
funds provided to States under the nonurbanized area program.)
    Potential grantees are encouraged to identify projects or 
expenditures that meet the broader goals of the statute, including 
preserving or creating jobs, contributing to cleaning our environment 
through green purchases, retrofitting existing facilities, making 
additional public transportation opportunities available to more 
people, and helping ease fiscal problems at the state and local level.
    An important aspect of this legislative initiative is to get the 
money working in the economy as quickly as possible. To foster this 
imperative, ARRA contains limited time frames to obligate these funds. 
As discussed in the detailed description of each program, the inability 
to secure an approved and executed grant within the statutory time 
limits will result in fund availability being withdrawn. FTA will 
reapportion these funds to areas that have successfully executed grants 
within the statutory time frames.
2. Capital Transit Assistance Program
    The ARRA appropriates $6.9 billion for four separate grant programs 
in this category of funding. This notice covers only the funds 
apportioned by formula in two categories of funding: the urbanized area 
formula program and the non-urban formula program. (The tribal transit 
program and the energy savings program will be addressed in a separate 
notice.)
    Specifically, this document apportions funds made available to 
potential program recipients based on the statutory formulas in 49 
U.S.C. sections 5307, 5311 for the following formula programs: Transit 
Capital Assistance (urbanized areas) and Transit Capital Assistance 
(nonurbanized areas) allocated to States.
    This Federal Register notice does not contain application 
requirements for two discretionary programs authorized in this capital 
transit program of the ARRA: a $17 million discretionary capital 
program for Indian Tribes and a $100 million discretionary capital 
program for energy saving measures by transit agencies. FTA anticipates 
issuing notices of Funding Availability for these two programs within 
the next two weeks.
3. Fixed Guideway Infrastructure Investment Program
    The ARRA provides $750 million for FTA's Fixed Guideway 
Infrastructure Investment program to modernize or improve existing 
fixed guideway systems, which could include the purchase or 
rehabilitation of rolling stock, track, equipment, or facilities. 
Maintaining the nation's rail transit system is a core responsibility 
of transit agencies across the country. The Department's biennial 
Conditions and Performance Report gauges asset conditions and the level 
of investment needed to eliminate the backlog of repairs or necessary 
replacements. Current published reports indicate that existing pending 
needs exceed $25 billion.

[[Page 9658]]

4. Capital Investment Grants
    The ARRA makes $750 million available for FTA's New and Small 
Starts programs. Additional financial support for these programs will 
generate over 20,000 jobs, will increase public transportation 
infrastructure, and will expedite the availability of additional 
transportation options. In addition, investing in these major capital 
investments offers communities significant opportunities to develop 
sound approaches for achieving their transportation, environmental, and 
community objectives. A separate Federal Register notice on the ARRA 
Capital Investment Grants program allocations will be published 
shortly.
5. Administration and Oversight of ARRA funds
    ARRA authorizes FTA to use an amount from each of the program 
funding categories for administration and oversight of these programs. 
The ARRA provides oversight and administrative takedowns at the 
following levels: 0.75 percent of Transit Capital Assistance funds for 
Urbanized Area Formula funds and Growing States and High Density 
Allocations, 0.5 percent of Transit Capital Assistance funds for 
Nonurbanized Area Formula funds, one percent of Fixed-Guideway 
Infrastructure Investment funds, and one percent of Capital Investment 
Grants funds. These dollar amounts are identified in the funding tables 
contained in the description for each program.

III. ARRA FTA PROGRAMS: Funding and Eligibility Information

A. Transit Capital Assistance Program in this Notice

    The Transit Capital Assistance Program authorizes $6.9 billion in 
funding for capital expenses as defined by 49 U.S.C. section 
5302(a)(1). Transit Capital Assistance program funds are apportioned by 
formula to Urbanized Areas (UZAs) with populations at least 200,000 and 
to the State for Nonurbanized areas and UZAs with populations below 
200,000. The Transit Capital Assistance Program funds are apportioned 
based on the following percentages that have been established in the 
ARRA: 80 percent of the funds are apportioned for grants under 49 
U.S.C. section 5307 (Urbanized Area Formula program); 10 percent of the 
funds are apportioned in accord with 49 U.S.C. section 5340 for areas 
that are growing States or high density States (these funds are then 
added to the amounts made available under the Urbanized Area and 
Nonurbanized Area Formula Program); and the remaining 10 percent of the 
funds are apportioned for grants under 49 U.S.C. section 5311 
(Nonurbanized Area Formula Program). Of the 10 percent apportioned to 
nonurbanized areas, 2.5 percent has been set-aside for discretionary 
allocation through FTA's Tribal Transit Program. Additionally, 
$100,000,000 of the Transit Capital Assistance program funds will be 
dedicated for discretionary energy-related investments. Neither the 
tribal transit nor energy savings discretionary programs are addressed 
in this Federal Register notice. The ARRA excludes from the formula 
apportionment the SAFETEA-LU computation for small transit intensive 
cities.
    For more information about the Transit Capital Assistance Program 
(Urbanized Areas) contact Henrika Buchanan-Smith, Director, Office of 
Transit Programs, at (202) 366-2053. For information about the Transit 
Capital Assistance Program (Nonurbanized areas) contact Lorna Wilson, 
at (202) 366-2053.
1. Funding Levels
    The ARRA provides $5,440,000,000 to the Transit Capital Assistance 
Program for UZAs. After the 0.75 percent deduction for administrative 
expenses and program management oversight and the addition of the 
urbanized area portion of the Section 5340 Growing States and High 
Density States funds, a total amount of $5,967,852,039 is available to 
be allocated to UZAs under the Transit Capital Assistance Program.
    The ARRA provides $680,000,000 of the $6.9 billion available under 
the Transit Capital Assistance Program, to nonurbanized areas based on 
49 U.S.C. section 5311. After the 2.5 percent set-aside for tribal 
transit, the 0.5 percent deduction for program management oversight and 
administrative expenses, and the addition of the nonurbanized area 
portion of Section 5340 Growing States and High Density States funds, a 
total amount of $765,847,961 is available to be apportioned in this 
notice to States to fund projects in nonurbanized areas under the 
Transit Capital Assistance Program.
    The remainder of the $6.9 billion appropriated to the Transit 
Capital Assistance program will be allocated through competitive 
discretionary processes which includes $17,000,000 through the Tribal 
Transit program, and $100,000,000 allocated to energy-related 
investments. A breakdown of formula funds appropriated under the 
Transit Capital Assistance Program is shown in the table below.

                       Transit Capital Assistance
------------------------------------------------------------------------
 
------------------------------------------------------------------------
Total Appropriation.................................      $6,900,000,000
Energy Investment...................................        -100,000,000
Total Appropriation Remaining.......................       6,800,000,000
Appropriation--urbanized Areas......................       5,440,000,000
Admin/Oversight Deduction...........................         -40,800,000
Section 5340 Funds Added............................      \1\586,652,039
                                                     -------------------
    Total Apportioned--urbanized....................       5,967,852,039
------------------------------------------------------------------------
    Appropriation-nonurbanized......................         680,000,000
------------------------------------------------------------------------
Oversight Deduction.................................          -3,400,000
Tribal Program......................................         -17,000,000
Section 5340 Funds Added............................      \1\106,247,961
                                                     -------------------
    Total Apportioned-nonurbanized..................        765,847,961
------------------------------------------------------------------------
\1\ Note: This is the amount allocated to the program after the 0.75
  percent deduction for oversight from section 5340 fund, which totaled
  $5,100,000.


[[Page 9659]]

2. Basis for Formula Apportionment
    Of the $6.9 billion available, $5.44 billion is apportioned to UZAs 
based on 49 U.S.C. section 5336. Different formulas apply to UZAs with 
populations of 200,000 or more and to UZAs with populations less than 
200,000. For UZAs with 50,000 to 199,999 in population, the formula is 
based solely on population and population density. For UZAs with 
populations of 200,000 and more, the formula is based on a combination 
of bus revenue vehicle miles, bus passenger miles, fixed guideway 
revenue vehicle miles, and fixed guideway route miles, as well as 
population and population density. Table 2 displays the amounts 
apportioned under the Urbanized Area Formula Program, and detailed 
information about the urbanized area formula can be found in Table 3 
and Table 4.
    The nonurbanized area funds are apportioned based upon the 
nonurbanized population of each state relative to the national 
urbanized area and land area in nonurbanized areas. Table 5 displays 
the Transit Capital Assistance Program apportionments for nonurbanized 
areas.
3. Eligible Applicants
    Eligible applicants for funds apportioned to UZAs are limited to 
designated recipients in accordance with 49 U.S.C. section 5307(a)(2) 
and other direct FTA grant recipients with the consent of the 
Designated Recipient. For nonurbanized area funds, the State is the 
only eligible applicant with the exception of the nonurbanized area 
funds that will be allocated to tribal recipients at a later date.
4. Program Requirements
    Program guidance for the Urbanized Area Formula Program is found in 
FTA Circular 9030.1C, Urbanized Area Formula Program: Grant Application 
Instructions (October 1, 1998), supplemented by additional information 
or changes provided in this document. Additionally, program guidance on 
the Nonurbanized Area Formula program can be found in FTA Circular 
9040.1F, Nonurbanized Area Formula Program Guidance and Application 
Instructions (April 4, 2007). Several important program requirements 
are highlighted below. Appendix B to this notice contains frequently 
asked questions and answers about the ARRA program.
a. Eligibility
    Transit Capital Assistance funds may be used to fund eligible 
capital projects. In accordance with 49 U.S.C. section 5302(a)(1), 
eligible capital projects include: preventive maintenance; acquiring, 
constructing, supervising, or inspecting equipment or a facility for 
use in public transportation (including engineering, designing, 
location surveying, mapping, and acquiring right-of-way); transit-
related ITS; rehabilitating buses; remanufacturing a bus; overhauling 
rail rolling stock; leasing a facility or equipment for use in public 
transportation where more cost-effective than purchase or construction; 
public transportation improvement that enhances economic development or 
incorporates private investment, including commercial and residential 
development, pedestrian and bicycle access to public transportation 
facilities, construction or renovation of intercity rail stations and 
terminals, renovation and improvements of historic transportation 
facilities, where the improvement enhances the effectiveness of a 
public transportation project and is physically or functionally related 
to that public transportation project, or creates a new or enhanced 
coordination between public transportation and other transportation and 
provides a fair share of revenue to be used in public transportation; 
ADA complementary paratransit in amounts not to exceed 10 percent of 
the recipient's formula apportionment; specified crime prevention and 
security expenses; establishing a debt service reserve; and mobility 
management.
b. Local Match
    Under the ARRA, the Federal share of a Transit Capital Assistance 
grant is up to 100 percent of the net project cost of capital projects 
and state administrative expenses of the Transit Capital Assistance 
(nonurbanized) Formula program funds. Under the ARRA, operating funds 
are not eligible.
5. Period of Availability
    The Transit Capital Assistance Program funds apportioned in this 
notice remain available to be obligated by FTA to recipients for a 
limited period of time. At least 50 percent of Transit Capital 
Assistance Formula funds apportioned in this notice must be obligated 
in a grant no later than September 1, 2009. On this date, FTA will 
withdraw any portion of the 50 percent that each State or urbanized 
area has not obligated and will subsequently redistribute to other 
States and UZAs that successfully obligated at least 50 percent of the 
funds apportioned to them and did not have any funds withdrawn. All 
remaining Transit Capital Assistance program funds must be obligated in 
a grant no later than March 5, 2010. Transit Capital Assistance Funds 
that remain unobligated at the close of business on March 5, 2010 will 
revert to FTA for redistribution to areas that have not had any funds 
withdrawn and that can promptly use the funding. Any Transit Capital 
Assistance program funds that remain unobligated at the close of 
business on September 30, 2010, will revert to the U.S. Treasury. A 
complete list of dates and deadlines will be posted on FTA's Web site 
following publication of this Federal Register notice.

B. Fixed Guideway Infrastructure Investment

    The Fixed Guideway Infrastructure Investment program provides 
capital assistance for the modernization of existing fixed guideway 
systems as authorized under 49 U.S.C. section 5309(b)(2). Funds are 
allocated by a statutory formula to UZAs with fixed guideway systems 
that have been in operation for at least seven years. A ``fixed 
guideway'' refers to any transit service that uses exclusive or 
controlled rights-of-way or rails, entirely or in part. The term 
includes heavy rail, commuter rail, light rail, monorail, trolleybus, 
aerial tramway, inclined plane, cable car, automated guideway transit, 
ferryboats, that portion of motor bus service operated on exclusive or 
controlled rights-of-way, and high-occupancy-vehicle (HOV) lanes. 
Eligible applicants are the public transit authorities in those UZAs to 
which the funds are allocated. For more information about Fixed 
Guideway Infrastructure Investment contact Henrika Buchanan-Smith, 
Director, Office of Transit Programs, at (202) 366-2053.
1. FY 2009 ARRA Funding
    The ARRA provides $750,000,000 for the Fixed Guideway 
Infrastructure Investment Program. The total amount apportioned for the 
Fixed Guideway Infrastructure Investment Program is $742,500,000, after 
the one percent deduction for program administration and oversight, as 
shown in the table below.

            Fixed Guideway Infrastructure Investment Program
------------------------------------------------------------------------
 
------------------------------------------------------------------------
Total Appropriation....................................     $750,000,000
Admin/Oversight Deduction..............................       -7,500,000
                                                        ----------------
    Total Apportioned..................................      742,500,000
------------------------------------------------------------------------

The FY 2009 ARRA Fixed Guideway Infrastructure Investment Program 
apportionments to eligible areas are

[[Page 9660]]

displayed in Table 6. Detailed information regarding the Fixed Guideway 
formula is detailed in Table 7.
2. Basis for Formula Apportionment
    The formula for allocating the Fixed Guideway Modernization funds 
contains seven tiers. The apportionment of funding under the first four 
tiers is based on amounts specified in law and National Transit 
Database (NTD) data used to apportion funds in FY 1997. Funding under 
the last three tiers is apportioned based on the latest available data 
on route miles and revenue vehicle miles on segments at least seven 
years old, as reported to the NTD. Section 5337(f) of title 49, U.S.C. 
provides for the inclusion of Morgantown, West Virginia (population 
55,997) as an eligible UZA for purposes of apportioning fixed guideway 
modernization funds. This notice allocates funds on a one time basis 
consistent with the 49 U.S.C. section 5337 formula for the Fixed 
Guideway Modernization program. For the ARRA funds, FTA was able to 
meet the apportionment formulas for the first three tiers of funding. 
Because there were not enough funds to fully fund the fourth tier of 
the formula, the table reflects a pro rata amount to eligible 
recipients within the Tier Four Category. Tiers Five through Seven were 
not used for the ARRA apportionments, since the amount available did 
not reach those tiers.
 3. Program Requirements
    Fixed Guideway Infrastructure Investment funds must be used for 
capital projects to maintain, modernize, or improve fixed guideway 
systems. Eligible UZAs (those with a population of 200,000 or more) 
with fixed guideway systems that are at least seven years old are 
entitled to receive Fixed Guideway Infrastructure Investment funds. A 
threshold level of more than one mile of fixed guideway is required in 
order to receive Fixed Guideway Infrastructure Investment funds. 
Therefore, UZAs reporting one mile or less of fixed guideway mileage 
under the NTD are not included. However, funds apportioned to an 
urbanized area may be used on any fixed guideway segment in the UZAs. 
The program will be implemented under the Fixed Guideway Modernization 
Program guidance. Program guidance for Fixed Guideway Modernization is 
presently found in FTA Circular C9300.1B, Capital Program: Grant 
Application Instructions (November 1, 2008).
4. Period of Availability
    For the fixed Guideway Infrastructure Investment Program in ARRA, 
at least 50 percent of funds must be obligated in a grant on or before 
September 1, 2009. At that time, FTA will withdraw any portion of the 
50 percent that has not been obligated in a grant agreement. These 
funds will be redistributed to eligible UZAs that have not had any 
Fixed Guideway Infrastructure funds withdrawn. Furthermore, on March 5, 
2010 FTA will withdraw any remaining unobligated funds from each UZAs 
and again redistribute such funds to UZAs that have not had any funds 
withdrawn and can promptly spend the funds. Any Fixed Guideway 
Infrastructure program funds that remain unobligated after September 
30, 2010, will revert back to the U.S. Treasury.

C. Capital Investment Program--New Starts and Small Starts

    The Capital Investment Grant program authorizes the Secretary of 
Transportation to make discretionary grants as authorized under 49 
U.S.C. section 5309(d)-(e). The program will be implemented consistent 
with the requirements of the New Starts and Small Starts programs, 
which provide funds for construction of major capital investments in 
new fixed guideway systems, extensions to existing fixed guideway 
systems, or, in the case of Small Starts, corridor-based bus projects. 
This notice does not include an allocation of Capital Investment 
Program resources. FTA will issue a subsequent notice that announces 
project selections and additional guidance. For more information about 
New Starts project development contact Elizabeth Day, Office of 
Planning and Environment, at (202) 366-4033.

IV. FTA Policy Guidance and Procedures for ARRA Grants

A. Civil Rights

    Existing regulations and guidance pertaining to the Americans With 
Disabilities Act (ADA), Equal Employment Opportunity (EEO), Title VI, 
and Disadvantaged Business Enterprise (DBE) programs apply to ARRA 
funds apportioned in this Federal Register notice.
    Concerning DBE in particular, FTA does not expect grantees will 
need to amend FY 2009 overall goals. However, there are some key 
situations to consider. First, it may be that receipt of ARRA funds 
will bring a grantee above the $250,000 threshold amount, which 
triggers the requirement to comply with the DBE program, including goal 
setting. In this case the grantee will need to submit a DBE goal (in 
such a case, it may submit a single goal for the remainder of FY 2009 
and entirety of FY 2010). Second, a grantee's receipt of additional 
ARRA funds could render the FY 2009 goal obsolete. This could occur if 
the additional funds create vastly different contracting opportunities, 
for example. In this case, the grantee may: (a) Submit a project goal 
to be approved by FTA's Administrator (project goals are appropriate 
only if there is a specific large, multi-year, and/or design-build 
project. Additional funding alone would not trigger the need for a 
project based goal); (b) amend the FY 2009 goal (with FTA approval per 
normal procedures under the DBE regulations); (c) submit a new goal for 
the remainder of FY 2009 and entirety of FY 2010 that accounts for 
contracting opportunities derived from ARRA financed projects; or (d) 
do not amend the 2009 goal, but include the ARRA project in your FY 
2010 goal, if the ARRA-funded project will be primarily executed during 
FY 2010. Further Departmental guidance on the Disadvantaged Business 
Utilization program can be found at https://osdbu.dot.gov/DBEProgram/
dbeqna.cfm#economic_recovery.
    Grantees should consult closely with their Regional Civil Rights 
Officer to determine which approach best applies to their specific 
situations. In the interim, grantees must immediately begin considering 
DBE and non-DBE availability and capacity as they relate to anticipated 
or potential projects funded by the ARRA, and discuss strategies for 
DBE utilization with the relevant contracting industries and DBE 
communities.

B. Automatic Pre-Award Authority To Incur Project Costs

1. General Policy
    FTA provides pre-award authority to incur expenses before grant 
award for certain program areas. ARRA program funds will have pre-award 
authority consistent with the FTA programs under which the ARRA funds 
are allocated or apportioned. ARRA program funds that are distributed 
by formula will have blanket pre-award authority beginning October 1, 
2008; ARRA discretionary tribal transit and energy programs funds will 
have pre-award authority once program funds are allocated to the 
project in a Federal Register notice; Capital Investment Grants Program 
allocations are subject to the New and Small Starts pre-award policy, 
discussed in detail in section B5 below.

[[Page 9661]]

2. Caution to New Grantees
    While FTA provides pre-award authority to incur expenses before 
grant award for many projects, first-time grant recipients are 
discouraged from using this automatic pre-award authority and 
encouraged to wait until the grant is actually awarded by FTA before 
incurring costs. As a new grantee, it is easy to misunderstand pre-
award authority conditions and not be aware of all of the applicable 
FTA requirements that must be met in order to be reimbursed for project 
expenditures incurred in advance of grant award. FTA programs have 
specific statutory requirements that are often different from those for 
other Federal grant programs with which new grantees may be familiar. 
If funds are expended for an ineligible project or activity, FTA will 
be unable to reimburse the project sponsor and, in certain cases, the 
entire project may be rendered ineligible for FTA assistance.
3. Policy Details
    Pre-award authority allows grantees to incur certain project costs 
before grant approval and retain the eligibility of those costs for 
subsequent reimbursement after grant approval. The grantee assumes all 
risk and is responsible for ensuring that all conditions are met to 
retain eligibility. For the ARRA program, this pre-award spending 
authority permits a grantee to incur costs on an eligible transit 
capital project without prejudice to possible future Federal 
participation in the cost of the project. All pre-award authority is 
subject to conditions and triggers stated below:
    a. Grantees may be reimbursed for expenses incurred before grant 
award, so long as funds have been expended in accordance with all 
Federal requirements. In addition to cross-cutting Federal grant 
requirements, program specific requirements must be met. For example: 
expenditure on State Administration expenses under State Administered 
programs must be consistent with the State Management Plan.
    b. Preaward authority (beginning October 1, 2008 for the ARRA 
formula funds or allocation of discretionary funds in a Federal 
Register notice) for capital project implementation activities 
including property acquisition, demolition, construction, and 
acquisition of vehicles, equipment, or construction materials is 
triggered by completion of the environmental review process, signified 
by FTA's finding that the project is a categorical exclusion (CE) or 
FTA's signing of an environmental Record of Decision (ROD) or Finding 
of No Significant Impact (FONSI). Before exercising pre-award 
authority, grantees must comply with the conditions and Federal 
requirements outlined in paragraph 4 below. Failure to do so will 
render an otherwise eligible project ineligible for FTA financial 
assistance.
    c. Blanket pre-award authority applies to formula funds apportioned 
under the Transit Capital Assistance Program and the Fixed Guideway 
Infrastructure Investment Program from October 1, 2008, until September 
30, 2010. Blanket pre-award does not apply to Section 5309 Capital 
Investment Grant funds, Energy savings or Tribal Transit Program funds. 
Specific instances of pre-award authority for ARRA Capital Investment 
Grants--New and Small Starts projects are described in paragraph 5 
below.
4. Conditions
    The conditions under which pre-award authority may be utilized are 
specified below:
    a. 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.
    b. All FTA statutory, procedural, and contractual requirements must 
be met.
    c. No action will be taken by the grantee that prejudices the legal 
and administrative findings that the Federal Transit Administrator must 
make in order to approve a project.
    d. Local funds expended by the grantee after the date of the pre-
award authority will be eligible for credit toward local match (if 
applicable for ARRA) or reimbursement if FTA later makes a grant or 
grant amendment for the project. Local funds expended by the grantee 
before the date of the pre-award authority will not be eligible for 
credit toward local match or reimbursement. Furthermore, the 
expenditure of local funds on activities such as land acquisition, 
demolition, or construction before the date of pre-award authority for 
those activities (i.e., the completion of the NEPA process) would 
compromise FTA's ability to comply with Federal environmental laws and 
may render the project ineligible for FTA funding.
    e. The Federal amount of any future FTA assistance awarded to the 
grantee for the project will be determined on the basis of the overall 
scope of activities and the prevailing statutory provisions with 
respect to the Federal/local match ratio at the time the funds are 
obligated.
    f. For funds to which the pre-award authority applies, the 
authority expires with the lapsing of the funds. Grantees should be 
mindful that a portion of ARRA funds begin to lapse to the UZAs and 
States on September 1, 2009. Please see the applicable program 
information in Section III above for program specific lapse dates.
    g. When a grant for the project is subsequently awarded, the 
Financial Status Report, in TEAM-Web, must indicate the use of pre-
award authority.
    h. All Federal environmental, planning and other grant requirements 
must be met at the appropriate time for the project to remain eligible 
for Federal funding. The growth of the Federal transit program has 
resulted in a growing number of grantees that are inexperienced in 
compliance with Federal planning and environmental laws. FTA has 
therefore modified its approach to pre-award authority to use the 
completion of the NEPA process, which has as a prerequisite the 
completion of planning and air quality requirements, as the trigger for 
pre-award authority for all activities except design and environmental 
review.
    i. The requirement that a project be included in a locally adopted 
metropolitan transportation plan, the metropolitan transportation 
improvement program and Federally-approved statewide transportation 
improvement program (23 CFR Part 450) must be satisfied before the 
grantee may advance the project beyond planning and preliminary design 
with non-Federal funds under pre-award authority. If the project is 
located within an EPA-designated non-attainment area or maintenance 
area for a national air quality standard, the transportation conformity 
regulations under 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. Compliance with NEPA and other 
environmental laws and executive orders (e.g., protection of parklands, 
wetlands, and historic properties) must be completed before State or 
local funds are spent on implementation activities, such as site 
preparation, construction, and acquisition, for a project that is 
expected to be subsequently funded with FTA funds. The grantee may not 
advance the project beyond planning and preliminary design before FTA 
has issued a Categorical Exclusion, Finding of No Significant Impact, 
or Record of Decision consistent with FTA/FHWA environmental 
regulations at 23 CFR Part 771.

[[Page 9662]]

    j. In addition, Federal procurement procedures, as well as the 
whole range of applicable Federal requirements (e.g., Davis-Bacon Act, 
Disadvantaged Business Enterprise, and Buy America) must be followed 
for projects in which Federal funding will be sought in the future. 
Failure to follow any such requirements could make the project 
ineligible for Federal funding. In short, this increased administrative 
flexibility requires a grantee to make certain that no Federal 
requirements are circumvented through the use of pre-award authority. 
If a grantee has questions or concerns regarding the environmental 
requirements, or any other Federal requirements that must be met before 
incurring costs, it should contact the appropriate regional office.
5. Special Requirements for Pre-Award Authority for ARRA Capital 
Investment Grants (New and Small Starts)
    a. Preliminary Engineering (PE) and Final Design (FD) and Small 
Starts Project Development (PD). Projects proposed for Section 5309 
Capital Investment funds are required to follow a federally defined New 
Starts project development process. This process includes, among other 
things, FTA approval of the entry of New Starts projects into PE and 
into FD and approvals regarding Small Starts projects. In accordance 
with Section 5309(d) and (e), FTA considers the merits of the project, 
the strength of its financial plan, and its readiness to enter the next 
phase in deciding whether or not to approve entry of a New Starts 
project into PE or FD or a Small Starts project into PD. Upon FTA 
approval of a New Starts project to enter PE, FTA extends pre-award 
authority to incur costs for PE activities. Upon FTA approval of a New 
Starts project to enter FD, FTA extends pre-award authority to incur 
costs for FD activities. Upon FTA approval of a Small Starts project to 
enter PD, FTA extends pre-award authority to incur costs for 
preliminary engineering activities. Once FTA has completed its 
environmental determination on the Small Starts project, FTA extends 
pre-award authority to incur costs for final design activities, right-
of-way acquisition, and utility relocation. The pre-award authority for 
each phase is automatic upon FTA's signing of a letter to the project 
sponsor approving entry into that phase. PE and FD are defined in FTA's 
New Starts regulation at 49 CFR part 611 and further information on 
these project development milestones is available at https://
www.fta.dot.gov/index_5221.html.
    b. Real Property Acquisition Activities. FTA extends automatic pre-
award authority for the acquisition of real property and real property 
rights for a New or Small Starts project upon completion of the NEPA 
process for that project. As noted above, the NEPA process is completed 
when FTA issues a CE, FONSI, or ROD. With the limitations and caveats 
described below, real estate acquisition for a New or Small Starts 
project may commence, at the project sponsor's risk, upon completion of 
the NEPA process.
    For FTA-assisted projects, any acquisition of real property or real 
property rights must be conducted in accordance with the requirements 
of the Uniform Relocation Assistance and Real Property Acquisition 
Policies Act (URA) and its implementing regulations, 49 CFR part 24. 
This pre-award authority is strictly limited to costs incurred: (i) to 
acquire real property and real property rights in accordance with the 
URA regulation, and (ii) to provide relocation assistance in accordance 
with the URA regulation. This pre-award authority is limited to the 
acquisition of real property and real property rights that are 
explicitly identified in the final environmental impact statement 
(FEIS), environmental assessment (EA), or CE document, as needed for 
the selected alternative that is the subject of the FTA-signed ROD or 
FONSI, or CE determination. This pre-award authority does not cover 
site preparation, demolition, or any other activity that is not 
strictly necessary to comply with the URA, with one exception. That 
exception is when a building that has been acquired, has been emptied 
of its occupants, and 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 vagrants. Demolition of the building is 
also covered by this pre-award authority upon FTA's written agreement 
that the adverse condition exists.
    Pre-award authority for property acquisition is also provided when 
FTA makes a CE determination for a protective buy or hardship 
acquisition in accordance with 23 CFR 771.117(d)(12), and when FTA 
makes a CE determination for the acquisition of a pre-existing railroad 
right-of-way in accordance with 49 U.S.C. section 5324(c). When a 
tiered environmental review in accordance with 23 CFR 771.111(g) is 
being 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 and relocation assistance very carefully, with a clear 
understanding that it does not constitute a funding commitment by FTA. 
FTA provides pre-award authority upon completion of the NEPA process to 
maximize the time available to project sponsors to move people out of 
their homes and places of business, in accordance with the requirements 
of the Uniform Relocation Act, but also with maximum sensitivity to the 
plight of the people so affected. Although FTA provides pre-award 
authority for property acquisition upon completion of the NEPA process, 
FTA will not make a grant to reimburse the sponsor for real estate 
activities conducted under pre-award authority until a New Starts 
project has been approved into FD. Even if funds have been appropriated 
for the project, the timing of an actual grant for property acquisition 
and related activities must await FD approval to ensure that Federal 
funds are not risked on a project whose advancement beyond PE is still 
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, either to support an FTA finding 
of no significant impact (FONSI) or to demonstrate that the action is 
categorically excluded from the more rigorous level of NEPA review.
    Under FTA's environmental impact procedures at 23 CFR part 771, 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(e)). Accordingly, FTA extends pre-award 
authority for costs incurred to comply with NEPA regulations and to 
conduct NEPA-related activities for a proposed New Starts or Small 
Starts project, effective as of the date of the Federal approval of the 
relevant STIP or STIP amendment that includes the project or any phase 
of the project. NEPA-related activities include, but are not limited 
to, public involvement activities, historic preservation reviews, 
section 4(f) evaluations, wetlands evaluations, endangered species 
consultations, and biological assessments. This pre-award authority is 
strictly limited to costs

[[Page 9663]]

incurred to conduct the NEPA process, and to prepare environmental, 
historic preservation and related documents. It does not cover PE 
activities beyond those necessary for NEPA compliance.
    d. Other New or Small Starts Activities Requiring Letter of No 
Prejudice (LONP). Except as discussed in paragraphs a) through c) 
above, a grant applicant must obtain a written LONP from FTA before 
incurring costs for any activity expected to be funded by New or Small 
Starts funds not yet awarded. 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 
below.

C. Grant Application Procedures

    Grantees will be able to receive ARRA grant funds through the TEAM-
Web system beginning March 9, 2009. The following grant procedures 
apply to ARRA program funds; however, more detailed grant application 
instructions including standard grant language can be found in Appendix 
A of this document.
    1. Eligible recipients for project funds under the ARRA are direct 
and designated recipients in UZAs, States, and Tribal Transit 
providers.
    2. An application for ARRA should be submitted electronically to 
the appropriate FTA regional office through TEAM-Web.
    3. Grantees may not commingle ARRA funds into a grant application 
that contains FTA funding authorized under SAFETEA-LU or any prior 
authorization. Furthermore, grantees cannot apply for funding allocated 
under separate ARRA programs in a single grant. Example: If City ``A'' 
receives Transit Capital Assistance program funds under ARRA and 
funding for Fixed Guideway Infrastructure Investment Funds under ARRA, 
City ``A'' must apply to receive the Fixed Guideway Infrastructure 
Investment funds in one grant and develop a separate grant containing 
projects to be funded using the Transit Capital Assistance funds. 
Moreover, neither type of ARRA grant may include any FTA funding under 
49 U.S.C. Chapter 53.
    4. FTA will process ARRA grants promptly upon receipt of a 
completed application. Because ARRA grants must be processed in a 
timely manner to assure that project funds begin to flow into the 
economy as quickly as possible, FTA will consider an ARRA grant 
application complete if: (a) The TEAM grant application template has 
been completed; (b) the budget is firm; (c) the project details contain 
adequate information for determining eligibility; and (d) projects 
requiring a Finding of No Significant Impact (FONSI) or Record of 
Decision (ROD) have submitted the environmental documentation for 
review. After these prerequisites are met, FTA will assign a grant 
number, enabling official submittal of the grant for further 
processing. Once a grant number is assigned, FTA will immediately send 
the grant for Department of Labor (DOL) certification.
    FTA is modifying its established grant development procedures to 
speed delivery of ARRA grants. Although FTA is allowing grants to be 
submitted at an earlier stage in development, the following 
requirements must still be met before grant award:
    a. The project is listed in a currently FTA approved Metropolitan 
Transportation Plan, Metropolitan Transportation Improvement Program 
(TIP); and federally approved Statewide Transportation Improvement 
Program (STIP).
    b. The grantee's required Civil Rights submissions are current.
    c. The FY 2009 certifications and assurances are properly 
submitted.
    d. The required environmental findings have been made.
    e. The milestone information is complete. The grant must include 
sufficient milestones appropriate to the scale of the project to allow 
adequate oversight to monitor the progress of projects from the start 
through completion and closeout.

    Note: It is critical that grantees receiving ARRA grant funds 
update activity milestones and the financial status report on a 
quarterly basis.

    f. The grant has been certified by DOL.
    g. Necessary certifications are complete.
    5. As stated above, grants containing ARRA funds must be submitted 
to DOL for certification of the labor protective arrangements before 
FTA can award the grant. To streamline the process, DOL intends to 
certify ARRA program grants in accordance with its procedures for 
certifying the current FTA program whose requirements are applicable. 
Accordingly, ARRA programs that follow the requirements of 49 U.S.C. 
section 5307 or 49 U.S.C. section 5309 will be referred out to the 
unions if the grant contains new project activities. Grants for like-
kind equipment or replacements will not be referred out to the unions 
before certification. ARRA programs that follow the requirements of 49 
U.S.C. section 5311 will be certified based on the special warranty 
provision including grants to Indian tribes. Additional information 
regarding grants that require referral can be found on DOL's Web site 
https://www.dol.gov/esa/olms/regs/compliance/redesign_2006/
redesign2006_transitemplprotect.htm.
    Consistent with DOL's guidelines, grants subject to a referral may 
require up to 60 days to complete. (29 CFR 215.3). Accordingly, the 
obligation deadlines associated with most ARRA program funds make it 
essential that grantees expecting to utilize the ARRA funding submit 
grants that require union referral to FTA for processing in a timely 
manner. FTA will consider a submittal timely if a complete ARRA formula 
grant is received on or before July 1, 2009.
    6. Before executing an ARRA grant, the executing official must 
inform FTA via the TEAM system of the (1) purpose of the investment, 
and (2) the rationale for the investment. Grantees must select one or 
more of the following purposes in TEAM before the grant can be 
executed:
    a. To preserve and create jobs and promote economic recovery.
    b. To assist those affected negatively by the recession.
    c. To provide investments needed to increase economic efficiency by 
spurring technological advances.
    d. To invest in transportation infrastructure that will provide 
long-term economic benefits.
    e. To stabilize State and local government budgets, in order to 
minimize reductions in essential services and counterproductive State 
and local tax increases.
    In addition, grantees must also select one or more of the following 
rationales:
    a. Project is ready to go (all applicable federal requirements are 
complete).
    b. Use of Recovery funds for this project frees up other FTA/State/
local resources for other purposes.
    c. Project is high local/regional priority.
    d. Project could not have been implemented without supplemental 
funding.
    e. Funding accelerates completion and decreases over-all project 
costs.
    f. Project provides equipment or facilities to increase transit 
ridership.
    g. Project is a needed investment to bring assets to a state of 
good repair.
    h. Project addresses immediate maintenance needs.
    7. Other important issues that affect FTA grant processing 
activities are discussed below.
    a. DBE Goal--Existing DOT and FTA regulations and guidance 
pertaining to the ADA, EEO, Title VI, and DBE

[[Page 9664]]

programs will apply to the ARRA funds. Concerning the DBE program (49 
CFR part 26) the U.S. DOT has issued ARRA DBE Questions & Answers at 
https://osdbu.dot.gov/DBEProgram/dbeqna.cfm#economic_recovery. This 
Q&A should address some of the unique issues and opportunities raised 
by the new spending, express DOT's expectations, and delineate 
grantees' continued obligations and options as they prepare for and 
execute their potential grants.
    b. Special Conditions of Grant Award--In the interest of time, FTA 
is not issuing a separate grant contract for ARRA funds. However, 
because different requirements flow with the ARRA funds, these 
additional requirements will be added by FTA regional staff as 
conditions of grant approval in each TEAM application. Recipients 
applying for grants that contain ARRA funds must agree to the following 
grant conditions that will be included in the grant application.
    1. Recipient of ARRA funds agrees to comply with reporting 
requirements and deadlines set out in section 1201(c) of Public Law 
111-5.
    2. Recipient of ARRA funds agrees to comply with reporting 
requirements and deadlines set out in section 1512 of Public Law 111-5.
    3. Recipient of ARRA funds agrees that all data submitted to FTA in 
compliance with the requirements of Public Law 111-5 is accurate, 
objective, and of the highest integrity.
    4. Recipient of ARRA funds acknowledges that receipt of ARRA funds 
is a ``one-time'' disbursement that does not create any future 
obligation by the FTA to advance similar funding amounts.
    5. Recipient of ARRA funds agrees that it or its sub-recipients 
will report any credible evidence that a principal, employee, agent, 
contractor, sub-recipient, subcontractor, or other person has submitted 
a false claim under the False Claims Act or has committed a criminal or 
civil violation of law pertaining to fraud, conflict of interest, 
bribery, gratuity, or similar misconduct involving ARRA funds.
    c. Buy America--The Buy America requirements under 49 U.S.C. 
section 5323(j) that typically apply to projects accepting Federal 
assistance under the Federal Transit program authorized under Chapter 
53 of title 49, United States Code, apply to all capital public 
transportation projects funded with amounts appropriated in the ARRA. 
Therefore, an applicant, in carrying out a procurement financed with 
Federal assistance authorized under the ARRA must comply with 
applicable Buy America requirements in 49 U.S.C. section 5323(j) and 49 
CFR part 661.

D. Reporting Requirements and Certifications Applicable to Recipients 
of ARRA Funds

    As a condition of award, grantees receiving ARRA funds will be 
required to report on grant activities on a routine basis. FTA grantees 
will be responsible for reporting up-to-date and accurate information 
in the milestone status report and financial status report on a 
quarterly basis, as well as additional data elements that are required 
to be reported in www.recovery.gov. Additionally, special 
certifications and grant conditions also will be required of ARRA grant 
recipients. FTA will issue additional specific guidance on reporting 
requirements in the near future for your information. The ARRA 
statutory reporting requirements and certifications are identified 
below:
1. Section 1511: Certifications
    For covered funds made available to State or local governments for 
infrastructure investments, the Governor, mayor, or other chief 
executive, as appropriate, is required to certify that the 
infrastructure investment has received the full review and vetting 
required by law and that the chief executive accepts responsibility 
that the infrastructure investment is an appropriate use of taxpayer 
dollars. Such certification must include a description of the 
investment, the estimated total cost, and the amount of covered funds 
to be used, and must be posted on a specified Web site. A State or 
local agency may not receive infrastructure investment funding from 
funds made available under ARRA unless this certification is made and 
posted.
    On February 27, 2009, USDOT Secretary LaHood sent a letter to the 
Governors providing guidance and a template for this certification and 
instructing them to send the Section 1511 certification and the other 
two certifications by the Governor described below to the Department at 
the following address: TigerTeam@dot.gov. A single certification by the 
Governor, based on the established planning process, and including a 
link to a Web site posting of the Statewide Transportation Improvement 
Program, which must contain the required section 1511 information for 
each investment, will satisfy the requirement for certification by the 
Governor for both FHWA and FTA projects. FTA will provide further 
guidance in the near future about any additional certifications that 
may be required by local officials to ensure that all ARRA projects 
have been properly vetted.
2. Section 1512: Reports on Use of Funds
    Recipient Reports.--Not later than 10 days after the end of each 
calendar quarter, each recipient that received recovery funds from a 
Federal agency shall submit a report to that agency that contains--
    (i) The total amount of recovery funds received from that agency;
    (ii) the amount of recovery funds received that were expended or 
obligated to projects or activities; and
    (iii) a detailed list of all projects or activities for which 
recovery funds were expended or obligated, including--
    (A) The name of the project or activity;
    (B) a description of the project or activity;
    (C) an evaluation of the completion status of the project or 
activity;
    (D) an estimate of the number of jobs created and the number of 
jobs retained by the project or activity; and
    (E) for infrastructure investments made by State and local 
governments, the purpose, total cost, and rationale of the agency for 
funding the infrastructure investment with funds made available under 
ARRA, and name of the person to contact at the agency if there are 
concerns with the infrastructure investment.
    (iv) detailed information on any subcontracts or subgrants awarded 
by the recipient to include the data elements required to comply with 
the Federal Funding Accountability and Transparency Act of 2006 (Pub. 
L. 109-282), allowing aggregate reporting on awards below $25,000 or to 
individuals, as prescribed by the Director of the Office of Management 
and Budget.
    The data elements required to comply with Public Law 109-282 are: 
name of entity receiving the award; the amount of the award; 
information on the award including transaction type, funding agency, 
the North American Industry Classification System Code or Catalog of 
Federal Domestic Assistance number (where applicable); program source; 
and an award title descriptive of the purpose of each funding action.
    FTA will extract as much as possible of this information from grant 
information and standard reports provided through the TEAM electronic 
grants award and management system. Supplemental reporting may be 
required, however, to provide the project and contract level 
information. FTA will provide further reporting instructions at a later 
date. FTA is working with other modal

[[Page 9665]]

administrations within the Department of Transportation (DOT) to 
standardize the information required from all DOT recipients. 
Additional frequency of reporting may be required to be responsive to 
Congressional oversight requirements.
3. Section 1512(h) Registration
    Recipients of ARRA funds that are required to report information 
per subsection (c)(4) must register with Central Contractor 
Registration database (CCR) or complete other registration requirements 
as determined by the Director of the Office of Management and Budget 
(OMB).
    The reporting and registration requirements are effective 180 days 
after enactment of ARRA. OMB has not yet determined whether to use the 
CCR or some other registration database. However, OMB has issued 
guidance requiring FTA and other Federal agencies to ensure that 
grantees and first tier subawardees (subrecipients and contractors) 
obtain a DUNS number, or update their DUNS record if necessary. OMB has 
not yet issued a final determination on the extent to which subawardees 
will be required to register in CCR.
4. Section 1201(a) Maintenance of Effort
    Not later than March 19, 2009 for each amount that is distributed 
to a State or its agency from an appropriation in ARRA for a covered 
program, the Governor of that State is required to certify to the 
Secretary of Transportation that the State will maintain its effort 
with regard to State funding for the types of projects that are funded 
by the appropriation. As part of this certification, the Governor is 
required to submit to the Secretary of Transportation a statement 
identifying the amount of funds the State planned to expend from State 
sources as of February 17, 2009, during the period of February 17, 2009 
through September 30, 2010, for the types of projects that are funded 
by the appropriation.
    This requirement applies only to State funding for transportation 
projects eligible for ARRA funding. DOT will treat this maintenance of 
effort requirement through one consolidated certification from the 
Governor to the Secretary, which must include State funding for transit 
projects, as well as highway and other transportation modal projects.
5. Section 1201(2)(c) Periodic Reports
    For amounts received under each covered program by a grant 
recipient under ARRA, the grant recipient shall include in the periodic 
reports information tracking:
    (A) The amount of Federal funds appropriated, allocated, obligated, 
and outlayed under the appropriation;
    (B) the number of projects that have been put out to bid under the 
appropriation;
    (C) the number of projects for which contracts have been awarded 
under the appropriation and the amount of Federal funds associated with 
such contracts;
    (D) the number of projects for which work has begun under such 
contracts and the amount of Federal funds associated with such 
contracts;
    (E) the number of projects for which work has been completed under 
such contracts and the amount of Federal funds associated with such 
contracts;
    (F) the number of direct, on-project jobs created or sustained by 
the Federal funds provided for projects under the appropriation and, to 
the extent possible, the estimated indirect jobs created or sustained 
in the associated supplying industries, including the number of job-
years created and the total increase in employment since February 17, 
2009 and
    (G) the actual aggregate expenditures by each grant recipient from 
State sources for projects eligible for funding under the program 
during the period of February 17, 2009 through September 30, 2010, as 
compared to the level of such expenditures that were planned to occur 
during such period as of the date of enactment of ARRA.
    Each grant recipient is required to submit the first of the 
periodic reports required alone not later than 90 days from February 
17, 2009 and is required to submit updated reports not later than.
    FTA will extract as much as possible of this information from grant 
information and standard reports provided through the TEAM electronic 
grants award and management system. Supplemental reporting may be 
required, however, to provide the project and contract level 
information. FTA will provide further reporting instructions at a later 
date. FTA is working with other modal administrations within DOT to 
standardize the information required from all DOT recipients, including 
the possibility of generating the required jobs data thro