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On September 30, the President signed into law a Continuing Resolution (CR) to fund federal agencies until March 6, 2009. The CR includes the completed full fiscal year (FY) 2009 appropriations bills for Defense, Homeland Security, and Military Construction-Veterans' Affairs. The remaining agencies, including the Department of Transportation will be funded at FY 2008 levels until the new Congress convenes next year. Due to the length of time covered by the CR, the Federal Transit Administration has indicated that it is considering releasing partial year apportionments to make a portion of FY 2009 funds available to transit agencies.
The FY 2009 Homeland Security Appropriations bill contains $400 million for transit security grants. There also is a provision prohibiting the Department of Homeland Security (DHS) from imposing a match requirement for FY 2008 and 2009, as well as language directing DHS to give transit security grants directly to transit agencies.
If you have questions or want more information, please contact Paul Dean at (202) 496-4887 or pdean@apta.com.
Amtrak, Rail Safety Legislation Cleared For The President
On October 1, the Senate passed H.R. 2095, the Rail Safety Improvement Act of 2008, by a vote of 74-24, clearing the bill for the President's signature. The House approved the legislation by voice vote on September 24, 2008. The President has not indicated yet whether he will sign the bill into law.
The compromise package authorizes $12.9 billion in federal grants for Amtrak and passenger rail over the next five years for capital improvements, operating expenses and debt service. This funding includes $1.9 billion for a state grant program for intercity rail projects, with funding subject to 'Buy America' laws, and $1.5 billion for development of high-speed rail corridors. The legislation requires reforms at Amtrak, including a new board of directors and improved on-time performance. Other provisions authorize funding and establish a plan to bring the Northeast Corridor up to state-of-good repair by 2018 and outline fines for freight railroads when their trains delay Amtrak trains.
The rail safety portion of the bill mandates the implementation of positive train control (PTC) technology on rail lines with passenger and commuter rail by the end of 2015 and authorizes $250 million in federal grants for PTC installation while expanding the federal loan guarantee program for PTC and other rail infrastructure. The legislation also changes the hours of service regulations for freight and intercity rail but allows for separate considerations for commuter train crews. A federal study on the use of cell phones in locomotive cabs was authorized and risk-based safety programs were mandated for all major railroads to prevent accidents.
The Amtrak/rail safety legislation also authorizes $1.5 billion over ten years (FY 2009-2018) for grants to the Washington Metropolitan Area Transit Authority (WMATA) for capital and preventative maintenance projects. Funds provided may only be used for the maintenance and upkeep of WMATA's existing infrastructure and are contingent on enactment of dedicated funding mechanisms in Maryland, Virginia, and DC and future appropriations.
For a more detailed summary of this legislation, click here. If you have questions or want more information, please contact Paul Dean at (202) 496-4887 or pdean@apta.com.
Senate Passes Emergency Economic Stabilization Act
On October 1, the U.S. Senate passed the massive $700 billion economic rescue bill. House consideration is expected on Friday. While the legislation primarily focuses on the financial sector, the Senate added a number of new provisions that may impact public transportation. For example, a package of tax provisions includes a three month extension of the compressed national gas (CNG) fuel excise tax credit, from September 31, 2009 to December 31, 2009. APTA will provide a more detailed analysis of this legislation as soon as the final language is made available.
If you have questions or want more information, please contact Paul Dean at (202) 496-4887 or
pdean@apta.com.
Second Economic Stimulus Package Doubtful
Despite momentum in Congress earlier this week for the enactment of an economic stimulus package that would have included funding for transportation infrastructure, it appears the measure will not pass prior to adjournment. As previously reported, the House passed a stimulus package that provided $4.6 billion for capital and operating costs to expand capacity and offset increasing fuel prices. The Senate considered but eventually rejected a bill that would have provided $2 billion for similar purposes. However, the competing packages failed to gain the requisite support for final enactment, as legislators turned their focus to the economic bailout package.
If you have questions or want more information, please contact Homer Carlisle at (202) 496-4810 or hcarlisle@apta.com.