Copyright © 2011 Holland & Knight LLP. All Rights Reserved Capital Investment Grants Proposed Interim Policy Guidance April 15, 2015 Jeffrey F. Boothe

Sub-Title Top Guide 6.22 Chart-Title Top Guide 5.35 Body Top Guide 4.16 Body Bottom Guide 7.80 Left guide Right guide Scope/Timing of Proposed Guidance Issued on April 6, 2015: Comments Due May 8, 2015 Intended to begin implementation of MAP-21 changes Comprehensive document that encompasses all prior rulemaking and guidance Project sponsors will use guidance to submit information for FY 17 Budget Followed by rulemaking later this year to fully implement MAP-21 2

Sub-Title Top Guide 6.22 Chart-Title Top Guide 5.35 Body Top Guide 4.16 Body Bottom Guide 7.80 Left guide Right guide Bus Rapid Transit - Eligibility 3 Majority of right of way in a separated right of way during peak periods Substantial investment in defined corridor Features that emulate fixed guideway rail service Defined stations – fully accessible, shelter and next bus information Traffic signal or preemption/queue jumps Short headway bi-directional service for 14 hours weekdays/10 hours weekends and Either 15 minute minimum headways or 10 minutes during peak and 20 minutes at all other times Substantial investment in defined corridor Features that emulate fixed guideway rail service Defined stations – fully accessible, shelter and next bus information Traffic signal or preemption/queue jumps Short headway bi-directional service for 14 hours weekdays/10 hours weekends and Either 15 minute minimum headways or 10 minutes during peak and 20 minutes at all other times New StartsSmall Starts

Sub-Title Top Guide 6.22 Chart-Title Top Guide 5.35 Body Top Guide 4.16 Body Bottom Guide 7.80 Left guide Right guide Pre-Project Development (PD) –Undertake project work, identify project, community outreach – at local expense –Sufficient work performed to ensure meet two year window to complete PD for New Starts –Submit letter to FTA to request entry into PD Project Development –New Starts - two years to complete NEPA, select Locally Preferred Alternative (LPA), obtain 30 percent commitment of non-section 5309 funds and submit information for project rating and evaluation –Small Starts – three years to complete NEPA, select LPA, adopt project into long-range transportation plan, obtain commitment of 50 percent of non-section 5309 monies; complete activities to be evaluated and rated Must withdraw from Small Starts if don’t meet three window –Monies to complete this phase are eligible as local match 4 Project Development

Sub-Title Top Guide 6.22 Chart-Title Top Guide 5.35 Body Top Guide 4.16 Body Bottom Guide 7.80 Left guide Right guide Engineering – New Starts Request Entry into Engineering after completing FTA templates, providing information on legal, financial and technical capacity Must receive a overall project rating of Medium or higher to enter into Engineering FTA locks in federal share at entry into Engineering, requiring sufficient design and engineering to project cost, scope and schedule During Engineering Obtain commitment of 50 percent of non-section 5309 monies Complete phase within three years or asked to withdraw Use Letters of Intent to express intent to award funding Use Early Systems Work Agreements (ESWA) to advance of an FFGA to promote completion of the project – FTA will fund project element under ESWA 5

Sub-Title Top Guide 6.22 Chart-Title Top Guide 5.35 Body Top Guide 4.16 Body Bottom Guide 7.80 Left guide Right guide Conclusions BRT definitions more narrow than industry practice in defining BRT Enter into PD or Engineering only when you are certain work can be completed within times allowed or face being asked to start over Local monies count as local match only when approved for each step Thus, carrying greater cost of project early and local monies for early project work not reimbursable 6