[Federal Register Volume 78, Number 25 (Wednesday, February 6, 2013)]
[Notices]
[Pages 8691-8698]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2013-02729]
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DEPARTMENT OF TRANSPORTATION
Federal Transit Administration
Notice of Availability of Emergency Relief Funds in Response to
Hurricane Sandy
AGENCY: Federal Transit Administration (FTA), DOT.
ACTION: Notice of availability of emergency relief funds.
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SUMMARY: The Federal Transit Administration (FTA) announces the
availability of funds under the Public Transportation Emergency Relief
Program (Emergency Relief Program) for States, local governmental
authorities, Indian tribes and other FTA recipients impacted by
Hurricane Sandy, which
[[Page 8692]]
affected mid-Atlantic and northeastern states in October 2012, and
particularly devastated transit operations in New Jersey and New York.
FTA will distribute these funds in a manner consistent with the
eligibility requirements of this program on a non-competitive basis,
subject to the priorities set forth below.
The Disaster Relief Appropriations Act of 2013 (Pub. L. 113-2) was
enacted on January 29, 2013, and provides $10.9 billion for FTA's
Emergency Relief Program for recovery, relief and resiliency efforts in
areas affected by Hurricane Sandy. The law provides that not more than
$2 billion shall be made available no later than March 30, 2013. The
remainder of the appropriated funds shall be made available only after
FTA enters into a Memorandum of Agreement with the Federal Emergency
Management Agency (FEMA) as required by section 20017(b) of the Moving
Ahead for Progress in the 21st Century Act (MAP-21, Pub. L. 112-141),
and FTA issues interim regulations for the Emergency Relief Program,
both of which are underway.
MAP-21 authorized the Emergency Relief Program at 49 U.S.C. 5324.
With the authorization of this program, Congress provided FTA with
primary responsibility for reimbursing emergency response and recovery
costs after an emergency or major disaster that affects public
transportation systems. The Emergency Relief Program allows FTA to make
grants for eligible public transportation capital and operating costs
in the event of a natural disaster, such as a hurricane, that affects a
wide area. Beginning in late October, President Obama issued major
disaster declarations for the following States: Connecticut, Delaware,
Maryland, Massachusetts, New Hampshire, New Jersey, New York, Ohio,
Pennsylvania, Rhode Island, Virginia, and West Virginia, as well as the
District of Columbia. Numerous counties in these States have been
designated as eligible for FEMA assistance under the major disaster
declarations. Public transportation agencies in the affected areas as
defined by these Presidential declarations, including any declarations
related to Hurricane Sandy made after the date of this notice, are
eligible for Emergency Relief funding.
This notice announces grant funding for the $2 billion made
available immediately by the Disaster Relief Appropriations Act to
States, local governmental authorities, Indian tribes, and other FTA
grant recipients that provide public transportation service in the
above impacted States for reimbursement of capital costs to repair,
reconstruct, or replace equipment and facilities of a public
transportation system that has suffered serious damage as a result of
Hurricane Sandy. In addition, costs eligible for reimbursement include
emergency operating costs incurred for evacuations, rescue operations,
moving rolling stock to higher ground in order to protect it from storm
surges, temporary public transportation service, and reestablishing,
expanding or relocating public transportation service before, during,
or after Hurricane Sandy.
FTA has identified three categories of projects for funding for
this notice: Category One projects will reimburse eligible expenses
affected FTA recipients incurred and disbursed on or before January 29,
2013, in preparation for or response to Hurricane Sandy. Category Two
projects will fund existing contractual commitments and contracts for
which an affected recipient issued requests for proposals or
invitations to bid for hurricane response and recovery projects on or
before January 29, 2013. Category Three projects will fund ongoing
force account work for hurricane response and recovery for which the
recipient can submit documentation showing the expense was in the
recipient's budget on or before January 29, 2013.
The application process will occur in two stages. First, applicants
will submit proposals requesting reimbursement of eligible costs for
the categories of projects described in this notice. Since funds must
be made available no later than March 30, 2013, applications for
funding must be submitted between the date of publication of this
notice and March 8, 2013 through GRANTS.GOV. FTA encourages affected
recipients to submit their requests for reimbursement expeditiously, as
FTA intends to allocate funds on a rolling basis. Second, upon
allocation of funds, FTA will notify recipients that they can enter a
grant application in FTA's Transportation Electronic Award Management
system (TEAM). Subsequent to receipt of applications for the above
project categories, and prior to March 30, 2013, FTA will issue a
notice in the Federal Register showing the allocation of the initial $2
billion.
Prior to the Disaster Relief Appropriations Act, affected
recipients may have received funding from FEMA for operating or capital
costs incurred in response to the hurricane. Section 5324(d) of title
49 United States Code provides that a grant awarded under section 5324
may be made only for expenses that are not reimbursed under the Robert
T. Stafford Disaster Relief and Emergency Assistance Act (Stafford Act,
42 U.S.C. 5121-5207). Accordingly, FTA will not fund project expenses
that FEMA has already funded. Additionally, prior to the Disaster
Relief Appropriations Act, affected recipients may have received
insurance proceeds to repair or replace damaged capital items. FTA will
not fund project expenses for which a recipient has already received
insurance proceeds. Affected recipients may apply for Emergency Relief
funds in advance of expected insurance proceeds; when the affected
recipient receives those insurance proceeds, the funds must be applied
to an Emergency Relief grant to offset the Federal share.
This notice includes a description of eligible projects, the
criteria FTA will use to identify projects for funding, and a
description of how to apply for funding. This announcement is available
on the FTA Web site at: http://www.fta.dot.gov. A synopsis of the
funding opportunity will be posted in the FIND module of the
government-wide electronic grants Web site at http://www.GRANTS.GOV.
FTA intends to announce funding allocations on a rolling basis and will
notify applicants directly of allocations made under the program. In
addition, FTA will announce final allocations on the FTA Web site.
Pursuant to the requirement in the Disaster Relief Appropriations
Act that FTA publish interim regulations before additional funds beyond
the initial $2 billion will be available, FTA is in the process of
drafting interim regulations for the Emergency Relief Program. If FTA
subsequently establishes criteria or conditions for grants made under
the Emergency Relief Program that are different from those in this
notice of availability of emergency relief funds, the different
criteria or conditions will not be applied retroactively to
applications submitted or grants awarded consistent with this notice,
unless the change benefits the applicant.
DATES: Since funds must be made available no later than March 30, 2013,
complete proposals requesting reimbursement of eligible costs must be
submitted between the date of publication of this notice and March 8,
2013 by 11:59 p.m. EST. All proposals must be submitted electronically
through the GRANTS.GOV ``APPLY'' function. Any prospective applicant
intending to submit a proposal should initiate the process of
registering on the GRANTS.GOV site immediately to ensure completion of
registration before the submission deadline. Instructions for
submitting a proposal can be found on FTA's Web site at http://
[[Page 8693]]
www.fta.dot.gov and in the ``FIND'' module of GRANTS.GOV.
FOR FURTHER INFORMATION CONTACT: Contact the appropriate FTA Regional
Office found at http://www.fta.dot.gov for application-specific
information and other assistance needed in preparing a complete
proposal or TEAM grant application. For program-specific questions
about applying for the funds as outlined in this notice, please contact
Adam Schildge, Office of Program Management, 1200 New Jersey Ave, SE.,
Washington, DC 20590, phone: (202) 366-0778, or email,
[email protected]. For legal questions, Bonnie Graves, Office of
Chief Counsel, same address, phone: (202) 366-4011, or email,
[email protected].
SUPPLEMENTARY INFORMATION:
Table of Contents
I. Overview of FTA Public Transportation Emergency Relief Program
A. Authority
B. Policy Priorities
C. Definitions
II. Emergency Relief Program Information
A. Description and Purpose
B. Pre-award Authority
C. Eligibility Information
D. Grant Requirements
E. Application Content and Allocation of Funds
III. Application and Submission Information
IV. Award Administration
I. Overview of FTA Public Transportation Emergency Relief Program as It
Applies to Hurricane Sandy Relief
A. Authority
Section 5324(a)(2) of title 49, United States Code, defines an
``emergency'' as follows:
The term `emergency' means a natural disaster affecting a wide area
(such as a flood, hurricane, tidal wave, earthquake, severe storm, or
landslide) or a catastrophic failure from any external cause, as a
result of which--
(A) The Governor of a State has declared an emergency and the
Secretary has concurred; or
(B) The President has declared a major disaster under section 401
of the Robert T. Stafford Disaster Relief and Emergency Assistance Act
(42 U.S.C. 5170).
Section 5324(b) of title 49, United States Code, authorizes the
Secretary to make awards for FTA's Emergency Relief Program as follows:
General authority.--The Secretary may make grants and enter into
contracts and other agreements (including agreements with departments,
agencies, and instrumentalities of the Government) for--
(1) Capital projects to protect, repair, reconstruct, or replace
equipment and facilities of a public transportation system operating in
the United States or on an Indian reservation that the Secretary
determines is in danger of suffering serious damage, or has suffered
serious damage, as a result of an emergency; and
(2) Eligible operating costs of public transportation equipment and
facilities in an area directly affected by an emergency during--
(A) The 1-year period beginning on the date of a declaration
described in subsection (a)(2); or
(B) if the Secretary determines there is a compelling need, the 2-
year period beginning on the date of a declaration described in
subsection (a)(2).
In addition, section 5324(d) provides that a grant awarded under
section 5324 shall be subject to the terms and conditions the Secretary
determines are necessary; and made only for expenses that are not
reimbursed under the Stafford Act. Accordingly, FTA will not fund
project expenses that FEMA has already funded.
B. Policy Priorities for Hurricane Sandy Relief
The Emergency Relief Program is intended to assist recipients and
subrecipients in restoring public transportation service and in
repairing and reconstructing public transportation assets to a state of
good repair as expeditiously as possible following an emergency or
major disaster. With regard to the $2 billion available immediately
under the Disaster Relief Appropriations Act of 2013, FTA has
identified three categories of projects: Category One projects will
reimburse eligible expenses already incurred and disbursed by affected
recipients on or before January 29, 2013, in preparation for or
response to Hurricane Sandy. Category Two projects will fund existing
contractual commitments and contracts for which an affected recipient
issued requests for proposals (RFP) or invitations to bid (ITB) for
hurricane response and recovery projects on or before January 29, 2013,
as evidenced by a signature/date page for each contract, RFP and ITB.
Category Three projects will fund ongoing force account work for
hurricane response and recovery for which the recipient can submit
documentation, such as Board approval or budget documents, showing the
expense was in the recipient's budget on or before January 29, 2013.
Section 5324(b) provides that funds are available for capital
projects to ``protect * * * equipment and facilities of a public
transportation system * * * the Secretary determines is in danger of
suffering serious damage.'' Steps taken to protect equipment and
facilities in preparation or response to Hurricane Sandy are eligible
expenses under this notice. However, FTA has prioritized recovery and
response activities for the first $2 billion of the funds available in
the Disaster Relief Appropriations Act. Therefore, projects related to
reducing the risk of damage from future disasters in areas impacted by
Hurricane Sandy are not eligible for funding under this notice, but
will be eligible in future notices.
In the event the total costs of the three categories of projects
identified in this notice do not reach $2 billion, FTA reserves the
right to fund additional recovery and response projects identified by
affected recipients, without issuing a supplemental notice of
availability of emergency relief funds.
C. Definitions for Use in This Notice
The following terms are used in this notice:
Applicant. An entity that operates or allocates funds to operate
public transportation service and applies for a grant under 49 U.S.C.
5324.
Affected recipient. An FTA recipient that operates public
transportation service in an area impacted by Hurricane Sandy.
Emergency. A natural disaster affecting a wide area or a
catastrophic failure from any external cause, as a result of which: (a)
The Governor of a State has declared an emergency and the Secretary of
Transportation has concurred; or (b) the President has declared a major
disaster under the Stafford Act. 49 U.S.C. 5324.
Emergency operations. The net project cost of temporary service
that is outside the scope of an affected recipient's normal operations,
including but not limited to: Evacuations; rescue operations; moving
rolling stock to higher ground in order to protect it from storm
surges; additional bus or ferry service to replace inoperable rail
service or to detour around damaged areas; returning evacuees to their
homes after Hurricane Sandy; and the net project costs related to
reestablishing, expanding, or relocating public transportation service
before, during, or after Hurricane Sandy.
Emergency repairs. Those repairs undertaken immediately before,
during, or following Hurricane Sandy for the purpose of:
(1) Minimizing the extent of the damage,
(2) Protecting remaining facilities, or
[[Page 8694]]
(3) Restoring service.
Heavy maintenance. Work usually done by a recipient or subrecipient
in repairing damage normally expected from seasonal and occasionally
unusual natural conditions or occurrences, such as routine snow
removal, or debris removal from seasonal thunderstorms. This may
include work required as a direct result of a disaster, but which can
reasonably be accommodated by a recipient or subrecipient's
maintenance, emergency or contingency program.
Major Disaster. Any natural catastrophe (including any hurricane,
tornado, storm, high water, wind-driven water, tidal wave, tsunami,
earthquake, volcanic eruption, landslide, mudslide, snowstorm, or
drought), or, regardless of cause, any fire, flood, or explosion, in
any part of the United States, which in the determination of the
President causes damage of sufficient severity and magnitude to warrant
major disaster assistance under the Stafford Act to supplement the
efforts and available resources of States, local governments, and
disaster relief organizations in alleviating the damage, loss,
hardship, or suffering caused thereby. 42 U.S.C. 5122.
Net project cost. The part of a project that reasonably cannot be
financed from revenues. 49 U.S.C. 5302.
Permanent repairs. Those repairs undertaken following the
occurrence of Hurricane Sandy for the purpose of repairing, replacing
or reconstructing seriously damaged public transportation system
elements, including rolling stock, equipment, facilities and
infrastructure, as necessary to restore the elements to a state of good
repair.
Recipient. An entity that operates or allocates funds to operate
public transportation service and receives federal transit funds
directly from FTA.
Serious damage. Heavy, major or unusual damage to a public
transportation facility that severely impairs the safety or usefulness
of the facility. Serious damage must be beyond the scope of heavy
maintenance.
Subrecipient. An entity that operates public transportation service
and receives FTA funding through a recipient.
II. Emergency Relief Program Information for Hurricane Sandy Relief
A. Description and Purpose
For purposes of this notice, eligible activities include eligible
emergency operating costs and capital projects to repair, reconstruct,
or replace equipment and facilities of a public transportation system
that the Secretary determines has suffered serious damage as a result
of Hurricane Sandy, including projects undertaken prior to the storm to
minimize or prevent serious damage. Section 5324 funds are in addition
to a recipient's formula funds and the receipt of section 5324 funds
does not preclude the receipt of funds from FEMA.
B. Pre-award Authority
FTA grants pre-award authority to affected recipients for expenses
incurred in preparation for Hurricane Sandy (e.g., evacuation,
relocation, protecting and safeguarding assets) and for immediate
disaster-response and recovery expenses incurred as a result of
Hurricane Sandy. Pre-award authority allows affected recipients to
incur certain project costs before grant approval and retain the
eligibility of those costs for subsequent reimbursement after grant
approval.
The conditions under which pre-award authority may be utilized are
specified below:
(i) Pre-award authority is not a legal or implied commitment that
the subject project will be approved for FTA assistance or that FTA
will obligate Federal funds. Furthermore, it is not a legal or implied
commitment that all items undertaken by the applicant will be eligible
for inclusion in the project.
(ii) All FTA statutory, procedural, and contractual requirements
must be met, except as provided for the three project categories in
this notice. See section II.D of this notice.
(iii) The recipient must take no action that prejudices the legal
and administrative findings that the Federal Transit Administrator must
make in order to approve a project.
(iv) The Federal amount of any future FTA assistance awarded to the
recipient for the project will be determined on the basis of the
overall scope of activities and the prevailing statutory provisions
with respect to the Federal/non-Federal match ratio at the time the
funds are obligated.
(v) When a grant for the project is subsequently awarded, the
Financial Status Report in TEAM-Web must indicate the use of pre-award
authority.
In addition to the pre-award authority described above, affected
recipients are permitted to submit grant amendments for existing
section 5307 and 5311 grants in order to utilize available unexpended
balances for eligible disaster-related project costs. Use of formula
funds for these purposes is at the discretion of the affected
recipient. Section 5324 funds may not be used to replenish formula
funds spent in response to an emergency.
C. Eligibility Information
1. Eligible Applicants
FTA recipients affected by Hurricane Sandy, including States, local
governmental authorities, and Indian tribes that provide public
transportation service may apply for section 5324 Emergency Relief
funds on behalf of themselves and their subrecipients. As of the date
of this notice, the President has declared a major disaster for the
following States: Connecticut, Delaware, Maryland, Massachusetts, New
Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island,
Virginia, and West Virginia, as well as the District of Columbia. The
affected transit system must be located in or serving an area that was
impacted by Hurricane Sandy, as defined by the presidential declaration
of major disaster or declaration of emergency for that State. See
http://www.fema.gov/disasters/. In addition, public transportation
agencies in areas that receive a major disaster declaration related to
Hurricane Sandy after the date of this notice are eligible for
Emergency Relief funding.
Entities that provide public transportation service and are not
current recipients of FTA funding may be eligible to receive Emergency
Relief funding as a subrecipient of an FTA recipient. These entities
should contact the appropriate FTA Regional Office, the contact
information of which is available at www.fta.dot.gov, to find a direct
FTA recipient in their area to apply on their behalf.
2. Eligible Costs
New York, New Jersey and Connecticut Operating Assistance
On October 31, 2012, the President amended the cost-sharing
arrangements for the States of New York, New Jersey and Connecticut
regarding Federal funds provided under the authority of the Stafford
Act as follows:
I authorize a one hundred percent (100%) Federal cost share for
ten days for emergency power restoration assistance and emergency
public transportation assistance, including direct Federal
assistance, for those areas within counties designated for Public
Assistance [in New York, New Jersey and Connecticut]. I authorize
this cost-share adjustment beginning October 30, 2012 through
November 9, 2012.
On November 9, 2012, the President authorized continuation ``until
11:59 p.m. on Wednesday, November 14, 2012, of the 100 percent Federal
cost share for emergency power restoration assistance and emergency
public transportation assistance (including emergency protective
measures to
[[Page 8695]]
secure public transportation infrastructure), including direct Federal
assistance, for those areas within counties designated for Public
Assistance [in New York, New Jersey and Connecticut].'' \1\
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\1\ See the following Federal Register notices for details of
the authorizations:
New York adjustment: Amendment No. 1 to Notice of a Major
Disaster Declaration, 77 FR 66862 (Nov. 7, 2012), available at
http://www.gpo.gov/fdsys/pkg/FR-2012-11-07/pdf/2012_27269.pdf.
New York extension: Amendment No. 4 to Notice of a Major
Disaster Declaration, 77 FR 73489 (Dec. 10, 2012), available at
http://www.gpo.gov/fdsys/pkg/FR-2012-12-10/pdf/2012-29652.pdf.
New Jersey adjustment: Amendment No. 1 to Notice of a Major
Disaster Declaration, 77 FR 66861 (Nov. 7, 2012), available at
http://www.gpo.gov/fdsys/pkg/FR-2012-11-07/pdf/2012_27273.pdf.
New Jersey extension: Amendment No. 5 to Notice of a Major
Disaster Declaration, 77 FR 73488 (Dec. 10, 2012), available at
http://www.gpo.gov/fdsys/pkg/FR-2012-12-10/pdf/2012-29654.pdf.
Connecticut adjustment: Amendment No. 1 to Notice of a Major
Disaster Declaration, 77 FR 66860 (Nov. 7, 2012), available at
http://www.gpo.gov/fdsys/pkg/FR-2012-11-07/pdf/2012-27275.pdf.
Connecticut extension: Amendment No. 2 to Notice of a Major
Disaster Declaration, 77 FR 73487 (Dec. 10, 2012), available at
http://www.gpo.gov/fdsys/pkg/FR-2012-12-10/pdf/2012-29656.pdf.
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Section 5324 provides that the Federal share for operating expenses
and capital projects for the Emergency Relief Program is 80 percent;
however, the Secretary may waive, in whole or in part, the non-Federal
share. Therefore, consistent with the President's authorization and
what FEMA would fund under section 419 of the Stafford Act (Emergency
Public Transportation), FTA will fund the net project costs of
emergency operations in specified counties in New York, New Jersey and
Connecticut from October 30 to November 14, 2012, at a 100 percent
Federal share, that FEMA has not already funded. All of New Jersey's
counties qualify for the 100 percent Federal share under this
authorization. In New York, the following counties may apply for
emergency operating assistance at a 100 percent Federal share: Bronx,
Kings, Orange, Nassau, New York, Putnam, Queens, Richmond, Rockland,
Suffolk, Sullivan, Ulster, and Westchester. See http://www.fema.gov/disaster/4085/affected-counties. In Connecticut, the following counties
may apply for emergency operating assistance at a 100 percent Federal
share: Fairfield, Litchfield, Middlesex, New Haven, New London,
Tolland, Windham and the Mashantucket Pequot and Mohegan Tribal Nations
in New London County. See http://www.fema.gov/disaster/4087/affected-counties. The President's authorizations include the costs of emergency
public transportation service provided in affected counties in New
York, New Jersey and Connecticut for that 16-day period. Affected
recipients in New York, New Jersey and Connecticut may apply for the
full net project cost of temporary service that is outside the scope of
the affected recipient's normal operations provided between October 30
and November 14, 2012, including but not limited to: Evacuations;
rescue operations; moving rolling stock to higher ground in order to
protect it from storm surges; additional bus or ferry service to
replace inoperable rail service or to detour around damaged areas;
returning evacuees to their homes after the hurricane; and the net
project costs related to reestablishing, expanding, or relocating
public transportation service before, during, or after the hurricane.
Lost revenue as a result of Hurricane Sandy is not an eligible cost.
In addition, the costs incurred for any emergency protective
measures to secure public transportation infrastructure taken between
October 30 and November 14, 2012, are eligible for 100 percent Federal
share if not already funded by FEMA.
Other Operating Assistance
Section 5324 provides that the Federal share for operating expenses
and capital projects for the Emergency Relief Program is 80 percent;
however, the Secretary may waive, in whole or in part, the non-Federal
share. The Administration's December 7, 2012, request to Congress for
emergency relief funds acknowledged that the ``level of damage caused
by Hurricane Sandy is expected to meet the regulatory threshold
necessary to increase the Federal share of most disaster programs to 90
percent.'' \2\ Therefore, the Secretary has determined that the Federal
share for operating and capital projects undertaken in response to
Hurricane Sandy will be 90 percent, thus waiving part of the non-
Federal share. The following operating costs are eligible at a 90
percent Federal share: The net project cost of temporary service that
is outside the scope of an affected recipient's normal operations,
including but not limited to: evacuations; rescue operations; moving
rolling stock to higher ground in order to protect it from storm
surges; additional bus or ferry service to replace inoperable rail
service or to detour around damaged areas; returning evacuees to their
homes after the hurricane; and the net project costs related to
reestablishing, expanding, or relocating public transportation service
before, during, or after the hurricane. The non-Federal share of the
net project cost may be provided from an undistributed cash surplus, a
replacement or depreciation cash fund or reserve, or new capital.
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\2\ http://www.whitehouse.gov/sites/default/files/supplemental__december_7_2012_hurricane_sandy_funding_needs.pdf.pdf.
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FTA notes that some States entered into agreements or mission
assignments with FEMA to fund operating costs immediately after the
storm. If those States are seeking operating funds from FTA and have
already received funding from FEMA, they must submit a copy of the
agreement with FEMA, including the scope of the agreement, the amount
funded, and the dates that FEMA agreed to fund operating costs, as well
as the scope and dates of service for which the applicant is seeking
FTA funding, in order to ensure that an application submitted to FTA
for project costs has not already been funded by FEMA. FTA will not
fund project expenses for which a recipient has already received
insurance proceeds. Loss of operating revenue is not an eligible
expense. However, the cost of providing fare-free emergency public
transportation service in the days immediately following the storm is
eligible if FEMA has not already funded the service.
Capital Projects
As stated above, FTA will fund all projects eligible for the
Emergency Relief Program in response to Hurricane Sandy at a 90 percent
Federal share. The non-Federal share of the net project cost may be
provided from an undistributed cash surplus, a replacement or
depreciation cash fund or reserve, or new capital. Eligible capital
projects include those projects to repair, reconstruct, or replace
equipment and facilities of a public transportation system that has
suffered serious damage as a result of Hurricane Sandy.
It is not the intent of the Emergency Relief Program to provide
substitute funding for regular capital maintenance that is not a result
of an emergency or major disaster. Therefore, heavy maintenance and
projects for which funds were obligated in a grant prior to Hurricane
Sandy are not eligible expenses under the Emergency Relief Program.
Further, projects funded by the Federal Highway Administration's
Emergency Relief program are not eligible for FTA funding.
Both emergency repairs and permanent repairs are eligible for
Emergency Relief funding. When repairing or replacing facilities and
infrastructure damaged or destroyed by Hurricane Sandy, the following
activities are eligible for Emergency Relief funding: (1) Replacement
of older features with new ones; (2)
[[Page 8696]]
incorporation of current design standards; (3) replacement of a
destroyed facility at a different location when replacing at the
existing location is not practical or feasible; and (4) additional
required features resulting from the NEPA process.
Grants awarded with section 5324 funds, as well as section 5307 and
5311 grants made for emergency relief purposes, may be made only for
expenses that are not reimbursed by another Federal agency or by
insurance proceeds. If an applicant has already received funding from
another Federal agency, the applicant may not apply for FTA emergency
relief funding for the same project expenses. However, partial
compensation for a loss by other sources will not preclude FTA
participation for the part of the loss not compensated. For example,
insurance proceeds may only cover the remaining Federal interest of a
vehicle that was destroyed before the end of its useful life, and not
the cost to replace that vehicle. Consistent with FTA Circular 5010.1D,
FTA may participate in the replacement cost beyond the insurance
proceeds. Rolling stock and other equipment used in public
transportation that was damaged or destroyed before the end of its
useful life may be replaced with new rolling stock and equipment. FTA
advises applicants to review FTA Circular 5010.1D, chapter IV, (http://www.fta.dot.gov/legislation_law/12349_8640.html) for additional
information on how to determine the remaining Federal interest and how
to apply insurance proceeds to the cost of replacing the damaged or
destroyed property.
Any compensation for damages or insurance proceeds recovered by the
recipient or subrecipient for repair or replacement of the public
transit equipment or facility must be used upon receipt to reduce
emergency relief fund participation in the project. In other words,
affected recipients may apply for Emergency Relief funds in advance of
expected insurance proceeds; when the affected recipient receives those
insurance proceeds, the funds must be applied to an Emergency Relief
grant to offset the Federal share.
As with operating expenses, if a recipient has already received
FEMA funding for repairs and replacement of capital assets, and also
intends to apply for FTA funding, the recipient must submit a copy of
any agreement with or funding request from FEMA, including the scope of
the agreement or funding request (e.g., a list of projects), the amount
funded, and the disposition of the request.
3. Ineligible Activities
The following expenses are not eligible under the emergency relief
program:
(1) Heavy maintenance;
(2) Project costs for which the recipient has received funding from
another Federal agency;
(3) Project costs for which the recipient has received funding
through payments from insurance policies;
(4) Projects that change the function of the original
infrastructure;
(5) Projects for which funds were obligated in a grant prior to
Hurricane Sandy;
(6) Reimbursements for lost revenue due to service disruptions
caused as a direct result of the hurricane;
(7) Project costs associated with the replacement or replenishment
of damaged or lost material not incorporated into a public
transportation system such as stockpiled materials or items awaiting
installation; and
(8) Other project costs FTA determines are not appropriate for the
Emergency Relief Program.
Projects included under item (4) above that change the function of
the original infrastructure would be projects, for example, that change
a bus rapid transit system to light rail, or that replace bus shelters
with intermodal facilities, or that significantly upgrade a maintenance
facility. Replacing damaged diesel buses with compressed natural gas
buses is eligible under the Emergency Relief Program, but any costs
associated with new alternative fueling stations or maintenance
facilities is not eligible for Emergency Relief funds. However, those
associated costs are eligible under FTA's formula programs, and
recipients may use funds apportioned under sections 5307 or 5311
formula funds for those costs.
D. Grant Requirements
Section 904(c) of the Disaster Relief Appropriations Act provides
that grant funds awarded under the Act must be expended within 24
months following FTA's obligation of funds in a grant. Any unexpended
balances remaining in a grant must be returned to FTA 24 months after
obligation of grant funds. FTA will include this term in all grants
made with funds appropriated by the Disaster Relief Appropriations Act.
Section 5324(d)(1) provides that grants awarded under the Emergency
Relief Program to address an emergency shall be subject to the terms
and conditions the Secretary determines are necessary. Affected
recipients responded quickly to Hurricane Sandy in an effort to restore
public transportation service as quickly as possible. For the three
categories of projects described in this notice, FTA has determined the
following:
1. Planning requirements. Operating and capital projects do not
need to be included in a Statewide Transportation Improvement Program
(STIP) or a metropolitan Transportation Improvement Program (TIP) in
order to be reimbursed by FTA.
2. Buy America. Because of extensive damage to public
transportation systems impacted by Hurricane Sandy and the exigent need
to rebuild those systems in order to restore service, FTA finds that
applying its Buy America requirements at 49 U.S.C. 5323(j) would have
resulted in undue delay in service restoration. Therefore, FTA will
reimburse those purchases that are included in projects funded under
Categories One, Two, and Three as described in this notice, even if the
recipient did not follow FTA Buy America requirements.
3. Procurement and contracting guidelines. Recipients may have
extended existing contracts and taken other actions necessary to
complete response and recovery projects expeditiously. Therefore, FTA
will reimburse existing contractual commitments and contracts for which
an affected recipient issued requests for proposals or invitations to
bid for hurricane response and recovery projects on or before January
29, 2013, even if the recipient did not follow FTA procurement and
contracting requirements. Amendments to existing contracts and bid
requests after January 29, 2013, are subject to all FTA requirements,
including procurement and contracting requirements.
The above conditions apply only to this notice and have no
applicability to future notices. Further, these conditions should not
be construed as indicative of the conditions FTA may grant in future
emergencies or disasters. FTA's Public Transportation Emergency Relief
Program was recently authorized by Congress and FTA had not yet had the
opportunity to publish guidance or a rule for implementing the program
when Hurricane Sandy impacted the eastern seaboard. Setting the above
conditions for this disaster is an acknowledgement that affected
recipients had to act quickly in order to restore service and may not
have met all FTA requirements when making those efforts. FTA expects
that all Federal requirements as outlined in FTA's Master Agreement
will apply to all grants made in response to Hurricane Sandy that do
not meet the description
[[Page 8697]]
of the three categories of projects described in this notice.
In the event an affected recipient or subrecipient finds that FTA
requirements other than those listed above limit the recipient's or
subrecipient's ability to respond to Hurricane Sandy, the affected
recipient or subrecipient may request that applicable administrative
requirements be waived in accordance with the emergency relief docket
process as outlined below.
Under 49 CFR part 601, subpart D, FTA establishes an emergency
relief docket each calendar year. The purpose of the docket is to allow
recipients affected by national or regional emergencies to request
relief from FTA administrative requirements set forth in FTA policy
statements, circulars, guidance documents, and regulations. As stated
above, section 5324(d) of title 49, United States Code provides that a
grant awarded under section 5324 that is made to address an emergency
shall be subject to the terms and conditions the Secretary determines
are necessary. Effective with calendar year 2013, recipients affected
by an emergency or major disaster may request FTA Administrator
determination that certain terms and conditions not apply when the
requirement(s) will limit a recipient's or subrecipient's ability to
respond to an emergency or major disaster. Recipients must follow the
procedures as set forth in 49 CFR part 601, subpart D when requesting
such a determination or seeking a waiver of administrative
requirements. The docket is available on www.regulations.gov, and the
docket number for calendar year 2013 is FTA-2013-0001.
E. Application Content and Allocation of Program Funds Under This
Notice
1. Application Content
FTA will evaluate applications based on information requested
below. FTA encourages applicants to demonstrate the responsiveness of
their application with the most relevant information the applicant can
provide, regardless of whether FTA has specifically requested such
information in this notice. FTA will assess the extent to which the
application addresses each of the three criteria below.
There are three project categories for this notice of availability
of emergency relief funds: (1) Reimbursement for expenses already
incurred and disbursed by FTA recipients on or before January 29, 2013;
(2) existing contractual commitments and contracts for which an
affected recipient issued requests for proposals (RFP) or invitations
to bid (ITB) for hurricane response and recovery projects on or before
January 29, 2013, as evidenced by a signature/date page for each
contract, RFP and ITB; and (3) ongoing force account work for hurricane
response and recovery for which the recipient budgeted the expense, as
evidenced by Board approval or budget documents, on or before January
29, 2013.
Documentation to Support Emergency Operating Requests. Applications
to GRANTS.GOV must include the purpose of the emergency public
transportation service provided, which may include: evacuations; rescue
operations; moving rolling stock to higher ground in order to protect
it from storm surges; additional bus or ferry service to replace
inoperable rail service or to detour around damaged areas; returning
evacuees to their homes after the hurricane; and the net project costs
related to reestablishing, expanding, or relocating public
transportation service before, during, or after the hurricane. The
application must include the dates, hours, number of buses, ferries,
and/or trains, and information relating to fares charged. Only net
project costs may be reimbursed.
Documentation to Support Capital Requests. Applications to
GRANTS.GOV must include copies of detailed damage assessments to
support the request for assistance for capital projects. FTA and FEMA
have engaged in a significant effort to conduct damage assessments and
validate repair/replacement cost estimates in New York and New Jersey.
Specifically, FTA and FEMA have worked with the New York Metropolitan
Transportation Authority, the Port Authority for New York and New
Jersey, New Jersey Transit, and the New York City Department of
Transportation. When submitting applications for the three categories
of projects described in this notice, these agencies may include the
damage assessments developed with FTA and FEMA. Typically, a damage
assessment involves on-the-ground visits to the damage sites to verify
the extent of the damage and to estimate the cost of repairs eligible
for Emergency Relief funding. The damage assessment should document:
(1) The specific location, type of facility or equipment, nature and
extent of damage; (2) the most feasible and practical method of repair
or replacement; and (3) the estimated repair and replacement cost.
Other Relevant Items. Applicants must provide supporting
documentation showing other sources of funding available, including
insurance policies, agreements with FEMA, and any other source of funds
available to address the damage resulting from the hurricane.
Applicants from all States that have received funding from FEMA for
emergency operating expenses and also seek funding from FTA for
emergency operating costs must include a copy of the agreement with
FEMA, including the scope of the agreement, the amount funded, and the
dates that FEMA agreed to fund operating costs, as well as the scope of
service and dates for which the applicant is seeking FTA funding.
Applicants that have received funding from FEMA for capital projects
and also seek funding from FTA for capital projects must include a copy
of the agreement with FEMA, including the scope of the agreement, the
amount funded, and a list of projects included in the FEMA application
or equivalent document. In addition, applicants must provide supporting
documentation for Category Two and Category Three projects, including a
signature/date page for each existing contract, RFP and ITB; and Board
approval or budget documents showing the applicant budgeted ongoing
force account work in response to the hurricane on or before January
29, 2013.
2. Allocation of Program Funds
FTA will allocate funds on a non-competitive basis for the three
categories of eligible expenses described above. The FTA Administrator
will determine the final allocation of funding for each applicant after
validating damage assessments and cost estimates. FTA reserves the
right to request additional information prior to making a determination
as to Emergency Relief funding eligibility of any particular project.
FTA may also seek clarification from any applicant about any statement
in its proposal that FTA finds ambiguous. FTA intends to announce
funding allocations on a rolling basis and will notify applicants
directly of allocations made under the program. In addition, FTA will
announce final allocations on the FTA Web site.
III. Application and Submission Information for this Notice
A. Application Submission Instructions
Proposals requesting reimbursement must be submitted electronically
through http://www.GRANTS.GOV by March 8, 2013 by 11:59 p.m. EST. Mail
and fax submissions will not be accepted.
A complete proposal submission will consist of at least two files:
(1) The SF 424 Mandatory form (downloaded from GRANTS.GOV) and (2) the
Hurricane Sandy-specific supplemental form found on the FTA Web site:
http://
[[Page 8698]]
www.fta.dot.gov/emergencyrelief. The supplemental form provides
guidance and a consistent format for applicants to respond to the
information required as outlined in this notice. Once completed, the
supplemental form must be placed in the attachments section of the SF
424 Mandatory form.
Applicants must attach the Hurricane Sandy-specific supplemental
form to their submission in GRANTS.GOV to successfully complete the
application process. A proposal submission may contain additional
supporting documentation as attachments. Within 24-48 hours after
submitting an electronic application, the applicant should receive
three email messages from GRANTS.GOV: (1) Confirmation of successful
transmission to GRANTS.GOV, (2) confirmation of successful validation
by GRANTS.GOV and (3) confirmation of successful validation by FTA. If
an applicant does not receive confirmations of successful validation
and receives a notice of failed validation or incomplete materials, the
applicant must address the reason for the failed validation, as
described in the notice, and resubmit before the submission deadline.
If making a resubmission for any reason, include all original
attachments regardless of which attachments were updated. Complete
instructions on the application process can be found on FTA's Web site
at http://www.fta.dot.gov/emergencyrelief. FTA urges applicants to
submit their applications at least 72 hours prior to the due date to
allow time to receive the validation message and to correct any
problems that may have caused a rejection notification. GRANTS.GOV
scheduled maintenance and outage times are announced on the GRANTS.GOV
Web site http://www.GRANTS.GOV. Deadlines will not be extended due to
scheduled maintenance or outages.
B. Proposal Content
Applicants may submit one proposal which can include multiple
projects. Additional projects may be added within the Hurricane Sandy-
specific supplemental form by clicking the ``add project'' button in
Section II of the supplemental form.
Information such as applicant name, Federal amount requested, non-
Federal match amount, description of areas served, etc. may be
requested in varying degrees of detail on both the SF 424 form and
supplemental form. All fields are required unless stated otherwise on
the forms. Use both the ``Check Package for Errors'' and the ``Validate
Form'' validation buttons on both forms to check all required fields on
the forms. Ensure that the Federal and non-Federal amounts specified
are consistent.
IV. Award Administration
Once FTA allocates Emergency Relief funds to a recipient, the
recipient will be required to submit a grant application electronically
via FTA's Transportation Electronic Award Management system (TEAM).
Recipients should work with their FTA Regional Office to develop and
submit their application in TEAM so that funds can be obligated
expeditiously. Grant applications in TEAM may only include eligible
activities under the Emergency Relief program. Upon award, payments to
recipients will be made by electronic transfer to the recipient's
financial institution through FTA's Electronic Clearing House Operation
(ECHO) system.
Post-award reporting requirements include submission of the Federal
Financial Report and Milestone reports in TEAM consistent with FTA's
grants management Circular 5010.1D, as well as any other reporting
requirements FTA determines are necessary.
Dated: Issued in Washington, DC, this 1st day of February 2013.
Peter Rogoff,
Administrator.
[FR Doc. 2013-02729 Filed 2-4-13; 11:15 am]
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