The President’s Fiscal Year 2012 Budget Request

THE PRESIDENT’S FISCAL YEAR 2012 BUDGET REQUESTFederal Transit Administration

The Big Picture

The budget request aims to invest in tomorrow to create jobs today.

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Department of Transportation

The President’s budget requests more than $120 billion for the Department of Transportation.

The request includes a $556 billion six-year surface transportation reauthorization proposal to improve highways, transit, and rail infrastructure. 3

Federal Transit Administration

The FY 2012 budget requests $22.4 billion to improve the condition of transit assets, and increase transit safety.

The total request is an increase of $10 billion and 110 additional full-time employees over FY 2010.

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The Up-Front Investment

The budget requests a $50 billion economic boost. That includes $11.5 billion for transit related activities. This boost will provide funds for repairing existing assets, new transit projects, and expanding the capacity of existing systems.

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FTA: Overview of Funding Breakdown

Federal Transit Administration(Dollars in Millions)

FY 2010 Actual

FY 2011 Continuing Resolution

FY 2012 Request

Accounts

Bus and Rail State of Good Repair (TF)3/ - - $10,707

Transit Formula Program (Formerly Formula and Bus Grants) (TF)

1/2/ $9,754 $8,343 $7,692

Transit Expansion and Livable Communities Program (includes Capital Investment Grants) (TF) 4/ - - $3,469

Research and Technology Deployment Program (TF) - - $166Washington Metropolitan Area Transit Authority (GF) $150 $150 $150Operations and Safety (TF) - - $166Capital Investment Grants (GF) $1,998 $1,998 -Research and University Research Centers (GF) $66 $66 -Administrative Expenses (GF) $99 $99 -Energy Efficiency and Greenhouse Gas Reduction (GF) $75 $75 -Formula Grants – FHWA Transfer (TF) $1 - -

Total5/ $12,143 $10,731 $22,351

FTE 529 529 6391/ FY 2012 Includes $3 billion in Up-Front $50 Billion Economic Boost.2/ FY 2012 Includes a net $1.4 billion flex transfer from the Federal Highway Administration.3/ FY 2012 Includes $7.5 billion in Up-Front $50 Billion Economic Boost.

4/ FY 2012 Includes $1 billion in Up-Front $50 Billion Economic Boost.5/ Numbers may not add due to rounding.

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Bus and Rail State of Good Repair (SGR)

$10.7 billion is requested to help transit agencies address the issue of aging equipment and vehicles. Nationwide, there is an estimated $78 billion backlog of transit assets that are either in marginal or poor condition.

6%

24%

41%

20%

9%

All Transit AssetsExcellent

GoodAdequateMarginalPoor

6%

25%

43%

17%

9%

RailExcellentGoodAdequateMarginalPoor

4%

22%

33%

32%

9%

BusExcellentGoodAdequateMarginalPoor

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Bus and Rail State of Good Repair (SGR)

Through the Bus and Rail SGR Program, FTA will provide funds to transit agencies to enable them to improve the conditions of their existing capital assets. Transit agencies with the greatest transit asset needs will be targeted to bring equipment up to a state of good repair.

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Transit Formula Programs

$7.7 billion is requested to help support both rural and urban areas with transit capital investments and, for certain small urban and rural systems, operating assistance.

For large urban systems, FTA also proposes making operating costs eligible – on a temporary and targeted basis – to help prevent cuts to critical services during hard economic times.

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Formula Grants are funds that can be used for all transit capital purposes including the purchase of buses and railcars, facility repair and construction, maintenance and, in some cases, planning and transportation options, promote economically vibrant communities and helps communities meet the requirements of the Americans with Disabilities Act (ADA) and the Clean Air Act (CAA).

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Program FundingUrbanized Area Formula $6,492 million

Non-Urbanized Area Formula

$766 million

Consolidated Specialized Transportation Grant Program

$405 million

National Transit Database $5 million

Emergency Relief Program $25 million

$7.7 billion is requested to fund three major Transit Formula Programs:

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Funds are apportioned to areas with populations over 50,000. Funds can be used for a number of purposes including maintenance or the purchase of new vehicles.

$6,492 million - Urbanized Area Formula

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FTA proposes that recipients in urbanized areas with over 200,000 in population be able to use a portion of their formula funds (Sec. 5307) for targeted and temporary operating assistance during periods of economic distress.

Temporary and Targeted Operating Assistance

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Funds will go to each State based on a State’s nonurban areas with populations under 50,000. Funds can be used to help rural transit providers and improve intercity service.

$766 million – Non-Urbanized Area Formula

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$405 million – Consolidated Specialized Transportation Grant Programs


Funds for this new program combine three current programs (Elderly Individuals and Individuals with Disabilities, the New Freedom, and the Job Access and Reverse Commute Programs). The new program will continue the goals of the existing ones and maintains the requirement that all projects be derived from a coordinated public transit human-services transportation plan.

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$5 million – National Transit Database


Funds will be used for the operation and maintenance of the NTD, a database of transit statistics that FTA is legally required to maintain.

Funds will go to this new program to aid transit agencies in restoring transportation services following a disaster.

$25 million – Emergency Relief Program

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Transit Expansion and Livable Communities

$3.5 billion is requested to expand transit by investing in new projects.Program Funding

Capital Investment Grants

$3.2 billion

Planning Programs

$140 million

Livable Communities Demonstration Grants

$50 million

Transit in the Parks

$28 million

Tribal Transit $15 million17

Funds for the Federal Government’s primary source for capital investment in new (or expansions to) transit infrastructure that is planned, constructed and operated by State and local government entities. These projects include heavy rail, light rail, commuter rail, bus rapid transit and streetcar systems that are implemented in communities across the country.


$3,236 million – Capital Investment Grants

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The President’s FY 2012 Budget includes funding for 28 capital investment grant projects.


Capital Investment Grants Program

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“Other” Capital Investment Grant Funding Recommendation Category

FTA is reserving $400 million for “other” projects that are in earlier stages of project development but may be eligible for an FFGA ($300m) or PCGA ($100m) prior to the end of FY 2012.

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Funds are provided for transit service on public lands including national parks, national forests, and national wildlife refuges.


The program provides funds for transit services on and around Tribal Reservations.

$28 million – Transit in the Parks

$15 million – Tribal Transit Grants

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Funds are provided for a new program to demonstrate different approaches to making communities more livable and sustainable.


$50 million – Livability Demonstration Grants

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Funds are provided for formula grants to metropolitan planning organizations and State and local governments for analytical, environmental, and air quality conformity planning work.


$140 million – Planning Programs

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Research and Technology Deployment

$166 million is requested for a new program that will bring together applied research, demonstration projects, technical assistance and workforce development. The goal of bringing research and demonstration projects together is to ensure that transit agencies are prepared for future challenges facing the transit industry.

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Included in the $166 million Research and Technology Deployment program are the following: Program Fundin

gGreenhouse Gas and Energy Reduction Deployment Demonstration Program

$75 million

Clean Fuels and Environmental Research

$14.7 million

National Research Program $20 million

Transit Cooperative Research

$9.7 million

National Public Transportation Institutes

$5 million

University Transportation Centers

$8 million

Technical Assistance Activities

$34 million

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To complement FTA programs with capital grants to transit agencies to implement technologies that reduce greenhouse gas emissions, improve energy efficiency, reduce dependency on fossil fuels and increase the use of environmentally sustainable practices and materials.

Research and Technology Deployment$75 million – Greenhouse Gas and Energy Reduction Deployment and Demonstration Program

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To assist public transportation agencies with efforts that focus on reducing greenhouse gas emissions through clean energy sources and energy efficiency.


$14.7 million – Clean Fuels and Environmental Research

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For discretionary research to increase ridership, improve operating efficiencies, understand the service needs of rural and targeted populations, improve planning and service projections, improve safety, and provide research leadership to address other major issues facing the transit industry.


$20 million – National Research Program

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To support National Academy of Science efforts to conduct investigative research on subjects related to public transportation.


$9.7 million – Transit Cooperative Research

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Support for training programs for the transit industry on a variety of topics including planning, operations, safety, and management.


Support for transit research at university transportation centers through reimbursable agreements with the Research and Innovative Technology Administration (RITA).

$5 million – National Public Transportation Institutes

$8 million – University Transportation Centers

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Support for FTA to help grantees to administer expanded capital programs as well as research grants, contracts and cooperative agreements and to improve nationwide transit customer service through capacity building and deployment of best practices.


$34 million – Technical Assistance Activities

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Washington Metropolitan Area Transit Authority

$150 million is requested to help the Washington Metropolitan Area Transit Authority support SGR and for investments to improve safety and reliability.

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Operations and Safety

$166 million is requested to fund FTA’s administrative operations and new rail transit safety oversight activities.

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Operations and Safety

Safety will always be DOT’s top priority.FTA requests $45 million for safety activities -- $8.6 million for a new Transit Safety Office and $36.5 million to fund rail safety oversight field activities in conjunction with States.

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Further InformationFor further information on the FY2012 budget request please refer to the following documents:DOT FY2012 Budget Highlightshttp://www.dot.gov/budget/2012/fy2012budgethighlights.pdf

Budget Estimates FY 2012, FTAhttp://www.dot.gov/budget/2012/budgetestimates/fta.pdf

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Documents

The President’s Fiscal Year 2012 Budget Request