Surface Transportation Funding and Programs Under the Fixing America's Surface Transportation Act (FAST Act; P.L. 114-94)

February 18, 2016 (R44388)
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Summary

On December 4, 2015, President Barack Obama signed the Fixing America's Surface Transportation Act (FAST Act; P.L. 114-94). The act authorized spending on federal highway and public transportation programs, surface transportation safety and research activities, and rail programs for five years, through September 30, 2020. The act's authorization totaled roughly $305 billion for FY2016 through FY2020. This included $233 billion for highways and highway safety, $61 billion for public transportation, and more than $10 billion for Amtrak.

Most of the funding for surface transportation bills has been drawn from the Highway Trust Fund (HTF) since its creation in 1956, but the principal revenue source for the HTF, federal motor fuel taxes, has not generated sufficient revenue to cover HTF outlays since 2008. To fill this shortfall, Congress has relied on Treasury general fund transfers to make up the difference. Although Congress was unable to agree on a long-term solution to the HTF revenue issue, the FAST Act identified roughly $70 billion in budgetary offsets to support general fund transfers sufficient to pay for the five-year bill.

The FAST Act builds upon the many programmatic changes made in the previous multiyear reauthorization bill, the Moving Ahead for Progress in the 21st Century Act (MAP-21; P.L. 112-141). The act also continues initiatives intended to increase program efficiency through performance-based planning and the streamlining of project development. Among FAST Act's major attributes are

The FAST Act does not increase motor fuels taxes or provide another sustainable source of revenues to be paid into the HTF. Unless new revenue sources are found, Congress will face projections of a large gap between HTF tax receipts and spending plans when it begins debating the reauthorization of the FAST Act in 2020.


Surface Transportation Funding and Programs Under the Fixing America's Surface Transportation Act (FAST Act; P.L. 114-94)

FAST Act: Overview

On December 4, 2015, President Barack Obama signed the Fixing America's Surface Transportation Act (FAST Act; P.L. 114-94). The act authorizes spending on federal highway and public transportation programs and surface transportation safety and research activities for five years, through September 30, 2020. The act also authorizes passenger rail programs for five years, through FY2020. The act's authorization totals about $305 billion for FY2016 through FY2020. This includes $233 billion for highways and highway safety, $61 billion for public transportation, and more than $10 billion for Amtrak.

The five-year duration of the act reestablishes the pattern of five- or six-year surface transportation authorization bills (often bound together by a series of short-term authorization acts) that dates back to the early 1990s. The bill also provides sufficient funds for a modest increase in spending for both highways and public transportation over expected inflation. This is a change from the pattern of declines in real spending for highways since the early 2000s.1 On the programmatic side, the changes were small in comparison with the previous reauthorization act, the Moving Ahead for Progress in the 21st Century Act (MAP-21; P.L. 112-141), which made major changes in programmatic structure and operations but provided for only two years of funding (FY2013-FY2014). Although the FAST Act creates several new discretionary programs, well over 92% of spending from the Highway Trust Fund (HTF) will be distributed by formula under the law.

The FAST Act makes two important changes in transportation programs. It is the first surface transportation act to emphasize the national importance of moving freight, and funds two new freight programs. It is also the first law to treat intercity passenger rail as an integral part of the federal surface transportation program; previously, Amtrak was authorized under separate legislation.

Surface Transportation Finance and the Highway Trust Fund (HTF)

Almost all of federal highway funding and about 80% of federal public transportation funding comes from the HTF. The HTF is financed from a number of sources, including taxes on fuels, tires, truck and trailer sales, and a weight-based heavy-vehicle use tax.2 However, approximately 90% of trust fund revenue comes from excise taxes on motor fuels, 18.3 cents per gallon on gasoline and 24.3 cents per gallon on diesel. The HTF consists of two separate accounts—highway and mass transit. The highway account receives an allocation equivalent to 15.44 cents of the gasoline tax, and the mass transit account receives the revenue generated by 2.86 cents of the tax.3 Because the fuel taxes are set in terms of cents per gallon rather than as a percentage of the sale price, their revenues do not increase with inflation. The fuel tax rates were last raised in 1993.

Sluggish economic growth and improved vehicle efficiency have depressed the growth of fuel consumption and therefore the growth of fuel tax revenue. Since FY2008, the revenues flowing into the highway account of the HTF have been insufficient to fund the expenditures authorized under the Federal-Aid Highway Program. Prior to the enactment of the FAST Act, resolving this discrepancy required seven general fund and other transfers totaling $73.3 billion (of which $62.5 billion went into the highway account) over a seven-year period. Without these transfers, FHWA might have faced delays in reimbursing states for completed work.4

Under the FAST Act, $70 billion will be transferred from the general fund to the HTF to fund the projected difference between HTF revenues and authorized spending for FY2016 through FY2020.5 An additional $300 million was provided by transfers from the Leaking Underground Storage Tank (LUST) trust fund .6 This mixing of revenue sources lessens the relevance of the arguments that HTF funds should be used only on highways. It also reduces the salience of states' complaints that they are not receiving a fair share of highway spending relative to their highway tax payments to the HTF (the so-called donor-donee state issue). Under the FAST Act, the general fund transfers allow for spending levels for all states that will likely exceed their highway tax payments.

A gap between dedicated HTF revenues and outlays is expected to persist after the FAST Act expires at the end of FY2020. The Congressional Budget Office (CBO) projects that beginning in FY2021, revenues credited to the highway and transit accounts of the HTF will be insufficient to meet the fund's obligations.7 CBO projects that over the five years following the expiration of the FAST Act, from FY2021 through FY2025, HTF receipts will fall $96 billion short of the amount needed to fund highway and public transportation programs at the current level, adjusted only for projected inflation. Congress will face the need to approve some combination of new taxes,8 an increase in existing dedicated taxes, further general fund transfers, an increase in federally supported debt financing, or reductions in the scope of the federal surface transportation program, if the FAST Act is to be replaced or extended in 2021.9

Highways

The Federal-Aid Highway Program (FAHP) is an umbrella term for the separate highway programs administered by the Federal Highway Administration (FHWA).10 These programs are almost entirely focused on highway construction, and generally do not support operations (such as administrative salaries or fuel costs) or routine maintenance (such as mowing roadway fringes or filling potholes). Each state is required to have a State Transportation Improvement Plan, which sets priorities for the state's use of FAHP funds. State departments of transportation (state DOTs) largely determine which projects are funded, award the contracts, and oversee project development and construction. More recently, metropolitan planning organizations (MPOs) have played a growing role in project decisionmaking in urban areas, but federal project funding continues to flow through state DOTs.

The FAHP, unlike most other federal programs, does not rely on appropriated budget authority. Instead, FHWA exercises contract authority over monies in the HTF, and may obligate (promise to pay) funds for projects funded with contract authority prior to an appropriation. Once funds have been obligated, the federal government has a legal commitment to provide the funds. This approach shelters highway construction projects from annual decisions about appropriations.

Highway Program Terminology

Distribution of funds is FHWA notification of the availability of federal funds, usually for four years. The states do not actually receive federal money up front for highway project spending.

Apportionment is the distribution of funds among the states as prescribed by a statutory formula.

Allocation is an administrative distribution of funds (often for specific projects) under programs that do not have statutory distribution formulas.

Reimbursement occurs once a project is approved, the work is started, costs are incurred, and the state submits a voucher to FHWA. The reimbursable structure is designed to curb waste, fraud, and abuse.

Contract authority is a type of budget authority that is available for obligation without an appropriation (although appropriators must eventually provide liquidating authority to pay the obligations).

Obligation of contract authority for a project by FHWA legally commits the federal government to reimburse the state for the federal share of a project. This can be done prior to an appropriation.11

Limitation on obligations, known as ObLim or Oblimit, is used to control annual FHWA spending in place of an appropriation. The ObLim sets a limit on the total amount of contract authority that can be obligated in a single fiscal year. For practical purposes, the ObLim is analogous to an appropriation.12

Under the FAST Act, 92% of FAHP funding is distributed through five core programs.13 These are the National Highway Performance Program (NHPP), the Surface Transportation Block Grant Program (STBG), the Highway Safety Improvement Program (HSIP), the Congestion Mitigation and Air Quality Improvement Program (CMAQ), and the National Highway Freight Program. The STBG was formerly known as the Surface Transportation Program, but was renamed in the FAST Act.

All five core programs are formula programs, meaning that each state's share of each program's total annual authorization is based on a mathematical calculation set out in the law. The remaining programs, generally referred to as discretionary programs, are administered more directly by FHWA, but the funding distribution of some of these programs (such as the Construction of Ferry Boats and Ferry Terminal Facilities Program) is formulaic as well. The FAHP does not provide money in advance. Rather, a state receives bills from private contractors for work completed and pays those bills according to its own procedures. The state submits vouchers for reimbursement to FHWA. FHWA certifies the claims for payment and notifies the Department of the Treasury, which disburses money electronically to the state's bank, often on the same day the voucher is submitted by the state.14

After several years of flat funding in terms of nominal dollars, the FAST Act provides highway funding increases of 4.2% above previous law adjusted for expected future inflation (see Figure 1 and Table 1). The Federal-Aid Highway and research titles authorize an average of $45 billion annually for FY2016-FY2020. Of this, an average of $41 billion is provided annually for Federal-Aid Highway programs. The act includes no new congressional earmarks for highway projects.

Figure 1. Federal-Aid Highway Funding: FY2004-FY2020

Source: Federal Highway Administration.

Notes: Totals are unadjusted for inflation. The FY2009 authorization figure reflects rescission of $8.708 billion, and the FY2010 figure reflects the restoration of the rescission. Authorizations are contract authority. Obligations are annual FAHP obligation limitations plus exempt obligations. ARRA refers to funding under the American Recovery and Reinvestment Act of 2009 (P.L. 111-5). FY2020 authorization column reflects the $7.569 billion rescission scheduled for July 1, 2020, under Section 1438 of the FAST Act.

A major focus of the FAST Act is the movement of freight. This is reflected in a new formula freight program, the National Highway Freight Program (NHFP), and a new competitive discretionary grant program, the Nationally Significant Freight and Highway Projects Program (NSFHP). The freight policy aspects of the FAST Act are discussed together in a separate section of this report (see "Freight Policy").

Table 1. Highway Authorizations: FAST Act

(contract authority from the highway account of the HTF, except as noted, in millions of dollars)

Program

FY2016

FY2017

FY2018

FY2019

FY2020

Total

Title I: Federal-Aid Highways (FAHP formula)

39,728

40,548

41,424

42,359

43,373

207,432

Nationally Significant Freight and Highway Projects (NSFH)

800

850

900

950

1,000

4,500

Transportation Infrastructure Finance and Innovation Program (TIFIA)

275

275

285

300

300

1,435

Tribal Transportation Program

465

475

485

495

505

2,425

Federal Lands Transportation Program

335

345

355

365

375

1,775

Federal Lands Access Program

250

255

260

265

270

1300

Territorial and Puerto Rico Highway Program

200

200

200

200

200

1,000

FHWA Administrative Expenses

453

460

467

474

481

2,334

Emergency Relief

100

100

100

100

100

500

Construction of Ferry Boats

80

80

80

80

80

400

Appalachian Regional Development Program [Gen. Fund]

110

110

110

110

110

550

Regional Infrastructure Accelerator Demonstration Program [Gen. Fund]

12

0

0

0

0

12

Nationally Significant Federal Lands and Tribal Projects [Gen. Fund]

100

100

100

100

100

500

Total Authorizations: Title I

42,908

43,798

44,766

45,798

46,894

224,163

Title IV: Transportation Research

415

418

418

420

420

2,090

Total Contract Authority (HTF)

43,100

44,005

44,973

46,008

47,104

225,190

Total Obligations

43,100

44,005

44,973

46,008

47,104

225,190

Total General Fund Authorizations

222

210

210

210

210

1,062

Total Authorizations

43,322

44,215

45,183

46,218

47,314

226,252

Source: Federal Highway Administration, FAST Act: Funding Tables, Washington, DC, 2015, http://www.fhwa.dot.gov/fastact/estfy20162020auth.pdf. For breakout of formula programs, see Table 2.

Notes: Total obligations are the annual obligation limitations plus exempt obligations. Totals do not include funding for the safety operations of the National Highway Traffic Safety Administration or the Federal Motor Carrier Safety Administration. The obligation limitation plus exempt obligation amounts are equal to the total contract authority under the FAST Act. The total contract authority figure does not reflect the $7.569 billion rescission scheduled for July 1, 2020.

Formulas and Apportionments

The apportioned programs—those whose funds are distributed by formula—include the five "core" programs plus the Metropolitan Planning Program. The FAST Act does not use separate formulas to calculate each state's apportionments under each core program. Instead, the act first provides for a single gross apportionment for each of the states. Each state's apportionment total is then divided among the separate programs based on a series of set-asides and percentage formulas.

Table 2 shows the dollar amounts of the aggregate programmatic split.15

Table 2. Apportioned Programs (Contract Authority)

(millions of dollars)

Program

FY2016

FY2017

FY2018

FY2019

FY2020

Total

National Highway Performance Program (NHPP)

22,332

22,828

23,262

23,741

24,236

116,399

Surface Transportation Block Grant Program (STBG)

11,163

11,424

11,668

11,876

12,137

58,268

Highway Safety Improvement Program (HSIP)

2,226

2,275

2,318

2,360

2,407

11,585

Safety-related programs (HSIP set- aside)

3.5

3.5

3.5

3.5

3.5

17.5

Railway-highway crossings (HSIP set- aside)

225

230

235

240

245

1,175

National Highway Freight Program (NHFP)

1,140

1,091

1,190

1,339

1,487

6,247

Congestion Mitigation & Air Quality Improvement Program (CMAQ)

2,309

2,360

2,405

2,449

2,499

12,023

Metropolitan Transportation Planning

329

336

343

350

359

1,718

Total

39,728

40,548

41,424

42,359

43,373

207,432

Source: Federal Highway Administration. STBG amounts include the transportation alternatives annual set-aside of $751 million. Totals may not add due to rounding. NHFP figures represent net amounts after a portion is applied to the Metropolitan Planning Program under Section 1104 (b)(6). Total apportioned programs figure represents gross authorizations. State-by-state apportionments are available at http://www.fhwa.dot.gov/fastact/estfy20162020apports.pdf.

Although each core program has specific objectives, the core programs also have many areas of overlapping eligibility to increase states' ability to use the funds as they prefer. The federal share for most FAHP projects is generally either 80% or 90%.

States may transfer up to 50% of any apportionment to any other apportioned program. However, no transfers are permitted of funds that are suballocated to areas by population (such as a portion of STBG funds) or of Metropolitan Planning funds. The broad areas of eligibility overlap among the core programs under the FAST Act should make it easier for states to operate within the 50% restriction on transfers.

National Highway Performance Program (NHPP; §1106)

NHPP is the largest of the federal-aid highway programs, with annual authorizations averaging over $23 billion. The program supports improvement of the condition and performance of the National Highway System (NHS), which includes Interstate System highways and bridges as well as virtually all other major highways. The FAST Act left the existing NHPP intact but added language allowing states to use NHPP funds to pay subsidy and administrative costs under the Transportation Infrastructure Finance and Innovation Act (TIFIA). The FAST Act also allows states to use NHPP funds on bridges not on the NHS as long as the bridge is on the Federal-Aid Highway system (i.e., not an off-system bridge). Finally, the FAST Act allows states to use NHPP funds for projects intended to reduce the risk of failure of critical infrastructure in a state.

Surface Transportation Block Grant Program (STBG; §1109)

STBG is the highway program with by far the broadest eligibility criteria. Funds can be used on any federal-aid highway, on bridge projects on any public road, on transit capital projects, on routes for nonmotorized transportation, and on bridge and tunnel inspection and inspector training. The FAST Act authorizes an annual average of almost $11.7 billion for STBG.

The Transportation Alternatives program authorized under the previous transportation authorization law, the Moving Ahead for Progress in the 21st Century Act (MAP-21; P.L. 112-141), which funded such projects as bicycle paths and walkways, is effectively absorbed into the STBG program. The FAST Act provides that $850 million per year from the STBG apportionment be set aside for transportation alternative-like uses. States and MPOs obligating these funds are to develop a competitive process for local public entities to submit projects for funding. A portion of the set-aside is directed toward the recreational trails program, from which states may apply to opt out.

STBG funds may be used for Appalachian Development Highway System projects with no state match. Virtually any federally eligible mass transit use may receive STBG funds. Carpool projects and electronic toll collection and congestion management projects are eligible for STBG funding. Repairs to off system-bridges and bridge replacement at the same location are generally eligible for STBG funding.

Congress required that a portion of a state's STBG funding be allocated by the state's DOT to projects in specified locations based on a population formula (often referred to as "suballocation"). This assures that some STBG funding goes to projects in all parts of each state, whether urban or rural. The percentage allocated to areas in the state by population increases by one percentage point each year over the life of the FAST Act, from 51% for FY2016 to 55% for FY2020. The remainder may be spent anywhere in the state. STBG funds equal to 15% of the state's highway bridge apportionment for FY2009 are to be set aside for off-system bridges, but there is no upper percentage limit on bridge spending. Some STBG funds reserved for rural areas may be used on minor collector roads.

Highway Safety Improvement Program (HSIP; §1113)

HSIP supports projects that improve the safety of road infrastructure by correcting hazardous road locations, such as dangerous intersections, or by making road improvements such as adding rumble strips. Under the FAST Act, HSIP is funded at an annual average of $2.6 billion. The Rail-Highway Grade Crossing Program continues as an HSIP set-aside and averages $235 million per year. The FAST Act broadened the eligibility of HSIP funds to make vehicle-to-vehicle technology, median separations, and other infrastructure projects eligible.

Congestion Mitigation and Air Quality Improvement Program (CMAQ; §1114)

CMAQ was established to fund projects and programs that may reduce emissions of transportation-related pollutants. In recent years, well over $1 billion of annual CMAQ funding has been transferred to the Federal Transit Administration (FTA) for local public transportation projects.16 Under the FAST Act, CMAQ's average annual authorization is $2.4 billion. The act expands eligibility to include port-related freight operations and projects to reduce emissions from port-related equipment within metropolitan areas that do not meet federal air-quality standards ("nonattainment" or "maintenance" areas). The installation of vehicle-to-infrastructure communication equipment has also been made CMAQ-eligible. The act also eases the requirement for CMAQ spending on projects that reduce particulate matter for areas for states with low population density.

National Highway Freight Program (NHFP; §1116)

Annual apportionments for NHFP will average about $1.2 billion annually through FY2020. This new program is to help states and MPOs remove impediments to the movement of goods. For a detailed discussion of this program, see "National Highway Freight Program (NHFP; §1116)" in the "Freight Policy" section.

Other Highway Programs17

Nationally Significant Freight and Highway Projects (NSFHP; §1105)

The NSFHP provides an average of $900 million per year in discretionary grants for projects of regional or national importance, as determined by the Office of the Secretary of Transportation. States, groups of states, municipal governments, special purpose districts or transportation authorities, Indian tribes, federal land agencies and other public entities may apply. Applicants may apply directly to the Secretary of Transportation, circumventing the state DOTs. This program is not administered by FHWA. See "Nationally Significant Freight and Highway Projects (NSFHP; §1105)" in the "Freight Policy" section.18

Emergency Relief Program (ER; §1107)

ER funds are made available following natural disasters or catastrophic highway infrastructure failures (from an external cause) for emergency repairs, restoration of federal-aid highway facilities to pre-disaster conditions, and debris removal from roads on tribal and federal lands. The program is funded by an annual authorization of $100 million from the HTF and general fund appropriations authorized on a "such sums as necessary" basis, usually in supplemental appropriations bills. ER funds can only be used on federal-aid highways. Generally, the Federal Emergency Management Agency, not FHWA, funds debris removal after major disasters.19 The FAST Act broadened the definition of roads "open to public travel" to clarify the eligibility for ER funds on some federally owned roads.

Territorial and Puerto Rico Highway Program (§1115)

The Territorial and Puerto Rico Highway programs are funded at $42 million and $158 million annually, respectively, through FY2020.

Appalachian Development Highway System Program (ADHS; §1435)

The ADHS is made up of designated corridors in the 13 participating Appalachian states. The ADHS program is a road-building program intended to reduce Appalachia's isolation and encourage economic development. Construction has been ongoing since the mid-1960s. The ADHS is not a freestanding federal-aid program with a separate authorization, but eligibilities for ADHS projects are incorporated into the eligibilities of NHPP and STBG. The FAST Act extended the ADHS 100% federal share to the year 2050, but also allows states to contribute a share if they wish.20

Construction of Ferry Boats and Ferry Facilities (§1112)

The Ferry Boats and Ferry Terminal Facilities Program is a formula program that includes no set-asides for specific states.21 The FAST Act provides $80 million annually, available until expended, for the construction of ferryboats and terminal facilities. The funding is to be apportioned according to a formula weighted by passengers (40%), vehicles carried (35%), and total route miles (30%). The FAST Act requires that unused allocations be withdrawn and redistributed after four years. Ferryboats and facilities are also eligible for formula funds under the NHPP.

Federal Lands and Tribal Transportation Programs

The FAST Act makes few changes to the Federal Lands Programs, but it does provide nominal increases in funding. Funding for the Federal Lands Transportation Program is increased from $300 million in FY2015, as authorized by MAP-21, to $335 million in FY2016 up to $375 million in FY2020. Funding for the Federal Lands Access Program in FY2016 remains at the FY2015 level of $250 million, but increases thereafter to $270 million in FY2020.

Funding increases are also provided for the Tribal Transportation Program (TTP). The TTP is authorized at $465 million in FY2016, $15 million more than in FY2015. Moreover, the TTP authorization increases by $10 million per year to $505 million in FY2020. Funding for the program comes from the highway account of the HTF. The FAST Act establishes a Tribal Transportation Self-Governance Program to allow the Secretary of Transportation to more fully delegate to tribes the administration of the TTP (§1121). To be eligible, a tribe must meet certain financial and managerial criteria.

The FAST Act authorizes a new Nationally Significant Federal Lands and Tribal Projects Program (NSFLTP) at $100 million per year, with funds coming from the general fund (§1123). In addition to projects on tribal land, eligible projects include those on land managed by federal land management agencies, such as the National Park Service, the Forest Service, and the Bureau of Land Management. This program is for projects that are estimated to cost more than $25 million. At the same time the FAST Act did not reauthorize funding for the Tribal High Priority Projects Program (THPP). The THPP was authorized in MAP-21 at $30 million per year in general funds, although no funding was appropriated.

Freight Policy

The FAST Act directs a portion of federal funds towards highway segments and other projects deemed most critical to freight movement. It does this by creating a new competitive grant program and a new formula program for distributing federal funds to states. The stated goals of these two programs are very similar: increase U.S. global economic competitiveness, reduce congestion and bottlenecks, increase the efficiency and reliability of the highway network, and reduce the environmental impact of freight movement.22

Nationally Significant Freight and Highway Projects Program (NSFHP; §1105)

This is a competitive grant program with funding of $800 million in FY2016 rising to $1 billion in FY2020. Public entities are eligible to apply, including states and groups of states, Metropolitan Planning Organizations (MPOs), local governments or a group of local governments, political subdivisions of states or local governments, transportation-related authorities such as port authorities, and tribal governments. Eligible uses of funds include highway projects, railway-highway grade crossing projects, connections to ports and intermodal freight facilities, and elements of private freight rail projects that provide public benefits. However, grants for freight intermodal or freight rail projects are capped at $500 million over the life of the program. A grant is to provide not more than 60% of the cost of a project, but other federal assistance can be used to provide up to a total federal share of 80% (i.e., the local cost share required must be at least 20% but not more than 40%).

This grant program is designed primarily for relatively high-cost projects; each grant awarded must be at least $25 million, and the project must have eligible costs amounting to at least $100 million or a significant share of a state's highway funding apportionment the previous fiscal year (e.g., 30% in the case of a one-state project). However, 10% of grant funds are reserved for smaller projects with awarded grants of at least $5 million each. The U.S. Department of Transportation (DOT) is to consider the dispersion of projects geographically, including between rural and urban communities. Congress has 60 days to disapprove of a DOT grant approval (§1105).23

National Highway Freight Program (NHFP; §1116)

The NHFP is a formula program with funding of $1.1 billion in FY2016 rising to $1.5 billion in FY2020. Funds are administered through state DOTs and must be directed toward highway components designated by FHWA, state DOTs, or MPOs as especially important to freight movement. These components include a "Primary Highway Freight Network" (PHFN) designated by FHWA, "critical rural freight corridors" designated by state DOTs, and "critical urban freight corridors" designated by either state DOTs or MPOs, depending on the population size of an urban area. 24 These components, along with Interstate Highway segments not designated as part of the PHFN, comprise the "National Highway Freight Network" (NHFN). The FAST Act directs FHWA to issue biennial reports on the condition and performance of the NHFN.

Larger states with 2% or more of total mileage in the PHFN are required to spend their program funds on the PHFN, critical rural, or critical urban freight corridors. States with less than 2% of the mileage may spend their program funds on any part of the NHFN. Up to 10% of a state's apportionment can be directed toward projects "within the boundaries of public or private freight rail or water facilities (including ports); and that provide surface transportation infrastructure necessary to facilitate direct intermodal interchange, transfer, and access into or out of the facility" (§1116).

Other Freight-Related Provisions

In addition to these two new programs, other provisions in the FAST Act particularly relevant to freight transportation include the following:

Tolling (§1411)

Tolling of non-Interstate federal-aid highways has been allowed since 1992. Totally new Interstate Highway routes or extensions of existing routes may be built as toll roads. Toll lanes may be added to an existing Interstate route as long as the number of "free" lanes is maintained. Under the FAST Act, public authorities may impose tolls on single-occupant vehicles using high-occupancy vehicle (HOV) lanes. This allows cities, towns, counties, or transportation authorities to exercise authority over HOV facilities where only state agencies could do so previously. This could further encourage the use of congestion pricing.

The FAST Act modifies the Interstate System Construction Toll Pilot Program, which allows for up to three toll-free Interstate Highway segments in three states to be subject to tolls when that is the only way to provide funding for rehabilitation or reconstruction. Under a new provision, if the selected states have not started construction within three years of approval, their approval lapses, and other states may apply to participate in the pilot program. The act also mandates that intercity buses have the same access to toll roads and pay the same tolls as public transportation buses. As under previous legislation, the federal government does not regulate toll rates.

Financing

The FAST Act cuts the direct authorization of funding for the Transportation Infrastructure Finance and Innovation Act (TIFIA) program from $1 billion in FY2015 to $275 million in both FY2016 and FY2017, $285 million in FY2018, and $300 million in both FY2019 and FY2020. Seen in isolation, this reduces DOT's capacity to issue loans by approximately $750 million in FY2016, assuming a 10% subsidy cost.25 TIFIA loans have been important in financing major surface transportation projects such as the Tappan Zee Bridge replacement in New York State and the East Link Extension, a 14.5-mile light rail line in Seattle.

However, the FAST Act also allows funding in two other highway programs to pay for the subsidy and administrative costs of credit assistance. These two programs are the new discretionary Nationally Significant Freight and Highway Projects Program (NSFHPP) (FAST Act; §1105), authorized at $800 million in FY2016 and the existing formula National Highway Performance Program (NHPP) (FAST Act; §1106), authorized at $22.3 billion in FY2016. This has the potential for increasing TIFIA financing much above the $275 million direct authorization, but at the discretion of state DOTs.

The FAST Act also

In addition to allowing an SIB to receive a TIFIA loan to capitalize a rural projects fund, the FAST Act provides authority for states to capitalize SIBs with federal highway, transit, and rail funds through FY2020. Authority to do so had lapsed at the end of FY2009.

The FAST Act (§1109(b)(14)) allows STBG funding for the creation of offices that will "assist in the design, implementation, and oversight of public-private partnerships." The law made no change to the $15 billion volume cap on tax-exempt, private activity bonds for qualified highway or surface freight transfer facilities.

The FAST Act (§9001) creates a new National Surface Transportation and Innovative Finance Bureau within DOT to administer federal transportation financing programs, specifically the TIFIA program, the SIB program, the Railroad Rehabilitation and Improvement Financing (RRIF) Program, and the allocation of authority to issue private activity bonds for "qualified highway or surface freight transfer facilities" (26 U.S.C. §142(m)). The bureau will also be responsible for establishing and promoting best practices for innovative financing and public-private partnerships (P3s), and for providing advice and technical expertise in these areas. The bureau will administer the new discretionary Nationally Significant Freight and Highway Projects grant program and will have responsibilities related to procurement and project environmental review and permitting.

The FAST Act (§1441) also establishes a new Regional Infrastructure Accelerator Demonstration Program "to assist entities in developing improved infrastructure priorities and financing strategies for the accelerated development of a project that is eligible for funding under the TIFIA program." The program is designed to make grants to regional infrastructure accelerators that will support and promote innovative financing and public-private partnerships. The FAST Act authorizes $12 million in FY2016 from the general fund for the program.

Public Transportation

The public transportation provisions of the FAST Act are contained in Title III of Division A, the Federal Public Transportation Act of 2015, which authorizes federal public transportation programs for FY2016 through FY2020.26

Funding

The FAST Act authorizes $11.8 billion for public transportation in FY2016, an amount rising to $12.6 billion in FY2020. The five-year total of public transportation funding authorized is $61.1 billion, an average of $12.2 billion per year (Table 3). Of the total amount, 80% comes from the mass transit account of the HTF, and 20% is authorized from the general fund.

Table 3. Public Transportation Funding Authorized by the FAST Act

(millions of dollars)

 

FY2016

FY2017

FY2018

FY2019

FY2020

Total

11,789

12,176

12,175

12,381

12,592

Trust Funded Programs

9,348

9,734

9,733

9,939

10,150

Urbanized Area Formula Grants

4,539

4,630

4,727

4,827

4,929

State of Good Repair Grants

2,507

2,550

2,594

2,638

2,684

Bus and Bus Facilities Grants

696

720

747

777

809

Bus and Bus Facilities Formula Grants

428

436

446

455

465

Competitive Grants

268

284

302

322

344

Formula Grants for Rural Areas

620

632

646

659

673

Growing States and High Density States Formula

536

544

553

561

570

Enhanced Mobility of Seniors and Individuals with Disabilities

263

268

274

280

286

Planning Programs

131

133

136

139

142

Public Transportation Innovation

28

28

28

28

28

Pilot Program for Transit Oriented Development Planning

10

10

10

10

10

Technical Assistance and Workforce Development

9

9

9

9

9

National Transit Database

4

4

4

4

4

Bus Testing Facility

3

3

3

3

3

Pilot Program for Enhanced Mobility

2

3

3

4

4

Positive Train Control

0

199

0

0

0

General Funded Programs

2,442

2,442

2,442

2,442

2,442

Capital Investment Grants

2,302

2,302

2,302

2,302

2,302

Administrative Expenses

115

115

115

115

115

Research, Development, Demonstration, and Deployment Program

20

20

20

20

20

Technical Assistance and Workforce Development

5

5

5

5

5

Emergency Relief

such sums as are necessary

Source: Federal Transit Administration.

Program Changes

The biggest programmatic change related to public transportation is the creation of a competitive discretionary component within the Bus and Bus Facilities Grant Program.27 This program provides funding to purchase and rehabilitate buses and to construct bus-related facilities such as maintenance depots. In FY2016, the Bus Program is authorized at $696 million, with $428 million (61%) for formula grants and $268 million (39%) for discretionary grants. Bus Program funding increases to $809 million in FY2020, with $465 million (57%) provided for formula grants and $344 million (43%) for discretionary grants. Of the discretionary amounts, $55 million per year is set aside for the acquisition of low- or no-emission buses and related facilities. Also, of the discretionary amounts, not less than 10% must be made available for rural areas, and a single grantee cannot receive more than 10% of total program funding.

Smaller transportation agencies complained that the yearly formula apportionments from the bus program under MAP-21 were too small to fund a substantial bus investment. The FAST Act seeks to facilitate infrequent bus purchases with a pilot program for the creation of voluntary state funding pools for transit agencies. The pilot program will allow formula Bus Program funds apportioned to transit agencies in urbanized areas with a population of 200,000 to 999,999 to be transferred between recipients participating in a pool. The distribution of funds to each recipient by the state funding pool over the FY2016-FY2020 period must be equal to the amount of funds that each would have received individually according to the Bus Program formula.

The Capital Investment Grant (CIG) program (commonly known as the New Starts program) is a discretionary funding program for the construction of new fixed-guideway public transportation systems and the expansion of existing systems. The FAST Act increases the general fund authorization for the New Starts Program from $1.9 billion per year to $2.3 billion per year. However, these amounts are subject to appropriation. The new law changes the definition of a Small Starts project to one that involves $100 million or less of CIG funding (up from $75 million) and costs less than $300 million (up from $250 million). Another change to the New Starts Program is the authority to fund projects that benefit both public transportation and intercity passenger rail (although the eligible costs must be attributable to the transit portions of the project). The law also creates an Expedited Project Delivery for Capital Investment Grants Pilot Program to fund quickly up to eight projects involving public-private partnerships in which the federal grant is 25% or less of the project cost.28

Other changes include the following:

Efforts to Accelerate Project Delivery

Subtitle C of the Federal-Aid Highway title includes 18 provisions identified as pertaining to "acceleration of project delivery." As in the two most recent long-run reauthorization acts, the Safe Accountable, Flexible, Efficient Transportation Equity Act: a Legacy for Users (SAFETEA; P.L. 109-59) and MAP-21, the provisions primarily involve efforts to expedite surface transportation project delivery by changing how the environmental review process is implemented.30 For individual highway and transit projects, that process generally involves preparing documentation and analysis necessary to demonstrate that any project-related impacts to the human, natural, or cultural environment are identified; that the effects of those impacts are taken into consideration among other factors considered during the decisionmaking process (e.g., economic or community benefits); and that any applicable state, tribal, or federal compliance requirements are met. Provisions in this subtitle will affect the following:

Title XI of the FAST Act, Section 11503, "Efficient Environmental Review," amends Title 49 U.S.C. to require DOT to apply project development procedures applicable to federal-aid highway projects35 to railroad projects.

Until DOT interprets the directives, it is difficult to determine the extent to which the amendments will affect the environmental review process.

Safety Programs

The National Highway Traffic Safety Administration (NHTSA) is responsible for vehicle safety regulation and for driver safety other than for commercial drivers. The Federal Motor Carrier Safety Administration (FMCSA) is responsible for the safety of trucks and buses and for commercial driver safety.

Noncommercial Driver Safety

In addition to addressing the safety aspects of passenger vehicles (e.g., requiring seat belts, air bags, and electronic stability control), NHTSA promotes safety by addressing driver behaviors that contribute to crashes (e.g., driving while intoxicated, speeding, and distracted driving). Most of NHTSA's funding is for addressing driver behavior, and is in the form of contract authority, funded from the HTF.36 In the FAST Act, Congress authorizes modest increases in NHTSA's driver behavior programs, rising by roughly 2% annually from FY2015 ($700 million) to FY2020 ($778 million) (see Table 4).

Table 4. NHTSA Driver Behavior Program Authorizations, FY2016-FY2020

(millions of dollars)

 

2016

2017

2018

2019

2020

Grant to States

 

 

 

 

 

State Formula Grants (§402)

243.5

252.3

261.2

270.4

279.8

National Safety Priorities (§405)

274.7

277.5

280.2

283

285.9

Occupant Protection

35.7

36.1

36.4

36.8

37.2

State Traffic Safety Information System Improvements

39.8

40.2

40.6

41.0

41.5

Impaired Driving Countermeasures

144.2

145.7

147.1

148.6

150.1

Distracted Driving

23.3

23.6

23.8

24.1

24.3

Motorcyclist Safety

4.1

4.2

4.2

4.2

4.3

State Graduated Driver Licensing Laws

13.7

13.9

14.0

14.2

14.3

Nonmotorized Safety

13.7

13.9

14.0

14.2

14.3

Subtotal—Grants to States

518.2

529.8

541.4

553.4

565.7

Highway Safety Research & Development (§403)

137.8

140.7

143.7

146.7

149.8

National Driver Register

5.1

5.2

5.3

5.4

5.5

High Visibility Enforcement Program

29.3

29.5

26.9

30.2

30.5

Administrative Expense

25.8

26.1

26.3

26.6

26.8

Total

716.2

731.3

743.6

762.3

778.3

Source: Estimated by CRS, based on figures in P.L. 114-94 §4001 and §4005.

Driver behavior, however, is a state matter, not under federal control. Consequently, when Congress addresses driver behavior issues, it does so by encouraging the states to act. NHTSA's driver behavior programs are primarily grants to states to help pay for state actions addressing these issues.

The FAST Act also changes NHTSA's safety grant programs. It eases eligibility requirements for states to qualify for incentive grants for efforts to prevent impaired and distracted driving, and to implement graduated driver licensing. It creates a new incentive grant program to encourage states to adopt "24-7 sobriety programs," which require an individual to totally abstain from alcohol or drugs and be subject to testing at least twice a day or continuous electronic monitoring. It also creates a grant to promote safety of nonmotorized travelers (e.g., bicyclists and pedestrians). Additionally, it directs NHTSA to study possible standards for judging when users of marijuana are too impaired to drive safely.

Federal Motor Carrier Safety Administration (FMCSA)

In the FAST Act, Congress consolidates FMCSA's grant programs, reducing the number from nine to four. It authorizes a significant increase in funding beginning in FY2017 for grants to states for motor carrier inspections and other enforcement activities (see Table 5).

Table 5. FMCSA Program Authorizations, FY2016-FY2020

(millions of dollars)

 

FY2016

FY2017

FY2018

FY2019

FY2020

Motor Carrier Safety Operations and Programs

267.4

277.2

283

284

288

Motor Carrier Safety Grants

313

367

374.8

381.8

387.8

Total

580.4

644.2

657.8

665.8

675.8

Source: P.L. 114-93, §5101 & §5103, except FY2016 from P.L. 114-113, Division L (the FY2016 Department of Transportation Appropriations Act).

The FAST Act directs FMCSA to commission a study of its central safety program, the Compliance, Safety, Accountability (CSA) program, which uses data from roadside inspections and traffic violations to evaluate the safety performance of carriers. Currently, FMCSA publishes the results of this analysis in the form of percentile rankings in several categories; the act directs that FMCSA suspend publication of the percentile rankings for carriers pending the results of the study.

In addition, Congress directs FMCSA to

Congress also adds other provisions intended to promote commercial motor vehicle safety, including statutory changes and directives to conduct studies of various issues. These include

Vehicle Safety in the FAST Act

The FAST Act makes a number of changes to the law governing recalls of unsafe vehicles. These include

Intercity Rail Transportation

The FAST Act includes authorization of passenger and freight rail transportation programs, thus bringing all surface transportation modes together within a single authorization bill for the first time. The total amount authorized for all intercity rail programs, including Amtrak, increases significantly over the authorization period, with year-over-year increases of 8%-12% (see Table 6).

However, funding for intercity rail programs is authorized from the general fund, not from the HTF, and it is possible that appropriators will not approve the full amounts authorized. For example, while the total amount authorized for FY2016 was $1.67 billion, the actual amount appropriated for FY2016 was $1.465 billion, $205 million (12%) less than the authorized total. Also, the totals are significantly less than the amount authorized for Amtrak alone in the previous intercity rail authorization act. For FY2013, the final year of that authorization, Amtrak was authorized $2.25 billion but appropriated $1.36 billion, 40% less than the authorized amount.

Table 6. Intercity Rail Authorizations in the FAST Act

(millions of dollars)

 

FY2016

FY2017

FY2018

FY2019

FY2020

Amtrak

 

 

 

 

 

Northeast Corridor (NEC)

450

474

515

557

600

National Network

1,000

1,026

1,085

1,143

1,200

Amtrak Inspector General

20

20.5

21

21.5

22

Subtotal—Amtrak

1,470

1,520.5

1,621

1,721.5

1,822

Consolidated Rail Infrastructure and Safety Improvements

98

190

230

255

330

Federal-State Partnership for State of Good Repair

82

140

175

300

300

Restoration and Enhancement Grants

20

20

20

20

20

Subtotal—General Grants

200

350

425

575

650

Total Intercity Rail Authorizations

1,670

1,870.5

2,046

2,296.5

2,472

Source: P.L. 114-94, §11101-11105.

Amtrak operates regular intercity passenger rail service both over infrastructure it owns (primarily the Northeast Corridor running from Washington, DC, through New York City to Boston) and over the rail network owned by freight rail companies. Some Amtrak trains are operated under contract with states, which must cover a portion of any losses on those routes. It runs an annual deficit of roughly $1 billion, on revenues of roughly $2 billion and expenses of roughly $3 billion, and receives capital and operating support from Congress to cover the deficit.

One of the continuing criticisms many have of Amtrak is that it does not cover its costs. Amtrak's passenger service in the Northeast Corridor (NEC) makes an operating profit each year, but does not cover all costs of maintaining the infrastructure owned by Amtrak. Outside the NEC, Amtrak's long-distance trains run large operating deficits, but have relatively low capital costs (since the rail infrastructure they operate over is owned by other companies). The FAST Act requires Amtrak to structure its accounts so that all costs and revenues are assigned to either the Northeast Corridor or the National Network (everything outside of the NEC) in order to clarify the receipts and outlays for each of these two groups of services.

Congress also directs Amtrak to hire an independent entity to develop methodologies for Amtrak to use in determining what routes and services it should provide, and to submit the results to Congress by December 2017.

Other provisions include

Appendix A. Estimated Highway Apportionments

Table A-1.Comparison of Actual FY2015 and Estimated FY2016-FY2020 Apportionments Under the FAST Act

(before post-apportionment set-asides; before penalties; before sequestration)

State

Actual
FY2015

Est.
FY2016

Est.
FY2017

Est.
FY2018

Est.
FY2019

Est.
FY2020

FY2016-FY2020
Total

FY2016-FY2020
Average

Alabama

732,263,043

769,571,910

785,463,731

802,438,701

820,550,261

840,202,114

4,018,226,717

803,645,343

Alaska

483,955,039

508,614,600

519,117,557

530,336,370

542,306,359

555,294,332

2,655,669,218

531,133,844

Arizona

706,182,063

742,166,445

757,492,248

773,862,621

791,329,101

810,281,016

3,875,131,431

775,026,286

Arkansas

499,714,166

525,175,061

536,020,027

547,604,161

559,963,932

573,374,836

2,742,138,017

548,427,603

California

3,542,468,412

3,723,001,547

3,799,881,396

3,882,001,196

3,969,619,475

4,064,689,233

19,439,192,847

3,887,838,569

Colorado

516,112,989

542,412,699

553,613,557

565,577,841

578,343,213

592,194,216

2,832,141,526

566,428,305

Connecticut

484,770,705

509,473,713

519,994,372

531,232,092

543,222,256

556,232,120

2,660,154,553

532,030,911

Delaware

163,267,961

171,587,491

175,130,787

178,915,587

182,953,804

187,335,451

895,923,120

179,184,624

Dist. Of Col.

154,002,708

161,850,034

165,192,253

168,762,270

172,571,324

176,704,316

845,080,197

169,016,039

Florida

1,828,689,002

1,921,860,645

1,961,547,473

2,003,939,263

2,049,169,471

2,098,246,272

10,034,763,124

2,006,952,625

Georgia

1,246,238,772

1,309,739,819

1,336,786,115

1,365,675,824

1,396,499,894

1,429,945,392

6,838,647,044

1,367,729,409

Hawaii

163,244,192

171,562,378

175,105,158

178,889,407

182,927,036

187,308,045

895,792,024

179,158,405

Idaho

276,061,294

290,127,532

296,118,707

302,518,228

309,346,239

316,754,938

1,514,865,644

302,973,129

Illinois

1,372,231,384

1,442,156,608

1,471,937,238

1,503,747,647

1,537,687,978

1,574,514,759

7,530,044,230

1,506,008,846

Indiana

919,668,926

966,529,532

986,488,498

1,007,807,822

1,030,554,618

1,055,235,912

5,046,616,382

1,009,323,276

Iowa

474,345,450

498,513,780

508,808,186

519,804,234

531,536,542

544,266,622

2,602,929,364

520,585,873

Kansas

364,737,489

383,321,318

391,236,975

399,692,143

408,713,444

418,501,959

2,001,465,839

400,293,168

Kentucky

641,292,458

673,966,719

687,884,265

702,750,398

718,611,920

735,822,382

3,519,035,684

703,807,137

Louisiana

677,413,014

711,927,496

726,628,943

742,332,405

759,087,323

777,267,157

3,717,243,324

743,448,665

Maine

178,165,560

187,243,965

191,110,574

195,240,722

199,647,412

204,428,868

977,671,541

195,534,308

Maryland

580,007,300

609,563,599

622,151,114

635,596,565

649,942,279

665,508,023

3,182,761,580

636,552,316

Massachusetts

586,191,765

616,064,316

628,786,048

642,374,865

656,873,544

672,605,261

3,216,704,034

643,340,807

Michigan

1,016,207,628

1,067,989,869

1,090,043,951

1,113,601,188

1,138,735,743

1,166,007,859

5,576,378,610

1,115,275,722

Minnesota

629,372,872

661,441,891

675,100,754

689,690,575

705,257,282

722,147,855

3,453,638,357

690,727,671

Mississippi

466,803,812

490,587,875

500,718,610

511,539,831

523,085,607

535,613,291

2,561,545,214

512,309,043

Missouri

913,719,741

960,274,903

980,104,758

1,001,286,170

1,023,885,822

1,048,407,455

5,013,959,108

1,002,791,822

Montana

396,007,464

416,184,959

424,779,247

433,959,302

443,754,023

454,381,736

2,173,059,267

434,611,853

Nebraska

278,976,662

293,191,186

299,245,632

305,712,735

312,612,854

320,099,792

1,530,862,199

306,172,440

Nevada

350,472,546

368,332,024

375,938,098

384,062,585

392,731,061

402,136,745

1,923,200,513

384,640,103

New Hampshire

159,469,843

167,595,715

171,056,584

174,753,337

178,697,613

182,977,330

875,080,579

175,016,116

New Jersey

963,682,664

1,012,792,050

1,033,706,218

1,056,045,847

1,079,881,265

1,105,743,762

5,288,169,142

1,057,633,828

New Mexico

354,439,590

372,498,916

380,191,084

388,407,532

397,174,128

406,686,276

1,944,957,936

388,991,587

New York

1,620,088,460

1,702,649,572

1,737,809,280

1,775,365,392

1,815,436,141

1,858,914,699

8,890,175,084

1,778,035,017

North Carolina

1,006,630,450

1,057,922,052

1,079,768,287

1,103,103,510

1,128,001,186

1,155,016,278

5,523,811,313

1,104,762,263

North Dakota

239,621,802

251,831,294

257,031,648

262,586,445

268,513,174

274,943,940

1,314,906,501

262,981,300

Ohio

1,293,739,008

1,359,663,237

1,387,740,399

1,417,731,235

1,449,730,162

1,484,450,429

7,099,315,462

1,419,863,092

Oklahoma

612,127,810

643,315,998

656,600,603

670,790,656

685,930,829

702,358,595

3,358,996,681

671,799,336

Oregon

482,423,497

507,004,353

517,474,070

528,657,381

540,589,488

553,536,361

2,647,261,653

529,452,331

Pennsylvania

1,583,603,275

1,664,296,550

1,698,664,445

1,735,374,776

1,774,543,112

1,817,042,511

8,689,921,394

1,737,984,279

Rhode Island

211,081,927

221,837,373

226,418,345

231,311,545

236,532,377

242,197,215

1,158,296,855

231,659,371

South Carolina

646,306,850

679,236,584

693,262,955

708,245,330

724,230,875

741,575,911

3,546,551,655

709,310,331

South Dakota

272,190,802

286,059,805

291,966,983

298,276,779

305,009,059

312,313,885

1,493,626,511

298,725,302

Tennessee

815,605,297

857,163,013

874,863,555

893,770,525

913,943,445

935,831,968

4,475,572,506

895,114,501

Texas

3,331,596,800

3,501,354,175

3,573,657,617

3,650,889,094

3,733,291,741

3,822,702,306

18,281,894,933

3,656,378,987

Utah

335,148,600

352,225,393

359,498,902

367,268,156

375,557,614

384,552,048

1,839,102,113

367,820,423

Vermont

195,886,832

205,868,282

210,119,484

214,660,438

219,505,440

224,762,485

1,074,916,129

214,983,226

Virginia

982,180,040

1,032,226,472

1,053,542,076

1,076,310,501

1,100,603,428

1,126,962,342

5,389,644,819

1,077,928,964

Washington

654,304,963

687,644,962

701,844,910

717,012,693

733,196,062

750,755,744

3,590,454,371

718,090,874

West Virginia

421,797,542

443,288,929

452,442,922

462,220,829

472,653,435

483,973,279

2,314,579,394

462,915,879

Wisconsin

726,226,908

763,229,980

778,990,803

795,825,845

813,788,109

833,277,970

3,985,112,707

797,022,541

Wyoming

247,262,623

259,861,381

265,227,558

270,959,481

277,075,196

283,711,020

1,356,834,636

271,366,927

Apportioned Total

37,798,000,000

39,724,000,000

40,544,305,000

41,420,520,075

42,355,403,696

43,369,794,311

207,414,023,082

41,482,804,616

Source: Federal Highway Administration, http://www.fhwa.dot.gov/fastact/estfy20162020apports.pdf.

Note: Reflects $3,500,000 takedown for safety-related programs for each fiscal year 2016-2020.

Appendix B. Estimated Public Transportation Apportionments

Table B-1. Comparison of Actual FY2015 and Estimated FY2016-FY2020 Apportionments Under the FAST Act

State/Territory

Actual
FY2015

Est.
FY2016

Est.
FY2017

Est.
FY2018

Est.
FY2019

Est.
FY2020

FY2016-FY2020
Total

FY2016-FY2020
Average

Alabama

52,838,746

53,895,400

54,882,913

55,938,294

56,975,799

58,082,843

279,775,249

55,955,050

Alaska

44,509,181

51,625,429

52,586,431

53,606,720

54,555,033

55,609,594

267,983,207

53,596,641

American Samoa

825,834

830,951

838,295

846,118

854,176

862,408

4,231,949

846,390

Arizona

107,526,627

109,929,569

112,124,626

114,481,119

117,005,463

119,470,089

573,010,866

114,602,173

Arkansas

30,744,551

31,650,538

32,281,902

32,956,660

33,585,909

34,292,591

164,767,599

32,953,520

California

1,253,984,980

1,317,468,210

1,343,523,066

1,371,406,841

1,399,901,100

1,428,800,364

6,861,099,581

1,372,219,916

Colorado

111,531,891

114,618,713

116,920,877

119,391,655

122,239,166

124,818,533

597,988,945

119,597,789

Connecticut

157,663,159

166,747,877

169,453,629

172,171,163

175,543,758

178,524,502

862,440,929

172,488,186

Delaware

24,593,444

25,309,286

25,701,073

26,092,624

26,603,153

27,042,819

130,748,955

26,149,791

District of Columbia

168,198,179

199,737,485

203,238,336

206,883,698

210,465,763

214,222,831

1,034,548,113

206,909,623

Florida

360,848,078

370,830,314

378,287,718

386,278,461

393,569,020

401,881,816

1,930,847,329

386,169,466

Georgia

174,055,051

183,012,059

186,581,763

190,380,254

194,509,592

198,474,317

952,957,985

190,591,597

Guam

1,353,130

1,366,494

1,385,726

1,406,210

1,427,308

1,448,864

7,034,603

1,406,921

Hawaii

41,053,996

42,177,804

43,033,630

43,960,581

45,307,477

46,277,457

220,756,949

44,151,390

Idaho

23,242,376

24,198,622

24,647,159

25,127,247

25,567,579

26,069,692

125,610,299

25,122,060

Illinois

537,023,178

574,434,635

585,480,846

597,240,902

609,101,428

621,263,354

2,987,521,165

597,504,233

Indiana

87,621,924

89,514,098

91,340,644

93,302,797

95,799,196

97,858,794

467,815,528

93,563,106

Iowa

38,625,980

39,618,960

40,423,483

41,287,628

42,829,880

43,747,990

207,907,940

41,581,588

Kansas

34,721,200

35,647,051

36,359,895

37,123,575

38,031,055

38,833,884

185,995,460

37,199,092

Kentucky

51,536,663

52,622,836

53,664,547

54,781,805

55,940,231

57,109,859

274,119,278

54,823,856

Louisiana

59,629,607

61,355,354

62,580,348

63,890,686

65,058,832

66,425,793

319,311,013

63,862,203

Maine

30,348,165

32,222,947

32,840,133

33,500,527

34,314,921

35,003,493

167,882,022

33,576,404

Maryland

230,324,429

240,125,310

244,171,732

248,283,480

252,138,184

256,597,797

1,241,316,503

248,263,301

Massachusetts

339,311,761

359,729,860

365,677,024

371,687,458

377,572,975

384,082,886

1,858,750,203

371,750,041

Michigan

131,602,215

133,673,157

136,425,114

139,382,241

142,597,929

145,691,410

697,769,851

139,553,970

Minnesota

101,583,605

106,375,143

108,481,379

110,741,154

113,535,596

115,897,694

555,030,967

111,006,193

Mississippi

28,244,679

29,251,670

29,815,340

30,417,129

31,135,281

31,769,726

152,389,146

30,477,829

Missouri

94,320,943

97,989,234

99,942,315

102,028,634

104,260,944

106,439,219

510,660,347

102,132,069

Montana

19,129,871

20,189,160

20,547,538

20,930,711

21,513,897

21,920,038

105,101,345

21,020,269

N. Mariana Islands

811,990

816,885

823,922

831,416

839,135

847,021

4,158,379

831,676

Nebraska

23,591,337

24,436,766

24,902,865

25,401,365

25,867,517

26,389,450

126,997,963

25,399,593

Nevada

57,172,866

58,568,600

59,745,130

61,010,636

62,094,164

63,408,583

304,827,113

60,965,423

New Hampshire

15,671,744

16,348,701

16,655,446

16,984,448

17,279,946

17,623,298

84,891,839

16,978,368

New Jersey

573,263,437

600,206,411

610,554,099

621,157,490

630,788,783

642,180,359

3,104,887,142

620,977,428

New Mexico

43,810,139

45,479,144

46,375,940

47,339,618

48,338,006

49,341,315

236,874,023

47,374,805

New York

1,342,157,884

1,444,263,279

1,470,596,038

1,498,180,729

1,523,909,156

1,552,716,390

7,489,665,591

1,497,933,118

North Carolina

114,759,873

116,782,034

119,136,874

121,659,719

124,046,200

126,683,975

608,308,803

121,661,761

North Dakota

13,689,174

14,500,492

14,754,249

15,025,978

15,536,147

15,826,002

75,642,867

15,128,573

Ohio

174,852,836

179,927,728

183,526,137

187,376,240

190,956,911

194,964,160

936,751,176

187,350,235

Oklahoma

47,171,865

49,690,521

50,502,207

51,368,977

52,170,951

53,079,553

256,812,209

51,362,442

Oregon

93,960,863

98,155,574

100,089,189

102,160,155

104,230,003

106,381,040

511,015,962

102,203,192

Pennsylvania

387,365,825

413,084,498

420,935,822

429,280,566

438,670,071

447,340,760

2,149,311,717

429,862,343

Puerto Rico

67,260,623

68,960,340

70,403,091

71,970,086

74,078,304

75,705,729

361,117,550

72,223,510

Rhode Island

36,370,777

37,669,483

38,224,248

38,764,678

39,263,151

39,875,752

193,797,311

38,759,462

South Carolina

46,830,050

47,871,638

48,819,578

49,830,587

50,819,486

51,881,824

249,223,114

49,844,623

South Dakota

15,500,616

16,615,357

16,877,303

17,157,454

17,499,311

17,794,271

85,943,695

17,188,739

Tennessee

85,414,174

87,455,463

89,210,411

91,091,850

92,833,519

94,795,606

455,386,849

91,077,370

Texas

415,592,412

418,547,079

427,069,295

436,204,251

444,293,604

453,806,215

2,179,920,444

435,984,089

Utah

70,692,671

72,409,921

73,855,775

75,411,205

76,951,916

78,567,470

377,196,287

75,439,257

Vermont

8,370,585

8,993,579

9,149,649

9,316,920

9,830,307

10,013,037

47,303,492

9,460,698

Virgin Islands

1,843,783

1,858,440

1,887,738

1,919,754

1,946,186

1,979,038

9,591,156

1,918,231

Virginia

161,234,228

164,111,816

167,491,647

171,144,995

175,630,030

179,443,568

857,822,056

171,564,411

Washington

231,768,948

244,940,420

249,771,733

254,951,297

261,144,863

266,532,075

1,277,340,389

255,468,078

West Virginia

24,824,408

25,763,816

26,230,110

26,729,734

27,796,756

28,331,742

134,852,159

26,970,432

Wisconsin

80,216,787

82,142,223

83,785,699

85,552,786

88,028,303

89,887,719

429,396,729

85,879,346

Wyoming

10,937,600

11,597,917

11,808,489

12,033,228

12,253,695

12,489,441

60,182,770

12,036,554

Apportioned Total

8,482,130,936

8,917,346,291

9,086,420,167

9,265,382,535

9,449,037,070

9,636,406,049

46,354,592,112

9,270,918,422

Source: Federal Transit Administration.

Note: Excludes amounts reserved for administration of FTA.

Author Contact Information

[author name scrubbed], Coordinator, Specialist in Transportation Policy ([email address scrubbed], [phone number scrubbed])
[author name scrubbed], Specialist in Transportation Policy ([email address scrubbed], [phone number scrubbed])
[author name scrubbed], Analyst in Transportation Policy ([email address scrubbed], [phone number scrubbed])
[author name scrubbed], Specialist in Transportation Policy ([email address scrubbed], [phone number scrubbed])
[author name scrubbed], Specialist in Industrial Organization and Business ([email address scrubbed], [phone number scrubbed])
[author name scrubbed], Analyst in Environmental Policy ([email address scrubbed], [phone number scrubbed])

Footnotes

1.

U.S. Congressional Budget Office, Approaches to Making Federal Highway Spending More Productive, February 11, 2016, pp. Figure 1-4, https://www.cbo.gov/publication/50150. Escalation in the prices of construction materials prior to the recession of 2007 explains some of the decline in real spending.

2.

Federal Highway Administration, Highway Statistics 2014: Federal Highway-User Fees; Table FE-21B, Washington, DC, 2015, http://www.fhwa.dot.gov/policyinformation/statistics/2014/fe21b.cfm.

3.

Nonfuels taxes accrue only to the highway account. A separate 0.1-cent-per-gallon tax on all fuels goes into the leaking underground storage tank (LUST) trust fund, which is administered by the U.S. Environmental Protection Agency and the states.

4.

Of these totals $3.4 billion was transferred from the Leaking Underground Storage Tank (LUST) Trust Fund to the highway account of the HTF during FY2012 and FY2014 combined.

5.

Joint Committee on Taxation, Estimated Revenue Effects of the Revenue Provisions Contained in the Conference Agreement for H.R. 22, The "Fixing America's Surface Transportation ('Fast") Act," committee print, 114th Cong., 1st sess., December 3, 2015, JCX-140-15, pp. 1-2, https://www.jct.gov/publications.html?func=startdown&id=4854.

6.

Since September 15, 2008, a total of $143.627 billion has been transferred to the HTF from Treasury general funds and the LUST trust fund, including $114.685 billion to the highway account.

7.

Congressional Budget Office, "Cost estimate for the conference agreement on H.R. 22, the FAST Act," as posted on the website of the House Committee on Rules on December 1, 2015, December 2, 2015, Table 5, https://www.cbo.gov/sites/default/files/114th-congress-2015-2016/costestimate/hr22_1.pdf. Because requests for reimbursement from the HTF may occur at any time, and because Treasury transfers tax receipts to the HTF occur only twice each month, FHWA deems it prudent to maintain a $4 billion minimum in the highway account to prevent having to delay payments to states due to insufficient funds.

8.

Section 6020 of the FAST Act provides $95 million of Highway Research and Development Program (23 U.S.C. 503 (b)) funds for a pilot program to provide grants to the states to "demonstrate user-based alternative revenue mechanisms that utilize a user fee structure." This could include grants to test the design and implementation of a vehicle miles traveled charge (VMT).

9.

CRS Report R42877, Funding and Financing Highways and Public Transportation, by [author name scrubbed] and [author name scrubbed].

10.

CRS Report R44332, Federal-Aid Highway Program (FAHP): In Brief, by [author name scrubbed].

11.

For a more detailed discussion, see Federal Highway Administration, Financing Federal-Aid Highways, FHWA-PL-07-017, Washington, March 2007, pp. 9-10, http://www.fhwa.dot.gov/reports/financingfederalaid/approp.htm#b.

12.

Ibid., pp. 19-22. To be contract authority, the authorization must refer to Title 23, Chapter 1 of the U.S. Code, and it must be funded out of the HTF.

13.

Federal Highway Administration, Fixing America's Surface Transportation Act or "FAST Act," Washington, DC, December 2015, http://www.fhwa.dot.gov/fastact/. Most FHWA funds are available for obligation for four years.

14.

Federal Highway Administration, Financing Federal-Aid Highways, FHWA-PL-07-017, Washington, DC, March 2007, pp. 17-18, http://www.fhwa.dot.gov/reports/financingfederalaid/financing_highways.pdf.

15.

Federal Highway Administration, Fixing America's Surface Transportation Act or FAST Act Funding Tables, Federal Highway Administration, Washington, DC, 2015, http://www.fhwa.dot.gov/fastact/funding.cfm. This site includes tables that set forth the authorizations as well as the estimated apportionments on a state-by-state basis over the life of the FAST Act.

16.

American Public Transportation Association, APTA Primer on Transit Funding, FY2013-FY2015, Final Edition, Washington, DC, December 2015, p. 77, http://www.apta.com/resources/reportsandpublications/Documents/APTA-Primer-MAP-21-Funding.pdf.

17.

The act also amends 23 U.S.C. 503(c ), the Technology and Innovation Deployment Program, to establish an Advanced Transportation and Congestion Management Technologies Deployment initiative (§6004). The program, authorized at $60 million annually, will provide competitive grants (on a 50-50 matching basis) to five to 10 recipients annually for deployment of technologies that improve the efficiency, safety, or state of good repair of surface transportation systems. Eligible recipients include state and local governments, transit agencies, metropolitan planning organizations, and consortia of research or academic institutions.

18.

The Office of the Secretary of Transportation administers another discretionary transportation infrastructure program, the Transportation Investment Generating Economic Recovery (TIGER) program. This program, however, is not authorized in surface transportation authorization legislation, but is funded annually via appropriations.

19.

CRS Report R42804, Emergency Relief Program: Federal-Aid Highway Assistance for Disaster-Damaged Roads and Bridges, by [author name scrubbed], available upon request.

20.

Federal Highway Administration, "Appalachian Development Highway System (ADHS): Fact Sheet," http://www.fhwa.dot.gov/map21/adhs.cfm. NHPP funds are limited to construction of ADHS routes that are also on the National Highway System.

21.

The program is part of the Federal-Aid Highway Program because it is designed to permit federal participation in the construction of ferryboats and terminals where it is not feasible to build a bridge, tunnel, or other highway structure.

22.

For more information on freight issues, see CRS Report R44367, Federal Freight Policy: In Brief, by [author name scrubbed].

23.

The NSFHP is administered by the National Surface Transportation and Innovation Finance Bureau, not by FHWA.

24.

FHWA, "Designation of the Primary Freight Network," 78 Federal Register 69520, November 19, 2013.

25.

The subsidy cost is "the estimated long-term cost to the government of a direct loan or a loan guarantee, calculated on a net present value basis, excluding administrative costs," Federal Credit Reform Act of 1990 (FCRA), Title V of the Omnibus Budget Reconciliation Act of 1990 (P.L. 101-508), Section 502(5)(A)).

26.

See CRS Report R42706, Federal Public Transportation Program: In Brief, by [author name scrubbed].

27.

The Bus and Bus Facilities Program was wholly discretionary prior to MAP-21, which converted it to a formula program.

28.

This pilot program replaces the Pilot Program for Expedited Project Delivery in Section 20008(b) of MAP-21.

29.

CRS Report R44266, Effects of Buy America on Transportation Infrastructure and U.S. Manufacturing: Policy Options, by [author name scrubbed] and [author name scrubbed].

30.

For information about that process, see CRS Report R42479, The Role of the Environmental Review Process in Federally Funded Highway Projects: Background and Issues for Congress, by [author name scrubbed].

31.

See particularly the provisions in Sections 1304,"Efficient environmental reviews for project decisionmaking," and 1311, "Accelerated decisionmaking in environmental reviews."

32.

The term "Section 4(f)" refers to the section of the Department of Transportation Act of 1966 (P.L. 89-670) under which the requirement was originally set forth. Initially codified at 49 U.S.C. §1653(f), it applies to all DOT agencies. Later that year, similar legislation was enacted at 23 U.S.C. §138 that applies only to the Federal-Aid Highway Program. The provision no longer falls under "Section 4(f)," but DOT has continued this reference. For information about the Section 4(f) process and its requirements, see FHWA's "Environmental Review Toolkit: Section 4(f) Program Overview," at https://www.environment.fhwa.dot.gov/4f/index.asp.

33.

See particularly the provisions in Sections 1301, "Satisfaction of requirements for certain historic sites," and 1303, "Treatment of certain bridges under preservation requirements."

34.

See particularly the provisions in Section 1309, "Program for eliminating duplication of environmental reviews," §1312, "Improving State and Federal agency engagement in environmental reviews," and Section 1316, "Assumption of authorities."

35.

Those provisions are established under 23 U.S.C. §139.

36.

NHTSA's funding for vehicle safety activities, as discussed above, is appropriated from the general fund.

37.

Some Members of Congress suggested in debate that higher penalties would increase the deterrent effect of the law. The Obama Administration had called for increasing the penalty cap to $300 million, and some Senators had advocated eliminating it altogether.

38.

For more information about event data recorders, see CRS Report R43651, "Black Boxes" in Passenger Vehicles: Policy Issues, by [author name scrubbed] and [author name scrubbed].

39.

The IG report makes 17 recommendations for improving NHTSA's collection and analysis of vehicle safety data, such as implementing a method to assess early warning reporting data and developing a process to prioritize potential safety defects. Calvin Scovel III, Inadequate Data and Analysis Undermine NHTSA's Efforts to Identify and Investigate Vehicle Safety Concerns, U.S. Department of Transportation, Office of the Inspector General, ST-2015-063, June 18, 2015, https://www.oig.dot.gov/sites/default/files/NHTSA%20Safety-Related%20Vehicle%20Defects%20-%20Final%20Report%5E6-18-15.pdf.