Notice of Funding Availability for the Department of Transportation's National Infrastructure Investments Under the Full-Year Continuing Appropriations, 2011; and Request for Comments, 50289-50312 [2011-20577]

Agencies

• Office of the Secretary of Transportation
• DEPARTMENT OF TRANSPORTATION

[Federal Register Volume 76, Number 156 (Friday, August 12, 2011)]
[Notices]
[Pages 50289-50312]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2011-20577]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF TRANSPORTATION

Office of the Secretary of Transportation

[Docket No. DOT-OST-2011-0107]


Notice of Funding Availability for the Department of 
Transportation's National Infrastructure Investments Under the Full-
Year Continuing Appropriations, 2011; and Request for Comments

AGENCY: Office of the Secretary of Transportation, DOT.

ACTION: Notice of Funding Availability, Request for Comments.

-----------------------------------------------------------------------

SUMMARY: This notice announces the availability of funding and requests 
proposals for the Department of Transportation's National 
Infrastructure Investments. In addition, this notice announces 
selection criteria and pre-application and application requirements for 
the National Infrastructure Investments.
    On July 1, 2011 the Department of Transportation published an 
interim notice announcing the availability of funding for the 
Department of Transportation's National Infrastructure Investments, or 
``TIGER Discretionary Grants,'' project selection criteria and pre-
application and application requirements for these grants. The interim 
notice also requested comments on the project selection criteria and 
pre-application and application requirements. The Department considered 
the comments that were submitted in accordance with the interim notice 
and decided to make no substantive revisions to the interim notice 
based on those comments. However, the Department has decided to make 
minor revisions to the interim notice, to provide additional 
information to potential applicants on the project readiness 
characteristics that the Department considers when evaluating an 
application (see section I(b) and Appendix C). The Department has also 
updated the point-of-contact information for program staff that should 
be contacted with any questions regarding the application process for 
these grants.
    On April 15, 2011, the President signed the Full-Year Continuing 
Appropriations, 2011 (Div. B of the Department of Defense and Full-Year 
Continuing Appropriations Act, 2011 (Pub. L. 112-010, Apr. 15, 2011)) 
(``FY 2011 Continuing Appropriations Act''). The FY 2011 Continuing 
Appropriations Act appropriated $526.944 million to be awarded by the 
Department of Transportation (``DOT'') for National Infrastructure 
Investments. This appropriation is similar, but not identical to the 
appropriation for the Transportation Investment Generating Economic 
Recovery, or ``TIGER Discretionary Grant'', program authorized and 
implemented pursuant to the American Recovery and Reinvestment Act of 
2009 (the ``Recovery Act''), and the National Infrastructure 
Investments or ``TIGER II Discretionary Grant'' program under the 
Transportation, Housing and Urban Development, and Related Agencies 
Appropriations Act for 2010 (``FY 2010 Appropriations Act''). Because 
of the similarity in program structure, DOT has referred to the grants 
for National Infrastructure Investments under the FY 2010 
Appropriations Act as ``TIGER II Discretionary Grants''. Given that 
funds have now been appropriated for these similar programs in three 
separate statutes, DOT is referring to the grants for National 
Infrastructure Investments under the FY 2011 Continuing Appropriations 
Act simply as ``TIGER Discretionary Grants.'' As with the TIGER and 
TIGER II programs, funds for the FY2011 TIGER program are to be awarded 
on a competitive basis for projects that will have a significant impact 
on the Nation, a metropolitan area or a region. Through this notice, 
DOT is soliciting applications for TIGER Discretionary Grants.
    In the event that this solicitation does not result in the award 
and obligation of all available funds, DOT may decide to publish an 
additional solicitation(s).

DATES: Pre-applications must be submitted by October 3, 2011, at 5 p.m. 
EDT (the ``Pre-Application Deadline''). Final applications must be 
submitted through Grants.gov by October 31, 2011, at 5 p.m. EDT (the 
``Application Deadline''). The DOT pre-application system will open on 
or before September 9, 2011, to allow prospective applicants to submit 
pre-applications. Subsequently, the Grants.gov ``Apply'' function will 
open on October 5, 2011, allowing applicants to submit applications. 
While applicants are encouraged to submit pre-applications in advance 
of the Pre-Application Deadline, pre-applications will not be reviewed 
until after the pre-application deadline. Similarly, while applicants 
are encouraged to submit applications in advance of the Application 
Deadline, applications will not be evaluated, and awards will not be 
made, until after the Application Deadline.

ADDRESSES: Pre-applications must be submitted electronically to DOT and 
applications must be submitted electronically through Grants.gov. Only 
pre-applications received by DOT and applications received through 
Grants.gov will be deemed properly filed. Instructions for submitting 
pre-applications to DOT and applications through Grants.gov are 
included in Section VII (Pre-Application and Application Cycle).

FOR FURTHER INFORMATION CONTACT: For further information concerning 
this notice please contact the TIGER Discretionary Grant program staff 
via e-mail at TIGERGrants@dot.gov, or call Howard Hill at 202-366-0301. 
A TDD is available for individuals who are deaf or hard of hearing at 
202-366-3993. In addition, DOT will regularly post answers to questions 
and requests for clarifications on DOT's Web site at https://www.dot.gov/TIGER.

SUPPLEMENTARY INFORMATION: This notice is substantially similar to the 
Final notice published for the TIGER II Discretionary Grant program in 
the Federal Register on June 1, 2010. However, there are a few 
significant differences that applicants should be aware of. These 
differences are as follows:
    1. Unlike the FY 2010 Appropriations Act, the FY 2011 Continuing 
Appropriations Act does not provide any funding for projects solely for 
the planning, preparation, or design of capital projects (``TIGER 
Planning Grants''); however these activities may be eligible to the 
extent that they are part of an overall construction project that 
receives TIGER Discretionary Grants funding.
    2. As specified in section VI of this notice, any applicant that is 
applying for a TIGER TIFIA Payment must also submit a TIFIA letter of 
interest along with their application.
    3. As specified in section VII(A) of this notice, eligible 
applicants may submit, as a lead applicant, no more than three 
applications for consideration. However, multistate applications will 
not count towards the lead applicant's three application limit. 
Additionally, applicants may be identified as a partnering agency on 
the application of another lead applicant and such an application will 
not count towards a partnering applicant's three application limit as a 
lead applicant.

[[Page 50290]]

Other than these differences, and minor edits made to conform the 
notice to the factual circumstances of this round of TIGER funding, 
there have been no material changes made to the notice. This final 
notice includes minor revisions to the interim notice, to provide 
additional information to potential applicants on the project readiness 
characteristics that the Department considers when evaluating an 
application (see section I(b) and Appendix C). The Department has also 
updated the point-of-contact information for program staff that should 
be contacted with any questions regarding the application process for 
these grants. Each section of this notice contains information and 
instructions relevant to the application process for these TIGER 
Discretionary Grants and prospective applicants should read this notice 
in its entirety so that they have the information they need to submit 
eligible and competitive applications.

Table of Contents

I. Background
Tiger Discretionary Grants
II. Selection Criteria and Guidance on Application of Selection 
Criteria
III. Evaluation and Selection Process
IV. Grant Administration
V. Projects in Rural Areas
VI. TIGER TIFIA Payments
Application Requirements
VII. Pre-Application and Application Cycle
VIII. Project Benefits
IX. Questions and Clarifications
Appendix A: Additional Information on Cost Benefit Analysis
Appendix B: Additional Information on Applying Through Grants.gov
Appendix C: Additional Information on Guidelines for Project 
Readiness

I. Background

Recovery Act TIGER and Fiscal Year 2010 TIGER II Discretionary Grants

    On February 17, 2009, the President of the United States signed the 
Recovery Act, which appropriated $1.5 billion of discretionary grant 
funds to be awarded by DOT for capital investments in surface 
transportation infrastructure. DOT has referred to these grants as 
Grants for Transportation Investment Generating Economic Recovery or 
``TIGER Discretionary Grants.'' DOT solicited applications for TIGER 
Discretionary Grants through a notice of funding availability published 
in the Federal Register on June 17, 2009 (an interim notice was 
published on May 18, 2009). Applications for TIGER Discretionary Grants 
were due on September 15, 2009 and DOT received over 1,400 applications 
with funding requests totaling almost $60 billion. Funding for 51 
projects totaling nearly $1.5 billion was announced on February 17, 
2010.
    On December 16, 2009, the President signed the FY 2010 
Appropriations Act that appropriated $600 million to DOT for National 
Infrastructure Investments using language that was similar, but not 
identical, to the language in the Recovery Act authorizing the TIGER 
Discretionary Grants. DOT has referred to those grants for National 
Infrastructure Investments as TIGER II Discretionary Grants.
    The FY 2010 Appropriations Act permitted DOT to use an amount not 
to exceed $35 million of the available TIGER II funds for projects that 
involved solely the planning, preparation, or design of Eligible 
Projects, and not their construction (``TIGER II Planning Grants''). 
The Recovery Act did not explicitly provide funding for similar 
activities under the TIGER Discretionary Grant program.
    DOT solicited applications for TIGER II Discretionary Grants 
through a notice of funding availability published in the Federal 
Register on June 1, 2010 (an interim notice was published on April 26, 
2010). Applications for TIGER II Discretionary Grants were due on 
August 23, 2010 and nearly 1,700 applications were received with 
funding requests totaling about $21 billion. Funding awards for 42 
capital projects totaling nearly $557 million were announced on October 
20, 2010. Grant announcements ranged from $1.01 million to $47.6 
million for individual capital projects, with an average award size of 
approximately $13.25 million; the median award amount was $10.5 
million. Additionally, funding for 33 planning projects totaling nearly 
$28 million was announced on October 20, 2010. TIGER II Planning Grant 
announcements ranged from $85 thousand to $2.8 million for individual 
projects, with an average award size of approximately $835 thousand; 
the median award size was $720 thousand. Fourteen TIGER II Planning 
Grant recipients received HUD Sustainable Community Challenge Grants 
that were also announced on October 20, 2010. Projects were selected 
for funding based on their alignment with the selection criteria 
specified in the June 1, 2010, Federal Register notice for the TIGER II 
Discretionary Grant program.
    On April 15, 2011, the President signed the FY 2011 Continuing 
Appropriations Act. This Act appropriated $526.944 million to DOT for 
National Infrastructure Investments using language that is similar, but 
not identical to the language in the FY 2010 Appropriations Act 
authorizing the TIGER II Discretionary Grants. DOT is referring to 
these grants for National Infrastructure Investments as TIGER 
Discretionary Grants.
    The most significant difference between the 2010 and 2011 
appropriations is that there is no funding available for TIGER Planning 
Grants in the 2011 Act.
    Section 1101 of the FY 2011 Continuing Appropriations Act, Title 
I--General Provisions, states that the appropriations are for such 
amounts as may be necessary, at the level specified and under the 
authority and conditions provided in applicable appropriations Act for 
fiscal year 2010, for projects or activities for which appropriations, 
funds, or other authority were made available under the Consolidated 
Appropriations Act, 2010 (Pub. L. 111-117). Because of this general 
provision in the FY 2011 Continuing Appropriations Act, DOT is applying 
the authority and conditions outlined in the following section.

FY 2011 TIGER Discretionary Grants

    Like the TIGER and TIGER II Discretionary Grants, this year's TIGER 
Discretionary Grants are for capital investments in surface 
transportation infrastructure and are to be awarded on a competitive 
basis for projects that will have a significant impact on the Nation, a 
metropolitan area, or a region. Key requirements of the TIGER 
Discretionary Grant program are summarized below, and material 
differences from the previous TIGER Discretionary Grant programs are 
highlighted.
    ``Eligible Applicants'' for TIGER Discretionary Grants are State, 
local, and Tribal governments, including U.S. territories, Tribal 
governments, transit agencies, port authorities, metropolitan planning 
organizations (MPOs), other political subdivisions of State or local 
governments, and multi-State or multi-jurisdictional groups applying 
through a single lead applicant (for multi-jurisdictional groups, each 
member of the group, including the lead applicant, must be an otherwise 
eligible applicant as defined in this paragraph).
    Projects that are eligible for TIGER Discretionary Grants under the 
FY 2011 Continuing Appropriations Act (``Eligible Projects'') include, 
but are not limited to: (1) Highway or bridge projects eligible under 
title 23, United States Code; (2) public transportation projects 
eligible under chapter 53 of title 49, United States Code; (3) 
passenger and freight rail transportation projects; and (4) port 
infrastructure investments. Federal wage rate requirements included in 
subchapter IV of chapter 31 of title 40, United States Code, apply to 
all projects receiving funds. This

[[Page 50291]]

description of Eligible Projects is identical to the description of 
eligible projects under the TIGER II Discretionary Grant program.\1\
---------------------------------------------------------------------------

    \1\ Consistent with the FY 2011 Continuing Appropriations Act, 
DOT will apply the following principles in determining whether a 
project is eligible as a capital investment in surface 
transportation: (1) Surface transportation facilities generally 
include roads, highways and bridges, ports, freight and passenger 
railroads, transit systems, and projects that connect transportation 
facilities to other modes of transportation; and (2) surface 
transportation facilities also include any highway or bridge project 
eligible under title 23, U.S.C., or public transportation project 
eligible under chapter 53 of title 49, U.S.C. Please note that the 
Department may use a TIGER Discretionary Grant to pay for the 
surface transportation components of a broader project that has non-
surface transportation components, and applicants are encouraged to 
apply for TIGER Discretionary Grants to pay for the surface 
transportation components of these projects.
---------------------------------------------------------------------------

    However, while in the past applicants could submit as many 
applications as they wished, for the Fiscal Year 2011 TIGER 
Discretionary Grant Program, to help ensure that applicants submit only 
those applications that are most likely to align well with DOT's 
selection criteria, each applicant may submit no more than three 
applications for consideration. While applications may include requests 
to fund more than one project, applicants should not bundle together 
unrelated projects in the same application for purposes of avoiding the 
three application limit that applies to each applicant. Please note 
that the three application limit applies only to applications where the 
applicant is the lead applicant, and there is no limit on applications 
for which an applicant can be listed as a partnering agency. Also, DOT 
will not count any application for a multistate project against the 
three application limit to the extent multiple states are partnering to 
submit the application.
    The FY 2011 Continuing Appropriations Act requires a new 
solicitation of applications and, therefore, any unsuccessful applicant 
for a TIGER or TIGER II Discretionary Grant that wishes to be 
considered for a TIGER Discretionary Grant this year must reapply 
according to the procedures in this notice. Additionally, TIGER II 
planning grant recipients must reapply to be considered for a TIGER 
Discretionary Grant for capital funding, if they meet the eligibility 
criteria and schedule requirements for TIGER and are ready to proceed 
to the construction phase of the project.
    The FY 2011 Continuing Appropriations Act specifies that TIGER 
Discretionary Grants may be not less than $10 million (except in rural 
areas) and not greater than $200 million. Based on DOT's experience 
with the TIGER and TIGER II Discretionary Grant programs, it is 
unlikely that the $200 million maximum grant size for this year's TIGER 
Discretionary Grant program will be reached for any project. The FY 
2011 Continuing Appropriations Act, like the FY 2010 Appropriations 
Act, does not provide authority to waive the minimum $10 million grant 
size for TIGER Discretionary Grants. For projects located in rural 
areas (as defined in section V (Projects in Rural Areas)), the minimum 
TIGER Discretionary Grant size is $1 million, as it was in the FY 2010 
Appropriations Act. The term ``grant'' in the provision of the FY 2011 
Continuing Appropriations Act specifying a minimum grant size does not 
include TIGER TIFIA Payments, as defined below.
    Pursuant to the FY 2011 Continuing Appropriations Act, no more than 
25 percent of the funds made available for TIGER Discretionary Grants 
(or $131.736 million) may be awarded to projects in a single State. 
This maximum State share is consistent with the maximum State share 
under the TIGER II Discretionary Grants program. The comparable figure 
for TIGER II Discretionary Grants was also 25 percent (or $150 
million).
    The FY 2011 Continuing Appropriations Act directs that not less 
than $140 million of the funds provided for TIGER Discretionary Grants 
is to be used for projects located in rural areas. The comparable 
amount set aside for rural areas under the FY 2010 Appropriations Act 
was also $140 million. In awarding TIGER Discretionary Grants pursuant 
to the FY 2011 Continuing Appropriations Act, DOT must take measures to 
ensure an equitable geographic distribution of grant funds, an 
appropriate balance in addressing the needs of urban and rural areas 
and the investment in a variety of transportation modes. The FY 2010 
Appropriations Act included the same provisions for the TIGER II 
Discretionary Grant program.
    TIGER Discretionary Grants may be used for up to 80 percent of the 
costs of a project, but priority must be given to projects for which 
Federal funding is required to complete an overall financing package 
and projects can increase their competitiveness by demonstrating 
significant non-Federal contributions.\2\ The FY 2010 Appropriations 
Act included the same priority for TIGER II Discretionary Grants. Once 
again for this year's TIGER Discretionary Grants, DOT may increase the 
Federal share above 80 percent only for projects located in rural 
areas, in which case DOT may fund up to 100 percent of the costs of a 
project. Therefore, for projects not located in rural areas, based on 
the statutory requirements of at least 20 percent non-Federal cost 
share and a minimum grant size of $10 million, the minimum total 
project size for an eligible project is $12.5 million (where the 
minimum $10 million TIGER Discretionary Grant request represents 80 
percent of the total project cost). The minimum total project size for 
an eligible project in a rural area is 1 million (where the entire 
project cost is funded with a TIGER Discretionary Grant). However, the 
statutory requirement to give priority to projects that use Federal 
funds to complete an overall financing package applies to projects 
located in rural areas as well, and projects located in rural areas can 
increase their competitiveness for purposes of the TIGER program by 
demonstrating significant non-Federal financial contributions.
---------------------------------------------------------------------------

    \2\ DOT will consider any non-Federal funds for purposes of 
meeting the 20 percent match requirement, whether such funds are 
contributed by the public sector (State or local) or the private 
sector; however, DOT will not consider funds already expended at the 
time of the award for purposes of meeting the 20 percent match 
requirement.
---------------------------------------------------------------------------

    The Recovery Act required DOT to give priority to projects that 
were expected to be completed by February 17, 2012. Like the FY 2010 
Appropriations Act, the FY 2011 Continuing Appropriations Act does not 
include any similar requirements for the TIGER Discretionary Grants, 
although this year's TIGER funds are only available for obligation 
through September 30, 2013. The limited amount of time for which the 
funds will be made available means that DOT will consider the extent to 
which a project is ready to proceed with obligation of grant funds when 
evaluating applications.
    The Recovery Act emphasized the generation of near-term economic 
effects from expenditures on project costs, such as construction job 
creation. However, the FY 2010 and FY 2011 Continuing Appropriations 
Acts do not include explicit emphasis on job creation and instead focus 
more broadly on the impact of projects on the Nation, a metropolitan 
area, or a region including the medium- and long-term benefits that 
would accrue post-project completion. Therefore, in all cases, TIGER 
Discretionary Grant applications will need to be competitive on the 
merits of the medium- to long-term impacts of the projects themselves, 
as demonstrated by a project's alignment with the Long-

[[Page 50292]]

Term Outcomes selection criterion described in Section II(A) (Selection 
Criteria) below. However, because communities nationwide continue to 
face difficult economic circumstances, including high unemployment, DOT 
will also continue to incorporate near-term impacts like job creation 
in its evaluation of TIGER applications, as demonstrated by a project's 
alignment with the Job Creation & Near-Term Economic Activity selection 
criterion described in Section II(A) below. Consideration of near-term 
benefits will apply particularly in the case of projects that will 
employ people in Economically Distressed Areas as discussed in more 
detail in Section II(A) below.
    The FY 2011 Continuing Appropriations Act allows for an amount not 
to exceed $150 million of the $526.944 million to be used to pay the 
subsidy and administrative costs of the Transportation Infrastructure 
Finance and Innovation Act of 1998 (``TIFIA'') program, a Federal 
credit assistance program, if it would further the purposes of the 
TIGER Discretionary Grant program. DOT is referring to these payments 
as ``TIGER TIFIA Payments.'' The FY 2010 Appropriations Act also 
authorized DOT to use up to $150 million of the amount available for 
TIGER II Discretionary Grants for similar purposes.
    Based on the subsidy amounts required for projects in the TIFIA 
program's existing portfolio, DOT estimates that $150 million of TIGER 
TIFIA Payments could support approximately $1.5 billion in TIFIA credit 
assistance. The amount of budget authority required to support TIFIA 
credit assistance is calculated on a project-by-project basis. 
Applicants for TIGER TIFIA Payments should submit an application 
pursuant to this notice and a separate TIFIA letter of interest, as 
described below in Section VI (TIGER TIFIA Payments). Unless otherwise 
noted, or the context requires otherwise, references in this notice to 
TIGER Discretionary Grants include TIGER TIFIA Payments.
    DOT reserves the right to offer a TIGER TIFIA Payment to an 
applicant that applied for a TIGER Discretionary Grant even if DOT does 
not choose to fund the requested TIGER Discretionary Grant and the 
applicant did not specifically request a TIGER TIFIA Payment. 
Therefore, as described below in Section VI (TIGER TIFIA Payments), 
applicants for TIGER Discretionary Grants, particularly applicants that 
require a substantial amount of funds to complete a financing package, 
should indicate whether or not they have considered applying for a 
TIGER TIFIA Payment. To the extent an applicant thinks that TIFIA may 
be a viable option for the project, applicants should provide a brief 
description of a project finance plan that includes TIFIA credit 
assistance and identifies a source of revenue which may be available to 
support the TIFIA credit assistance.
    The FY 2011 Continuing Appropriations Act provides that the 
Secretary of Transportation may retain up to $25 million of the 
$526.944 million to fund the award and oversight of TIGER Discretionary 
Grants. Portions of the $25 million may be transferred for these 
purposes to the Administrators of the Federal Highway Administration, 
the Federal Transit Administration, the Federal Railroad 
Administration, and the Federal Maritime Administration.
    The purpose of this notice is to solicit applications for TIGER 
Discretionary Grants.

TIGER Discretionary Grants

II. Selection Criteria and Guidance on Application of Selection 
Criteria

    This section specifies the criteria that DOT will use to evaluate 
applications for TIGER Discretionary Grants. The criteria incorporate 
the statutory eligibility requirements for this program, which are 
specified in this notice as relevant. This section is divided into two 
parts. Part A (Selection Criteria) specifies the criteria that DOT will 
use to rate projects. Additional guidance about how DOT will apply 
these criteria, including illustrative metrics and examples, is 
provided in Part B  (Additional Guidance on Selection Criteria).

A. Selection Criteria

    TIGER Discretionary Grants will be awarded based on the selection 
criteria as outlined below. There are two categories of selection 
criteria, ``Primary Selection Criteria'' and ``Secondary Selection 
Criteria.''
    The Primary Selection Criteria include (1) Long-Term Outcomes and 
(2) Job Creation & Near-Term Economic Activity. The Secondary Selection 
Criteria include (1) Innovation and (2) Partnership. The Primary 
Selection Criteria are intended to capture the primary objective of the 
TIGER provisions of the FY 2011 Continuing Appropriations Act, which is 
to invest in infrastructure projects that will have a significant 
impact on the Nation, a metropolitan area, or a region. The Secondary 
Selection Criteria are intended to capture the benefits of new and/or 
innovative approaches to achieving this programmatic objective.
1. Primary Selection Criteria
(a) Long-Term Outcomes
    DOT will give priority to projects that have a significant impact 
on desirable long-term outcomes for the Nation, a metropolitan area, or 
a region. Applications that do not demonstrate a likelihood of 
significant long-term benefits in this criterion will not proceed in 
the evaluation process. The following types of long-term outcomes will 
be given priority:
    (i) State of Good Repair: Improving the condition of existing 
transportation facilities and systems, with particular emphasis on 
projects that minimize life-cycle costs.
    (ii) Economic Competitiveness: Contributing to the economic 
competitiveness of the United States over the medium- to long-term.
    (iii) Livability: Fostering livable communities through place-based 
policies and investments that increase transportation choices and 
access to transportation services for people in communities across the 
United States.
    (iv) Environmental Sustainability: Improving energy efficiency, 
reducing dependence on oil, reducing greenhouse gas emissions and 
benefitting the environment.
    (v) Safety: Improving the safety of U.S. transportation facilities 
and systems.
(b) Job Creation and Near-Term Economic Activity
    While the TIGER Discretionary Grant program is not a Recovery Act 
program, job creation and near-term economic activity remain a top 
priority of this Administration; therefore, DOT will give priority (as 
it did for the TIGER and TIGER II Discretionary Grant programs) to 
projects that are expected to quickly create and preserve jobs and 
promote rapid increases in economic activity, particularly jobs and 
activity that benefit economically distressed areas as defined by 
section 301 of the Public Works and Economic Development Act of 1965, 
as amended (42 U.S.C. 3161) (``Economically Distressed Areas'').\3\
---------------------------------------------------------------------------

    \3\ While Economically Distressed Areas are typically identified 
under the Public Works and Economic Development Act at the county 
level, for the purposes of this program DOT will consider regions, 
municipalities, smaller areas within larger communities, or other 
geographic areas to be Economically Distressed Areas if an applicant 
can demonstrate that any such area otherwise meets the requirements 
of an Economically Distressed Area as defined in section 301 of the 
Public Works and Economic Development Act of 1965.

---------------------------------------------------------------------------

[[Page 50293]]

2. Secondary Selection Criteria
(a) Innovation
    DOT will give priority to projects that use innovative strategies 
to pursue the long-term outcomes outlined above.
(b) Partnership
    DOT will give priority to projects that demonstrate strong 
collaboration among a broad range of participants and/or integration of 
transportation with other public service efforts.

B. Additional Guidance on Selection Criteria

    The following additional guidance explains how DOT will evaluate 
each of the selection criteria identified above in Section II(A) 
(Selection Criteria). Applicants are encouraged to demonstrate the 
responsiveness of a project to any and all of the selection criteria 
with the most relevant information that applicants can provide, 
regardless of whether such information has been specifically requested, 
or identified, in this notice. Any such information shall be considered 
part of the application, not supplemental, for purposes of the 
application size limits specified below in Section VII(D) (Length of 
Application).
1. Primary Selection Criteria
(a) Long-Term Outcomes
    In order to measure a project's alignment with this criterion, DOT 
will assess the public benefits generated by the project, as measured 
by the extent to which a project produces one or more of the following 
outcomes.
    (i) State of Good Repair: In order to determine whether the project 
will improve the condition of existing transportation facilities or 
systems, including whether life-cycle costs will be minimized, DOT will 
assess (i) whether the project is part of, or consistent with, relevant 
State, local or regional efforts and plans to maintain transportation 
facilities or systems in a state of good repair, (ii) whether an 
important aim of the project is to rehabilitate, reconstruct or upgrade 
surface transportation assets that, if left unimproved, threaten future 
transportation network efficiency, mobility of goods or people, or 
economic growth due to their poor condition, (iii) whether the project 
is appropriately capitalized up front and uses asset management 
approaches that optimize its long-term cost structure, and (iv) the 
extent to which a sustainable source of revenue is available for long-
term operations and maintenance of the project. The application should 
include any quantifiable metrics of the facility or system's current 
condition and performance and, to the extent possible, projected 
condition and performance, with an explanation of how the project will 
improve the facility or system's condition, performance and/or long-
term cost structure, including calculations of avoided operations and 
maintenance costs and associated delays.
    (ii) Economic Competitiveness: In order to determine whether a 
project promotes the economic competitiveness of the United States, DOT 
will assess whether the project will measurably contribute over the 
long term to growth in the productivity of the American economy. For 
purposes of aligning a project with this outcome, applicants should 
provide evidence of how improvements in transportation outcomes (such 
as time savings and operating cost savings) translate into long-term 
economic productivity benefits. These long-term economic benefits that 
are provided by the completed project are different from the near-term 
economic benefits of construction that are captured in the Job Creation 
& Near-Term Economic Activity criterion. In weighing long-term economic 
competitiveness benefits, applicants should describe how the project 
supports increased long-term efficiency and productivity.
    Priority consideration will be given to projects that: (i) Improve 
long-term efficiency, reliability or cost-competitiveness in the 
movement of workers or goods (including, but not limited to, projects 
that have a significant effect on reducing the costs of transporting 
export cargoes), or (ii) make improvements that increase the economic 
productivity of land, capital or labor at specific locations, 
particularly Economically Distressed Areas. Applicants may propose 
other methods of demonstrating a project's contribution to the economic 
competitiveness of the country and such methods will be reviewed on a 
case-by-case basis.
    Economic competitiveness may be demonstrated by the project's 
ability to increase the efficiency and effectiveness of the 
transportation system through integration or better use of all existing 
transportation infrastructure (which may be evidenced by the project's 
involvement with or benefits to more than one mode and/or its 
compatibility with and preferably augmentation of the capacities of 
connecting modes and facilities), but only to the extent that these 
enhancements lead to the economic benefits that are identified in the 
opening paragraph of this section.
    For purposes of demonstrating economic benefits, applicants should 
estimate National-level or region-wide economic benefits on 
productivity and production (e.g., reduced shipping costs or travel 
times for U.S. exports originating both inside and outside of the 
region), and should net out those benefits most likely to result in 
transfers of economic activity from one localized area to another. 
Therefore, in estimating local and regional benefits, applicants should 
consider net increases in economic productivity and benefits, and 
should take care not to include economic benefits that are being 
shifted from one location in the United States to another location. 
Highly localized benefits will receive the most consideration under 
circumstances where such benefits are most likely to improve an 
Economically Distressed Area (as defined herein) or otherwise improve 
access to more productive employment opportunities for under-employed 
and disadvantaged populations.
    Finally, the TIGER program strives to promote long-term economic 
growth in a manner that will be sustainable for generations to come. 
Therefore, for projects designed to enhance economic competitiveness, 
applicants should also provide evidence that the project will achieve 
the goals of this outcome in an environmentally sustainable manner. To 
satisfy this condition, applicants should reference the fourth 
criterion in this Section II(B) ``Environmental Sustainability'' for 
more information on what features promote sustainable growth and be 
sure to address the extent to which sustainability features are 
incorporated into the proposed project's economic impact.
    (iii) Livability: Livability investments are projects that not only 
deliver transportation benefits, but are also designed and planned in 
such a way that they have a positive impact on qualitative measures of 
community life. This element of long-term outcomes delivers benefits 
that are inherently difficult to measure. However, it is implicit to 
livability that its benefits are shared and therefore magnified by the 
number of potential users in the affected community. Therefore, 
descriptions of how projects enhance livability should include a 
description of the affected community and the scale of the project's 
impact as measured in person-miles traveled or number of trips 
affected. In order to determine whether a project improves the quality 
of the living and working environment of a community, DOT will consider 
whether the project furthers the six livability principles developed by 
DOT with HUD and EPA

[[Page 50294]]

as part of the Partnership for Sustainable Communities, which are 
listed fully at https://www.dot.gov/affairs/2009/dot8009.htm. For this 
criterion, the Department will give particular consideration to the 
first principle, which prioritizes the creation of affordable and 
convenient transportation choices.\4\ Specifically, DOT will 
qualitatively assess whether the project:
---------------------------------------------------------------------------

    \4\ In full, this principle reads: ``Provide more transportation 
choices. Develop safe, reliable and economical transportation 
choices to decrease household transportation costs, reduce our 
nations' dependence on foreign oil, improve air quality, reduce 
greenhouse gas emissions and promote public health.''
---------------------------------------------------------------------------

    (1) Will significantly enhance or reduce the average cost of user 
mobility through the creation of more convenient transportation options 
for travelers;
    (2) Will improve existing transportation choices by enhancing 
points of modal connectivity, increasing the number of modes 
accommodated on existing assets, or reducing congestion on existing 
modal assets;
    (3) Will improve accessibility and transport services for 
economically disadvantaged populations, non-drivers, senior citizens, 
and persons with disabilities, or will make goods, commodities, and 
services more readily available to these groups; and/or
    (4) Is the result of a planning process which coordinated 
transportation and land-use planning decisions and encouraged community 
participation in the process.
Livability improvements may include projects for new or improved biking 
and walking infrastructure. Particular attention will be paid to the 
degree to which such projects contribute significantly to broader 
traveler mobility through intermodal connections, enhanced job 
commuting options, or improved connections between residential and 
commercial areas. Projects that appear designed primarily as isolated 
recreational facilities and do not enhance traveler mobility as 
described above will not be funded.
    (iv) Environmental Sustainability: In order to determine whether a 
project promotes a more environmentally sustainable transportation 
system, DOT will assess the project's ability to:
    (1) Improve energy efficiency, reduce dependence on oil and/or 
reduce greenhouse gas emissions (applicants are encouraged to provide 
quantitative information regarding expected reductions in emissions of 
CO2 or fuel consumption as a result of the project, or 
expected use of clean or alternative sources of energy; projects that 
demonstrate a projected decrease in the movement of people or goods by 
less energy-efficient vehicles or systems will be given priority under 
this factor); and
    (2) Maintain, protect or enhance the environment, as evidenced by 
its avoidance of adverse environmental impacts (for example, adverse 
impacts related to air or water quality, wetlands, and endangered 
species) and/or by its environmental benefits (for example, improved 
air quality, wetlands creation or improved habitat connectivity).

Applicants are encouraged to provide quantitative information that 
validates the existence of substantial transportation-related costs 
related to energy consumption and adverse environmental effects and 
evidence of the extent to which the project will reduce or mitigate 
those costs.
    (v) Safety: In order to determine whether the project improves 
safety, DOT will assess the project's ability to reduce the number, 
rate and consequences of surface transportation-related crashes, 
injuries, and fatalities among drivers and/or non-drivers in the United 
States or in the affected metropolitan area or region, and/or the 
project's contribution to the elimination of highway/rail grade 
crossings, the protection of pipelines, or the prevention of unintended 
release of hazardous materials.
    Evaluation of Expected Project Costs and Benefits: DOT believes 
that benefit-cost analysis (``BCA''), including the monetization and 
discounting of costs and benefits in a common unit of measurement in 
present-day dollars, is an important discipline. For BCA to yield 
useful results, full consideration of costs and benefits is necessary. 
These include traditionally quantified fuel and travel time savings as 
well as reductions in greenhouse gas emissions, water quality impacts, 
public health effects, and other costs and benefits that are more 
indirectly related to vehicle-miles or that are harder to measure. In 
addition, BCA should attempt to measure the indirect effects of 
transportation investments on land use and on the portions of household 
budgets spent on transportation. The systematic process of comparing 
expected benefits and costs helps decision-makers organize information 
about, and evaluate trade-offs between, alternative transportation 
investments. DOT has a responsibility under Executive Order 12893, 
Principles for Federal Infrastructure Investments, 59 FR 4233, to base 
infrastructure investments on systematic analysis of expected benefits 
and costs, including both quantitative and qualitative measures.
    Therefore, applicants for TIGER Discretionary Grants are generally 
required to identify, quantify, and compare expected benefits and 
costs, subject to the following qualifications:
    All applicants will be expected to prepare an analysis of benefits 
and costs; however, DOT understands that the level of expense that can 
be expected in these analyses for surveys, travel demand forecasts, 
market forecasts, statistical analyses, and so on will be less for 
smaller projects than for larger projects. The level of resources 
devoted to preparing the benefit-cost analysis should be reasonably 
related to the size of the overall project and the amount of grant 
funds requested in the application. Any subjective estimates of 
benefits and costs should still be quantified, and applicants are 
expected to provide whatever evidence they have available to lend 
credence to their subjective estimates. Estimates of benefits should be 
presented in monetary terms whenever possible; if a monetary estimate 
is not possible, then at least a quantitative estimate (in physical, 
non-monetary terms, such as ridership estimates, emissions levels, 
etc.) should be provided.
    The lack of a useful analysis of expected project benefits and 
costs may be the basis for denying an award of a TIGER Discretionary 
Grant to an applicant. If it is clear to DOT that the total benefits of 
a project are not reasonably likely to outweigh the project's costs, 
DOT will not award a TIGER Discretionary Grant to the project. 
Consistent with the broader goals of DOT and the FY 2011 Continuing 
Appropriations Act, DOT can consider some factors that do not readily 
lend themselves to quantification or monetization, including equitable 
geographic distribution of grant funds and an appropriate balance in 
addressing the needs of urban and rural areas and investment in a 
variety of transportation modes.
    Detailed guidance for the preparation of benefit-cost analyses is 
provided in Appendix A. Benefits should be presented, whenever 
possible, in a tabular form showing benefits and costs in each year for 
the useful life of the project. Benefits and costs should both be 
discounted to the year 2011, and present discounted values of both the 
stream of benefits and the stream of costs should be calculated. If the 
project has multiple parts, each of which has independent utility, the 
benefits and costs of each part should be estimated and presented 
separately. A project component has independent utility if the 
component itself could qualify as an

[[Page 50295]]

Eligible Project and would provide benefits that satisfy the selection 
criteria specified in this notice, as described further in Section 
III(B) (Evaluation of Eligibility) below. The results of the benefit-
cost analysis should be summarized in the Project Narrative section of 
the application itself, but the details may be presented in an 
attachment to the application.
    DOT recognizes that some categories of costs and benefits are more 
difficult to quantify or monetize than others. In presenting benefit-
cost analyses, applicants should include qualitative discussion of the 
categories of benefits and costs that they were not able to quantify, 
noting that these benefits and costs are in addition to other benefits 
and costs that were quantified. However, in the event of an 
unreasonable absence of data and analysis, or poor applicant effort to 
put forth a robust quantification of benefits and costs, the 
application is unlikely to receive further consideration. In general, 
the lack of a useful analysis comparing benefits and costs for any such 
project is ground for denying the award of a TIGER Discretionary Grant.
    Evaluation of Project Performance: Each applicant selected for 
TIGER Discretionary Grant funding will be required to work with DOT on 
the development and implementation of a plan to collect information and 
report on the project's performance with respect to the relevant long-
term outcomes that are expected to be achieved through construction of 
the project.
(b) Job Creation & Near-Term Economic Activity
    In order to measure a project's alignment with this criterion, DOT 
will assess whether the project promotes the short- or long-term 
creation or preservation of jobs and whether the project rapidly 
promotes new or expanded business opportunities during construction of 
the project or thereafter. Demonstration of a project's rapid economic 
impact is critical to a project's alignment with this criterion. 
Applicants are encouraged to provide information to assist DOT in 
making these assessments, including the total amount of funds that will 
be expended on construction and construction-related activities by all 
of the entities participating in the project and, to the extent 
measurable, the number and type of jobs to be created and/or preserved 
by the project by calendar quarters during construction and annually 
thereafter. Applicants should also identify any business enterprises to 
be created or benefited by the project during its construction and once 
it becomes operational.\5\
---------------------------------------------------------------------------

    \5\ The Executive Office of the President, Council of Economic 
Advisers, issued a memorandum in May 2009 on ``Estimates of Job 
Creation from the American Recovery and Reinvestment Act of 2009.'' 
The memorandum is available at: https://www.whitehouse.gov/administration/eop/cea/Estimate-of-Job-Creation/. Table 5 of this 
memorandum provides a simple rule for estimating job-years created 
by government spending, which is that $92,000 of government spending 
creates one job-year. Of this, 64% of the job-year estimate 
represents direct and indirect effects and 36% of the job-year 
estimate represents induced effects. Applicants can use this 
estimate as an appropriate indicator of direct, indirect and induced 
job-years created by TIGER Discretionary Grant spending, but are 
encouraged to supplement or modify this estimate to the extent they 
can demonstrate that such modifications are justified. However, 
since the May 2009 memorandum makes job creation purely a function 
of the level of expenditure, applicants should also demonstrate how 
quickly jobs will be created under the proposed project. Projects 
that generate a given number of jobs more quickly will have a more 
favorable impact on economic recovery. A quarter-by-quarter 
projection of the number of direct job-hours expected to be created 
by the project is useful in assessing the impacts of a project on 
economic recovery. Furthermore, applicants should be aware that 
certain types of expenditures are less likely to align well with the 
Job Creation & Near-Term Economic Activity criterion. These types of 
expenditures include, among other things, engineering or design work 
and purchasing existing facilities or right-of-way.
---------------------------------------------------------------------------

    Consistent with the Recovery Act, the Updated Implementing Guidance 
for the American Recovery and Reinvestment Act of 2009 issued by the 
Office of Management and Budget (``OMB'') on April 3, 2009 (the ``OMB 
Guidance''), which were applied both to TIGER I and TIGER II, and which 
DOT will continue to apply to the TIGER Discretionary Grants program as 
a matter of policy, and consistent with applicable Federal laws, 
applicants are encouraged to provide information to assist DOT in 
assessing (1) whether the project will promote the creation of job 
opportunities for low-income workers through the use of best practice 
hiring programs and apprenticeship (including pre-apprenticeship) 
programs; (2) whether the project will provide maximum practicable 
opportunities for small businesses and disadvantaged business 
enterprises, including veteran-owned small businesses and service 
disabled veteran-owned small businesses; (3) whether the project will 
make effective use of community-based organizations in connecting 
disadvantaged workers with economic opportunities; (4) whether the 
project will support entities that have a sound track record on labor 
practices and compliance with Federal laws ensuring that American 
workers are safe and treated fairly; and (5) whether the project 
implements best practices, consistent with our Nation's civil rights 
and equal opportunity laws, for ensuring that all individuals--
regardless of race, gender, age, disability, and national origin--
benefit from TIGER grant funding.
    To the extent possible, applicants should indicate whether the 
populations most likely to benefit from the creation or preservation of 
jobs or new or expanded business opportunities are from Economically 
Distressed Areas. In addition, to the extent possible, applicants 
should indicate whether the project's procurement plan is likely to 
create follow-on jobs and near-term economic activity for manufacturers 
and suppliers that support the construction industry. A key 
consideration in assessing projects under this criterion will be how 
quickly jobs are created.
    In evaluating a project's alignment with this criterion, DOT will 
assess whether a project is ready to proceed rapidly upon receipt of a 
TIGER Discretionary Grant (see Appendix C: Additional Information on 
Project Readiness Guidelines for further details), as evidenced by:
    (i) Project Schedule: A feasible and sufficiently detailed project 
schedule demonstrating that the project can begin construction quickly 
upon receipt of a TIGER Discretionary Grant,\6\ and that the grant 
funds will be spent steadily and expeditiously once construction 
starts; the schedule should show how many direct, on-project jobs are 
expected to be created or sustained during each calendar quarter after 
the project is underway;
---------------------------------------------------------------------------

    \6\ Applicants should demonstrate that their project can 
obligate grant funds no later than June 30, 2013 in order give DOT 
comfort that the TIGER Discretionary Grant funds are likely to be 
obligated in advance of the September 30, 2013 statutory deadline, 
and that any unexpected delays will not put TIGER Discretionary 
Grant funds at risk of expiring before they are used.
---------------------------------------------------------------------------

    (ii) Environmental Approvals: Receipt (or reasonably anticipated 
receipt) of all environmental approvals necessary for the project to 
proceed to construction on the timeline specified in the project 
schedule, including satisfaction of all Federal, State and local 
requirements and completion of the National Environmental Policy Act 
(``NEPA'') process;
    To demonstrate satisfaction of this requirement, applicants should 
provide assurances with their pre-applications and evidence with their 
applications that NEPA review is complete or substantially complete and 
submit relevant draft or final NEPA documentation--preferably by way of 
a Web site link--for DOT review. DOT is unlikely to select a project 
for TIGER Discretionary Grant funding if it involves, or potentially 
involves,

[[Page 50296]]

significant environmental impacts and has not begun or has not 
substantially completed required environmental and regulatory reviews. 
For such projects that have not begun, or have not substantially 
completed these reviews, it may be difficult to complete environmental 
and regulatory review as well as all activities needed to be complete 
prior to construction and meet the obligation deadline of September 30, 
2013.
    DOT will consider exceptions to the requirement that NEPA be 
substantially complete upon application in accordance with this 
paragraph. If an applicant has not substantially completed the NEPA 
process the applicant should provide information on the project's 
current status in the NEPA process and an estimate of the latest date 
that the NEPA process is reasonably expected to be completed. If an 
applicant has not initiated the NEPA process the applicant must provide 
a reasonable justification for why the NEPA process has not yet been 
initiated as of the date of this notice, and an assurance that the 
necessary environmental reviews can be completed with enough time for 
any post-NEPA, pre-obligation activities to be completed by June 30, 
2013, in order to give DOT comfort that all of the TIGER Discretionary 
Grant funds are likely to be obligated in advance of the September 30, 
2013 statutory deadline, and that any unexpected delays will not put 
TIGER Discretionary Grant funds at risk of expiring before they can be 
obligated (see Appendix C for additional guidance). An example of a 
reasonable justification for why an applicant has not initiated NEPA 
review would be if, prior to the availability of TIGER Discretionary 
Grant funds, there were no reasonable expectations of receiving Federal 
funding for the project. A project selected for award that has not 
completed the NEPA process may not be permitted to use grant funds for 
construction and related activities until NEPA is complete and all 
other necessary environmental approvals have been received.
    An applicant seeking to justify an exception to this requirement 
should submit the information listed below with its application:
    a. The information required under Sections VII(C)(2)(V) and VII(F)-
(G) (Contents of Applications) of this notice;
    b. Environmental studies or other documents--preferably by way of a 
Web site link--that describe in detail known potential project impacts, 
and possible mitigation for those impacts;
    c. A description of completed, or planned and anticipated 
coordination with Federal and State regulatory agencies for permits and 
approvals;
    d. An estimate of the time required for completion of NEPA and all 
other required Federal, State or local environmental approvals; and
    e. An identification of the proposed NEPA class of action (i.e., 
Categorical Exclusion, Environmental Assessment, or Environmental 
Impact Statement).
    (iii) Legislative Approvals: Receipt of all necessary legislative 
approvals (for example, legislative authority to charge user fees or 
set toll rates), and evidence of support from State and local elected 
officials; evidence of support from all relevant State and local 
officials is not required, however, the evidence should demonstrate 
that the project is broadly supported;
    (iv) State and Local Planning: The planning requirements of the 
operating administration administering the TIGER project will apply.\7\ 
Where required by an operating administration, a project should 
demonstrate that a project is included in the relevant State, 
metropolitan, and local planning documents, or will be included. To 
demonstrate satisfaction of this requirement, applicants should provide 
evidence that the project is included in the relevant planning 
documents. One way applicants may do this is by providing a link to a 
Web site showing the planning documents. If the project is not included 
in the relevant planning documents at the time the application is 
submitted, applicants should submit a certification from the 
appropriate planning agency that actions are underway at the time of 
the application to include the project in the relevant planning 
document. The applicant should provide a schedule demonstrating when 
the project will be added to the relevant planning documents; any 
applicant that is applying for a TIGER Discretionary Grant and does not 
own all of the property or right-of-way required to complete the 
project should provide evidence that the property and/or right-of-way 
owner whose permission is required to complete the project supports the 
application and will cooperate in carrying out the activities to be 
supported by the TIGER Discretionary Grant;
---------------------------------------------------------------------------

    \7\ All regionally significant projects requiring an action by 
the FHWA or the FTA must be in the metropolitan transportation plan, 
TIP and STIP. Further, in air quality non-attainment and maintenance 
areas, all regionally significant projects, regardless of the 
funding source, must be included in the conforming metropolitan 
transportation plan and TIP. To the extent a project is required to 
be on a metropolitan transportation plan, TIP and/or STIP it will 
not receive a TIGER Discretionary Grant until it is included in such 
plans. Projects not currently included in these plans can be amended 
in by the State and MPO. Projects that are not required to be in 
long range transportation plans, STIPs and TIPs will not need to be 
included in such plans in order to receive a TIGER Discretionary 
Grant. Freight and passenger rail projects are not required to be on 
the State Rail Plans called for in the Passenger Rail Investment and 
Improvement Act of 2008. This is consistent with the exemption for 
high speed and intercity passenger rail projects under the Recovery 
Act. However, applicants seeking funding for freight and passenger 
rail projects are encouraged to demonstrate that they have done 
sufficient planning to ensure that projects fit into a prioritized 
list of capital needs and are consistent with long-range goals.
---------------------------------------------------------------------------

    (v) Technical Feasibility: The technical feasibility of the 
project, as indicated by previously performed and/or ongoing 
engineering and design studies and activities; the development of 
design criteria and/or a basis of design; the basis for the cost 
estimate presented in the TIGER application, including the 
identification of contingency levels appropriate to its level of 
design; and any scope, schedule, and budget risk-mitigation measures. 
For projects generating ongoing operating expenses, an estimate of 
those expenses and a basis for the estimate. Technical feasibility also 
includes the technical capacity of the project sponsor, including a 
staffing and management plan, demonstrated experience in successfully 
implementing (on-time and on-budget) similar capital investments, and 
other indications of sponsor and partner technical capacity to 
construct the project.; and
    (vi) Financial Feasibility: The viability and completeness of the 
project's financing package (assuming the availability of the requested 
TIGER Discretionary Grant funds), including evidence of stable and 
reliable capital and (as appropriate) operating revenue commitments 
sufficient to cover estimated costs; the availability of contingency 
reserves should planned capital or operating revenue sources not 
materialize; evidence of the financial condition of the project 
sponsor; and evidence of the grant recipient's ability to manage 
grants.
    DOT reserves the right to revoke any award of TIGER Discretionary 
Grant funds and to award such funds to another project to the extent 
that such funds are not timely expended and/or construction does not 
begin in accordance with the project schedule. Because projects have 
different schedules DOT will consider on a case-by-case basis how much 
time after selection for award of a TIGER Discretionary Grant each 
project has before funds must be obligated (consistent with law) and 
construction started. This deadline will be specified

[[Page 50297]]

for each TIGER Discretionary Grant in the project-specific grant 
agreements signed by the grant recipients and will be based on critical 
path items identified by applicants in response to items (i) through 
(vi) above, but all deadlines will reflect DOT's preference that pre-
conditions be complete and TIGER Discretionary Grants funds obligated 
on or before June 30, 2013 in order to give DOT comfort that all TIGER 
Discretionary Grant funds will be obligated before the statutory 
deadline of September 30, 2013. For example, if an applicant reasonably 
anticipates that NEPA requirements will be completed and a final 
decision made within 30 to 60 days of announcement of the award of a 
TIGER Discretionary Grant, this timeframe will be taken into account in 
evaluating the application, but also in establishing a deadline for 
obligation of funds and commencement of construction. By statute, DOT's 
ability to obligate funds for TIGER Discretionary Grants expires on 
September 30, 2013 and DOT has no authority to extend the deadline.
2. Secondary Selection Criteria
(a) Innovation
    In order to measure a project's alignment with this criterion, DOT 
will assess the extent to which the project uses innovative technology 
(including, for example, intelligent transportation systems, dynamic 
pricing, rail wayside or on-board energy recovery, smart cards, real-
time dispatching, active traffic management, radio frequency 
identification (RFID), or others) to pursue one or more of the long-
term outcomes outlined above and/or to significantly enhance the 
operational performance of the transportation system. DOT will also 
assess the extent to which the project incorporates innovations that 
demonstrate the value of new approaches to, among other things, 
transportation funding and finance, contracting, project delivery, 
congestion management, safety management, asset management, or long-
term operations and maintenance. The applicant should clearly 
demonstrate that the innovation is designed to pursue one or more of 
the long-term outcomes outlined above and/or significantly enhance the 
transportation system.
    Innovative, multi-modal projects are often difficult to fund under 
traditional transportation programs. DOT will consider the extent to 
which innovative proje