Posts Tagged ‘Federal transportation funding’

Will Buses Replace Corridor Trains, Too?

March 17, 2019

The Rail Passengers Association said last week that the proposed Trump administration federal budget would not just eliminate long-distance trains it would also replace some corridor trains with subsidized bus service.

In a blog posting on the RPA website, the rail passenger advocacy group did not provide any details of the bus for train proposal, noting that the full budget will not be available until March 18 and many of the details are still unclear.

However, RPA said that federal transportation officials have signaled that they do not support using federal dollars for what they see as local responsibilities.

This includes the proposed new Hudson River rail tunnels. “Transit projects are local responsibilities, and elected officials from New York and New Jersey are the ones accountable for them,” said DOT Deputy Secretary Jeffrey Rosen.

The budget proposal released last week by the administration suggested that long-distance trains be replaced by buses.

At a House committee hearing last week Amtrak Senior Executive Vice President Stephen Gardner was asked about that and responded that the carrier is itself seeking to better understand the administration’s proposal.

However, Gardner told the committee that Amtrak wants to launch a series of new corridor services, noting that some of those corridors now exist within the confines of Amtrak’s long-distance network.

“There are a core set of long-distance routes which we think make sense in the future of the [national] network and for which federal support will be necessary,” he said.

“There are a number of routes which we do think have opportunity for expanded corridor service, and of course we today have, through the Section 209 of PRIIA, a strong partnership with states to support and fund corridor services.

“Many corridors exist today on long-distance routes, so there are opportunities to have corridors that today are served by long-distance trains served instead by corridor trains.”

One example of that would be Chicago-Twin Cities, which is part of the route of the Chicago-Seattle/Portland Empire Builder.

Gardner acknowledged that creating these corridors will require a “strong partnership” among the states, the federal government and Amtrak.

Saying it would be a big transition to start adding those services, Gardner said he thought it would be “appropriate for Congress through reauthorization or your committee to look at the right partnership between the federal government and the states as part of the modernization of the network. There are clearly interests that are local, intrastate and national that would be served by such an improvement.”

Amtrak plans to seek the full $1.8 billion that it has been authorized under the FAST Act.

“But we’ll include a long list of things that we think are worthy of additional funding so we see really no shortage of things that require continued federal investment and partnership with our states,” Gardner said.

The budget proposal for fiscal year 2020 that the administration released last week proposed cutting $455.6 million from Amtrak and intercity rail programs.

It proposed allocating “$550 million in transitional grants for states to help pay for a restructuring of the Amtrak network.

The budget proposal includes $936 million in direct grants to Amtrak for the Northeast Corridor and existing State-supported lines.

Trump Budget Would Slash Transportation Funding

March 14, 2019

The Trump administration is seeking a cut of $5.1 billion to the budget of the U.S. Department of Transportation that would also include the elimination Amtrak’s long-distance trains.

The proposed fiscal year 2020 budget would cut DOT funding by 21.5 percent and make major cuts to Amtrak funding.

The passenger carrier would receive $1.49 billion, which is a 22 percent reduction from its fiscal year appropriation of $1.9 billion.

Northeast Corridor funding would be slashed from $650 million to $325.5 million and no funding is recommended for the Gateway Tunnel project in New York and New Jersey.

The budget proposes $550 million in “transitional funding” to help states pay for Amtrak corridor routes, including those not now in operation.

The budget envisions Amtrak contracting with bus operators to provide transportation to rural areas served by long-distance trains.

The budget contended that Amtrak inadequately serves rural areas while not serving many growing metropolitan areas.

The administration cited low ridership and large operating losses of long-distance routes as the driving force for restructuring the national intercity passenger rail system.

“The administration believes that restructuring the Amtrak system can result in better service (at a lower cost) by focusing trains on shorter distance (less than 750 miles) routes, while providing robust intercity bus service to currently underserved rural areas via a partnership between Amtrak and bus operators,” the budget states.

Much of the thrust of the budget is to transfer funding of transportation from the federal government to state governments.

“The 2020 Budget  . . .  recognizes that the federal government is not — and should not be — the primary funder of the nation’s transportation systems,” the budget document said.

The American Public Transportation Association said the budget would fund public transportation at $12.4 billion, a cut of $998 million from the FY2019 enacted level of $13.4 billion.

Most of that decrease comes from cuts in the Capital Investment Grants program, a discretionary and competitive federal grant program that funds projects for light, heavy and commuter rail, as well as streetcars and bus rapid transit services.

The administration proposes spending $1.5 billion for CIG programs, a cut of $1 billion from current funding levels.

The CIG program funding recommendation would make $500 million available for new CIG projects.

However, the budget would fully funds Fixing America’s Surface Transportation Act programs authorized from the Highway Trust Fund.

It also would double funding for INFRA grants to $2 billion. These can be used for ports, intermodal, or rail projects including grade crossing separations, in addition to highway projects.

The Better Utilizing Investments to Leverage Development program would receive $1 billion, a $100 million increase.

The budget contains $200 billion for “other infrastructure projects,” but those are described as “visionary projects” such as 5G cellular communications and artificial intelligence.

Amtrak FY2019 AppropriationTurns Out Flat

February 15, 2019

Amtrak’s federal funding for fiscal year 2019 will be flat under the budget bill adopted on Thursday by Congress.

The legislation allots $1.9 billion to the passenger carrier, the same amount that it received in fiscal year 2018.

The bill contains $670 million for rail infrastructure improvements and $2.9 billion for the Federal Railroad Administration budget.

The FRA appropriation is $218 million less than what the agency received in FY2018 but $1.9 billion above the Trump administration’s budget request.

Likewise, the Federal Transit Administration saw a cut of $67 million from its FY2018 appropriation but at $13.4 billion it received $2.3 billion more than what the Trump administration proposed.

The FY2019 budget bill allocated $700 million in transit infrastructure grants and $2.6 billion for capital investment grants.

BUILD funding grants received $900 million, a cut of $600 million from FY2018.

The Federal Highway Administration saw a $1.8 billion increase over its FY2018 appropriation.

Senate OKs Funding for Passenger Rail, Seeks to Keep S.W. Chief Intact

August 3, 2018

The U.S. Senate has approved on a 92-6 vote $16.1 billion for billion for public transit and intercity passenger rail while also seeking to preserve Amtrak’s national network.

The legislation provides $2.5 billion for intercity passenger rail grants, which are $1.3 billion more than authorized by the Fixing America’s Surface Transportation Act for Fiscal Year 2019.

The funding is contained within the Transportation, Housing and Urban Development, and Related Agencies Appropriations Act of 2019.

The bill also funds the Federal Transit Administration’s Capital Investment Grants program at $2.5 billion, marking a $92 million decrease from FY18, according to a statement issued by nonprofit advocacy group Transportation for America.

The legislation allocates $1 billion for the Better Utilizing Investments to Leverage Development grants program.

The bill also specifically directs the U.S. Department of Transportation to administer the program as it was under 2016 in response to attempted changes that would have added “greater financial and administrative burdens on local communities.”

As for Amtrak’s national network, the Senate approved an amendment by senators Jerry Moran (R-Kansas) and Tom Udall (D-New Mexico) to provide $50 million to maintain the Chicago-Los Angeles Southwest Chief.

The amendment would provide the resources needed for maintenance and safety improvements along the route as well as “effectively reverse” Amtrak’s plans decision to substitute buses for rail service between Albuquerque and western Kansas.

It is designed to compel Amtrak to fulfill its promise of providing matching funds for the grant won by Colfax County, New Mexico, to rebuild the route.

FY2018 Budget Gives Amtrak Funding a Boost

March 26, 2018

A federal budget bill approved by Congress last week contained an increase in funding for Amtrak, although that funding boost is expected to be used to help pay for the Gateway project in New York-New Jersey.

However, Amtrak’s long-distance trains would also receive an upward bump in funding.

News reports indicate that Amtrak will receive a minimum of $388 for the Gateway project, which involves replacement of tunnels leading into New York City beneath the Hudson River.

The $1.3 trillion Consolidated Appropriations Act of 2018 allocates more money for passenger rail projects than Congress has approved since the 2008 economic stimulus spending programs ended.

The budget directs $650 million to the Northeast Corridor while Amtrak’s national network will receive $1.292 billion. Those are both increases from 2017 funding of $328 million for the NEC in 2017 and $1.1 billion for the national network. Amtrak’s total appropriation will be $1.942 billion, up from $1.428 billion.

Other transportation programs also fared well in the budget bill.

The Transportation Investment Generating Economic Recovery program was given a $1 billion boost over 2017 levels to $1.5 billion available. At least 30 percent of these grants will go to rural communities.

Federal investments in rail infrastructure and safety programs was funded at $3.1 billion.

Also included is funding for the Federal-State Partnership for State of Good Repair grants at $250 million to address critical rail investments nationwide and on the NEC.

Rail safety and research programs received $287 million to fund inspectors and training, plus maintenance and safety investments to the physical rail infrastructure.

Consolidated Rail Infrastructure and Safety Improvements grants were given $593 million to fund capital and safety improvements, planning, environmental work and research. There is also $250 million included for grants available to rail operators for the installation of positive train control.

The Railroad Rehabilitation and Improvement Financing loan program received a $25 million allocation for the first time and $350,000 has been set aside to help short line and regional railroads participate in the program.

The Federal Transit Administration received $13.5 billion, which includes $9.7 billion “to help local communities build, maintain, and ensure the safety of their mass transit systems.”

Within the $9.7 billion is $2.6 billion for Capital Investment Grants transit projects. “New Starts” projects are funded at $1.5 billion, Core Capacity projects at $716 million and Small Starts projects at $400 million.

The Trump administration and President Donald Trump in particular have opposed federal funding of the Gateway project, saying that the states of New York and New Jersey needed to spend more of their own money for most of the project.

The project involves building a new Tunnel under the Hudson River and replacing the century-old Portal Bridge on the NEC.

There has been speculation that Trump opposed the Gateway project as retribution to New York and New Jersey Congressmen and Senators who opposed a tax cut bill that he favored and which Congress passed last December.

At one point Trump had threatened to veto any bill containing federal funding for Gateway.

The 2018 budget will circumvent the Trump administration’s opposition to federal funding of the Gateway project.

Amtrak is likely to contribute a minimum of $388 million to Gateway though its Northeast Corridor Account, while New York and New Jersey will receive $153 million from the Federal Transit Administration’s High-Density States and State of Good Repair grant programs.

Gateway is projected to receive 60 percent of the original federal dollars intended for it.

The budget bill ensured that the U.S. Department of Transportation will have limited ability to withhold the $650 million earmarked for the Northeast Corridor Account, which also funds projects throughout the region.

Trump Budget Also Targets Air Service, Fees

February 15, 2018

Amtrak is not the only form of transportation with a target on its back in the Trump administration’s budget proposal for fiscal year 2019.

In the same way that the budget seeks to slash funding for Amtrak, particularly its long-distance trains, the administration wants to cut funding for essential air service to small airports.

The budget proposed cutting expenditures for the EAS program from $150 million to $93 million.

The budget would also raise fees related to transportation security, and customs and immigration fees paid by airline and cruise passengers. The federal air traffic control system would be privatized.

Amtrak funding would fall from $1.5 billion to $738 million. The budget proposal said Amtrak’s long-distance trains suffer from poor on-time performance and carry just 4.7 million of Amtrak’s nearly 32 million annual passengers. It also said the long-distance trains lose more than $500 million annually.

These proposals are not new. Most of them were in the FY 2018 budget, but Congress did not heed them.

The Trump administration budget proposal calls for appropriating $15.6 billion for the Department of Transportation, a cut of 19 percent from what Congress gave it in FY 2017.

The most recent data available from the U.S. Department of Transportation, dated October 2016, shows that the federal government funded commercial airline flights to 120 communities in the continental U.S and Hawaii.

The program, which began in 1978, also makes 237 Alaskan communities eligible for funding.

The rational for the EAS program was to enable remote towns to remain in the national air traffic network following airline deregulation, which resulted in scores of airports losing commercial service.

“However, today many EAS flights are not full and have high per-passenger subsidy costs. Several EAS eligible communities are relatively close to major airports,” the budget proposal says.

The recommendations were part of the $4.4 trillion budget proposal the administration sent to Congress on Monday.

Among the travel security-related fees that the administration wants to increase are the 9/11-passenger security fee that is assessed on airfare from the current $5.60 per one-way trip to $6.60 in 2019 and then to $8.25 beginning in 2020.

Although the 9/11 fee is supposed to fund Transportation Security Administration airport operations, Congress has sent about a third of it to items unrelated to security.

The administration said raising the fee would result in the traveling public paying for the full cost of aviation security.

The custom inspection fee would increase from $5.65 to $7.75. This fee is assessed on air and cruise ticket prices for people arriving in the United States.

The immigration fee, which is also assessed on tickets held by air and cruise passengers entering the U.S., would go from $7 to $9.

The proposal includes ending an exemption on that fee for passengers arriving via sea from Canada and Mexico.

The budget proposal said that the customs fee and immigration fee were last increased in 2007 and 2001, respectively.

Air traffic control is now overseen by the Federal Aviation Administration, but the Trump administration wants to shift it to an independent private organization.

Doing this, the administration believes, would speed implementation of a satellite-based NextGen system while removing air traffic control from contentious appropriation debates in Congress.

Critics have said doing this would reduce public accountability and harm the interests of private aviation.

An ATC privatization bill has twice made it out of the House Transportation Committee, but has failed to pass either the full House or the Senate due to bi-partisan opposition.

Senate Committee OKs Funding for Amtrak Long-Distance Trains

July 29, 2017

A Senate committee voted this week to provide $1.6 billion in funding for Amtrak and to provide funding for some grant programs that the Trump administration wanted to cut.

The Senate Appropriations Subcommittee on Transportation, Housing and Urban Development said that the funding would assure that Amtrak’s long-distance trains remain in operation during fiscal year 2018, which begins on Oct. 1.

The Amtrak funding was part of a $1.974 billion package for the Federal Railroad Administration and also included $550 million for Transportation Investment Generating Economic Recovery (TIGER) grants.

That contrasts with action by a House committee to end TIGER funding. The Trump administration also sought to end the TIGER program.

In other action, the Senate subcommittee agreed to provide $12 billion for the Federal Transit Administration, marking a $285 million decrease from FY2017 enacted levels.

The bill provides $9.7 billion for transit formula grants consistent with the Fixing America’s Surface Transportation Act and slots $2.1 billion for the FTA’s Capital Investment Grants (also known as New Starts).

That money would fully fund all current Full Funding Grant Agreement transit projects.

“This bipartisan bill is the product of considerable negotiation and compromise, and makes the necessary investments in our nation’s infrastructure, helps to meet the housing needs of the most vulnerable among us, and provides funding for economic development projects that create jobs in our communities,” said U.S. Sen. Susan Collins (R-Maine), who chairs the subcommittee.

Trump Budget Slashes Amtrak Funding by 45%

May 24, 2017

The Trump administration wants to slash Amtrak funding by 45 percent in fiscal year 2018.

The detailed budget proposed released this week proposed giving Amtrak $744 million.

In the current fiscal year, Amtrak received $1.4 billion. The cuts for next year include ending $289 for Amtrak’s long-distance train routes.

The budget document described long-distance trains as “a vestige of when train service was the only viable transcontinental transportation option. Today, communities are served by an expansive aviation, interstate highway, and intercity bus network.”

The document said Amtrak’s long-distance trains represent the greatest amount of Amtrak’s operating losses, serve relatively small populations, and have the worst on-time record.

The Trump administration would instead appropriate $1.5 billion for the Northeast Corridor between Boston and Washington.

[The Northeast Corridor] “faces many challenges, and the 2018 Budget proposal would allow Amtrak to right-size itself and more adequately focus on these pressing issues,” the budget document said.

Nonetheless, the Trump administration has proposed cutting funding for the development of New York’s Penn Station by 64 percent from $14 million to $5 million.

The Amtrak funding cuts make up the lion’s share of the 37 percent cut proposed by the Trump administration for the Federal Railroad Administration.

The agency’s parent organization, the U.S. Department of Transportation, would receive $16.2-billion in FY 2018, a decline of 12.7 percent over what it received in FY 2017.

The Federal Railroad Administration’s budget would drop by 37 percent from $1.7 billion to $1.05 billion while Federal Transit Administration will decline by 5 percent from its FY 2017 appropriation of $11.8 billion.

The FTA would receive $11.2 billion, which includes $9.7 billion for transit formula grants. The FTA’s Capital Investment Grant program for new starts would be cut by 43 percent from $2.16 billion to $1.2.

Funding would be continued only for programs that FTA is legally bound to support through full-funding grant agreements.

Funding for the Transportation Generating Economic Recovery grant program would be eliminated.

The budget document said projects that are attempting to receive TIGER funding could still earn grants through the Nationally Significant Freight and Highways Projects fund managed by DOT’s Build America Bureau.

The Railroad Rehabilitation and Improvement Financing and Transportation Infrastructure Finance and Innovation programs would remain in place, but receive no additional funding.

The National Transportation Safety Board would receive $106 million, which is no change from FY 2017.

The Surface Transportation Board would receive a $5 million boost to $37 million in order to implement regulatory changes under the STB reauthorization law of 2015.

The Trump administration budget proposal is likely to undergo numerous changes as Congress considers federal funding priorities for FY 2018.

Public Transit Looks to Trump Infrastructure Plan

April 10, 2017

Faced with federal budget cuts, rail and transit agencies are hoping that the Trump administration will be open to helping to fund transit capital projects as part of a $1 trillion infrastructure plan that has been promised.

It is not clear yet when the plan will be rolled out or what it will seek to fund.

President Donald Trump recently said that the infrastructure plan will be for at least $1 trillion and that there may be a 90-day deadline to get started in order to receive funding.

Trump has said the plan will be revealed as early as next month.

That timeline was echoed by U.S. Secretary of Transportation Secretary Elaine Chao who said the administration is “working on a legislative package that will probably be in May, or late May.”

Chao said the plan will focus on investments for roads, bridges, airports and potentially broadband access, veteran hospitals, and improvements for the electrical grid and water systems.

She added that the bill containing the infrastructure plan will tackle reducing regulations.

In particular, rail and transit authorities are concerned about how the administration’s “skinny budget” seeks to reduce grant funding from the Federal Transit Authority and the U.S. DOT’s TIGER program. Hence, their interest in obtaining funding for capital projects through the infrastructure plan.

Chao Says Infrastructure Plan Will Reduce Regulations, House Committee Approves Passenger Rail Legislation

March 31, 2017

It’s not the money it’s the red tape. Or so Secretary of Transportation Elaine Chao wants everyone to believe is the reason why more isn’t being done to rebuild America’s infrastructure.

Speaking during an open house to celebrate the 50th anniversary of the U.S. Department of Transportation, Chao said the Trump Administration’s infrastructure proposal that has yet to be delivered to Congress will include proposals to eliminate regulations.

“Investors say there is ample capital available, waiting to invest in infrastructure projects,” Chao said.” So the problem is not money. It’s the delays caused by government permitting processes that hold up projects for years, even decades, making them risky investments.”

Chao said the Trump infrastructure plan “will include common-sense regulatory, administrative, organizational and policy changes that will encourage investment and speed project delivery.”

Although she did not provide details, that infrastructure proposal will include a “a strategic, targeted program of investment valued at $1 trillion over 10 years,” Chao said.

She said the proposal will cover more than transportation infrastructure. It will also include energy, water and potentially broadband and veterans hospitals.

Public-private partnerships will be a focal point of the plan as a way to avoid “saddling future generations with massive debt.”

In an unrelated development, the House Committee on Transportation and Infrastructure this week approved a bill involving passenger rail.

The committee reported out H.R. 1346, which repeals a rule titled “Metropolitan Planning Organization Coordination and Planning Area Reform.”

In a statement, the committee said the rule exceeds what is required in law, is contrary to congressional intent, and increases burdens on MPOs and states.

The committee said H.R. 1346 maintains MPO and state flexibility in planning and making transportation investments.

Also approved was H.R. 1093, which mandates the Federal Railroad Administration to notify Congress about any initiation and results of passenger and commuter rail comprehensive safety assessments.