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Federal transit funding delays grab headlines across the country

President Donald Trump reportedly consumes a lot of media, so what better way to get the administration’s attention than by going to the media. Since we launched Stuck in the Station this summer—which catalogues the egregious (and wholly avoidable) delays in transit funding under this administration—dozens of media outlets across the country have covered the news.

Some of the outlets are those you might expect, which regularly cover transportation and urbanism issues. Streetsblog USA declared that the Federal Transit Administration has “gone rogue.” CityLab cited the “splashy countdown clock” in cataloguing the inexplicable delays to major transit projects.

Understandably, reporters and editorial boards in cities with transit projects on the “awaiting funding” list also are taking a strong interest. News outlets in Tampa, FL, Tempe, AZ, Sacramento, CA, Atlanta, GA, and New York, NY all questioned how the delays will ultimately affect long-awaited projects in their cities, and the taxpayers who are already committed to footing half or more of the bill in most cases. In an editorial, the Los Angeles Times highlighted the central role of the Purple Line Subway extension in the 2028 Olympics. The line will eventually connect athletes housed at UCLA with sporting venues across the city, if it’s completed on time. But due to funding delays, “whether the project meets its deadlines is in the hands of the Trump administration.”

“But local and state dollars cannot replace federal funding. Nor should they. The federal government has a shared national interest in a country that’s safe and well-connected, and where people and goods move efficiently. The Purple Line subway is the perfect example. It will help move people through one of the country’s most congested corridors.”

–The Los Angeles Times.

Similarly, the Star Tribune editorial board (in Minneapolis, MN) pleaded with the Trump administration to approve funding for a major light rail extension before civil contractor bids were set to expire. At this point, according to the paper, the only thing holding back the project is the lack of expected federal funding. “A longer delay would almost certainly mean higher costs and could unravel the project’s painstakingly woven funding arrangements, achieved through years of arduous political exertion by jurisdictions along the proposed 14.5-mile line,” the editorial board notes.

None of the cities mentioned here have received grant agreements from the USDOT as of this writing, leaving the future of their projects (and years of hard work) in limbo. Los Angeles and Minneapolis both received Letters of No Prejudice—though such letters do not guarantee any future federal funding—and have begun construction. In essence, these two cities are taking multibillion-dollar gambles, though ones predicated on the expectation that USDOT will continue approving transit grants as they always have through the last decade or two.

President Trump has been in office for almost two years now, but the administration has only spent a measly 23 percent of the $2.3 billion that Congress appropriated to fund new transit capital projects since 2017. (Though USDOT has reportedly approved the Lynwood light rail project in the Seattle region, no final funding agreement has yet to be signed or money sent out the door. That could happen before the end of the year and would represent the first multi-year, big-ticket full funding grant agreement advanced solely by this administration.)

While the president himself hasn’t responded to any of this media coverage—based on his tweets at least—USDOT definitely has. During a recent speaking engagement, Jane Williams, the top administrator for the department that oversees the transit grant program, seemed irritated by all the coverage the funding delays have been getting. “It seems to occupy 80 percent of the attention,” Williams said, “it is the elephant in the room.”

But when you’re failing to do your job, people, including the media, tend to notice. So get to work.

Catch up and learn about what’s at stake for small and rural transit providers in the budget

Smaller cities and rural areas are facing potential funding reductions, phase-outs or the total elimination of vital federal programs they depend upon to provide transit service — whether as a lifeline or a powerful economic development tool.

A few weeks ago we released a new detailed memo (pdf) to explain these specific threats facing rural areas, and detail the efforts by the administration and Congress to cut or eliminate vital funding programs for public transportation.

Earlier this week, we held a short webinar with our federal policy experts and some sharp local leaders that have experience in providing transit service in rural areas to explain that memo in more detail. We talked through the status of the current appropriations process, what you can do today, the impact on formula transit grants and the Small Starts capital program, and the overall outlook for the transit program.

If you missed the session, you can catch up with the full recording here:

Transit providers of all sizes, in all parts of the country, should band together and start making the strongest possible case for preserving the federal transit program. Read our full summary and learn how you can take action.

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.

Summary of the FY2017 USDOT appropriations bill

As introduced on May 1, 2017

Early on May 1, Congressional leaders revealed a $1.163 trillion appropriations bill to fund the entire government for the remainder of fiscal year (FY) 2017. Somehow Congress has employed budget maneuvers that allow this appropriations bill to incorporate higher funding levels, without comparable funding cuts, and yet adhere to the budget cap of $1.07 trillion, which Congress agreed to in 2015. For example, tens of billions are allocated for either Overseas Contingency Operations or Global War on Terror, which does not count against the statutory budget caps. The bill also includes $8.2 billion in emergency and disaster funding.

The House Rules Committee is scheduled to consider the omnibus package on Tuesday, May 2, with the Senate to follow. Congress is expected to pass the bill within the week and before the current continuing resolution (CR) expires on May 5.

The appropriations bill has been held up for a number of weeks over a disagreement over funding a border wall, healthcare payments, and non-funding related policy riders. Recent concessions in the Administration’s demands allowed the bill to move forward. The full text of the bill can be found here. Summaries of the appropriations bill can be found on the Senate Appropriations Committee page here and the House Appropriations Committee page here.

Funding

The FY2017 omnibus appropriations package includes funding for all remaining 11 appropriations bills, (Military Construction and Veterans Affairs appropriations passed in the fall 2016), including the Transportation, Housing, and Urban Development (THUD) appropriations bill. Overall, transportation programs are mostly funded at levels consistent with the FAST Act authorized amounts. The bill provides $57.651 in discretionary spending, which is a $350 million increase from FY2016. Of this, $18.5 billion in discretionary spending is for USDOT.

Funding for both the federal-aid highways program and transit formula grants are consistent with FAST Act authorized levels. The Federal Railroad Administration (FRA) is funded at $1.85 billion, an increase of $173 million above FY2016 level. The bill also provides $3 million for the National Surface Transportation and Innovative Finance Bureau that was created under the FAST Act to consolidate the administration of several USDOT programs.

TIGER

The FY2017 appropriations bill provides $500 million for the TIGER discretionary grant program, also known as National Infrastructure Investment grants. This is equal to what the program received in FY2016 appropriations and is equal to the amount that T4America, along with over 160 organizations, asked legislators to support the program at.

This round of funding must be obligated by September 30, 2020.

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

Within the amount appropriated for the Federal Transit Administration, $2.4 billion is allocated to the Capital Investment Grant (CIG) program, which is slightly above the FAST Act level of $2.3 billion.

The FY2017 appropriations bill encourages the Administration to continue the CIG program by distinguishing funding between projects that have Full Funding Grant Agreements (FFGAs) with USDOT and those projects that have yet to sign an FFGA. By setting aside funding for projects that are in the pipeline to receive federal funding, Congress demonstrated a show of support for those local communities that have in many cases have raised revenues for projects and have gone through years of planning with USDOT.

Within the New Starts program, $1.5 billion is allocated for all current FFGA projects and $285 million is set aside for projects that are in line to receive FFGAs. For the Core Capacity program, $100 million is available for projects with signed agreements and $232 million is available for projects anticipated to enter into an FFGA in FY2017. The Small Starts program is funded at $408 million.

Even though this funding has been appropriated, each project must still obtain a signed grant agreement with USDOT before the funds may be released to that project. In addition, the bill allows FTA to allocate more than $100 million per project under the core capacity, small starts, and expedited delivery programs.

The FY2017 appropriations bill directs the Secretary of Transportation to administer the CIG program funding as directed in the tables below:

 


 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Amtrak, CRISI, State of Good Repair, and REG

The FY2017 bill provides $1.167 billion for the National Network, a slight increase over the FAST Act authorized amount, and $328 million for the Northeast Corridor (NEC), which is a decrease from the $474 million authorized amount in the FAST Act.

The Consolidated Rail Infrastructure and Safety Improvements (CRISI) grant program is funded at $68 million, a decrease from the $190 million authorized under the FAST Act. Of this funding, at least 25 percent will go to projects in rural areas and $10 million will support the initiation or restoration of intercity passenger rail. Up to 1 percent of the funds may be used for project management and oversight. The federal match is 80 percent and the program can fund rail safety technology, including PTC, capital projects, grade crossings, rail line relocation and improvement, short-line capital project, and planning for regional and corridor plans; among others.

The Federal-State Partnership for State of Good Repair grants program is funded at $25 million and similar to CRISI, up to 1 percent of the funds may be used for project management and oversight. The FY2017 appropriations bill also directs FRA to consider the needs of the entire rail network when determining grant awards. This program aims to reduce the state of good repair backlog for publicly owned or Amtrak-owned infrastructure, equipment, and facilities. In addition to projects that target brining existing infrastructure into a state of good repair, activities that are eligible for funding also include projects that replace existing assets with those that increase capacity and service levels.

The Restoration and Enhancement Grants (REG) program is funded at $5 million, which is less than the $20 million authorized under the FAST Act. As with the CRISI program, up to 1 percent of funds may be used for project management and oversight of the grants. This program is intended to support the operation of new or expanded service. It can provide grants to six lines to support operating costs for three years on a tiered structure – up to 80 percent operating costs in year one, 60 percent in year two, and 40 percent in year three.

The bill also provides $98 million in rail grants to support the implementation of Positive Train Control (PTC), a decrease from the $199 million authorized in the FAST Act. Within 120 days of enactment of the bill, Amtrak is also required to compile a report comparing actual food and beverage savings for FY2016 with projections.

Analysis

By keeping transportation funding in line with the FAST Act authorized amounts and by doing so without devastating cuts to housing programs, T4America expects this bill will pass with wide bi-partisan support. Congress began negotiating the appropriations bills that collectively make up this omnibus package back in 2016, before the election in November and under a different political climate. Through all of the transitions since then and amidst pressure from the new Administration to make drastic funding changes, Congress engaged with a number of stakeholders and maintained funding for the programs that communities need. If Congress continues along this path, there may be broad support for FY2018 appropriations and the infrastructure package. However, it is not clear the extent to which Congress has additional budget maneuvers available to them to continue to spend so freely.

Contact your representative – new administration talking points & transportation asks

With the new administration and transition, how do you approach your representative to push your existing projects forward and or seek funding for new projects? We have created a few talking points you can use when contacting your state representative. See our T4A member recommended talking points drafted for you.

New Administration Talking Points – Transportation Asks

IF INCUMBENT REPRESENTATIVE: Thank you [insert representative title and name] for your work on Fixing America’s Surface Transportation (FAST) Act to ensure long-term authorization of vital transportation programs.

IF NEWLY ELECTED REPRESENTATIVE: [Insert representative title and name], we congratulate you on your win and look forward to working with you in the new administration.

As a result of operating under a Continuing Resolution (CR) through April 28, no funding provided under the short-term appropriations bill may be used to initiate or resume any project or activity for which funds were not available during FY2016. This means that there are no funds available for New Starts / Small Starts programs. In addition, the CR does not increase transportation funding to FAST Act authorized levels.

The CR’s lower level of funding overlaps with, and thus may impact, next year’s construction season. This overlap will especially impact regions where the construction season is already constrained due to seasonal weather.

Recently, we have also heard concerns that funding for the TIGER program may be targeted for funding cuts under the new administration. This program is a very high priority for local governments because it is extremely flexible and one of the only ways they can receive support from the Federal government for transportation priorities.

Highlight Your Transportation Project

Direct access to federal transportation funding is especially important for our community, because of our [insert project name].

As you know, this project is particularly important to our community, because [insert information about your transportation project, such as economic benefits, community support, improved access to jobs or education, etc.].

This project is currently at the stage of [insert information about how far along this project is; i.e. if it is in the pipeline for federal funding or if you are planning to apply to get federal funding].

Make the Link between Your Project & the Federal Funding Program

We appreciate your support for our community and know you understand the significance of [this project] for our region.

In order for our community to ensure the successful completion of this vital project, we need a federal funding partner. The [insert federal funding program, such as TIGER, New Starts, Small Starts, etc] program is one of the only avenues for us to get that necessary funding.

Congress no longer has the ability to earmark funds for specific projects. The transit and TIGER programs are the few programs that offer local communities a path to directly access federal funding support.

Without funding for these programs, how do we, as local communities, directly access federal dollars?

New Starts, Small Starts, and Core Capacity are grouped under the Capital Investment Grants (CIG) program under the FAST Act.

US House approves bill by a thin margin that makes cuts to TIGER, transit construction and passenger rail

Late Tuesday night, the U.S. House of Representatives voted to pass their yearly transportation spending bill with just six votes separating the bill from defeat. While the cuts to TIGER, Amtrak and New Starts transit capital programs were unfortunately approved by the House, it’s unlikely this bill will become law any time soon. That’s because of the Senate’s likely inability to pass any annual spending bills this summer due to the parties’ lack of agreement on overall funding for the government this year.

First, to the thousands of you who sent messages to your representatives in the last week, we thank you for getting engaged on this crucial issue. Though the final vote was disappointing, there’s still hope. We do know that our voices were heard, as many amendments were rejected by significant margins that would have made further cuts to these important programs — reflecting that these legislators are indeed hearing about what their constituents value.

The bad news is that the final bill approved by the House still cut $200 million for all new transit construction, slashed the TIGER competitive grant program by 80 percent, and cut Amtrak’s budget by $240 million. These programs targeted by the House for cuts are precisely the ones that cities, towns and metro regions of all sizes throughout the country are depending on to help them stay economically competitive and bring their ambitious transportation plans to fruition.

The good news is that several short-sighted amendments were roundly defeated, including some to make these above cuts worse.

Rep. Grotham (R-WI) proposed an amendment to make the New Starts cuts even deeper by stripping the bill of all transit capital construction funding ($1.9 billion), which was rejected by voice vote with strong bipartisan opposition. Rep. Emmers (R-MN) proposed an amendment to cut all of the funds used to make transit stations easier to access, boosting ridership and making the service easier and more convenient to use, like projects to improve bike and pedestrian access or support for dense, walkable development near the stops. Transit lines don’t exist in vacuums — successful lines and stations are most often surrounded by other supportive infrastructure that helps connect them to their riders. This amendment was very close, but all House Democrats were joined by 32 of their Republican colleagues to kill the amendment 212-214.

Rep. Brooks (R-AL) proposed two amendments last week to essentially strip all capital and operating funding from Amtrak, and both were defeated by more than 125 votes with strong bipartisan opposition. Rep. Session (R-TX) proposed similar amendments that were both defeated as well. These votes are another reminder of the fact that communities of all kinds — small, large, rural, urban — depend on the service provided by the nation’s passenger rail system. Their constituents certainly don’t see the existence of an affordable transportation option as a partisan issue, to say nothing of the tremendous value provided by making valuable economic connections between metro areas large and small and rural areas throughout the country.

The House’s bill now moves to the Senate Appropriations Committee, where members are currently drafting their Transportation-HUD spending bill. We’re cautiously optimistic that at least a few of the cuts made by the House’s annual spending bill could be undone — at least partially — in the Senate. However, the only way to ensure that all of these cuts are removed and certainly the only way to increase funding over last year’s bill is for Congress to remove the poorly planned and unwise spending caps put in place by the 2011 sequestration.

One thing is certain: we’ll need your help to make that happen, and we will keep you posted as the annual transportation spending bill continues onto the Senate.

Additional insight from our policy team can be found for our logged-in T4America members below, including a full list of amendments that were voted on during Tuesday night’s debate.


[member_content]This information below is pulled from our members-only wrap-up of the vote that went up yesterday. Read the full post here. And visit t4america.org/members regularly to see these updates.

This final vote count is a sign of things to come.

The U.S. House and Senate Republicans are sticking to sequestration-level discretionary funding amounts for all of their FY2016 spending bills, established in the Budget Control Act of 2011. These spending caps limit funding for the regular appropriation bills in FY2016 to $1.016 trillion, a funding increase of just 0.29% over last year. We expect the House to continue to face uphill challenges in passing their bills and over in the Senate, with near, if not all-out, opposition from the Democrats expected for all 12 annual spending bills.

This issue will not likely resolve itself until the fall. Just yesterday, Senate Majority Leader McConnell (R-KY) rejected a call from Senate Democrats to hold a “budget summit” this month to resolve the differences between the two parties on top-line annual appropriations levels. Until this larger issue is resolved, we don’t expect the House Transportation-HUD bill that narrowly passed last night to become law any time soon.

Amendments that were considered Tuesday prior to the bills passage include:

Rep. Denham (R-CA) – An amendment to prohibit funds from the bill to be used for high-speed rail in California or for the California High-Speed Rail Authority. A similar amendment passed last year in the House by a vote of 227-186, but this amendment and others to restrict funding to the California high-speed rail project were not included in the final FY2015 transportation spending bill due to lack of support in the Senate

AMENDMENT ADOPTED BY VOICE VOTE

Rep. Bass (D-CA) – An amendment to make it easier for state and local transportation agencies to use local hire criteria for FTA procurement selection processes. A similar amendment was included in the final FY2015 transportation spending bill, and USDOT is currently implementing this through a one-year pilot. Read our take on that original provision from earlier this year.

AMENDMENT ADOPTED BY VOICE VOTE

Rep Emmer (R-MN) – An amendment to prohibit the use of funds to carry out projects to improve bicycle and pedestrian access on any FTA New Start (transit) projects.

AMENDMENT REJECTED BY VOTE 212-214 (Zero Democrats voted for the amendment — see roll call vote here)

Rep Meehan (R-PA) – An amendment to prohibit Amtrak from spending capital funds on projects other than the Northeast Corridor until Amtrak spends an amount equal to this year’s Northeast Corridor profits on Northeast Corridor capital construction. Amtrak’s profits from that line in FY2015 were $290 million.

AMENDMENT REJECTED BY VOTE 199-227 (see roll call vote here)

Rep Posey #1 (R-FL) – An amendment to prohibit funds from being used to take any actions related to financing a new passenger rail project that runs from Orlando to Miami through Indian River County, Florida. This amendment and Rep. Posey’s other two below were targeted at stopping and/or stalling the development of the private Florida East Coast Railway high-speed rail project.

AMENDMENT REJECTED BY VOTE 163-260 (see roll call vote here)

Rep Posey #2 (R-FL) – An amendment to prohibit funds from being used to authorize exempt facility bonds to finance passenger rail projects that are not reasonably expected to attain a maximum speed in excess of 150 mph.

AMENDMENT REJECTED BY VOTE 148-275 (see roll call vote here)

Rep Posey #3 (R-FL) – An amendment to prohibit funds from being used to make a loan in an amount that exceeds $600 million under the Railroad Rehabilitation and Improvement Financing (RRIF) program.

AMENDMENT REJECTED BY VOTE 134-287 (see roll call vote here)

Rep Sessions #1 (R-TX) – An amendment to prohibit funds from being used by Amtrak to support the route with the highest loss, measured by contributions/(loss) per rider (would eliminate the “Sunset Limited” line from New Orleans to Los Angeles). Rep. Sessions has in the past made amendments similar to this and the following amendment.

AMENDMENT REJECTED BY VOTE 205-218 (see roll call vote here)

Rep Sessions #2 (R-TX) – An amendment to prohibit funds being used by Amtrak to operate any route whose operating costs exceed two times its revenues based on the National Railroad Passenger Corporation FY2014-2018 Five Year Plan from April 2014, targeting nearly all long-distance routes.

AMENDMENT REJECTED BY VOTE 186-237 (see roll call vote here)

Rep Blackburn (R-TN) – An amendment to reduce the overall appropriations for the Transportation-HUD bill by 1%.

AMENDMENT REJECTED BY VOTE 163-259 (see roll call vote here)

Rep Gosar (R-AZ) – An amendment to prohibit funds from being used to implement or enforce the rule entitled “Hazardous Materials for High-Hazard Flammable Trains”.

AMENDMENT REJECTED BY VOTE 136-286 (see roll call vote here)

Rep Lee (D-CA) – An amendment to strike provisions included in the spending bill that would prohibit USDOT from allowing flights or cruise ships to travel to Cuba.

AMENDMENT REJECTED BY VOTE 176-247 (see roll call vote here)

[/member_content]

US House Passes Transportation-HUD Appropriations on Razor-Thin Margin; 216-210

Late last night, the U.S. House of Representatives voted to pass their FY2016 Transportation-HUD with just 6 votes separating the bill from defeat. Just 3 Democrats voted for the bill’s passage — Rep. Ashford (D-NE), Rep. Cuellar (D-TX), and Rep. Graham (D-FL) — and 31 Republicans voted in opposition. The list of Republicans voting in opposition included centrists such as Rep. Dold (R-IL), Rep. King (R-NY), and Rep. Meehan (R-PA) and more conservative representatives such as Rep. Amash (R-MI), Ken McClintock (R-CO), and Rep. Massie (R-KY).  While the news is bad for TIGER, Amtrak and New Starts transit capital programs — which all received heavy cuts — we do not expect this bill in its current state to become law any time soon.

This final vote count is a sign of things to come.

The U.S. House and Senate Republicans are sticking to sequestration-level discretionary funding amounts for all of their FY2016 spending bills, established in the Budget Control Act of 2011. These spending caps limit funding for the regular appropriation bills in FY2016 to $1.016 trillion, a funding increase of just 0.29% over last year. We expect the House to continue to face uphill challenges in passing their bills and over in the Senate, with near, if not all-out opposition, from the Democrats expected for all 12 annual spending bills.

This issue will not likely resolve itself until the fall. Just yesterday, Senate Majority Leader McConnell (R-KY) rejected a call from Senate Democrats to hold a “budget summit” this month to resolve the differences between the two parties on top-line annual appropriations levels. Until this larger issue is resolved, we don’t expect the House Transportation-HUD bill that narrowly passed last night to become law any time soon.

Amendments that were considered last night prior to the bills passage include:

Rep. Denham (R-CA) – An amendment to prohibit funds from bill to be used for high-speed rail in California or for the California High-Speed Rail Authority. A similar amendment passed last year in the House by a vote of 227-186, but this amendment and others to restrict funding to the California high-speed rail project were not included in the final FY2015 transportation spending bill due to lack of support in the Senate

AMENDMENT ADOPTED BY VOICE VOTE

Rep. Bass (D-CA) – An amendment to make it easier for state and local transportation agencies to use local hire criteria for FTA procurement selection processes. A similar amendment was included in the final FY2015 transportation spending bill and USDOT is currently implementing this through a one-year pilot. Read our take on that original provision from earlier this year.

AMENDMENT ADOPTED BY VOICE VOTE

Rep Emmer (R-MN) – An amendment to prohibit the use of funds from being used to carry out projects to improve bicycle and pedestrian access on any FTA New Start (transit) projects.

AMENDMENT REJECTED BY VOTE 212-214 (Zero Democrats voted for the amendment — see roll call vote here)

Rep Meehan (R-PA) – An amendment to prohibit Amtrak from spending capital funds on projects other than the Northeast Corridor until Amtrak spends an amount equal to this year’s Northeast Corridor profits on Northeast Corridor capital construction. Amtrak’s profits from that line in FY2015 were $290 million.

AMENDMENT REJECTED BY VOTE 199-227 (see roll call vote here)

Rep Posey #1 (R-FL) – An amendment to prohibit funds from being used to take any actions related to financing a new passenger rail project that runs from Orlando to Miami through Indian River County, Florida. This amendment and Rep. Posey’s other two below were targeted at stopping and/or stalling the development of the private Florida East Coast Railway high-speed rail project.

AMENDMENT REJECTED BY VOTE 163-260 (see roll call vote here)

Rep Posey #2 (R-FL) – An amendment to prohibit funds from being used to authorize exempt facility bonds to finance passenger rail projects that are not reasonably expected to attain a maximum speed in excess of 150 mph.

AMENDMENT REJECTED BY VOTE 148-275 (see roll call vote here)

Rep Posey #3 (R-FL) – An amendment to prohibit funds from being used to make a loan in an amount that exceeds $600 million under the Railroad Rehabilitation and Improvement Financing (RRIF) program.

AMENDMENT REJECTED BY VOTE 134-287 (see roll call vote here)

Rep Sessions #1 (R-TX) – An amendment to prohibit funds from being used by Amtrak to support the route with the highest loss, measured by contributions/(loss) per rider (would eliminate the “Sunset Limited” line from New Orleans to Los Angeles). Rep. Sessions has in the past made amendments similar to this and the following amendment.

AMENDMENT REJECTED BY VOTE 205-218 (see roll call vote here)

Rep Sessions #2 (R-TX) – An amendment to prohibit funds being used by Amtrak to operate any route whose operating costs exceed two times its revenues based on the National Railroad Passenger Corporation FY2014-2018 Five Year Plan from April 2014, targeting nearly all long-distance routes.

AMENDMENT REJECTED BY VOTE 186-237 (see roll call vote here)

Rep Blackburn (R-TN) – An amendment to reduce the overall appropriations for the Transportation-HUD bill by 1%.

AMENDMENT REJECTED BY VOTE 163-259 (see roll call vote here)

Rep Gosar (R-AZ) – An amendment to prohibit funds from being used to implement or enforce the rule entitled “Hazardous Materials for High-Hazard Flammable Trains”.

AMENDMENT REJECTED BY VOTE 136-286 (see roll call vote here)

Rep Lee (D-CA) – An amendment to strike provisions included in the spending bill that would prohibit USDOT from allowing flights or cruise ships to travel to Cuba.

AMENDMENT REJECTED BY VOTE 176-247 (see roll call vote here)

UPDATE: The House is voting to slash transportation programs local communities are counting on

This evening, the House of Representatives is expected to begin debate and vote on their annual transportation funding bill. As it stands, the bill will make painful cuts to several important transportation programs that local communities depend on. With debate beginning Wednesday at 7 p.m. and continuing through the night, it’s crucial that we weigh in as soon as possible. 

Updated 2:15 p.m 6/4/15: The House delayed the final vote on the bill until Tuesday, June 9th. So keep those messages coming! Share the news with your friends and if you have already sent a letter, click through to the form again and you can find your rep’s phone number for making a quick call.

Updated 10:52 a.m 6/4/15: Debate on the bill continued well into the wee hours of Wednesday night into Thursday morning, and the House is expected to vote on the bill by noon (eastern time) on Thursday.

Can you send a message to your representative today in advance of this crucial vote?

The programs targeted by the House for cuts are precisely the ones that cities, towns and metro regions of all sizes throughout the country are depending on to help them stay economically competitive and bring their ambitious transportation plans to fruition.

Specifically, this bill would:

  • Cut $200 million for all new transit construction. This comes at a time when public transportation ridership is booming and cities of all sizes are looking to invest in new bus, rail transit, and bikeshare projects to help them stay economically competitive. This program is what Indianapolis is currently using to kick-start their ambitious bus rapid transit network, and scores of other communities are hoping to do the same.
  • Slash the TIGER competitive grant program by 80 percent from last year’s level down to just $100 million. We’re now six rounds into the popular TIGER program, and it’s clearly inadequate to fulfill the huge demand throughout the country. The program has funded innovative projects in communities of all sizes in all 50 states — and in districts both red and blue.
  • Cut Amtrak’s budget by $250 million just a few weeks after the tragic Amtrak derailment in Philadelphia, and at a time when ridership has never been higher.

This bill moves to the House floor this evening and will be debated well into the night. The final vote is most likely to come sometime tomorrow, so don’t stop calling and sending messages before the end of the day Thursday. (See updates on timing above.) 

So send a message to your representative as soon as you can today. And after you do, if you want to make an even bigger impact, pick up the phone, give them a call and urge them not to cut funding for New and Small Starts, TIGER grants and passenger rail.

House proposes cuts to TIGER and transit construction, stable funding for other programs for fiscal 2016

The House Appropriations Committee introduced a Transportation, Housing and Urban Development (T-HUD) bill for fiscal 2016 that, as in years past, features heavy cuts to TIGER, New Starts and Amtrak.

The bill, approved by the T-HUD subcommittee and headed back to the full Appropriations Committee for markup and a vote, maintains funding rates for federal highway and mass transit formula dollars, $40.3 billion and $8.6 billion respectively. Of course, these funding levels assume that Congress is going to act to find enough money to keep the Highway Trust Fund solvent past this June or July, and also move to either reauthorize or extend MAP-21 after its May 31st expiration. Without either action, there won’t be any money for transportation past that deadline, much less for the entire next fiscal year.

Meanwhile, other key programs are facing heavy cuts.

TIGER: The overwhelmingly popular TIGER program would shrink from $500 million to $100 million. In addition, the size of grants would be far smaller, within a range of $2-15 million, down from last year’s range of $10-200 million. This year’s T-HUD also reduces the share that the federal government will cover for TIGER projects, from 60 percent to 50 percent, requiring more local or state money to be brought to the table.

The silver lining in all this is that the House did not repeat last year’s attempt to limit eligibility to only road and port projects, a move that would have left out the wide range of multimodal projects that have benefited the most from this innovative program.

New Starts & Small Starts: These programs that fund new rail, rapid bus and streetcar construction would receive $1.92 billion in funding, down from last year’s $2.12 billion in the final budget. The new bill would also reduce the federal government’s share of New Starts projects from 60 percent to 50 percent.

Amtrak: Amtrak would have a budget of $1.1 billion. The bill actually adds $39 million to the rail service’s operational costs, but cuts $290 million from its capital budget.

The Senate has yet to release its own budget, but for the last few years, the Senate has prioritized funding for many of these important programs. However, with the change in leadership in the Senate in this Congress, it’s unclear if things could play out similarly this year compared to years past.

Members can read our full summary memo on the THUD bill below.

[member_content] Members, you can read our full members-only THUD summary here. (pdf)

And, have you been to the new portal for all members-only content? https://t4america.org/members [/member_content]