House Appropriations Archives - Transportation For America

Congressional appropriations proposals miss the mark

The appropriations process for 2023 determines funding levels for key infrastructure projects set up under the new infrastructure law. Congress’s proposals and the president’s budget aren’t lining up with the administration’s stated goals to improve safety, reduce emissions, and expand the national rail network.

The appropriations process

In 2021, the Infrastructure Investment and Jobs Act (IIJA or “infrastructure law”) reauthorized the federal transportation program, creating several new programs and increasing funding for many others. The IIJA guaranteed the funding of certain programs for five years through advanced appropriations, but the rest are subject to the annual appropriations process. On March 28, 2022 the Biden administration’s Office of Management and Budget (OMB) sent the president’s proposed budget for fiscal year 2023 (FY23) to Congress. On June 22, 2022, the House Appropriations Committee released its FY23 Transportation, Housing, and Urban Development (THUD) appropriations funding bill, followed by the Senate version on July 28.

T4A has been following the rollout of the IIJA, but much of our analysis depends on whether Congress chooses to fully fund it. Since 2023 will be the first full fiscal year since the IIJA was passed, this spending bill is the federal government’s first opportunity to set new funding levels since the law was passed. However, the current proposals spell trouble for the administration’s priorities.

Forgetting the promise of the IIJA

In many cases, both the House and Senate failed to fund programs at their IIJA-authorized levels. For example, the IIJA authorizes funding for key safety programs like the Safe Streets and Roads for All Program (SS4A) and Healthy Streets Program at much higher levels than what’s outlined in these proposals. The president’s budget provided $200 million for the SS4A, which can fund needed safety plans and projects, but nothing for Healthy Streets or the Active Transportation Investment Program (ATIIP), which could aid in the creation of active transportation networks.

The Senate zeroed out SS4A and Healthy Streets, while providing only $25 million to ATIIP. (The Senate bill instead prioritized the more flexible RAISE and PROTECT programs, both of which can be used to construct dangerous roads.) The House bill delivers slightly better on safety and active transportation by allocating $100 million to ATIIP, $250 million to SS4A, and $55 million to the Healthy Streets Program, but even their plan funds SS4A at only 8 percent of the level authorized by the IIJA.

Additionally, the Senate allocated $2.5 billion for the Capital Investment Grants (CIG) program, the main competitive grant program available for transit capital projects. This number is about $250 million less than the administration requested and about $500 million less than the House version (granted the House version exceeded the authorized level in the IIJA). CIG is the main competitive grant program available for transit capital projects.

Both proposed bills increase funding levels for Amtrak over FY22 levels, but not in a regionally equitable manner. In particular, the Senate bill allocates almost 40 percent of Amtrak’s funding to the Northeast Corridor, a small portion of Amtrak’s domain, while underfunding Amtrak’s National Network by about 35 percent, denying most of the nation’s rail service over $700 million in needed funding. These uneven investments will further exacerbate the already widespread belief that the Northeast Corridor is economically competitive with the transportation market, when in reality, the Northeast Corridor relies on federal funding just as much as other rail corridors—it simply has historically benefited from more federal funds.

Both bills also stripped the crucial Federal-State Partnership for Intercity Passenger Rails, a key source of funds for expanding passenger rail service across the country and establishing a national network, of over $1 billion in IIJA-authorized funding. This is all despite a stated commitment in the proposed Senate bill to sustain long-distance passenger rail services and “ensure connectivity throughout the National Network.”

Notably, the House and Senate were able to come to a consensus on one thing: fully funding the Highway Formula Program (Highway Trust Fund) at IIJA levels—$58.765 billion. These funds can be used for a range of projects, but more often than not, they’re used to back highway expansions or other costly infrastructure projects that undermine efforts to improve safety and advance climate goals.

The takeaway

These appropriations proposals were Congress’s first chance to fund programs since the IIJA passed. Though they couldn’t change the authorized funding levels set up in the infrastructure law, which invested a great deal of money into highways and set aside much smaller amounts for safety, transit, and rail, Congress did have the chance to ensure that even these smaller investments could receive their fair share. The decision to cut these programs will undermine the administration’s goals for the transportation system and will make it even harder for the IIJA to achieve its full potential.

The states will still be left with a tremendous amount of control over the safety of our streets and the level of our transportation emissions. The highway programs Congress chose to back are highly flexible, and states can use that flexibility to fund needed projects to boost connectivity, encourage active transportation, and create a better transportation system for all.

Three things to know about FY2021 House transportation appropriations

Earlier this month, the House Appropriations Committee approved transportation funding levels for fiscal year 2021. Emergency funding for the primary transit construction program and passenger rail is great, but more money for highways—funneled into existing broken programs that just make traffic worse—is not. Here’s what’s to like and not to like in the House FY2021 transportation appropriations bill.

Increased funding for transportation is only good if it’s spent on programs that make a difference. Unfortunately, current federal highway policy fails to prioritize maintenance while worsening safety, climate change, and congestion, and undermining investments in rail, transit, biking, and walking. That’s why our transportation problems continue to worsen despite large sums of funding: our highway funding creates problems that wastes the money spent on transit and passenger rail.

While current public transportation, BUILD Discretionary Grants, and passenger rail policy can be improved, additional funding for these programs, even under current law, is absolutely critical for state and local governments. This is why the FY21 Transportation, Housing and Urban Development (THUD) bill approved by the House Appropriations Committee is, for the most part, a mixed bag. Here are three things to know.

1. Emergency funding and policy improvements for Capital Investment Grants (CIG)

Capital Investment Grants (CIG) is the main federal program for constructing new transit assets. In order to receive CIG funding, state and local governments need to raise matching funds. With COVID-19 demolishing state and local governments’ budgets, few entities will be able to receive funding from CIG without making major sacrifices.

The FY21 THUD appropriations bill includes $5 billion in emergency funding for CIG, bringing CIG’s total fiscal year funding level to $7.2 billion. The bill also makes a policy change that will make CIG funding more accessible in the COVID-19 era: Funds made available by this bill can be used for amendments to an existing Full Funding Grant Agreement to lower or defer the local match, something that may be necessary due to COVID-19.

2. No emergency funding for transit operations

With all of public transportation’s funding sources—farebox revenue, state and local sales tax revenue, and more—dwindling due to COVID-19, transit is in dire need of emergency operating support. Many transit agencies are anticipating running out of funds in the next few months, stranding riders who depend on transit to reach their jobs, healthcare, groceries, and other services.

In May, transit agencies, elected officials, and organizations across the country called for $32 billion in emergency support; many agencies have now upped their ask to $36 billion. But the FY2021 THUD appropriations bill doesn’t provide any emergency operating support for transit. There’s hope that transit will be included in the next round of COVID-19 relief legislation, but it might not be at the level necessary to keep transit services running.

3. More highway funding for broken programs

The FY2021 THUD bill significantly increases highway and transit funding levels to match the INVEST Act, the House-passed proposal to reauthorize federal transportation policy. However, while FY21 appropriations must be approved to avoid a government shutdown, the INVEST Act is unlikely to become law, at least not this year, and the most likely scenario is an extension of current law (the FAST Act).

This means that these increased funding levels will just be funnelled into programs that make our problems worse—particularly the federal highway program, which is still hardwired to prioritize car access, incentivizing projects that improve vehicle speed without actually increasing people’s access to jobs and services, reducing our maintenance backlog, or saving lives from crashes. The INVEST Act would update the federal highway program with performance measures that would connect federal funding to the outcomes Americans value, but in the meantime, increased highway funding will likely be spent on building roads to nowhere.

If the INVEST Act was law, this would be a different story

The Appropriations Committee directs spending—not policy—so we cannot hold the committee responsible for outdated transportation policy that just makes our problems worse. Although we are concerned that significant new highway funding without policy reform will continue to undermine our goals, we appreciate increased funding levels for transit, passenger rail, and the BUILD program, and the support this Committee has given to the CIG program in FY21 and in recent years.

This is why we support the INVEST Act, and why we’ll continue to work to secure fundamental reform in the next surface transportation authorization: under new transportation policy, all federal funding will work to improve Americans’ access to the things they need. We’re looking forward to working with Congress to pass transportation policy that puts funding to work.

Five things Congress can do to save transit

Public transportation is in crisis. Transit agencies are suffering tremendous losses in ridership and farebox revenue, as well as state and local revenues, with no end in sight. Meanwhile, the multi-year transportation bill passed in the House of Representatives that includes some relief for public transit won’t pass anytime soon. Here’s what Congress must do to truly save transit from collapsing.

Public transportation is facing an existential crisis. Transit agencies across the country are making drastic cuts to service to cope with depleting budgets, severing millions of people from access to essential jobs and services, including healthcare and grocery stores. Any long-term economic recovery will be nearly impossible without transit service to connect people to opportunities and these essential services.

But recent transportation and stimulus bills didn’t supply transit agencies with sufficient emergency funding, nor make critical, short-term policy changes to help agencies weather this crisis. The HEROES Act, House Democrats latest economic stimulus measure, included $15 billion for public transit, less than half of the need. The INVEST Act, a long-term transportation authorization passed as part of a large infrastructure package in the House earlier this month, fundamentally changes the programs at the heart of federal transportation policy to help communities improve access, safety, and their maintenance backlogs. But it only provided transit agencies with $5 billion in emergency assistance—a far cry from the $32 billion over 160 organizations, including Atlanta’s MARTA and New York City’s MTA, have asked for.

Last week, the House Appropriations Subcommittee on Transportation, Housing and Urban Development (THUD) released their proposal for fiscal year 2021 spending levels. While the subcommittee supplied transit construction programs, like New and Small Starts, with emergency funding, there is no funding for direct emergency operating support for transit agencies like was provided in the CARES Act.

We can’t afford for transit to stop running. If Congress does nothing, public transportation won’t be able to provide Americans with a convenient, affordable, rapid and sustainable transportation option when our country needs it the most. Here’s what Congress can do.

NOTE: while some of these recommendations are included in the HEROES Act, the INVEST Act, or the House FY21 appropriations, no bill includes all of these recommendations and none of these bills have been signed into law (or even stand a chance of consideration by the Senate). Transit agencies are hurting now, and urgent action is required. Each of these recommendations work together, and we urge Congress to consider this as a package.

Provide at least $32 billion for emergency operations support and allow transit agencies to use 2019 ridership data to receive formula grants in FY21 and FY22.

Public transportation is the bedrock of our transportation infrastructure, connecting millions of Americans to jobs, schools, services and opportunities every single day. Yet this essential service might not survive COVID-19. Transit agency revenues are dwindling due to dramatically reduced fare collection, diminished local funding sources, and other impacts from a contracting economy. Further, ridership levels are plummeting as transit agencies actively discourage non-essential travel. With recurring federal transit funding based in part on ridership, these historic low ridership levels put future funding at risk. Without emergency help today, and a guarantee of long term stability, essential transit service will suffer.

To ensure that transit agencies can continue to operate, Congress should: (1) provide at least $32 billion for emergency operating support, and (2) allow transit agencies to use 2019 ridership data to receive formula grants in FY21 and FY22, holding transit providers harmless for the loss of ridership due to COVID-19, as is allowed in the recently-passed INVEST Act.

Require detailed, directive, guidance on how to safely operate, and provide necessary personal protective equipment (PPE)

Over 100 U.S. transit workers have died from COVID-19. In New York City, transit workers are dying at three times the rate of police and fire emergency personnel combined. Yet thousands of transit personnel work everyday to connect Americans to jobs and healthcare, many doing so without access to adequate personal protective equipment (PPE).

Another factor contributing to transit workers’ greater risk of contracting COVID-19 is underwhelming federal guidance for transit agencies regarding the purchase, distribution, and use of PPE, and how to safely operate during this crisis. The CDC guidance for transit operators, maintenance workers, and station staff does not provide clear enough instruction, leaving local communities, states, and transit agencies to develop a patchwork of rules. The lack of prescriptive, national regulations, means some transit workers and riders will be more protected than others and leaves safety to the discretion, and political whims, of local communities.

To improve safety for the essential transit workforce, Congress should (1) require detailed, directive, federal guidance on how to safely equip personnel and work environments and operate transit services, (2) supply transit workers with PPE.

Eliminate the local match for existing and upcoming projects in the Capital Investment Grants (CIG) pipeline and increase annual funding for CIG

COVID-19 is decimating state and local governments’ budgets, constricting local governments’ ability to raise matching funds to receive funding from the CIG program. There are $23 billion worth of projects in the CIG pipeline, demonstrating the demand for additional public transit across the country. These projects create manufacturing jobs and support local economic development. To reduce strain on local budgets and support local economic development, Congress should (1) Provide no less than the FY19 funding level of $2.55 billion and $3.1527 billion to cover the additional proposals; (2) eliminate the local match for new CIG projects in the pipeline and retroactively reduce or eliminate the local match for existing projects, and (3) prevent Federal Transit Administration from changing overall project ratings due to changes in local commitments or ridership projection.

Provide at least $7 billion in public transit formula funding to save jobs and protect transit’s future

Some kinds of spending create more jobs, faster, than others. Transit maintenance has proven to be an effective job creator because less money is spent on equipment and permits and more on wages. Transit agencies face a $99 billion maintenance backlog due to chronic underfunding. By investing in transit maintenance, we can improve essential service and create jobs quickly.

To create jobs and repair essential public transit systems, Congress should (1) provide $7 billion in formula maintenance funding, (2) eliminate the local match for these funds in FY21 and FY22.

Provide a fair share for transit by ending the “80-20” split and funding transit at the same level as highways

Investing in transit creates jobs quickly and supports service essential to our economic recovery; yet, since 1982, Congress has provided transit with only about 20 percent of dedicated surface transportation funding. This “80-20 split” in transportation spending has left transit chronically underfunded for decades and has created the perception that highways are more deserving of support, and more affordable, than transit. With the gas tax increasingly unable to support transportation spending, the rationale for the 80-20 split no longer applies. To support our economic recovery, Congress should (1) not default to the 80-20 split, and (2) provide funding for transit at least at the same level as highways.

Download these recommendations as a fact sheet.

Try as Trump might, transit grants are here to stay

The Trump administration has repeatedly tried to eliminate a critical transit grant program and Congress has repeatedly parried those attempts. The new transportation funding bill from the U.S. House is only the latest evidence that those transit grants are here to stay.

The House of Representatives’ Appropriations Committee recently released a funding bill that covers transportation funding—everything from passenger rail, to highways, to various grant programs like BUILD. One program in particular—the Capital Investment Grant (CIG) program that funds new transit and system expansions—has been a target in this administration’s crusade against transit, as we catalogue in Stuck in the Station.

But despite the administration’s repeated requests to eliminate or cut funding for this program, the new Democratic majority preserved funding for this program—just as the Republicans did when they controlled the House. While there are some proposed changes to the program that help illuminate some of what’s happening behind the scenes, here’s the bottom line:

The administration is still very actively trying to kill the program, Congress is doing as much as they can to ensure the program is executed as intended, and every indication is that this program is here to stay.

Let’s talk funding

All the talk in Washington is about money, so let’s just get this out of the way. Transit grants saw a small ($251 million) decrease over last year’s funding, but that’s only because last year’s was $251 million higher than authorized. So nothing new here.

By our calculations, there are more than enough transit projects making their way through the pipeline that are eager for a slice of this funding. That said, the administration is trying to paint a different picture. By failing to sign new grant agreements, adding additional and unclear requirements, releasing less information publicly, and requesting $0 (or massive cuts) for the program, the Trump administration is trying to undermine this transit funding and discourage local transit agencies from even applying. But Congress has stepped up their oversight of the program to make sure good projects continue to apply and get the funding they deserve.

Congress beefs up oversight

In an attempt to force the U.S. Department of Transportation (USDOT) to actually award grants, sign grant agreements, and fund new transit projects, Congress added unprecedented language last year’s funding bill requiring 80 percent of funding be distributed to projects by the end of 2019. Stuck in the Station tracks USDOT’s progress toward this requirement.

In response, to avoid signing new grant agreements, USDOT has taken the unusual step of doubling awards to projects they’re already obligated to fund to try and hit that mark. And they’ve misled the public about their intentions to sign new grant agreements with some serious verbal gymnastics.

This year, the House has upped the ante. The same 80 percent requirement exists (USDOT will have to distribute 80 percent of this funding by the end of 2020), but any unspent funds would now be automatically awarded to projects in the pipeline, even if the administration has refused to sign a grant agreement. USDOT either needs to do its job and advance these projects or Congress will do it for them.

Federal transit grants aren’t going away

As communities attempt to manage inexorable growth and change, transit investment is critical. Public transportation is and integral part of retaining a talented workforce, attracting businesses and jobs (and getting workers to those jobs), providing affordable transportation and reducing inequities in our communities, reducing greenhouse gas emissions and other dangerous pollutants, improving safety, and reducing congestion.

Undermining federal transit funding doesn’t change those facts; communities are and will continue to invest in transit and the federal government should be a partner in those efforts, not an obstacle. But regardless of USDOT’s actions, there is no indication that grants for new and expanded transit are going anywhere anytime soon. This House appropriations bill is just the latest example.

208 local leaders and organizations urge Congress not to back down from federal commitment to transportation

208 local leaders and organizations—including 72 local elected officials—sent a letter to House and Senate appropriators today urging them to continue rejecting the administration’s proposed cuts to transit and passenger rail programs, and the BUILD competitive grant program.

This group of elected officials and organizations, spanning 36 states, urged Congress to continue their commitment to invest in these small but vital programs that help move goods, move people and support the local economies upon which our nation’s prosperity is built.

“This impressive group of 208 signatories are sending a clear message to Congress and the administration: The opportunities provided by these relatively small federal transportation programs are crucial to the long-term vitality of communities across the country,” said Kevin F. Thompson, director of T4America. “Local voters and leaders have been approving billions in tax increases at the ballot box to invest in meeting the growing demand for well-connected communities served by transit. But they’re counting on the federal government to continue its historic role as a reliable funding partner to support these bottom-up efforts to invest in transit.”

As Congress continues working to finalize the 2019 budget, the letter’s signers urge appropriators to “recognize the power transportation investments can and continue to have on making our communities dynamic, livable, and connected places while strengthening our country’s position in the global marketplace.”

The letter continues:

We want all American communities, large and small, across the country to benefit from a multimodal transportation network. We want to rebuild and improve our transportation infrastructure and that begins by ensuring that projects and programs in the Fixing America’s Surface Transportation (FAST) Act are fully funded and that the administration’s proposed cuts to key federal transportation programs—including the BUILD (previously TIGER) program, the Federal Transit Administration’s (FTA) Capital Investment Grants (CIG), and long-distance passenger rail programs—are defeated and funding for these programs are secured or enhanced.

As you consider funding levels for fiscal year (FY) 2019, we urge you to prioritize federal investments in our national transportation system, specifically for public transportation and passenger rail service.

The full letter, including the list of all 208 signatories from 36 states, can be found here.

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Statement from Transportation for America on House Passage of THUD Appropriations

On Thursday, September 14, the House of Representatives passed H.R. 3354, the “Make America Secure and Prosperous Appropriations Act, 2018”, which contains the fiscal year 2018 Transportation, Housing and Urban Development (THUD) appropriations. Beth Osborne, interim T4America director, issued the following response:

“We are disappointed and concerned that the House decided to move ahead with a bill that cuts federal appropriations for vital transportation programs, including the TIGER and transit Capital Investment Grant (CIG) Programs. Local governments and voters are investing their own dollars on innovative transportation, housing, and neighborhood revitalization projects but they need help from these vital federal programs to make these things happen. This spending bill pulls the rug out from under those communities.

“The House-passed THUD spending bill zeroes out funding for TIGER, a crucial program that gives local governments direct access to federal dollars for innovative projects. TIGER projects are overwhelmingly multimodal and multijurisdictional projects — like rail connections to ports, complete streets, passenger rail, and freight improvements — that are often challenging to fund through the underlying formula programs. In 2016, U.S. DOT received 585 applications totaling over $9.3 billion, reflecting an overwhelming demand across the country for the TIGER program. Through the first seven rounds of grant awards, each TIGER dollar brought in 3.5 non-federal dollars. Given the $500 million appropriated last year by Congress, that’s over $1.5 billion in other critical infrastructure spending that would likely be lost under this bill.

“This bill also appropriates no money for new transit investments through the Small Starts and New Starts programs. These programs provide federal matching funds for communities and regions that are taking the initiative and committing hefty sums of their own local dollars to build or expand transit systems. Without additional federal funding for transit construction, its likely that few, if any, new transit projects will be built.

“This appropriations bill ignores why communities need federal community development and transportation programs. It’s not just that they need money or innovative tools — which, for the record, they do. They also need a reliable partner who can support their work, not austerity measures that punish them for taking action. If the federal government quits being that reliable partner — which this appropriations bill absolutely implies — it will cause lasting damage to American communities and break the President and Congress’s promise to rebuild our nation’s infrastructure. These programs invest in communities across the country, improving mobility, security, and economic opportunity. Now is not the time to slash these investments.

“We urge the Senate to reject the disinvestment this bill represents and instead pass a bill that reinvests and rebuilds America for the future.”

House making final decisions on cuts to TIGER, transit construction & rail this week

With the current federal transportation budget expiring at the end of this month, this week the House is considering a handful of amendments and taking a final vote on the 2018 fiscal year budget. Up for debate are amendments that could improve — or further damage — the House’s already problematic transportation budget for 2018.

With the September 30th deadline rapidly approaching, appropriations committees in both the House and Senate have been debating and setting funding levels for transportation programs for next year, including the discretionary programs that the Trump administration has targeted for cuts (i.e., those not funded by the Highway Trust Fund.)

While the Senate largely rejected the Trump administration’s request for cuts to programs like TIGER, new transit construction, and passenger rail programs (read our detailed breakdown of the current House/Senate bills here), the House’s version of the 2018 budget eliminated TIGER funding and reduced the transit capital program down near levels that would only fund transit projects that already have signed funding agreements in hand.

This week the House is scheduled to consider their final House Transportation, Housing and Urban Development (THUD) appropriations bill, and there are crucial amendments that could improve the bill by restoring funding for some of these programs — or make the damage far worse.

We’re asking T4America supporters to take action and send a message to their representatives this week urging them to protect and preserve the TIGER competitive grant program, funding for new transit construction, and passenger rail programs that keep towns and cities of all sizes connected to one another. It’s important that the House pass a bill with robust funding for these programs to set their starting point for negotiations with the Senate on the final product.

TAKE ACTION

Read about the amendments that we’ll be watching closely in the tracker below. Feel free to include information on these amendments as you send emails or make phone calls to your reps, and follow along on Twitter @t4america for updates as the debate begins this week. (Some of these amendments may be rejected by the House Rules Committee before they reach the floor — they are expected to only allow a few amendments for full floor consideration.)

Logged-in T4America members can read our detailed summary of the House THUD appropriations bill and vote below.

[member_content]Members can read T4America’s full members-only memo here.[/member_content]

Number	Sponsor	Description	Outcome
7	Maxine Waters (D-CA)	Provides $7.5 billion for the TIGER program.	Ruled out of order
8	Maxine Waters (D-CA)	Provides $550 million for the TIGER program, includes the current TIGER project eligibility criteria, specifically requires the Secretary to award the funds using the 2016 NOFO criteria, and requires that the Secretary distributes the grants 225 days after the enactment of the bill.	Ruled out of order
13	Rosa DeLauro (D-CT)	Provides $500 million for the TIGER program.	Ruled out of order
66	Rod Blum (R-IA)	Provides $200 million for the TIGER program and reduces HUD tenant rental assistance by $200 million as an offset.	Ruled out of order
46	Mark Amodei (R-NV)	Requires the Secretary of Transportation to continue administering the current transit Capital Investment Grant Program and enter into a grant agreement with any Small Starts project that has satisfied the current eligibility requirements.	Ruled out of order
38	Darren Soto (D-FL)	Increases the amount of funding for Small Starts funding by $48 million and decreases funding for intercity passenger rail projects by the same amount as an offset.	Withdrawn
48	Mo Brooks (R-AL)	Eliminates funding for Amtrak's National Network only.	Failed by a vote of 128-293
50	Mo Brooks (R-AL)	Eliminates both the funding for Amtrak's Northeast corridor and Amtrak's National Network.	Ruled out of order
51	Mo Brooks (R-AL)	Eliminates funding for Amtrak's Northeast Corridor only	Ruled out of order
54	Jim Himes (D-CT)	Increases funding for Amtrak’s Northeast Corridor account by $30 million and decreases essential air service funding by $30 million as an offset.	Ruled out of order
83	Ted Budd (R-NC)	Eliminates the $900 million allocation for the Amtrak gateway program, increases funding for national New Starts Projects by $400 million and applies savings from the elimination of the TIGER Grant program to deficit reduction.	Failed by a vote of 159-260
78	Al Green (D-TX)	Restores $250,000 in funding for the Department of Transportation Office of Civil Rights and reduces U.S. DOT salary and expenses by $250,000 as an offset.	Ruled out of order

TIGER amendments

T4America supports efforts to fund TIGER because it is a crucial program that gives local governments direct access to federal dollars for innovative projects. TIGER projects are overwhelmingly multimodal and multi-jurisdictional projects – like rail connections to ports, complete streets, passenger rail, and freight improvements – that are often challenging to fund through the traditional, narrow formula programs. However, T4America opposes paying for a TIGER program by cutting other necessary programs like the HUD tenant rental assistance program. Recent appropriations bills show that there is enough resources to sufficiently fund both of these two important programs.

Transit construction grants

T4America supports legislative language that increases the likelihood that the transit capital program will continue operating as it should and also moves future Small Starts projects forward by ensuring these projects get grant agreements when they are ready. T4America opposes proposals to offset funding for Small Starts by taking money from intercity passenger rail.

Passenger rail

T4America opposes eliminating funding for passenger rail, which is crucial to the economy vitality of our nation and communities across our country. The full national network provides mobility options for and acts as an economic catalyst to small and rural communities across the country. For many residents in these communities, the Amtrak connection is their primary way of traveling around the country, especially in areas that are losing Essential Air Service. Similarly, Amtrak’s Northeast Corridor is the primary travel option for millions of people traveling that congested corridor every year. Not only does it take cars off our congested roadways, benefiting train and road users alike, but is a huge economic driver for communities located along the Corridor. Cutting funding for Amtrak’s National Network and Northeast Corridor would decrease our nation’s prosperity, harm the economic vitality of communities that Amtrak serves, and greatly lower the amount of personal mobility and freedom that people that use Amtrak currently have. The House of Representatives rightly voted down these amendments two years ago and should do so again.

T4America opposes cutting funding from the Essential Air Service program to pay for the Northeast Corridor. While rail funding is important to the urban communities along the corridor and our nation’s economy as a whole, we need both and T4America opposes amendments that pit one infrastructure priority against another.

Elected officials and local organizations: Support TIGER & public transit funding

Facing the prospect of severe cuts from the Trump administration and Congress, T4America is looking for elected officials and organizations to show their support for investing in smart projects to move goods, move people and support the local economies that our nation’s prosperity is built on.

Updated 9/6/2017 9:00 a.m. — The letter is closed. We’ll publish the final letter and share the signatories soon. Thanks!

Calling all elected officials, local, civic and business leaders, and local, regional or state organizations! Sign a letter urging those currently assembling the federal transportation budget for the upcoming year (FY 2018) to prioritize funding for TIGER competitive grants, new transit construction, and passenger rail programs.

Read the full letter and sign it today — we’re aiming to deliver it before the end of August. Ed note: This letter is intended for organizations and is not open for individuals, other than elected officials at any level.

(letter is closed)

Where do we stand in the budget process?

For these three programs, this simple chart below shows four things: the current funding levels for this year, what the President proposed in his budget earlier this year, and what was recently approved by appropriations committees in the House and the Senate.

	Enacted 2017 levels	President Trump's request for 2018	House 2018 Appropriations	Senate 2018 Appropriations
TIGER Grants	$500 million	$0	$0	$550 million
Transit Capital Grants	$2.4 billion	$0	$1.75 billion	$2.133 billion
Amtrak & passenger rail	$1.495 billion	$795 million (All cuts come from eliminating federal funding for all long-distance routes)	$1.4 billion	$1.6 billion
TOTAL THUD FUNDING	$57.65 billion	$47.4 billion	$56.5 billion	$60.058 billion

As you can see, while committees in the Senate ignored the president’s call to eliminate TIGER and funding for new transit construction outright, those final decisions will be made by Congress as they debate the budget on the floor and then try to reconcile their different versions. (Worth noting: The House proposed eliminating TIGER funding and a barebones budget for keeping in-progress transit projects moving, which means that’s their starting point on negotiations.)

What we’re asking for is for Congress to approve a budget that fully funds the FAST Act, the current transportation authorization, already agreed to by Congress and approved by a bipartisan vote back in 2015.

More background is below:

TIGER

The majority of all federal transportation dollars are awarded to states and metro areas in a way to ensure everyone gets a share, regardless of how they’re going to spend those dollars or how well-conceived their projects are. TIGER operates differently.

The TIGER program has illustrated a productive way to use a small amount of money (about $500 million annually since 2009) to incentivize smarter projects based on their merits. This fiercely competitive program is one of the few ways that local communities of almost any size can directly receive federal dollars for their priority transportation projects. Projects vying for funding compete against each other on their merits to spend the dollars more effectively. They also bring more private, local, or state dollars to the table. Through the first seven rounds, each TIGER dollar brought in 3.5 non-federal dollars, in contrast to federal money for building new roads, for example, which only bring in about 20 state/local cents for each 80 federal cents.

Transit Capital Investment Grants

The Transit Capital Investment Grants program (often broadly referred to as New Starts) supports metro areas of all sizes that are investing their own money in building or expanding transit service.

While making the case for eliminating the program, the Trump Administration recently stated that “localities should fund these localized projects,” but local voters and leaders are doing that already, putting their own skin in the game to meet the growing demand for well-connected locations served by transit. At the ballot box last November alone, voters approved more than $200 billion dollars in tax increases to invest in these projects. But cities of all sizes are counting on the federal government to continue supporting these bottom-up efforts, as they’ve done for decades. Eliminating this program or even just reducing its funding will threaten their economic prospects and their ability to satisfy the booming demand from residents and employers alike for well-connected locations served by transit.

Passenger rail

President Trump proposed cutting Amtrak’s budget nearly in half, with nearly all cuts coming from eliminating long-distance passenger rail service. Funding for the Northeast Corridor would survive, as would the funding for state-supported routes.

But neither chamber heeded this call from the administration: the House approved slightly less funding compared to last year, while the Senate provided the full amount outlined in the FAST Act, allocating competitive funds for safety, state of good repair for the Northeast Corridor, and operating and capital support for restored or new passenger service throughout the rest of the country.

House & Senate reject president’s request to end all federally supported transit construction

Over the last week, House and Senate committees have both passed transportation budget bills for the upcoming year. While the House made a few cuts, the Senate flatly rejected President Trump’s requests to eliminate the TIGER grant program, halt all new federally supported transit construction, and slash passenger rail service.

After a budget deal was struck in May that avoided most cuts for the rest of this year, negotiations begun on the budget for the 2018 fiscal year which starts this October. This means appropriations committees in both the House and Senate setting funding levels for transportation programs for next year, including the discretionary programs that the Trump administration has targeted for cuts (i.e., those not funded by the Highway Trust Fund.)

In the span of the last week, House and Senate appropriations committees & subcommittees have finalized and voted to approve spending bills for the upcoming year. And while the House did make some cuts, the Senate appropriators unanimously repudiated many of the president’s budget requests for transportation and even made an interesting change when it comes to selecting the best TIGER grant applications.

But first, how does each committee’s bill stack up to what the president requested in his budget outline from earlier this year?

Comparing House & Senate 2018 appropriations

	Enacted 2017 levels	President Trump's request for 2018	House 2018 Appropriations	Senate 2018 Appropriations
TIGER Grants	$500 million	$0	$0	$550 million
Transit Capital Grants	$2.4 billion	$0	$1.75 billion	$2.133 billion
Amtrak & passenger rail	$1.495 billion	$795 million (All cuts come from eliminating federal funding for all long-distance routes)	$1.4 billion	$1.6 billion
TOTAL THUD FUNDING	$57.65 billion	$47.4 billion	$56.5 billion	$60.058 billion

Logged-in T4 members can read our House appropriations summary below.

[member_content]T4A members, you can find the full House appropriations summary here. (pdf)[/member_content]

When it comes to the popular TIGER grant program that the Trump administration had targeted for outright elimination, the Senate actually proposed increasing its funding by $50 million.

And they didn’t stop there.

Senate @USDOT funding bill for FY18 requires Trump Admin to give out $550m in #TIGER grants using Obama Admin FY16 selection criteria.

— Jeff Davis (@JDwithTW) July 27, 2017

While the new administration at USDOT had produced their own criteria for how to choose winners for the competitive TIGER grants, the Senate appropriators apparently didn’t approve of them. This language directs USDOT to continue using criteria developed under the last administration to select the winners, the same used for the last eight rounds of TIGER grants. (The Senate Appropriations bill was approved by a bipartisan 31-0 vote, it’s worth noting.)

Though the House did eliminate all funding for TIGER, this is likely unrelated to the president’s request. This has been the norm for the last several years. The House eliminates the funding, the Senate preserves it, and then the Senate number for TIGER has been taken during conference as the House and Senate hammers out the differences. But this doesn’t happen automatically. When/if the appropriations process moves forward, your representatives will need to hear once again your support for TIGER.

Neither House nor Senate appropriators heeded the president’s call to eliminate the federal funding for building shovel-ready transit projects; funding that always gets paired with local or state dollars to make those projects a reality. While the House’s version did make cuts, the Senate provided exactly what’s required to support all of the projects that currently have full-funding grant agreements and are ready to break ground (or are already underway), though the amount is indeed slightly less than the current year’s funding level ($2.13 billion vs $2.4 billion.)

While the House didn’t follow the president’s request to eliminate the program, under no circumstances should a 27 percent cut to transit funding be received as good news.

This cut would result in a handful of transit projects that have local or state dollars already in hand not receiving the full funding they were promised to proceed. And it would delay every other transit project in line behind them waiting for their turn to get a share of this tiny annual amount of federal funding.

We all need to be prepared to continue fighting these cuts to the transit capital grants program. (Get more info on the threats to transit funding here below)

Building public transit back better

About that infrastructure package

Lastly, the appropriations bill included some interesting language about President Trump’s so-called $200 billion infrastructure package. Does the Senate Appropriations Committee know anything about it, and do they believe the stated goals are the right ones?

To date, no such proposal has been submitted to the Committee. While the Committee fully supports additional spending for our nation’s infrastructure, it strongly disagrees with the administration’s assertion that providing federal dollars for infrastructure has created, “an unhealthy dynamic in which state and local governments delay projects in the hope of receiving federal funds.” Without federal investment in infrastructure, particularly in our nation’s highway network and transit systems, the ability to move freight across the country and the free movement of people between states with vastly differing abilities to fund infrastructure would be compromised.

The budget process will continue moving forward, though as with the last several years, Congress is not expected to complete any of these individual FY 2018 appropriation bills before the fiscal year begins on October 1. In all likelihood, they’ll once again have to resort to an omnibus budget or continuing resolution to just keep things moving forward without any agreement to be had on the individual bills.

U.S. DEPARTMENT of TRANSPORTATION FY2018 APPROPRIATIONS BILL SUMMARY

As introduced on July 10, 2017

Late on July 10, the House Appropriations subcommittee released a draft bill to fund transportation and housing programs for fiscal year (FY) 2018. The bill would appropriate $56.5 billion in discretionary spending, which is $1.1 billion below FY 2017. USDOT would receive $17.8 billion in discretionary FY2018 funding, a $646 million decrease from FY2017. The House Appropriations Committee is scheduled to markup the draft bill on Monday, July 17.

The full text of the draft bill can be found here. A summary of the appropriations bill can be found on the House Appropriations Committee page here.

BACKGROUND

Congress must take action on addressing the budget caps enforced through the Budget Control Act (BCA), which passed into law in 2011. The Office of Management and Budget Director Mick Mulvaney has hinted that the Treasury Department could run out of room to borrow under the current debt limit as early as September. While Treasury Secretary Steven Mnuchin has not given an estimate of exactly when the Treasury was most likely to hit the debt limit, October or November is likely.

Despite the absence of a budget deal, the House Appropriations Committee has come out with interim 302(b) allocations, which set the spending level for each appropriations subcommittee. Under this document, the Transportation, Housing and Urban Development (THUD) subcommittee has a FY 2018 funding cap of $56.5 billion, a $1.1 billion decrease from FY 2017 funding level. See interim sub-allocations document here.

TIGER

The House FY2018 bill eliminates funding for the TIGER program. In past appropriations, the House has also used this same strategy – zero out the program and rely on the Senate to maintain funding for TIGER. Then when they conference the House and Senate bills into one bill, the House pushes the Senate to cut funding from another program in order to maintain TIGER funding.

It is unclear the extent to which the Senate will continue to carry the weight of supporting the program moving forward.

New Starts, Small Starts, Core Capacity (Capital Investment Grant Program)

The House bill allocates $1.75 billion to the Capital Investment Grant (CIG) program, which is a 27 percent cut from, or $660 million less than, the FY 2017 funding level of $2.4 billion. It is also $549 million less that the authorized level for the program in the FAST Act. Of this, $1.008 billion is set-aside for New Starts projects that have full funding grant agreements (FFGAs), $145.7 million for Core Capacity projects, and $182 million for Small Starts.

Of the remaining CIG funding, $400 million would fund “joint Amtrak-public transit projects.” This language provides a clue that the Subcommittee intends the funding to go to the Gateway project, a rail improvement project in the Northeast Corridor. With all this funding dedicated to Gateway, there would be no remaining funding would be available for any of the CIG projects that anticipate getting an FFGA signed in 2018 or late 2017.

While the House leaders included language directing the USDOT Secretary to “continue to administer the Capital Investment Grant Program in accordance with the procedural and substantive requirements of” the law, the lack of funding available to do that would effectively prevent projects from moving forward until at least 2019.

Amtrak, CRISI, State of Good Repair, and REG

The FY2018 draft bill provides $1.4 billion for Amtrak. Of this, $1.1 billion is for the National Network, which is consistent with the FAST Act authorized amount, and $328 million for the Northeast Corridor (NEC), which is a decrease from the $515 million authorized amount in the FAST Act.

The Consolidated Rail Infrastructure and Safety Improvements (CRISI) grant program is funded at $25 million, a decrease from the $230 million authorized under the FAST Act and less than half of the $68 million that the program received in FY 2017.

The draft bill does not provide funding for the Restoration and Enhancement Grants (REG) program, which authorized at $20 million under the FAST Act.

The FY2018 bill provides $500 million for Federal State Partnership State of Good Repair grants, significantly above the $175 million authorized for FY 2018. In spending this funding, the bill directs USDOT to “first give preference to eligible projects for which the environmental impact statement required under the National Environmental Policy Act and design work is already complete at the time of the grant application review, or to projects that address major critical assets which have conditions that pose a substantial risk now or in the future to the reliability of train service.” This language indicates that funding would be directed to the Gateway’s Portal North Bridge and Hudson River Tunnel projects. Overall, the Gateway project could receive $900 million in grant funding under the bill – about one sixth of the $5.4 billion in discretionary appropriations for non-aviation programs.

Analysis

The House draft THUD appropriations bill does not have as drastic funding cuts as those proposed by the Administration (see T4America summary of the Administration’s FY 2018 budget proposal here). However, it still represents significant cuts from current funding levels and would have far-reaching impacts for communities’ transportation and housing programs.

On July 11, the House Appropriations THUD Subcommittee held a short mark-up and passed the draft bill without any amendments. The bill is scheduled for consideration by the full House Appropriations Committee on July 17 and may move forward to the House floor. However, Congress is not expected to complete any of the FY 2018 appropriation bills before the fiscal year begins on October 1. T4America encourages communities to reach out to their representatives to ensure funding is maintained for the key programs your community relies on.