Congress and President Reach Tentative Agreement on FY 2008 Spending Levels –
Congress to Consider Omnibus Appropriations Act This Week-
$9.4 Billion Proposed for Transit - $400 Million for Transit Security
December 18, 2007
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BREAKING NEWS
Late Sunday night, Congressional leaders released the text of the “Consolidated Appropriations Act, 2008” - the long expected Omnibus package that provides appropriations for non-defense federal programs for the 2008 fiscal year, that began on October 1. The legislation is the result of a compromise reached last week between Congress and the White House on overall spending limits for the year. The Omnibus bill provides $517 billion for federal programs in Fiscal Year (FY) 2008, including $9.387 billion in new budget authority for transit. The House of Representatives approved the bill late last night. The Senate will take up the bill today, where it is expected to add an additional amendment to provide funding for the Iraq war effort. The amended bill will then have to be sent back to the House for final approval, and then sent to the President for his signature. Final approval of the legislation is expected by the end of this week.
The transit title of the Omnibus bill closely resembles the Conference Report for the FY 2008 Transportation, and HUD (THUD) Appropriations bill, approved by the Appropriations Committee and passed by the House last month, with some modifications. APTA has done this preliminary analysis based on available information. The $9.387 billion in new budget authority for transit is a $412 million increase over last year’s amount. While this is 4.6 percent above last year’s level, most programs, including formula grants, are increased by approximately 7 percent. During final negotiations on the budget, the Bus and Bus Facilities Programs was reduced by $44.8 million compared to 2007. The legislation provides $1.569 billion for the New Starts Program, a $3.1 million increase from last year, but $131 million below the authorized level.
The legislation largely preserves the New Starts and Bus and Bus Facilities Program earmarks that were provided in the THUD Conference Report, subject to a 2 percent “across-the-board cut.” The legislation also includes a provision, similar to language that was in the THUD Conference Report, limiting the Federal Transit Administration (FTA) from spending more than 10 percent of unallocated Bus and Bus Facilities Program funds on any DOT congestion reduction initiative. The language was amended to extend the limitation to any new congestion related programs created by Department of Transportation (DOT). The bill also includes language from the THUD Conference Report that prevents the FTA from implementing the final rule on the New Starts/Small Starts Program.
Within the Homeland Security title of the Omnibus legislation, $400 million is provided for public transportation and rail security assistance. This was the same funding level as approved by both the House and the Senate earlier this summer. This represents a $125 million increase over last year’s funding level for transit and rail security.
A more detailed analysis of the legislation will provided upon final approval, which is expected later this week. For more information on the FY 2008 Consolidated Appropriations Act, please contact Paul Dean of APTA's Government Affairs Department at (202) 496-4887 or email pdean@apta.com.
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