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Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users P. L. 109-59 SAFETEA-LU
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Highways, Highway Safety, Transit, Other 5-year legislation – 2005 - 2009 Signed into law August 10, 2005 P. L. 109-59
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SAFETEA-LU Total Funding FY 2005-2009FY 2004-2009 Federal-aid Highways $193.0 B$227.4 B Public Transportation $ 45.2 B$ 52.6 B Highway & Motor Vehicle Safety $ 5.8 B$ 6.5 B Totals$244.1 B$286.4 B
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FAHP Funding 2005-2009 ($Billions) SAFETEA-LU Authorizations (gross) $201.621 B Less: Rescission$8.542 B Net in SAFETEA-LU$193.078 B Plus: Permanent ER $$0.500 B Net for 2005-2009$193.578 B FHWA Guaranteed Funding$193.179 B
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Federal-aid Highway Authorizations 2005-2009 (Before $8.5B Rescission) Total = $201.621 (In billions) Equity Bonus HPP STPBridge NHS IM Other RD&T FLHP CMAQ HSIP ADHS
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New Highway Programs Coordinated Border Infrastructure Program Delta Region Development Program Denali Access System Program Express Lanes Demonstration Program Freight Intermodal Distribution Pilot Program Highways for LIFE Pilot Program Highway Safety Improvement Program Interstate Construction Toll Pilot Program National Corridor Infrastructure Improvement Program Projects of National and Regional Significance Truck Parking Program Safe Routes to Schools Work Zone Safety Grants
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The Equity Bonus program has 3 main features. One is tied to HTF contributions -- (1) Every State is guaranteed a minimum relative rate of return on its share of HTF contributions Two are independent of HTF contributions: (2) Every State is guaranteed a specified percentage increase over its average annual TEA-21 apportionments + HPP (3) Certain States are guaranteed at least the same share of total apportionments + HPP as under TEA-21 Equity Bonus (replaces TEA-21’s Minimum Guarantee)
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Equity Bonus -- (1) Minimum relative rate of return on HTF contributions Each State is guaranteed a share of annual Federal-aid apportionments plus HPP of at least the following percentage of its share of contributions to the Highway Account of the Highway Trust Fund : 2005 – 90.5% 2006 – 90.5% 2007 – 91.5% 2008 – 92% 2009 – 92%
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Equity Bonus – (2) Guaranteed increase over TEA-21 $$$ In any given year, no State will receive less than the following percentage of the average annual apportionments plus HPP that it received under TEA-21 — 2005 – 117% 2006 – 118% 2007 – 119% 2008 – 120% 2009 – 121 %
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Equity Bonus – (3) Guaranteed share for certain States Certain States (those that meet one of the following five criteria) are guaranteed to receive at least the same share of SAFETEA-LU annual apportionments + HPP as they received under TEA-21— Population density less than 40 persons per square mile & at least 1.25% of acreage under Federal jurisdiction Population less than 1 million Median household income less $35,000 Interstate fatality rate greater than 1 per 100M VMT in 2002 Indexed gas tax 150% higher than Federal gas tax rate when SAFETEA-LU enacted
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Congressional Earmarks Section# of Projects$B “Below the line” HPP (subject to EB)17015091$14.8 “Above the line” P of NRS1301251.8 Corridor1302331.9 Transportation Impr.19344662.55 Bridge1114(e)10.4 Freight Pilot13066.03 Non-motorized Pilot18074.1 TOTAL5,635$21.636 B * **
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Safety Highway Safety Improvement Program New core program starting in 2006 replacing STP safety setaside Requires a State strategic highway safety improvement plan by FY 2008 Focused on results Railway Highway Crossing Program (Sec. 130) Once again a formula program Safe Routes to School (formula program) Other targeted safety programs (Work Zones, Older Drivers, etc.)
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State Strategic Highway Safety Plan (SHPS) Will help identify and analyze highway safety problems and opportunities Must be based on: accurate and timely data consultation with stakeholders performance-based goals Evaluation process to assess results States must have strategic plan by October 1,2007, or be locked in at FY2007 HSIP apportionment level, pending development of a plan Governor or responsible State agency approves plan
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Environmental Streamlining Environmental streamlining provisions among the most significant aspects of SAFETEA-LU Changes aimed at improving and streamlining the environmental process for projects However, means additional steps and requirements for transportation agencies
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Environmental Streamlining Features New environmental review process for highways, transit, and multimodal projects 180-day statute of limitations for litigation (after publication in Federal Register) Limited changes in Section 4(f) Assumption of responsibilities by States
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Improving Efficiency Highways for LIFE Pilot Program to foster new technologies and more efficient practices More flexibility and efficiency in transportation planning processes Design-build – encourage more use by eliminating $50M floor and allowing certain actions prior to NEPA approval Modifications provide greater flexibility in transportation planning and air quality conformity without reducing air quality protection
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Improved Planning Process Metro and Statewide planning processes continued Safety and security identified as separate items to be considered in both processes Consultation requirements for States and MPOs significantly expanded Requirements added for plans to address environmental mitigation, improved performance, multimodal capacity, enhancement activities Tribal, bicycle, pedestrian, and disabled interests to be represented
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Environmental Stewardship TEA-21 environmental programs retained – CMAQ, Recreational Trails, Transportation Enhancements, TCSP, Scenic Byways New programs focused on the environment: Nonmotorized transportation pilot program Safe Routes to School Historic Covered Bridges Wildlife Vehicle Collision Reduction Study Significant new environmental requirements for Statewide and Metro Planning process
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Congestion Relief New Real-Time System Management Information Program – aimed for all States, shared information Tolling programs give States more options in using road pricing to manage congestion Increased flexibility in use of HOV facilities CMAQ eligibilities expanded Research targeting congestion: Surface Transportation Congestion Relief Solutions Research Future Strategic Highway Research Program ITS Research
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Tolling Programs SAFETEA-LU provides States with more options in using tolling to manage congestion and finance infrastructure improvements. Continues current programs – Value Pricing Pilot program funded at $59 M, of which $12M is for projects not involving tolls Interstate Reconstruction & Rehabilitation Toll Pilot – no change Creates new programs – Express Lanes Demonstration program – allows up to 15 demo projects to use tolling to manage congestion, reduce emissions, or finance added Interstate lanes Interstate Construction Toll Pilot – similar to Interstate Reconstruction Toll Pilot, but for new construction
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Mobility Improved financial stewardship and oversight Core program structure retained Mix of new and redesigned programs to target – Regional issues – Appalachia, Delta, Denali Trade corridors, international borders, ports Projects of National and Regional Significance
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Federal Lands Total of $4.5 billion through 2009 Includes Indian Reservation Roads (IRR), Park Roads, Public Lands Highways, Refuge Roads Significant changes in IRR program – Funding agreements with tribal governments Comprehensive national inventory of eligible transportation facilities Tribal-State road maintenance agreements New position in DOT -- Deputy Assistant Secretary of Tribal Government Affairs
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Research and Technology Surface Transportation Research, Development and Deployment Training and Education University Transportation Centers ITS Research ITS Deployment in 2005 only Bureau of Transportation Statistics
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Innovative Finance Private activity bonds highway facilities and surface freight transfer facilities now eligible for exempt facility bonds not subject to annual State volume cap subject to National cap of $15 billion TIFIA threshold lowered to $50M, freight rail eligibility expanded New SIB program allows all States to participate Tolling programs offer more options for funding infrastructure improvements
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Obligation Limitation Highways Exempt programs Emergency Relief Equity Bonus ($639 M per year) Old exempt programs Programs reserved from distribution (100% limitation) Administration Highway Use Tax Evasion Projects Bureau of Transportation Statistics Other programs funded from administrative takedown Carryover balances of allocated programs (Federal Lands, IM Discretionary, etc.)
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Setaside “no-year” limitation: High Priority Projects (% of funding) Appalachian Highways System (% of funding) Projects of Nat’l & Reg. Significance (% of funding) Nat’l Corridor Infrastructure Imp. (% of funding) Transportation Improvements (% of funding) Designated Bridge Projects (% of funding) In 2005, Surface Transportation Projects and Delta funds from Appropriations Act (% of funding) Equity Bonus ($2 billion per year) Obligation Limitation Highways
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Distribute remaining limitation based on % of new funding: Allocated programs Formula programs (IM, NHS, Bridge, STP, HSIP, CMAQ, Rec. Trails, Metro Planning, Border Infrastructure, Safe Routes to Schools, Railway- Highway Crossings programs) Obligation Limitation Highways
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FY 2005$34.422 Billion FY 2006$36.032 Billion FY 2007$38.244 Billion FY 2008$39.585 Billion FY 2009$41.200 Billion Established In SAFETEA-LU Obligation Limitation Highways
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Revenue Aligned Budget Authority Beginning in 2007, highway firewall amount will be adjusted to reflect changes in Highway Account receipt estimates. Adjustment spread over 2 years to smooth out effect. FAH and MCSAP authorizations will be adjusted in same amounts and in same year (RABA). Positive RABA – some reserved for allocated programs with remainder to States based on apportionments. In 2007, first call will be to bring States’ return on contributions to 92%. Negative RABA only possible if Highway Account balance less than $6B on Oct. 1 of that year.
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Extends authority to spend from the Highway Trust Fund (HTF) to 9/30/2009 Extends user fees at their pre-enactment rates to 9/30/2011 Tax rates comparable to gas/diesel for LPG, LNG, CNG, but General Fund credits for these fuels Highway Trust Fund
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Continues Highway Use Tax Evasion program at $127.1M through 2009 Funds to be used for inter-governmental enforcement and IRS activities No funding allocated to States, but States may use ¼ of 1% of STP funds for fuel tax evasion activities Highway Tax Compliance
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Studies – Financing Surface Transportation for the Future National Surface Transportation Policy and Revenue Study Commission Road User Fees Study National Surface Transportation Infrastructure Financing Commission
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Visit the FHWA website: http://www.fhwa.dot.gov/safetealu This is just the beginning...
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