Skip to main content

 About Steve Davis

Stephen Lee Davis is the AVP for Transportation Strategy at Smart Growth America.

Politicians meddling with North Carolina’s shift to a merit-based process for choosing transportation projects

Just two years after instituting a new process to choose transportation projects based on merit and award funds in a more transparent process intended to be free of political interference, a handful of North Carolina legislators reinserted politics back into the process in an attempt to stop a light rail project in the Raleigh-Durham metro area.

Durham light rail rendering

UPDATED 5:45 p.m. Thursday 10/1: North Carolina’s legislature adjourned without addressing the cap. Read more about it here.

The surprise provision was inserted into a budget compromise as the state’s legislature was tussling over an annual budget resolution for the coming year. As Streetsblog earlier reported this week:

Lawmakers who still won’t identify themselves inserted language into a state budget bill sabotaging the light rail project. There was no public debate. There was no warning that transit funding was even under discussion. The budget measure placed an arbitrary cap on state funding for [any] light rail project: $500,000. Doing so undermined the process established by the state’s Republican-controlled legislature for awarding transportation funds, which is supposed to be free from political interference.

Back in 2013 the Republican-led North Carolina legislature approved the Strategic Transportation Investments Law, an attempt to get transportation decisions out of the hands of politicians and pick projects governed by objective metrics and projected benefits instead. It was an idea that had — and still has — lots of buy-in from legislators from both parties across the state. It was viewed as an important step toward a process that was more transparent, accountable, and less subject to political interference.

Performance-Measures-Report-Promo-frontWe featured North Carolina’s new process in Measuring What We Value, a free downloadable T4America report on the emerging practice of performance measures: “NCDOT’s focus on strategic selection shifted the department from a short-term portfolio of projects that were not explicitly tied to agency goals to a long-term, formal approach that uses data to assess outcomes.” (Page 17.)

Here’s how Governor Pat McCrory referred to the previous system while testifying before Congress earlier this year:

In my own State of the State address last month, I highlighted that during the past decade or so, as I have driven down the highways of North Carolina, I’ve noticed it goes from two lanes, to four lanes, back to two lanes, to eight lanes to four lanes and then back to two lanes. And everywhere it gets wider it’s named for a politician or a Department of Transportation board member. And where the congestion choke points still exist, the road is nameless.

The flaws of a system where projects are picked based on the political power or connections of the sponsors — regardless of how those projects fit into the state’s goals — was exactly why the process was changed in 2013, with notable consensus in the legislature to do so. Gov. McCrory’s testimony continues:

That’s not the way we do things anymore in North Carolina. We’ve taken the politics out of [transportation] by putting in place a transportation formula that focuses on relieving congestion, improving safety and growing and connecting the economy in all parts of our state. Those changes allow us to be more efficient with taxpayer dollars. In fact, we’ve more than doubled the number of transportation projects that will be built. This new approach will create thousands of new jobs during the next 10 years.

In the Research Triangle metro area — the city triumvirate of Raleigh, Durham and Chapel Hill spans three counties — voters in two counties have already approved separate half-cent ballot measures to raise millions in local funds for a 17-mile light rail project connecting Durham and Chapel Hill. That local commitment was to be paired with $138 million previously committed by the state under the new merit-based process. This new cap essentially kills the Durham-Chapel Hill light rail line by cutting the planned state contribution down to $500,000 — regardless of the projected benefits.

Legislators from both parties have rallied together in support of removing the cap and keeping the new process politics-free. Even legislators that have reservations about this specific rail project believe the new process is a smarter one and have endorsed the cap’s removal, focusing on the consensus forged around the new Strategic Investments process.

Republican Representative Paul Stam told the Raleigh News & Observer that “he is not a fan of the light rail projects, but said the lawmakers ought to ‘stick with the numbers under our strategic transportation initiative.’”

Also in the Raleigh News & Observer

“I’m not a big supporter of light rail,” Rep. Bill Brawley, a Mecklenburg County Republican, said Wednesday. “But what I am a big supporter of is to have a process to assign projects based on the ability of engineers to calculate the benefits – rather than the ability of powerful legislators to get enough votes to spend the money in their district.”

There is good news to report today, however. The House passed an amended budget to remove the $500,000 cap and restore the state’s merit-based project selection process. The Senate is likely to consider the amended budget today or tomorrow, according to local news sources. If the Senate approves the House’s version, the final budget will go to Governor McCrory.

Follow us on twitter @t4america, along with Wake Up Wake County for more info as it becomes available.

Pilot program to support smart planning around new transit lines will benefit 21 different cities

It’s important that communities make the best use of land around transit lines and stops, efficiently locate jobs and housing near new transit stations, and boost ridership — which can also increase the amount of money gained back at the farebox. 21 communities today received a total of $19.5 million in federal grants from a new pilot program intended to do exactly that.

Sound Transit's LINK light rail on the Seattle-SeaTac line. Six stations will eventually be added to Tacoma's current LINK line, doubling their number of stations.

Sound Transit’s LINK light rail on the Seattle-SeaTac line. Six stations will eventually be added to Tacoma’s separate LINK line, doubling their number of stations.

Building a new transit line isn’t some sort of magic wand; a new rail or rapid bus line doesn’t automatically mean that well-planned, walkable neighborhoods will spring up to help support the line by adding new riders nearby, or result in new buildings filled with meaningful destinations bringing transit riders to the area. A lot of work goes into creating a plan that can foster and incentivize the kind of private development that a community wants to see around their transit stations, and the grants in this small pilot program will be a big boost to these 21 communities either currently expanding or planning to expand transit service to their residents.

This pilot program was one of the bright spots in MAP-21, and was a priority we worked hard to see included in the final bill during those negotiations back in the summer of 2012, along with our colleagues at LOCUS, the coalition of responsible real estate investors within Smart Growth America.

Making proactive steps to plan for development along entire transit corridors – rather than just one station area at a time – can attract private-sector interest as well as stronger buy-in from the community by creating a complete picture of the development opportunities presented by the new transit line.

A wide variety of projects received grants ranging in size from $250,000 awards to support the Woodward Avenue bus rapid transit line that will connect downtown Detroit with Pontiac and a transit overlay district in the area around the planned Valley Metro light rail expansion to Tempe; all the way up to $2 million for planning around the six stations of Sound Transit’s light rail expansion in Tacoma, including street design to improve connectivity for pedestrians, bicyclists, motorists and transit riders and a plan to expand access to jobs and job training in a fairly disadvantaged area.

Therese McMillan, the acting administrator, was on hand in Tacoma to announce the grants. “Transit-oriented development is critical to the success of new projects and to the economy of the local communities they serve,” she said. “These grants will help communities like Tacoma develop a transportation system that encourages people to use transit to reach jobs, education, medical care, housing and other vital services that they need.”

We’re excited to finally see the first fruits of this small pilot program that we worked so hard to see included in MAP-21. These grants will go a long way toward ensuring that these numerous planned transit investments bring the greatest returns and the best possible benefits to all.

The full list of winners can be found on the FTA website.

Finding inspiration in another city’s successful expansion of public transportation

This week, 21 local leaders from three different regions with ambitious plans to invest in public transportation will be traveling to Denver to hear about how that region built an economic development strategy around investing in new public transportation.

Transportation Innovation Academy with logos

There’s an old proverb that says “A teacher is better than two books,” and the local leaders from Raleigh, Indianapolis and Nashville participating in the first yearlong Transportation Innovation Academy — organized by T4America and TransitCenter — will get the opportunity be taught firsthand about the returns that Denver is reaping from their incredibly ambitious FasTracks transit expansion plan.

Through workshops, site visits, and discussions with key leaders in the Denver region this week, academy participants will get an in-person look at one specific story of how scores of local communities across the country are casting a vision and often putting their own skin in the game first with local funding while hoping for a strong federal partner to make those plans a reality. While the three regions all have different transportation needs and plans for the future, Denver’s story broadly represents the kind of success that these leaders would certainly love to replicate.

We covered Denver’s story at length in one of our can-do regional profiles:

Denver Regional Profile featured

Denver: Betting on the future and seeing early returns

Faced with potential employers suggesting that the lack of transit connections were preventing Denver from realizing their economic development goals, the region’s leaders banded together and made a bold bet on an ambitious and comprehensive plan to expand their transportation network a decade ago.

Read the full Denver story here.

Key business leaders are part of each regional contingent, along with mayors and city/county council members, real estate pros, housing industry experts and local advocates. The Academy is intended to share knowledge and best practices, visit cities (like Denver) that have inspiring success stories, and help develop and catalyze the local leadership necessary to turn these ambitious visions into reality.

We’re looking forward to hearing the Denver story in great depth this week and know that these 21 leaders will find inspiration and practical lessons to take back home to help them take the next step on their journeys toward improving and expanding transit service.

Follow along and hear some of the great insights that participants are picking up in this week’s workshop, surely with some great photos of what’s happening in Denver. Follow @t4america, @TransitCenter and the hashtag #TranspoAcademy on Wednesday and Thursday this week (September 16-17).

What if we labeled unwalkable neighborhoods like we do cigarettes?

The Surgeon General of the United States will unveil a bold new initiative today, aiming to help Americans lead healthier lives — by making walking and physical activity built-in features of more of our neighborhoods.

Cross-posted with Smart Growth America. -Ed.

At a press conference at 10 a.m. this morning the U.S. Surgeon General will kick off a new national Call to Action, urging cities and towns to consider how the design of our roads and public spaces can encourage more walking by making it easier, safer and more convenient. (Tune into the live webcast of the event at 10 a.m. EDT.) To show how significant an issue this is to the Surgeon General, today’s announcement is only the sixth such Call to Action in the last 10 years.

surgeon general warning

According to the Surgeon General’s office, only half of American adults get enough physical activity to reduce the risk of chronic disease, and 10 percent of the preventable deaths in the United States are related to lack of physical activity. Communities that lack safe places to walk are a part of this problem.

What if we labeled unwalkable neighborhoods like we do cigarettes? A similar call from the Surgeon General in 1964 was the watershed event that kicked off a decades-long decline in cigarette use. Could today’s Call to Action do the same for communities without safe places to walk?

What if we put states, cities and towns on notice that streets and roads that are dangerous by design for people on foot or bike are a prime contributor to the obesity epidemic (as well as a contributing factor in an alarming number of fatalities)? What if we prioritized sidewalks and crosswalks the same way we do sunscreen, “no smoking” signs, and preventing underage drinking?

Help us celebrate this important step forward: share today’s announcement with friends and colleagues:

Share on Twitter — Share on Facebook

The Surgeon General’s position makes it clear that America needs more than a simple call to “get out and exercise.” We need to build communities where walking is a safe and convenient option — so getting where you need to go can help you stay physically active and healthy.

The good news is that the tide is turning in communities of all types and sizes all over the country. Small towns, rural, suburban and urban areas are reinvesting in their downtown cores and creating vibrant walkable neighborhoods like never before and reaping the benefits of better walking and biking infrastructure. We still need to do more to encourage walking, but there’s clearly huge pent-up demand for walkable neighborhoods and high-quality facilities that anyone can use.

People want to walk, and they increasingly want to live and work in places where it’s a convenient option.

Since Indianapolis’s Cultural Trail, a high-quality biking and walking trail, opened in 2008 the value of properties within a block have increased an astonishing 148 percent. Last week, the Atlanta-Journal Constitution published a special package about the amazing demand for homes near the still-in-progress Beltline project that will eventually encircle the city with trails and transit. Nashville’s metropolitan planning organization recently began considering health criteria as they select transportation projects in the hopes of helping improve the health of residents over the next few decades as they grow. Washington State adopted a Vision Zero plan to reduce pedestrian deaths to zero. Making their vision a reality includes not just educating drivers about pedestrian and bike safety but also re-designing streets and roads to slow traffic and give folks walking and biking safe and attractive facilities to use.

There’s far more to do, though. While these stories are encouraging, the lowest-income neighborhoods across the country are the ones more likely to lack sidewalks, crosswalks or other facilities to keep residents safe.

Help celebrate this important call to action. Share this post and image with your friends and family and colleagues.

Indy’s “more is better” approach to transportation leads to new all-electric carsharing service

BlueIndy, a new all-electric carsharing service in Indianapolis launching today, is evidence of Mayor Greg Ballard’s open-minded approach to transportation innovations to improve options in the city for residents.

Blue Indy

This brand new system is a cross between a bikesharing service (cars can go one-way between numerous locations), a service like Zipcar (the parking spots are reserved) and Car2Go (smaller compact cars for one-way use) with one major exception: All of the cars are 100% electric and charge via small hubs installed next to each parking spot that are wired into the electric grid. In addition to keeping the fleet charged, anyone with an EV can also pay a small membership and hourly fee to charge their own cars at the hubs scattered around downtown.

Blue Indy MapThe system is launching with 50 vehicles and 25 charging stations (doubling as the reservable parking spots) around the city, with a plan to soon expand up to 500 electric cars and 200 stations. The city is paying $6 million in dollars earmarked for infrastructure projects, with the French company that owns the service investing somewhere over $40 million.

The new system ties into two of Mayor Ballard’s key goals: to improve energy security by reducing dependence on foreign oil and to provide innovative new mobility options for Indianapolis residents. BlueIndy comes several years after the opening of the economically successful Cultural Trail through the city, closely on the heels of the launch of the Pacers bikesharing system, and in the midst of the city’s effort to dramatically expand and improve public transportation.

It was a long time coming, but now Indianapolis has a new option for getting around their city, and a range of travel options are one of the things most coveted by the younger, mobile workforce that Indy is desperate to retain (and attract) as part of their economic development goals.

As Time Money wrote today, “Without knowing any better, it would be reasonable to assume that a cutting-edge program like this would first appear in a city that already stands out for green initiatives and electric car adoption.” While some cities (Washington, D.C, Seattle and others) are known for a booming number of transportation startups disrupting entrenched systems due to favorable regulatory environments, BlueIndy is a testament to what can happen in other perhaps less likely cities that have civic leadership committed to improving transportation options for their residents (and often visitors) by any means necessary.

Whether by raising new money to expand and improve a transit system that hasn’t kept pace with the growth of the city, by building a downtown walking and biking path that’s the envy of other cities, or encouraging new mobility companies like BlueIndy or Car2Go to set up shop, Indy’s “more is better” approach is already reaping economic dividends.

Mobility is changing incredibly fast and cities that open themselves up to these exciting changes will be much better positioned to reap the rewards. It’s encouraging to see a place like Indianapolis on the list of places stepping forward into this future of new, different, exciting mobility options. Regardless of how well BlueIndy fares going forward, this step is one they’ll be glad they took for years to come.

New traffic congestion report raises more questions than it answers

Most people sitting behind the wheel each day won’t be surprised by the findings of the latest edition of the Texas Transportation Institute’s report on urban congestion that shows, once again, that (surprise!) the roads in most major American cities are very congested during rush hour each day. The report’s methodology is flawed, but what really matters most is what policymakers and citizens decide to do about congestion in their communities.

(Updated: 8/27/15 12:15 a.m. with other articles at bottom.) Once again, The Texas Transportation Institute is in the headlines today with the release of their Urban Mobility Report and its Travel Time Index (TTI), which purports to rank metro areas by congestion but is mostly disconnected from what commuters experience on a day-to-day basis.

While TTI is striving to provide easy to understand measures and rankings to the complex issue of traffic congestion, their methodology is once again drawing criticism on a number of fronts.

The report’s touchstone metric is a blunt measure of peak-hour speeds compared to an empty road in the middle of the night. Did you know that trips take longer during rush hour compared to the middle of the night? You did? The comparison of rush-hour to free-flow traffic begs the question about the goal: is it reasonable or even possible to build enough road capacity to keep traffic moving at free-flow speeds from 6-9 a.m. when the bulk of the populace is going to work? (Those free-flow speeds being used as the baseline comparison also exceed the speed limit in many cases, by the way.)

The economist Joe Cortright wrote a comical April Fools post that showed how silly that logic is when applied anywhere else, in this case, at Starbucks, where consumers lose “$4 billion every year in wasted time” because of long lines during busy mornings. Yet:

No one would expect to Starbucks to build enough locations—and hire enough baristas—so that everyone could enjoy the 15 second order times [at 9 a.m.] that you can experience when there’s a lull [at 9 p.m.]. Consumers are smart enough to understand that if you want a coffee the same time as everyone else, you’re probably going to have to queue up for a few minutes.

The report focuses only on drivers — not commuters as a whole. The millions of people using growing modes like transit, walking or biking or skipping the trip entirely by telecommuting at peak aren’t included in the analysis. So when the report says “person” or “commuter,” what they’re really saying is “car commuter.” The nearly 1 million trips taken per day in Washington, DC —#1 on the “list of gridlock-plagued cities — on metro (bus and rail) and therefore not in a car? Not included in this analysis.

Trips not taken can be crucial, yet they’re ignored here. In February 2009, Inrix, the company partnering with Texas A&M on this release, reported that just a 3.7 percent drop in vehicle miles traveled in 2008 resulted in a 30 percent drop in congestion in the 100 most congested metro areas. We don’t need everyone to shift their trip, take transit, move closer to work, or telecommute — among many possible options. But smart investments and incentives that lead to very small reductions in trips taken can have huge benefits in reduced congestion. And they’re often far cheaper than massive projects proposed to shave a few seconds off of average commutes.

Live close to where you work? Oops. Your short commute can come out looking worse than someone else’s much longer commute. TTI completely ignores the actual time and distance of commutes. If you have a 20-minute commute home but move at a lower speed, your commute scores worse than the person driving 80 minutes at a higher speed. Yet who has the better experience each day?

We share a graphic like this almost every time this report comes out, but it’s telling. According to this year’s Travel Time Index, Atlanta (1.24) is actually less congested than Chicago (1.31). Yet…

Chicago Atlanta travel time

 

In Chicago in 2007, the average peak hour car trip to work was 38% shorter (in time) than the 57.4 minutes it took Atlantans to drive to work in rush hour. Even the average non-peak commute in Atlanta in 2007 was longer than the average congested peak hour commute in Chicago.  A major reason for the better highway performance in Chicago is that drivers do not have to travel as far as drivers in Atlanta – 13.5 miles compared with 21.6 miles. Yet TTI rates Chicago worse.

Ranking congestion is fine, but what should we do about it? How can we manage congestion in the most cost-effective way possible given limited transportation dollars?

Doing more of the same certainly won’t solve the problem. Regions that have been aggressively investing in additional travel options, eliminating trips, reducing trip length, creating more places to live close to jobs or more effectively managing demand have seen their congestion numbers get better, according to this landmark CEOs for Cities report from a few years ago.

That’s why it’s so critically important that the rule for the congestion performance measure being developed by USDOT measure success (or failure) in ways beyond just this limited and flawed TTI measure. We do need a better measure of congestion if we want to avoid making the same decisions that got us into this mess.

How far do most people have to travel for work? How long does it take them? What is most effective at reducing the amount of time it takes to get places? How many people are exposed to the congestion? Congestion may be bad, but people telecommuting, in a vanpool or on a bike might not experience it. Credit should be given to areas that allow people to opt-out of the traffic. Those are the kinds of metrics we need to use in order to find real solutions.

The proposed rule for congestion being drafted right now by USDOT will lay out exactly how states and metro areas will have to begin measuring congestion — and measuring whether or not the projects they want to build will improve it. We’ve got some posts in the works that will discuss how some alternatives would work, so stay tuned on that front.

Updated: The quotes from the report’s author in this WAMU story from Washington, DC essentially acknowledge that their report is a limited measure of congestion, largely because it only focuses on auto commutes and ignores essentially everyone else.

In response to the coalition’s criticism, Lomax conceded the report’s methodology does not take into account non-car commuting modes.

“They have some good points,” Lomax said. “And they are points that we have included not only in our proposed solutions, but also in terms of our methodology.”

“We have backed away from trying to make estimates of what is happening on the transit side because we don’t have very good transit data. We don’t have good data about how people are walking. So we concentrated on where we have the data,” he said.

Here’s a sampling of other articles questioning the measures in the report and suggesting some better ways to measure a more accurate picture of congestion.

Diving into performance measures with T4’s resident expert

Feel a little lost when it comes to the concept of transportation performance measures? In the first post of a short series expressly for T4A members, Our resident expert and USDOT veteran will help bring you up to speed with a high-level overview of the concept and a quick look at the current state of practice.

This is the first post in a series on performance measures by Beth Osborne, T4America Senior Policy Advisor. Read the rest of the series and find out how and why you should go beyond the federal requirements, learn more about choosing the best measures for addressing your priorities, and learn how to demonstrate to the public that their dollars are being used wisely. -Ed.

Beth Osborne, T4America

Beth Osborne, T4America

As Congress debates a new surface transportation reauthorization bill, it is easy to forget that the transition to performance measurement required by MAP-21 has not yet been fully implemented. The language in MAP-21 required that states and metropolitan planning organizations (MPOs) determine the success or failure of their transportation system by measuring the performance of their investments against federally-required measures, but USDOT has been slow to finalize those benchmarks and kickstart this new process for states and MPOs.

While USDOT continues to work their way through this process via three rulemakings, there are two big issues with which everyone will grapple.

First, though MAP-21 requires specific areas to be measured, the areas were limited to those on which Congress could agree — measures including safety, system condition, system performance, mobile source emissions, and freight movement on interstates and congestion, among others. MAP-21 did not address other measures like economic impact, access to opportunity, transportation cost, freight movement (beyond interstates) and other environmental impacts beyond air quality.

T4A members should be concerned about these missing areas. Regions that fail to consider them may end up only building projects that address Congress’ priorities and not the priorities of their constituents. If you or your community want to consider other factors and measures when picking projects and choosing where to invest, it is time to confer with political and civic leaders, stakeholders and the public to identify those priority areas and the measures that go with them.

Nationwide, states and MPOs are discussing this issue now — before the rule is completed by USDOT and everyone is forced to get moving on USDOT’s tight implementation timeline. We will talk more about how this can be done in the next post, with some specific examples.

Second, regions should pay close attention to the development of each performance measure rule by USDOT because those rules will establish exactly what each state and region will measure. There are more ways to measure “National Highway System performance” and even “congestion,” for example, than you may realize, with a wide range of impacts based on how each issue is measured.

Congestion could be a measure, as engineers have traditionally treated it, of moving cars through an area as fast as possible. Or we could focus on moving people instead of cars. Keeping cars moving so that traffic never slows — no matter how many cars are on the road — is an extremely expensive, if not impossible, proposition. If your goal is moving people, the solution will be much more affordable, flexible and tailored to the overall community goals.

We will dig in deeper to the issue of how the wrong measures can send a community in the wrong direction in an upcoming post.

USDOT split their full rule for performance measurement into three parts. Their first part covered safety measures; the second, system condition measures (i.e., road and bridge condition); and the third contains all the other measures mentioned above. The first two parts of the rule have already been released, commented upon and closed. The third (the biggest one) is still pending and will probably be released to the public for comment toward the end of this year.

Stay tuned right here, T4A members! Over the next few weeks, we will unpack the thorny issue of performance measures and provide you with insights into preparing for this new decision-making system and how you can use it to build support for your programs and help make a case for needed funding.

For more information, feel free to check out our report on performance measures, Measuring What We Value.

10 things you need to know about the Senate’s DRIVE Act

The Senate approved their multi-year transportation authorization bill by a 65-34 vote this week. You can view our full statement on the DRIVE Act here from T4America Chairman John Robert Smith. Meanwhile, here are 10 things that you need to know about what’s in the Senate bill.

 

1) Funding from deficit spending vs. pay-as-you-go

How do you pay for a six-year transportation authorization when the transportation fund is broke and Congress is unwilling to raise the federal gasoline tax? For the DRIVE Act, the Senate bridged the gap between dwindling user fee revenues and total spending by getting creative. In the end, they cobbled together $46 billion in non-transportation-related funds, fees and accounting maneuvers.

Among some of the more controversial “pay-fors” in the Senate bill is a requirement to sell 100 million barrels of the 693 million barrels in the nation’s Strategic Petroleum Reserve (SPR) between 2018 and 2025, estimated to bring in $9 billion if it can be sold at $95 per barrel ($30-40 more per-barrel than today’s price). Add to that the indexing of customs fees (ironic for a Congress unwilling to index gasoline taxes), an extension of airport TSA fees through 2025, closing estate fee loopholes, and reducing the “fixed dividend rate” the Federal Reserve pays to banks.

But while the bill needs 10 years to recognize some of the new revenues or savings that won’t occur until the 2025, it would instantly transfer billions from the general fund to the transportation fund, increasing the deficit. Senator Bob Corker (R-TN) called it “generational theft,” while T4A Chair John Robert Smith asked, “Is it fiscally responsible to place the cost of paying for three years of transportation investments on the backs of our children and grandchildren?”

A final point of clarification on the length of Senate bill: the DRIVE Act authorizes six years of spending, but provides only three years of funding certainty. In 2018, Congress will have to find an additional $51 billion to fully fund the bill for the remaining three years of its authorization. Despite calls from a diverse cross-section of industry and advocacy groups for a “long-term, sustainable funding solution” for transportation, the DRIVE Act is patched together with temporary and speculative “pay-fors,” the type that are only going to get harder to find three years from now.

PolicyTen-year savings
Reduce the fixed dividend rate the Federal Reserve pays larger banks$17.10 billion
Sell 101 million barrels of oil from the Strategic Petroleum Reserve$9.05 billion
Index customs fees for inflation$5.70 billion
Extend current budget treatment of TSA fees from 2023 to 2025$3.50 billion
Use private debt collectors to collect overdue tax payments$2.48 billion
Extend Fannie/Freddie guarantee fees$1.90 billion
Require lenders to report more information on outstanding mortgages$1.80 billion
Close an estate tax loophole about the reporting of property$1.50 billion
Clarify the statute of limitations on reassessing certain tax returns$1.20 billion
Revoke or deny passports for those with seriously delinquent taxes$0.40 billion
Devote civil penalties for motor safety violations to the Highway Trust Fund$0.35 billion
Stop paying interest when companies overpay for mineral leases$0.32 billion
Adjust tax-filing deadlines for businesses$0.30 billion
Allow employers to transfer excess defined-benefit plan assets to retiree medical accounts and group-term life insurance$0.20 billion
TOTAL$45.80 Billion

2) Local communities get the short end of the stick…again

The DRIVE Act bypasses America’s cities and towns, reducing the already small amount of funding they directly control to invest in locally-driven projects by nearly $200 million in the first year alone compared to MAP-21. We were extremely disappointed to see a bipartisan amendment from Senators Roger Wicker (R-MS) and Cory Booker (D-NJ), with support from Sens. Casey (D-PA), Durbin (D-IL), Peters (D-MI) and Stabenow (D-MI) fail to receive a fair hearing on the floor. Their plan would have put a larger share of transportation dollars in the hands of local governments by increasing the amount of flexible federal Surface Transportation Program (STP) dollars directly provided to metropolitan areas of all sizes and allowing direct access to the funding for rural areas through a grant program. By failing to bring more dollars, control and accountability closer to the local level, the bill fails to restore the trust of the American people in how our transportation decisions are being made.

3) Progress on a national freight policy but with funding stuck in 20th century silos

The Senate recognized the economic importance of moving goods efficiently throughout the country by including a new freight program that also includes real funding: almost $1 billion in the first year, and up to $2.5 billion annually towards the end of the authorization.

Unfortunately, 90 percent of the dollars reserved for the freight program are restricted to highway projects. This decision runs counter to the realities of how our freight moves: generally, no one product gets to its destination by one mode of transportation, but rather relies on a interconnected and efficient system of ports, rail lines, highways, urban streets and intermodal yards all working together.

There’s a mixed message here. The bill requires USDOT, states and MPOs to conduct thoughtful national- and state-level freight planning to analyze the condition and performance of the freight transportation system and identify the highest priority needs to create greater efficiency and reliability in freight movement, regardless of mode. After all this planning is done, the Senate bill instructs states and MPOs to focus only on highway projects at the expense of rail lines, ports and a truly intermodal network.

4) For the first time, intercity passenger rail is included in a surface transportation bill

While the popular shorthand for the transportation authorization is “the highway bill,” the nation’s transportation program has included dedicated funding for public transportation and bicycling and walking since 1982 and 1991 respectively. But intercity passenger rail has been consistently left out of the overall surface transportation legislation – until now.

For the first time, the nation’s passenger rail policy is included in the bill, laying the groundwork for further improvements and expansion of the nation’s passenger rail service to match the recent unparalleled growth in ridership. Previously, the passenger rail bill has always passed as a standalone authorization, but the DRIVE Act would enshrine the policy in the nation’s surface transportation bill. While the rail programs would still require annual appropriations for funding, it takes an important step forward in providing Amtrak sustainable funding and helping to expand service to meet booming demand.

5) Popular TIGER program fails to win a permanent seat at the table

The USDOT’s competitive TIGER grants represent one of the few ways local communities can directly access federal funds for their local priority projects. While disaster was averted as the bill was being drafted and TIGER hasn’t been changed in this bill, the Senate missed a major opportunity to authorize the program and make it a permanent part of the nation’s transportation policy. If this bill passed, supportive lawmakers will have to continue to fight each year for TIGER funding through the annual appropriations process, resulting in up and down fluctuations in available funding year to year. That makes it tough for local communities to plan and compete within this popular and oversubscribed program.

Nearly one-third of the Senate endorsed Senator Patty Murray’s (D-WA) amendment to authorize TIGER and provide $500 million per year in contract authority via the transportation fund. Unfortunately, along with the Wicker-Booker amendment, this important provision was not given an open and fair hearing on the floor.

6) TIFIA loans can fund TOD, but under a dramatically scaled back program

One of Senator Barbara Boxer’s (D-CA) signature achievements in MAP-21 was an expansion of the TIFIA loan program from nearly $125 million up to $1 billion in annual financing authority. This move greatly expanded an innovative program of low-cost federal financing that doesn’t have to be repaid immediately, allowing the financial benefits of a project to accrue before payments are due. While two good changes were made in the DRIVE Act — making transit-oriented development (TOD) an eligible expenditure and making it easier for local projects, TOD and ITS to access this program by lowering the total project cost threshold lowered from $50 million to $10 million — the program’s funding was scaled back significantly, from $1 billion to $300 million annually.

7) Transit wins additional funds, but projects with private involvement can ‘skip the line’

Overall, public transportation was spared any cuts and in fact received a larger portion of overall authorized funding. As initially introduced by Majority Leader McConnell (R-KY), the DRIVE Act provided transit with 24 percent of the bill’s funding, but the new money used to fill the gap in the transportation fund was directed almost entirely to the highway program. As a result, the mass transit account was set to end the third year of the bill (FY2018) with a negative balance of $180 million. This was fixed on the Senate floor with help from Sen. Durbin (D-IL) and others, and in the end transit received a nearly 25 increase in funding over the six years of the authorization.

One provision in the transit title of the DRIVE Act generating controversy is the ability for projects with any private sector involvement in design, construction, operation, or maintenance of transit projects to jump to the front of the line for the already oversubscribed transit New Starts Program.

8) Active transportation funding survives intact

While the bill represents a missed opportunity for local communities on the whole, the bill slightly increases funding for the popular Transportation Alternatives Program (TAP) to $850 million, but it caps the growth there over the life of the bill. Unlike other programs, this means TAP will not be able to grow with inflation over the life of the six-year authorization.

On a positive note, communities that use TAP to help make biking or walking safer and more convenient will receive 100 percent of the program’s funds, meaning all $850 million will be available to communities. States formerly controlled half of the program’s funds — but no longer.

9) Limited progress to improve accountability through performance measures

The DRIVE Act takes one small step to build on project selection and performance management, a key reform of MAP-21. The DRIVE Act provides MPOs and states support in developing their performance measure programs by requiring USDOT to develop datasets and data analysis tools. This includes addressing data gaps for trip origin and destination, trip time and travel mode.

While USDOT has yet to complete their assignment to establish rules for the performance measures contained in MAP-21, there were steps available to the Senate such as including measures such as connectivity and access to jobs or improving project selection processes to open up the “black box” and provide greater transparency and understanding for why one project receives funds over another. None of these positive ideas were included in the DRIVE Act that passed the Senate.

10) Positive advances for next-generation transportation research

At a time when transformative changes in technology are beginning to reshape the transportation landscape, providing an outcome-based 21st century transportation research program is needed now more than ever. Fortunately, this is an area that the DRIVE Act did well. First, the bill establishes competitive funding for local governments and MPOs, among others, to deploy and test innovative research. This is important, since MAP-21 provided limited dollars outside of formula funds to test and deploy the next generation of transportation innovations. Second, the bill would require USDOT to study “shared use mobility” (car-sharing, bike-sharing, ride-sharing, etc.) and other innovative concepts, and provide local and regional leaders best practices and better understanding of the shared use transportation sector. This is important since we need to provide our leaders the understanding of this new transportation sector so that they can adequately plan and provide for its growth.


 

The last thing you need to know is that the work is far from over. While the Senate passed this long-term bill, both chambers also passed short-term extensions to MAP-21, setting up October 29th as the next deadline to agree on a multi-year transportation bill. Will the House pass the Senate’s bill? Will they draft a bill of their own? Will they fail to do anything and move to another short-term extension in October? Stay tuned.

Senate on the verge of passing a multi-year transportation bill

After several contentious procedural votes to keep the bill moving forward over the past week, the Senate is likely to be taking a final vote on their three-year transportation bill at some point before the end of the week. Here’s a short update on where things currently stand.

First, here are the six most useful tidbits to know right now:

  1. The Senate is a few more procedural votes away from a final vote on their three-year transportation bill.
  2. Little in the bill has substantially changed since it was first introduced, though a few fixes were made to issues in the first draft having to do with transit funding and complete streets language.
  3. The contentious amendment to reauthorize the Export-Import Bank through 2019 was approved and included in the base bill last night.
  4. The first manager’s package of amendments has been moved to consideration, though nothing has actually been approved yet.
  5. Whether this long-term bill passes the Senate this week or not, there will likely be an extension to MAP-21 for 3 to 5 months. This is intended to provide time for the House and Senate to negotiate a final agreement.
  6. Including the Wicker-Booker amendment to increase transportation funding going directly to local communities is still our best chance to improve this bill.  Getting more support for this amendment from other Senators is the best method to have it included in a manager’s package or as one of the few (if any) amendments considered on the floor. But the prospects are not good without more support. We’re working hard to drive up sponsors — Sen. Durbin from Illinois and Sen. Peters from Michigan hopped on as co-sponsors yesterday! — but we still need your help. Send another letter, or make a phone call as soon as possible.

After one failed vote early last week, the overall Senate transportation bill passed a cloture motion late last week that cleared the way for the bill to be considered and debated on the Senate floor.

Before they can take a final vote on the bill, the Senate has to work through the amendment process. Because of Sen. McConnell’s parliamentary actions to “fill the amendment tree,” we don’t forsee the usual open amendment process playing out where individual amendments are offered on the floor and debated. Instead, for the most part, any amendments to the bill will have to be included in the manager’s package to be voted on all at once or adopted by unanimous consent.

Last night, the Senate took small steps toward a final vote by successfully voting to include a reauthorization of the Export-Import Bank in the base bill and begin the debate on the manager’s package of amendments. Whether there is a third manager’s package or not, once they are approved, it clears the way to take a final cloture vote to halt debate on the underlying bill and move to a vote on final passage.

If that passes, we’ll have 30 hours of debate on the bill before a vote on final passage sometime before Friday night.

As to MAP-21’s expiration, the House already passed a five-month extension. However, the House has now agreed to move a shorter 3-month extension tomorrow and Speaker John Boehner has said they are leaving town after the vote for August recess. We expect the Senate to take up and pass the House’s 3-month patch and very likely pass their multi-year surface transportation authorization package this week as well.

Support the new plan from a bipartisan duo of senators to send more transportation dollars to local communities

Two Senators championing the cause of giving local communities more control over their transportation dollars have introduced a modified plan to steer more federal transportation dollars directly to local communities of all sizes — reaching a compromise that they hope to incorporate into the Senate’s transportation bill as it heads to the floor. 

The Innovation in Surface Transportation Act has been one of our biggest priorities for more than a year now. That bill would put a small share of each state’s federal transportation dollars into a competitive grant program so that towns and cities of all sizes could compete directly on the merits for transportation funds. Local communities get a seat at the table and get more access to federal dollars that can be spent on a wide variety of locally determined transportation projects and programs.

ISTA is a great proposal and it remains active in the House of Representatives, but the two Senators who introduced it have come together on a new plan to accomplish the same goal, one with even more widespread support.

A new proposal from Senators Wicker (R-MS) and Booker (D-NJ) would put a larger share of transportation dollars directly in the hands of local governments by increasing the amount of flexible federal Surface Transportation Program (STP) dollars directly given to metropolitan areas of all sizes.

This new proposal will hopefully be offered as an amendment to the long-term transportation bill currently before the Senate.

We need to drive up support for this plan now as the Senate considers their bill. Send a message to your Senators and urge them to support this provision from Senators Booker and Wicker.

SEND A MESSAGE

It’s a proposal that works for red states and blue states, heavily urbanized areas and smaller rural towns — evident from the support of a Democratic Senator from the most urbanized state in the country, and a Republican Senator from the deep south where a large percentage of his state’s population lives in smaller urbanized areas.

How the current system works for local communities, and how it falls short

Today, small metro areas (under 200,000 people) are at the mercy of their state’s decision-making process for transportation spending in their area.

Large metro areas (over 200,000 people) directly receive a share of flexible federal dollars through a process known as suballocation. But in the smaller metro areas under 200,000 in population, those “suballocated” funds go directly to the state instead, which has total control over spending that money. The only basic requirement is that the state must spend a predetermined share of those funds within the state’s smaller metro areas, but the local community gets little say on how those dollars are spent.

Those decisions are left entirely up to the state, even though the funds are expressly intended by federal law for those smaller cities and metro areas.

While there’s some variety from state to state in how this plays out — a few select states are certainly more respectful of local communities’ wishes — it means that a local community could see their priorities passed over completely by the wishes of their state department of transportation. A state could have a pressing local priority like improving an important downtown street, and the state could instead decide to add a lane on the state highway on the edge of town instead. As long as the state spends the appropriate amount of money within that small metro area, that’s considered a proper use of the money intended for use in that community.

What would this proposal change?

The overall funding intended for metro areas and cities of all sizes would increase in two ways: First, the size of the flexible program known as the Surface Transportation Program (STP), which can be spent on almost anything from roads to bridges to transit to bike lanes, would be increased. Secondly, the share of STP that gets suballocated to metro areas increases from 50 percent of STP funding to 67 percent. That means more money will be given directly to metro areas and metropolitan planning organizations.

Last but not least, an important change is made to ensure that smaller metro areas aren’t left behind. Instead of being put solely at the state’s discretion, the share of STP dollars intended for communities under 200,000 people will be put into a competitive grant program for these areas, so these smaller communities will be able to apply for their share of the funding in a competitive grant program for their local priorities.

Who supports this new proposal in the Senate?

A compelling case can be made that Americans are willing to contribute more to invest in transportation, but they absolutely want to know that the dollars a) will be spent wisely on the projects that do the most get to work, school and daily needs and b) they want more decisions in the hands of the levels of government closest to them so they can hold them accountable.

A number of groups that represent local elected officials in communities of all sizes sent a letter to Congress this week endorsing this proposal. The National League of Cities, the U.S. Conference of Mayors, the National Association of Development Organizations, the National Association of Counties, the Association of Metropolitan Planning Organizations, and the National Association of Regional Councils all signed onto a letter to Congress supporting the Booker-Wicker proposal, urging it to be included as an amendment to the Senate’s full long-term transportation bill currently under consideration.

What does this mean for the Innovation in Surface Transportation Act

While numerous local mayors, county executives, chambers of commerce and other local leaders have backed the Innovation in Surface Transportation Act, it’s an even bigger sign of support to see these national associations which represent many of those leaders nationally endorse this new proposal, noting that it would be a win for mayors, cities, county executives, metro leaders and others.

But this new proposal wouldn’t have happened without the strong support that has been pouring in for months on the Innovation in Surface Transportation Act. Your emails, phone calls, letters and meetings have made it clear to these Senators that this idea has traction, and this new proposal is a direct result of your past support for the Innovation in Surface Transportation Act.

All of this means that in the Senate from here on out, we’ll be focusing our efforts on this amendment from Senators Booker and Wicker because it represents a far greater chance to accomplish many of the same goals as the Innovation in Surface Transportation Act.  This new proposal is a smart compromise that should be incorporated into the full Senate long-term transportation bill currently on the floor, and one that will ensure that smart, locally-driven, homegrown transportation investments get the funding they need.

We’ll continue to drive up support for ISTA in the House, however, and we encourage you to continue supporting it in messages and calls to your representatives.

Transportation for America takes a look at the options for funding transit in St. Louis

St. Louis’s economic prospects are directly related to the quality of access to transportation for their residents — making new investments in public transportation essential. A new T4America report analyzes the possible ways that the St. Louis region could fund an expansion of their public transportation network.

STL-top-of-arch

This report was commissioned and released by Citizens for Modern Transit, a St. Louis-area nonprofit that supports the creation of an integrated, affordable and convenient public transportation system in the area.

Though the St. Louis region is considering several proposals to dramatically expand or improve the region’s public transportation, the bottom line is that these projects are often expensive, funding is scarce, the state may not be interested in investing in transit at all, and the uncertainty stemming from congressional inaction has only made things worse.

St Louis report coverLike most metro areas these days, St. Louis does not possess a single regional organization or government that can singlehandedly fund any of their planned major transit projects; and just one or two funding sources are rarely enough to make these projects happen in any case. (The same can be said of most major transportation projects, whether roads or transit. But states more often decide to underwrite major local road projects.)

Many regions have successfully built new transit projects by creatively piecing together funding through a variety of sources from all levels of government, along with a variety of private sources. This new report analyzes various options for funding transit at the federal, state and local level, including ways to combine various sources of funding, to build projects from large rail projects to less expensive bus or bus rapid transit projects. It also provides examples from across the nation of actual projects built using each funding mechanism raised to illustrate how each can be applied.

To bring the issue home in St. Louis, the report also analyzes two projects currently under consideration in the St. Louis region: a new 17-mile light rail line from North St. Louis to downtown and a 23-mile highway-running BRT line along I-64 ending downtown. The report considers ways to mix and match funding from federal, state and local sources to bring projects like these to fruition in the near future.

Transportation for America undertook this analysis under our new consulting practice led by our Beth Osborne, formerly the Acting Assistant Secretary for Policy at the U.S. Department of Transportation. The goal of this kind of work is to take Transportation for America’s national research and make it practical and actionable for the local leaders clamoring to invest in their communities by making smart transportation investments.

If you’re interested in a similar analysis for your region or discussing other consulting opportunities, please get in touch with us.

UPDATED: Senate reaches preliminary agreement on a long-term transportation bill

A group of key Senate leaders announced yesterday that they’d reached agreement on a bipartisan six-year transportation bill with three years of guaranteed funding. While it’s encouraging to see this agreement ten days before MAP-21 expires on July 31, forthcoming negotiations over the actual details of the bill will be crucial as most Senators have not yet seen the policy or funding language.

Senator McCcnnell announcing deal 2015-07-21 Senator Boxer announcing deal 2015-07-21

UPDATED Thursday 9:30 a.m.: Late Wednesday, the Senate reached cloture on the transportation reauthorization bill. It got just the required number of votes to pass, 60-38. We’ll move on to discussing and debating the bill today.

UPDATED Wednesday 5:30 p.m.: Yesterday (Tuesday) afternoon, a few hours after this bill was announced on the Senate floor, the Senate failed to pass a “cloture” vote to begin debate of the bill. Senate Democrats were unwilling to begin considering and debating a bill they’d had less than a few hours to read, and a few Republicans voted against cloture as well because of objections to particular funding mechanisms.

Senators McConnell, Boxer and the others assembling the funding mechanisms were only able to find sufficient funding for three years, using a mix of funding offsets that included selling oil from the nation’s strategic reserves, lowering the dividend paid to banks that join the Federal Reserve, and tinkering with fees from the TSA.  You can read the full text of the bill here (pdf), a summary of the provisions from the EPW majority, and a summary of the funding mechanisms.

Stay tuned as we watch the Senate for more. Though a vote was mentioned to reporters as a possibility today by numerous Senators, the Senate recessed this afternoon at 4:30 p.m. (Wednesday) without any movement on the bill. There’s still a possibility they could return tonight for a vote, but the more likely option is Thursday.

Original post: Speaking on the Senate floor yesterday, Senators McConnell (R-KY), Reid (D-NV), Boxer (D-CA) and Inhofe (R-OK) announced their agreement on a long-term transportation bill that cobbles together sufficient revenue to carry the policy forward for three years.

The four Senators (and especially Senators McConnell and Boxer) had been “hammering out the details” over the last few days according to an article in The Hill this morning, and today Senator McConnell announced the deal on a “six year highway authorization that will allow for planning for important projects around the country…a long-term bill that’s in the best interests of our country.” (Note: Sen. McConnell repeatedly called the bill a six-year authorization with only three years of guaranteed funding.)

What’s next?

While an agreement has been reached in principle and procedural vote will be taken this afternoon at 4 p.m to consider debate on the bill, it’s far from a done deal at this point, and Senate Democrats will especially be curious to see the details of a bill that the rank and file (and possibly some of the leadership and relevant committee chairs) have not read at all yet.

It’s also notable that the Banking Committee and Finance Committees haven’t independently passed their portions of the full bill yet, so those committee members will be especially interested to see what the bill contains for their areas of jurisdiction.

After Sen. McConnell spoke, the two key Democratic negotiators in the Senate got up and made it clear that while the agreement is a step forward, they need to know more about what’s in the bill before they can proceed.

“We can’t go forward on a bill until we’ve read it and studied it,” said Senator Reid, one of the two main Democratic negotiators on the deal. “We need to look at this document,” he said. The other key negotiator in Democratic leadership, Senator Boxer, urged her colleagues to get the text posted as soon as possible. “We want to see the text — get the text up,” she said.

The vote coming today at 4 p.m. (originally scheduled earlier in the day but moved back during this time) will be a procedural vote to bring the bill to the floor and begin debate. That doesn’t mean there will be a vote on the final bill anytime soon — especially considering that all of the Senate Democrats who spoke made it clear that there’s still work to be done and that they need to carefully study the bill first.

We’ll be watching the vote this afternoon, so stay tuned, and follow us on Twitter to stay regularly updated.

Senate committee responds to outcry, restores competitive TIGER grant program in final bill

Just a few hours after receiving a letter with 150 signatories from across the country in support of the TIGER program, late yesterday the Senate Commerce Committee removed the language from their bill that would have essentially ended that popular program of competitive transportation grants.

After many of you combined to send in over 1,700 letters to your Senators over the last 48 hours and we organized a letter of more than 150 elected officials, DOTs, MPOs, chambers of commerce and others, Senate Committee Chairman John Thune (R-SD) amended the bill late yesterday before the committee markup and removed the language that eliminated the TIGER program as we know it.

saved-tiger-featured

This is a big win and it wouldn’t have happened without your help! Thanks to everyone who got involved and made your voice heard in support of the TIGER program.

The win does come with an asterisk, however.

The original version of the Commerce bill wasn’t eliminating competitive grants entirely, it just repurposed the funds currently used for TIGER to create a smart competitive multimodal grant program explicitly for freight projects.

While a competitive program to help direct funds to the smartest freight projects is the direction federal transportation policy should be heading in, that shouldn’t happen at the expense of TIGER. We need more transportation dollars, not fewer, awarded competitively on the merits to the best projects.

Also, TIGER still lacks the permanent authorization of a program like New and Small Starts for example, which is why we’re constantly fighting battles to keep TIGER funded each year. Appropriators can choose not to fund it in any given budget year, and it’s an uphill battle to change that. Senators Patty Murray (D-WA) and Susan Collins (R-ME) introduced a bill that would authorize the TIGER program and enshrine it as a permanent part of the federal transportation program — which will hopefully be considered on the Senate floor now that the bill has cleared the committee.

Logged-in members can read our summary of the TIGER Act (S. 1748) below.

[member_content]Senate TIGER Act (S 1748) Summary memo for members
Senators Murray (D-WA), Collins (R-ME), Durbin (D-IL), and Reed (D-RI) introduced the Transportation Infrastructure Grants and Economic Reinvestment (TIGER) Act (S. 1748) to formally authorize the federal TIGER discretionary grant program for the first time.[/member_content]

There are other provisions to applaud in the Committee’s bill — some of which we’ll go into detail on in today’s open conference call— including the Railroad Reform, Enhancement, and Efficiency Act from Senators Wicker (R-MS) and Booker (D-NJ). That bill will make numerous improvements to the country’s passenger rail policy, but most importantly, by virtue of its inclusion in the full Commerce bill marked up yesterday, would be fully authorized as part of a long-term transportation bill if it remains there.

So we applaud the Committee for hearing the outcry and making the change to TIGER, but there’s still work to be done and our full request from yesterday’s letter still stands:

We request that the Commerce Committee authorize a strong, multimodal freight policy and freight investment grant program, as well as pass a complementary, authorization of the TIGER grant program separate from the multimodal freight discretionary grant program at or near equal funding levels.

We’re looking forward to working with the rest of the Senate as they continue putting together the long-term transportation reauthorization that we so desperately need.

Update: Read Smart Growth America’s post covering some of the bill’s provisions for complete streets, transit-oriented development and passenger rail, including a great summary of what to expect next — exactly the kind of topics we’ll be covering at length on today’s open conference call!

Senate leaders will combine this with other bills from the Committees on Environment and Public Works, Commerce as well as Banking, Housing, and Urban Affairs. That combined bill will then go to the full Senate for consideration—possibly as early as next week. Senate leaders are also working with the Finance Committee to agree on how to fund it all.

Meanwhile, the House of Representatives yesterday passed a five-month extension of the current transportation bill, MAP-21. Questions remain as to whether the Senate will be able to pass a long-term bill or accept the House’s short-term extension before MAP-21 expires at the end of the month.


Don’t forget to register for today’s open conference call discussing everything that’s happening with regards to transportation in Congress.

Cities and towns could lose one of their best options for funding smart local projects

The Senate Commerce Committee is marking up a version of a long-term transportation funding bill Wednesday morning with no authorization for the popular TIGER program, thus limiting the money available to local communities.

Let me tell you a short story.

In central Illinois, there’s a classic medium-sized American town that desperately wanted to revitalize their downtown, fan the flames of the community’s civic pride, and provide a new lynchpin to encourage development in a part of town that had been neglected for far too long.

The elected leaders, business leaders and citizens in Normal, Illinois had an ambitious vision for their city’s core to become a powerful asset; helping them compete and prosper economically and creating a new framework for creating value for decades to come.

save-tiger-featuredSince 2009, the federal TIGER program has made projects like Normal’s downtown transportation hub and civic centerpiece a reality, directing a relatively tiny $4 billion into smart, ready-to-go homegrown transportation projects that bring a high return on investment.

Unfortunately, in the just-released proposal for a new long-term transportation bill, the Senate Commerce Committee has decided to entirely scrap the oversubscribed and woefully underfunded TIGER program that awards competitive, merit-based grants.

Can you send a message right now to your Senators and urge them to preserve TIGER? 

The Senate Commerce Committee is marking up the bill on Wednesday morning (7/15), so there’s not a moment to lose!

The committee is creating a very smart competitive multimodal grant program explicitly for freight projects, but that shouldn’t happen at the expense of TIGER. We need more transportation dollars, not fewer, awarded competitively on the merits to the best projects.

When we choose projects on the merits, we can get a greater bang for the buck. In Normal, where the new transportation hub opened in 2012, a total public investment of $80 million has catalyzed $165 million in private development surrounding the station, with another $40-50 million in the works.

These TIGER grants have been rewarding communities all across the country that are thinking outside the box to cut congestion, improve safety, promote economic development, or improve access to jobs and opportunities through smarter transportation investments.

It’s time to take a stand for TIGER. Can you send a message today?

Join us for the third online discussion of the Innovative MPO on July 8th

Building on the range of new ideas for metropolitan planning organizations outlined in our Innovative MPO report, join us for the third in a series of online discussions to help MPO staff, board members, and civic leaders find smart ways to use their funding and planning authority to get better outcomes for their regions.

First, if you’re asking, “What’s The Innovative MPO?”, it’s a great free resource we released in late 2014, so the first thing to do is to cruise over to this page and get your copy immediately.

With your guidebook now in hand, join us next Wednesday (July 8) for our third online discussion on the content of the guidebook. This time out, we’ll be focusing on a range of tools and techniques that MPOs can use to get to or stay on the leading edge of smart transportation planning in regions small and large.

Specifically, we’ll be looking a few provisions in the Senate’s recent proposal for a six-year transportation authorization that will create some new opportunities for innovative MPOs prepared to capitalize, how one region is taking advantage of an amazing wealth of data to better measure the performance of their transportation dollars, and an emerging placemaking and planning approach that leverages arts, culture and creativity to foster more inclusive economic development in communities of any size.

Register for this informative webinar on Wednesday, July 8th at 3 PM EDT and join the following experts:

  • Joe McAndrew, T4America policy director, will discuss a few key provisions in the Senate’s long-term transportation bill, and the opportunities it will create for the MPOs best prepared to take advantage.
  • Monique De Los Rios-Urban from the Maricopa Association of Governments (MAG) will touch on performance measures and data collection. MAG has an amazing online suite of data research tools that you can test drive right here.
  • Erin Evenhouse, T4America Midwest outreach manager, will discuss the emerging practice of “creative place-making,” and share stories of how some metro regions are using this inclusive approach to planning — as well as some details on a forthcoming T4America toolkit for MPOs and others on the practice.

Congress kicks into high gear on transportation — let’s summarize the action

During an extremely busy week in Congress in several key committees, a long-term transportation bill and a multi-year passenger rail authorization were introduced and passed committees, along with hearings on possible ways to keep our nation’s transportation fund afloat, rural transportation issues, rail safety, and autonomous vehicles.

For those of you who don’t regularly follow Congress, this is often how things go: nothing seems to happen for a long time, and then there’s an explosion of activity all at once. That’s certainly what took place this week in the Senate, with some important ramifications for the future of transportation funding and policy. We hope that Congress shows the same focus when they return from their weeklong July 4th recess.

Four of the five Senate committees with jurisdiction over either transportation policy or funding were active this week. Two notable transportation policy bills (and one yearly spending bill) were advanced out of committees this week, and the Senate made the first big move toward passing a long-term transportation reauthorization ahead of the July 31 expiration of MAP-21, the current law. So what happened, and what should we be expecting next?

Here’s our brief rundown of what you need to know.

First up, in news we haven’t covered here yet, the Senate Appropriations Committee this morning marked up and passed their version of the yearly transportation and housing spending bill that was passed out of the House several weeks ago — a bill that cut TIGER, passenger rail, and transit construction. Unfortunately, the news out of the Senate today was only marginally better. On the plus side, TIGER funding is maintained at this year’s level: $500 million again for competitive grants this upcoming year. But the Senate actually makes deeper cuts to New and Small Starts transit construction than the House did — $520 million in cuts over last year, and $320 million more than the House passed a few weeks ago. Passenger rail funding gets a marginal increase over last year’s level.

While we were hopeful that the Senate could possibly restore some of these cuts made by the House — as had happened in several years past — the consensus by House and Senate Republicans to stick to 2011 budget sequestration-level discretionary funding amounts for all of their FY2016 spending bills result in cuts across the board to discretionary programs like these. All Democrats on the Appropriations Committee opposed this bill.

Smart Growth America offered up this statement on the THUD bill today. T4America is a program of Smart Growth America.

The United States is in the middle of an affordable housing crisis. Rents are rising, the homeownership rate is declining, and federal housing programs are already failing to meet the need for affordable homes. Gutting the HOME program at a time like this is the wrong response. If Congress’s budget caps force this outcome, the budget caps need to be changed.

Logged-in T4America members can read our full THUD summary below:

[member_content]June 24, 2015 — The Senate Appropriations Subcommittee on Transportation, Housing and Urban Development, and Related Agencies (Transportation-HUD) marked up and reported its FY2016 appropriation bill to the full committee on June 23 without amendment. This is T4America’s short members-only summary of the THUD bill as reported to the full committee. Read the full memo.[/member_content]

Second up was the release and the subsequent committee markup of the Environment and Public Works (EPW) Committee’s six-year transportation bill known as the DRIVE Act. The EPW Committee is responsible for the largest portion of the full bill known as the “highway title” — more on the other portions below. In case you missed any of our posts about the EPW bill over the last few days, you can catch up with those below. Long story short? EPW released a bill with some modest improvements that represents a good starting point for debate, they approved it unanimously in committee while making a few small improvements, and important amendments that could ensure our investments best maintain and improve our transportation system are still outstanding and will hopefully be considered by the full Senate.

Statement on the release of the Senate’s long-term transportation reauthorization proposal

While this bill provides a positive starting point, there are other areas where Congress can and should do better.

Senate’s new transportation bill is a good start, but more should be done for local communities

The EPW committee marked up and approved this bill unanimously on June 24th without considering amendments (other than a package of amendments in a manager’s mark.) The amendments mentioned below were discussed or offered and withdrawn, and will hopefully be debated on the floor of the Senate. So keep any letters of support coming — this action is still ongoing!

Senate Committee rolls forward with speedy markup of six-year transportation bill

In a committee markup where the phrase “doing the Lord’s work” was invoked by numerous members on both sides of the aisle, the Senate Environment and Public Works Committee sped through a markup of their draft six-year transportation bill in less than an hour this morning, approving it by a unanimous vote with no amendments, save for a manager’s package of amendments agreed to in advance.

While the Senate Appropriations Committee marked up the transportation & housing spending bill this morning, the Senate Commerce Committee — the committee with jurisdiction over rail policy in the Senate — considered the Railroad Reform, Enhancement, and Efficiency Act — a bill to govern all passenger rail policy and authorize funding for the next several years. The RREEA bill is a good step forward, supported by T4America wholeheartedly:

Statement in response to introduction of the Railroad Reform, Enhancement and Efficiency Act

Senators Wicker and Booker are doing the nation a great service in crafting a bill that ensures Americans will see continued and improving passenger rail service in the years to come. Passenger rail service is vital and growing in popularity, and keeping the system working and safe requires investment. The Wicker-Booker bill embraces both those ideas. It authorizes necessary funding to start to return the system to a state of good repair and make targeted investments to improve service.

The committee markup of the bill known as RREEA was mostly uneventful, and it passed by a unanimous vote with mostly minor amendments and issues raised — some of which were safety-related and expected in the wake of the recent derailment in Philadelphia. The Commerce Committee is also responsible for freight and rail policy for the long-term bill, and we’ve heard that they could be releasing their draft long-term bill shortly after the July 4th recess.

Lastly, both House and Senate committees tasked with finding the funding to pay for the next long-term transportation bill (or finding the money to extend MAP-21 past July 31) held hearings this week to continue their work along those lines. In the case of the House, they were specifically discussing repatriation of corporate earnings as a possible revenue source.

Repatriation is the process by which companies can bring offshore earnings back to the U.S. at a reduced tax rate, and then all or a share of those tax revenues would be directed to the trust fund, providing revenues for a long-term transportation bill. It’s an idea that’s gotten some traction in the Senate — Senators Barbara Boxer and Rand Paul have introduced a proposal — but it’s still a one-time fix that’s still not a fee paid by the users of the transportation system.

A House Ways and Means subcommittee held a hearing today to discuss repatriation, and the overall takeaway from the hearing seemed to be that while repatriation may be the most feasible option after a gas tax increase was ruled out by Ways and Means Chairman Paul Ryan, there’s still little consensus in the House, and many representatives want to tie it to more thorny issues like corporate tax reform, reducing the chances that it could pass quickly or easily.

In the Senate, the Finance Committee held a hearing today as well to discuss the use of public-private partnerships — a growing trend in many states as they look to up-front cash from the private sector to help fund longer-term projects where the private party defers their payment or profits. Despite the way P3s, as they’re known, are frequently invoked as a possible funding solution, almost all the panelists today noted that although having a greater range of financing options will certainly be a boost to many states and cities, P3s won’t be sufficient without also increasing overall revenues. They’re not a panacea.

Which leads us right back to the elephant in the room: finding and agreeing upon a new, stable revenue source that can keep the nation’s transportation fund solvent for years to come. It was indeed a busy week, and we hope that Congress will keep up the momentum when they return from their weeklong July 4th recess.

Senate Committee rolls forward with speedy markup of six-year transportation bill

In a committee markup where the phrase “doing the Lord’s work” was invoked by numerous members on both sides of the aisle, the Senate Environment and Public Works Committee sped through a markup of their draft six-year transportation bill in less than an hour this morning, approving it by a unanimous vote with no amendments, save for a manager’s package of amendments agreed to in advance.

One thing was abundantly clear from the beginning of this morning’s committee markup of the DRIVE Act: the EPW Committee members are eager to get their portion of the bill completed and moved forward as soon as possible.

Led by Chairman Jim Inhofe (R-OK) and Ranking Member Barbara Boxer (D-CA), the committee opened with remarks of praise from Senators. From our vantage point most committee members sounded delighted to support the six-year bill with slightly increased funding levels over MAP-21.

“There’s no reason we can’t do this now if it’s a priority. We need to prove it’s a priority by passing this full six-year bill,” said Senator David Vitter (R-LA).

Senator Tom Carper (D-DE) was one of the first to bring up the elephant in the room. “The next challenge is to figure out how to pay for it,” he said. While that issue is out of EPW’s hands (Senate Finance and House Ways and Means will address the funding question), they did briefly discuss some possibilities. “One of the ideas I’ve heard consistently is to find a way to fix our roads and bridges and transit systems in a more cost-effective way,” Sen. Carper added.

The head of the Senate Finance Committee is Sen. Orrin Hatch (R-UT). During his remarks in the markup, EPW Member Jeff Sessions (R-AL) said, “I saw Senator Hatch in the hallway on the way over, and I said, you gonna find our money? And he said ‘yes.'”

It was certainly encouraging that there was no vocal opposition to any of the positive improvements this bill makes over its predecessor: providing all Transportation Alternatives program (TAP) funding to local governments, considering the needs of all users when designing and constructing road projects, changing the cost thresholds to enable more local governments have access to low-cost federal loans, providing support to smart transit-oriented development, or allowing cities to use the innovative NACTO street design manual even if their state does not allow it, along with a few others.

Though some members, just like us at T4America, are still hoping to improve the bill further, especially in providing better access and a greater share of funds for local governments of all size.

A handful of members referenced amendments or provisions they hoped to incorporate into the bill, but none were formally offered or voted on. Senator Roger Wicker (R-MS) spoke briefly about the Innovation in Surface Transportation Act, sponsored by himself and Senator Cory Booker (D-NJ), which would create a small grant program in each state to give local communities of all size greater access to federal transportation funds to complete merit-based projects.

“It’s been something that local officials have been very excited about, very hopeful about, and I’m sure there will be some disappointment that it’s not in the manager’s mark,” Wicker said. “It’s a worthy suggestion and a worthy project not to increase one penny of the spending in this bill, but to set aside a small portion of this bill” for this program to award dollars to local communities based on a competitive process to judge them on the merits.

That manager’s mark (a single group of amendments) makes a few small improvements. A small program of demonstration grants to “accelerate the deployment and adoption of transportation research” was amended to ensure local communities and metropolitan planning organizations were eligible for them — not just states.

Another change in the manager’s amendment will ensure that 100 percent of the $850 million TAP funding that helps make walking and biking safer will be be distributed to and spent in local communities. A provision in the draft bill allowing states to “flex” 50 percent of that funding to other needs was struck — guaranteeing that all $850 million will be spent on local priority projects to improve biking and walking. And a small change was made to take safety into account when designing any projects on the National Highway System.

Senator Boxer was delighted at the unanimity from the Committee.

“I’m just so happy after hearing comments from everyone. Yes there will be struggles about how to pay, but Eisenhower said it well: we can’t be a secure nation unless we have an infrastructure that works.”

The Committee approved the bill by a unanimous vote, but the Senate Banking, Commerce and Finance Committees still have to draft and vote on their portions of the bill. With the July 31 expiration of MAP-21 (and the insolvency of the transportation trust fund) looming, it’ll be an uphill battle to get a full bill passed by the Senate before the deadline, but we will be watching closely.

Members can read our full summary of the EPW bill below.

[member_content]Feature graphic - epw drive actJune 24, 2015 — The Senate Environment and Public Works Committee (EPW) released its six-year MAP-21 reauthorization proposal on June 22, 2015. The DRIVE Act is a start, but needs much more work to reform — and reinvigorate — the federal transportation program in ways that will boost today’s economy and ensure future prosperity. This memo provides an overview of the key provisions included in the proposal, as well as funding levels for key programs.

Read the full members-only memo here.[/member_content]

Senate’s new transportation bill is a good start, but more should be done for local communities

At long last, there’s finally some progress to report on a new long-term federal transportation bill. Today, the Senate Environment and Public Works Committee released their draft six-year transportation bill. While we think it’s a good starting point, there are some promising proposals to improve it dramatically during a planned markup tomorrow.

Updated 6/24 3:00 p.m.: The EPW committee marked up and approved this bill unanimously on June 24th without considering amendments (other than a package of amendments in a manager’s mark.) The amendments mentioned below were discussed or offered and withdrawn, and will hopefully be debated on the floor of the Senate. So keep any letters of support coming — the action below is still ongoing! (-Ed.)

Mayors and other local elected leaders are the ones who face the music from citizens when bridges need repair, when mounting congestion makes commutes unpredictable, and when families can’t safely walk their kids to school — yet those same leaders are too often left out of the discussions over what gets built and where.

That needs to change, and several Senators have readied several amendments to do exactly that.

First, Senators Wicker (R-MS) and Booker (D-NJ) are offering their Innovation in Surface Transportation Act as an amendment, to create a competitive grant program in each state to give local communities more access to federal funds — but only for the smartest, most innovative projects judged on their merits. A second amendment from Senators Booker and Wicker would increase the amount of flexible transportation dollars directly provided to local communities by ten percent of the program’s share.

Giving local communities of all sizes the resources they need to realize their ambitious plans to stay economically competitive should be a primary goal of this bill.

Can you urge your Senators to support amendments that will help give local communities like yours more access to and control over transportation dollars?

With a new competitive grant program for local projects in each state, more communities could find success like Normal, IL, found with its Uptown Station. Normal used a grant from the competitive national TIGER program to complete the funding picture for a multimodal station and central plaza that brought new life and economic activity to its town’s core. But the TIGER program is one of the only ways local communities can directly access federal funds, and it’s wildly oversubscribed.

Lastly, an amendment from Senator Cardin (D-MD) would increase funding for the program that cities, towns and regions use to invest in projects to make biking and walking safer — restoring the Transportation Alternatives Program to its previous funding level before being slashed in the last reauthorization in 2012.

The EPW Committee is marking up their bill on Wednesday, so don’t delay — send a message to your Senators and urge them to support these key amendments to improve this bill.

Members can read our full summary of the EPW bill below.

[member_content]Feature graphic - epw drive actJune 24, 2015 — The Senate Environment and Public Works Committee (EPW) released its six-year MAP-21 reauthorization proposal on June 22, 2015. The DRIVE Act is a start, but needs much more work to reform — and reinvigorate — the federal transportation program in ways that will boost today’s economy and ensure future prosperity. This memo provides an overview of the key provisions included in the proposal, as well as funding levels for key programs.

Read the full members-only memo here.[/member_content]

New Smart Growth America report details why so many companies are moving downtown

Launched at a terrific event at Washington, DC’s Newseum just this morning, Core Values, a first-of-its-kind report, is stuffed with useful data on nearly 500 companies that have decided to either move from the suburbs to a downtown location, or that have decided to expand or open a new branch in a downtown core.

The companies featured in the report — highlighted by quotes from more than 40 interviews with executives — shared some unifying threads in their decision-making process: the desire to take advantage of the collaborative and cultural opportunities that downtown locations offer, the desire to stay competitive for younger, talented workers, and the ability to give their employees multiple transportation options for getting to work each day.

It’s a trend that we’ve been keeping our eyes on in this space over the last year, like our story about State Farm’s decision to consolidate their employees in three new regional hubs near transit, the ambitious plans of three mid-sized cities that focus on transit as a core economic development strategy, or Marriott’s clear intention to move their headquarters to a location near to transit when their current lease is up.

Smart Growth America takes these stories to a new level, pairing that sort of anecdotal data above with some hard research and in-depth interviews of company executives into one comprehensive report on the trend; showing why companies are making the move and providing recommendations for other companies hoping to do the same — or cities hoping to lure them in.

As Chris Zimmerman wrote today on the SGA blog:

Core Values CoverIn 2010, global biotechnology company Biogen moved its offices from downtown Cambridge, MA, to a large suburban campus in Weston, 25 minutes away. In 2014, less than four years later, the company moved back.

“There is so much going on in Cambridge,” said Chris Barr, Biogen’s Associate Director of Community Relations. “It is such a vibrant place to live and work—it’s been a great move back for us.”

Biogen is one of hundreds of companies across the United States that have moved to and invested in walkable downtowns over the past five years. Our newest research takes a closer look at this emerging trend.

Core Values: Why American Companies are Moving Downtown is a new report released today by Smart Growth America in partnership with Cushman & Wakefield and the George Washington University School of Business’ Center for Real Estate and Urban Analysis. The new report examines nearly 500 companies that moved to or expanded in walkable downtowns between 2010 and 2015, and includes interviews with more than 40 senior-level staff at those companies.

The results provide an overview of why these companies chose a walkable downtown and what they looked for when considering a new location. The report also includes ideas for cities about how they can create the kinds of places these companies seek.

View the report

House takes first step in process to keep the nation’s transportation fund solvent

For the first time since 2012, the House of Representatives held a hearing focused on funding the nation’s transportation system. Today’s hearing focused on the elephant in the room: how to adequately fund a transportation bill that’s longer than just a few months. While it’s a relief to see the funding issue finally getting airtime in the House, keeping the nation’s transportation fund solvent is only half of the problem — we also need to update the broken federal program that isn’t meeting our country’s needs.

Rep. Paul Ryan (R-WI), chairman of the House Ways and Means Committee tasked with finding the money to pay for a transportation bill, took the most obvious funding solution off the table — raising the federal gasoline excise tax — right at the start of the hearing as the gallery was still getting comfortable in their seats, deflating some members of the committee who were eager to at least discuss this option.

“We are not raising gas taxes‚ plain and simple,” he said, while adding later that the House “does need to find a real solution, a permanent solution. We are all ears.” Chairman Ryan suggested that repatriation of overseas profits (a one-time, non-transportation user fee fix) or giving states more authority could be possible solutions, but a gas tax increase is off the table.

Before the hearing, Rep. Earl Blumenauer (D-OR) held a press conference featuring a coalition of groups who support his bill to raise new revenue in the House by phasing in a 15-cent increase in the gas tax. Civil engineers, general contractors, roadbuilders, public transportation operators and T4America director James Corless spoke at the press conference to support Rep. Blumenauer’s case that Congress’ inaction is negatively impacting our nation’s economy and action is long overdue.

James corless blumenauer
T4America director James Corless speaking at this morning’s press conference

Rep. Blumenauer carried his momentum from the morning press conference into the hearing an hour later.

“We’re not keeping up our end of the bargain for the 50 percent of capital spending on big projects that comes from the federal government. We haven’t made any meaningful adjustment since 1993 to the gas tax, relying on short-term fixes, gimmicks – and no matter how you slice it, adding to the deficit,” Rep. Blumenauer said in his prepared remarks.

Rep. Lloyd Doggett (R-TX) concurred. “What is missing from our transportation policy is money – revenue. We cannot build these highways with fairy dust,” Rep. Doggett (R-TX) said.

Rep. Renacci (R-OH), who has put forward a separate plan to index the gas tax to inflation and set up a mechanism to provide long-term transportation funding, noted that “short-term fixes cost money in delay and uncertainty.” He shared a story about meeting with constituents, including some tea party members, on transportation issues. He said that they told him, “‘Quit going to the general fund and taking dollars…what you’re doing is passing it onto our children and grandchildren. What I’d be willing to do is pay a user fee as long as I get my roads and bridges fixed.’ We have to come up with a long-term solution, we can’t continue to go down this path,” he said.

As Rep. Bob Dold (R-IL) from the Chicago area noted on the topic of buying new railcars for the CTA and Metra, “Do we buy them one at a time or ten at a time? I can get a far better deal if I buy them ten at a time,” he said. When agencies can’t reliably put together a multi-year budget because they have no idea what to expect from the federal government, projects can begin to cost more than they should.

Following on the heels of today’s Ways & Means hearing, the Senate Finance Committee is holding a hearing of its own tomorrow on transportation funding.

We can hope that the newfound willingness to discuss the challenging revenue question will lead members of Congress to build consensus around a funding proposal suitable for the nation’s need. However, simply raising new funding to pour into a broken system isn’t going to get us where we need to go either — we need to fix the broken system and update it with the kinds of policies that ensure every dollar invested by taxpayers provides the greatest benefits for the economy and our communities. It’s not enough to simply raise money and spend it on the same processes that created the crisis we find ourselves in today. America can do better, and it’s important that the decisionmakers understand this fact.

On that policy question, eyes are quickly turning to the Senate Environment and Public Works (EPW) Committee, which is responsible for the highway title — the largest portion of the bill. They are planning to release and mark up their successor to MAP-21, a six-year bill, next Wednesday, June 24th.

We are counting on the Senate EPW Committee to release a bill that can maintain our current system, complete the transportation network, incentivize the strategic investments that can provide access to opportunity for all Americans and best improve connections within the cities and towns that drive our economy.

Continuing and improving a nascent process to measure the performance of our transportation investments would allow us to better ensure that our limited resources bring the best return. And a forward-looking plan to direct more of that money down to where it’s needed most would be a great companion to any plan to shore up the nation’s transportation funding.

We’re now looking to the Senate to make progress on finding a long-term funding solution, but also to make the policy changes we so urgently need to ensure those dollars are well spent.