The Ferguson Group Blog

Got a Big Transportation Project? Here’s Your Chance to get it Noticed!

The Federal Highway Administration (FHWA) is reopening a nationwide survey that it will use to compile a list of surface transportation projects that qualify for the Projects of National and Regional Significance (PNRS) program, that is, those that would significantly improve highway system performance, generate national economic benefits, reduce long term congestion, and improve transportation safety. MAP-21, the 2012 transportation authorization bill, authorized $500 million for the PNRS program, although no funds have actually been appropriated, and requires DOT to submit a report to Congress that lists eligible projects and makes funding recommendations.

The PNRS survey was originally open in June, but because FHWA received so few submissions – only 27 states responded – it announced in the Federal Register today that it will reopen the survey until November 17^th. That’s 45 days to prepare your submission, including a project description, cost information and financial commitments, and how the project meets the national and regional significance criteria. FHWA has also relaxed the applicant eligibility requirements. In the first round, only state departments of transportation, tribal organizations, and transit agencies could submit a project; but for this round, the survey is open to cities, counties, metropolitan planning organizations (MPOs), seaport authorities, railroads, coalitions of local governments, and economic development organizations that have responsibility for planning or implementing infrastructure projects.

Already Submitted a Project?

If your transportation project was already submitted to the Federal Highway Administration during the first survey period, then you won’t need to submit it again. However, this is a chance to review your application and make any changes or submit any additional supporting documentation you might want to.

Interested?

If you’ve got a big transportation project that you’d like to get noticed, then check out the announcement and the survey.  And we do mean big by the way: eligible PNRS projects must be at least 50% of their state’s total highway assistance funds apportionment, viewable here, or $500 million, whichever is smaller. FHWA is also holding an informational webinar on October 6th. 

FEMA Expands Funding Eligibility for Flood Risk Reduction Projects

Following a review of relevant legislation, regulations and policy, FEMA has revised the Hazard Mitigation Assistance (HMA) Program’s guidance concerning the types of physical flood risk reduction projects it will consider funding. FEMA’s HMA Programs include Mitigation Grant Program (HMGP), the Pre-Disaster Mitigation Program (PDM) and the Flood Mitigation Assistance (FMA) program. The programs aim to support mitigation against flooding and other natural disasters.

Prior to review, the 2013 HMA Unified Guidance stated that only “minor localized flood reduction projects” were eligible for funding. This definition did not include “major flood control projects” related to the construction, demolition, or repair of dams, dikes, levees, floodwalls, seawalls, groins, jetties, breakwaters and erosion projects related to beach nourishment or re-nourishment.

 

Publishing new policy on June 18, 2014, “Eligibility of Flood Risk Reduction Measures under the Hazard Mitigation Assistance (HMA) Programs,” FEMA has revised the guidance allowing for the construction, demolition, or mitigation of dams, dikes, levees, floodwalls, seawalls, groins, jetties, breakwaters and erosion projects related to beach nourishment or re-nourishment under the HMGP and PDM programs. 

How does the expansion of eligible projects under HMA impact your local flood mitigation efforts?

Obama Administration Releases Grow America Act Transportation Bill

Yesterday, the Obama Administration released the Grow America Act proposal to finance and fund transportation infrastructure projects. The administration’s proposal is the first one out of the gate - both Houses of Congress are working on legislation that is expected to be released in the coming weeks. The collective goal (we hope) is to have a signed transportation bill before MAP-1 expires at the end of September. 

The Grow America Act proposal includes several new elements that may make it through the legislative sausage making process.  The proposal codifies the TIGER program and eliminates project minimums.  It includes a new FAST program for transportation projects (based on Race to the Top) with a $50 million pay-out.  It also includes a new Rapid Growth Area Transit competitive grant program and allows use of TIFIA fees for small projects.

If you are interested in reading the full text of the bill, click here for a link to the proposed legislation and here for a section-by-section review from the Administration.

New Round of TIGER Grants Announced

Exciting News from the US Department of Transportation!  On Feb. 26, the Department released the Notice of Funding Availability (NOFA) for the next round of the Transportation Investment Generating Economic Recovery (TIGER) Grant Program, which is also known as “TIGER VI.” A total of $600 million is available for grants in this round of TIGER, which is a $50 million increase over the TIGER V round. The NOFA is very similar to the last round, except that there is a set-aside this time of up to $35 million for planning grants. These grants should be especially attractive for smaller communities and projects that are not far enough along in the environmental process to qualify for a TIGER construction grant. Another important change is the far longer length of time this round in which TIGER awardees will have to obligate their federal money (the shortness of which in the last round was something the Department wished to rectify).

The deadline for TIGER VI applications is April 28, 2014, at 5:00 p.m. EDT and you can download the NOFA on the TIGER website at: www.dot.gov/TIGER.

Investing in Rural Economic Development

On January 23, the USDA Rural Utilities Services (RUS) announced the list of Rural Electric Corporations that have been awarded Rural Economic Development Loans and Grants (REDLG).  RUS provides loans and grants to rural businesses and electric coops to help create jobs and spur economic development. Utilities can apply for loans up to $2,000,000 or grants up to $300,000. These investments help businesses expand and rural communities grow their economies. The full list of award recipients can be found here. 

TFG congratulates all of the recipients!

Wednesday News Roundup

Every Wednesday, The Ferguson Group blog will be posting a series of articles published over the previous week that discuss topics of interest to local governments.  Learn about emerging trends and keep up on key policy issues by browsing the TFG Wednesday News Roundup!

Social Media Transforms the Way Chicago Fights Gang Violence
In a new, innovative strategy to combat gang-related violence, the Chicago Police
Department (CPD) is using social media to figure out what persons are most
likely to be involved in a homicide and where they are located.  Similar
to the idea of tracking hotspots to understand where and when crime happens,
the “network analysis” of social media activity is helping the CPD rank the
most active gang members in Chicago to see which members are the most likely to
kill or be killed.  Read More…

If Shutdown Persists, Would States Be Reimbursed for Filling Federal Holes?
For state governments, the shutdown forces them to consider whether they can afford
to fill potential gaps in their federally funded programs, and if they can,
whether or not the feds will pay them back.  Despite clear intentions from
the Obama Administration that they believe states should be reimbursed, the
Administration is reminding states and state budget officers that reimbursement
will be determined by appropriations.  Read More…

U.S.Farm Law Expires Again with Lawmakers Split on New Bill
A shutdown of the federal government wasn’t the only Congressional failure
experienced on October 1.  The U.S. farm subsidy law expired for the
second time, and with (surprise) no compromise in sight over the fate of food
assistance programs, the future is unclear for the new farm bill.  Read More…

Analytics Will Help Cities Manage Water Supplies, Repair Aging Infrastructure
The Smarter Cities software by IBM now has new features that will allow
municipalities to apply the predictive analytics capabilities of the software
to event management, city permitting, infrastructure planning, water efficiency
and more.  In particular, the water efficiency analytics capabilities will
help municipalities predict pipe failures, let them know when maintenance is
needed, and will even calculate optimum pressures needed in distribution
networks to help conserve water.  Read More…   

Florida Sues Georgia Over Water Use
On Tuesday, Florida filed a long-awaited lawsuit against Georgia alleging Georgia
is consuming too much water from a shared river basin that supplies water to
parts of Georgia, Mississippi and Florida.  Florida is looking to ensure a
steadier supply of water to the state, which has experienced detrimental
impacts to its bread-winning oyster industry.  Read More…

Time to Feed the Tigers

Congressman Rick Larsen (D-WA) recently introduced a new twist on the Transportation Investment Generating Economic Recovery (TIGER) grant program. Ever since Congress established TIGER as part of the American Recovery and Reinvestment Act, about three-quarters of funds have gone to large cities and statewide projects and the remaining quarter has been set aside for rural cities. As a result, small and medium-sized cities, with small and medium-sized projects really haven’t had a seat at the TIGER table. Congressman Larsen’s new bill, “The Transportation Investment Generating Economic Recovery for Cities Underfunded Because Of Size” (TIGER CUBS) Act of 2013 proposes to change all that by setting aside 20 percent of special transportation infrastructure funding specifically for smaller cities. Under the bill, small and medium-sized cities will get a dedicated piece of the pie. The bill would ensure that communities with a population between 10,000 and 50,000 can compete for TIGER CUBS grants for projects as small as $2 million.

While this bill is a great new vehicle for small and medium-sized cities to get smaller road, bridge and highway projects funded, it won’t go far without a lot of support. If you are interested in seeing the TIGER CUBS program feed a dedicated stream of federal dollars to small and medium sized cities, contact me to learn how your community can support this new legislation.

Will Waterfronts be Tomorrow’s Mainstreets?

Waterfronts and ports in particular, continue to gain attention in Washington, where they are viewed as increasingly integral to the economic development and sustainability of their surrounding communities. A new bill, “The Waterfront of Tomorrow Act,” was announced on July 30th by Congresswoman Nydia Velazquez (D-NY). While the bill’s focus is to help protect New York City from future floods, the bill will need the support of port cities across the nation and has been designed to have nationwide appeal.

If passed, the bill would incorporate ports and harbors into the National Freight Policy provisions included in MAP-21; it would establish a state and local grant program within the Economic Development Administration to establish environmentally sustainable waterfront areas; and it would allow the Environmental Protrection Agency and the U.S. Maritime Administration to jointly establish a “Green Port” designation, which would be accompanied by federal grant funding and technical assistance.

Re-framing waterfronts as tomorrow’s mainstreets is what this bill is all about. The Congresswoman is initially looking at seeking support from California and New Jersey members to build the momentum needed to gain nationwide support. If your community has a waterfront, this is a bill to watch.

Water Resources Development Act Headed to Committee, House Floor this Fall

When the House and Senate resume session in September, House Transportation and Infrastructure Committee Chairman Bill Shuster intends to bring up consideration of the Water Resources Development Act (WRDA), a bill that authorizes federal funding for Corps of Engineers-backed water infrastructure projects nationwide. House Floor action could come as early as October. The bill will also address a number of policy issues, setting up an expedited planning process designed to get projects into construction sooner and at reduced costs.

The House bill is unlikely, however, to include a new Water Infrastructure Finance and Innovation Act (WIFIA) authority. The Senate-passed WRDA bill includes WIFIA, which would offer low-cost, long-term financing for water infrastructure projects both through the Corps of Engineers and the Environmental Protection Agency (EPA). Under the Senate WRDA bill, WIFIA-backed loans would not begin loan repayment until five years following substantial completion of a project, with a 35-year repayment period. As of August 8, 2013, the TIFIA 35-year loan rate, which the WIFIA program is likely to replicate, was 3.68 percent.

If WIFIA were in place today, would your community pursue a WIFIA loan? Would the WIFIA loan rate allow you to move forward on a project more quickly than if the assistance was not in place? How much could your community save if WIFIA were in place today?

If WIFIA would help your community, tell your congressional delegation. Request a meeting while Members of Congress are back home and tell them how important WIFIA would be to your community.

House and Senate passage of a WIFIA program is far from assured.

Infrastructure Bank Bills Compete

Will this be the year that Congress moves an infrastructure bank bill forward? At a time when available federal dollars are not meeting the needs of the nation’s infrastructure projects, the concept of a federal infrastructure bank may finally be gaining much-needed momentum. Last week two separate Democratic House members promoted competing infrastructure bills.  Congresswoman Rosa DeLauro (D-Conn.) reintroduced her infrastructure bank bill, the “National Infrastructure Development Bank Act,” – a proposal she has steadfastly reintroduced annually for the past decade!  And, freshman congressman John Delaney (D-Md.) circulated a letter in support of his infrastructure bank bill, “The Partnership to Build America” (H.R. 2084).  Delaney’s bill proposes to leverage private dollars to fund large infrastructure projects. Unlike most federal infrastructure bank proposals, however, DeLaney’s bill is not initially capitalized with appropriated funds.  Instead, Delaney’s bill proposes to use tax earnings repatriated from overseas, which is a unique and controversial approach.  DeLauro’s bill proposes to capitalize the bank with $25 billion in appropriations, and then projects the bank to become self-sustaining through revenues from financed projects.  Despite support from the President and Senate Democrats, the infrastructure bank idea has yet to catch fire.  With two competing bills this year, expectations are heightened that one could gain enough momentum to finally take off.