Reauthorization and Appropriations Update
September 24, 2004
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Reauthorization
In the Senate, efforts by Senate Environment and Public Works Committee Chair
Inhofe (R-OK) to develop support among Senate conferees on the reauthorization
bill for funding levels in the House bill (see below) slowed considerably
with the introduction on Wednesday of a six-month TEA 21 extension bill (S.
2822) cosponsored by Senators Reid (D-NV), Jeffords (I-VT), Bond (R-MO), Shelby
(R-AL), and Sarbanes (D-MD). The six-month bill was introduced to give conferees
on TEA 21 reauthorization more time to produce a "better product,"
which the co-sponsors believe should include the Senate-passed funding level
of $318 billion. Over the six-month period covered, the transit program would
be authorized at $3.879 billion, half the Senate-approved transit appropriations
level for FY 2005 of $7.758 billion. The bill is "clean" in that
it contains no projects and would make no programmatic changes, just like
the previous five TEA 21 extensions.
Meanwhile, House leaders, including Speaker Hastert (R-IL) and Transportation
and Infrastructure Committee Chairman Young (R-AK), have stated they would
not support a six-month extension. They continue to push for passage of a
comprehensive six-year reauthorization bill that provides $299 billion in
contract authority and $284 billion in guaranteed funding, which they believe
can be completed before Congress adjourns for the elections (probably on October
8). The House GOP leadership indicates that the White House would accept this
funding level.
In any event, the latest bill extending TEA 21 expires on September 30,
2004, which means that Congress will have to pass another TEA 21 extension
bill soon.
For more information, please contact Rob Healy in the APTA Government Affairs
Department at (202) 496-4811, or rhealy@apta.com.
Appropriations
The House on September 22 passed its version of the FY 2005 Transportation,
Treasury and Independent Agencies appropriations bill (H.R. 5025) by a 397
to 12 margin. The bill approved by the Appropriations Committee would have
provided $7.249 billion for the federal transit program in FY 2005. Due to
a conflict over jurisdictional issues between authorizers and appropriators
as reported in previous Legislative Updates, however, the titles of the bill
that cover transit, Amtrak, and highways were stripped from the bill. As a
result, funding levels for these programs will have to be worked out in the
conference process.
In the Senate, Appropriations Committee Chairman Stevens (R-AK) hopes to
bring the Transportation-Treasury bill (S. 2806) to the Senate floor by the
week of September 27. If the Senate can approve the bill quickly, there is
a good chance that a conference agreement can be completed and approved by
both Houses before unfinished appropriations bills are bundled into an omnibus
bill or approved under a continuing resolution (CR). House Majority Leader
DeLay (R-TX) noted yesterday that a CR that would last until November 20 may
be necessary.
Senate Appropriations Bill Report Language
The Report accompanying the Senate appropriations bill (S. 108-342) is now
available at http://thomas.loc.gov/home/approp/app05.html.
Among other things, the Senate Report -
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Provides that the bill would continue for another year the pooled purchase
pilot program begun under the FY 2004 Appropriations bill, and the program
would be expanded to include a total of five pilot projects.
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Directs the Department of Transportation's Office of Inspector General
to conduct a year-long study of the transit bus procurement process, focusing,
among other things, on "exceedingly customized bus specifications:"
"…the appropriateness of the amounts commonly required for performance
surety bonds and liquidated damages at levels out of proportion to likely
risks to the buyer:" and whether recipients "...steer procurements
to specific manufacturers, the reasons for doing so, and the effect this
usage has on the competitive process."
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Notes that the Committee is troubled by actions taken by FTA last year
to withhold the release of funds for new start projects that have received
more than $25 million in federal funding before receiving a full funding
grant agreement. The bill includes a general provision rejecting FTA's position,
and the Report notes that "…there is no limit of $25,000,000 on
alternatives analysis, preliminary engineering, or final design, and a project
seeking more than that amount for such activities does not need an early
systems work agreement, as FTA has interpreted to be required…".
For more information, please contact Rob Healy in the APTA Government Affairs
Department at (202) 496-4811, or rhealy@apta.com.
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