Federal Transit Administration American Recovery &

Reinvestment Act UpdateFTA WebinarMarch2010

22

This Presentation Will Cover:

• ARRA Transit Programs & Timelines• ARRA Accomplishments• ARRA Reporting Requirements• ARRA Guidance• ARRA Project Management• ARRA Oversight• ARRA Fraud Awareness (OIG)

3

The Recovery Act: Creating Jobs and Improving our Transportation Infrastructure

“We are remaking the American landscape with the largest new investment in our nation's infrastructure since Eisenhower built an Interstate Highway System in the 1950s. Because of this investment, nearly 400,000 men and women will go to work rebuilding our crumbling roads and bridges…upgrading mass transit, building high-speed rail lines that will improve travel and commerce throughout our nation.” –President Barack Obama, February 17, 2009.

Transit Programs Included in ARRA

• Urban Formula - $5.97 B

• Non-Urban Formula - $750 M

• FGM Formula - $742 M

• New Starts/Small Starts - $742 M

• Tribal Grants - $17 M

• TIGGER (Transit Investments for Greenhouse Gas and Energy Reduction) - $100 M

• Discretionary Multimodal Program - $1.49 B (DOT-Wide)

4

ARRA Timelines: Formula Grants

5

March 5, 2010

• Deadline to obligate 100% of formula funds

Sept 30, 2010

• Unobligated funds revert to Treasury

Sept 30, 2015

• Un-expended funds will be de-obligated

ARRA Timelines: Discretionary Grants

6

TIGGER

•Obligation Deadline:

•March 31, 2010

TRIBAL

•Obligation Deadline:

•June 30, 2010

NEW STARTS

•Disbursement Deadline:

•May 11, 2010

7

Accomplishments: 2009

89% of ARRA funds out the door!

September 1: 50% of Formula Funds Obligated

September 21: DOT announced 43 TIGGER grant recipients for $100M

December 18: DOT announced 39 tribal transit grant recipients for $17M

Accomplishments: 2010

• February 17: DOT announced 15 TIGER transit grants for FTA

• States with TIGER projects:

8

Massachusetts DC/MD/VA Illinois Minnesota Missouri Iowa Arizona

Nevada Oregon New Orleans Texas New York Michigan Ohio

Questions? Email TIGERGrants@dot.gov

Accomplishments: 2010 • March 5: 100% formula funds obligated

– Nearly 900 formula grants for $7.5 billion

“Investing in these transit upgrades not only puts constructionworkers on the job at project sites, but supports Americanmanufacturing jobs all the way down the supply chain. At a time whenjobs are priority number one, that means twice the employment bangfor the Recovery Act buck.” – Vice President Biden, March 5, 2010

9

We Did It!

ARRA Obligations

10

ARRA Funds Expended

11

Total Unexpended74%

Total Expended26%

Total UnexpendedTotal Expended

% Expended

ARRA Obligations By Project Category

12

Category86 - Non-

Urban Formula %Vehicle $380,974,030 51.03%Rail $0 0.00%Operating $10,190,200 1.36%Preventive Maintenance $19,398,317 2.60%Transit Infrastructure Construction $304,673,260 40.81%Other Capital Expenses $31,388,418 4.20%

Sub Total $746,624,225 100.00%

Category96 - Urban Formula %

Vehicle $1,683,607,225 27.87%Rail $228,484,715 3.78%Operating $107,423,907 1.78%Preventive Maintenance $681,654,389 11.29%Transit Infrastructure Construction $3,296,520,202 54.58%Other Capital Expenses $42,191,044 0.70%

Sub Total $6,039,881,482 100.00%

51%

0%1%3%

41%

4%

86 - Non-Urban Formula

Vehicle

Rail

Operating

Preventive Maintenance

Transit Infrastructure Construction

28%

4%

2%

11%

54%

1%

96 - Urban FormulaVehicle

Rail

Operating

Preventive Maintenance

Transit Infrastructure Construction

Other Capital Expenses

ARRA Reporting Requirements• FTA Reports:

– Federal Financial Report (FFR)– Milestone Progress Report (MPR)– Due 30 days after the end of each calendar quarter

for ALL grantees.– Federal Gov’t recently changed from FSR to FFR

requirement (SF 425). FTA will update TEAM for NEXT quarter with complete FFR form. Training will be held in March.

• DOT Report:– Section 1201(c) Report: Due no later than 90 days, 180

days, 1 yr, 2 yrs, and 3 yrs after 2/17/2009

• OMB Report:– Section 1512 Report: Due 10 days after the end of

each quarter– NEXT REPORT DUE: APRIL 10, 2010

13

Recipient Reporting

• Last Quarter:– Section 1512: 100% of reports

submitted.– Section 1201c: 100% of reports

submitted.

Over 10,000 jobs

created/sustained14

Recipient Reporting Example: Grantee with highest job numbers

15

recipient_name State

Number of jobs reported in second quarter of 2009 award_number Program award_amount job_creation narrative

ORANGE COUNTY TRANSPORTATION AUTHORITY CA 1167.35 CA-96-X015

Transit Capital Assistance Program $76,802,235

This grant funded preventive maintenance on our vehicle fleet, conducted capital cost of contracting for our ACCESS services, fixed route operating assistance and installed joint sealant at the Irvine/Sand Canyon Bus Maintenance Bus Base. As a result of these funds, OCTA was able to sustain employment for 730.73 coach operators, 190.77 mechanics, 83.57 service workers, 60.75 support staff, 55.47 management staff, 10.62 reservationists, 17.18 electricians, 9.47 dispatchers, 3.44 trainers, 3.01 schedulers, 2.00 Paint and Body workers. The OCTA's contractor performing the joint sealant project was able to continue to employ 0.34 Repaint Painters.

ARRA Guidance: What’s New?

• Maintenance of Effort

– On February 9, 2010, the Secretary sent letter to all Governors reminding them of their MOE obligations

– Letter emphasized that MOE is by program—not aggregated

– For transit, operating assistance from State to transit agency should not be included in MOE calculation; only include capital assistance

– States should recertify by March 11th if needed.

16

ARRA Project Management

• All Federal requirements apply to ARRA projects

• Must have the technical capacity to implement the ARRA project

• FTA will review ECHO documentation and procurements for all ARRA projects

• Ensure DBE, Title VI Environmental Justice, EEO and DBE requirements are met

• Notify FTA of any potential claims or change orders over $100,000.

17

FTA ARRA Oversight

• Two Primary Goals:

• Projects Delivered on Time and on Budget

• Prevent Waste, Fraud and Abuse

• Project Oversight using PMOC Resources

– Major Capital Construction Projects

• New Starts

• Other Construction Projects over $25 million

• TIGER Discretionary grants

– Other Capital Projects Based on Risk Assessment

• Bus procurements over $5 million

• Construction projects between $5 million and $25 million

18

FTA ARRA Oversight

• Resources Available to Grantees

– NTI Courses• Project Management• Construction Management

– FTA Webinars

– FTA Technical Assistance

• Additional Programmatic Reviews

– Procurement, Financial, Grants Management, etc.

19

20

Office of Inspector GeneralJohn W. Long

National Director, ARRA Investigations

404-562-3850

email: John.W.Long @oig.dot.gov

ARRA Fraud Awareness

March 2010

- 167 Indictments

- 150 Convictions

- More than $540 Million in Fines,

Recoveries & Restitutions

2121

Cambridge, MA (617) 494-2701

New York, NY (212) 337-1250

Washington, DC (202) 260-8580

Atlanta, GA (404) 562-3850

Chicago, IL (312) 353-0106

Ft. Worth, TX (817) 978-3236

San Francisco, CA (415) 744-3090

Investigations Regional Offices

DOT Office of Inspector General Strategic Investigative Plan

• Outreach &Training

• Proactive Investigative Oversight of ARRA funded projects

Criminal and Civil Prosecutions

22

Outreach and Training

Fraud Awareness training for our transportation partners

We have provided training to more than 13,000

Hotline – 24 hours for reporting ARRA fraud, waste and abuse

23

Proactive Investigative Activities

• Previously we have been a reactive agency

• For ARRA funded projects we are much more proactive

• Investigators are contacting project managers, inspectors, procurement managers, audit and claims personnel

24

Criminal and Civil Prosecutions

• More than 30 active criminal investigations involving ARRA funded projects

• Types of Crimes:• False Statements, False Claims, Bribery,

Bid-rigging, DBE Fraud, Prevailing Wage Fraud, Product Substitution, Conflict of Interest

25

26

www.oig.dot.gov

CONTACT INFORMATION• National OIG Hotline: 1- 800 - 424 - 9071

or (202) 366 -1461• OIG Hotline E-mail: hotline@oig.dot.gov• OIG Web Page: www.oig.dot.gov

27

FTA Contact Information:

FTA Public Website Contact Us Tool:http://www.fta.dot.gov/about/about_FTA_6903.html

FTA ARRA Website:http://www.fta.dot.gov/index_9440.html

28

29

Questions

or

Concerns?