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49 926
105 th Congress
Report
HOUSE OF REPRESENTATIVES
2d Session
105 648
DEPARTMENT OF TRANSPORTATION AND RELATED AGENCIES APPROPRIATIONS BILL,
1999
July 24, 1998.--Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
Mr. Wolf , from the Committee on Appropriations, submitted the
following
REPORT
together with
ADDITIONAL VIEWS
[To accompany H.R. 4328]
The Committee on Appropriations submits the following report in
explanation of the accompanying bill making appropriations for the
Department of Transportation and related agencies for the fiscal year
ending September 30, 1999.
INDEX TO BILL AND REPORT
Page number
Bill
Report
Narrative summary of Committee action
2
Program, project, and activity
5
Title I--Department of Transportation:
Office of the Secretary
2
5
Coast Guard
6
19
Federal Aviation Administration
11
43
Federal Highway Administration
17
80
National Highway Traffic Safety Administration
19
101
Federal Railroad Administration
22
111
Federal Transit Administration
26
122
Saint Lawrence Seaway Development Corporation
35
168
Research and Special Programs Administration
36
169
Office of Inspector General
38
174
Surface Transportation Board
38
174
Title II--Related Agencies:
Architectural and Transportation Barriers Compliance Board
39
176
National Transportation Safety Board
39
176
Title III--General Provisions
40
178
House Report Requirements:
Appropriations not authorized by law
189
Changes in existing law
184
Comparison with budget resolution
189
Constitutional authority
180
Financial assistance to state and local governments
190
Five-year projections of outlays
190
Ramseyer
181
Rescissions
180
Transfers of funds
181
Tabular summary of the bill
192
SUMMARY AND MAJOR RECOMMENDATIONS OF THE BILL
The accompanying bill would provide $13,735,899,900 in new budget
(obligational) authority for the programs of the Department of
Transportation and related agencies, an increase of $276,728,900 above
the $13,459,171,000 requested in the budget. In total, the bill includes
obligational authority (new budget authority, guaranteed obligations
contained in the Transportation Equity Act for the 21st Century (TEA21),
limitations on obligations, and exempt obligations) of $46,891,913,900.
This is $4,767,529,134 more than the comparable fiscal year 1998 enacted
levels and $3,878,791,043 more than the budget request.
Selected major recommendations in the accompanying bill are:
(1) An appropriation of $7,677,558,000 for the Federal Aviation
Administration, an increase of $275,964,000 above the fiscal year 1998
level;
(2) A provision providing for $1,800,000,000 for grants-in-aid for
airports, an increase of $100,000,000 over the fiscal year 1998 level
and the budget request;
(3) An appropriation of $2,700,000,000 for operating expenses of the
Coast Guard, including $406,000,000 for counter-drug activities (an
increase of $40,000,000 or 11 percent) above the fiscal year 1998 level;
(4) An appropriation of $609,230,000 for grants to the National
Railroad Passenger Corporation (Amtrak), to cover capital expenses;
(5) An appropriation of $50,000,000 to complete the construction of
the 103-mile Washington, D.C. metrorail system;
(6) A total of $73,230,900 for the office of the secretary,
$4,993,100 below fiscal year 1998 and $5,175,100 below the budget
request;
(7)Highway program obligation limitations of $25,511,000,000,
consistent with provisions of TEA21, and $4,011,000,000 over fiscal year
1998; and
(8) Transit program obligation limitations of $5,365,000,000
consistent with provisions of TEA21, and $521,262,000 over fiscal year
1998.
THE EFFECT AND IMPLEMENTATION OF THE TRANSPORTATION EQUITY ACT FOR THE
21ST CENTURY
Over the objections of the House and Senate Committees on
Appropriations and the House and Senate Budget Committees, the
Transportation Equity Act for the 21st Century (TEA21) amended the
Budget Enforcement Act to provide two new additional spending categories
or ``firewalls'', the highway category and the mass transit category.
The highway category is comprised of all funding for federal-aid
highways, motor carrier safety programs, highway safety grants, and
highway safety research and development programs. The highway category
obligations are capped at $25,883,000,000 and outlays are capped at
$21,885,000,000 in fiscal year 1999. If appropriations action forces
highway obligations or outlays to exceed these levels, the difference is
charged against the non-defense discretionary spending category.
Likewise, the transit category is comprised of funding for transit
formula grants, transit capital projects, Federal Transit Administration
administrative expenses, transit planning and research programs, and
university transportation research. The mass transit category
obligations are capped at $5,365,000,000 and outlays are capped at
$4,401,000,000 in fiscal year 1999. Any additional appropriated funding
above the levels specified as guaranteed for each transit program in
TEA21 (that which could be appropriated from general funds authorized
under section 5338(h) of TEA21) is charged to the non-defense
discretionary category.
These ``firewalls'' make it virtually impossible for the
Appropriations Committee to make downward adjustments to those funding
levels in the annual appropriations process over the next five years.
This Committee argued that providing large increases for those programs,
and guaranteeing those amounts through firewall mechanisms and points of
order in the House, essentially created mandatory appropriations within
the discretionary caps, which would undermine Congressional flexibility
to fund other equally important programs. As a result, of the
$46,891,913,900 of budgetary resources provided in this bill, nearly 70
percent, is not controlled by annual appropriations Acts but is
predetermined by TEA21. The remaining $14,800,000,000 includes
appropriations and budgetary resources principally for the National
Railroad Passenger Corporation (Amtrak), the U.S. Coast Guard, the
Federal Aviation Administration, the offices of the secretary, the
Research and Special Programs Administration, and a number of smaller
independent agencies. These appropriations are currently controlled by
annual appropriations action.
The Committee has worked hard in this new environment to produce a
balanced bill, which provides adequately for all modes of
transportation. The transportation subcommittee has been allocated a 7.4
percent increase ($2.8 billion) in outlays for the coming fiscal year,
while the non-defense discretionary budget as a whole is at a hard
freeze. Clearly, this increase will cause non-transportation programs
all across the government to be under more severe budget pressures, in
order to keep the overall budget in balance. However, the effect of the
firewalls also leaves its mark on those transportation programs and
activities not covered within the surface transportation
guarantees--most notably the Coast Guard and the Federal Aviation
Administration. Since the highway and transit guarantees consume the
full 7.4 percent increase provided to the Subcommittee, other agencies
in the bill must compete for leftover funding, which is essentially at a
hard freeze. The FAA and the Coast Guard together requested an increase
of almost $600,000,000 in fiscal year 1999 outlays. Although reasonable,
this level of funding is simply not possible because of the firewalls,
resulting in a Committee bill approximately $250,000,000 below the
request for these safety-related agencies. Since the Subcommittee is
required to allocate all of its increased resources to firewalled
programs, these other agencies will continue to feel the budgetary
pressures.
The Committee has done the best it can considering the new firewalls.
However, the Committee is concerned that this new legislation skews
transportation priorities inappropriately, by providing a banquet of
increases to highway and transit spending while leaving safety-related
agencies such as the Coast Guard and FAA to scramble for the remaining
crumbs. In addition, high priority policy initiatives such as increased
funding for drug interdiction could not be fully funded without
offsetting cuts in Coast Guard spending because of the firewalls. The
Committee continues to believe that safety should remain the Federal
Government's highest responsibility in the transportation area. Were it
not for the firewalls, a portion of the generous 7.4 percent increase
could have been allocated to improvements in aviation or maritime
safety, and more could have been done to fight the menace of illegal
drug trafficking, while still providing significant increases in highway
and transit programs. The Committee has also been unable to consider
increases above the guaranteed levels for highways and transit programs,
because it would have required even further reductions in critical FAA
and Coast Guard programs.
TABULAR SUMMARY
A table summarizing the amounts provided for fiscal year 1998 and the
amounts recommended in the bill for fiscal year 1999 compared with the
budget estimates is included at the end of this report.
COMMITTEE HEARINGS
The Committee has conducted extensive hearings on the programs and
projects provided for in the Department of Transportation and Related
Agencies Appropriations Bill for fiscal year 1999. These hearings are
contained in seven published volumes totaling approximately 9,000 pages.
The Committee received testimony from officials of the executive branch,
Members of Congress, officials of the General Accounting Office,
officials of state and local governments, and private citizens.
The bill recommendations for fiscal year 1999 have been developed
after careful consideration of all the information available to the
Committee.
PROGRAM, PROJECT, AND ACTIVITY
During fiscal year 1999, for the purposes of the Balanced Budget and
Emergency Deficit Control Act of 1985 (Public Law 99 177), as amended,
with respect to appropriations contained in the accompanying bill, the
terms ``program, project, and activity'' shall mean any item for which a
dollar amount is contained in an appropriations Act (including joint
resolutions providing continuing appropriations) or accompanying reports
of the House and Senate Committees on Appropriations, or accompanying
conference reports and joint explanatory statements of the committee of
conference. This definition shall apply to all programs for which new
budget (obligational) authority is provided, as well as to capital
investment grants, Federal Transit Administration. In addition, the
percentage reductions made pursuant to a sequestration order to funds
appropriated for facilities and equipment, Federal Aviation
Administration, and for acquisition, construction, and improvements,
Coast Guard, shall be applied equally to each ``budget item'' that is
listed under said accounts in the budget justifications submitted to the
House and Senate Committees on Appropriations as modified by subsequent
appropriations Acts and accompanying committee reports, conference
reports, or joint explanatory statements of the committee of conference.
SAFETY PROGRAMS
In this bill, the Committee has worked hard to protect funding for
essential safety-related programs of the Department of Transportation
and the independent agencies. This has been difficult, but not
impossible, given the budget constraints faced by the Federal Government
this year. In some cases, funds have been added to the administration's
request for safety-related activities. However, if, in the judgment of
departmental officials any of the Committee's recommendations would
significantly harm transportation safety, or if unanticipated safety
needs arise during the course of the appropriations process, the
Committee welcomes discussions with the administration to adjust
individual funding levels and provide the funding needed. The bill also
allows significant flexibility through the reprogramming process, which
requires no further legislative action. The Committee will work with
administration officials to reprogram funds for safety programs if that
should be required.
TITLE I--DEPARTMENT OF TRANSPORTATION
OFFICE OF THE SECRETARY
SALARIES AND EXPENSES
Appropriation, fiscal year 1998\1\ $61,000,000
Budget estimate, fiscal year 1999 61,930,000
Recommended in the bill\2\ (57,979,900)
xlBill compared with:
Appropriation, fiscal year 1998 -3,020,100
Budget estimate, fiscal year 1999 -3,950,100
\1\Excludes reductions of $343,000 for TASC.
\2\Total amount appropriated in separate accounts.
The bill provides a total program level of $57,979,900 for the
salaries and expenses of the various offices comprising the Office of
the Secretary. This year, however, the Committee has not approved the
consolidated appropriations request for the various offices within the
office of the secretary. Specific program recommendations are discussed
in this report under the individual appropriations accounts.
Congressional justifications .--The Committee was displeased with
the untimely submission of the department's fiscal year 1999
congressional justifications. While other executive departments are able
to submit their congressional justifications concurrent with the
official submission of the President's budget to Congress, the
department has not been able to do the same. Therefore, the Committee
directs the department to submit all of the department's fiscal year
congressional justifications on the first Monday in February, concurrent
with the official submission of the President's budget to Congress.
Moreover, the department is directed to submit its fiscal year 2000
congressional justification materials for the salaries and expenses of
the office of the secretary at the same level of detail provided in the
congressional justifications presented in fiscal year 1994.
Staffing levels .--The offices comprising the offices of the
secretary are directed not to fill any positions in fiscal year 1998
that are currently vacant, particularly if such vacancies are proposed
in this Act for elimination in fiscal year 1999 and not to fill those
positions in 1998 unless the statement of managers accompanying the
conference report for this bill specifically references the individual
positions being restored.
The Committee has endeavored to eliminate various positions that the
department had indicated were vacant at the time the Committee was
finalizing its recommendations. It is the intent of the Committee to
avoid any reductions in force and the Committee intends to work with the
department as the final conference report is developed to avoid serious
personnel disruptions.
Travel .--The Committee directs that travel funds appropriated for
offices of the secretary shall not be supplemented with funds from other
elements of the department excluding those related to the use of
military aircraft.
GENERAL PROVISIONS
Limitation on political and Presidential appointees .--The Committee
has included a provision in the bill (sec. 305), similar to provisions
in past Department of Transportation and Related Agencies Appropriations
Acts, which limits the number of political and Presidential appointees
within the Department of Transportation. The ceiling for fiscal year
1999 is 88 personnel, which is 19 below the ceiling enacted in fiscal
year 1998 and the same level as on board at the end of fiscal year 1997.
The Committee notes that the department had only 77 political and
presidential appointees on board this spring, and at no time since 1991
have such positions exceeded 100. The bill specifies that no political
or presidential appointee may be detailed outside the Department of
Transportation.
Advisory committees .--The Committee has continued bill language
that was included in past Department of Transportation and Related
Agencies Appropriations Acts which limit the funds used for advisory
committees of the Department of Transportation. The budget requested
that the limitation be deleted.
IMMEDIATE OFFICE OF THE SECRETARY
Appropriation, fiscal year 1998\1\ ($1,916,300)
Budget estimate, fiscal year 1999\2\ (1,988,800)
Recommended in the bill 1,623,800
xlBill compared with:
Appropriation, fiscal year 1998 -292,500
Budget estimate, fiscal year 1999 -365,000
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Immediate Office of the Secretary has the primary responsibility
to provide overall planning, direction, and control of departmental
affairs. The Committee recommends an appropriation of $1,623,800 for
expenses of the Immediate Office of the Secretary, which represents a
reduction of $292,500 from comparable levels provided for fiscal year
1998, and $365,000 below the budget request. The recommendation assumes
the following staffing and other reductions:
Eliminate 1 staff assistant -$100,000
Eliminate 1 deputy chief of staff -150,000
Disallow printing costs related to Garrett A. Morgan technology and transportation futures program -15,000
Reduction in travel costs -100,000
Eliminate various staff positions .--The Committee recommendation
assumes the elimination of one staff assistant position and one deputy
chief of staff. The Committee believes that these positions can be
eliminated without affecting the core responsibilities, duties and
functions of the department or the office of the secretary. In light of
other downsizing and staff reductions planned by the department and
recommended by the Committee, the office of the secretary should set the
example for the department.
Disallow printing costs related to Garrett A. Morgan technology and
transportation futures program .--The Committee has not provided $15,000
requested to print documents related to the Garrett A. Morgan program, a
program that seeks to encourage minority students to pursue
transportation careers. Funds for this activity are included within the
$200,000 provided to RSPA for the Garrett A. Morgan program in fiscal
year 1999.
Reduction in travel costs .--The Committee recommends that travel
expenses of the immediate office of the secretary be reduced by
$100,000. Travel expenses of this office have increased by almost 70
percent in one year, far in excess of the rate of inflation. Increases
in travel of this magnitude are not justified. The Committee
recommendation will provide a total of $160,000 for travel in fiscal
year 1999, the same level as approved by the Congress in fiscal year
1998. In light of other downsizing and staff reductions planned by the
department and recommended by the Committee, the office of the secretary
should set an example of economy for the department.
IMMEDIATE OFFICE OF THE DEPUTY SECRETARY
Appropriation, fiscal year 1998\1\ ($554,700)
Budget estimate, fiscal year 1999\2\ (595,900)
Recommended in the bill 585,000
xlBill compared with:
Appropriation, fiscal year 1998 +30,300
Budget estimate, fiscal year 1999 -10,900
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Immediate Office of the Deputy Secretary has the primary
responsibility to assist the Secretary in the overall planning,
direction and control of departmental affairs. The Committee recommends
an appropriation of $585,000 for expenses of the office of the deputy
secretary, which represents an increase of $30,300 from comparable
levels provided for fiscal year 1998, and $10,900 below the budget
request. The recommendation assumes a staffing level of 7 full time
equivalent positions and the following reduction:
Reduction in travel costs -$10,900
Reduction in travel costs .--The Committee recommends that travel
expenses of the immediate office of the deputy secretary be reduced by
$10,900. Travel expenses of this office have increased by over 130
percent since 1995 and almost 63 percent since 1996, far in excess of
the rate of inflation. This reduction will provide a total of $15,100
for travel in fiscal year 1999, the same level as provided in fiscal
year 1996. In light of other downsizing and staff reductions planned by
the department and recommended by the Committee, the immediate offices
of the secretary and deputy secretary should set the example of economy
for the department.
OFFICE OF THE GENERAL COUNSEL
Appropriation, fiscal year 1998\1\ ($8,745,800)
Budget estimate, fiscal year 1999\2\ (9,195,000)
Recommended in the bill 8,895,000
xlBill compared with:
Appropriation, fiscal year 1998 +149,200
Budget estimate, fiscal year 1999 -300,000
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Office of the General Counsel provides legal services to the
Office of the Secretary and coordinates and reviews the legal work of
the chief counsels' offices of the operating administrations.
The Committee recommends an appropriation of $8,895,000 for expenses
of the office of general counsel, which represents an increase of
$149,200 from comparable levels provided for fiscal year 1998, and
$300,000 below the budget request. The recommendation assumes the
elimination of 3 attorney advisors (-$300,000).
OFFICE OF THE ASSISTANT SECRETARY FOR POLICY
Appropriation, fiscal year 1998\1\ ($2,795,500)
Budget estimate, fiscal year 1999\2\ (2,767,200)
Recommended in the bill 2,667,200
xlBill compared with:
Appropriation, fiscal year 1998 -128,300
Budget estimate, fiscal year 1999 -100,000
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Assistant Secretary for Policy is the chief domestic policy
officer of the department and is responsible to the Secretary for
analysis, development, communication and review of policies and plans
for domestic transportation issues.
The Committee recommends an appropriation of $2,667,200 for expenses
of the office of the assistant secretary for policy, which represents a
reduction of $128,300 from comparable levels provided for fiscal year
1998, and $100,000 below the level requested in the budget. The
recommendation assumes the elimination of 2 policy analysts (-$100,000).
OFFICE OF THE ASSISTANT SECRETARY FOR AVIATION AND INTERNATIONAL AFFAIRS
Appropriation, fiscal year 1998\1\ ($7,554,300)
Budget estimate, fiscal year 1999\2\ (7,427,200)
Recommended in the bill 7,002,200
xlBill compared with:
Appropriation, fiscal year 1998 -552,100
Budget estimate, fiscal year 1999 -425,000
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Assistant Secretary for Aviation and International Affairs is
responsible for administering economic regulatory functions regarding
the airline industry and provides departmental leadership and
coordination on international transportation policy issues relating to
maritime, trade, technical assistance and cooperative programs.
The Committee recommends an appropriation of $7,002,200 for expenses
of the office of the assistant secretary for aviation and international
affairs, which represents a reduction of $552,100 from comparable levels
provided for fiscal year 1998, and $425,000 below the level requested in
the budget. The recommendation assumes the following staffing
reductions:
Eliminate 4 transportation industry analysts -$300,000
Eliminate 1 special assistant -125,000
OFFICE OF THE ASSISTANT SECRETARY FOR BUDGET AND PROGRAMS
Appropriation, fiscal year 1998\1\ ($6,119,800)
Budget estimate, fiscal year 1999\2\ (6,464,300)
Recommended in the bill 6,069,300
xlBill compared with:
Appropriation, fiscal year 1998 -50,500
Budget estimate, fiscal year 1999 -395,000
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Assistant Secretary for Budget and Programs is responsible for
developing, reviewing and presenting budget resource requirements for
the department to the Secretary, Congress and the Office of Management
and Budget.
The Committee recommends an appropriation of $6,069,300 for expenses
of the office of the assistant secretary for budget and programs, which
represents a decrease of $50,500 from comparable levels provided for
fiscal year 1998, and $395,000 below the budget request. The
recommendation assumes the following reductions:
Disallow increase in reception and representation costs -$20,000
Eliminate 1 staff accountant and 1 program analyst -175,000
General reduction due to budget constraints -200,000
Disallow increases in reception and representation costs .--The
Committee has not provided an increase of $20,000 for additional
reception and representation activities. This request has been rejected
for the past several years. In light of significant staffing reductions
and budget constraints, approving additional appropriations for
reception and representation cannot be justified.
OFFICE OF THE ASSISTANT SECRETARY FOR GOVERNMENTAL AFFAIRS
Appropriation, fiscal year 1998\1\ ($1,873,000)
Budget estimate, fiscal year 1999\2\ (1,940,600)
Recommended in the bill 1,672,000
xlBill compared with:
Appropriation, fiscal year 1998 -201,000
Budget estimate, fiscal year 1999 -268,600
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Office of the Assistant Secretary for Governmental Affairs is
responsible for coordinating all Congressional, intergovernmental, and
consumer activities of the department.
The Committee recommends an appropriation of $1,672,000 for this
office, which represents a decrease of $201,000 from the comparable 1998
level and a decrease of $268,600 from the budget request. The
recommendation assumes a staffing level of 22 full time equivalent
positions, one fewer than provided in fiscal year 1998 and requested in
the budget. The recommendation assumes the following reductions:
Eliminate deputy assistant secretary for governmental affairs -$150,000
General reduction due to budget constraints -100,000
Travel reductions -18,600
OFFICE OF THE ASSISTANT SECRETARY FOR ADMINISTRATION
Appropriation, fiscal year 1998\1\ ($20,137,200)
Budget estimate, fiscal year 1999\2\ (20,213,100)
Recommended in the bill 19,147,100
xlBill compared with:
Appropriation, fiscal year 1998 -990,100
Budget estimate, fiscal year 1999 -1,066,000
\1\Appropriated within the consolidated salaries and expenses account and includes reduction of $343,000 for TASC and carryover of $505,900.
\2\Requested in the consolidated salaries and expenses account.
The Office of the Assistant Secretary for Administration is
responsible for coordinating, overseeing and conducting various
accounting, procurement, personnel management, and ADP operations of the
department.
The Committee recommends an appropriation of $19,147,100 for expenses
of the office of the assistant secretary for administration, which
represents a reduction of $990,100 from comparable levels provided for
fiscal year 1998, and $1,066,000 below the budget request. The
recommendation assumes the following reductions:
Disallow increase in travel expenses -$16,000
Eliminate 3 positions (1 budget analyst, 1 program analyst, 1 procurement analyst) -300,000
Eliminate 10 procurement analysts from the office of acquisition -750,000
Eliminate 3 positions .--The Committee recommendation eliminates
three positions within the office of administration: 1 budget analyst, 1
program analyst, and 1 procurement analyst. These positions are
currently vacant and there does not appear to be any plan to fill them.
Eliminate 10 procurement analysts from the office of acquisition
.--The Committee recommendation reduces by 10 the number of procurement
analysts in the office of acquisition and grants management. While the
Committee once supported the department's intended aggressive initiative
to improve acquisition oversight at the departmental level, the
Committee now questions the value added by limited, informal secretarial
reviews. Over the past years, the FAA, which is responsible for the
majority of the department's major initiatives, has been provided new
acquisition authorities, including greater flexibility and latitude in
its procurement program, and as a result, the administrative offices of
the secretary have little, if any, oversight role.
OFFICE OF PUBLIC AFFAIRS
Appropriation, fiscal year 1998\1\ ($1,746,600)
Budget estimate, fiscal year 1999\2\ (1,752,600)
Recommended in the bill 1,377,600
xlBill compared with:
Appropriation, fiscal year 1998 -369,000
Budget estimate, fiscal year 1999 -375,000
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Office of Public Affairs is responsible for news releases,
articles, fact sheets, briefing materials, publications, and
audio-visual materials of the department.
The Committee recommends an appropriation of $1,377,600 for expenses
of the office of public affairs, which represents a reduction of
$369,000 from comparable levels provided for fiscal year 1998, and
$375,000 below the budget request. The recommendation assumes the
following reductions:
Eliminate public affairs associate director of speechwriting and research -$125,000
Eliminate 2 public affairs specialists -100,000
Eliminate special assistant to the associate director -125,000
Eliminate various positions .--The Committee recommends elimination
of four positions within the office of public affairs. In light of
budget constraints and other government downsizing, public affairs
operations not critical to the department can be reduced without
significantly affecting the core responsibilities of the office of the
secretary.
EXECUTIVE SECRETARIAT
Appropriation, fiscal year 1998\1\ ($1,088,500)
Budget estimate, fiscal year 1999\2\ (1,046,900)
Recommended in the bill 1,046,900
xlBill compared with:
Appropriation, fiscal year 1998 -41,600
Budget estimate, fiscal year 1999
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Executive Secretariat assists the Secretary and Deputy Secretary
in carrying out their management functions and responsibilities by
controlling and coordinating internal and external written materials.
The Committee recommends an appropriation of $1,046,900 for expenses
of the office of the executive secretariat, which represents a reduction
of $41,600 from comparable levels provided for fiscal year 1998, and the
same level as the budget request. The recommendation assumes a staffing
level of 15 full time equivalent (FTE) positions, the same level as the
budget request and a reduction of one FTE from fiscal year 1998.
BOARD OF CONTRACT APPEALS
Appropriation, fiscal year 1998\1\ ($480,700)
Budget estimate, fiscal year 1999\2\ (675,500)
Recommended in the bill 675,500
xlBill compared with:
Appropriation, fiscal year 1998 +194,800
Budget estimate, fiscal year 1999
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Board of Contract Appeals provides an independent forum for
considering all contract-related claims by or against a contractor
involving any element of the department.
The Committee recommends an appropriation of $675,500 for expenses of
the board of contract appeals, which represents an increase of $194,800
from comparable levels provided for fiscal year 1998, and the same level
as the budget request. The recommendation assumes a staffing level of 6
full time equivalent positions, the same level as in fiscal year 1998
and requested in the budget.
OFFICE OF SMALL AND DISADVANTAGED BUSINESS UTILIZATION
Appropriation, fiscal year 1998\1\ ($1,053,600)
Budget estimate, fiscal year 1999\2\ (909,200)
Recommended in the bill 839,200
xlBill compared with:
Appropriation, fiscal year 1998 -214,400
Budget estimate, fiscal year 1999 -70,000
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Office of Small and Disadvantaged Business Utilization is
responsible for promoting small and disadvantaged business participation
in the department's procurement and grants programs. The Committee
recommends an appropriation of $839,200 for expenses of the office of
small and disadvantaged business utilization, which represents a
reduction of $214,400 from comparable levels provided for fiscal year
1998, and $70,000 below the budget request. The recommendation assumes
the elimination of one financial analyst.
Small business procurements. --The Committee encourages the
department to increase small business procurement opportunities arising
from projects that involve federal funding. Outreach and assistance to
minority, women-owned and disadvantaged businesses should be promoted to
increase participation in the department's procurements. The Committee
recommends that a focused effort be made to increase the opportunity and
participation of small businesses in DOT-related procurements.
OFFICE OF INTELLIGENCE AND SECURITY
Appropriation, fiscal year 1998\1\ ($1,025,000)
Budget estimate, fiscal year 1999\2\ (1,036,100)
Recommended in the bill 961,100
xlBill compared with:
Appropriation, fiscal year 1998 -63,900
Budget estimate, fiscal year 1999 -75,000
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Office of Intelligence and Security was created during fiscal
year 1990 to address transportation intelligence and security issues.
The primary purposes of the office are to provide intelligence and
security oversight of the operating administrations to increase the
safety and security of the traveling public, and to provide the
Secretary and Deputy Secretary with current intelligence and security
information, with special emphasis on potential or actual terrorist
threats to transportation interests.
The Committee recommends an appropriation of $961,100 for expenses of
the office of intelligence and security, which represents a decrease of
$63,900 from comparable levels provided for fiscal year 1998, and
$75,000 below the level in the budget request. The recommendation
assumes elimination of one transportation security specialist.
OFFICE OF THE CHIEF INFORMATION OFFICER
Appropriation, fiscal year 1998\1\ ($4,777,700)
Budget estimate, fiscal year 1999\2\ (4,874,600)
Recommended in the bill 4,400,000
xlBill compared with:
Appropriation, fiscal year 1998 -377,700
Budget estimate, fiscal year 1999 -474,600
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
The Office of the Chief Information Officer serves as the principal
advisor to the Secretary on matters involving information resources and
information systems management, including responsibility over the
Federal Aviation Administration's Year 2000 compliance efforts.
The Committee recommends an appropriation of $4,400,000 for expenses
of the office of the chief information officer, which represents a
reduction of $377,700 from comparable levels provided for fiscal year
1998, and $474,600 below the budget request. The recommendation assumes
a staffing level of 14 full time equivalent positions, the same level as
provided in fiscal year 1998 and requested in the budget. The
recommendation includes $200,000 for tracking, renovation and validation
of the department's Year 2000 efforts and reductions in other services
due to outlay constraints (-$474,600).
OFFICE OF INTERMODALISM
Appropriation, fiscal year 1998\1\ ($1,294,200)
Budget estimate, fiscal year 1999\2\ (1,041,900)
Recommended in the bill 1,018,000
xlBill compared with:
Appropriation, fiscal year 1998 -276,200
Budget estimate, fiscal year 1999 -23,900
\1\Appropriated within the consolidated salaries and expenses account.
\2\Requested in the consolidated salaries and expenses account.
Congress mandated that an office of intermodalism be established
within the office of the secretary in Title V of the Intermodal Surface
Transportation Efficiency Act of 1991. As an organization within the
office of the secretary, the office works on intermodal initiatives
involving multiple operating administrations, and on special projects
assigned to, or by, the associate deputy secretary. Within the
department, the office works with operating administrations through a
partnership approach to problem solving. This approach ensures project
outcomes that are shaped by the policies, programs, and regulatory
interpretations of the operating administrations and the office of the
secretary.
The Committee has provided $1,018,000 for the office of
intermodalism, which represents a reduction of $276,200 from comparable
levels provided for fiscal year 1998 and $23,900 below the budget
request. The recommendation assumes a reduction of $23,900 in travel
expenses, which holds travel to the levels approved in fiscal year 1998.
The Committee notes that an excessive amount of travel to attend
overseas forums has occurred over the past year, despite numerous
vacancies within the office.
OFFICE OF CIVIL RIGHTS
Appropriation, fiscal year 1998\1\ $5,574,000
Budget estimate, fiscal year 1999 6,966,000
Recommended in the bill 6,966,000
xlBill compared with:
Appropriation, fiscal year 1998 +1,392,000
Budget estimate, fiscal year 1999
\1\Excludes reductions of $12,000 for TASC.
The Office of Civil Rights is responsible for advising the Secretary
on civil rights and equal opportunity matters and ensuring full
implementation of civil rights opportunity precepts in all of the
Department's official actions and programs. This office is responsible
for enforcing laws and regulations that prohibit discrimination in
federally operated and federally assisted transportation programs. This
office also handles all civil rights cases related to Department of
Transportation employees.
The Committee recommends an appropriation of $6,966,000 for expenses
of the office of civil rights, which represents an increase of
$1,392,000 from fiscal year 1998 enacted levels and the same level as
the budget request.
TRANSPORTATION PLANNING, RESEARCH, AND DEVELOPMENT
Appropriation, fiscal year 1998\1\ $4,400,000
Budget estimate, fiscal year 1999 4,710,000
Recommended in the bill 3,035,000
xlBill compared with:
Appropriation, fiscal year 1998 -1,365,000
Budget estimate, fiscal year 1999 -1,675,000
\1\Excludes reductions of $8,000 for TASC.
This appropriation finances those research activities and studies
concerned with planning, analysis, and information development needed to
support the Secretary's responsibilities in the formulation of national
transportation policies. The overall program is carried out primarily
through contracts with other federal agencies, educational institutions,
nonprofit research organizations, and private firms.
The Committee recommends $3,035,000 for this appropriation, which
represents a decrease of $1,675,000 below the request and $1,365,000
from the 1998 enacted level. Within the total provided, the recommended
level holds transportation planning and studies to $700,000; provides
the budget request of $1,935,000 for salaries and administrative
expenses; and holds transportation system planning to $400,000. These
levels will permit annualization and other pay-related costs for 15 FTE
and will fully fund all ongoing activities, and will provide nominal
increases for proposed studies and evaluations, albeit below the budget
estimate.
The recommended level also provides $400,000 for the department's
transportation system planning activities, which represents a decrease
of $462,000 from the 1998 enacted level and $770,000 below the budget
request. The recommended level defers funding for continued development
of the electronic grants system, automated coordination, and the FOIA
response system. A requirements analysis study for the FOIA response
system, including costs and benefits, has yet to be completed, and
therefore the need for such a system has not been quantified.
None of the funds provided under this appropriation shall be for
activities related to sustainable transportation.
Within the amounts provided for transportation planning, research and
development, the Committee has included sufficient resources to fund a
collaboration of industry, education, and government entities to develop
a skilled workforce for the transportation industry, provided that total
federal support for this activity not exceed $1,000,000 in total.
TRANSPORTATION ADMINISTRATIVE SERVICE CENTER
Appropriation, fiscal year 1998\1\ ($121,800,000)
Budget estimate, fiscal year 1999\2\ (175,715,000)
Recommended in the bill\3\ (109,124,000)
xlBill compared with:
Appropriation, fiscal year 1998 (-12,676,000)
Budget estimate, fiscal year 1999 (-66,591,000)
\1\In fiscal year 1998, the limitation on transportation administrative service center expenses was reduced by $3,000,000.
\2\Proposed without limitation. Amount reflected is the estimated program level for FY 1999.
\3\In fiscal year 1999, the limitation on transportation administrative service center expenses is also addressed in a general provision (-$20,000,000).
The transportation administrative service center was created in
fiscal year 1997 to provide common administrative services to the
various modes and outside entities that desire those services for
economy and efficiency. The fund is financed through negotiated
agreements with the department's operating administrations and other
governmental elements requiring the center's capabilities.
The Committee agreed to create the transportation administrative
service center in fiscal year 1997 at the department's request. In
agreeing to that request, the Committee limited (1) the activities that
can be transferred to the transportation administrative service center
to only those approved by the agency administrator and (2) special
assessments or reimbursable agreements levied against any program,
project or activity funded in this Act to only those assessments or
reimbursable agreements and the basis for them are presented to and
approved by the House and Senate Committees on Appropriations. These
limitations are continued in fiscal year 1999.
The Committee recommends a limitation of $109,124,000, a decrease of
$12,676,000 from the enacted level and $66,591,000 below the request.
The recommended reductions from the budget request reflect the following
adjustments:
Eliminate the transportation computer center -$15,000,000
Disallow proposed transfer of the National Oceanic and Atmospheric Administration's Office of Aeronautical Charting and Cartography to the TASC -51,591,000
Transportation computer center.-- The conference agreement
accompanying the fiscal year 1998 Department of Transportation and
Related Agencies Appropriations Act directed the department's Inspector
General to evaluate TASC's utility and cost effectiveness both to the
individual operating administrations and the department in general and
determine whether TASC is providing quality services that are responsive
to customer needs at competitive prices. The IG's audit concluded that
TASC generally provides services of utility to its users; however, the
audit also disclosed that several services raised substantive cost
effectiveness issues.
Specifically, the IG determined that the Computer Center is currently
capable of operating at only two-thirds of the level that OMB considers
cost effective. The IG report concluded that this lack of cost
effectiveness correlates closely with customer survey results indicating
that 75 percent of the Computer Center's users expressed dissatisfaction
with the cost competitiveness of the computer center.
The IG also obtained an evaluation report of the computer center
prepared by a DOT consultant. Based upon that report and its own audit,
the IG concluded that computer center does not have the customer base to
operate in a cost effective manner and noted that ``the justification
for continued operation of the computer center is in doubt.''
The Committee's recommendation eliminates the transportation computer
center within the transportation administrative service center and
permits the operating administrations to procure similar services from
other governmental or private providers.
Disallow proposed transfer of the National Oceanic and Atmospheric
Administration's Office of Aeronautical Charting and Cartography to the
TASC.-- The budget proposed that the National Oceanic and Atmospheric
Administration's Office of Aeronautical Charting and Cartography (AC&C)
be transferred from the Department of Commerce and placed within the
TASC. While the department believes that the AC&C product offerings are
closely aligned with the services provided by TASC, the Committee
asserts that the aeronautical charting services ultimately support
aviation safety missions within the FAA, and it is more logical that
these services be performed within the FAA. The Committee recommendation
includes funding for this activity within the FAA's appropriation for
fiscal year 1999. Accordingly, the TASC obligation limitation has been
reduced by $51,591,000 and staff reduced by 379 FTE.
General provision.-- The Committee has included a general provision
which provides that amounts budgeted for the transportation
administrative service center in this bill are reduced, on a pro-rata
basis, to a limitation of $89,124,000. The Committee believes that this
reduction is justified given the significant personnel reductions that
have occurred within the department over the past several years. For
example, the department projects that if staffing adjustments continue
at current rates through the end of fiscal year 1998, the 1998 civilian
full time equivalent (FTE) employment will be about 1,620, or two
percent, below the levels provided for in the fiscal year 1998
Department of Transportation and Related Agencies Appropriations Act. As
such, common administrative expenses like copying, supplies, computer
services, motor pool, parking and transit benefits, and
telecommunications services should be declining and can be accommodated
within the levels provided in this Act.
The Committee is concerned, however, that previous reductions in
obligation authority have not been reflected in reduced billings to the
modal administrations. As such, over the past several years, TASC
charges have not been reduced to correspond to Congressional reductions
and each year the modal administrations have had to absorb sizable
shortfalls in TASC funding. The Committee directs the administrator of
the TASC to develop a mechanism to ensure that the budget approved for
the TASC in this Act corresponds to the appropriations provided to the
modes in this Act. In allocating the reductions recommended in this Act
for the TASC, the administrator of the TASC shall not reduce funding
provided to the modes for the transportation computer center, as these
services are to be acquired from other sources in fiscal year 1999.
PAYMENTS TO AIR CARRIERS
(AIRPORT AND AIRWAY TRUST FUND)
The essential air service program was originally created by the
Airline Deregulation Act of 1978 as a temporary measure to continue air
service to communities that had received federally mandated air service
prior to deregulation. The program currently provides subsidies to air
carriers serving small communities that meet certain criteria.
Subsidies, ranging from $5 to $320, currently support air service to 82
communities and serve about 700,000 passengers annually. This program
was established to provide a smooth phaseout of federal subsidies to
airlines that serve small airports.
The Federal Aviation Reauthorization Act of 1996 (Public Law 104 264)
authorized the collection of user fees for services provided by the
Federal Aviation Administration to aircraft that neither take off from,
nor land in the United States, commonly known as overflight fees.
Consistent with this legislation, this program became a mandatory
program in fiscal year 1998.
General provision.-- Over the years, Congress and the department
have worked to streamline the essential air service program and to
increase its efficiency by eliminating communities that are within an
easy drive of a major hub airport or where the costs clearly outweigh
the benefits. The bill includes a limitation (sec. 331), as requested by
the administration, that continues the existing eligibility standards
and will help preserve those efficiencies. Specifically, this limitation
continues appropriations language that limits the number of communities
that receive essential air service funding by excluding points in the 48
contiguous United States that are located fewer than seventy highway
miles from the nearest large or medium hub airport, or that require a
subsidy in excess of $200 per passenger, unless such point is more than
210 miles from the nearest large or medium airport.
MINORITY BUSINESS RESOURCE CENTER PROGRAM
Appropriation Limitation on direct loans
Appropriation, fiscal year 1998 $1,900,000 ($15,000,000)
Budget estimate, fiscal year 1999 1,900,000 (13,775,000)
Recommended in the bill 1,900,000 (13,775,000)
xlBill compared to:
Appropriation, fiscal year 1998 (-1,225,000)
Budget estimate, fiscal year 1999
The minority business resource center of the Office of Small
Disadvantaged Business Utilization provides assistance in obtaining
short-term working capital and bonding for disadvantaged, minority, and
women-owned businesses. The program enables qualified businesses to
obtain loans at prime interest rates for transportation-related
projects.
Prior to fiscal year 1993, loans under this program were funded by
the Office of Small and Disadvantaged Business Utilization without a
limitation. Reflecting the changes made by the Credit Reform Act of
1990, beginning in fiscal year 1993, a separate appropriation was
proposed in the President's budget only for the subsidy inherently
assumed in those loans and the cost to administer the loan program.
The recommendation fully funds the budget request, which provides a
limitation on direct loans of $13,775,000 and subsidy and administrative
costs totaling $1,900,000.
MINORITY BUSINESS OUTREACH
Appropriation, fiscal year 1998 $2,900,000
Budget estimate, fiscal year 1999 2,900,000
Recommended in the bill 2,900,000
xlBill compared with:
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999
This appropriation provides contractual support to assist minority
business firms, entrepreneurs, and venture groups in securing contracts
and subcontracts arising out of projects that involve Federal spending.
It also provides grants and contract assistance that serves DOT-wide
goals and not just OST purposes. The Committee has provided $2,900,000,
the same level as provided in fiscal year 1998 and included in the
budget request.
AMTRAK REFORM COUNCIL
Appropriation, fiscal year 1998 $2,450,000
Budget estimate, fiscal year 1999
Recommended in the bill 450,000
xlBill compared with:
Appropriation, fiscal year 1998 -2,000,000
Budget estimate, fiscal year 1999 +450,000
The Amtrak Reform and Accountability Act of 1997 (P.L. 105 134)
established the Amtrak Reform Council. This Act assigned the following
tasks to the Council: (1) evaluate Amtrak's performance and make
recommendations to Amtrak for achieving further cost containment,
productivity improvements, and financial reforms; (2) monitor work-rule
savings; and (3) develop an action plan for a ``restructured and
revitalized national intercity passenger rail system'' if the Council
determines, any time after December 1999, that Amtrak is not achieving
its financial goals or that it would require an operating subsidy after
December 2002.
The Committee has provided $450,000 for the Amtrak Reform Council in
fiscal year 1999. This funding coupled with $80,000 provided under the
Emergency Supplemental Appropriations Act of 1998 shall be sufficient
for the Council to begin its review of Amtrak's financial condition. The
Committee believes that the Council will work closely with the
Department of Transportation's Inspector General (IG) to fulfill its
duties. The IG has recently awarded a contract for an independent
assessment of Amtrak's financial needs through the year 2002. This work
will be completed in November 1999. Thereafter, the IG will be
reassessing, on a yearly basis, Amtrak's financial needs. Therefore,
much of the information the Council will need to evaluate Amtrak's
financial performance and to make its recommendations should be
available from the IG.
COAST GUARD
SUMMARY OF FISCAL YEAR 1999 PROGRAM
The Coast Guard, as it is known today, was established on January 28,
1915, through the merger of the Revenue Cutter Service and the
Lifesaving Service. This was followed by transfers to the Coast Guard of
the United States Lighthouse Service in 1939 and the Bureau of Marine
Inspection and Navigation in 1942. The Coast Guard has as its primary
responsibilities enforcing all applicable federal laws on the high seas
and waters subject to the jurisdiction of the United States; promoting
safety of life and property at sea; aiding navigation; protecting the
marine environment; and maintaining a state of readiness to function as
a specialized service of the Navy in time of war.
Including funds for national security activities and retired pay
accounts, the Committee recommends a total program level of
$3,887,000,000 for activities of the Coast Guard in fiscal year 1999.
This is $29,446,000 less than the fiscal year 1998 program
level--essentially a hard freeze.
The following table summarizes the fiscal year 1998 program levels,
the fiscal year 1999 program requests, and the Committee's
recommendations:
Program Fiscal year--
Operating expenses\1\\2\ $2,715,400,000 $2,771,705,000 $2,700,000,000
Acquisition, construction and improvements\3\ 388,850,000 442,773,000 389,000,000
Environmental compliance and restoration 21,000,000 21,000,000 21,000,000
Alteration of bridges 17,000,000 12,000,000
Retired pay\4\ 653,196,000 684,000,000 684,000,000
Reserve training 67,000,000 67,000,000 69,000,000
Research, development, test and evaluation 19,000,000 18,300,000 12,000,000
Boat safety\5\ 35,000,000
---------------- ---------------- -----------------
Total 3,916,446,000 4,004,778,000 3,887,000,000
\1\Fiscal year 1998 amount includes $300,000,000 specifically for defense-related activities and scored against budget function 050 (defense); fiscal year 1999 estimated amount includes $309,000,000 (and the recommendation includes $300,000,000) specifically for national security activities of the Coast Guard and scored against budget function 050 (defense).
\2\Fiscal year 1998 total includes $1,600,000 in supplemental appropriations from Public Law 105-18 related to TWA 800 disaster recovery expenses and excludes reductions of $529,000 for TASC.
\3\Fiscal year 1999 estimated amount includes $35,000,000 in new user fees.
\4\Fiscal year 1998 total includes $9,200,000 provided in supplemental appropriations from Public Law 105 18.
\5\Fiscal year 1999 estimate includes $35,000,000 proposed in mandatory spending.
COUNTER-DRUG INITIATIVE
The Committee believes that a much more aggressive effort is needed
to fight the war on drugs, and that the current response of the
administration is inadequate. The Coast Guard plays a critical role in
defending the nation against the threat of illegal drugs, by patrolling
maritime lanes of supply in the air and on the sea, and by interdicting
drug smugglers in the transit zone. The Committee notes that the fiscal
year 1999 budget request would provide essentially the same level of
funding as provided in fiscal year 1998--a level which would, according
to the Coast Guard, result in 14 percent less cocaine seized, and 25
percent less cutter hours, than experienced in fiscal year 1997. In a
Subcommittee hearing this year, the Commandant of the Coast Guard
described actions taken by the service in fiscal year 1997 to intensify
their counter-drug activities:
Some of it . . . I took away from fisheries, to
demonstrate that we could get a lot of bang for the buck with
this investment, and I think our statistics demonstrated that.
I think we had a 1,000 percent increase in some of our
performance figures, 300 percent in others. We have seized
more drugs than we ever seized before. I feel we had a
dramatic impact on the welfare and safety of the people of
Puerto Rico and the Virgin Islands, as an example. I actually
honestly believed that this year would be the second year, and
I would be funded, and the administration would ask for me to
continue those programs, and I wasn't. And so I am
disappointed in that . . .
The Committee wants to see more illegal drugs seized, not less, and
is willing to rearrange service priorities to make it happen. Therefore,
the bill provides an increase, above the budget request, of $73,800,000
for Coast Guard counter-drug activities. This raises operations funding
for counter-drug activities to $406,091,000 in fiscal year 1999, an
increase of $33,800,000 (9.1 percent) above the fiscal year 1998 level.
The bill also includes an additional $40,000,000 in AC&I for
high-priority counter-drug acquisitions. These items and activities are
listed below.
Operating expense increases.-- The increase of $33,800,000 is
intended for the following items and activities:
Increase HH 65 patrol hours $2,100,000
Increase C 130 patrol hours 830,000
Increase WPB patrol hours 7,478,000
Increase international law enforcement training 1,100,000
PC 170 O&M 2,885,000
Reactivate 2 T AGOS vessels 6,166,000
Maintain 7 WPBs in fleet 4,508,000
Drug detection sensors 1,000,000
Activate 3 HU 25 falcon jets 4,607,000
Increase intelligence collection support 948,000
Caribbean support tender 2,178,000
-------------
Total 33,800,000
Acquisition, construction, and improvements (AC&I) increases.-- The
increase of $40,000,000 is intended for the following items and
activities:
Reactivate 2 T AGOS vessels $9,900,000
HU 25 jet engine overhaul 9,100,000
Sensors, cutter or jet 9,000,000
Low signature aircraft 2,000,000
Barracuda coastal patrol boats 10,000,000
-------------
Total 40,000,000
Given the tight discretionary caps this year, the Committee is unable
to provide resources above the overall Coast Guard budget request
without unacceptably harming the programs of other DOT agencies.
Furthermore, the Committee believes these resources can be accommodated
through a reprioritization of existing missions and programs, much as
they were in fiscal year 1997. Therefore, the counter-drug operating
activities are offset by reductions in two areas: fisheries enforcement
(-$13.8 million) and polar icebreaking (-$20 million). Several
lower-priority capital programs have been likewise reduced to
accommodate the stronger focus on counter-drug activities. This reflects
the Committee's view that counter-drug operations should receive a
higher priority relative to other mission areas.
The Commandant testified this year ``in my personal opinion, drug law
enforcement has a higher national security priority than fisheries
enforcement''. Therefore, it seems inconsistent that the
administration's request would allocate 17 percent of the Coast Guard
operating budget to fisheries enforcement and 13 percent to drug
interdiction. In total, the budget requests $115,775,000 more for
fisheries law enforcement than for drug interdiction. The Committee
recommendation redirects 4 percent of the fisheries budget, and reduces
polar icebreaking significantly, to fund increased counter-drug
activities. In fiscal year 1997, the Coast Guard was only reimbursed 12
percent of their costs for the polar icebreaking program, even though
the program provides benefits largely to non-DOT agencies and research
institutions. In fiscal year 1999, the Coast Guard plans to commission a
new polar icebreaker, which will add $10,500,000 in operating costs--but
only $4,000,000 is expected to be reimbursed by users. In order to
finance the increased effort in the war on drugs, the Committee
recommendation reduces direct Coast Guard funding for polar icebreaking
from $36,971,000 to $16,971,000, and assumes that the service can
maintain current service levels to the extent that the primary
beneficiaries of the program agree to pay those costs on a reimbursable
basis.
OPERATING EXPENSES
Appropriation, fiscal year 1998\1\ $2,715,400,000
Budget estimate, fiscal year 1999\2\ 2,771,705,000
Recommended in the bill\1\ 2,700,000,000
xlBill compared with:
Appropriation, fiscal year 1998 -15,400,000
Budget estimate, fiscal year 1999 -71,705,000
\1\Includes $300,000,000 in funds for national security activities included in this bill and excludes reductions of $529,000 for TASC.
\2\Includes $309,000,000 in funds for national security activities included in this bill.
Including $300,000,000 for national security activities, the
Committee recommends a total of $2,700,000,000 for operating activities
of the Coast Guard in fiscal year 1999, a decrease of $15,400,000 (less
than one percent) below the fiscal year 1998 appropriation and
$71,705,000 (2.6 percent) below the budget request. The following table
compares the fiscal year 1998 enacted level, the fiscal year 1999
estimate, and the recommended level by program, project and activity:
[In thousands of dollars]
Budget activity Fiscal year--
1998 enacted 1999 estimate 1999 recommended
I. Personnel Resources $1,702,298 $1,762,471 $1,728,260
II. Operating Funds and Unit Level Maintenance 617,467 619,593 618,145
C. District commands
1. 1st district (Boston) 37,711 36,831 36,831
2. 7th district (Miami) 46,400 47,532 47,532
3. 8th district (New Orleans) 29,894 30,044 30,044
4. 9th district (Cleveland) 18,205 18,583 18,583
5. 13th district (Seattle) 13,749 13,887 13,887
6. 14th district (Honolulu) 9,838 10,655 10,655
7. 17th district (Juneau) 20,693 10,805 10,805
III. Intermediate and Depot-Level Maintenance 395,106 389,641 389,641
IV. Account-wide Adjustments -36,046
---------------- --------------- ------------------
Total appropriation \3\2,714,871 2,771,705 2,700,000
Unobligated balance available 1,048
Offsetting collections (cash) 111,798 113,306 113,306
---------------- --------------- ------------------
Total budget authority available 2,827,717 2,885,011 2,813,306
\1\Includes operating funds for Coast Guard Academy and Training Centers as well as general funds for professional training and education.
\2\Includes ammunition and small arms (AFC 54) and Chief of Staff funds (AFC 40).
\3\Includes reduction of $529,000 to appropriated level.
COMMITTEE RECOMMENDATION
The recommended reduction from the budget estimate includes the
following adjustments:
Amount
Eliminate 79 new officer billets -$5,736,000
Do not restore slow hiring reduction of FY 1998 -15,000,000
Hold PCS reassignment moves to FY 1997 level -1,370,000
Defer college fund recruiting initiative pending authorization -545,000
Reduce growth in military pay and allowances -10,000,000
Eliminate GSA rent increase at OSC Martinsburg -1,448,000
Eliminate new DOT initiatives -498,000
Selected reductions in headquarters staffing -1,000,000
Non-pay COLA adjustment -10,000,000
Non-operational travel -2,500,000
Advisory and assistance services -2,000,000
Capitalizable projects (transfer to AC&I) -8,000,000
Raise fee rates for existing user fees and reimbursements -3,500,000
WLB primary crew assembly facility (transfer to AC&I) -548,000
Eliminate seven overseas liaison billets -560,000
Reduced OPTEMPO for national defense activities (050 reduction) -9,000,000
-71,705,000
COUNTER-DRUG INITIATIVE
The Committee recommends $406,091,000 for operating expenses of the
Coast Guard dedicated to counter-drug operations. This is $39,963,000
(10.9 percent) above the fiscal year 1998 estimated level and
$33,800,000 (9.1 percent) above the budget estimate. As was discussed in
an earlier section of this report, the Committee believes that an
expanded Coast Guard role is needed in the drug interdiction area, even
if it comes at the expense of lower priority mission areas. The
Committee notes that the Coast Guard expanded its drug interdiction work
significantly in fiscal year 1997 through the reprioritization of
activities and missions, and the results were highly successful. Not
only did the gross amount of seized drugs go up, but the Coast Guard's
efficiency statistics improved significantly also. By contrast, the
President's budget for fiscal year 1999 would redirect those resources
back into other activities, which would, according to the Coast Guard,
result in a drop in counter-drug cutter operating hours of 25 percent
and an estimated 14 percent drop in the amount of cocaine seized. The
Committee believes these additional funds are critical to sustaining,
and even improving upon, the successes achieved in fiscal year 1997. In
addition, the bill increases by $2,000,000 the Coast Guard Reserve
appropriation, partially in recognition of the important work of the
reserves in the drug interdiction arena. Specific activities funded with
this increase are explained below.
Increase HH 65 and C 130 patrol hours. --These increases were
originally requested by the Coast Guard, and certified by the Office of
National Drug Control Policy, but not included in the President's
budget. The Committee believes it important to increase surveillance
patrol hours. (+$2,930,000).
Patrol boat-related activities. --The Committee bill adds funds to
increase the operational hours of patrol boats performing drug
interdiction missions (+$7,478,000), maintain seven patrol boats
currently in service which would otherwise be decommissioned
(+$4,508,000), and take into the service, for the specific purpose of
enhancing counter-drug operations, a PC 170 (``Cyclone'' class) vessel
currently under control of DOD's Special Operations Command. The
Committee understands that the Coast Guard has been evaluating this
vessel for such operations, and believes it has high utility for their
drug interdiction activities. Hull fourteen is available and the bill
assumes the Coast Guard will work out an arrangement with the DOD for
the Coast Guard to operate and maintain this vessel specifically for
counter-drug work.
Increase international law enforcement training. --This increase was
originally requested by the Coast Guard, and certified by the Office of
National Drug Control Policy, but not included in the President's
budget. The Committee believes it important to increase such training.
(+$1,100,000).
Support vessels. --The Committee bill provides funds for the Coast
Guard to reactivate two T AGOS ocean surveillance vessels to serve as
afloat command and control and support ships for other surface vessels
in the Caribbean (and possibly Pacific) area of operations. This will
free up other, large Coast Guard vessels (such as 378-foot and 270-foot
cutters) for more effective counter-drug activities. The bill also
provides an additional $2,178,000 for the Caribbean support tender
included in the budget request at a lower funding level. This vessel is
designed to provide training support and other assistance to Caribbean
nations which are often used as trans-shipment points for illegal drugs.
For example, the Coast Guard has recently transferred to some of these
nations decommissioned patrol boats. However, without training
assistance, these small island nations are incapable of using the assets
to their maximum effectiveness. The support tender will provide such
assistance.
Activate HU 25 (``Falcon'') jets. --The Committee bill provides
$4,607,000 for the Coast Guard to recommission three HU 25 jets which
have been mothballed due to budget constraints. Additional funds are
included under AC&I for engine overhauls of these aircraft.
Drug detection sensors. --The bill includes $1,000,000 for
additional portable drug detection sensors. The Coast Guard currently
has 50 such sensors and has found them extremely valuable in
counter-drug operations. The bill would provide for the procurement of
approximately 10 more of such systems. The Coast Guard should explore
all available systems currently on the market, and procure those which
best satisfy their requirements.
Intelligence support. --The bill provides an additional $948,000 for
the Coast Guard to increase its intelligence collection efforts related
to counter-drug operations.
Activities Guyaquil and Esmeraldas, Ecuador. --Of the funds provided
in this account, $500,000 is specifically to augment and build up Coast
Guard and port control activities in Guyaquil and Esmeraldas, Ecuador.
PERSONNEL RESOURCES
The bill includes $1,728,260,000 for pay and allowances of Coast
Guard military and civilian personnel, a reduction of $34,211,000 from
the budget estimate and $25,962,000 (2.1 percent) above the fiscal year
1998 enacted level. Within the amount provided, the bill includes all
funds requested for special pays for military personnel.
Eliminate 79 new officer billets. --Given the high
officer-to-enlisted ratio in the Coast Guard relative to the other
military services, the Committee does not accept the need to expand the
officer corps, as requested in the budget. The Committee recommendation
eliminates the additional 79 officer billets, resulting in a reduction
of $5,736,000.
Restoration of FTE savings from fiscal year 1998. --The Committee
recommendation deletes the requested restoration of $15,000,000 from
staffyear reductions made in fiscal year 1998. The Committee is not
convinced, after reviewing actual and projected recruiting data, that
the service will be able to meet its recruiting target, given the strong
national economy. Therefore, these savings are maintained in the fiscal
year 1999 bill.
College fund recruiting initiative. --The Committee recommendation
deletes the new college fund recruiting initiative pending Congressional
authorization and stronger program justification. This results in a
savings of $545,000.
Reductions in headquarters staffing. --The recommendation assumes
reductions in certain headquarters offices, based on a review of current
staffing levels. These offices include the office of the commandant and
vice commandant, public affairs, Congressional affairs, general counsel,
and the office of bridge administration. These five offices are budgeted
for a total of 191 positions in fiscal year 1999. The reduction of
$1,000,000 would require the elimination of approximately 12 of these
positions, or six percent. The Coast Guard should review the staffing in
these offices and decide which low priority positions should be
eliminated.
PCS reassignment moves. --The bill holds funding for permanent
change of station (PCS) reassignment moves to the fiscal year 1997 level
of $9,761,000, a reduction of $1,370,000 from the budget estimate. Given
downsizing, streamlining, and other personnel reductions in the bill,
the Committee believes the service will be able to manage a slightly
lower level of accessions and reassignments. This does not affect
funding for other PCS move categories.
Elimination of seven overseas billets.-- The Committee believes the
Coast Guard should eliminate seven overseas liaison positions, given the
high cost of maintaining staff overseas and overall budget constraints.
These positions are as follows:
Royal Australian Navy liaison (Australia) (1)
Maritime Liaison Commander, Middle East Forces (Bahrain) (2)
Royal Canadian Air Force liaison (Canada) (2)
International Maritime Organization liaison (Curacao) (1)
Harbor Defense liaison (Korea) (1)
This results in a reduction to the budget estimate of $560,000.
Additional reduction.-- The Committee recommends an additional
reduction of $10,000,000 to military pay and benefits to bring the
overall amount provided to $1,261,110,000, a 1.2 percent increase over
fiscal year 1998. The reduction is due to budget constraints. The
Committee also acknowledges the increase in cost per FTE staffyear in
fiscal year 1998, and assumes that the Coast Guard will be able to
manage its personnel budget at a slightly lower cost per FTE during
fiscal year 1999 than assumed in the President's budget request.
OPERATING FUNDS AND UNIT LEVEL MAINTENANCE
The bill includes $618,145,000 for Coast Guard non-personnel
operating funds for field and headquarters facilities and units as well
as unit-level maintenance. This is $1,448,000 (0.2 percent) below the
administration's request and $678,000 (0.1 percent) above the level
provided for fiscal year 1998.
Ballast water management program.-- Of the funds provided in this
appropriation, $3,000,000 shall be allocated to implement the nationwide
ballast water management program, as authorized in the National Invasive
Species Act of 1996 (Public Law 104 332).
Mackinaw. --The bill includes the $6,291,000 in requested funding
for continued operation and maintenance of the icebreaking cutter
Mackinaw during fiscal year 1999. This is 12.1 percent above the
$5,609,000 estimated for fiscal year 1998.
GSA rent increase, operations support center. --The bill does not
include the requested increase of $1,448,000 for additional GSA rental
costs at the Coast Guard Operational Support Center in Martinsburg, West
Virginia. The service has not adequately explained whether such
large-scale consolidation of support activities has been determined to
be cost-beneficial at this particular location.
Frying Pan Shoals lighthouse.-- The Committee recognizes that the
Frying Pan Shoals Lighthouse, operated by the U.S. Coast Guard off the
coast of North Carolina, can be a valuable asset to marine science and
to the short- and long-term monitoring of critical oceanographic,
meteorological, and biological research in the coastal waters of the
southeastern United States. The Committee urges that the use of this
facility be provided to the University of North Carolina at Wilmington
for these purposes.
Marine safety detachment .--The Committee is concerned about the
Coast Guard's planned closure of the marine safety detachment in
Concord, California and its impact on the protection of the local marine
environment from significant oil and chemical traffic and on timely and
efficient response to oil and chemical accidents in the sensitive and
busy waterways of the Carquinez Strait and other Bay and Delta
waterways. The Committee directs that the Coast Guard shall not obligate
any funds to begin the closure or termination of this unit until: (1)
the Coast Guard enters into discussions with Contra Costa County
officials concerning the impact of the closure; (2) the Coast Guard
submits a report to the House and Senate Committees on Appropriations
that explains how the Coast Guard will assure the timely and efficient
response to oil and chemical accidents in the area and continue to
perform other critical oversight functions concerning oil and chemical
traffic in these waterways; and (3) the Committees have had thirty
legislative days to review the Coast Guard report.
DEPOT LEVEL MAINTENANCE
The Committee recommends $389,641,000 for depot level maintenance for
shore facilities, electronic equipment, cutters, boats and aircraft, the
same as the budget estimate and $5,465,000 (1.4 percent) below the
enacted level for fiscal year 1998.
ACCOUNT-WIDE ADJUSTMENTS
The Committee recommends $36,046,000 in account-wide adjustments,
which are explained more fully below.
Departmental initiatives. --The bill does not include funds for new
departmental initiatives including the electronic grants pilot project,
acquisition training, and GSA common space rent, due to lack of
justification. This is similar to recommendations made in other parts of
the bill, and results in a savings of $498,000.
Non-pay inflation adjustment. --The Committee recommendation
provides the Coast Guard with the same non-salary inflation adjustment
provided to other agencies within DOT. The President's budget requested
an increase of 1.7 percent compared to 0.9 percent for other agencies.
This results in a reduction of $10,000,000.
Non-operational travel. --Notwithstanding Congressional reductions
in fiscal year 1997 which were designed to contain the travel budget,
the Coast Guard testified this year that ``despite these actions, it
does not appear that non-operational travel was reduced''. The Committee
reiterates that these travel costs should be going down, not up, and
recommends a reduction of $2,500,000.
Advisory and assistance services. --The recommended reduction of
$2,000,000 is due to budget constraints and lack of justification. The
recommended level is $9,779,000, which compares to $11,779,000 in the
budget estimate and $4,151,000 experienced for fiscal year 1997. A
similar reduction has been made in the FAA's operating account.
Capitalizable projects. --The Committee recommendation reflects a
recent report of the Office of Inspector General, which concluded that
many Coast Guard construction projects were improperly using operating
expenses (OE) funds instead of acquisition, construction, and
improvement (AC&I) funds. The recommendation transfers $8,000,000 to the
AC&I appropriation to more appropriately reflect the nature of the work
being performed.
Fee rates for existing user fees. --While the Committee does not
support the imposition of new user fees for Coast Guard services, Coast
Guard documents indicate that the service is not charging enough in its
existing fees to recover the direct cost of providing the service. The
Committee believes that when a decision is made to charge fees, it is
reasonable for the agency to recover the full cost of providing the
service. The recommendation assumes the Coast Guard will raise existing
fee rates by approximately 15 percent, to cover a larger percentage of
total cost. This results in a reduction to the budget estimate of
$3,500,000.
WLB primary crew assembly facility.-- The recommendation transfers
$548,000 from ``Operating expenses'' to ``Acquisition, construction, and
improvements'' to more appropriately reflect the nature of the work
being performed. The Coast Guard advised the Committee that an error had
been made in preparation of the budget, and that this facility should be
funded in the AC&I appropriation.
Reduced operating tempo for national security activities (050
reduction).-- The Committee recommendation provides $300,000,000 for
national security activities of the Coast Guard, which are scored under
budget function 050 (national defense). This is the same amount as
enacted for fiscal year 1998, and a reduction of $9,000,000 from the
budget estimate. The Coast Guard has not adequately explained what
additional defense activities would be performed with their requested
increase, and in any event the Committee's allocation under budget
function 050 is limited to the level provided for fiscal year 1998. The
Committee assumes the Coast Guard will make a slight adjustment in the
operating tempo for defense activities to live within this funding
level.
BILL LANGUAGE
Defense-related activities.-- The bill specifies that $300,000,000
of the total amount provided is for defense-related activities, the same
as enacted for fiscal year 1998, but $9,000,000 below the budget
estimate.
Executive order 12839.-- The bill specifies that the Commandant
shall reduce both military and civilian employment for the purpose of
complying with executive order 12839. This provision has been included
in the bill for several years without change.
User fees.-- The Committee does not approve the proposed bill
language which would allow the Commandant to promulgate virtually any
new maritime user fee, circumventing the normal process by Congressional
direction, and credit those fees to the capital account. First, the fee
proposal is so weakly justified that the Committee has been unable to
give the proposal serious consideration. For example, when the Committee
questioned the Commandant this year about the proposal, he stated ``we
just started our study . . . we are not in it deeply enough to know that
that is proper to do''. When asked how the Coast Guard arrived at the
specific request of $35,000,000 in new fees, the Commandant said ``I
have no idea how they did that''.
The Congressional Budget Office is so skeptical, they are unwilling
to assume the collection of any such receipts next year, despite the
proposed language. Clearly, with so little information, these fees--and
the appropriations to be financed with them--are unsustainable.
The Committee is concerned that, despite the lack of justification,
the Coast Guard believes it has the authority to promulgate these fees
under the general authority of the User Fee Statute. Therefore, the bill
includes a provision which precludes the Coast Guard from using funds to
plan, finalize, or implement any new user fees unless legislation signed
into law after the date of enactment of this Act specifically authorizes
them.
GENERAL PROVISIONS
Vessel traffic safety fairway, Santa Barbara/San Francisco.-- The
bill continues as a general provision (sec. 312) language that would
prohibit funds to plan, finalize, or implement regulations that would
establish a vessel traffic safety fairway less than five miles wide
between the Santa Barbara traffic separation scheme and the San
Francisco traffic separation scheme. On April 27, 1989, the Department
published a notice of proposed rulemaking that would narrow the
originally proposed five-mile-wide fairway to two one-mile-wide fairways
separated by a two-mile-wide area where offshore oil rigs could be built
if Lease Sale 119 goes forward. Under this revised proposal, vessels
would be routed in close proximity to oil rigs because the two-mile-wide
non-fairway corridor could contain drilling rigs at the edge of the
fairways. The Committee is concerned that this rule, if implemented,
could increase the threat of offshore oil accidents off the California
coast. Accordingly, the bill continues the language prohibiting the
implementation of this regulation.
Blue-ribbon panel on the future of the Coast Guard. --The Committee
is very concerned about the Coast Guard's ability to address all of its
missions adequately in future years, given budget constraints and the
effect of surface transportation firewalls. Although the service has
performed admirably over the past four years in reforming and
reorganizing itself into a more efficient organization, it is possible
that there will still be insufficient funding over the next ten years to
enable the Coast Guard to maintain today's level of service. The Coast
Guard's operating budget has been flat for the past several years, and
block obsolescence of major capital assets is approaching. Last year,
the Commandant advised the Subcommittee that the Coast Guard would soon
require a capital appropriation of $1,000,000,000 per year for ten
years. Today, the Coast Guard's capital budget is approximately
$400,000,000.
To address these concerns, the Committee bill includes $1,000,000
specifically for establishment of a blue-ribbon panel to study the
future capital needs, roles, and missions of the Coast Guard. This panel
should be coordinated through the auspices of the office of the
secretary of transportation, and should include the current Commandant
of the Coast Guard, former commandants, and representatives of the U.S.
General Accounting Office, the DOT Office of Inspector General and
appropriate maritime organizations. The study should address and make
recommendations on the best roles and missions for the Coast Guard over
the next twenty years, and the capital budget requirements to meet those
needs, considering likely budget constraints over that period. The
Committee intends that this take the place of the currently-planned
Presidential Advisory Council, which would study Coast Guard roles and
missions, but at a much higher cost. The study should be submitted to
the Congress not later than January 2001.
Animal fats and vegetable oils. --The Committee bill includes a
general provision (sec. 340) which requires the Secretary of
Transportation, not later than March 31, 1999, to promulgate a
regulation consistent with the Edible Oil Regulatory Reform Act (Public
Law 104 55), enacted on November 20, 1995, to specifically address
facilities which handle animal fats and vegetable oils by amending 33
C.F.R. part 154, which relates to response plans for marine
transportation-related facilities. To be consistent, a rule for animal
fats and vegetable oils should include, at a minimum, separate
definitions, a separate category from other oils, and provide
requirements that are specific to and appropriate for animal fats and
vegetable oils. On March 14, 1997, the animal fats and vegetable oils
industry submitted to the Coast Guard a proposal consistent with these
requirements.
ACQUISITION, CONSTRUCTION, AND IMPROVEMENTS
Appropriation, fiscal year 1998 $388,850,000
Budget estimate, fiscal year 1999\1\ 442,773,000
Recommended in the bill 389,000,000
xlBill compared with:
Appropriation, fiscal year 1998 +150,000
Budget estimate, fiscal year 1999 -53,773,000
\1\Includes $35,000,000 to be derived from new user fees.
The bill includes $389,000,000 for the capital acquisition,
construction, and improvement programs of the Coast Guard for vessels,
aircraft, other equipment, shore facilities, and related administrative
expenses, of which $20,000,000 is to be derived from the oil spill
liability trust fund.
Consistent with past practice, the bill also includes language
distributing the total appropriation by budget activity and providing
separate obligation availabilities appropriate for the type of activity
being performed. The Committee continues to believe that these
obligation availabilities provide fiscal discipline and reduce long-term
unobligated balances.
COMMITTEE RECOMMENDATION
The following table compares the fiscal year 1998 enacted level, the
fiscal year 1999 estimate, and the recommended level by program, project
and activity:
Offset Folios 31 to 32 Insert Here
Vessels
The Committee recommends $227,913,000 for vessels, a reduction of
$15,813,000 below the amount provided for fiscal year 1998 and
$41,660,000 below the administration's request. Specific adjustments to
the budget estimate are explained below.
Seagoing buoy tender (WLB) replacement.-- The Committee recommends
$81,790,000 for this program, instead of $105,000,000 included in the
budget estimate. Funding of $41,000,000 was provided for this program in
fiscal year 1998. The recommendation transfers $548,000 from ``Operating
expenses'' for the primary crew assembly facility and deletes the
$1,500,000 for each of the first three vessels of this class. It is not
clear to the Committee why additional acquisition funding is needed,
since these vessels are fully operational. The additional reduction is
due to budget constraints. The Committee expects the Coast Guard to
provide the Committee with updated information on the cost profile for
the vessels to be acquired under the full production contract prior to
conference deliberations on this bill.
Coastal buoy tender (WLM) replacement.-- The Committee recommends
$27,000,000 for the coastal buoy tender program, a reduction of
$4,000,000 below the budget estimate. The reduction is due to budget
constraints.
Buoy boat, stern loading (BUSL).-- The Committee recommends
$7,073,000 for this project, a reduction of $4,700,000 below the budget
estimate. The reduction is due to budget constraints.
Surface search radar.-- The Coast Guard budget includes $12,900,000
for this project in fiscal year 1999 and projects $4,000,000 in the year
2000. The Committee believes it more appropriate to phase this
acquisition more smoothly over the two remaining years of the program.
The Committee's recommended funding level of $8,450,000 would eliminate
the funding ``spike'' represented by the President's budget estimate.
This results in a reduction of $4,450,000 from the budget estimate.
Polar class icebreaker reliability improvement project.-- According
to the Coast Guard, this project is approximately six years behind its
original schedule. Given the schedule slip, the apparently low priority
of the program within the Coast Guard, and the Committee recommendation
to reduce operating funds for the polar icebreaker class, the Committee
recommends that this project be ended. This will save approximately
$25,000,000 in future fiscal years, which can be applied to other,
higher priority projects. This results in a fiscal year 1999 savings of
$6,100,000.
Coastal patrol boat.-- The Committee recommends $47,600,000 for the
``Barracuda'' class coastal patrol boat. This compares to $63,000,000
enacted in fiscal year 1998 and $37,600,000 in the budget estimate. The
additional $10,000,000 is part of the Committee's counter-drug
initiative, as explained in a previous section of this report.
Mackinaw replacement.-- The recommendation includes $6,000,000 to
continue design work for a replacement for the icebreaking cutter
``Mackinaw''. Funding of $2,000,000 was provided in fiscal year 1998.
Although the President's budget included no funding to continue this
work in fiscal year 1999, the Committee believes it is critical to keep
this work going, to ensure that a replacement vessel is developed as
soon as practicable. The Committee fully expects the conceptual design
phase of this project to be completed by the end of fiscal year 1999, so
that design and construction contracts can be awarded the following
year. Moreover, the Committee expects the Coast Guard to issue a report
to the House and Senate Committees on Appropriations on the status of
this project, including the recommended replacement alternative and
fleet mix (with supporting data), as well as an update on the design
process, no later than January 1, 1999.
Deepwater capability concept exploration.-- The Committee recommends
$20,000,000 for this program, an increase of 300 percent above the
$5,000,000 provided for fiscal year 1998, and a reduction of $8,000,000
below the budget estimate. A comparison of the Committee's allowance and
the budget estimate is as follows:
Activity Budget estimate Committee allowance Reduction
Project resident office $1,500,000 $1,000,000 -$500,000
Contract studies 18,000,000 15,000,000 -3,000,000
Independent studies 8,500,000 4,000,000 -4,500,000
------------------ ---------------------- -------------
Total 28,000,000 20,000,000 -8,000,000
ATS 1 conversion.-- The Committee recommends $2,000,000 to continue
conversion of the former U.S. Navy ship ``Edenton'' to a Coast Guard
fisheries enforcement cutter. This is due to overall budget constraints
and the Committee decision to elevate counter-drug acquisition
activities to a higher priority than fisheries enforcement. The budget
estimate included $10,000,000 for this project.
Reactivation of 2 T AGOS vessels. --The recommendation includes
$9,900,000 to reactivate 2 former Navy T AGOS ocean surveillance
vessels, as part of the Committee's counter-drug initiative. Consistent
with Coast Guard concept papers, at least one of these vessels could
serve as a base ship for patrol boats and other relatively small assets
performing counter-drug activities in the Caribbean area of operations,
thereby increasing the endurance and effectiveness of those assets.
Unobligated balance transfer. --The Committee recommends a general
reduction of $9,100,000 which should be addressed by transferring
unobligated balances from the following program:
Project Fiscal year 1997 funds Fiscal year 1998 funds
Polar icebreaker RIP -$3,800,000 -$5,300,000
Aircraft
The Committee recommends $39,400,000 for aircraft, an increase of
$13,600,000 (52.7 percent) above the fiscal year 1998 enacted level and
$2,269,000 above the administration's request.
HC 130 engine conversion. --The Coast Guard budget proposes a large
increase in this program, from $4,100,000 to $9,900,000. The Committee
notes that some AC&I programs must be reduced, since the level of the
budget submission assumed collection of $35,000,000 in new user fees
which are unlikely to be implemented. The Committee believes this
program can proceed at the fiscal year 1998 pace without serious impact.
HH 65 helicopter. --The Committee understands that there are power
availability, weight considerations, space constraints and safety margin
issues with the HH 65 helicopters that need to be addressed before
equipment and capability can be added to this already weight critical
aircraft. The Committee requests the Coast Guard provide a description
of the limitations with relevant measures of how frequently power
limitations restrict the HH 65 below original Coast Guard requirements
and the impact of such limitations. The Committee further requests an
outline of a plan and its costs to restore needed power margins while
accommodating past and future weight growth. This report is request by
March 1, 1999.
Long range search aircraft capability preservation. --According to
the Coast Guard, this project involves studies to sustain the existing
capability of the C 130 aircraft, including electrical systems and
avionics. The product of the work is expected to result in the design of
modification kits costing in the range of $200,000. The Committee
believes this work could easily and appropriately be conducted under the
Coast Guard's operating appropriation, and not AC&I. In addition, the
project has been poorly justified, and outyear costs are not defined.
The Committee recommends no AC&I funds for this project, but the Coast
Guard may use existing OE funds under the aircraft modification budget
through reprioritization of planned work. This results in a reduction of
$1,590,000 from the budget request.
HU 25 engine overhaul. --The recommendation includes $9,100,000 to
conduct engine overhauls of mothballed HU 25 (``Falcon'') jet aircraft,
as part of the Committee's counter-drug initiative. According to the
Coast Guard, maritime patrol surveillance is their greatest need in the
counter-drug area. The Coast Guard is familiar with these aircraft and
have existing inventories of spare parts. However, some work is required
on the engines to bring the aircraft back into service.
Low signature aircraft. --The Coast Guard operational community has
indicated a need for additional night-capable, low-signature
(``stealthy'') aircraft capability. Although the RU 38A aircraft are now
coming into service, upgrades are necessary for them to be more
effective at fighting the drug war. In addition, the Coast Guard has
expressed interest in high technology, low signature rotorcraft
technology which could have an impact on counter-drug operations. The
Committee recommendation includes $2,000,000 for the Coast Guard to
pursue modifications or acquisitions in this area, with the specific
objective of complementing other counter-drug assets by providing covert
surveillance capability.
Unobligated balance transfer. --The Committee recommends a general
reduction of $1,400,000 which should be addressed by transferring
$1,400,000 in unobligated balances from the terminal collision avoidance
system (TCAS) program.
Other Equipment
The Committee recommends $30,314,000 for other equipment, a reduction
of $3,655,000 below the budget estimate.
Marine information for safety and law enforcement (MISLE).-- Due to
budget constraints, the recommendation holds funding for this project at
essentially the fiscal year 1998 level of $4,000,000, a reduction of
$2,000,000 from the budget estimate.
Aviation logistics management information system (ALMIS). --The
Committee denies the requested $1,000,000 for this project due to lack
of justification.
Differential GPS phase II. --The Committee recommends no funding for
this project due to lack of justification and a need to fund higher
priority counter-drug initiatives, a reduction of $2,600,000 from the
budget estimate. Although most of the Coast Guard's differential GPS
program has been completed, this appropriation would fill coastal gaps
in the system, particularly in Alaska, Guam, Puerto Rico, and Hawaii.
Drug interdiction sensors. --The bill includes $9,000,000 for the
acquisition of sensors used in counter-drug operations, including cutter
and aircraft sensors as well as portable drug detection sensors used for
ship boardings. The Coast Guard is accorded the flexibility to determine
the best mix of sensors to satisfy operational requirements and have the
most immediate impact on the drug war.
Unobligated balance transfer. --The Committee recommends a general
reduction of $7,055,000 which should be addressed by transferring
unobligated balances from the following programs:
Project Fiscal year 1997 funds
ALMIS -$3,100,000
Conversion of software -3,500,000
VTS requirements evaluation -455,000
Shore Facilities and Aids to Navigation Facilities
The Committee recommends $42,923,000 for shore facilities and aids to
navigation facilities, a reduction of $10,727,000 from the budget
estimate.
Public family quarters. --The Committee recommends $2,300,000, a
reduction of $16,300,000 below the budget estimate. The Committee has
long been concerned that the Coast Guard sometimes requests funds for
housing projects with insufficient market analysis or other supporting
justification. For example, in July 1992, the Committee report on the
fiscal year 1993 DOT and Related Agencies Appropriations Bill stated:
``The Committee is concerned that the Coast Guard
is not effectively managing the family housing acquisition
program . . . [projects] often end up in the budget with
outdated and insupportable planning documents. In particular,
the market surveys which serve as a primary justification are
often so old that they are meaningless by the time funding is
requested . . . Although the Coast Guard's planning and
programming manual requires that housing needs be under
constant review, it appears that re-evaluation occurs rarely
if at all . . . Future support from the Committee will be
dependent upon management improvements.''
Considering this, the Committee was very disappointed to receive a
report from the Office of Inspector General in April 1998 which found
that 9 of the 14 housing projects reviewed (almost two-thirds) were not
adequately justified. It appears the service has not made the
improvements suggested by the Committee in 1992. According to the IG
report, the Coast Guard has $16,300,000 in unobligated appropriations
for unjustified projects in Sault Ste. Marie, Michigan; Valdez, Alaska;
Oregon Inlet, North Carolina; and Cape Hatteras, North Carolina which
could be put to better use. The Committee recommendation reduces the
budget request by this amount and directs the Coast Guard to apply these
unobligated funds to cover fiscal year 1999 budget requirements. The
Committee also directs the Coast Guard, once again, to correct these
longstanding problems.
Waterways aids to navigation projects.-- The Committee recommends
$4,073,000 for waterways aids to navigation projects, a reduction of
$927,000 from the budget estimate. The reduction is due to budget
constraints.
Group/Station New Orleans, LA-relocation. --The Committee recommends
$4,000,000 to continue the relocation of Group/Station New Orleans to
Bucktown Harbor. These funds are provided to complete any remaining work
to improve the condition of the waterway adjoining the relocation site,
including dredging, bulkhead repairs, and bulkhead replacement, and, as
a second priority, other aspects of the project. Similar funding was
provided for this project last year.
Air Station Miami, FL, renovate fixed wing hangar. --The Committee
believes that, given budget constraints and the need to fund higher
priority counter-drug initiatives, this project can be phased over two
years at approximately the same level each year. This will also reduce
the concurrency in this program, which appears to be unnecessary. This
results in a reduction of $3,500,000 from the budget request, which is
without prejudice to the overall program.
Capitalizable projects. --The Committee recommends a transfer of
$8,000,000 from ``Operating expenses'' to ``Acquisition, construction,
and improvements'' based upon an IG report which found the Coast Guard
inappropriately budgeting in operating expenses projects which should
have been funded from the AC&I budget. The IG selected 45 projects
totaling $25,000,000, and concluded that 32 of the projects (71 percent)
should have been funded from the AC&I appropriation. These included
acquisition of office space, expansion of building capacity, and
construction of a parking lot. The Committee agrees with the IG that
these activities are more appropriately funded from the capital account,
and encourages the Coast Guard to make such changes permanent beginning
in the year 2000 budget.
Training infrastructure, optimize.-- The Committee bill includes the
requested funds for studies, preliminary design and engineering for
facility renovations related to a possible reconfiguration of the Coast
Guard's training facilities. The Committee directs the Coast Guard to
submit its planned report, ``Training 2000'', once it is completed, to
the Committee. The Committee expects that the Coast Guard will obligate
no funds nor take any other actions to consolidate or eliminate any
training facilities until the Committee has had thirty legislative days
to review the Coast Guard report.
Asset sales. --The Committee recommendation assumes a slightly
higher amount of offsetting collections from asset sales in fiscal year
1999 than the budget estimate. Last year, the estimate for fiscal year
1999 was $3,800,000. However, the level assumed in the President's
budget is only $948,300--the lowest amount in three years. Last year,
the Coast Guard listed 29 properties which they believed could be
excessed. To date, only 14 have been excessed, and the budget assumption
would only raise that level to 17. The Committee believes the Coast
Guard could move more aggressively in this area, and accordingly reduces
the request by $2,000,000.
Personnel and Related Support
The bill includes $48,450,000 for AC&I personnel and related support,
an increase of $1,450,000 (3.1 percent) above the fiscal year 1998
enacted level, and the same as the budget estimate. Of the funds
provided, $750,000 is for core acquisition costs.
Quarterly acquisition reports. --The Coast Guard is directed to
continue submission of the quarterly acquisition reports to the House
and Senate Committees on Appropriations. The Coast Guard is to continue
including with each such report an up-to-date listing of unobligated
balances by acquisition project and by fiscal year, a Congressional
direction first implemented in fiscal year 1996.
Bill Language
Disposal of real property. --The bill includes a provision first
enacted in fiscal year 1996 crediting to this appropriation proceeds
from the sale or lease of the Coast Guard's surplus real property. This
provision was requested in the President's budget. The bill allows asset
sale revenues to be credited to this appropriation as offsetting
collections, but limits the amount of offsetting collections in fiscal
year 1999 to $3,000,000, resulting in a corresponding savings in budget
authority.
ENVIRONMENTAL COMPLIANCE AND RESTORATION
Appropriation, fiscal year 1998 $21,000,000
Budget estimate, fiscal year 1999 21,000,000
Recommended in the bill 21,000,000
xlBill compared with:
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999
This appropriation assists in bringing Coast Guard facilities into
compliance with applicable federal, state and environmental regulations;
conducting facilities response plans; developing pollution and hazardous
waste minimization strategies; conducting environmental assessments; and
conducting necessary program support. These funds permit the
continuation of a service-wide program to correct environmental
problems, such as major improvements of storage tanks containing
petroleum and regulated substances. The program focuses mainly on Coast
Guard facilities, but also includes third party sites where Coast Guard
activities have contributed to environmental problems.
The recommended funding level of $21,000,000 is the same as the
budget request, and the same as the fiscal year 1998 enacted level.
ALTERATION OF BRIDGES
Appropriation, fiscal year 1998 $17,000,000
Budget estimate, fiscal year 1999
Recommended in the bill 12,000,000
xlBill compared with:
Appropriation, fiscal year 1998 -5,000,000
Budget estimate, fiscal year 1999 +12,000,000
The bill includes funding for alteration of bridges deemed a hazard
to marine navigation pursuant to the Truman-Hobbs Act. The Committee
does not agree with the approach of the administration that obstructive
highway bridges and combination rail/highway bridges should be funded
out of the Federal Highway Administration's discretionary bridge
account, and notes that this proposal was not included in the TEA21
conference report. This approach is unfair to some states which, under
existing highway formulas, have a more difficult time competing for
discretionary bridge grants and are therefore less likely to apply. In
addition, the purpose of altering these bridges is to improve the safety
of marine navigation under the bridge, not to improve surface
transportation on the bridge itself. Since in some cases, there are
unsafe conditions on the waterway beneath a bridge which has an adequate
surface or structural condition, Federal-aid highways funding is not
appropriate to address the purpose of the Truman-Hobbs program.
The Committee recommends $12,000,000 for two bridges which have been
funded in past years, including fiscal year 1998. Both of the bridges
for which funds are recommended are authorized and have been issued an
order to alter by the Commandant of the Coast Guard. The Committee
directs that, of the funds provided, $4,000,000 shall be allocated to
the Sidney Lanier highway bridge in Brunswick, Georgia and $8,000,000
shall be allocated to the Florida Avenue railroad/highway combination
bridge in New Orleans, Louisiana.
RETIRED PAY
Appropriation, fiscal year 1998 $653,196,000
Budget estimate, fiscal year 1999 684,000,000
Recommended in the bill 684,000,000
xlBill compared with:
Appropriation, fiscal year 1998 +30,804,000
Budget estimate, fiscal year 1999
This appropriation provides for the retired pay of military personnel
of the Coast Guard and the Coast Guard Reserve. Also included are
payments to members of the former Lighthouse Service and beneficiaries
pursuant to the retired serviceman's family protection plan and survivor
benefit plan, as well as payments for medical care of retired personnel
and their dependents under the Dependents Medical Care Act.
The Committee has approved the budget estimate of $684,000,000 for
this appropriation in fiscal year 1999. This compares to an
appropriation of $653,196,000 for fiscal year 1998, an increase of 4.7
percent. This is scored as a mandatory appropriation in the
Congressional budget process.
RESERVE TRAINING
Appropriation, fiscal year 1998 $67,000,000
Budget estimate, fiscal year 1999 67,000,000
Recommended in the bill 69,000,000
xlBill compared with:
Appropriation, fiscal year 1998 +2,000,000
Budget estimate, fiscal year 1999 +2,000,000
This appropriation provides for the training of qualified individuals
who are available for active duty in time of war or national emergency
or to augment regular Coast Guard forces in the performance of peacetime
missions. Program activities fall into the following categories:
1. Initial training. --The direct costs of initial training for three
categories of non-prior service trainees.
2. Continued training. --The training of officer and enlisted
personnel.
3. Operation and maintenance of training facilities. --The day-to-day
operation and maintenance of reserve training facilities.
4. Administration. --All administrative costs of the reserve forces
program.
The bill includes $69,000,000 for reserve training, an increase of
$2,000,000 (3 percent) above the fiscal year 1998 level. The
administration requested $67,000,000.
Reimbursement to ``Operating expenses''. --The recommendation
continues a provision originally enacted in fiscal year 1998 which
limits to $20,000,000 the amount of ``Reserve training'' funds which may
be transferred to ``Operating expenses''. The Coast Guard's budget
proposal assumes a transfer of $22,100,000. Given the small size of the
reserve training appropriation, and the declining size of the selected
reserve, the Committee wants to ensure the reserves are not assessed
excessive charge-backs to the Coast Guard operating budget. The
Committee continues to believe that, absent this provision, the proposed
level of reimbursement would be too high, especially given the
substantial amount of reserve augmentation workhours provided by the
reserves in direct support of Coast Guard missions.
The provision also prohibits the Coast Guard from instituting any
``direct charges'' which were not in effect during fiscal year 1997. The
Committee has learned that, in order to circumvent the reimbursement cap
imposed in fiscal year 1998, the service began charging reservists
directly for items which previously had been deducted from the ``Reserve
training'' appropriation, rather than absorb those costs from their
operating account. A new proviso has been added to stop this practice.
Size of the selected reserve. --The Committee is concerned about the
continued decline of the selected reserve and the Coast Guard's
ineffectiveness at stemming that decline. The reserve end strength has
dropped almost 40 percent over the past ten years--from 12,000 ten years
ago to approximately 7,300 at the end of January 1998. In fiscal year
1998, the appropriated level of funding should have been sufficient for
a reserve level of 7,800. However, the level at the end of January 1998
was only 7,299--a drop of 197 below the level only four months before.
The fiscal year 1999 budget proposal would drop reserve strength even
further, from 7,800 to 7,600, and require them to absorb the addition of
three new port security units with 126 billets each. These actions are
refuted by the Coast Guard's own study, recently prepared for the Office
of Management and Budget, which concluded that there are bona fide
requirements for a selected reserve of 12,200. The fiscal year 1999
budget proposal would fund only 62 percent of the requirement.
The Committee continues to believe that the reserves provide vital
contributions to Coast Guard and national security missions. For
example, in fiscal year 1997, the Coast Guard reserves contributed 9,624
staff-days to counter-drug operations. Although Coast Guard leadership
has spoken glowingly about the success of the anti-drug initiative known
as Operation Frontier Shield, they have not often mentioned that
reservists provided 25 percent of the total surge needed for that
operation. The Committee does not believe that the budget for the
reserve should be sacrificed further to fund increases for other
components of the Coast Guard budget, especially as the reserves are
asked more and more frequently to assist in supplementing the service's
regular day-to-day activities.
Recruiting. --The Committee is disappointed that, once again this
year, Coast Guard data presented to the Committee indicate the Reserve
is not meeting its recruiting goals. This not only reduces the size of
the reserve force, but raises costs unnecessarily. In fiscal year 1997,
the Coast Guard was able to meet 95 percent of its active duty
recruiting target, but only 71 percent of the reserve target. For this
reason, Congress added $1,000,000 last year for a more aggressive
reserve recruiting campaign. However, by the end of February 1998, the
Coast Guard had signed up only 136 new recruits--an indication that the
year-end goal of 1,313 may not be achieved. In testimony this year, the
Coast Guard stated that ``failure to meet reserve recruiting goals is a
continuing concern of the Coast Guard''. The Committee is likewise
concerned, and expects the new leadership team at the Coast Guard to
come up with solutions which more effectively address this problem.
Reserve personnel allowance list (RPAL). --Personnel management in
the Coast Guard reserves is accomplished through the reserve personnel
allowance list (RPAL). Billet requirements in the RPAL are specific with
regard to rank or rating, specialty and training (e.g., boatswain's mate
second class), which requires the service to recruit to a specific RPAL
vacancy. In the Navy, by contrast, less than half of the billets have
requirements so specific that they require an exact match to rate, rank,
and training. In addition, the Navy, Army, and Air Force each have
geographic restrictions on commuting distance which are less restrictive
than the Coast Guard. The Committee believes this inflexibility may be
one reason why the Coast Guard has been unsuccessful at meeting its
recruiting goals. The Committee strongly encourages the Coast Guard to
relax these billet and geographic restrictions, and allow similar
flexibilities to those allowed by the other military services.
RESEARCH, DEVELOPMENT, TEST, AND EVALUATION
Appropriation, fiscal year 1998 $19,000,000
Budget estimate, fiscal year 1999 18,300,000
Recommended in the bill 12,000,000
xlBill compared with:
Appropriation, fiscal year 1998 -7,000,000
Budget estimate, fiscal year 1999 -6,300,000
The bill includes $12,000,000 for applied scientific research and
development, test and evaluation projects necessary to maintain and
expand the technology required for the Coast Guard's operational and
regulatory missions. Of this amount, $3,150,000 is to be derived from
the oil spill liability trust fund. This is $6,300,000 below the budget
request and $7,000,000 less than the amount provided last year. The
reduction is due to budget constraints and the Committee's view that
additional funding must be provided to fight the war on drugs. The
Committee believes that much of the work in this appropriation,
especially those activities oriented toward management analysis or
operational effectiveness analysis, could easily and properly be
performed using operating funds.
BOAT SAFETY
(Aquatic Resources Trust Fund)
Appropriation, fiscal year 1998 $35,000,000
Budget estimate, fiscal year 1999\1\
Recommended in the bill
xlBill compared with:
Appropriation, fiscal year 1998 -35,000,000
Budget estimate, fiscal year 1999
\1\President's budget requests $50,000,000 in mandatory appropriations in fiscal year 1999.
The Internal Revenue Code of 1954, as amended, and the Federal Boat
Safety Act of 1971, as amended, provide for the transfer of highway
trust fund revenue derived from the motor boat fuel tax, excise taxes on
sport fishing equipment, and import duties on fishing tackle and yachts
to the aquatic resources trust fund. The Secretary of the Treasury
estimates the amounts to be so transferred and appropriations are
authorized from the fund for recreational boating safety assistance and
other programs by the Federal Boat Safety Act of 1971 and Public Law
98-369 (the Deficit Reduction Act of 1984). These funds are used
primarily to provide grants to states to help enforce boating safety
laws and to expand boating education programs.
The bill includes no appropriation for the boat safety program. The
recently-enacted Transportation Efficiency Act for the 21st Century
(TEA21) made changes to the authorizing legislation which essentially
make this a mandatory program. The Committee believes that sufficient
funding will be made available through the highway Act that additional
discretionary funds are unnecessary. The Committee continues to believe
that boating fatalities and injuries are a serious problem, and that the
Coast Guard should play a greater leadership role than is currently the
case. Since this is now essentially a mandatory program, the Committee
strongly encourages the appropriate legislative committees to provide
the leadership in this area and develop programs which reduce the number
of fatalities and injuries nationwide.
FEDERAL AVIATION ADMINISTRATION
SUMMARY OF FISCAL YEAR 1999 PROGRAM
The Federal Aviation Administration (FAA) is responsible for the
safety and development of civil aviation and the evolution of a national
system of airports. Most of the activities of the FAA will be funded
with direct appropriations in fiscal year 1999. The grants-in-aid for
airports program, however, will be financed under contract authority
with the program level established by a limitation on obligations
contained in the accompanying bill. The bill assumes continuation of the
aviation ticket tax and other related aviation excise taxes throughout
fiscal year 1999 and assumes no new user fees.
The recommended program level for the FAA for fiscal year 1999 totals
$9,477,558,000, including a $1,800,000,000 limitation on the use of
contract authority. This is $375,964,000 (4.1 percent) above the fiscal
year 1998 enacted level and $273,572,000 (3 percent) below the
President's request. When user fees are included, the total FAA budget
is $9,524,400,000, an increase of $422,806,000 (4.6 percent) over fiscal
year 1998. The following table summarizes the fiscal year 1998 program
levels, the fiscal year 1999 program requests, and the Committee's
recommendations:
Program Fiscal Year--
1998 enacted 1999 estimate 1999 recommended
Operations $5,301,934,000 $5,634,972,000 $5,579,400,000
Facilities and equipment 1,900,477,000 2,130,000,000 2,000,000,000
Research, engineering and development 199,183,000 290,000,000 145,000,000
Grants-in-aid for airports (AIP) 1,700,000,000 1,700,000,000 1,800,000,000
----------------- ----------------- ------------------
Total 9,101,594,000 9,754,972,000 9,524,400,000
OPERATIONS
(including airport and airway trust fund)
Appropriation, fiscal year 1998\1\ $5,301,934,000
Budget estimate, fiscal year 1999 5,588,130,000
Recommended in the bill 5,532,558,000
xlBill compared with:
Appropriation, fiscal year 1998 +230,624,000
Budget estimate, fiscal year 1999 -55,572,000
\1\Excludes reductions of $939,000 for TASC.
This appropriation provides funds for the operation, maintenance,
communications, and logistical support of the air traffic control and
air navigation systems. It also covers administrative and managerial
costs for the FAA's regulatory, airports, medical, engineering and
development programs.
The operations appropriation includes the following major activities:
(1) operation on a 24-hour daily basis of a national air traffic system;
(2) establishment and maintenance of a national system of aids to
navigation; (3) establishment and surveillance of civil air regulations
to assure safety in aviation; (4) development of standards, rules and
regulations governing the physical fitness of airmen as well as the
administration of an aviation medical research program; (5)
administration of the acquisition, research and development programs;
(6) administration of the civil aviation security program; (7)
headquarters, administration and other staff offices; and (8)
administration of the federal grants-in-aid program for airport
construction.
COMMITTE RECOMMENDATION
The Committee recommends $5,532,558,000 for FAA operations, an
increase of $230,624,000 (4.4 percent) above the level provided for
fiscal year 1998. This compares to a level of $5,588,130,000 in the
President's budget request. In addition, the FAA is expected to receive
a $43,000,000 permanent user fee appropriation from overflight fees and
$3,842,000 in other user fees, bringing the total operating increase to
5 percent during fiscal year 1999.
A breakdown of the fiscal year 1998 enacted level, the fiscal year
1999 budget estimate, and the Committee recommendation by budget
activity is as follows:
Budget activity Fiscal year--
1998 enacted 1999 estimate 1999 recommended
Air traffic services $4,171,416,000 $4,380,866,000 $4,352,175,000
Aviation regulation and certification 614,168,000 636,027,000 635,418,000
Civil aviation security 98,154,000 128,821,000 128,821,000
Administration of airports 48,052,000 49,854,000 49,554,000
Research and acquisition 92,340,000 94,202,000 92,340,000
Commercial space transportation 6,182,000 6,275,000 6,275,000
Administration 258,491,000 259,014,000 258,365,000
Staff offices 71,750,000 76,071,000 77,071,000
Account-wide adjustments -9,137,000 --- -24,461,000
----------------- ------------------- ------------------
Total budget 5,301,934,000 \1\5,631,130,000 \1\5,575,558,000
Overflight user fee collections --- 43,000,000 43,000,000
Appropriated in this bill 5,351,934,000 5,588,130,000 5,532,558,000
\1\Excludes $3,842,000 in other user fee collections.
FAA Funding Situation
Over the past three years, the Department of Transportation and the
FAA have suggested that the Congressional budget process will be unable
to provide funding for the FAA's true needs over the 1998 2002 time
frame. In response to this and other concerns, Congress established the
National Civil Aviation Review Commission and called for an independent
assessment of FAA's long-term finances last year.
The independent assessment of FAA's financial situation concluded that:
(1) With little or no change in FAA's operations, the agency's
estimate of their long-term funding requirement is reasonable; and
(2) Significant opportunities for cost savings and efficiencies
exist in the FAA today, and should be taken advantage of to reduce
future budgetary requirements.
After reviewing this report and other information submitted by the
FAA, the Committee does not believe the federal budget process is
inherently or structurally incapable of providing adequate resources for
the FAA. The resources in this bill confirm that the Congress can
provide significantly increasing resources for the FAA, even above the
rates of increase of aviation activity. In this bill, appropriations for
FAA's air traffic operations increase by approximately $180 million (4.3
percent)--far beyond the estimated rate of increase in aviation
activity. Grants for improvements at our nation's airports are increased
by 6 percent. Funding for FAA air traffic control capital programs are
above the fiscal year 1998 level as well, by 5.3 percent.
In recommending these increases in the agency's budget, the Committee
hopes the FAA will leverage this increase by making structural and
process changes in the agency to improve productivity and reduce waste,
as suggested in the independent assessment. The independent assessment
noted that even a 10 percent improvement in air traffic productivity
would save the agency $21,000,000 a year in operating costs, and
recommended the FAA Administrator mandate that FAA's Productivity
Working Group establish specific goals and expectations in this area.
They noted ``air traffic control operations costs continue to increase
faster than the demand for FAA air traffic control services''. The IG
testified before the Committee last year that ``there are a lot of
opportunities for them [the FAA] to reduce their operating costs''. Yet
currently the FAA's budget assumes little air traffic control
productivity improvement in the 1998 2000 time period.
USER FEES
The bill assumes the collection of no additional user fees in fiscal
year 1999 that were not Congressionally authorized for collection during
fiscal year 1998 and includes a provision prohibiting funds in this Act
from being used to plan or promulgate any regulation to institute any
new user fee not specifically authorized by law after the date of
enactment of this Act. The bill assumes the FAA will collect
approximately $43,000,000 during fiscal year 1999 from overflight user
fees and $3,842,000 from other authorized user fees.
The Committee's specific recommendations by budget activity are
discussed below.
AIR TRAFFIC SERVICES
The Committee recommends $4,352,175,000 for air traffic services, an
increase of $180,759,000 (4.3 percent) above the fiscal year 1998
enacted level. The Committee believes these increases are needed as air
traffic activity continues to increase, and as FAA struggles to maintain
both old and modernized air traffic control systems simultaneously. As
the following chart indicates, this 4 percent increase is far above the
anticipated workload indicators for fiscal year 1999. This is similar to
past years.
Insert Folio 001 here
AIR TRAFFIC CONTROLLER PAY AND STAFFING LEVELS
The FAA recently announced a new, five-year agreement with the
largest of its labor unions which will affect the agency's budget
significantly for the next several years. The agreement with the
National Air Traffic Controllers Association is estimated to result in
an average 13.5 percent increase in base salary for covered employees,
which will add up to $940,000,000 in new budgetary requirements over the
fiscal year 1999 to 2003 time period. If similar increases are afforded
to other, non-bargaining unit members of the air traffic service, the
additional cost is estimated at over $1 billion. The Committee is aware
that the agreement also includes productivity improvements and caps on
staffing which should reduce the impact of the salary increases;
however, it does not appear at this time that such improvements will
offset more than 15 percent of the total cost increase. To honor this
agreement, FAA estimates that between $70,000,000 and $80,000,000 will
be required in fiscal year 1999. None of these funds have been budgeted
by the FAA, however, and no funds are specifically set aside in this
bill for that purpose. The Committee directs the FAA administrator to
submit a report to the House and Senate Committees on Appropriations no
later than December 31, 1998 which explains in detail the pay scales
established under this new agreement, the dollar impact in fiscal year
1999, and the programs and activities being reduced or deferred in
fiscal year 1999 to finance the new agreement.
Maximum age rule. --Under discretionary powers authorized by
Congress, the FAA has promulgated a maximum age rule for air traffic
controllers which specifies that no air traffic controller may be
initially hired by the FAA over 31 years of age. The Committee has been
made aware of an instance this year where the FAA hired an air traffic
controller with full knowledge that the controller exceeded that age
slightly. After the individual relocated, the agency noticed its error
and advised the individual that he would be compelled to take a
``voluntary'' change in employment status in order to keep his job. At
the same time, the agency has been rehiring many former controllers who
have not worked for the FAA for at least fifteen years and who are well
over the age limit. The Committee is unclear whether the maximum age
rule continues to serve a valid purpose at the agency, given the FAA's
desire to have maximum flexibility in personnel practices. In addition,
since a large percentage of new hires are over the age limit anyway,
there is the appearance of unfairness between different classes of
potential air traffic controllers. Therefore, the Committee directs FAA
to review the maximum age rule, and strongly consider waiving the rule
for any employees mistakenly hired by the agency which meet all hiring
criteria except the age limitation.
Air traffic controller training.-- The FAA uses a controller
training contract and training at the FAA Academy in Oklahoma (referred
to as ``technical training'') to supplement training done by local staff
at each air traffic facility. The controller training contract provides
site specific training at all en route and five major terminal
facilities. The funding for technical training supports course
development and instruction at the FAA Academy using FAA and contract
employees. The fiscal year 1999 budget request included $15,500,000 for
the controller training contract and $24,938,000 for technical training,
for a total of $40,438,000. This is $4,000,000 (11 percent) above the
estimated level for fiscal year 1998. The Committee bill includes the
requested amount, and the FAA is encouraged to maintain those funds for
training throughout the year if at all possible.
Contract weather services, Hickory Regional Airport. --The Committee
directs the FAA to continue providing contract weather observation
services at the Hickory Regional Airport in North Carolina during fiscal
year 1999.
Contract weather services, Northwest Alabama Regional Airport. --The
Committee directs the FAA to continue providing contract weather
observation services at the Northwest Alabama Regional Airport in Muscle
Shoals, Alabama.
Adjustments to the budget estimate are as follows:
NAS handoff. --The recommended bill includes an increase of 10
percent for overtime related to the implementation of new equipment at
air traffic control facilities, compared to the 32 percent increase
requested.
Aeronautical charting. --The bill includes $27,311,190 for
aeronautical charting, a reduction of $5,000,000 from the budget
estimate of $32,311,190. The reduction would eliminate the proposed
increase to subsidize rental costs at the National Oceanic and
Atmospheric Administration.
Annualization of fiscal year 1998 new hires. --The fiscal year 1999
budget estimates that $10,428,000 would be required to annualize in
fiscal year 1999 the 500 net new hires from fiscal year 1998. However,
due to shortfalls in fiscal year 1998, it does not appear likely that
FAA will meet this hiring target. Therefore, a lower level of
annualization funding will suffice. The Committee recommendation reduces
this amount by approximately one half.
MARC. --The recommendation includes $1,700,000 to continue operating
support for the Mid-America Aviation Resource Consortium (MARC) in
Minnesota. This is the same as enacted for fiscal year 1998. These funds
are to be used in Minnesota to support the air traffic controller
training program, to continue research and curriculum development for
the FAA, to follow-up on MARC graduates and to develop other materials
as needed for FAA-related projects. MARC has a successful record in
placing its graduates directly in the field. The Committee supports and
encourages this cost-effective manner of training, and directs the FAA
to continue the current contractual relationship with MARC, as
prescribed by law.
Systems maintenance. --FAA budget documents indicate that the
national airspace system is deteriorating at an increasing rate, as new
systems compete against old for maintenance priorities and the agency
holds down or reprograms resources for maintenance staffing and spare
parts. The Committee received evidence from FAA and other sources this
year which highlight this problem:
(a) Although FAA agrees that the agency should budget for maintenance
personnel at least to 80 percent of that called for in their staffing
standard, the fiscal year 1999 budget would accommodate only 71 percent.
This compares to approximately 103 percent of the staffing standard for
air traffic controllers. The comparable figure five years ago was 82
percent.
(b) The agency is not meeting its employment goals for the
maintenance workforce. For example, in fiscal year 1997, the FAA
expected an employment level of 8,410 for the maintenance workforce, but
at the end of the year, had only achieved 8,281. This is because
attrition was higher than expected.
(c) Maintenance overtime has increased dramatically--over 102
percent--between fiscal years 1996 and 1999. The FAA now budgets for
over 420,000 hours of maintenance overtime.
(d) The request for spare parts in fiscal year 1999 is the lowest of
any year since 1993, and fiscal year 1998 obligations for spare parts
are also lower than any year since 1993. This comes despite a growing
inventory of deployed systems and facilities.
(e) Unscheduled outages and mean time to restore for some systems are
increasing significantly. For example, unscheduled outages for VOR
systems during 1996 were at their highest level since 1990. In
explaining the increases in mean time to restore NAS equipment, FAA
officials state that this is because the equipment is old, replacement
parts may not be readily available, the workforce is small, and newer
technicians may not have the expertise to repair the old equipment.
The Committee is concerned about this situation, and consequently
recommends an additional $12,584,000 for maintenance. The FAA may decide
the distribution of these funds between spare parts and staffing.
Mather Airport instrument landing system.-- Once again this year,
the bill includes a general provision (sec. 313) which allows airports
to transfer, without consideration, instrument landing systems and
associated lighting equipment to the FAA, if the purchase of such
systems had been assisted by an FAA airport grant. The Committee
believes that the GRN 29 instrument landing system at Sacramento Mather
Airport in California meets these requirements, and the FAA is directed
to take over the operation and maintenance of that system in accord with
section 313 of this Act.
Leased telecommunications. --The recommended level provides an
increase of 2.5 percent instead of the 7 percent increase requested.
GPS-related telecommunications costs. --The Committee does not
believe that operations costs for the wide- and local-area augmentation
systems (WAAS and LAAS, respectively) utilizing the GPS satellite system
are yet appropriate for FAA's operating budget. The Committee believes
these costs should be borne by the F&E budget, given the developmental
nature of these systems. Therefore, the bill transfers $22,700,000 for
the WAAS project and $675,000 for the LAAS project to the F&E
appropriation.
Aviation Regulation And Certification
The Committee recommends $635,418,000 for aviation regulation and
certification, $609,000 below the budget request and $21,250,000 (3.5
percent) above the fiscal year 1998 enacted level.
Flight standards, new staffing. --The Committee recommendation does
not include $425,000 for the requested six new headquarters aviation
safety inspector positions. According to budget justification documents,
these positions appear to be related to FAA's modernization program, not
for ongoing operational responsibilities. The Committee is cautious
about raising the operating budget to address temporary needs caused by
the implementation of new technologies, and encourages the FAA to
finance these activities through the F&E budget, or minimize their
requirement through the implementation of labor-saving automation
technology.
Aviation safety program. --FAA's flight standards service conducts a
program known as the aviation safety program (ASP), which produces and
distributes safety educational programs and materials for general
aviation pilots. Since the large majority of aviation accidents in this
country are general aviation accidents, the Committee believes that a
small increase in this area could result in a large payoff. The bill
includes $700,000 for the ASP program, an increase of $500,000 above the
budget estimate.
Safety-related training activities.-- The Committee is aware of a
training plan being developed by the Aviation Institute at the George
Washington University/Virginia campus and the Institute for Public
Policy and the Department of Psychology at George Mason University,
through the Aviation Policy Program, to address important air travel
safety issues. The program is intended to improve aviation safety
through human factors research and through research into the legal,
economic, policy, and technical dimensions of domestic and international
aviation. The Committee urges the FAA to work with the university to
determine how this training plan can be structured to support and
complement the agency's other ongoing safety programs.
Rulemaking. --Given the ``Challenge 2000'' study and National Civil
Aviation Review Commission recommendations that the FAA's rulemaking
process should be streamlined, as well as the view in Congress that
regulations should be held at the minimum level necessary, the Committee
does not find it justified to increase the rulemaking budget by 24.5
percent over the past two fiscal years, as the fiscal year 1999 budget
assumes. The recommendation would freeze these costs at the same dollar
level as enacted for fiscal year 1998, a reduction of $684,000 from the
budget estimate.
Automatic dependent surveillance-broadcast system. --The Committee
understands that the automatic dependent surveillance-broadcast (ADS B)
system is pending the approval of the FAA. The Committee is supportive
of aircraft being equipped with the best collision avoidance system
available. However, understanding the concern for the lack of collision
avoidance systems in cargo aircraft, the Committee directs the FAA to
approve ADS B by January 1, 2001, or mandate traffic alert and collision
avoidance system (TCAS II) in all cargo aircraft at that time.
Civil Aviation Security
The Committee recommends $128,821,000 for civil aviation security,
the same as the budget estimate and an increase of $30,667,000 (31.2
percent) above the fiscal year 1998 enacted level. The bill includes
funds for 15 additional staff years for aviation security personnel, as
requested. The majority of the increase is required to annualize
salaries of new personnel hired with funding from the Supplemental
Appropriations Act, 1997.
Administration of Airports
The Committee recommends $49,554,000 for the administration of
airports program, a reduction of $300,000 from the budget estimate and
$1,502,000 (3.1 percent) above the fiscal year 1998 enacted level. The
reduction would eliminate funds for a new department-wide grants
management system. The Committee is not convinced that such an
initiative is of sufficiently high priority, given current budget
constraints.
Research And Acquisition
The Committee recommends $92,340,000 for research and acquisition,
$1,862,000 (2 percent) less than the budget request and approximately
the same as the fiscal year 1998 enacted level. This activity finances
the planning, management, and coordination of FAA's research and
acquisition programs. A separate recommendation is discussed under
``accountwide adjustments'' transferring the funding for certain
acquisition personnel to the ``Facilities and equipment'' appropriation.
Commercial Space Transportation
The Committee recommends $6,275,000 for the Office of Commercial
Space Transportation (OCST), the same as the budget request and $93,000
(1.5 percent) above the fiscal year 1998 enacted level.
Administration
The Committee recommends $258,365,000 for administration, a reduction
of $649,000 from the budget estimate.
Washington flight program (hangar six) .--Data provided by the FAA
shows that a large percentage of the use of FAA aircraft is by other
agencies such as NASA, the FBI, and the Department of Justice. The
aircraft is also used significantly by NTSB for non-emergency situations
(e.g., meetings) where it appears that commercial travel could be used.
It appears that some of these trips could be performed either on
commercial aircraft or on a reimbursable basis, with these other
agencies paying their fair share of operating costs. The recommended
reduction of $649,000 allows approximately half of the requested funds
for these operations. The recommended level assumes that additional
funds will be collected on a reimbursable basis. However, the Committee
assumes that emergency ``go team'' operations of NTSB or the secretary's
office will be exempt from the reimbursable requirement.
Staff Offices
The Committee recommends $77,071,000 for certain headquarters staff
offices funded in this budget activity, an increase of $1,000,000 above
the budget estimate. The increase is to fund a new initiative, the
Office of Safety Assessment, which is explained more fully below.
Office of Safety Assessment. --The bill includes $1,000,000 for the
FAA to establish a new Office of Safety Assessment. The primary
responsibility of this office is to coordinate activities which will
result in more effective and useful measurement of aviation safety
nationwide. The Committee is concerned that, today, aviation safety
statistics are produced, all too often, in a haphazard way which
responds to a particular incident or media exposure. This is not the
most effective way to ensure the public safety in aviation. The
Committee is heartened that both the FAA and the commercial airline
industry are moving in the direction of providing a more thoughtful,
comprehensive approach to safety measurement which is critical if safety
is to be improved. In this year's hearing, the FAA administrator said
``we would, Mr. Chairman, embrace that enthusiastically . . . I think
formalizing that is a very good idea, and I think it would be very
helpful to us''.
The Committee envisions that a task force would be created with
representatives from, at a minimum, the Federal Aviation Administration,
the National Transportation Safety Board, the DOT Office of Inspector
General, the General Accounting Office, the Air Transport Association,
the Aircraft Owners and Pilots Association, and the Flight Safety
Foundation. The task force would be assisted by detailees, as
appropriate, and a permanent staff of five. The recommendation includes
funds for five staffyears and administrative support.
English language proficiency. --The Committee appreciates the work
of the Office of International Aviation over the past year at designing
an English language proficiency program which more closely meets
Congressional intent. The Committee remains concerned that not enough is
being done around the world to promote and standardize proficiency in
the English language by pilots and air traffic controllers around the
world. The Committee understands that FAA will allocate approximately
$350,000 to continue this effort in fiscal year 1999.
Accountwide Adjustments
The Committee recommends accountwide adjustments resulting in a net
decrease of $24,461,000 below the budget estimate. These adjustments are
discussed below.
Advisory and assistance services. --The recommendation allows the
same level as last year instead of the requested increase of 56.2
percent. This results in a savings of $179,000.
TASC. --The Committee recommendation reduces the amount of FAA
activities to be performed by OST's Transportation Administrative
Service Center (TASC) due to lack of justification. In fiscal year 1998,
the FAA budget included $28,400,000 for TASC activities. The fiscal year
1999 budget includes $30,600,000, and there are indications the TASC
will submit billings for $37,000,000. Given the rising cost and the
Committee's uncertainty about the cost-effectiveness of these services,
the bill includes language capping FAA's costs at $28,600,000, which is
the fiscal year 1997 level. This results in a reduction from the budget
estimate of $2,000,000.
Contractual studies. --The recommendation holds contractual studies
to slightly lower than the fiscal year 1998 level, instead of the 8.1
percent increase requested. The recommendation provides $9,428,000,
compared to the budget estimate of $10,428,000 and the fiscal year 1998
enacted level of $9,640,000. The reduction is due to budget constraints.
Acquisition staffing. --The Committee recommends transferring
funding responsibility for several acquisition-related offices from the
operations appropriation to ``Facilities and equipment'' (F&E), which is
more closely associated with the work being performed. Although
executive, planning, and general support offices would remain in the
operations appropriation, those offices which support individual
programs more directly should be financed out of the capital budget,
because their product is to assist in modernizing the system, not
perform day-to-day operations of today's system. The bill assumes the
following offices and staffyears will be transferred, and the
$17,440,000 in associated costs have been added in F&E under ``personnel
and related expenses''.
Office
FTE
ATS Development:
17
En route IPT
14
Terminal IPT
9
Tower/FSS IPT
7
TFM IPT
6
Oceanic IPT
5
CNS Systems Development:
18
Infrastructure IPT
12
Communications IPT
9
Surveillance and weather IPT
21
Aircraft and avionics IPT
14
Systems Architecture and Investment Analysis Office:
20
5 subordinate offices
60
Year 2000 Program Office:
6
Total
218
Offset for miscellaneous user fees. --The recommendation deletes
$3,842,000 of the request in anticipation that a similar amount in
miscellaneous (non-overflight) user fees will be collected in fiscal
year 1999 to offset the reduction and credited to this appropriation.
These user fee collections are the same as the FAA's estimate, and break
down as follows:
Foreign repair station fees $3,200,000
Civil aviation registry fees 500,000
Security fingerprinting fees 140,000
Air taxi registration fees 2,000
------------
Total 3,842,000
Bill Language
Manned auxiliary flight service stations. --The Committee bill
includes the limitation requested in the President's budget prohibiting
funds from being used to operate a manned auxiliary flight service
station in the contiguous United States. The FAA budget includes no
funding to operate such stations during fiscal year 1999.
Second career training program. --Once again this year, the
Committee bill includes a prohibition on the use of funds for the second
career training program. This prohibition has been in annual
appropriations Acts for many years, and is included in the President's
budget
Sunday premium pay. --The bill retains a provision begun in fiscal
year 1995 which prohibits the FAA from paying Sunday premium pay except
in those cases where the individual actually worked on a Sunday. The
statute governing Sunday premium pay (5 U.S.C. 5546(a)) is very clear:
``An employee who performs work during a regularly scheduled 8-hour
period of service which is not overtime work as defined by section
5542(a) of this title a part of which is performed on Sunday is entitled
to * * * premium pay at a rate equal to 25 percent of his rate of basic
pay.'' Disregarding the plain meaning of the statute and previous
Comptroller General decisions, however, in Armitage v. United States,
the Federal Circuit Court held in 1993 that employees need not actually
perform work on a Sunday to receive premium pay. The FAA was required
immediately to provide back pay totaling $37,000,000 for time scheduled
but not actually worked between November 1986 and July 1993. Without
this provision, the FAA would be liable for significant unfunded
liabilities, to be financed by the agency's annual operating budget.
This provision is identical to that in effect for fiscal years 1995
through 1998, and as requested by the administration in the fiscal year
1999 President's budget.
GENERAL PROVISIONS
O'Hare Airport slot management. --The bill continues the general
provision (sec. 329) enacted beginning in fiscal year 1995 which
prohibits funding to implement or enforce regulations that would result
in slot allocations for international operations to any carrier at
O'Hare Airport in excess of the number of slots allocated to and
scheduled by that carrier as of the first day of the 1993 1994 winter
season, if that international slot is withdrawn from an air carrier
under existing regulations for slot withdrawals.
Centennial of Flight Commission.-- The bill includes a provision
(sec. 336) which stipulates that, of the funds provided for FAA
``Operations'', $250,000 shall be for support of the Centennial of
Flight Commission, as reported by the House Committee on Transportation
and Infrastructure in section 711 of H.R. 4057, the ``Airport
Improvement Program Reauthorization Act of 1998''.
FACILITIES AND EQUIPMENT
(Airport and Airway Trust Fund)
Appropriation, fiscal year 1998 $1,900,477,000
Budget estimate, fiscal year 1999 2,130,000,000
Recommended in the bill 2,000,000,000
xlBill compared with:
Appropriation, fiscal year 1998 +99,523,000
Budget estimate, fiscal year 1999 -130,000,000
This account is the principal means for modernizing and improving air
traffic control and airway facilities, This account also finances major
capital investments required by other agency programs, experimental
research and development facilities, and other improvements to enhance
the safety and capacity of the airspace system.
Committee Recommendation
The Committee recommends an appropriation of $2,000,000,000 for this
program, an increase of $99,523,000 (6.8 percent) above the level
provided for fiscal year 1998 and $130,000,000 below the budget
estimate. The bill provides that of the total amount recommended,
$1,749,350,000 is available for obligation until September 30, 2001, and
$250,650,000 (the amount for personnel and related expenses) is
available until September 30, 1999. These obligation availabilities are
consistent with past appropriations Acts and the same as the budget
request.
The following chart shows the fiscal year 1998 enacted level, the
fiscal year 1999 budget estimate and the Committee recommendation for
each of the projects funded by this appropriation:
Offset Folios 56 to 59 insert here
ATC CAPITAL NEEDS AND THE CONGRESSIONAL BUDGET PROCESS
The Committee does not agree with those who suggest that the federal
budget process will be unable to provide for the high-priority air
traffic control modernization needs of the FAA. To the contrary, the
current budget process does not impose fixed or immutable budget limits.
As the GAO and the DOT Inspector General have repeatedly stated, FAA's
modernization problems have not been the result of inadequate funding,
but instead by weak and unfocused management at the FAA. When additional
needs are justified, they are provided in the current process--with a
prime example being the increase provided in this bill. This increase is
greater than the government-wide spending increases for next year under
the discretionary caps, and greater than what will be approved for
capital programs in many other federal agencies.
FUNDING RESPONSIBILITY FOR NAVIGATION AND LANDING SYSTEMS
Last year, the Committee directed FAA not to shift funding
responsibility for air traffic control equipment items which have
historically been acquired and maintained by the Federal Government. The
Committee reiterates that the procedure and maintenance of navigational
aids, landing aids, and approach lighting systems are generally the
responsibility of the government, as part of the ``contract'' that
aviation passengers and general aviation pilots enter into through the
payment of aviation excise taxes. The FAA has the responsibility to
provide a national system of air traffic control equipment and services.
The Committee believes that proposals to shift a subset of these
responsibilities to airports is inappropriate and could result in the
diminution of aviation safety, since airports are neither staffed nor
funded to assume ownership, operation, or maintenance of such equipment.
The procurement and maintenance of such equipment should remain a
financial responsibility of the FAA, and the agency should not move
forward on any proposal to transfer this responsibility without specific
Congressional authorization. The Committee has seen at least one
instance this year where FAA suggested that landing aids and ATC
equipment for a control tower should be financed by the local airport.
The Committee reiterates that this is inconsistent with direction
provided last year.
Engineering, Development, Test and Evaluation
The Committee recommends $462,722,000 for engineering, development,
test and evaluation, an increase of $69,892,000 (16.2 percent) above the
fiscal year 1998 enacted level. Adjustments from the budget request are
explained below.
Advanced technology development and prototyping. --The Committee
recommends $45,857,000 for a new activity, ``Advanced technology
development and prototyping''. Previously these activities were budgeted
in the Research, Engineering and Development (RE&D) appropriation under
activities titled ``Capacity and air traffic management technology'' and
``Communications, navigation and surveillance''. The Committee believes
that, because these activities fit closely with follow-on activities
funded in F&E, management could be improved if they were funded together
in F&E. These activities are funded at the budget request levels, except
for the ``Flight 2000'' project, for which no funds are provided. The
Committee does not intend for this budget adjustment to change the
authorizing committee of jurisdiction in the House, which has
historically been the Committee on Science. For that reason, these
activities are recommended in a single new program, rather than
dispersed throughout the F&E appropriation.
Flight 2000. --Once again this year, the Committee recommends no
funds for this project, a reduction of $90,000,000 from the budget
estimate. In last year's report, the Committee observed that the FAA was
not yet ready to begin such an ambitious and expensive undertaking, had
not decided on the sites for the project, and had not achieved industry
consensus. Regrettably, the Committee reaches the same conclusion this
year as well. Although the FAA has made significant progress in the
planning for this program, it is apparent that many of the major
decisions which would help justify such a large initial investment are
not scheduled until after this year's appropriations process is
complete. Only two months ago, the Aircraft Owners and Pilots
Association--a major participant in this project--requested that FAA
redesign Flight 2000, saying the program ``has been viewed within FAA as
a Christmas tree, with program offices clambering to hang their
ornaments so they can share in anticipated Flight 2000 funding''. While
not opposed per se to the concept of this project, the Committee
requires more detailed information before approving such an expensive
undertaking. The Committee also notes that the program is not
authorized. The Committee will reconsider the program for funding again
next year, once the pertinent justification documents are completed and
reviewed.
En route automation. --The budget request of $118,000,000 included
$46,000,000 for full-scale development of conflict probe and $72,000,000
for replacement of the host computer system. The Committee
recommendation for these items provides funding under Free Flight phase
one, as requested by the FAA. Funding for conflict probe has been
reduced to $31,500,000 due to budget constraints and host replacement is
funded at $13,200,000. The Committee bill assumes that additional
funding for host replacement, up to the requested level, will be made
available for Year 2000 date change programs from a supplemental
appropriation to be addressed later in the year.
Oceanic automation. --The Committee recommends no funding to
continue this project due to escalating cost overruns and serious
schedule slippage. Two years after FAA awarded a contract for
development of the advanced oceanic automation system, the program
appears to be in a state of chaos. Both the prime contractor and FAA
acknowledge that there are schedule slippages and large cost overruns in
this program. Given FAA's proposal in fiscal year 1998 to reprogram
existing funds from this program, and the agency's decision this year to
terminate phase two, it is far from clear whether the program is still
cost-beneficial, or whether it can be sustained to its completion, given
the increased cost. The recommendation to terminate this program results
in a savings of $13,700,000.
Next generation VHF air/ground communication system. --The Committee
deletes the $500,000 requested for this item due to lack of
justification. The budget documents indicate that these funds are for
activities such as ``system transition planning'' and ``acquisition
documentation development''. Those documents also state that future
requirements are ``under review''. Given this tremulous justification,
the Committee defers funding at this time.
Free flight phase one. --The Committee recommends total funding of
$168,200,000 for several programs which have been collectively described
by the FAA as ``free flight phase one''. The Committee also recommends
transferring those activities into a consolidated budget line, so that
the program and its constituent elements may be more effectively
monitored over time. The Committee recommendation for each of these
projects and a comparison to both the original budget estimate and a
budget amendment submitted (by letter) for these items, is as follows:
[In thousands of dollars]
Line item Project Original budget Amendment Total request Committee recommended
1A04 Air Traffic Management $47,800 $16,500 $64,300 $64,300
(Passive FAST) (24,100) (16,500) (40,600) (40,600)
(URET ADM) (5,800) (0) (5,800) (5,800)
(CDM) (10,600) (0) (10,600) (10,600)
(Other) (7,300) (0) (7,300) (7,300)
1A05 En Route Automation 118,000 0 118,000 44,700
(Conflict Probe) (46,000) (0) (46,000) (31,500)
(Host Replacement) (72,000) (0) (72,000) (13,200)
1A06 Aeronautical Datalink 16,500 6,500 23,000 23,000
(CPDLC) (9,200) (6,500) (15,700) (15,700)
(Other) (7,300) (0) (7,300) (7,300)
TBD Initial SMA 0 6,000 6,000 6,000
TBD FFPI Integration 0 8,000 8,000 8,000
2A05 WARP 20,000 2,200 22,200 22,200
----------------- ----------- --------------- -----------------------
Total 202,300 39,200 241,500 168,200
The Committee supports the purpose of this program, which is designed
to develop simultaneously a number of technologies which would provide
safety and capacity benefits for both general aviation and commercial
airline passengers. This program is the recommendation of the NAS
Modernization Task Force convened by the Administrator last year, and
later an RTCA Free Flight Select Committee. The Committee believes the
FAA should be congratulated for the consensus it reached in developing
free flight phase one. The Committee agrees that accelerating a subset
of FAA's overall modernization program is the best way to speed new
technologies to the field.
Local area augmentation system (LAAS). --The recommendation reflects
a transfer of $675,000 from the operations appropriation to more
appropriately reflect the nature of telecommunications costs being
incurred. These funds are now included under ``Next generation
navigation and landing system'', as explained below.
Next generation navigation and landing systems. --The Committee
recommends total funding of $129,875,000 for a new budget line titled
``Next generation navigation and landing systems'', which includes
funding for the wide area augmentation system (WAAS). A comparison of
the Committee recommendation to the budget estimate is as follows:
Project FY99 budget Committee recommended
WAAS research and development $101,500,000 $80,000,000
WAAS procurement (#2D09) 16,000,000 ---
WAAS telecommunications (transfer from ops) 22,700,000 22,700,000
LAAS research and development 6,500,000 6,500,000
LAAS telecommunications (transfer from ops) 675,000 675,000
Instrument landing system (ILS) --- 10,000,000
Tactical landing system (TLS) --- 5,000,000
LORAN navigation system --- 5,000,000
--------------- -----------------------
Total 147,375,000 129,875,000
(a) Wide area augmentation system. --The Committee recommends total
funding of $102,700,000 for continued development of the GPS wide area
augmentation system (WAAS). This is 73 percent of the $140,200,000
requested, and compares to $152,830,000 provided last year. Since
Congressional action on the budget last year, the FAA announced that
sole means navigation using WAAS may not be possible due to technical
uncertainties regarding solar disturbances, the possibility of signal
jamming, and issues surrounding continuity of the signal. Although the
FAA is still researching this issue, the IG testified this year that
``in our opinion, some type of backup system for WAAS will be needed for
the foreseeable future . . . because of significant unresolved issues
and the relatively fluid state of program definition, we plan to
continue monitoring the WAAS program''. The General Accounting Office
reported earlier this year that a large portion of the WAAS benefits are
calculated amounts of very small passenger time savings--averaging
thirty seconds per passenger. In past years, both the Volpe
Transportation Systems Center and the GAO concluded that the use of such
savings in cost-benefit studies was highly questionable.
The apparent softness in program benefits combined with
newly-announced uncertainty over the total cost to achieve these
capabilities makes the Committee wary of proceeding at the current pace
in this program. The technical uncertainties make clear that WAAS is
still very much a developmental program--and one in which future costs
could rise significantly to address technical issues. The Committee is
supportive of continued WAAS research, but at a slower pace. The
Committee recommends $80,000,000 to continue this work, with a special
focus not on hardware procurement and installation, or on phase II and
III activity, but on resolving the research issues which continue to
surround the program. The bill also includes the transfer of $22,700,000
from the operations budget for telecommunications costs related to WAAS.
It is clear that, after the agency decides whether or not a backup
system is required, a new benefit-cost analysis will be required to
revalidate the WAAS investment, and that such analysis should consider
the costs and benefits to users of all systems affected. For example,
the decision on a backup system has ramifications not only for the FAA,
but also for the Coast Guard, which currently operates (and would pay to
decommission) the Loran navigation system, which is used primarily by
maritime users. In addition, concerns over the adequacy of WAAS as a
sole means of navigation stem in part from the findings of the
President's Commission on Critical Infrastructure Protection and on
jamming issues which have national security implications far beyond the
FAA. For these reasons, the Committee directs that the decision on a
WAAS backup system be made by the Secretary of Transportation, in
consultation with the FAA and other affected organizations.
The bill also includes language prohibiting the FAA from signing a
lease for WAAS satellite services until the FAA administrator certifies
to the House and Senate Committees on Appropriations that the FAA has
completed a lease versus buy analysis which indicates that such lease
will result in the lowest overall cost to the agency. For many years,
DOT appropriations Acts have included a provision which limits the
agency's ability to obligate funds under general multiyear procurement
authority in advance of appropriations. This type of control is in place
to ensure that the agency does not commit the government too far in
advance of Congressional review and appropriations. The Committee is
especially sensitive on this point with the FAA, which has a history of
proceeding too quickly into procurement. For fiscal year 1999, the FAA
has suggested a new twist on this old theme. The agency has proposed
that, for WAAS satellite communication services, the agency would sign a
contract for the development, installation, and checkout of satellite
payloads, the pro rata share of launch costs, and routine operating
costs, but allow all these costs to be rolled into a single annual
service charge, to be funded from the operating budget. The Committee
believes this would set a dangerous precedent of using operating funds
for items which are, upon detailed analysis, little more than
traditional acquisition activities. In addition, FAA's analysis
indicates such a lease may be as much as $200,000,000 more expensive
than other alternatives, partly to compensate a prime contractor for the
risks in this approach. The Committee is highly doubtful that the
operating budget would be able to sustain such a program in the
outyears, especially if the agency continues to pay operating and
maintenance costs for today's systems as well.
For these reasons, the Committee insists that the distinction be kept
between the operating and capital budgets, and that the agency not
commit the government in advance of appropriations through leases which
include significant elements traditionally defined as acquisition or
procurement.
(b) Instrument landing systems (ILS). --The Committee recommends
$10,000,000 for continued procurement of instrument landing systems. The
Committee believes that, given the uncertainties in the WAAS program,
the FAA should continue procuring ILS systems and install them at those
locations with the highest cost-benefit. It is important to add such
funds this year, because the existing contract expires in December 1998.
(c) Tactical landing systems. --The recommendation includes
$5,000,000 for procurement of tactical landing systems.
(d) Loran navigation system. --The recommendation includes $5,000,000
for continued upgrade of the Loran navigation system.
Procurement of Air Traffic Control Facilities and Equipment
The bill includes $839,784,800 for the procurement of air traffic
control facilities and equipment, a reduction of $49,943,200 (5.6
percent) below the fiscal year 1998 enacted level.
En route automation. --The recommended bill includes $166,700,000
for this program. Reductions are due to budget constraints and the need
to fund higher priority projects. A comparison of the budget estimate to
the Committee recommendation for activities in this project follows:
Activity name FY99 budget Committee recommended Change to request
DSR deployment $173,600,000 $153,600,000 -$20,000,000
En route SW dev and support 7,000,000 4,000,000 -3,000,000
Flight data input/output 2,100,000 2,100,000 ---
Host/DARC/Pamri sustainment 9,000,000 5,000,000 -4,000,000
HID/CD LAN 4,700,000 2,000,000 -2,700,000
General reduction -1,100,000 --- ---
--------------- ----------------------- -------------------
Total 195,300,000 166,700,000 -28,600,000
ARTCC building improvements. --The recommended bill includes
$49,800,000 for this program. Reductions are due to budget constraints
and the need to fund higher priority projects. A comparison of the
budget estimate to the Committee recommendation for activities in this
project follows:
Activity name FY99 budget Committee recommendation
ARTCC improvements $45,000,000 $40,000,000
Honolulu CERAP relocation 17,100,000 8,000,000
Security 1,500,000 1,500,000
Regionally originated projects 331,600 300,000
-------------- --------------------------
Total 63,931,500 49,800,000
Voice switching and control system (VSCS). --The Committee
recommends $7,500,000 for VSCS, a reduction of $7,000,000 to the budget
estimate. The Committee believes that upgrades to this
already-commissioned system can proceed at a slower pace in order to
fund other requirements.
Air traffic management. --The recommendation provides $29,403,300
for this program, a reduction of $15,196,700 below the budget estimate.
The Committee believes a slower pace is appropriate for the TFM
infrastructure project, given the need to fund higher priority programs.
Last year, the Committee recommended zero for this project.
Terminal doppler weather radar (TDWR). --The Committee remains
concerned that FAA has not installed a TDWR system or otherwise provided
adequate windshear protection for the New York City metropolitan area.
The Committee understands that the record of decision for the proposed
TDWR at the former Brooklyn Coast Guard Air Station is expected this
autumn, and that the system could be commissioned six to eight months
after that decision. The Committee has watched year after year of delay
go by in this program, and insists that FAA adhere to this schedule.
Dallas/Fort Worth radar displays. --The Committee is aware that,
because of the volume of air traffic in the terminal airspace around the
Dallas/Fort Worth (DFW) metropolitan area, there is a significant
problem of ``data tag overlap''. The data tags are displays of
information provided to controllers. When a large number of aircraft are
being displayed in a confined area, the data tags overlap and cannot be
read easily. Vital aircraft information becomes obscured and very
difficult to read by air traffic controllers. The Committee is aware
that FAA is considering the possibility of including Dallas/Fort Worth
in the STARS early deployment capability, and received funds in fiscal
year 1998 for that effort. The Committee strongly encourages the FAA to
analyze this potential safety issue and address the deficiency as soon
as possible.
Terminal automation. --The Committee recommends $121,600,000 for
acquisition of standard terminal automation replacement system (STARS)
workstations, which is 90 percent of the $135,300,000 requested. When
combined with funds provided for engineering development, the total
amount in the bill for the STARS program is $196,300,000, or 93.5
percent of the amount requested. This makes STARS the largest single
item in FAA's capital budget for fiscal year 1999. The reduction of
$13,700,000 represents costs for the last 4 of the 17 STARS systems in
the 1999 budget, as well as a pro rate share of the implementation and
maintenance costs associated with those systems. The Committee notes
that FAA is now estimating a six month delay in implementation at
virtually all STARS sites due to development problems and cost growth.
The Committee believes that procurement should proceed at a slower pace
until the development problems are resolved. The Committee remains very
supportive of this program, especially the early display capability, and
hopes the agency can meet its current March 1999 implementation
schedule.
Low cost ASDE technologies. --The Committee continues to support
FAA's development of low cost airport surface detection equipment (ASDE)
systems, especially given the heightened importance of reducing runway
incursions. The Committee encourages FAA to make a near-term decision
among competing technologies in order to field this advanced technology
as soon as possible, and to include funding in future budget requests to
develop and implement low cost ASDE systems. The Committee is especially
pleased with the results of recent testing of phased array radar
technology at Norfolk International Airport in Virginia.
Terminal air traffic control facilities replacement. --The Committee
recommends $58,725,000 for this program, a reduction of $23,575,000 from
the budget estimate. Changes to the budget estimate are as follows:
Location Fiscal year 1999 budget Committee recommended Change to request
Port Columbus, OH $50,000 $750,000 +$700,000
Newark, NJ 14,275,000 --- -14,275,000
LaGuardia, NY 10,000,000 --- -10,000,000
-------------------------- ------------------------ -------------------
Total -23,575,000
Port Columbus, OH. --The Committee believes that design work for
this new tower should be accelerated, and therefore provides the full
amount needed for that work.
Newark, NJ .--The President's budget request assumed the
reprogramming of previously provided funds during fiscal year 1998.
However, those funds were not reprogrammed. Therefore, these fiscal year
1999 funds are no longer needed.
LaGuardia, NY. --FAA estimates that the commissioning for this new
control tower will not occur for almost four years. Given this, and the
fact that FAA is still performing site studies, the Committee believes
that $10,000,000 for construction is premature.
New Castle County Airport, Delaware. --The Committee understands
that FAA has suggested the sponsor of the New Castle County Airport in
Delaware should finance not only the cost to design and construct a new
control tower at that airport, but also approximately $2,300,000 for
FAA's overhead, equipment and administrative costs to oversee the
project. In addition, the FAA has suggested that the sponsor should
reimburse the agency approximately $1,000,000 for overhead costs related
to relocation of the FAA's VHF omni-directional range (VOR) at the
airport, even though the current lease indicates the FAA should bear the
costs. While the Committee is aware that the FAA has budget
difficulties, it is clear that these ``soft'' costs are the agency's
responsibility. The Committee directs the FAA to assume these costs at
New Castle County Airport, which are estimated at approximately
$3,300,000. The Committee believes that, when an airport sponsor is
willing to finance the significant cost of constructing a control tower
for the FAA, the agency should not impose additional overhead costs on
that sponsor.
Terminal voice switch replacement/enhanced terminal voice switch.--
The Committee recommends $9,000,000 a large increase over the $1,640,000
provided for fiscal year 1998 but less than the $11,500,000 requested.
The reduction is due to budget constraints, and is without prejudice to
the overall program. The Committee is concerned about the continuing
delays in the TVSR program, which is several years behind the original
schedule. Given the large increase in funding over fiscal year 1998, the
Committee believes funds are sufficient to continue both of the existing
production sources during fiscal year 1999, and the Committee encourages
FAA to continue both sources in order to maintain competition in this
program.
Chicago tracon. --According to the budget justifications, these
funds are needed ``to resolve environmental or airspace issues that
arise as a result of rerouting air traffic * * * and to resolve
community concerns through final airspace simulations and modeling''.
The Committee believes that such projects can be funded out of the
operating account since they apparently do not involve justification for
construction of a new facility. The Committee recommends no funding for
this work, a reduction of $500,000 from the budget estimate.
Northern California metroplex. --The Committee recommends
$21,700,000 for this project, the same amount as last year. The budget
estimate included $27,600,000.
NAS infrastructure management system (NIMS). --The recommendation
holds funding for this program to the fiscal year 1998 level due to
budget constraints. This results in a reduction of $4,000,000 from the
budget estimate.
ASR 9.-- The proposed reduction of $3,800,000 would delete funds for
a system upgrade. The Committee is not certain that upgrading this
system is a high priority, given development of the new digital radar,
ASR 11.
Terminal facilities integration. --The Committee is unclear about
the specific purpose of this small program, and is concerned that it may
duplicate integration work budgeted in the individual program budgets.
The recommendation defers the $5,600,000 requested until the program is
more fully justified.
Terminal digital radar (ASR 11). --The Committee recommends
$62,200,000 for the ASR 11 program, a reduction of $3,900,000 from the
budget estimate. Since submission of the budget, the schedule for the
STARS deployment program has slipped approximately six months, according
to FAA program officials. Since this program is paced by the STARS
implementation schedule, a portion of this work will not be needed until
the following fiscal year.
Weather systems processor. --The recommended reduction of $2,900,000
would delete funds to upgrade the five limited production units. FAA
does not plan to award the base contract until September 1998. It seems
premature to the Committee to budget for upgrades to systems which
haven't even been procured or produced yet. The reduction is without
prejudice.
OASIS. --The Committee recommends $22,500,000, a reduction of
$3,000,000 from the budget estimate. Funding of $3,900,000 was provided
in fiscal year 1998. The reduction is due to budget constraints and is
without prejudice. The Committee continues to support the need for this
program.
Automated weather observing system (AWOS). --The Committee has
considered requests this year to fund weather observing systems at the
FAA, including the automated weather observing system (AWOS) and the
advanced surface observation system (ASOS). Although these are
meritorious systems, the Committee bill does not include funds above the
budget request for either system due to budget constraints. However, the
Committee notes that the Senate-reported bill does include additional
funds for the ASOS system. While the Committee is declining to fund
either system above the budget request at this time, it is the
Committee's strong position that, if additional funding is provided in
final conference action later this year for either of these systems, an
equitable distribution of additional funds must be provided for both.
Flight service station modernization. --In the original President's
budget request, the FAA requested $2,000,000 for this program. However,
in a budget amendment submitted on June 4, 1998, the agency recommended
reducing the program to $1,000,000 to provide additional funds for the
free flight phase one program. The Committee notes that there are few
items in the F&E program which are of direct benefit to the general
aviation community, and this is one of them. The recommendation keeps
funding at the original request, an addition of $1,000,000 to the
amended request.
VOR/DME/TACAN. --An additional $3,000,000 is recommended
specifically for the FAA to relocate and elevate the current VORTAC
facility in Vernon Hills, Illinois. In addition, $700,000 is to replace
or repair the VOR in Gainesville, Florida, which was recently damaged by
floods.
Instrument landing systems, establish. --The Committee recommends
$16,500,000 for this program and expects that funds will be distributed
as follows:
Installation of previously-procured systems $7,800,000
Fresno International Airport, CA: upgrade category I ILS to category II 3,500,000
Stanly County Airport, NC: ILS obstruction zone, aeronautical easement 1,000,000
Everett-Stewart Airport, TN-ILS and DME 200,000
Zanesville Airport, OH: ILS 300,000
March Airfield, CA: upgrade category I ILS to category II 3,700,000
------------
Total 16,500,000
Fresno International Airport. --The Committee bill makes $3,500,000
available for the FAA to upgrade the Fresno Yosemite International
Airport's current category I instrument landing system to a category II
ILS/GPS system. This airport is constantly subjected to a phenomenon
known as ``Tule fog'' during early and late winter months. Tule fog
levels are often at approximately 150 feet above ground level, which
does not permit aircraft operations using category I ILS. As a result,
shippers and airlines are often forced to delay or cancel services,
which causes them to incur substantial losses. The upgrade to a category
II system will permit aircraft to land with 100 feet of visibility, and
would go far towards remedying this situation.
March Airfield. --The bill includes $3,700,000 to upgrade the
lighting and navigational aids of this airfield to achieve a category II
landing capability. This includes $1,000,000 for mark 20 localizer and
glideslope equipment; $850,000 for an approach lighting system with
sequential flashing lights (ALSF); $800,000 for centerline lighting and
touchdown zone equipment; and $1,050,000 for other associated project
costs.
Navigation and landing aids, improvement. --The small reduction of
$761,700 is due to budget constraints. The Committee recommendation is
$2,000,000 for this program.
Approach lighting system improvement. --The recommended increase of
$5,000,000 is intended for the additional procurement of approach
lighting system-flashing (ALSF) 4 equipment.
Precision approach path indicators. --The recommended increase of
$3,000,000 is for FAA to procure additional precision approach path
indicator (PAPI) lighting systems. Funding of $3,500,000 was provided
for this purpose in fiscal year 1998.
Radar outages, Kansas City. --The Committee encourages the FAA to
continue working with federal, state, and local officials and air
traffic controllers to resolve recent radar outage problems at the
Kansas City International Airport and the Kansas City air route traffic
control center. The recent visit by the FAA administrator and a GAO
audit requested by Congress make the Committee hopeful that a solution
to these problems will be found quickly.
PROCUREMENT OF NON-ATC FACILITIES AND EQUIPMENT
The Committee recommends $183,800,000 for the acquisition of non-air
traffic control facilities and equipment, an increase of $113,151,000
(160.2 percent) above the level enacted for fiscal year 1998 and
$9,000,000 more than the President's budget estimate.
Explosive detection systems (EDS). --The Committee bill includes the
$100,000,000 requested for procurement of additional explosive detection
systems. However, the Committee is troubled by a recent report and
Congressional testimony of the Office of Inspector General, which found
that the existing machines are being severely underutilized, and that
the commercial airlines have not budgeted for the continuing operation
and maintenance of the systems. The Committee would point out that,
although the Federal Government has long been involved in developing and
(recently) acquiring these machines, the underlying responsibility has
always been--and remains today--that of the airlines. Ensuring that an
aircraft and its passengers are safe from explosives is the legal
responsibility of the commercial air carriers. Although the Federal
Government can and will assist the airlines in this area, the Committee
does not accept that by providing such funds for a short period of time
the government is assuming this new role. By contrast, the Committee
believes the airlines should want the additional security afforded by
these new systems, and believes that airline passengers welcome those
improvements as well.
Although the bill includes funds to continue this program, the
Committee believes it is necessary to include provisions in the bill
which prohibit the obligation of any funds for additional bulk explosive
detection systems until thirty days after the FAA administrator
certifies, in writing, that the major air carriers responsible for
providing airport security agree to: (a) begin assuming the operations
and maintenance costs of such machines beginning in fiscal year 1999;
and (b) substantially increase the usage of such machines. The Committee
also requests the Inspector General to review this certification and
provide an independent view to the Congress.
Information security. --The Committee recommends $7,000,000 for this
area in fiscal year 1999, an increase of $5,000,000 above the budget
request. The Committee believes this is an important area of concern
which requires a higher level of attention and more budgetary resources.
DSR training simulator. --The bill includes $4,000,000 for the
Mid-America Aviation Resource Consortium to continue procurement of a
display system replacement (DSR) air traffic control simulator
compatible with new DSR systems now being installed in en route centers
nationwide. The same amount was provided in fiscal year 1998. This new
DSR training simulation system at MARC will enable new controllers to be
trained to operate the DSR system when it becomes fully operational in
ARTCCs across the nation in the year 2000.
MISSION SUPPORT
The recommendation provides $263,043,200 for mission support
activities. Funding of $288,960,000 was provided in fiscal year 1998.
Adjustments to the budget estimate are explained below.
Resource tracking program. --This small project was reduced in the
budget amendment from $1,000,000 to $500,000. Given the increasing
importance of cost accounting and performance measurement to the agency,
the Committee believes this small reduction should be restored. Funding
of $1,000,000 is recommended.
Center for advanced aviation systems development (CAASD). --The
Committee believes the request for CAASD contract is inadequate, given
the increased demands on the organization over the past year. The budget
request would result in a 12 percent reduction in technical staffing.
The Committee appreciates the work of CAASD in support and oversight of
FAA programs, and recommends an increase of $7,093,200. This should
allow CAASD to retain approximately the current level of staffing.
The Committee also directs CAASD not to take on work in the URET
project, or in other projects, which is programmatic in nature. This
includes such work as software development or documentation; processing
of software changes; and assistance in ``evolutionary development''
activities for individual programs. CAASD discontinued such work several
years ago at the request of the Committee, and now focuses on
higher-level analyses which are of higher priority to the agency and
which utilize more fully their specific expertise and unique
relationship with the agency.
The Committee is also very supportive of CAASD's recent assistance in
the financial planning area, and encourages the organization to continue
and expand this work, especially in long-range planning and
conceptualization for the operations budget.
Year 2000 computer issues. --The Committee recommends $21,600,000
for this program, a reduction of $14,440,000 from the budget estimate.
The bill assumes that the balance of required funding will be made
available from a supplemental appropriation to be addressed later in the
year. Also, Congress recently provided $25,000,000 for this purpose in a
fiscal year 1998 supplemental appropriations Act.
PERSONNEL AND RELATED EXPENSES
The recommendation provides $250,650,000, an increase of $17,440,000
above the budget estimate. The increase, as previously explained under
FAA ``Operations'', involves a transfer of funding for certain
acquisition program offices from the operating account to this
appropriation.
RESEARCH, ENGINEERING, AND DEVELOPMENT
(Airport And Airway Trust Fund)
Appropriation, fiscal year 1998 $199,183,000
Budget estimate, fiscal year 1999 290,000,000
Recommended in the bill 145,000,000
xlBill compared with:
Appropriation, fiscal year 1998 -54,183,000
Budget estimate, fiscal year 1999 -145,000,000
This appropriation provides funding for long-term research,
engineering and development programs to improve the air traffic control
system and to increase its safety and capacity to meet air traffic
demands of the future, as authorized by the Airport and Airway
Improvement Act and the Federal Aviation Act. The appropriation also
finances the research, engineering and development needed to establish
or modify federal air regulations.
Committee Recommendation
The Committee recommends $145,000,000, a reduction of $145,000,000
below the President's budget request and $54,183,000 below the fiscal
year 1998 enacted level. Most of the reduction (93.7 percent) is
accounted for by a deferral of the flight 2000 project (-$90,000,000)
and a transfer of certain activities to the ``Facilities and equipment''
appropriation (-$45,857,000) which has been previously explained in an
earlier section of this report.
While still the safest airway system in the world, aviation accidents
in this country in 1994 and 1996 highlight the need for more rapid
implementation of advanced safety technologies, especially those related
to forecasting and detection of hazardous weather conditions such as
windshear, safety monitoring and oversight technologies, and aircraft
technologies. The high percentage of accidents and incidents due to
human error, deicing, and other hazardous weather problems call for
sustained, high priority research programs to address these issues. In
some cases, these priorities have necessitated reductions in other
research programs.
Reprogramming actions. --According to a recent IG report, the FAA
made several funding changes in its execution of the fiscal year 1998
appropriation about which the Committee should have been advised. In
system development and infrastructure, for example, Congress reduced the
request by $1,700,000. However, the FAA put back $542,000 (32 percent)
of this amount internally. The agency also increased airport technology
funding by 25 percent above the approved level. Congress raised funding
for aircraft safety technology by $10,210,000--and the FAA reprogrammed
24 percent of this amount to their own priorities. The Committee does
not make its recommendations lightly, and is therefore quite concerned
about the agency substituting its priorities for those of the Congress.
The Committee intends to monitor this very closely during fiscal year
1999, and will consider placing all amounts directly in the bill in
future years if Congressional allocations are not more closely followed.
A table showing the fiscal year 1998 enacted level, the fiscal year
1999 budget estimate, and the Committee recommendation follows:
Offset Folios 73 Insert here
System Development and Infrastructure
The recommended level is $12,775,000 for system development and
infrastructure, a reduction of $1,879,000 (12.8 percent) below the
fiscal year 1998 enacted level.
System planning and resource management. --The recommendation
provides $1,164,000, the same as the fiscal year 1998 enacted level.
Technical laboratory facility. --The recommendation allocates
$6,721,000, a reduction of $1,318,000 below the level provided in fiscal
year 1998. The reduction is necessary to fund higher priority activities
in weather and human factors research.
Weather Research
The Committee recommendation includes $15,284,000 for research to
reduce aviation hazards of dangerous weather, the same level as enacted
for fiscal year 1998 and $3,000,000 (24.4 percent) above the budget
request. A comparison of the Committee recommendation to the fiscal year
1998 enacted level and the President's budget request is as follows:
Project FY 1998 enacted FY 1999 budget Commttee recommendation
National laboratory program $8,367,000 $9,118,000 $9,118,000
Project Socrates 3,000,000 3,000,000
Juneau windshear research 3,500,000
Center for Wind, Ice and Fog 500,000 (\1\) (\1\)
Research operations 1,466,000 1,007,000 1,043,000
In-house personnel 800,000 848,000 848,000
Program office support 567,000 600,000 600,000
Technical center support 400,000 475,000 475,000
Cost benefit analysis 200,000 200,000 200,000
Adjustment --- 36,000 ---
----------------- ---------------- --------------------------
Total 15,300,000 12,284,000 15,284,000
\1\Included under the national laboratory program.
Within the funds provided, $3,000,000 is to continue development of
the windshear protection technology known as Project Socrates. This is
the same level provided for fiscal year 1998. In addition, the bill
includes language stipulating that no less than $9,118,000 may be
utilized for the National Laboratory Program, which is the level assumed
in the budget request. The Committee continues to strongly support this
work, which is coordinated by the National Center for Atmospheric
Research (NCAR) and performed jointly by several universities, federal
laboratories, and non-profit organizations prominent in the field of
weather research. The Committee wishes to ensure that the appropriation
for this work is not reprogrammed to other activities. The FAA is
encouraged to continue the involvement of the Center for Wind, Ice and
Fog at Mount Washington Observatory in New Hampshire under this program.
The Committee believes that FAA is not showing the necessary
leadership or effectively managing its weather research and technology
development programs, a finding supported by a recent GAO report. The
Committee has, for many years, strongly encouraged FAA to raise the
priority of weather programs in the budget and to reorganize in a
fashion which can provide strong leadership. The Committee directs the
FAA to establish an integrated product team for weather programs and
place in under the current ``communications, navigation, and
surveillance'' organization.
AIRPORT TECHNOLOGY
The Committee recommends $7,215,000, $168,000 below the budget
estimate and $2,215,000 (44.3 percent) above the $5,000,000 provided
last year. These activities include runway pavement research and other
research into civil engineering improvements at the nation's airports.
AIRCRAFT SAFETY TECHNOLOGY
Overall, the Committee recommends $34,886,000, the same as the budget
estimate.
Propulsion and fuel systems. --The Committee understands that the
FAA received a proposal under Propulsion Systems research to address
inappropriate crew response to engine malfunction. Better engine models
would be developed for flight simulator upgrades that permit the
airlines to enhance their line-oriented flight training (LOFT) programs
required by the FAA under its advanced qualifications program for air
transport pilots. The Committee encourages the FAA to consider this
proposal for funding in fiscal year 1998 or 1999.
Flight safety/atmospheric hazards research. --Of the $2,619,000
provided, $800,000 is to continue to address the problem of wildlife
strikes by aircraft.
SYSTEM SECURITY TECHNOLOGY
Overall, the Committee recommendation provides $44,225,000, the same
as the fiscal year 1998 enacted level.
HUMAN FACTORS AND AVIATION MEDICINE
The Committee recommendation provides $26,615,000, an increase of
$4,386,000 (19.6 percent) above the budget request and approximately the
same level as last year. The Committee remains disappointed that, once
again this year, the FAA has placed human factors research at or near
the bottom of its research priorities, choosing instead to propose
increases in the agency's institutional laboratory capabilities,
in-house research planning, and other similar activities. Once again
this year, the Committee has rearranged those priorities in a manner
which will advance aviation safety rather than institutional
prerogatives.
Air traffic control/airway facilities human factors. --The
recommendation provides $10,000,000, an increase of $1,703,000 (20.5
percent) above the budget request and the same level as last year. Of
the funds provided, $1,000,000 is for an agency-wide comprehensive
survey of air traffic controller personnel, to determine the extent of
fatigue among the workforce and the effect of current shift patterns and
rotation practices. FAA should also use the additional funding provided
to continue and expand the important work done at the Civil Aeromedical
Institute (CAMI) regarding fatigue in the controller workforce.
Aeromedical research. --The recommendation provides $4,065,000,
which is $36,000 above the budget request and $65,000 (1.6 percent)
above the level provided last year. The Committee continues to value the
work performed in this project and conducted mainly at the Civil
Aeromedical Institute in Oklahoma.
ENVIRONMENT AND ENERGY
The recommendation provides $3,000,000, an increase of $109,000 (3.8
percent) above the level provided last year. This program researches
ways to mitigate the impact of airport noise around the country. The
budget proposed $3,391,000, an increase of 17.3 percent.
INNOVATIVE AND COOPERATIVE RESEARCH
The recommendation provides $1,000,000, which is a reduction of
$1,000,000 below the level provided last year. The reduction is needed
to fund higher priority activities in safety-related areas, including
hazardous weather and human factors research. This program finances the
FAA centers of excellence, the FAA fellows program, and other
university-based research of long-term interest to aviation. The budget
included $2,330,000, an increase of 16.5 percent.
GRANTS-IN-AID FOR AIRPORTS
(liquidation of contract authorization)
(airport and airway trust fund)
Liquidation of contract authorization Limitation on obligations
Appropriation, fiscal year 1998 $1,700,000,000 ($1,700,000,000)
Budget estimate, fiscal year 1999 1,600,000,000 (1,700,000,000)
Recommended in the bill 1,600,000,000 (1,800,000,000)
xlBill compared with:
Appropriation, fiscal year 1998 -100,000,000 (+100,000,000)
Budget estimate, fiscal year 1999 --- (+100,000,000)
The bill includes a liquidating cash appropriation of $1,600,000,000
for grants-in-aid for airports, authorized by the Airport and Airway
Improvement Act of 1982, as amended. This funding provides for
liquidation of obligations incurred pursuant to contract authority and
annual limitations on obligations for grants-in-aid for airport planning
and development, noise compatibility and planning, the military airport
program, reliever airports, and other authorized activities. This is the
same as the level requested in the President's budget.
LIMITATION ON OBLIGATIONS
The bill includes a limitation on obligations of $1,800,000,000 for
fiscal year 1999. This is $100,000,000 (5.9 percent) above the
President's budget request and $100,000,000 above the fiscal year 1998
level.
A table showing the distribution of these funds compared to the
fiscal year 1998 levels and the President's budget request follows:
Project Fiscal year--
1998 enacted 1999 estimate 1999 recommended
Entitlements: $989,114,003 $995,621,560 $1,016,621,560
Small Airport Fund: 111,250,757 113,767,800 113,767,800
Discretionary Set-Asides: 255,920,968 290,610,640 369,610,640
Other Discretionary: 343,714,272 300,000,000 300,000,000
------------------- ---------------- ------------------
Total limitation \1\1,700,000,000 1,700,000,000 1,800,000,000
\1\Includes cap on noise and military airport set-asides.
DISCRETIONARY GRANTS
Within the overall obligation limitation in this bill, $669,610,640
is available for discretionary grants to airports. Within the obligation
level recommended, the Committee directs that priority be given to grant
applications involving further development of the following airports:
State Airport (project)
Alabama Isbell Field Municipal Airport (runway extension); Huntsville International (security system).
California San Bernardino International Airport; Gnoss Field (runway extension); Stockton Metropolitan Airport (runway extension); March Airfield (refueling system conversion); Meadows Field Airport (terminal); Yucca Valley Airport (site study).
Florida Orlando International (crossfield taxiways); Miami International.
Georgia Peachtree Dekalb Airport (runway protection zone).
Illinois Chicago Midway Airport (noise abatement).
Indiana Porter County Municipal (runway extension); Griffith/Merrillville Airport (runway reconstruction).
Iowa Sioux Gateway Airport.
Kansas Kingman Airport (runway rehabilitation).
Louisiana New Orleans International (EIS and new runway); New Orleans International (noise abatement); Baton Rouge (reconstruct taxiway ``F'').
Maryland Baltimore-Washington International (glycol recovery facilities).
Michigan Flint Bishop International (runway rehabilitation); Oakland-Pontiac International (noise abatement); Chippewa County Airport (new runway); Marquette Airport (relocation).
Mississippi Belmont-Tishomingo County Airport.
New Jersey Newark International.
New York Greater Buffalo International (building demolition); Syracuse Hancock International Airport.
North Carolina Piedmont Triad International (new runway).
Ohio Rickenbacker International; Cleveland Hopkins International (runway expansion).
Rhode Island T.F. Green Airport (noise abatement).
Texas Cloverfield Airport; Ellington Field.
Utah Salt Lake City International.
Wisconsin La Crosse Municipal Airport (new runway).
Cloverfield Airport, TX. --The Committee is pleased to note that
since 1989, the FAA has assisted numerous public and private entities in
the planning and development of Cloverfield Airport, a privately-owned,
public use, federal reliever airport to the commercial air carrier
facility, Houston Hobby Airport. The FAA has helped fund Cloverfield's
feasibility study, airport master plan, site analysis and environmental
assessment study. The FAA has also recognized the airport's importance
by choosing it as a site for the doppler weather radar system and by
making it one of the few general aviation facilities with a GPS weather
station. Cloverfield is also home to the helicopter emergency evacuation
service for Hermann Hospital Life Flight that serves the entire Houston
Medical Center region.
Cloverfield, a 57-year-old facility, is now ready to undertake the
safety improvements and airfield upgrades that have been designated in
the FAA-approved layout plan. The airport recently submitted a grant
application to the FAA's Airport Improvement Program for funding to
widen, reconstruct, and strengthen the existing runway and construct
parallel taxiway ``A''. The Committee considers these to be worthy
projects that will provide significant safety benefits to Cloverfield
Airport and its users, and urges the FAA to move forward expeditiously
to fund these improvements in fiscal year 1999. The Committee also
encourages the FAA to provide this funding directly to Cloverfield
Airport.
Stockton Metropolitan Airport, CA.-- The Committee wants to express
continued support for AIP funding for the Stockton Metropolitan Airport,
so that the airport can lengthen the runway. The Committee supported
this project last year, but the FAA has not funded the project to date.
Currently, the runway at Stockton is insufficient to handle wide-body
cargo aircraft that are necessary to ship fresh produce overseas. The
runway extension is vital to the export viability of California
argricultural products. Furthermore, the AIP funding is necessary to
prevent further deterioration of the runway. The application for AIP
funding has the support of local officials. To assist their efforts, the
Committee encourages FAA to fund the runway extension at Stockton
Airport this year.
Ellington Field, Houston, TX.-- Ellington Field in Houston, Texas is
currently being considered for readmission into the military airport
program (MAP). Ellington was a military facility for many years, and was
in considerable disrepair when transferred to the City of Houston in
1984. Ellington Field has remained a joint use facility, with continued
federal use and partial ownership. NASA, the Coast Guard, and the
National Guard are all active at the airport. In addition, it is a
general aviation airport, serves as a designated reliever, and is
drawing considerable interest as an economic development site. However,
the rehabilitation that was necessary could not be completed during
Ellington's initial participation in MAP. The Committee recognizes that
the backlog of work remaining from Ellington's military days is a
significant problem and an impediment to the airport's ability to emerge
as a self-supporting facility and a generator of substantial economic
growth in the area. The Committee believes that Ellington Field presents
exactly the kind of transition situation that MAP was created to assist,
and encourages the FAA to approve the City of Houston's application for
readmission into the MAP program.
New Orleans International Airport, LA.-- The Committee encourages
the FAA to consider signing a letter of intent for major capacity
enhancement projects and the related environmental impact statement at
New Orleans International Airport in Louisiana. In addition, the FAA
should give priority consideration to purchase the property in priority
six as part of the noise mitigation buyout program at this airport.
Priority six is outside the 75 LDN area; however, the area has been
adversely affected sufficient to warrant purhasing non-compatible
property to maintain the integrity of the neighborhood.
Flint Bishop International Airport, MI.-- The Committee urges the
FAA to give priority consideration to a request for discretionary
funding for runway rehabilitation and new construction at the Flint
Bishop International Airport in Michigan.
Oakland-Pontiac International Airport, MI .--The Committee
encourages the FAA to give priority consideration to a request for
discretionary funding for Oakland-Pontiac International Airport property
acquisition in the west runway protection zone to enhance airport safety
and to help relocate residents living in the noise zone.
Buffalo Airport Center, NY .--The Committee encourages the FAA to
give priority consideration to a request for discretionary funding for
airside safety-related building acquisition and demolition activities at
the Buffalo Airport Center in New York.
Huntsville International Airport, AL .--The Committee understands
that Huntsville International Airport has submitted an application to
the FAA to fund the design and construction of an airport security
system and control center. The Subcommittee recognizes the need for this
airport security system and control center and urges the FAA to fund
these projects.
Gnoss Field, Marin County, CA .--The Committee urges the FAA
Administrator to give priority consideration to a request for
discretionary funding for the extension of the runway to 4,500 feet in
order to increase the operating safety for all aircraft using Gnoss
Field.
T.F. Green Airport, RI .--The Committee urges the FAA Administrator
to give priority consideration to a request for discretionary funding
for noise mitigation projects at T.F. Green Airport in Rhode Island.
Chippewa County Airport, MI .--The Committee urges the FAA
Administrator to give priority consideration to a request for
discretionary funding for the design and construction of a crosswind
runway at Chippewa County Airport near Kincheloe, Michigan. The
Committee understands that a feasibility study has determined that a new
crosswind runway is vital to continue safe flight operations at the
airport.
Cleveland Hopkins International Airport, Cleveland, OH .--The
Committee urges the FAA Administrator to give priority consideration to
a request for discretionary funding for site and engineering studies for
the proposed runway expansion at the Cleveland Hopkins International
Airport.
La Crosse Municipal Airport, WI .--The Committee urges the FAA
Administrator to give a high priority to awarding discretionary funds
for reconstruction of the airport runway and repair of the approach
lighting system towers at La Crosse Municipal Airport in La Crosse,
Wisconsin.
Miami International Airport, Miami, FL .--The Committee recognizes
the need for capacity enhancements at Miami International Airport and
urges the FAA Administrator to take steps to award discretionary funding
for the fourth runway, including issuing a record of decision by October
1998 and entering into a three-year $104.3 million letter of intent with
the Miami-Dade Aviation Department.
Peachtree DeKalb Airport, GA .--The Committee urges the FAA
Administrator to give priority consideration to a request for
discretionary funding for noise mitigation projects at Peachtree DeKalb
Airport, Georgia.
Midway Airport, Chicago, IL .--The Committee urges the FAA
Administrator to give priority consideration to a request for
discretionary funding for noise abatement projects at Midway Airport,
Chicago, Illinois.
Marquette Airport, MI .--The Committee recognizes the benefits of
relocating the Marquette Airport to the former Air Force Base, K.I.
Sawyer, and urges the FAA Administrator to give priority consideration
to awarding discretionary funding for this purpose.
Yucca Valley Airport, CA. --The Committee is concerned with actions
taken by the FAA regarding the Yucca Valley Airport in California. Due
to the need for a viable general aviation airport in Yucca Valley/Joshua
Tree, the Committee expects the FAA to conduct an unbiased site
selection study for this area which includes the current airport in
Yucca Valley. This is similar to direction provided last year, and the
Committee is insistent that the FAA follow these directions.
DENVER INTERNATIONAL AIRPORT--NOISE MITIGATION
The City and County of Denver, Colorado, as well as many of the
surrounding counties affected by noise from the Denver International
Airport (DIA), formed the Denver International Airport Study
Coordination Group to commission a study on aircraft noise and make
recommendations for changes in DIA operations. This study, titled ``A
Study of the Noise Impact of aircraft Operation in the Denver, Colorado
Area'', has now been completed. The study indicates that changes in
flight paths at DIA, Centennial Airport, and Buckley Air National Guard
Base could substantially reduce aircraft noise in Front Range areas. The
Committee instructs FAA to work with the DIA Study Coordination Group,
the DIA noise abatement office, and other affected Colorado communities
to identify measures, including changes in flight patterns, which would
reduce aircraft noise. In addition to considering average noise levels
(particularly in communities with average noise levels over 65 LDN), the
FAA shall address the specific noise problems related to single noise
events, low background noise, and the higher altitude of Colorado
communities.
GRANTS-IN-AID FOR AIPORTS
(airport and airway trust fund)
(rescission of contract authorization)
The bill rescinds $5,000,000 in contract authority which is not
available for obligation under currently-assumed obligation limitations.
This is not expected to effect ongoing airport development programs, and
is due to budget constraints.
AVIATION INSURANCE REVOLVING FUND
Once again this year, the bill continues language authorizing the
Secretary of Transportation to make expenditures and investments for
aviation insurance activities out of the aviation insurance revolving
fund and authorized under chapter 443 of title 49, United States Code,
within the limits of funds made available pursuant to 49 U.S.C. 44307.
AIRCRAFT PURCHASE LOAN GUARANTEE PROGRAM
The bill includes a zero obligation limitation on borrowings during
fiscal year 1999 under the aircraft purchases loan guarantee program.
This is the same as the budget estimate.
ADMINISTRATIVE SERVICES FRANCHISE FUND
When this effort was initiated two years ago, Congress made it clear
that the program was considered to be on a trial basis, and that cost
savings must be demonstrated in the near-term for Congressional support
to be maintained. In denying the request originally, this Committee's
June 1996 report stated ``should the FAA provide convincing evidence
that such an entity will save significant administrative costs, the
Committee will consider such proposal in future years''. House conferees
agreed to establish the fund later that year, but made clear that this
was only on a trial basis, and that efficiencies and cost savings would
be monitored closely. When no such savings were identified by mid-1997,
the Committee recommended restrictions on the program. However, the
restrictions were dropped in conference in lieu of a report detailing
cost savings from the program. After eight months, the FAA recently
submitted a two-page report which concluded that the agency ``recognized
no measurable cost savings in fiscal year 1997 as a result of the
franchise fund''. The Committee believes the agency has had ample time
to prove the benefit of this fund, and has been unable to do so.
Therefore, the bill includes a provision prohibiting the FAA from
continuing the Administrative Services Franchise Fund during fiscal year
1999.
FEDERAL HIGHWAY ADMINISTRATION
The Federal Highway Administration provides financial assistance to
the states to construct and improve roads and highways, enforces federal
standards related to interstate motor carriers and the highway transport
of hazardous materials, and provides technical assistance to other
agencies and organizations involved in road building activities. Title
23 and other supporting legislation provide authority for the various
activities of the Federal Highway Administration. Funding is provided by
contract authority, with program levels established by annual
limitations on obligations provided in appropriations Acts.
As discussed earlier in this report, the Transportation Equity Act
for the 21st Century (TEA21) amended the Budget Enforcement Act to
provide two additional discretionary spending categories, one of which
is the highway category. This category is comprised of all federal-aid
highway funding, motor carrier safety funding, National Highway Traffic
Safety Administration (NHTSA) highway safety grant funding and NHTSA
highway safety research and development funding. The highway category
obligations are capped at $25,883,000,000 and outlays are capped at
$21,885,000,000 in fiscal year 1999. If appropriations action forces
highway obligations or outlays to exceed these levels, the difference is
charged to the nondefense discretionary spending category. In addition,
if highway account receipts exceed levels specified in TEA21, automatic
adjustments will be made to increase or decrease obligations and outlays
for the highway category accordingly.
The Committee's recommendation fully comports to and does not exceed
the levels guaranteed by TEA21. The following table summarizes the
program levels of the various programs within the Federal Highway
Administration for fiscal year 1998 enacted, the fiscal year 1999 budget
request and the Committee's recommendation:
Program 1998 enacted 1999 request 1999 recommended
Federal-aid highways $21,500,000,000 $21,500,000,000 $25,511,000,000
Exempt federal-aid programs 1,597,000,000 1,265,000,000 1,211,614,000
Emergency relief program supplemental (259,000,000)
Motor carrier safety grants 84,825,000 100,000,000
Appalachian development highway system 300,000,000
State infrastructure banks 150,000,000
Transportation infrastructure credit program 100,000,000
------------------ ------------------ --------------------
Total 23,481,825,000 23,115,000,000 26,722,614,000
LIMITATION ON GENERAL OPERATING EXPENSES
Limitation, fiscal year 1998\1\ ($522,266,000)
Budget estimate, fiscal year 1999 (521,883,000)
Recommended in the bill (318,733,000)
xlBill compared with:
Limitation, fiscal year 1998 (-233,533,000)
Budget estimate, fiscal year 1999 (-203,150,000)
\1\Excludes reductions of $610,000 for TASC.
This limitation controls spending for the salaries and expenses of
the Federal Highway Administration required to conduct and administer
the federal-aid highways programs and most other federal highway
programs. In the past, this limitation included a number of contract
programs, such as highway research, development and technology; however,
the Transportation Equity Act for the 21st Century (TEA21) created a
separate limitation for transportation research. Accordingly, in fiscal
year 1999 costs related to highway research, development and technology
are included under a separate limitation.
The Committee recommends a limitation of $318,733,000. This amount is
$8,175,000 above comparable amounts provided for fiscal year 1998 and
$22,530,000 below the level requested in the budget. The recommendation
assumes a reduction from 1998 enacted levels of 78 full time equivalent
positions for a total of 3,087. The Committee recommendation includes
$52,530,000 for motor carrier safety operations, to be transferred to
the National Highway Traffic Safety Administration to carry out the
functions of the office of motor carriers. The recommended level assumes
the following adjustments to the budget request:
Undistributed reduction in GOE administrative expenses -$6,000,000
Defer funding for national differential global positioning system -9,654,000
Delete funding for nationwide personal transportation survey -1,500,000
Delete funding for national rural development program support -500,000
Disapprove transfer to Appalachian Regional Commission -3,000,000
Transportation needs study in the National Parks and federal lands +2,000,000
Undistributed reduction in motor carrier administrative expenses -2,853,000
Undistributed reduction in GOE administrative expenses. --The
Committee recommendation includes a reduction of $6,000,000 in
administrative expenses and provides FHWA the flexibility to allocate
that reduction among such expenses as ADP, permanent change of station,
travel, transportation and non-mandatory bonuses and incentives.
The Committee's allowance includes sufficient funds for the planned
reorganization of the FHWA regional offices and staff, which shall be
completed expeditiously and in the manner set forth in the department's
reorganization plan outlined to Congress dated February 24, 1998. This
includes eliminating nine regional offices, creating four technical
resource centers in their place, and giving maximum delegations of
authority to the state-level division offices. The FHWA is directed to
submit to the House and Senate Committees on Appropriations a detailed
implementation plan by September 30, 1998, and to provide periodic
reports thereafter. In allocating the available administrative funds,
the Administrator shall ensure that expenses related to the
reorganization are fully met before distributing funds for lower
priority activities such as travel, bonuses, strategic planning, and
training.
Nationwide differential global positioning system (DGPS). --The
Committee has deleted funds requested for the nationwide differential
global positioning system (-$9,654,000). Funds appropriated for similar
activities last year have yet to be expended as there have been delays
in implementing the interagency agreements. Specifically, the Committee
has deleted funds an alternative civil frequency for the GPS, known as
L5. In terms of transportation needs, the primary benefit of the
requested investment would have accrued to the FAA. The Committee
believes that it is inappropriate to fund this activity from the highway
trust fund. Furthermore, the Committee understands that the Department
of Defense has agreed to fund costs associated with L5.
The Committee has also deleted funds for the DGPS system because the
primary benefit of the investment in the near-term would accrue to many
other federal agencies. Furthermore, there is little, if any evidence of
the pressing need for a substantial departmental investment in DGPS to
support the national ITS program or the development of positive
train-control rail systems. The Committee also remains concerned that
the total costs for construction, operation and maintenance of DGPS over
the next fifteen years could exceed $90,000,000 and that costs to
develop and implement the L5 frequency have not been reliably determined
but could require $100,000,000 to $200,000,000.
The Committee maintains that these expenses should not be derived
solely from the highway trust fund or other departmental accounts.
Recognizing potential the importance of both DGPS and L5 to a wide array
of strategic national purposes, the Secretary should seek to obtain
funding from other federal agencies and sources and possibly other modal
administrations. The department is directed to submit a report to the
House and Senate Committees on Appropriations as part of the fiscal year
2000 budget justification identifying the long-term costs, benefits, and
cost-sharing that might be reasonably expected for both DGPS and L5. The
likely financial role of the states, other federal agencies, and the
private sector in those systems should be clearly specified in terms of
expected cash and in-kind contributions. The report should also address
the role that DGPS will play in the national ITS program and in the
development of positive train control systems. Both near-term (next five
years) and long-term (next twenty years) needs should be considered. The
costs/benefits of further investing in DGPS for transportation purposes,
and an analysis of the actual number of highway crashes in which
emergency responders are substantially delayed because of an inability
to obtain exact crash locations, should also be addressed in the report.
Nationwide personal transportation survey. --The Committee has not
included funding within the limitation on general operating expenses for
the nationwide personal transportation survey (-$1,500,000). Funding for
this activity shall be available within the contract authority provided
under the limitation on transportation research.
National rural development program support. --The Committee has
deleted funding requested for the department's share of the national
rural development program (-$500,000). This program is a government-wide
initiative/partnership, led by the Department of Agriculture, and is a
network of rural development leaders and officials committed to the
vitality of rural areas. The Committee has deleted funds for this
activity for the last several years. None of the funds available to the
FHWA shall support this activity in fiscal year 1999.
Administrative activities of the Appalachian Regional Commission.--
The Committee has deleted funding requested to transfer $3,000,000 to
the Appalachian Regional Commission to cover the administrative
activities associated with the Appalachian development highway system
(ADHS). Funds provided for the administrative expenses of the
Appalachian Regional Commission in the fiscal year 1999 Energy and Water
Development Appropriations Act, as approved by the House, are sufficient
to administer the ADHS program in fiscal year 1999.
Transportation needs in the national parks and related public lands.
--The Committee has included $2,000,000 to carry out section 3039 of the
Transportation Equity Act for the 21st Century. Within the funds
provided, the Secretary is directed to undertake a comprehensive study
of alternative transportation needs in the national parks and related
public lands managed by federal land management agencies, and to
implement activities and contracts associated with the memorandum of
understanding between the departments of the Interior and Transportation
dated November 25, 1997.
The Committee is pleased that the department has entered into a
memorandum of understanding (MOU) with the Department of the Interior.
This MOU has the potential to be a model of interagency cooperation. The
Committee understands that the national parks have significant
transportation needs, and that the Department of Transportation, not the
Department of the Interior, has the expertise in developing and
implementing transportation projects. Accordingly, the Federal Highway
Administration, particularly the Federal Lands division, and the Federal
Transit Administration are directed to work cooperatively with each
other and the Department of the Interior and the National Park Service
in addressing the unique transportation requirements of the national
parks.
Further, the Committee directs the Federal Highway Administration and
the Federal Transit Administration to review the transportation
alternatives considered by the National Park Service in the Grand Canyon
and Yosemite national parks to determine if all necessary and
appropriate transportation planning, development, environmental and
alternative analyses have been conducted to support the alternatives
selected by the National Park Service. The Committee expects that the
independent assessment be concluded and the results of the assessment
transmitted to the House and Senate Committees on Appropriations by
April 1, 1999.
Inspector General audit cost reimbursement. --In addition to
auditing the FHWA financial statement, office of inspector general (OIG)
resources have traditionally been used for other financial audits
related to the highway trust fund. For example, in the past year the OIG
issued major reports on the emergency relief program and unexpended
obligations on completed and inactive projects and Boston's Central
Artery project. The Committee has found this work extremely useful and
directs the OIG to continue such efforts. Since these financial reviews
directly relate to efficient and effective use of the highway trust
fund, the Committee directs that $750,000 be transferred from the FHWA's
administrative takedown authorized by section 104(a) of title 23 to the
office of inspector general.
Motor carrier. --The Committee has provided $52,530,000 for motor
carrier safety operations, which is a reduction of $2,853,000 from the
budget request but an increase of three percent over the fiscal year
1998 enacted level. The office of motor carriers (OMC) has the
flexibility to allocate this reduction among such expenses as travel,
transportation, equipment, and other services. Within the total, the
Committee expects OMC to initiate work on the rest area and shipper
responsibility studies as authorized under the Transportation Equity Act
for the 21st Century, as well as begin developing a separate hazardous
materials safety evaluation area for SafeStat. No more than $50,000
should be allocated to the truck safety forum and no funds should be
provided to the evaluation of the performance-based MCSAP because the
department has the flexibility to provide funds for this activity using
national priority funds from the MCSAP account.
The Committee has included bill language that transfers the funds
made available for the operations and activities of the office of motor
carriers to the National Highway Traffic Safety Administration. The
Committee believes that the office of motor carriers serves a vital
safety oversight function, the activities of which are much more closely
aligned with those of the National Highway Traffic Safety Administration
than those of the Federal Highway Administration. The Committee directs
that as part of the Federal Highway Administration's reorganization that
the office of motor carriers be relocated within the National Highway
Traffic Safety Administration.
The Committee is concerned about OMC's tardiness in issuing final
rules. It seems highly doubtful that final decisions on a major revision
to the hours of service regulations or on the zero-based review will be
issued within congressional deadlines. Also, it remains unclear if and
when final rules will be issued on training requirements for entry-level
drivers and longer-combination vehicles.
The Committee is also concerned about the vitality and vigor of OMC's
compliance program. The number of federally-conducted compliance reviews
has decreased 33 percent from fiscal year 1995 to 1997. Likewise, the
number of compliance orders and consent orders issued to problem
carriers has significantly declined in recent years. These proven
enforcement strategies have been used effectively for many years. The
Committee believes that OMC should re-focus its efforts in these areas
in light of the increasing number of fatal crashes and fatal crash rates
involving commercial vehicles.
The Committee remains concerned about the progress of the motor
carrier regulatory relief and safety demonstration project and strongly
urges the Secretary to substantially revise the project's requirements
to ensure that there is sufficient carrier participation to ensure a
valid pilot test.
The Committee directs that the presentation of the OMC operating
budget be improved substantially. The Committee expects that the budget
justifications for fiscal year 2000 will include a complete description
of the proposed activities, associated funding levels, and a break out
of comparable activities for the prior two fiscal years. In future
budget justifications, all continuing, new, and terminated activities
and associated amounts all be clearly specified and related to the
performance goals and measures of the OMC. The Research and Special
Programs Administration's budget justification for the office of
pipeline safety serves as an illustrative example of a more informative
presentation.
LIMITATION ON TRANSPORTATION RESEARCH
Limitation, fiscal year 1998\1\
Budget estimate, fiscal year 1999\1\
Recommended in the bill ($409,150,000)
xlBill compared with:
Limitation, fiscal year 1998 (+409,150,000)
Budget estimate, fiscal year 1999 (+409,150,000)
\1\Resources available in fiscal year 1998 and requested in fiscal year 1999 were included under the limitation on general operating expenses.
This limitation controls spending for the transportation research and
technology contract programs of the Federal Highway Administration. This
limitation includes a number of contract programs including intelligent
transportation systems, surface transportation research, technology
deployment, training and education, and university transportation
research. In the past, funding under this limitation was provided in
part from the limitation on general operating expenses and from contract
authority provided in permanent law. The Committee recommends a
limitation of $409,150,000. This is the same level as authorized by
TEA21.
Within the appropriate research areas, FHWA is directed to fund each
of the research activities or programs specified in various sections of
TEA21. The Committee expects the FHWA to request the Research and
Technology Coordinating Committee (RTCC) of the National Academy of
Sciences to review and comment on the FHWA's plans for initial
implementation of all new research and technology contract programs that
were not previously funded under the limitation on general operating
expenses.
The Committee further directs the department to submit annual
justifications for the limitation on transportation research and the
entire transportation research and technology contract program at the
same level of detail provided in the fiscal year 1999 congressional
justifications for similar programs.
Within the funds provided for surface transportation research, the
Committee recommends that $65,000,000 be allocated for highway research
and development for the following activities:
Safety $12,235,000
Pavements 11,300,000
Structures 15,200,000
Environment 5,600,000
Real estate services 365,000
Policy 6,400,000
Planning 4,000,000
Motor carrier 6,400,000
Advanced research 2,000,000
Highway operations 1,500,000
65,000,000
Within the funds provided for highway research and development, the
Committee has provided up to $100,000 for the San Joaquin Valley air
quality study.
Safety. --The safety research and technology program develops
engineering practices, analytic tools, equipment, roadside hardware, and
safety promotion and public information that will significantly
contribute to the reduction of highway fatalities and injuries. The
Committee recommends $12,235,000 for safety research and development
activities. FHWA shall implement a comprehensive research and technology
program that will ensure that safety research and deployment activities
receive at least the same total amount of funds that contract and LGOE
monies provided during fiscal year 1997.
Pavements.-- The pavement research and technology program identifies
engineering practices, analytic tools, equipment, roadside hardware, and
safety promotion and public information that will significantly
contribute to the reduction of highway fatalities and injuries. For
fiscal year 1999, the Committee recommends $11,300,000.
Structures.-- The structures research and technology program
develops technologies, advanced materials and methods to efficiently
maintain and renew the aging transportation infrastructure, improve
existing infrastructure performance, and enable efficient infrastructure
response and quick recovery after major disasters. For fiscal year 1999,
the Committee recommends $15,200,000.
Environment.-- The environment research and technology develops
improved tools for assessing highway impacts on the environment;
techniques for the avoidance, detection, and mitigation of those impacts
and for the enhancement of the environment; and expertise on
environmental concerns within FHWA and state and local transportation
agencies. for fiscal year 1999, the Committee recommends $5,600,000.
Real estate services.-- The real estate research and technology
program improves the public's access to activities, goods and services
through developing: improved tools for assessing highway impacts on
property owners and displaced persons; innovative techniques in
acquiring real property; and right-of-way acquisition expertise within
the FHWA and local transportation agencies. For fiscal year 1999, the
Committee recommends $365,000.
Policy research. --The policy research and technology program
supports FHWA policy analysis and development, strategic planning, and
technology development through research in data collection, management
and dissemination; highway financing, investment analysis, and
performance measurement; and enhancing highway program contributions to
economic productivity, efficiency, and other national goals. The
Committee recommends $6,400,000 for policy research, including
$1,800,000 for the National Personal Transportation Survey (NPTS). The
Committee is not convinced of the need to update the NPTS continuously
and FHWA should plan on completing the next edition of that study as
soon as practicable. Sufficient funds to initiate more than one half of
the project are provided. FHWA should develop a work plan being certain
to limit the scope and size of the NPTS to essential questions of
importance to both the states and Federal Government users.
Planning. --The planning research and technology program advances
cost effective methods to evaluate transportation strategies and
investments; develops and disseminates improved planning methods;
develops more effective planning and data collection techniques for
intermodal passenger and freight planning and programming; improves
financial planning tools for use in developing transportation plans and
programs; evaluates the characteristics of the National Highway System;
and develops improved analytical tools to support metropolitan and
statewide planning and for information and data sharing with state and
local governments. The Committee's allowance includes $4,000,000 for
planning research, including $1,000,000 for modifying the TRANSIMS to be
useable for ITS purposes. None of the funds made available in the
surface transportation research subaccount shall be used to conduct
research related to sustainability and its role in transportation
planning.
Motor carrier research. --The motor carrier research and technology
program seeks to reduce the number and severity of commercial
driver-caused crashes, fatalities and injuries, and hazardous materials
incidents by employing the results of long-term human factors research,
data collection and analyses to generate effective means of education,
outreach and wellness promotion for all drivers. The program is designed
to: achieve increased state participation in motor carrier compliance
and enforcement activities, while increasing carrier operational
efficiency; lower the motor carrier industry's regulatory compliance
costs; and promote the medical fitness of drivers. The Committee has
provided $6,400,000 for motor carrier research.
Advanced research. --The advanced research program addresses
longer-term, higher risk research that shows potential benefits for
improving the durability, efficiency, environmental impact,
productivity, and safety of highway systems. The Secretary is directed
to ensure that FHWA is delegated the responsibility to manage and
coordinate this important program. Because of its years of experience in
promoting advanced research, its depth of technical expertise and
contacts with the university community, and the close relationship
between its mission and the stated legislative purposes of the advanced
research program in TEA21, FHWA is the most appropriate entity to manage
the advanced research program within the department. FHWA is expected to
seek appropriate input from other modal administrations in project
selection. Additional funds for the program are to be derived from
appropriate accounts.
Technology assessment and deployment. --The technology assessment
and deployment program identifies and assesses innovative research
results, technology, and products and promotes the application of those
advances that are determined to be of potential benefit to the highway
community by providing increased productivity, safety, and operations.
Within the funds provided for surface transportation research, the
Committee recommends $14,000,000 for technology assessment and
deployment activities. The Committee directs that at least $2,600,000 of
those funds be used for traffic and motor carrier activities, and
$4,000,000 for safety and design, as requested in the budget. That
allocation will ensure sufficient funds for the necessary deployment of
key safety initiatives.
For many years, the Committee has supported the development and
initial deployment of integrated highway safety information systems.
Partially as a result of FHWA's highway safety information system
project, eight states have improved their analytical capabilities. FHWA
is encouraged to assist an increased number of states that wish to
deploy integrated information systems. One way to accomplish that
objective would be to expedite the technology transfer of reliable data
systems by developing and demonstrating an integrated safety information
system (ISIS) model. The ISIS model will demonstrate the benefits to
safety management of linking data on crashes, highway infrastructure
inventory, traffic information flows, motor carriers, and medical
outcomes (EMS, emergency medical departments, and hospital discharge).
The FHWA is expected to work with states to encourage improved, linked
data systems and to seek proposals from state agencies which would like
to implement the ISIS model. The Committee expects that a substantial
portion of the national technology deployment program funds will be used
to achieve specific high payoff safety objectives, including improved
safety of driving at night and other periods of reduced visibility or
activities to reduce run-off-the-road crashes. FHWA should be prepared
to report back to the Committee next year on specific and measurable
safety and other goals.
Research and technology support. --Within the funds provided for
surface transportation research, the Committee recommends $7,500,000 for
research and technology support. Research and technology support funds
information sharing on planned research activities, research in
progress, and research results nationwide in order to avoid duplication
of efforts, identified voids where further work is needed, and
disseminates research results to advance the state-of-the-art and the
state-of-the-practice in transportation. TEA21 reduces the small
business innovative research costs of the program. Consequently, the
Committee recommends a $2,500,000 reduction in support funds because of
the recent change in law and the need to reduce other support costs.
ITS standards, research, operational tests and development. --The
Committee recommends that the $95,000,000 provided in TEA21 for ITS
research be allocated in the following manner:
Research and development $38,000,000
Operational tests 17,000,000
Evaluation 6,000,000
Architecture and standards 18,000,000
Mainstreaming 6,000,000
Program support 10,000,000
--------------
Total 95,000,000
Research and development. --The research and development program
supports the research and development of new ITS technologies to improve
the safety, mobility, and productivity of the surface transportation
system. Because similar funds are provided under various provisions
specified in TEA21, funds for the ITS research centers of excellence
have been deleted. The Committee's allowance specifies that $6,000,000
shall be allocated for commercial vehicle research, and includes funds
to advance and test the expansion of the mailbox project to involve a
third region of the country, and to conduct research leading towards
advances in roadside inspection technology. Funds for ITS/grade crossing
work have been deleted because of the availability of prior year
funding. Evidence of strong industry financial participation in the
intermodal freight research project will be essential to continue
funding in that area.
The Committee directs the director of the joint program office to
ensure that the primary federal role in the intelligent vehicle
initiative (IVI) is focused on expediting the innovation of integrated
crash avoidance technologies for passenger vehicles. In view of the
substantial human factors research, performance specification work,
crash avoidance and information systems integration, and cost/benefit
assessment work that remains to be completed, an IVI program focused on
those critical safety issues is of foremost importance. Consequently,
the Committee recommends $20,000,000 for research and development to
advance crash avoidance technologies for passenger vehicle operators and
related human factors research. Such activities as automation of transit
vehicles, snow removal systems, and other highway maintenance vehicles
and research on non-safety components of the IVI should receive a much
lower priority than critical safety objectives. In carrying out research
into crash avoidance, the Committee encourages the JPO to work with
George Washington University and Louisiana State University.
The recent NAS review of the automated highway systems program
underscored the need for periodic, outside review of major projects such
as the IVI. Within the funds provided, the director of the JPO shall
ensure that an external review of the emerging IVI program is
periodically conducted at least once every two years and the results of
that review are made widely available. The Committee further directs the
director of the JPO to prepare a five-year strategic plan documenting
the future challenges, scope and direction of the IVI program. The plan
shall be submitted to the House and Senate Committees on Appropriations
as part of the budget justification for fiscal year 2000.
The Committee notes that TEA21 provides for $1,300,000,000 for ITS
programs and projects over the next six years. The department is
obligated to ensure that these funds are used efficiently and
effectively to develop the nation's future transportation system. The
Inspector General is directed to audit the program and expenditure of
funds provided for ITS activities to ensure that they are used in the
most cost-effective and efficient manner, consistent with federal law
and regulation.
Operational tests. --The operational tests program provides a bridge
between research and development and large-scale deployment through the
technical testing of ITS technologies and by addressing institutional
barriers. The Committee's allowance includes $10,000,000 requested for
operational testing of intelligent passenger vehicles. Funding for IVI
work on commercial vehicles is limited to a maximum of $2,500,000.
Limited success and actual application of other drowsy driving detection
or fatigue management initiatives previously supported by OMC suggest a
cautious approach.
Evaluations program.-- The evaluations program provides a rigorous
analysis of the costs and benefits of ITS user services and the overall
impact of the ITS program through the evaluation of operational tests,
tracking of ITS deployments, and the assessment of ITS programs and
policies. The Committee recommends $6,000,000 for program evaluation
studies and recognizes the importance of continuing to evaluate the
benefits and costs of various ITS projects and tracking progress on
those projects. Funds for policy assessments shall be limited $1,500,000
or less.
Architecture and standards. --The architecture and standards program
provides for the maintenance, enhancement and application of the
national ITS architecture and the development and testing of ITS
standards. The Committee recommends $18,000,000 for architecture and
standards work. The director of the JPO is urged to make maximum use of
the leverage provided in the reauthorization statute to ensure the
implementation of the standards necessary for interoperability.
The Committee encourages the JPO to work with states and
municipalities to ensure that intelligent transportation systems
developed and deployed with federal funds are interoperable and can be
adopted to provide seamless transportation services, particularly on
interstate highways.
Mainstreaming. --The mainstreaming program supports training and
technical guidance for federal, state, and local professionals charged
with implementing integrated ITS systems. The Committee continues to
assert that the department is spending too much of its scarce ITS
resources trying to convince planners, the engineering community and
others of the benefits of ITS. There is substantial literature
documenting the benefits of building ``smarter'' using ITS; numerous
training courses and programs are well underway; and the ITS concept is
beginning to be mainstreamed in the transportation community.
Consequently, the Committee's allowance deletes funds for grass roots
involvement (-$535,000), eliminates funds for cooperation with transit
companies (-$350,000), and reduces funds for commercial vehicle
operations mainstreaming to a maximum of $500,000. The Committee
recommendation also reduces funding for planning/policy mainstreaming
activities to less than $1,000,000 and denies funds to establish the
role of ITS in supporting FHWA/FTA mobility goals. The Committee also
denies funds for ITS awareness and advocacy (-$2,000,000). Publication
funds should be included as an integral part of related activities.
Remaining mainstreaming funds shall be used to provide technical
assistance on the planning, procurement, and implementation of
integrated ITS technologies, offer guidance on the use of the national
architecture, and supplement critical training not available from the
private sector or universities.
Joint program office. --The Committee wishes to repeat its
longstanding interest in ensuring that the department continues to
maintain the joint program office (JPO) as the coordinating entity of
federal involvement in the national ITS program. The Committee directs
that the JPO continue to have final budgetary authority over the
allocation of ITS funds among the various modes and projects. It is
essential that the JPO ensures that cross cutting issues are addressed,
human factors research is coordinated, evaluation efforts are
comprehensive and focused, and priorities are analytically determined so
that national interests are served rather than any specific modal
interest. The Committee believes that the only way to achieve those
objectives is to maintain the JPO as an independent entity within the
department. Given the intermodal nature of ITS, the director of the JPO
shall continue to report to the Deputy Secretary as well as the FHWA
Administrator. The Secretary is directed to ensure that not less than 17
positions are allocated to the JPO during fiscal year 1999.
National ITS program plan. --The Committee looks forward to
receiving as soon as possible an update of the national ITS program
plan, which shall be prepared in a manner consistent with the
requirements of Section 5205 of TEA21. In developing the plan, the
director of the JPO shall make effective use of the federal advisory
committee for intelligent transportation systems.
ITS deployment projects. --It is the intent of the Committee that
the following projects contribute to the integration and
interoperability of intelligent transportation systems in metropolitan
and rural areas as provided under section 5208 of the TEA21 and promote
deployment of the commercial vehicle intelligent transportation system
infrastructure as provided under section 5209 of the TEA21. These
projects shall conform to the requirements set forth in these sections,
including the project selection criteria contained in section 5208(b)
and the priority areas outlined in section 5209(c), respectively. Funds
provided in TEA21 for ITS deployment activities are to be made available
as follows:
Project
Amount
Amherst/Northampton, Massachusetts $1,000,000
Arlington County, Virginia 750,000
Blacksburg, Virginia 2,000,000
Centre Valley, Pennsylvania 1,000,000
Cleveland, Ohio 2,000,000
Corpus Christi, Texas 1,000,000
Dade County, Florida 2,000,000
Del Rio, Texas 1,500,000
Fairfield, California 1,000,000
Fitchburg, Massachusetts 500,000
Greater metropolitan capital region, DC 8,000,000
Hammond, Louisiana 6,000,000
Houston, Texas 2,500,000
Huntington Beach, California 1,000,000
Huntsville, Alabama 1,000,000
Inglewood, California 2,250,000
Laredo, Texas 2,000,000
Las Vegas, Nevada 2,000,000
Middlesboro, Kentucky 6,000,000
Mission Viejo, California 2,000,000
New Orleans, Louisiana 2,000,000
New York City, New York 5,000,000
Pearl River County, Mississippi 1,000,000
Port Angeles, Washington 500,000
Riverside County, California 2,000,000
San Francisco, California 3,000,000
Scranton, Pennsylvania 2,000,000
Silicon Valley, California 3,000,000
Springfield, Virginia 500,000
State of Idaho 1,000,000
State of Maryland 3,000,000
State of Minnesota 12,000,000
State of New York 5,000,000
State of North Dakota 1,500,000
State of Utah 5,000,000
State of Washington 500,000
Temucula, California 250,000
Tucson, Arizona 1,000,000
Volusia County, Florida 2,000,000
Warren County, Virginia 250,000
Wausau-Stevens Point-Wisconsin Rapids, Wisconsin 1,000,000
White Plains, New York 1,000,000
FEDERAL-AID HIGHWAYS
(LIQUIDATION OF CONTRACT AUTHORIZATION)
(HIGHWAY TRUST FUND)
Appropriation, fiscal year 1998 $20,800,000,000
Budget estimate fiscal year 1999 23,000,000,000
Recommended in the bill 24,000,000,000
xlBill compared with:
Appropriation, fiscal year 1998 +3,200,000,000
Budget estimate, fiscal year 1999 +1,000,000,000
The Committee recommends a liquidating cash appropriation of
$24,000,000,000. This is an increase of $3,200,000,000 over the fiscal
year 1998 enacted level and is needed to pay the outstanding obligations
of the various highway programs at levels anticipated in TEA21. This
appropriation is mandatory and has no scoring effect.
federal-aid highways programs
Federal-aid highways and bridges are managed through a federal-state
partnership. States and localities maintain ownership and responsibility
for maintenance, repair and new construction of roads. State highway
departments have the authority to initiate federal-aid projects subject
to FHWA approval of plans, specifications, and cost estimates. The
federal government provides financial support for construction and
repair through matching grants, the terms of which vary with the type of
road.
There are almost four million miles of public roads in the United
States and approximately 577,000 bridges. The Federal Government
provides grants to states to assist in financing the construction and
preservation of about 945,000 miles (24 percent) of these roads, which
represents an extensive interstate system plus key feeder and collector
routes. Highways eligible for federal aid carry about 85 percent of
total U.S. highway traffic.
The recently-passed Transportation Equity Act for the 21st Century
(TEA21) reauthorized highway, highway safety, transit, and other surface
transportation programs through fiscal year 2003. The TEA21 builds on
programs and other initiatives established in the Intermodal Surface
Transportation Efficiency Act (ISTEA) of 1991, the previous major
authorizing legislation for surface transportation programs.
Under the TEA21, Federal-aid highways funds are made available
through the following major programs:
National highway system. --The ISTEA of 1991 authorized--and the
National Highway System Designation Act of 1995 subsequently
established--the National Highway System (NHS). This 163,000-mile road
system serving major population centers, international border crossings,
intermodal transportation facilities and major travel destinations, is
the culmination of years of effort by many organizations, both public
and private, to identify routes of national significance. It includes
all Interstate routes, other urban and rural principal arterials, the
defense strategic highway network, and major strategic highway
connectors, and is estimated to carry up to 75 percent of commercial
truck traffic and 40 percent of all vehicular traffic. A state may
choose to transfer up to 50 percent of its NHS funds to the surface
transportation program category. If the Secretary approves, 100 percent
may be transferred. The federal share of the NHS is 80 percent, with an
availability period of 4 years.
Interstate maintenance. --The 46,000 mile Dwight D. Eisenhower
National System of Interstate and Defense Highways retains a separate
identity within the NHS. This program finances projects to rehabilitate,
restore, resurface and reconstruct the Interstate system. Reconstruction
of bridges, interchanges, and over-crossings along existing interstate
routes is also an eligible activity if it does not add capacity other
than high occupancy vehicle (HOV) and auxiliary lanes.
All remaining Federal funding to complete the initial construction of
the Interstate system has been provided through previous highway
legislation. The TEA21 provides flexibility to States in fully utilizing
remaining unobligated balances of prior Interstate Construction
authorizations. States with no remaining work to complete the Interstate
system may transfer any surplus Interstate Construction funds to their
Interstate maintenance program. States with remaining completion work on
Interstate gaps or open-to-traffic segments may relinquish Interstate
construction fund eligibility for the work and transfer the federal
share of the cost to their Interstate maintenance program.
Surface transportation program. --The Surface Transportation Program
(STP) is a very flexible program that may be used by the states and
localities for any roads (including NHS) that are not functionally
classified as local or rural minor collectors. These roads are
collectively referred to as Federal-aid highways. Bridge projects paid
with STP funds are not restricted to Federal-aid highways but may be on
any public road. Transit capital projects are also eligible under this
program. The total funding for the STP may be augmented by the transfer
of funds from other programs and by minimum guarantee funds under TEA21
which may be used as if they were STP funds. Once distributed to the
states, STP funds must be used according to the following percentages:
10 percent for safety construction, 10 percent for transportation
enhancement, 50 percent divided among areas of over 200,000 population
and remaining areas of the State, and 30 percent for any area of the
state. Areas of 5,000 population or less are guaranteed an amount based
on previous funding, and 15 percent of the amounts reserved for these
areas may be spent on rural minor collectors. The federal share for the
STP program is 80 percent with a 4-year availability period.
Bridge replacement and rehabilitation program. --This program is
continued by the TEA21 to provide assistance for bridges on public roads
including a discretionary set-aside for high cost bridges and for the
seismic retrofit of bridges. Fifty percent of a state's bridge funds may
be transferred to the NHS or the STP, but the amount of any such
transfer is deducted from the national bridge needs used in the
program's apportionment formula for the following year.
Congestion mitigation and air quality improvement program. --This
program provides funds to states to improve air quality in
non-attainment and maintenance areas. A wide range of transportation
activities are eligible, as long as DOT, after consultation with EPA,
determines they are likely to help meet national ambient air quality
standards. TEA21 provides greater flexibility to engage public-private
partnerships, and expands and clarifies eligibilities to include
programs to reduce extreme cold starts, maintenance areas, and
particulate matter (PM 10) nonattainment and maintenance areas. If a
state has no non-attainment or maintenance areas, the funds may be used
as if they were STP funds.
Federal lands highways. --This program provides authorizations
through three major categories--Indian reservation roads, parkways and
park roads, and public lands highways (which incorporates the previous
forest highways category)--as well as a new category for Federally owned
public roads providing access to or within the National Wildlife Refuge
System. TEA21 also establishes a new program for improving deficient
bridges on Indian reservation roads.
Minimum guarantee. --Under TEA21, after the computation of funds for
major Federal-aid programs has been completed, additional funds are
distributed to ensure that each State receives an additional amount
based on equity considerations. This minimum guarantee provision ensures
that each State will have a return of 90.5 percent on its share of
contributions to the highway account of the Highway Trust Fund. To
achieve the minimum guarantee each fiscal year, $2.8 billion nationally
is available to the States as though they are STP funds (except that
requirements related to set-asides for transportation enhancements,
safety, and sub-State allocations do not apply), and any remaining
amounts are distributed among core highway programs.
Emergency relief. --This program provides for the repair and
reconstruction of Federal-aid highways and Federally-owned roads which
have suffered serious damage as the result of natural disasters or
catastrophic failures. TEA21 restates the program eligibility specifying
that emergency relief (ER) funds can be used only for emergency repairs
to restore essential highway traffic, to minimize the extent of damage
resulting from a natural disaster or catastrophic failure, or to protect
the remaining facility and make permanent repairs. If ER funds are
exhausted, the Secretary of Transportation may borrow funds from other
highway programs.
High priority projects. --TEA21 includes 1,850 high priority
projects specified by the Congress. Funding for these projects totals
$9.5 billion over the 6 year period with a specified percentage of the
project funds made available each year. Unlike demonstration projects in
the past, the funds for TEA21 high priority projects are subject to the
Federal-aid obligation limitation, but the obligation limitation
associated with the projects does not expire.
Appalachian development highway system. --This program makes funds
available to construct highways and access roads under section 201 of
the Appalachian Regional Development Act of 1965. Under TEA21, funding
is authorized at $450,000,000 for each of fiscal years 1999 2003; is
available until expended and distributed based on the latest available
cost-to-complete estimate.
National corridor planning and border infrastructure programs.
--TEA21 established a new national corridor planning and development
program that provides funds for the coordinated planning, design, and
construction of corridors of national significance, economic growth, and
international or interregional trade. Allocations may be made to
corridors identified in section 1105(c) of ISTEA and to other corridors
using considerations identified in legislation. The coordinated border
infrastructure program is established to improve the safe movement of
people and goods at or across the U.S./Canadian and U.S./Mexican
borders.
Discretionary highway grants. --The General Accounting Office, in an
audit requested by the Committee, found that during fiscal years 1995
through 1997, the administrator of the FHWA selected a declining
proportion of discretionary highway projects that staff evaluated as
most cost effective. This was particularly evident in the public lands
highway program. Specifically, the GAO found that the FHWA awarded more
projects and total funding for projects in Congressional districts with
Democratic incumbents even though states requested more funds for
projects in districts with Republican incumbents. In fact, in fiscal
year 1997, the FHWA awarded nearly all the projects and most of the
funds to projects in democratic districts. The Committee is troubled by
GAO's finding and is particularly disturbed by the fact that the office
of the administrator was unable to provide a detailed explanation as to
why the FHWA awarded a disproportionate amount of projects and funding
to Democratic districts. The Committee therefore directs the FHWA to
develop specific merit-based criteria for the awarding of discretionary
highway funds, including the federal lands program.
Proceeds from the sale or lease of real property. --The Committee
finds that the language in section 156 of title 23 of the United States
Code permitting an exception for ``a social, environmental, or economic
purpose'' can be applied to providing parking for the Louisiana Stadium
and Exposition District provided improvements by the District are in
accordance with maintenance and operational needs of the highway
facility affected.
FEDERAL-AID HIGHWAYS
(LIMITATION ON OBLIGATIONS)
(HIGHWAY TRUST FUND)
Limitation, fiscal year 1998\1\ ($21,500,000,000)
Budget estimate, fiscal year 1999 (21,500,000,000)
Recommended in the bill (25,511,000,000)
xlBill compared with:
Limitation, fiscal year 1998 (+4,011,000,000)
Budget estimate, fiscal year 1999 (+4,011,000,000)
\1\Excludes reductions of $657,000 for TASC.
The accompanying bill includes language limiting fiscal year 1999
federal-aid highways obligations to $25,511,000,000, an increase of
$4,011,000,000 over the 1998 enacted level and the budget request. The
recommended level is the level assumed in TEA21. These funds are
guaranteed under the new highway funding category.
Although the following table reflects an estimated distribution of
obligations by program category, the bill includes a limitation
applicable only to the total of certain federal-aid spending. The
following table indicates estimated obligations by program within the
$25,511,000,000 provided by this Act and additional resources made
available by permanent law:
FEDERAL-AID HIGHWAYS ESTIMATED OBLIGATIONS
[In thousands of dollars]
Programs FY 1997 actual FY 1998 estimated obligations FY 1999 estimated obligations
Subject to limitation: $3,246,947 $3,598,977 $4,167,258
---------------- ------------------------------- -------------------------------
Total Limitation 18,921,140 21,500,000 25,511,000
Exempt from limitation:
Emergency relief:
Regular program 114,379 123,056 100,000
Supplemental 580,232 412,435
---------------- ------------------------------- -------------------------------
Total Exempt 2,440,392 1,928,961 1,211,614
================ =============================== ===============================
Grand total, federal-aid highways 21,361,532 23,428,961 26,722,614
1In fiscal year 1998, an appropriaiton of $300,000,000 was provided for Appalachian highways.
2FY 1998 and FY 1999 estimated obligations are 60% of total funding including prior year balances.
The following table reflects the estimated distribution of the
federal-aid limitation by state:
ESTIMATED FY 1999 OBLIGATION LIMITATION
States Estimated FY 1999 formula limitation FY 1999 minimum guarantee Appalachia Total Change from FY 1998
Alabama $356,717,558 $36,249,673 $44,386,075 $437,353,306 +$65,155,925
Alaska 176,862,464 75,457,577 252,320,041 +36,054,471
Arizona 303,242,010 41,689,478 344,931,488 +50,387,631
Arkansas 253,048,519 29,531,271 282,579,790 +39,941,480
California 1,863,262,921 128,492,399 1,991,755,320 +283,405,961
Colorado 246,794,527 12,783,562 259,578,089 +37,782,233
Connecticut 263,140,366 59,984,184 323,124,550 +45,790,935
Delaware 89,175,631 10,204,143 99,379,774 +14,671,844
Dist. of Col 87,500,316 87,500,316 +12,604,317
Florida 836,403,576 164,045,867 1,000,449,443 +144,013,176
Georgia 631,182,058 106,041,763 17,738,360 754,962,181 +108,862,001
Hawaii 101,013,240 10,150,553 111,163,793 +15,739,476
Idaho 135,558,256 23,611,006 159,169,262 +21,832,705
Illinois 684,346,858 41,374,700 725,721,558 +102,311,366
Indiana 443,339,425 62,812,583 506,152,008 +71,922,451
Iowa 251,743,987 10,229,839 261,973,826 +37,409,782
Kansas 247,975,576 7,191,787 255,167,363 +36,377,429
Kentucky 301,686,021 33,262,150 40,717,006 375,665,177 +56,302,900
Louisiana 309,567,618 29,387,327 338,954,945 +47,647,164
Maine 105,067,775 9,995,936 115,063,711 +16,554,386
Maryland 298,563,022 22,232,349 6,940,719 327,736,090 +47,244,813
Massachusetts 393,447,726 10,135,128 403,582,854 +95,546,926
Michigan 601,179,804 73,909,316 675,089,120 +44,901,436
Minnesota 299,390,185 20,374,380 319,764,565 +37,788,019
Mississippi 240,285,680 18,147,691 4,977,512 263,410,883 +71,861,955
Missouri 472,680,856 35,242,540 507,923,396 +32,472,136
Montana 185,761,378 34,956,689 220,718,067 +25,898,549
Nebraska 172,373,765 3,434,871 175,808,636 +22,908,306
Nevada 136,454,844 21,912,644 158,367,488 +16,622,698
New Hampshire 97,761,103 11,247,908 109,009,011 +77,979,908
New Jersey 528,704.456 25,550,346 554,254,802 +30,523,462
New Mexico 189,037,604 24,551,758 213,589,362 +154,675,252
New York 1,000,631,061 89,011,429 9,566,292 1,099,208,782 +89,086,984
North Carolina 508,903,855 76,141,397 26,133,026 611,178,278 +21,634,743
North Dakota 136,379,058 10,668,948 147,048,006 +106,209,804
Ohio 669,345,173 49,795,300 20,015,376 739,155,849 +48,475,721
Oregon 243,605,252 16,279,527 259,884,779 +36,477,315
Pennsylvania 885,942,462 56,749,443 108,530,182 1,051,222,087 +152,748,355
Rhode Island 112,218,000 19,004,264 131,222,264 +19,114,099
South Carolina 299,227,293 46,689,562 2,174,947 348,091,802 +50,532,521
South Dakota 141,306,695 13,733,400 155,040,095 +22,168,368
Tennessee 402,458,421 36,818,342 49,762,093 489,038,856 +72,857,127
Texas 1,377,362,296 192,615,348 1,569,977,644 +225,934,036
Utah 156,165,398 12,107,424 168,272,822 +23,808,584
Vermont 93,676,350 7,932,136 101,608,486 +14,817,139
Virginia 490,201,761 56,048,394 10,459,943 556,710,098 +80,470,677
Washington 360,017,192 23,031,097 383,048,289 +53,953,390
West Virginia 170,488,388 4,857,645 61,717,244 237,063,277 +36,651,007
Wisconsin 370,808,051 57,655,199 428,463,250 +61,103,421
Wyoming 143,559,043 12,010,150 155,569,193 +22,841,062
-------------------------------------- --------------------------- -------------- ---------------- ---------------------
====================================== =========================== ============== ================ =====================
Special Limitation-- xl xl xl xl xl
-------------------------------------- --------------------------- -------------- ---------------- ---------------------
Total limitation 25,511,000,000 +4,011,000,000
Central Artery/Third Harbor Tunnel, Boston, Massachusetts. --The
Department of Transportation's Inspector General recently completed an
audit of the cost and financing for the Central Artery/Ted Williams
Tunnel project in response to a request made by this Committee. The
results of the study indicate continuing cost escalations. This trend is
unacceptable.
The state's current cost estimate is $10,800,000,000. Based on actual
experience, the IG estimates the project could cost $11,200,000,000. The
difference is that the state's estimate does not reflect actual
experience to date and does reflect overly optimistic cost-containment
goals. Specifically, if the current, running composite rate of cost
growth (14 percent) in change orders continues into the future, rather
than the construction completion composite rate identified in the
state's planning goal (10.7 percent), these project costs will rise by
almost $300,000,000. Similarly, if large contract awards ($95,000,000 or
higher) were to continue at 11 percent over budget as is currently being
experienced by the project, the remaining large construction bids would
come in higher than budget by over $100,000,000.
Management consulting costs are likely to increase beyond current
estimates. The state's management consulting firm has been paid about
$1,000,000,000 on its current $1,600,000,000 contract. In 1995, the
estimated total cost of the consultant contract was $1,480,000,000. The
cost of that contract has increased nearly ten percent in the past two
years, and will further increase in the five years remaining on the
contract unless the consulting staff is significantly reduced. Early in
the project, managers forecast that by fiscal year 1997, as design gave
way to full construction, the number of employees on the consulting
payroll would drop to less than 600. Although the estimated date of
project completion has not changed, the design phase is nearly complete,
and the project has moved into construction, the consulting staff
remains at over 950 employees, nearly the same level of employees as in
fiscal year 1993. To avoid additional cost, the state must reduce the
consulting staff to the originally planned levels.
The state estimates total funding of $11,700,000,000 will be required
through the completion of the project scheduled in 2004. (This level
does not include the over $400,000,000 identified in potential contract
cost overruns or additional consultant costs.) This $11,700,000,000
funding level differs from the state's estimate of project costs of
$10,800,000,000 because an insurance credit is expected in 2017, and it
will be used to offset about $800,000,000 of project expenditures.
Nevertheless, the full $11,700,000,000 in expenditures must be financed
by project completion in fiscal year 2005.
The state's ability to finance these costs is dependent heavily on
federal funding levels contained in TEA21. The Act provides the
commonwealth of Massachusetts with an average of $487,000,000 a year
over the next six years, instead of the $580,000,000 the Commonwealth
anticipated in its 1997 finance plan. As a result, a shortfall of about
$375,000,000 will occur between 1998 and 2003, requiring the
commonwealth to explore additional funding options to meet this
shortfall.
While the state plans to use almost three-quarters of its federal
highway funds anticipated through fiscal year 2002, and half of its
federal highway funds anticipated from fiscal years 2003 through 2005
for the project, the state has made the commitment that it will maintain
a balanced highway program throughout the entire state totaling at least
$400,000,000 per year. Notwithstanding this commitment, funding
programmed in the state's transportation improvement program for
interstate maintenance projects totals only $16,000,000 for fiscal years
1998 through 2003, or only 3 percent of the $415,000,000 in funds
available. $84,000,000 is transferred to the STP program. Similarly, of
the $249,000,000 anticipated for CMAQ programs, only $44,000,000 is
programmed for statewide projects. The Committee cannot accept that a
transportation program with virtually no interstate maintenance for six
years is considered balanced.
The Committee expects that the finance plan will be updated
immediately to reflect the federal funding now available to the
Commonwealth of Massachusetts as a result of the enactment of TEA21 and
to fully identify the additional short-term financing and new revenue
sources that are required to meet the project's cash requirements. The
Committee directs the department's Inspector General to continue to
oversee the costs, funding, and schedule of the Central Artery project
and to report periodically its results to the Committee.
MOTOR CARRIER SAFETY GRANTS
(highway trust fund)
(Limitation on obligations) (Liquidation of contract authorization)
Appropriation, fiscal year 1998 ($84,825,000) $85,000,000
Budget estimate, fiscal year 1999 (100,000,000) 100,000,000
Recommended in the bill (\1\) (\1\)
xlBill compared to:
Appropriation, fiscal year 1998 (-84,825,000) -85,000,000
Budget estimate, fiscal year 1999 (-100,000,000) -100,000,000
\1\The Committee recommendation provides the appropriation for motor carrier safety grants within the National Highway Traffic Safety Administration.
The accompanying bill provides $100,000,000 in liquidating cash and
limitations on obligations for the motor carrier safety grants within
the National Highway Traffic Safety Administration. In fiscal year 1998
and the budget request, funding for the motor carrier safety grants
program was included within the Federal Highway Administration. The
Committee believes that the office of motor carriers and the motor
carrier safety grants program serve a vital safety oversight function,
the activities of which are much more closely aligned with those of the
National Highway Traffic Safety Administration than those of the Federal
Highway Administration.
APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM
Appropriation, fiscal year 1998 $300,000,000
Budget estimate, fiscal year 1999
Recommended in the bill
xlBill compared with:
Appropriation, fiscal year 1998 -300,000,000
Budget estimate, fiscal year 1999
The Committee recommends no general fund appropriation for the
Appalachian development highway system (ADHS). This is the same level as
requested in the budget and $300,000,000 less than provided in fiscal
year 1998. TEA21 includes a total of $2,250,000,000 for ADHS, of which
$450,000,000 is available in fiscal year 1999 within the overall
federal-aid highway program limitation. These funds, together with
previous appropriated funds, are sufficient to fund the program for
fiscal year 1999.
In fiscal year 1998, a total of nearly $400,000,000 in general fund
budget authority was provided through a combination of appropriations
contained in both the fiscal year 1998 Department of Transportation and
Related Agencies Appropriations Act and the Department of Energy and
Water Development Appropriations Act. In testimony before the Committee,
the Federal Highway Administration noted that in excess $330,000,000 of
previous appropriated funds remain unobligated and available for
expenditure for ADHS activities. Moreover, the Committee observes that
while there may be significant costs to complete segments of the ADHS
system, there are also funding deficiencies for other federal-aid
projects equally worthy of additional federal support.
STATE INFRASTRUCTURE BANKS
(highway trust fund)
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999 $150,000,000
Recommended in the bill
xlBill compared with:
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999 -150,000,000
The Committee has not recommended any funding for the state
infrastructure bank program in fiscal year 1999. No similar
appropriation was provided in fiscal year 1998. TEA21 includes funding
for the transportation infrastructure finance and innovation program
(TIFIA), which is included in the overall federal-aid highway program.
TRANSPORTATION INFRASTRUCTURE CREDIT ENHANCEMENT PROGRAM
(highway trust fund)
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999 $100,000,000
Recommended in the bill
xlBill compared with:
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999 -100,000,000
The Committee has not recommended any funding for the transportation
infrastructure credit enhancement program in fiscal year 1999. No
similar appropriation was provided in fiscal year 1998. TEA21 includes
funding for the transportation infrastructure finance and innovation
program (TIFIA), which is included in the overall federal-aid highway
program.
NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION
SUMMARY OF FISCAL YEAR 1999 PROGRAM
The National Highway Traffic Safety Administration (NHTSA) was
established as a separate organizational entity in the Department of
Transportation in March 1970. It succeeded the National Highway Safety
Bureau, which previously had administered traffic and highway safety
functions as an organizational unit of the Federal Highway
Administration.
The administration's current programs are authorized in four major
laws: (1) the National Traffic and Motor Vehicle Safety Act, (currently
codified as chapter 301 of title 49, U.S.C.); (2) the Highway Safety
Act, (chapter 4 of title 23, U.S.C.); (3) the Motor Vehicle Information
and Cost Savings (MCVIS) Act, (currently codified as Part C of subtitle
VI of title 49, U.S.C.), and (4) the Transportation Equity Act for the
21st Century (TEA21).
The first law provides for the establishment and enforcement of
safety standards for vehicles and associated equipment and the conduct
of supporting research, including the acquisition of required testing
facilities and the operation of the national driver register (NDR).
Discrete authorizations were subsequently established for the NDR under
the National Driver Register Act of 1982.
The second law provides for coordinated national highway safety
programs (section 402) to be carried out by the states and for highway
safety research, development, and demonstration programs (section 403).
The Anti-Drug Abuse Act of 1988 (Public Law 100 690) authorized a new
drunk driving prevention program (section 410) to make grants to states
to implement and enforce drunk driving prevention programs.
The third law (MVICS) provides for the establishment of low-speed
collision bumper standards, consumer information activities, diagnostic
inspection demonstration projects, automobile content labeling, and
odometer regulations. An amendment to this law established the
Secretary's responsibility, which was delegated to NHTSA, for the
administration of mandatory automotive fuel economy standards. A 1992
amendment to the MVICS established automobile content labeling
requirements.
The fourth law (TEA21) reauthorizes the full range of NHTSA programs
and enacts a number of new initiatives. These include: safety incentives
to prevent operation of motor vehicles by intoxicated persons (section
163 of title 23 U.S.C.); seat belt incentive grants (section 157 of
title 23 U.S.C.); occupant protection incentive grants (section 405);
and highway safety data improvement incentive grants (section 411).
TEA21 also reauthorized highway safety research, development and
demonstration programs (section 403) to include research measures that
may deter drugged driving, educate the motoring public on how to share
the road safely with commercial motor vehicles, and provide vehicle
pursuit training for police. Finally, TEA21 adopts a number of new motor
vehicle safety and information provisions, including rulemaking
directions for improving air bag crash protection systems, exemptions
from the odometer requirements for classes or categories of vehicles the
Secretary deems appropriate, and adjustments to the automobile domestic
content labeling requirements.
TRAFFIC SAFETY TRENDS
In 1992, the nation experienced the lowest ever number of highway
fatalities--39,250--despite an increasing amount of travel on the
roadways. This trend has reversed itself since then. However, it appears
that fatalities may be leveling off. The latest NHTSA data indicates
fatalities in 1997 were 42,000, which is a very slight increase from the
41,907 fatalities in 1996. In comparing 1997 to 1996, there was a
1.3-percent decrease in the number of police-reported traffic crashes
and a 1.7-percent decrease in reported injuries caused by those
accidents.
The fatality rate has remained constant, at 1.7 per 100 million
vehicle miles of travel (VMT), since 1993. In 1997, this rate continued
even with an estimated increase of 2 percent VMT from 1996. The
following charts show these safety trends.
Offset Folios 104 Insert here
The percentage of traffic crashes involving alcohol decreased in
1997. An estimated 16,500 people (39.3 percent) were killed in
alcohol-related crashes down from 40.9 percent in 1996. This is the
first time that the percentage of alcohol-related crashes has dropped
below 40 percent since NHTSA began collecting these fatality rates.
OPERATIONS AND RESEARCH
(Including Highway Trust Fund)
Appropriation, fiscal year 1998\1\ $146,962,000
Budget estimate, fiscal year 1999 172,902,000
Recommended in the bill\2\ 161,400,000
xlBill compared with:
Appropriation, fiscal year 1998 +14,438,000
Budget estimate, fiscal year 1999 -11,502,000
\1\Excludes reductions of $178,000 for TASC.
\2\Including the National Driver Register.
For fiscal year 1999, TEA21 authorized a total appropriation level of
$161,400,000. This total consists of three separate authorizations.
First, the bill includes $72,000,000 of contract authority from the
highway trust fund to finance NHTSA's operations and research activities
under title 23 U.S.C. 403. This funding is included within the firewall
guarantee for highway spending. Second, TEA21 includes an authorization,
subject to appropriation, of $87,400,000 for operations and research
activities under section 30102 and 30104 of title 49 U.S.C. Third, the
bill includes an authorization from the highway trust fund of $2,000,000
for the National Driver Register.
The Committee recommends new budget authority and obligation
limitations for a total program level of $161,400,000, which is an
increase of 10 percent above the 1998 enacted level. The bill includes
language to limit the availability of the general fund appropriation for
operations and research to a three-year period.
The Committee has worked with NHTSA to revise its 1999 budget request
to comply with the levels authorized under TEA21 and recommends the
following adjustments:
Defer funding 10 new staff positions -$780,000
Defer funding new consumer information program -814,000
Hold NCAP testing to 1998 level -2,270,000
Delete funding for fuel economy program -60,000
Slight reduction in vehicle safety compliance -40,000
Reduce increase for defects investigation from 38 to 24 percent -360,000
Delete funding for the safe communities program -2,800,000
Slight reduction in EMS research -40,000
Hold PNGV to 1998 level -1,004,000
Reduce increase for biomechanics simulation and analysis from 20 to 18 percent -225,000
Reduce increase for crash avoidance research from 109 to 91 percent -300,000
Fund occupant protection survey under grant administration -300,000
Increase grant administration reimbursement -4,509,000
Fund National Driver Register +2,000,000
-------------
Net reduction to the budget request -11,502,000
Reductions necessary to meet the authorized level shall not be taken
from alcohol, drug enforcement, occupant protection, aggressive driving,
crash investigation, or air bag programs. The Committee expects NHTSA to
provide details on how these reductions will be allocated within 15 days
after the enactment of this Act.
Staff increases.-- The Committee has denied the request for 10 new
staff positions in light of the authorization level.
New car assessment program (NCAP). --The Committee has held funding
for the NCAP program at the 1998 enacted level of $2,786,000. The
Committee is concerned about NHTSA's inclusion of the 5th percentile
dummy in the NCAP program. This dummy has not yet been certified under
federal motor vehicle safety standard 208 and is still considered
experimental. Until this dummy is certified, it should not be used in
safety testing programs.
Consumer information program.-- The Committee has denied the request
for a new consumer information program in light of the new authorization
level. In the past, educating the public on NCAP results has been funded
within the NCAP program. NHTSA requested that this education effort
become a separate program in fiscal year 1999. The Committee has
provided sufficient funding within the NCAP program to continue these
educational activities.
Fuel economy.-- The Committee has deleted funding for the fuel
economy contract program. This work can be done internally.
Safe communities. --The Committee has deleted funding for the safe
communities program. Originally, this program was designed as a
three-year program and the projects would act as focal points for the
development of comprehensive traffic safety community programs. In
fiscal year 1999, NHTSA sought a substantial increase to expand the
program and to continue its operation beyond three years. The Committee
does not see the merit of continuing to fund this program beyond its
original three-year period when there are over 400 safe communities
projects throughout the United States.
Partnership for a new generation of vehicles (PNGV). --The Committee
has provided $2,496,000 for the PNGV program, which is the same amount
as provided in fiscal year 1998. It is unclear why funding for this
program should be increased when NHTSA is scheduled to complete the
development of a computer program capable of determining the safety
attributes of likely PNGV candidate vehicles in fiscal year 1998.
Additional funding has been requested to model a sport utility vehicle
and to develop an index highlighting car/truck incompatibility, which
are not relevant to the PNGV program.
The Committee is concerned that NHTSA's PNGV program is not well
coordinated with other government agencies programs or their partners in
industry. NHTSA is therefore directed to coordinate modeling efforts
with the industry to ensure maximum relevancy as the program is further
defined and to report its partnering activities to the House and Senate
Committees on Appropriations in the congressional justifications
supporting the fiscal year 2000 budget.
National occupant protection survey. --The Committee believes that
this survey should be moved from the Operations and Research contract
program to grant administration because it is occurring in all fifty
states.
Grant administration. --The Committee has increased the grant
administration drawdown from $5,434,000 to $9,943,000. TEA21 allows
NHTSA to draw out five percent of its administrative costs from the
highway traffic safety grant programs. Because of the additional
responsibilities NHTSA was given in TEA21, the Committee believes that
NHTSA will require more funds to work with the states on such issues as
safety belts, drugs, and alcohol than originally anticipated in the
budget request.
National driver register. --The national driver register (NDR)
program assists state motor vehicle administrators in communicating
effectively and efficiently with other states to identify problem
drivers (e.g., drivers whose licenses are suspended or revoked for
certain serious traffic offenses, including vehicle operation under
impairment by alcohol and other drugs). In the past, this program has
been funded as a takedown from the highway traffic safety grants
program. Under TEA21, NDR was authorized under NHTSA's operations and
research program. The bill provides $2,000,000, the same level as
authorized, but $300,000 less than requested for fiscal year 1999. The
Secretary, in conjunction with the American Association of Motor Vehicle
Administrators, shall begin the technology assessment authorized under
section 2006 of TEA21. Up to $250,000 is available for this activity.
Other reductions.-- The Committee has made a number of reductions to
meet the levels authorized under TEA21. These reductions were made to
the following programs: vehicle safety compliance, defects
investigation, EMS research, biomechanics, and crash avoidance. In most
of these cases, reductions were made to proposed 1999 budget increases
and will not impact the activities already underway.
Biomechanics.-- The Committee has fully funded the crash injury
research and engineering network component of the biomechanics program
in fiscal year 1999. This network is expanding the number of
hospital-based centers participating in the crash injury study program
from four to seven trauma centers. The Committee continues to be
supportive of the exemplary research that the William Lehman Injury
Research Center and the New Jersey College of Medicine have done to
identify and quantify new injury patterns in vehicle crashes. The
Committee suggests that the Department consider expanding its work with
these centers to include investigations of commercial motor vehicle
accidents.
Aggressive driving. --The Committee is concerned about the apparent
increase in accidents due to what has been termed ``road
rage''--aggressive drivers who endanger themselves and others by taking
unnecessary risks on the highway. The Committee urges NHTSA to
investigate the use of education as a means of reducing the incidence of
road rage accidents.
NHTSA, in conjunction with the International Association of Chiefs of
Police, should conduct a 2-year pilot project to utilize and demonstrate
the effectiveness of enforcement devices, such as speed management and
imaging devices, in reducing aggressive driving. The program could, for
example, provide for the issuance of citations by mail to the registered
owners of vehicles that violate traffic safety laws. The project should
take place within one or more federal jurisdictions that have
experienced high profile crashes, such as the George Washington Memorial
Parkway.
Red light running initiative. --The Committee is concerned with the
high number of motorists who disregard traffic signals. Failure to obey
traffic signals is one of the leading causes of urban crashes. The
Committee recognizes an innovative program initiated by the Jefferson
Parish Sheriff's Office in Louisiana to combat this problem, which has
the potential to serve as a national model. NHTSA should evaluate the
work being done in Jefferson Parish to determine if it could be deployed
nationwide.
Bill language. --The Committee has included a provision prohibiting
any agency funded in this Act from planning, finalizing, or implementing
any rulemaking which would require passenger car tires be labeled to
indicate their low rolling resistance. Also, the bill contains a general
provision (sec. 320) that prohibits funds to be used to prepare,
prescribe, or promulgate corporate average fuel economy (CAFE) standards
for automobiles that differ from those previously enacted. The
limitation does not preclude the Secretary of Transportation, in order
to meet lead time requirements of the law, from preparing, proposing,
and issuing a CAFE standard for model year 2001 automobiles that is
identical to the CAFE standard established for such automobiles for
model year 2000.
HIGHWAY TRAFFIC SAFETY GRANTS
(Liquidation of Contract Authorization)
(Highway Trust Fund)
Appropriation, fiscal year 1998 ($186,000,000)
Budget estimate, fiscal year 1999 (197,000,000)
Recommended in the bill (200,000,000)
xlBill compared with:
Appropriation, fiscal year 1998 (+14,000,000)
Budget estimate, fiscal year 1999 (+3,000,000)
TEA21 authorized four state grant programs: the highway safety grant
program, the occupant protection incentive grant program, the
alcohol-impaired driving countermeasures grant program, and the state
highway safety data improvement grant program. The Committee recommends
$200,000,000 for the liquidation of contract authorization, which is a
7.5 percent increase above the 1998 enacted level. This appropriation is
mandatory and has no scoring effect.
Limitation on Obligations
As in past years and recommended in the budget request, the bill
includes language limiting the obligations to be incurred under the
various highway traffic safety grants programs. These obligations are
included within the highway guarantee. The bill includes separate
obligation limitations with the following funding allocations:
Fiscal year Recommended in the bill
1998 enacted 1999 estimate
Highway safety grants $149,700,000 $166,700,000 $150,000,000
Alcohol incentive grants 34,500,000 39,000,000 35,000,000
Occupant protection incentive grants 20,000,000 10,000,000
Drugged driving incentive grants 5,000,000
State highway safety data improvements 5,000,000
National driver register 2,300,000 2,300,000 (\1\)
--------------- --------------- --------------
Total 186,500,000 233,000,000 200,000,000
\1\National driver register is funded under Operations and Research in fiscal year 1999, as authorized.
Highway safety grants. --These grants are awarded to states for the
purpose of reducing traffic crashes, fatalities and injuries. The states
may use the grants to implement programs to reduce deaths and injuries
caused by exceeding posted speed limits; encourage proper use of
occupant protection devices; reduce alcohol-and drug-impaired driving;
reduce crashes between motorcycles and other vehicles; reduce school bus
crashes; improve police traffic services; improve emergency medical
services and trauma care systems; increase pedestrian and bicyclist
safety; increase safety among older and younger drivers; and improve
roadway safety. The grants also provide additional support for state
data collection and reporting of traffic deaths and injuries.
An obligation limitation of $150,000,000 is included in the bill,
which is the same amount as authorized. The Committee has included
$300,000 for the occupant protection survey within this total. Also,
language is included in the bill that limits funding available for
federal grants administration of NHTSA to $9,943,000.
The bill continues to carry language that prohibits the use of funds
for construction, rehabilitation, and remodeling costs or for office
furnishings or fixtures for state, local, or private buildings or
structures.
Alcohol-impaired driving incentive grants. --TEA21 authorized
$219,500,000 over six years to continue NHTSA's alcohol-impaired driving
incentive grants program. These grants will offer two-tiered basic and
supplemental grants to reward states that pass new laws and start more
effective programs to attack drunk and impaired driving. States may
qualify for basic grants in two ways. First, they can implement 5 of the
following 7 laws and programs: (1) administrative license revocation;
(2) programs to prevent drivers under age 21 from obtaining alcoholic
beverages; (3) intensive impaired driving law enforcement; (4) graduated
licensing law with nighttime driving restrictions and zero tolerance;
(5) programs that target drivers with high blood alcohol-content (BAC);
(6) young adult programs to reduce impaired driving by individuals aged
21 34; (7) an effective system for increasing the rate of testing for
BAC of drivers in fatal crashes. Second, they can demonstrate a
reduction in alcohol-involved fatality rates in each of the last three
years and demonstrate rates lower than the national average for each of
the last three years. Supplemental grants are provided to states that
adopt additional measures, including videotaping of drunk drivers by
police; self-sustaining impaired driving programs; laws to reduce
driving with suspended licenses; use of passive alcohol sensors by
police; a system for tracking information on drunk drivers; and other
innovative programs. The Committee has provided $35,000,000 for these
grants in fiscal year 1999. No state may receive grants in more than six
fiscal years and the federal share declines in the out years.
In addition to the alcohol-impaired driving incentive grant program,
TEA21 authorized $500,000,000 in grants over six years for states that
have enacted and are enforcing a 0.08 BAC law (section 163). For each
fiscal year a state meets this criterion, it will receive a grant in the
same ratio in which they receive section 402 funds. The states may use
these funds for any project eligible for assistance under title 23
(e.g., highway construction, bridge repair, motor carrier safety, etc.).
This grant program, combined with the alcohol-impaired driving incentive
grant program will significantly increase the resources the department
has to encourage states to adopt and enforce anti-drunk driving
legislation. However, it is unclear how the programs will be coordinated
and the extent of program overlap that may result from such a large
increase in federal funding. The Committee directs NHTSA and FHWA to
report to the Committee on how this coordination will work and how these
programs will differ in the congressional justifications supporting,
NHTSA's budget request for fiscal year 2000.
Occupant protection incentive grants. --The Committee has funded the
new occupant protection incentive grant program at $10,000,000, the
level guaranteed under TEA21. States may qualify for this new grant
program by implementing 4 of the following 6 laws and programs: (1) a
law requiring safety belt use by all front seat passengers; (2) a safety
belt use law providing for primary enforcement; (3) minimum fines or
penalty points for seat belt and child seat use law violations; (4)
special traffic enforcement programs for occupant protection; (5) a
child passenger protection education program; and (6) a child passenger
protection law which requires minors to be properly secured.
In addition to the new occupant protection incentive grant program,
TEA21 established a safety incentive grant program (section 157) to
encourage states to increase seat belt usage. The grant program totals
$500,000,000 over 6 years. Allocations of federal grants require
determinations of (1) seat belt use rates and improvements and (2)
federal medical cost savings attributable to increased seat belt use.
Both determinations are potentially complicated and will require data
collection by the states. States that meet the section 157 requirements
can use the funds for any purpose under title 23, including highway
construction, transit, motor carrier safety, boating safety, and
intelligent transportation systems. Although these funds are authorized
as part of the federal-aid highway program, NHTSA will likely administer
the program. As such, the Committee expects to be advised on how NHTSA
will allocate these funds based on the difficulty in collecting accurate
data.
State highway safety data improvements. --The Committee has provided
$5,000,000 for the state highway safety data improvement grants program.
To receive first year grants, a state has three options. Option (1):
establish a multi-disciplinary highway safety data and traffic records
coordinating committee; complete a highway safety data and traffic
records assessment or audit within the last five years; and initiate
development of a multi-year highway safety data and traffic records
strategic plan. Option (2): a state must certify that it has met the
first two criteria in option 1; submit a data and traffic records
multi-year plan; and certify that the coordinating committee continues
to operate and support the plan. Option (3): the Secretary may award
grants of up to $25,000 for one year to any state that does not meet the
criteria for option 1. States that receive first year grants then would
be eligible for subsequent grants by: submitting or updating a data and
traffic multi-year plan; certifying that the coordinating committee
continues to support the multi-year plan; and reporting annually on the
progress made to implement the plan.
MOTOR CARRIER SAFETY GRANTS
(highway trust fund)
(Limitation on obligations) (Liquidation of contract authorization)
Appropriation, fiscal year 1998\1\ $84,825,000 $85,000,000
Budget estimate, fiscal year 1999\1\ $100,000,000 $100,000,000
Recommended in the bill $100,000,000 $100,000,000
xlBill compared to:
Appropriation, fiscal year 1998 +15,175,000 +15,000,000
Budget estimate, fiscal year 1999
\1\Appropriation for motor carrier safety grants within the Federal Highway Administration.
The motor carrier safety grants program (MCSAP) is intended to assist
states in developing or implementing national programs for the uniform
enforcement of federal and state rules and regulations concerning motor
safety. The major objective of this program is to reduce the number and
severity of accidents involving commercial motor vehicles. Grants are
made to qualified states for the development of programs to enforce the
federal motor carrier safety and hazardous materials regulations and the
Commercial Motor Vehicle Safety Act of 1986. The basic program is
targeted at roadside vehicle safety inspections of both interstate and
intrastate commercial motor vehicle traffic.
The accompanying bill provides $100,000,000 in liquidating cash and
limitations on obligations for the motor carrier safety grants within
the National Highway Traffic Safety Administration. In fiscal year 1998
and the budget request, funding for the motor carrier safety grants
program was included within the Federal Highway Administration. The
Committee believes that the office of motor carriers and the motor
carrier safety grants program serve a vital safety oversight function,
the activities of which are much more closely aligned with those of the
National Highway Traffic Safety Administration than those of the Federal
Highway Administration. Moving motor carriers under NHTSA's umbrella
would sharpen the department's focus on safety problems. One modal
administration can better focus on reducing all highway accidents
instead of having two administrations focus on reducing components
(passenger vehicles and commercial motor vehicles) of the 42,000 annual
highway fatalities. Also, combining NHTSA and OMC functions should
provide some economies of scale because there are ongoing research and
highway safety activities that could benefit from the combined expertise
and funding.
The Committee directs that the fiscal year 2000 budget justification
of NHTSA reflect a complete integration of the functions of the Office
of Motor Carriers. In addition to this budgetary change, the Secretary
shall formally transfer OMC's delegation, authorities, and
responsibilities to NHTSA.
LIMITATION ON OBLIGATIONS
The Committee recommends a $100,000,000 limitation on obligations for
motor carrier safety grants, the same amount guaranteed under TEA21. The
Committee recommends the following allocation:
Basic motor carrier safety grants $80,000,000
Performance based incentive grant program
Border assistance 4,500,000
High-priority activities 4,500,000
Training 1,000,000
Information systems 10,000,000
Safety performance incentive grant program. --The Committee has not
provided separate funding for the new safety performance incentive grant
program because OMC has yet to issue a rulemaking establishing
performance-based criteria for the states. Until a final rule is issued
that highlights the goals and guidelines of the program and identifies
how states will compete for these incentive grants, the Committee
believes that it is premature to fund this effort. A final rule is not
anticipated until the end of fiscal year 1999. Although the Committee
has not provided funding for this effort in fiscal year 1999, such
action does not prejudice the grant program from receiving funding in
future years.
Border assistance. --The Committee directs that none of the funds
provided for border assistance should be provided to the second tier
states--states that border Arizona, California, New Mexico, or
Texas--until Mexican commercial motor vehicles are allowed to freely
traverse the four border states. Second tier states do not need
assistance because Mexican carriers cannot proceed beyond the border
states and into the second tier states.
Information systems.-- The Committee has provided $10,000,000 for
information systems. Of this total, $3,000,000 shall be used to help
each state improve its information systems, computers, and evaluation
capabilities; $1,000,000 shall be for driver safety activities to
improve the commercial drivers license program or for judicial outreach;
and $5,000,000 shall be for the expansion of PRISM.
Truck and bus accidents.-- The Committee is concerned about the
growing number of truck and bus accidents. After years of declining
crash rates and fatalities rates, both large trucks and intercity
passenger buses are experiencing an upswing in crash and fatality rates.
In comparison, accident and fatality rates for all vehicles are much
lower and are not increasing. The Committee directs OMC to monitor this
situation closely and report to the House and Senate Committees on
Appropriations on new and innovative efforts the administration is
taking to reduce the number of accidents and fatalities and what
additional steps can be taken if this trend continues throughout fiscal
year 1998.
FEDERAL RAILROAD ADMINISTRATION
SUMMARY OF FISCAL YEAR 1999 PROGRAM
The Federal Railroad Administration (FRA) is responsible for
planning, developing, and administering programs to achieve safe
operating and mechanical practices in the railroad industry, as well as
managing the high speed ground transportation program. Grants to the
National Railroad Passenger Corporation (Amtrak) and other financial
assistance programs to rehabilitate and improve the railroad industry's
physical plan are also administered by the FRA.
The total recommended program level for the FRA for fiscal year 1999
is $729,316,000, which is $22,043,000 less than requested and
$207,474,000 below the 1998 level. The following table summarizes the
fiscal year 1998 program levels, the fiscal year 1999 program requests
and the Committee's recommendations:
Program Fiscal year 1998 enacted level Fiscal year 1999 request Recommended in the bill
Office of the administrator $20,290,000 $21,573,000 $21,367,000
Railroad safety 57,067,000 61,959,000 60,948,000
Nationwide differential global positioning system 3,000,000
Railroad research and development 20,758,000 20,757,000 20,477,000
Northeast corridor improvement program 250,000,000 \1\
Next generation high speed rail 20,395,000 12,594,000 15,294,000
Rhode Island rail development 10,000,000 10,000,000 2,000,000
Grants to the National Railroad Passenger Corporation \2\ 543,000,000 \3\ 621,476,000 609,230,000
Alaska railroad 15,280,000
Emergency railroad rehabilitation and repair (9,800,000)
-------------------------------- -------------------------- -------------------------
Total \4\ 936,790,000 751,359,000 729,316,000
\1\Financing for the Northeast Corridor Improvement Program is included in capital grants to the National Railroad Passenger Corporation's budget request.
\2\Includes railroad retirement payments.
\3\Funding is for capital grants, the Northeast Corridor Improvement Program, Pennsylvania Station redevelopment and expenses of the Office of the Secretary. All funds are requested from the Highway Trust Fund.
\4\Excludes reductions of $49,000 for TASC.
OFFICE OF THE ADMINISTRATOR
Appropriation, fiscal year 1998\1\ $20,290,000
Budget estimate, fiscal year 1999 21,573,000
Recommended in the bill 21,367,000
xlBill compared with:
Appropriation, fiscal year 1998 +1,077,000
Budget estimate, fiscal year 1999 -206,000
\1\ Excludes reductions of $29,000 for TASC.
This account provides funds for executive direction and
administration, policy support, passenger and freight services, salaries
and expenses, and contractual support. The Committee recommends an
appropriation of $21,367,000 to continue the office of the administrator
and for passenger and freight service assistance functions.
Recommended adjustments to the budget request are as follows:
Delete funding for the electronic grant project -$200,000
Delete funding for acquisition management training -6,000
The Committee has denied funding for the electronic grant project and
acquisition management training department-wide due to budget
constraints.
Train traffic noise in Riverside, California. --It has been brought
to the Committee's attention that increased rail traffic in certain
urban areas has given rise to noise and safety concerns. The Committee
understands that efforts are underway to develop technology that may
address train whistle noise issues and that FRA is currently considering
regulations on this issue. The Committee urges FRA to work with the City
of Riverside, California, and the affected railroads to address the
City's concerns. The Committee also urges the Administrator to consider
the City of Riverside, California, as a test site for any technology
developed to reduce whistle noise.
Coon Rapids, Minnesota whistle ban project. --The city of Coon
Rapids, Minnesota, has been working to develop safe and quiet
alternatives to trains blowing their warning whistles at grade
crossings. The city has assembled a proposal for implementation of
traffic islands, special signing, and video cameras at its grade
crossings, in lieu of trains blowing their warning whistles. The
Committee urges FRA to consider the City of Coon Rapids as a model test
site for any technology developed as alternatives to train whistles.
General provision. --The Committee has included a general provision
that makes funding provided in the Emergency Supplemental Appropriations
and Rescissions Act of 1998 (P.L. 105 174) available through July 10,
1998. Following heavy rains during late June and early July of this
year, the President designated certain counties within the state of New
York as federal disaster areas. Railroads within these counties
experienced significant washout and shall be eligible for emergency
funding provided in that Act.
RAILROAD SAFETY
Appropriation, fiscal year 1998\1\ $57,067,000
Budget estimate, fiscal year 1999 61,959,000
Recommended in the bill 60,948,000
xlBill compared with:
Appropriation, fiscal year 1998 +3,881,000
Budget estimate, fiscal year 1999 -1,011,000
\1\Excludes reductions of $17,000 for TASC.
The federal role in the railroad safety program is to protect
railroad employees and the public by ensuring the safe operation of
passenger and freight trains. The authority to accomplish this role is
found in the Federal Railroad Safety Act of 1970 (as amended), the
Department of Transportation Act, and the Hazardous Materials
Transportation Act. Greatly expanded railroad safety authority was
granted to the FRA under the Rail Safety Improvement Act of 1998.
The Committee recommends a total appropriation of $60,948,000 for
railroad safety programs in fiscal year 1999. The following reductions
are made to the budget request:
Hire 24 instead of 32 new inspectors -$420,000
Hold travel to a 10 percent increase -591,000
Inspectors. --The Committee has provided $1,271,000 for 24 new
safety inspectors. FRA had requested funding for 32 positions. Of these
positions, eight positions would conduct administrative and liaison
activities. Due to budget constraints and a high number of vacancies
currently in the railroad safety program, the committee has denied
funding for these eight positions.
Travel and transportation of things. --The Committee has held travel
and transportation of things to an increase of 10 percent instead of the
21 percent increase requested (-$591,000). Such a significant increase
is not necessary with fewer personnel being hired.
NATIONWIDE DIFFERENTIAL GLOBAL POSITIONING SYSTEM
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999 $3,000,000
Recommended in the bill
xlBill compared with:
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999 -3,000,000
The administration has requested a new appropriation to enable the
installation of nationwide differential global positioning system (DGPS)
transmitters throughout the United States. This system would enhance an
existing Coast Guard network. Together, these two networks will be used
to support positive train control. The Committee has denied funding for
this project under this heading and has also denied funding for a
related request within the Federal Highway Administration's limitation
on general operating expenses.
In fiscal year 1998, Congress appropriated $2,400,000 to the Coast
Guard to begin converting the Air Force Ground Wave Emergency Network
(GWEN) sites into a DGPS network located within the interior of the
United States and Alaska. To date, the Coast Guard has not converted any
systems because of delays in completing an interagency memorandum of
agreement to begin this project.
Beginning in the year 2000, the department plans to collect
contributions for this network from up to 17 other federal agencies and
private sources to fund the conversion of GWEN sites to a DGPS network.
The Department has stated that these agencies, particularly the
Department of Agriculture, will be the primary beneficiaries of this
information. Since the Department of Transportation is not the principal
beneficiary, the Committee believes that it should not be the only
source of funding for this system in fiscal year 1999 or beyond. The
Committee directs the department to work with other federal agencies
that plan on utilizing the DGPS network to develop an equitable funding
scheme for (1) the conversion of the GWEN system to DGPS and (2)
long-term operations and maintenance costs once the new system is
established. The results of this work should be provided to the House
and Senate Committees on Appropriations by March 1, 1999. This Committee
would be disinclined to re-evaluate budget requests for this program
until such information is available.
RAILROAD RESEARCH AND DEVELOPMENT
Appropriation, fiscal year 1998\1\ $20,758,000
Budget estimate, fiscal year 1999 20,757,000
Recommended in the bill 20,477,000
xlBill compared with:
Appropriation, fiscal year 1998 -281,000
Budget estimate, fiscal year 1999 -280,000
\1\Excludes reductions of $3,000 for TASC.
The railroad research and development appropriation finances contract
research activities as well as salaries and expenses necessary for
supervisory, management, and administrative functions. The objectives of
this program are to reduce the frequency and severity of railroad
accidents and to provide technical support for rail safety rulemaking
and enforcement activities.
The Committee recommends an appropriation of $20,477,000 for fiscal
year 1999. The following reductions are made:
Delete funding maglev initiative -$150,000
Delete funding for TTC site facilities -130,000
Maglev initiative. --The Committee has deleted funding for the
maglev initiative. The Administration has requested $150,000 to evaluate
maglev technology; however, there are no maglev projects currently
underway in the United States to transport rail passengers for the FRA
to evaluate.
Section 1218 of TEA21 provides funding for maglev deployment within
the overall federal-aid highway program limitation. FRA is expected to
manage this program. Funding is available to FRA for planning and
project oversight once initial project submissions have been approved.
Since funding will be available within the Federal Highway
Administration, the Committee does not expect to see a request for
maglev oversight in future FRA budget requests.
Transportation Technology Center (TTC) site facilities. --Until
recently, the Association of American Railroads (AAR) operated and
maintained the TTC under a non-competitive arrangement with FRA.
Recently, AAR has elected to spin off the TTC into a separate,
for-profit entity. As a commercial entity, TTC should not be dependent
on federal funds for its upkeep. As such, the Committee has deleted
funding for TTC site facilities (-$130,000).
Bill language. --The Committee has included the requested bill
language that allows FRA to sell old aluminum reaction rail at TTC. The
aluminum is an unused asset that could be sold to raise funds for needed
capital improvements at the TTC. This sale would offset the reductions
the Committee made in the budget request for TTC upkeep.
NORTHEAST CORRIDOR IMPROVEMENT PROGRAM
Appropriation, fiscal year 1998 $250,000,000
Budget estimate, fiscal year 1999 (\1\)
Recommended in the bill ---
xlBill compared with:
Appropriation, fiscal year 1998 -250,000,000
Budget estimate, fiscal year 1999 ---
\1\$200,000,000 for the Northeast Corridor Improvement Program is included in the proposed capital grant to the National Railroad Passenger Corporation appropriation.
For fiscal year 1999, the administration and Amtrak have requested
not less than $200,000,000 for the Northeast Corridor Improvement
Program (NECIP) to be included within Amtrak's capital grant. The
Committee has not provided a specific earmark for NECIP within the
capital grant and has afforded Amtrak the flexibility to allocate
whatever amount it believes is necessary for this project in fiscal year
1999.
RAILROAD REHABILITATION AND IMPROVEMENT FINANCING PROGRAM
TEA21 established a railroad rehabilitation and improvement financing
loan and loan guarantee program. The aggregate unpaid principal amounts
of the obligations may not exceed $3.5 billion at any one time. Not less
than $1 billion is reserved for projects primarily benefiting freight
railroads other than class I carriers. The funding may be used (1) to
acquire, improve, or rehabilitate intermodal or rail equipment or
facilities, including track, components of track bridges, yards,
buildings, or shops; (2) to refinance existing debt; or (3) to develop
and establish new intermodal or railroad facilities. No federal
appropriation is required since a non-federal infrastructure partner may
contribute the subsidy amount required by the Credit Reform Act of 1990
in the form of a credit risk premium. Once received, statutorily
established investigation charges are immediately available for
appraisals and necessary determinations and findings. As such, the
Committee has not provided an appropriation for this program.
This loan guarantee program provides an opportunity for developing
significant rail infrastructure improvements benefiting the national
transportation system. The Committee anticipates that the Department
will likely receive applications incorporating non-federal commitments
for this risk premium and expects that the Secretary will consider such
applications carefully, given the potential risk to the federal
government as the guarantor of the loan guarantee amount.
It is the Committee's understanding that the department strongly
opposed establishing a separate credit program for private railroads
during TEA21 deliberations. The Committee also has a number of concerns
about this program, including: (1) how the Federal Railroad
Administration will oversee this program; (2) how budgetary oversight
will occur for a program that requires no federal appropriation for some
or all of its loan guarantees; (3) how the costs to administer the loan
and loan guarantees will be paid; (4) whether the loans and loan
guarantees will be limited to a certain type of rail project or project
sponsor; and (5) whether the program will be utilized to offer financing
to railroads that could not obtain a loan elsewhere. The department is
to address these questions and shall notify the House and Senate
Committees on Appropriations of the resolution of these concerns prior
to granting the first loan.
NEXT GENERATION HIGH-SPEED RAIL
Appropriation, fiscal year 1998 $20,395,000
Budget estimate, fiscal year 1999 12,594,000
Recommended in the bill 15,294,000
xlBill compared with:
Appropriation, fiscal year 1998 -5,101,000
Budget estimate, fiscal year 1999 +2,700,000
The next generation high-speed rail program funds the development,
demonstration, and implementation of high speed rail technologies. It is
managed in conjunction with the program authorized in TEA21.
The Committee recommends $15,294,000 for the next generation
high-speed rail program. Adjustments in total program funding from the
budget request are as follows:
1998 enacted 1999 request Committee recommendation
Train control systems $3,750,000 $1,500,000
Non-electric locomotives 9,300,000 $6,800,000 8,000,000
Grade crossings & Innovative technologies 5,600,000 4,000,000 4,000,000
Track and structures 1,200,000 1,200,000 1,200,000
Administration 545,000 594,000 594,000
---------------- ---------------- -----------------------------
Total 20,395,000 12,594,000 15,294,000
Train control systems. --The Committee is dismayed that FRA has not
sought additional funding in fiscal year 1999 for this critical safety
program. Positive train control has been on the National Transportation
Safety Board's ``most wanted list'' since the inception of the list in
1990. Also, FRA has testified that positive train control technology is
the administration's ``highest priority''.
Earlier this year, the Association of American Railroads committed
$20,000,000 (in increments of $5,000,000 annually over four years) to
develop positive train control technology between Springfield and
Chicago, Illinois. FRA estimates that this project will cost
approximately $60,000,000 over a four-year period. FRA and the Illinois
Department of Transportation have $15,000,000 available for this
project. The Committee has provided $1,500,000 to indicate continuing
federal support for this project.
Non-electric locomotives. --The Committee has provided $8,000,000
for non-electric locomotives, which is an increase of $1,200,000 above
the budget request. The funds for this program focus on the
demonstration of a high-speed, lightweight fossil fuel locomotive that
will be able to facilitate the testing of an advanced locomotive
propulsion system (ALPS). This is the second year that the Committee has
provided funds for the evaluation of non-electric locomotive
technologies that utilize modern, recently developed locomotive car
bodies and meet forthcoming FRA Tier II passenger rail car construction
standards and other applicable safety regulations. These locomotives
will be designed to facilitate the testing of a flywheel turbine
developed under the ALPS program. The locomotives should have the
potential to operate at 150 miles per hour, yet be available for revenue
demonstration speeds of 125 miles per hour within a two-year period.
According to FRA, to have a full-scale test of a high-speed,
non-electric locomotive by the year 2000, $8,000,000 is necessary in
fiscal year 1999 because 65 percent of the manufacturing of this
locomotive will occur in this year. The Committee expects FRA to
dedicate a substantial portion of the funding to the manufacturing of
this locomotive to meet this deadline.
RHODE ISLAND RAIL DEVELOPMENT
Appropriation, fiscal year 1998 $10,000,000
Budget estimate, fiscal year 1999 10,000,000
Recommended in the bill 2,000,000
xlBill compared with:
Appropriation, fiscal year 1998 -8,000,000
Budget estimate, fiscal year 1999 -8,000,000
The Committee has provided $2,000,000 for the Rhode Island Rail
Development project, which is $8,000,000 less than requested. Since
fiscal year 1995, a total of $23,000,000 has been appropriated in
federal funds to construct a third track between Davisville and Central
Falls, Rhode Island. This funding is matched on a dollar-for-dollar
basis by the state. The third track will prevent mixing freight and
high-speed passenger rail service and will provide sufficient clearance
to accommodate double-stack freight cars.
A record of decision, allowing the project to go forward, was signed
on May 14, 1998. At that time, the state issued a Freight Railroad
Improvement Project (FRIP) briefing book, which showed that Rhode Island
needed a total of $41,000,000 to meet its expenditures through fiscal
year 1999. As of May 1998, the state has spent just over 10 percent of
the federal funding, or $2,400,000. It has $20,600,000 unobligated. When
combined with the state's matching contribution, the state has a total
of $41,200,000 to spend on this project during fiscal year 1999. Thus,
the Committee does not believe that the state requires the full request
of $10,000,000 in fiscal year 1999. If the state requires more than the
$41,000,000 projected, additional funding is available from the bond
referendum passed in November 1996 that approved $50,000,000 for FRIP
construction costs.
The Committee remains confident that this is a worthwhile project and
will continue to consider future appropriations for this project once
the unobligated balances have been drawn down.
The Committee has deleted bill language that requires the Providence
and Worcester Railroad to reimburse Amtrak and/or the Federal Railroad
Administration for damages resulting from legal actions relating to
vertical clearances between Davisville and Central Falls in excess of
those required for present freight operations. It is the Committee's
understanding that this issue has been resolved.
GRANTS TO THE NATIONAL RAILROAD PASSENGER CORPORATION
Appropriation, fiscal year 1998 $543,000,000
Budget estimate, fiscal year 1999\1\ 621,476,000
Recommended in the bill 609,230,000
xlBill compared with:
Appropriation, fiscal year 1998 +66,230,000
Budget estimate, fiscal year 1999 -12,246,000
\1\The administration requested a total of $621,476,000 for capital grants from the Highway Trust fund.
The National Railroad Passenger Corporation (Amtrak) is a for profit
corporation created by the Rail Passenger Service Act of 1970 and
incorporated under the laws of the District of Columbia to operate a
national rail passenger system. Amtrak started operation on May 1, 1971.
STATUS OF AMTRAK
During the past year, significant changes have affected Amtrak. Most
notably is the passage of the Amtrak Reform and Accountability Act that,
among other things, enacted section 977 of the Taxpayer Relief Act (TRA)
of 1997. The TRA made a total of $2.3 billion available to Amtrak in
fiscal years 1998 and 1999 to make capital improvements; to acquire
capital assets; and to pay for certain maintenance expenses. From this
total, Amtrak is required to pay $138,000,000 to six states that do not
have Amtrak service. Other notable changes included in the authorization
Act are: a repeal of the statutory ban on contracting out work that
would result in employee layoffs or worsening of position; the
elimination of statutory and contractual arrangements that provided up
to six years' compensation and benefits for employees who lost their
jobs because of reduction in services to less than three times per week
and a reconfigured Board of Directors.
In addition to these legislative changes, the Administration and
Amtrak submitted a unique budget request for fiscal year 1999. This
request sought $621,476,000 in capital funds and permission to use the
capital appropriations for preventive maintenance. In prior years, the
Administration and Amtrak have requested separate grant requests for
operating and capital expenses, as well as for the Northeast Corridor
Improvement Program.
With the adoption of the new authorization Act, the availability of
$2.162 billion in tax credits, and the new budget proposal, the
Committee would expect to be optimistic about Amtrak's future. However,
the Committee is not convinced that Amtrak's fiscal year 1999 proposal
provides for the long-term viability and solvency of the Corporation.
In February 1998, the General Accounting Office testified that Amtrak
is still in ``dire financial straits''. Other knowledgeable sources have
said that the Administration's 1999 request would simply be shifting
costs from operating expenses to capital expenses, causing Amtrak to
spend down its needed capital appropriations on the daily operation of
the system instead of on long-term investments, ultimately bankrupting
the Corporation in or around the year 2000. The Secretary of
Transportation was more optimistic about Amtrak's future when he
testified before the Subcommittee in March 1998; however, he noted that
Amtrak would require federal support well after the year 2002, in the
form of a capital appropriation.
Since these hearings, Amtrak issued a revised strategic business
plan. This plan showed that in fiscal year 1998 the Corporation's net
loss would grow to $845,000,000, or $83,000,000 more than in fiscal year
1997. This loss is larger than the previous year because of
unanticipated labor costs ($35,000,000) and an inability to enact
express service ($48,000,000).
Amtrak also has serious cash flow problems. The revised strategic
business plan shows that Amtrak projects a cash flow deficit of
$200,000,000 at the end of fiscal year 1998, which is $30,000,000 more
than its line of credit. To cover this cash flow deficit, Amtrak plans
to borrow some of the funds provided by the TRA in 1998 for equipment
maintenance expenses.
To gain a better understanding of Amtrak's financial condition, the
Committee contacted the Department of Transportation's Inspector
General, the General Accounting Office, and a diverse group of
non-federal railroad experts. The Committee asked this group to comment
on whether Amtrak continues to operate in a fragile state, as many
testified, or if the recent legislative actions have placed the
Corporation on a more stable footing. There was a wide divergence of
opinions, but everyone expressed some degree of concern about Amtrak's
long-term viability.
GAO noted that ``Amtrak is unlikely to ever be free of the need for
federal capital subsidies because of the capital intensive nature of
railroads . . . Amtrak will depend heavily upon federal subsidies for
operating assistance through fiscal year 2003.''
Many of the experts questioned Amtrak's ability to increase revenues
while further reducing costs. Most noted that Amtrak's ridership has
remained flat since 1977. During this twenty-year period, airline
traffic has more than doubled and interstate highway traffic has almost
doubled. The experts also noted that revenues have been relatively flat
throughout the 1990s despite large fare increases in some markets.
Currently, less than sixty percent of Amtrak's revenue comes from
passenger fares. Real estate, mail contracts, and express services make
up the remainder. In the future, Amtrak may not be able to increase
fares in most markets without experiencing a further decline in
ridership. The one exception may be between New York and Boston, once
high-speed rail service is initiated.
Amtrak has not been able to reduce its labor costs. Instead, the
Corporation will experience significant labor cost increases over the
next few years, which will impact its bottom line. In the year 2000,
Amtrak projects that by extrapolating the new Brotherhood of Maintenance
of Way Employees agreement to all labor unions, wages will increase by
$150,000,000 over the life of the contract. Even with productivity
savings, this is a significant cost, which Amtrak can ill-afford.
On the positive side, recently affirmed express service, high-speed
rail service between New York and Boston, profits from Amtrak's commuter
operations, and increased contributions by states for intercity
passenger rail service should have a favorable impact on Amtrak's
revenues. One expert noted that the Northeast Corridor has excess
capacity that could be sold to freight operators who may be interested
in better serving the ports in and around New York City.
In summary, it appears that the internal changes Amtrak has made, and
the external changes provided in the authorization Act and TRA, do not
guarantee Amtrak's viability or even disperse the storm clouds which
have been looming on Amtrak's horizon for many years. The Committee will
continue to review Amtrak's position carefully on an annual basis and
awaits the results of the market-based analysis that the Corporation is
undertaking to ``define a national system that works within reasonable
economic parameters''.
COMMITTEE RECOMMENDATIONS
The administration requested a total of $621,476,000 for capital
grants from the Highway Trust Fund. Of this total, no less than
$200,000,000 is to be provided for the Northeast Corridor Improvement
Program, $11,746,000 is for Pennsylvania Station Redevelopment, and
$500,000 is for administrative expenses related to the Amtrak Reform
Council and annual financial assessment of Amtrak.
The Committee recommends a total funding level of $609,230,000 for
grants to Amtrak to cover capital expenses in fiscal year 1999. This
amount is $12,246,000 less than requested. In addition to these
appropriated funds, $1,091,810,000 will be paid to Amtrak in fiscal year
1999 by the Secretary of the Treasury pursuant to section 977 of the
Taxpayer Relief Act of 1997. This represents an all-time high federal
funding level for Amtrak.
Northeast corridor improvement program. --The Committee has not
provided a specific earmark for the Northeast Corridor Improvement
Program. Amtrak has the flexibility to allocate whatever amount it
believes is necessary for this project in fiscal year 1999.
Given the Committee's recognition of the importance of addressing the
dangers associated with pedestrian access to railroad tracks, which is
particularly pressing with the introduction of high-speed rail service
along the Northeast Corridor, the Committee directs Amtrak to work
closely with the Northeast Corridor communities, as well as state
transit officials and owners of the track, to identify danger spots and
install perimeter fencing wherever it is needed as quickly as possible.
In particular, Amtrak should focus on increased community coordination
in urbanized areas where there have been problems or where community
concerns have been expressed, such as Attleboro, Foxboro, Mansfield, and
Sharon, Massachusetts.
Pennsylvania Station Redevelopment. --The Committee has denied the
request for Pennsylvania Station Redevelopment. A total of $40,000,000
was provided by TEA21 for this project. With this funding, over
$100,000,000 has been provided, fulfilling the federal commitment to
this project. The Committee has included a general provision that
restricts any federal funding for the James A. Farley/Pennsylvania
Station redevelopment project in excess of the original $100,000,000
federal commitment only for fire and life safety improvements to the
East River and North River tunnels and the subterranean complex of
Pennsylvania Station.
Administrative support. --The Committee has denied the funding
request for the Amtrak Reform Council (ARC) and for an independent
financial assessment of Amtrak. Funding for these two activities was
provided in the emergency supplemental appropriation for fiscal year
1998. A separate appropriation of $450,000 has been provided for the ARC
under the Office of the Secretary. The Committee believes that it is a
conflict of interest to use Amtrak's grant to pay for the expenses of a
Council that may recommend restructuring the Corporation in fiscal year
2000 if Amtrak is unable to meet its financial goals or would require an
operating subsidy after December 2002.
Highway trust fund. --The Committee has not funded Amtrak from the
Highway Trust Fund, as requested by the administration. Amtrak only pays
about $3,000,000 to $5,000,000 per year in fuel taxes. Appropriating a
capital grant from the Highway Trust Fund instead of from the general
fund, where the Corporation has been funded historically, would take
away money from those who pay their ``fair share'' into the trust fund.
The Committee expects to continue to appropriate grants to Amtrak from
the general fund.
Capital definition. --The Administration and Amtrak have requested
permission from Congress to use a more flexible definition of the term
``capital''. They have argued that Amtrak should be able to spend its
federal capital appropriations on maintenance of equipment,
infrastructure, and facilities. In the past, Amtrak's maintenance costs,
such as repairing track and switches and reconditioning rail car
components have been generally considered an operating expense. Federal
capital grants have not paid for these activities. Instead, capital
grants have been used for the purchase of locomotives and passenger
cars, the construction of new facilities, and rebuilding of tracks.
Amtrak has indicated that as much as $542,000,000 of the requested
$621,476,000 may be used to pay for maintenance of equipment,
infrastructure and facilities. However, in an analysis of the proposed
bill language, Amtrak and the Administration are also requesting that
capital funds be used to pay for rail trackage rights. Currently, Amtrak
spends about $100,000,000 for these costs. Thus, if the definition
change is approved, Amtrak could spend its entire fiscal year 1999
capital appropriation on what have historically been considered
operating expenses.
The Committee has not included bill language expanding the definition
of items on which Amtrak can spend its capital appropriations. TRA
allows the use of capital funds for ``the acquisition of equipment,
rolling stock, and other capital improvements, the upgrading of
maintenance facilities, and the maintenance of existing equipment in
intercity passenger rail service''. Statutorily, TRA already provides
Amtrak with the flexibility to utilize its capital funds for at least
$340,000,000 of its annual operating expenses on overhauls and the
maintenance of existing equipment. Expanding this flexibility to include
infrastructure, facilities, and trackage rights would decrease the
amount of funds available for capital improvements and equipment
overhauls. Amtrak's revised strategic business plan, assuming the
definition change, anticipates spending $1.8 billion (65 percent) of the
administration's proposed $2.8 billion in capital appropriations for
maintenance expenses between fiscal year 1999 and 2003 to reduce its net
losses and cash-flow deficits. As a result, Amtrak would spend
$800,000,000 less for capital improvements over the next 5 years than it
had previously planned under its glidepath approach.
Amtrak has argued in the past that it will reach self-sufficiency
only by having ample funding for long-term and deferred capital needs.
By not adopting the new ``capital'' definition beyond what is approved
in TRA, the Committee bill ensures that about 40 percent of the
appropriation will go towards long-term capital needs. The Committee
believes that these capital investments are necessary to increase
Amtrak's revenues and reduce costs in the long-term. Accordingly, the
Committee disallows the proposed changes in the definition of capital.
Bill language. --The Committee has modified bill language adding the
House and Senate Appropriations Committees to those that need to review
and approve Amtrak's capital plan.
FEDERAL TRANSIT ADMINISTRATION
SUMMARY OF FISCAL YEAR 1999 PROGRAM
The Federal Transit Administration (FTA) was established as a
component of the Department of Transportation on July 1, 1968, when most
of the functions and programs under the Federal Transit Act (78 Stat.
302; 49 U.S.C. 1601 et seq.) were transferred from the Department of
Housing and Urban Development. Known as the Urban Mass Transportation
Administration until enactment of the Intermodal Surface Transportation
Efficiency Act of 1991, the Federal Transit Administration administers
federal financial assistance programs for planning, developing and
improving comprehensive mass transportation systems in both urban and
non-urban areas.
Much of the funding for the Federal Transit Administration is
provided by annual limitations on obligations provided in appropriations
Acts. However, direct appropriations are required for the Washington
Metropolitan Area Transit Authority as well as for portions of other
accounts.
The current authorization for the programs funded by the Federal
Transit Administration is contained in the Transportation Equity Act for
the 21st Century (TEA21). TEA21 also amended the Budget Enforcement Act
to provide two additional discretionary spending categories, the highway
category and the mass transit category. The mass transit category is
comprised of transit formula grants, transit capital funding, Federal
Transit Administration administrative expenses, transit planning and
research and university transportation center funding. The mass transit
category obligations are capped at $5,365,000,000 and outlays are capped
at $4,401,000,000 in fiscal year 1999. Any additional appropriated
funding above the levels specified as guaranteed for each transit
program in TEA21 (that which could be appropriated from general funds
authorized under 5338(h)) is scored against the non-defense
discretionary category.
The total funding provided for FTA for fiscal year 1999 is
$5,365,000,000, including $1,113,200,000 direct appropriations and
$4,251,000,000 limitations on contract authority. The total recommended
is $521,262,000 over the 1998 enacted level, $589,308,143 over the
fiscal year 1999 budget request, and the same level as guaranteed in
TEA21. The following table summarizes the fiscal year 1998 program
levels, the fiscal year 1999 budget requests, and the fiscal year 1999
program levels:
Program 1998 enacted 1999 request Recommended in the bill
Administrative expenses\1\ $45,738,000 $48,142,000 $54,000,000
Formula grants 2,500,000,000 2,850,000,000
Formula programs 3,709,235,000
University transportation research\1\ 6,000,000 6,000,000
Transit planning and research\1\ 92,000,000 91,900,000 98,000,000
Capital investment grants 2,000,000,000 876,114,857 2,257,000,000
Job access and reverse commute grants\2\ (100,000,000) 50,000,000
Washington Metro 200,000,000 50,300,000 50,000,000
----------------- ----------------- -------------------------
Total 4,843,738,000 4,775,691,857 5,365,000,000
\1\The President's budget proposed that these programs be financed from the highway trust fund, and that the university transportation research program be funded within the transit planning and research program and excludes fiscal year 1998 reductions of $124,000 for TASC.
\2\The budget request included a set-aside of $100,000,000 for job access and reverse commute grants from formula programs.
ADMINISTRATIVE EXPENSES
Appropriation (general fund) Limitation on obligations (trust fund)
Appropriation, fiscal year 1998\1\ $45,738,000
Budget estimate, fiscal year 1999\2\ ($48,142,000)
Recommended in the bill 10,800,000 (43,200,000)
xlBill compared to:
Appropriation, fiscal year 1998 -34,938,000 (+43,200,000)
Budget estimate, fiscal year 1999 +10,800,000 (-4,942,000)
\1\ Excludes reductions of $124,000 for TASC.
\2\The budget requested that the appropriation be derived from the highway trust fund.
The bill provides a total appropriation of $54,000,000 for FTA's
salaries and expenses. The recommendation is $8,262,000 above the 1998
enacted level and $5,858,000 above the request. This appropriation is
guaranteed under the new transit funding category. The recommended
appropriation of $54,000,000 is comprised of an appropriation of
$10,800,000 from the general fund and $43,200,000 from limitations on
obligations from the mass transit account of the highway trust fund.
Full-time equivalent (FTE) staff years. --The Committee observes
that the level for administrative expenses provided within the transit
category guarantee is significantly above both the 1998 enacted levels
and the President's budget request. These funds are available to fund
additional FTE; however, while TEA21 imposes additional duties on the
FTA, the Committee does not believe appreciable increases in FTE are
needed immediately. In fiscal year 1999, the Committee directs the FTE
level in fiscal year 1999 not rise in excess of 485 FTE. The Committee
will consider further increases above this level as is warranted by the
increase in workload imposed by TEA21 on an annual basis.
Project management oversight activities, section 23.-- The
accompanying bill does not contain a provision limiting the amounts
available for project management oversight (PMO) activities, unlike the
fiscal year 1998 Department of Transportation and Related Agencies Act,
which limited PMO activities to $15,000,000. As such, the Committee
estimates that $31,300,000 will be available in fiscal year 1999 for
project management oversight activities. The Committee has include bill
language requiring the FTA to transfer to the Inspector General $750,000
for reimbursement of audits and financial reviews of major transit
projects. Over the past several years, the IG has provided critical
oversight of several major transit projects, which the Committee has
found invaluable. The Committee anticipates that such oversight
activities will be continued by the Inspector General in fiscal year
1999.
The Committee further directs the FTA to increase its financial
management oversight activities within the funds provided under section
23. The Committee believes it is imperative that the FTA understand more
fully the financing proposals of major transit projects authorized in
TEA21 before entering into full funding grants agreements and to
identify critical funding deficiencies or inadequate financing plans
before such funding shortfalls materialize. The experience to date with
projects such as the Los Angeles Metrorail and BART extension to the San
Francisco Airport projects suggests a more aggressive approach by the
FTA.
Congressional justifications. --The Committee directs the FTA to
present the congressional justifications in support of the fiscal year
2000 budget request for the national transit planning and research
program with the same level of detail as the budget justifications
submitted in support of the intelligent transportation systems and
highway research programs in fiscal year 1999. Similarly, the Committee
expects that the congressional justifications for administrative
expenses and project management oversight activities to be at the same
level of detail as provided with the fiscal year 1999 congressional
justifications.
Grants management. --In 1992, the General Accounting Office
designated FTA's management and oversight of billions of dollars in
federal transit grants as a high-risk federal program that was
especially vulnerable to waste, fraud, abuse, and mismanagement. FTA has
taken several steps over the years to address the oversight weaknesses
that were responsible for its high-risk designation. In February 1995,
as a result of various initiatives undertaken by the FTA, the GAO
removed FTA from its high-risk list. In a follow-up report, however, the
GAO noted that though the FTA has increased its focus on grants
management oversight, there are still significant opportunities for
improvement. The Committee directs the agency: (1) to give more
attention to issuing reports on triennial reviews in a timely manner;
(2) to require grantees to meet the FTA's time frames for correcting
noncompliance findings and deficiencies identified by oversight reviews;
(3) to use more effectively an established information system intended
to track the resolution of findings; and (4) require that the data in
the system be updated by regional office staff. The Committee expects
the FTA to report to the House and Senate Committees by December 1, 1999
the steps taken to comply with these directives and milestones by which
progress can be assessed.
The Committee recommendation deletes funding for further development
of the electronic grants making and management system (-$240,000). The
Committee believes it is more imperative that funds for this activity be
available for more critical automation activities including Year 2000
conversion and the triennial review information system.
FORMULA GRANTS
Appropriation (general fund) Limitation on obligations (trust fund)
Appropriation, fiscal year 1998 $240,000,000 ($2,260,000,000)
Budget estimate, fiscal year 1999\1\
Recommended in the bill 570,000,000 (2,280,000,000)
xlBill compared to:
Appropriation, fiscal year 1998 +330,000,000 +20,000,000
Budget estimate, fiscal year 1999 +570,000,000 (+2,280,000,000)
\1\The budget request proposed to create a new program, formula programs, which was not incorporated in TEA21.
The accompanying bill provides a total of $2,850,000,000 for transit
formula grants. This level is $350,000,000 above the 1998 enacted level
of $2,500,000,000 and is guaranteed under the new transit category.
The recommended program level of $2,850,000,000 is comprised of an
appropriation of $570,000,000 from the general fund and $2,280,000,000
from limitations on obligations from the mass transit account of the
highway trust fund. Formula grants to states and local agencies funded
under this heading fall into four categories: urbanized area formula
grants (U.S.C. sec. 5307); clean fuels formula grants (U.S.C. sec.
5308); formula grants and loans for special needs of elderly individuals
and individuals with disabilities (U.S.C. sec. 5310); and formula grants
for other than urbanized areas (U.S.C. sec. 5311). In addition, set
asides of formula funds are directed to: a new grant program for
intercity bus operators to finance Americans with Disabilities Act (ADA)
accessibility costs; and the Alaska Railroad for improvements to its
passenger operations.
Within the total funding level of $2,850,000,000, the new statutory
distribution of formula grants is allocated among the following
activities:
Urbanized areas (U.S.C. 5307) $2,548,190,791
Clean fuels (sec. 5308) 50,000,000
Elderly and disabled (sec. 5310) 67,035,601
Non-urbanized areas (sec. 5311) 177,923,658
Rural transportation accessibility incentive program 2,000,000
Alaska railroad 4,849,950
Section 3007 of the TEA21 amends U.S.C. 5307, urbanized formula
grants by striking the authorization to utilize these funds for
operating costs, but includes a specific provision allowing the
Secretary to make operating grants to urbanized areas with a population
of less than 200,000. Generally, these grants may be used to fund
capital projects, and to finance planning and improvement costs of
equipment, facilities, and associated capital maintenance used in mass
transportation. All urbanized areas greater than 200,000 in population
are statutorily required to use one percent of their annual formula
grants on enhancements, which include landscaping, public art, bicycle
storage, and connections to parks.
Major project preliminary engineering and design (PE&D) activities.
--The accompanying bill provides appreciable increases in formula funds
allocated to transit authorities. These funds can be used, among other
activities, for preliminary engineering and design of new rail
extensions or busways. The Committee asserts that local project sponsors
of new rail extensions or busways should use these funds for preliminary
engineering and design activities rather than seek section 5309
discretionary set-asides. Moreover, the Committee expects the FTA, when
evaluating the local financial commitment of a given project, to
consider the extent to which the project's sponsors have used the
appreciable increases in the formula grants apportionments for
preliminary engineering and design activities of proposed new systems.
Clean fuels program. --TEA21 requires that $50,000,000 be set aside
from funds made available under the formula grants program to fund a new
clean fuels program. The clean fuels program is supplemented by an
additional set-aside from the major capital investment's bus program and
provides grants for the purchase or lease of clean fuel buses for
eligible recipients in areas that are not in compliance with air quality
attainment standards. The Committee has identified designated recipients
of these funds within the projects listed under the bus program
component of the capital investment grants account.
Los Angeles County Metropolitan Transportation Authority.-- Of the
$171,144,864 allocated to Los Angeles, California, the Committee expects
that $25,000,000 shall be made available for the purchase of new buses
to comply with the bus consent decree.
San Francisco, California and the Presidio. --Over the past several
years, the Congress has invested substantial resources to incorporate
the Presidio into the Golden Gate National Recreation Area. To that end,
and because of the benefits the Presidio provides to the local
community, the Committee expects that the city of San Francisco and the
municipal transportation authority will ensure that necessary and ample
public transportation services are available to the park, its visitors
and workers, and the surrounding community. The federal investment in
San Francisco's transportation projects is intended to serve the entire
local community, including transportation service to the Presidio.
The following table displays the state-by-state distribution of the
formula program funds within each of the program categories:
Offset Folios 129 to 136 Insert here
FORMULA PROGRAMS
(highway trust fund)
(Limitation on obligations) (Liquidation of contract authorization)
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999 $(3,709,235,000) $1,500,000,000
Recommended in the bill
xlBill compared to:
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999 (-3,709,235,000) -1,500,000,000
The budget proposed to consolidate all formula grant activities into
this account. The fixed guideway modernization formula program and the
buses and the bus facilities program, together with the existing formula
grants program, were proposed to be merged into this new account
structure. In addition, the administration proposed to create a new
program--access to jobs and training--which would provide funds for
grants to states, local agencies, and non-profit organizations for
transportation services to match the needs of welfare recipients to get
to jobs and training with the services available in the community. This
program was proposed as a set-aside from the formula programs account.
The proposal to create a new formula program was not incorporated in
TEA21.
UNIVERSITY TRANSPORTATION RESEARCH
Appropriation (general fund) Limitation on obligations (trust fund)
Appropriation, fiscal year 1998 $6,000,000
Budget estimate, fiscal year 1999\1\
Recommended in the bill 1,200,000 ($4,800,000)
xlBill compared to:
Appropriation, fiscal year 1998 -4,800,000 (+4,800,000)
Budget estimate, fiscal year 1999 +1,200,000 (+4,800,000)
\1\The budget included an appropriation request for this program within the amounts requested for transit planning and research.
The accompanying bill provides a total of $6,000,000 for university
transportation research. The recommendation is the same level as
provided in fiscal year 1998. This appropriation is guaranteed under the
new transit funding category.
The recommended program level of $6,000,000 is comprised of an
appropriation of $1,200,000 from the general fund and $4,800,000 from
limitations on obligations from the mass transit account of the highway
trust fund.
TRANSIT PLANNING AND RESEARCH
Appropriation (general fund) Limitation on obligations (trust fund)
Appropriation, fiscal year 1998 $92,000,000
Budget estimate, fiscal year 1999\1\ 91,900,000
Recommended in the bill 19,800,000 ($78,200,000)
xlBill compared to:
Appropriation, fiscal year 1998 -72,200,000 (+78,200,000)
Budget estimate, fiscal year 1999 -72,100,000 (+78,200,000)
\1\The budget requested that appropriations be derived from the highway trust fund.
The accompanying bill provides a total of $98,000,000 for transit
planning and research. The recommendation is $6,000,000 more than
provided in fiscal year 1998 and $6,100,000 more than the budget
request. This appropriation is guaranteed under the new transit funding
category.
The recommended program level of $98,000,000 is comprised of an
appropriation of $19,800,000 from the general fund and $78,200,000 from
limitations on obligations from the mass transit account of the highway
trust fund.
The bill contains language specifying that $43,841,600 shall be
available for metropolitan planning; $9,158,400 shall be available for
state planning and research; $27,500,000 shall be available for national
planning and research; $8,250,000 shall be available for transit
cooperative research; $4,000,000 shall be available for the National
Transit Institute; and $5,250,000 shall be available for rural
transportation assistance.
The Committee has deleted funding within the national program for
further development of the electronic grant management and making system
(-$200,000).
TEA21 earmarks the following projects within the funds provided for
the national program in fiscal year 1999:
North Orange-South Seminole County, Florida fixed guideway technology $750,000
Galveston, Texas fixed guideway activities 750,000
Washoe County, Nevada transit technology 1,250,000
MBTA, Massachusetts advanced electric transit buses and related infrastructure 1,500,000
Palm Springs, California fuel cell buses 1,000,000
Gloucester, Massachusetts intermodal technology center 1,500,000
SEPTA, Philadelphia, Pennsylvania advanced propulsion control system 2,000,000
Project ACTION 3,000,000
Support in fiscal year 1999 is provided for a number of important
initiatives including:
Advanced transportation and alternative fueled vehicle technology consortium (CALSTART) $3,000,000
Rural transportation assistance program 750,000
Safety programs 4,750,000
JOBLINKS 1,000,000
Fleet operations, including bus rapid transit 2,000,000
Zinc-air battery development 2,000,000
Northern tier community transportation, Massachusetts 500,000
Hennepin County Community works transportation, Minnesota 1,000,000
Seattle, Washington livable city 200,000
Fuel cell bus program. --The Committee directs that none of the
funds available under this heading shall be available to supplement
funding provided under section 3015(b) of TEA21 for the fuel cell bus
and bus facilities program. Further, funding provided for the fuel cell
bus program in this Act shall be available only for research and
development and directly related support facilities and equipment in
accordance with FTA policy and regulation.
Advanced transportation and alternative fueled vehicle technology
program (CALSTART).-- Of the amount provided for this activity, not less
than $500,000 shall be available to the Santa Barbara electric
transportation insitute to continue its initiatives regarding evaluation
of fast charging technologies and data acquisition systems.
TRUST FUND SHARE OF EXPENSES
(Highway Trust Fund)
(Liquidation of Contract Authorization)
Appropriation, fiscal year 1998 ($2,210,000,000)
Budget estimate, fiscal year 1999
Recommended in the bill (2,446,200,000)
xlBill compared to:
Appropriation, fiscal year 1998 (+236,200,000)
Budget estimate, fiscal year 1999 (+2,446,200,000)
For fiscal year 1999, the Committee has provided $2,446,200,000 for
liquidation of contract authorization. The increase over last year is
necessary to pay outstanding obligations of the various transit programs
at the levels assumed in TEA21. This appropriation is mandatory and has
no scoring effect.
CAPITAL INVESTMENT GRANTS
Appropriation (general fund) Limitation on obligations (trust fund)
Appropriation, fiscal year 1998 ($2,000,000,000)
Budget estimate, fiscal year 1999 (876,114,857)
Recommended in the bill $451,400,000 (1,805,600,000)
xlBill compared to:
Appropriation, fiscal year 1998 +451,400,000 (-194,400,000)
Budget estimate, fiscal year 1999 +451,400,000 (+929,485,143)
The accompanying bill provides a total of $2,257,000,000 to be
available for capital investment grants, formerly referred to as
discretionary grants. The recommendation is $257,000,000 more than
provided in fiscal year 1998 and $1,330,885,143 more than the budget
request, which requested funds under this program heading only for new
starts. This appropriation is guaranteed under the new transit category.
The recommended program level of $2,257,000,000 is comprised of an
appropriation of $451,400,000 from the general fund and $1,805,600,000
from limitations on obligations from the mass transit account of the
highway trust fund.
Funds provided for capital investment grants shall be distributed as
follows:
1998 enacted 1999 request Recommended in the bill
Fixed guideway modernization $800,000,000 (\1\) $902,800,000
New starts 800,000,000 $876,114,857 902,800,000
Bus and bus facilities 400,000,000 (\1\) 451,400,000
------------------ ---------------- -------------------------
\1\The Administration proposed to merge the bus and bus facilities and fixed guideway modernization programs into a new formula grants program and create a new major capital investment program. The 1998 budget request is shown here for comparability purposes.
Three-year availability of section 5309 funds. --The Committee has
included bill language that permits the administrator to reallocate
discretionary new start and buses and bus facilities funds from projects
which remain unobligated after three years. Funds made available in the
fiscal year 1996 Department of Transportation and Related Agencies
Appropriations Act and previous Acts are available for reallocation in
fiscal year 1999 as availability for these discretionary projects is
limited to three years. The Committee directs the FTA to reprogram funds
from recoveries and previous appropriations that remain available after
three years and are available for reallocation to only those section 3
new starts that have full funding grant agreements in place on the date
of enactment of this Act, and with respect to bus and bus facilities,
only to those bus and bus facilities projects identified in the fiscal
year 1999 accompanying reports of the fiscal year 1999 Department of
Transportation and Related Agencies Appropriations Act. The FTA shall
notify the House and Senate Committees on Appropriations 15 days prior
to any such reallocation.
The Committee, however, directs the FTA not to reallocate funds
provided in fiscal year 1995 or 1996 for the Whitehall ferry terminal,
or funds provided in fiscal year 1996 for the Memphis, Tennessee medical
extension project, the Burlington, Vermont commuter rail project, the
Burlington-Gloucester commuter rail project or the New Orleans Canal
Street corridor project. The FTA informs the Committee that these funds
are likely to be awarded in the fourth quarter of fiscal year 1998 or
soon thereafter.
BUSES AND BUS FACILITIES
The accompanying bill provides $451,400,000 for bus purchases and bus
facilities, including maintenance garages and intermodal facilities. Bus
systems are expected to play a vital role in the mass transportation
systems of virtually all cities. FTA estimates that 95 percent of the
areas that provide mass transit service do so through bus transit only
and over 60 percent of all transit passenger trips are provided by bus.
TEA21 requires that funding of $100,000,000 be made available for a
new clean fuels grant program. This funding is derived from $50,000,000
from the formula grants account and $50,000,000 from funds allocated for
buses under this account. Designated recipients of the clean fuels grant
program--funding for which is derived in part from the formula grants
program--are identified in the lists below (to the extent funding is
allocated for the purchase of eligible alternative-fuel vehicles,
related facilities and other eligible activities).
TEA21 requires that the funds provided for buses and bus facilities
be allocated as follows:
Project
Amount
Fuel cell bus and bus facilities program (section 3015(b)) $4,850,000
State of Alabama:
1,250,000
500,000
1,000,000
State of Arkansas:
200,000
500,000
560,000
300,000
State of California:
1,250,000
625,000
1,000,000
1,000,000
1,250,000
1,000,000
1,250,000
500,000
625,000
625,000
650,000
1,250,000
1,250,000
1,250,000
625,000
300,000
750,000
750,000
325,000
State of Colorado:
625,000
1,250,000
State of Connecticut:
800,000
2,250,000
2,250,000
2,250,000
District of Columbia:
2,500,000
State of Florida
1,000,000
2,500,000
1,250,000
750,000
2,250,000
2,500,000
State of Georgia:
9,000,000
State of Hawaii:
2,250,000
State of Iowa:
885,000
1,000,000
State of Illinois:
6,800,000
State of Indiana:
1,250,000
5,000,000
1,250,000
Commonwealth of Massachusetts:
250,000
1,250,000
2,500,000
State of Maryland:
7,000,000
State of Michigan:
600,000
10,000,000
State of Minnesota:
1,000,000
500,000
500,000
6,000,000
State of Missouri:
1,250,000
State of North Carolina:
3,340,000
1,500,000
321,000
State of New Jersey:
1,750,000
1,250,000
1,250,000
State of New Mexico:
1,250,000
State of Nevada:
2,250,000
State of New York:
1,250,000
225,000
800,000
2,000,000
1,000,000
521,000
100,000
1,250,000
1,250,000
1,250,000
1,750,000
1,000,000
125,000
400,000
100,000
125,000
125,000
100,000
100,000
2,100,000
500,000
979,000
1,000,000
1,250,000
State of Ohio:
625,000
625,000
State of Oklahoma:
5,000,000
State of Oregon:
4,400,000
1,750,000
Commonwealth of Pennsylvania:
3,000,000
842,000
80,000
424,000
800,000
150,000
1,000,000
575,000
1,250,000
300,000
1,000,000
1,000,000
500,000
1,000,000
1,270,000
600,000
750,000
1,000,000
5,000,000
1,250,000
750,000
1,750,000
1,000,000
1,500,000
175,000
1,500,000
630,000
200,000
1,250,000
1,200,000
Commonwealth of Puerto Rico:
600,000
State of Rhode Island:
2,250,000
State of South Carolina:
1,220,000
State of South Dakota:
1,500,000
State of Texas:
1,250,000
4,000,000
State of Utah:
800,000
1,500,000
6,500,000
Commonwealth of Virginia:
1,000,000
1,100,000
1,250,000
200,000
200,000
200,000
State of Washington:
1,950,000
600,000
1,750,000
1,250,000
State of Wisconsin:
4,000,000
8,000,000
State of West Virginia:
8,000,000
5,000,000
In addition, federal support is provided for the following projects:
Project
Amount
State of Alabama:
$1,000,000
725,000
725,000
10,000,000
State of Arizona:
1,000,000
4,000,000
8,000,000
State of California:
199,885
950,000
1,000,000
200,000
5,000,000
500,000
1,625,000
6,000,000
1,000,000
5,000,000
3,500,000
1,000,000
1,334,115
2,000,000
2,000,000
1,000,000
1,500,000
2,000,000
1,000,000
2,400,000
State of Colorado:
171,000
2,000,000
State of Delaware:
2,000,000
State of Florida:
5,000,000
1,000,000
2,000,000
1,000,000
1,000,000
1,000,000
2,500,000
State of Georgia:
5,000,000
State of Illinois:
2,500,000
State of Indiana:
200,000
State of Iowa:
2,500,000
State of Kentucky:
5,000,000
4,000,000
200,000
State of Louisiana:
19,000,000
Commonwealth of Massachusetts:
3,128,000
9,200,000
4,000,000
State of Minnesota:
19,000,000
State of Missouri:
1,000,000
State of North Carolina:
10,000,000
1,900,000
State of New Mexico:
3,000,000
State of Nevada:
2,750,000
State of New York:
1,000,000
4,000,000
1,000,000
State of Ohio:
19,000,000
200,000
State of Oregon:
1,000,000
400,000
Commonwealth of Pennsylvania:
1,000,000
220,000
State of South Carolina:
1,000,000
State of South Dakota:
1,000,000
State of Tennessee:
3,000,000
State of Texas:
1,000,000
1,500,000
2,500,000
1,000,000
Commonwealth of Virginia:
18,000,000
State of Washington:
16,000,000
1,000,000
1,000,000
1,000,000
1,000,000
2,000,000
3,500,000
1,000,000
State of Wisconsin:
7,000,000
Crossroads station, Buffalo, New York. --The Committee directs that
funds provided in the fiscal year 1996 Department of Transportation and
Related Agencies Appropriations Act for Crossroads Station in Buffalo,
New York not be reallocated.
Galveston, Texas. --The Committee directs that $2,000,000 provided
in the fiscal year 1998 Department of Transportation and Related
Agencies Appropriations Act for alternatively fueled vehicles for
Galveston, Texas shall also be made available for an alternative fueling
station, downtown multimodal transportation terminal and eligible costs
of contracting out to private sector transportation providers.
Honolulu, Hawaii. --The Committee directs that $3,970,000 provided
in the fiscal year 1996 Department of Transportation and Related
Agencies Appropriations Act for the Kaukini medical center parking
facility be reprogrammed for Honolulu buses and bus facilities.
Lackawanna County, Pennsylvania. --Funds provided in the fiscal year
1998 Department of Transportation and Related Agencies Act for
Lackawanna County paratransit vans shall be available for an intermodal
bus facility in Lackawanna County, Pennsylvania.
Nashville, Tennessee. --Funds provided in the fiscal year 1996
Department of Transportation and Related Agencies Appropriations Act for
electric buses in Nashville, Tennessee shall be available to the state
of Tennessee for alternate fueled buses and bus facilities.
Saint Bernard Parish, Louisiana. --The Committee directs that funds
provided in the fiscal year 1997 Department of Transportation and
Related Agencies Appropriations Act for an intermodal facility in Saint
Bernard Parish, Louisiana be available for buses and bus facilities.
State of Colorado. --The Committee has provided $2,000,000 to the
state of Colorado for buses and bus-related facilities. Within the funds
provided, $1,000,000 shall be made available to Colorado Springs.
State of Tennessee. --Of the funds allocated to the state of
Tennessee, $1,000,000 shall be for the city of Chattanooga for
alternatively fueled buses.
State of Wisconsin. --The Committee recommendation includes
$7,000,000 for the state of Wisconsin to be distributed as follows:
$3,050,000 for Appleton, Green Bay, Shawano, Menominee Tribe, and Oneida
Tribe; $1,600,000 for La Crosse, Onalaska, Prairie Du Chien, Rice Lake,
Viroqua and Ho Chunk Nation; and $350,000 for Ashland, Chippewa Falls,
Eau Claire, Ladysmith, Marshfield, Rhinelander, Rusk County, Stevens
Point, Wausau and Wisconsin Rapids; $1,000,000 for Milwaukee intermodal
facility rehabilitation; and $1,000,000 for the Waukesha transit center.
FIXED GUIDEWAY MODERNIZATION
The accompanying bill provides $902,800,000 from the capital
investment grants program to modernize existing rail transit systems.
These funds are to be distributed, consistent with the provisions of
TEA21, as follows:
SECTION 5309 FIXED GUIDEWAY MODERNIZATION APPORTIONMENTS
State FY 1998 FY 1999 Change from FY 1998
Arizona $887,899 $1,240,236 +$352,337
California 72,836,728 83,594,745 +10,758,017
Colorado 869,435 1,132,463 +263,028
Connecticut 32,975,909 34,548,995 +1,573,086
Delaware 420,810 661,223 +240,413
District of Columbia 22,127,637 28,912,935 +6,785,298
Florida 7,057,834 11,206,655 +4,148,821
Georgia 9,555,673 15,834,034 +6,278,361
Hawaii 337,024 498,050 +161,026
Illinois 100,666,023 108,868,175 +8,202,152
Indiana 6,756,902 7,307,446 +550,544
Louisiana 2,181,084 2,648,872 +467,788
Maryland 16,936,445 21,397,326 +4,460,881
Massachusetts 54,563,411 59,250,813 +4,687,402
Michigan 190,384 361,728 +171,344
Minnesota 2,025,018 2,694,403 +669,385
Missouri 1,395,477 1,695,212 +299,735
New Jersey 75,300,227 81,197,462 +5,897,236
New York 272,525,983 300,062,837 +27,536,854
Ohio 13,446,302 14,775,328 +1,329,026
Oregon 1,462,315 2,483,658 +1,021,343
Pennsylvania 88,526,900 94,063,790 +5,536,889
Puerto Rico 812,274 1,468,302 +656,028
Rhode Island 1,173,919 1,833,110 +659,191
Tennessee 36,803 47,600 +10,797
Texas 3,182,516 4,607,963 +1,425,447
Virginia 464,097 504,285 +40,188
Washington 8,374,586 12,613,895 +4,239,309
Wisconsin 322,940 517,458 +194,518
-------------- -------------- ---------------------
Subtotal 797,412,555 896,029,000 +98,616,445
Oversight 2,587,445 6,771,000 +4,183,555
-------------- -------------- ---------------------
Total Authority 800,000,000 902,800,000 +102,800,000
New Starts
The accompanying bill provides $902,800,000 of new authority for new
starts. These funds are available for preliminary engineering,
right-of-way acquisition, project management, oversight, and
construction of new systems and extensions. TEA21 requires that no more
than eight percent of the funding provided for new starts be available
for preliminary engineering and design activities. The funds are to be
distributed as follows:
Project
Amount
Alaska or Hawaii ferry projects $10,400,000
Atlanta North Springs project 52,110,000
Austin Capital metro project 1,000,000
Canton-Akron-Cleveland commuter rail project 3,000,000
Charlotte, North Carolina North-South corridor transitway project 2,000,000
Chicago Metra commuter rail extensions and upgrades 4,000,000
Chicago Transit Authority Ravenswood line project 2,000,000
Clark County, Nevada fixed guideway project 4,000,000
Cleveland Berea Red Line extension to the Hopkins International Airport 1,000,000
Cleveland Euclid corridor improvement project 2,000,000
Dallas-Fort Worth RAILTRAN project 10,698,000
DART North Central light rail extension project 8,000,000
Dayton, Ohio light rail study 1,000,000
Denver Southwest Corridor project 40,000,000
Dulles corridor project 17,000,000
Fort Lauderdale, Florida Tri-County commuter rail project 4,000,000
Harrisburg, Pennsylvania capital area transit/corridor one project 500,000
Houston advanced transit program 2,000,000
Houston Regional Bus project 59,670,000
Johnson City, Kansas I 35 commuter rail project 1,000,000
Knoxville, Tennessee electric transit project 1,500,000
Los Angeles MOS 3 project 46,000,000
MARC commuter rail project 17,041,000
Maryland Route 5 corridor project 1,500,000
Memphis, Tennessee Medical Center rail extension project 2,200,000
Miami Metro-Dade Transit east-west corridor project 3,000,000
Miami Metro-Dade North 27th Avenue corridor project 1,000,000
Mission Valley East light rail transit project 2,000,000
Nashville, Tennessee regional commuter rail project 500,000
New Jersey urban core Hudson-Bergen LRT project 70,000,000
New Orleans Canal Street corridor project 43,000,000
New Orleans Desire Streetcar project 2,000,000
Norfolk-Virginia Beach regional rail project 2,000,000
Northern Indiana South Shore commuter rail project 2,000,000
Oceanside-Escondido light rail project 5,500,000
Orange County, California transitway project 4,000,000
Orlando Lynx light rail project 17,500,000
Philadelphia-Reading SEPTA Schuykill Valley Metro project 2,000,000
Philadelphia SEPTA Cross County Metro project 1,000,000
Phoenix metropolitan area transit project 8,000,000
Pittsburgh Allegheny County busway and light rail projects 3,000,000
Portland-Westside/Hillsboro and South-North light rail projects 25,718,000
Puget Sound RTA Link light rail project 1,000,000
Puget Sound RTA Sounder commuter rail project 19,500,000
Raleigh-Durham-Chapel Hill Triangle Transit project 8,000,000
Sacramento south corridor LRT project 23,480,000
Salt Lake City South LRT project 70,000,000
Salt Lake City/Airport to University (West-East) light rail project 3,000,000
San Bernardino Metrolink extension project 2,000,000
San Diego Mid-Coast corridor project 3,000,000
San Francisco BART extension to the airport project 74,000,000
San Jacinto-Branch Line (Riverside County) project 500,000
San Jose Tasman LRT project 35,000,000
San Juan Tren Urbano 60,000,000
South Boston Piers MOS 2 project 53,983,000
South Dekalb-Lindbergh corridor LRT project 1,000,000
Spokane, Washington light rail project 1,000,000
St Louis-St. Clair LRT extension project 35,000,000
Tampa Bay regional rail project 500,000
Twin Cities transitways project 22,000,000
Virginia Rail Express Fredericksburg to Washington commuter rail project 2,000,000
West Trenton, New Jersey rail project 1,000,000
Whitehall ferry terminal project 1,000,000
Project Descriptions
Alaska or Hawaii ferry projects. --The Committee recommends
$10,400,000 for Alaska or Hawaii ferry projects. Section 3009 of TEA21
authorizes $10,400,000 of new starts funds to be made available each
year for capital ferry projects in Alaska and Hawaii. Eligible purposes
include new fixed guideway systems such as ferryboats, extensions to
existing systems, ferry terminal facilities, and approaches to ferry
terminal facilities.
Atlanta North Springs project. --The Committee recommends
$52,110,000 for the Atlanta North Springs project. This 1.9-mile,
two-station extension from the Dunwoody Station to North Springs is part
of the larger 9-mile, five-station North Line extension to the MARTA
heavy rail rapid transit system. The segment from Buckhead to Dunwoody
opened in June 1996. The North Line extension will serve the rapidly
growing area north of Atlanta, and will connect this area with the rest
of the region by providing better transit service for both commuters and
inner-city residents. The local share commitment for the federally
funded portion of this extension is 20 percent. The cost-effectiveness
index is $5 per new passenger trip. FTA has determined that the grantee
has the financial capacity to build and operate this project. An FFGA
for the Dunwoody to North Springs segment was issued in December 1994
which fulfilled the requirements of section 3035(tt) of ISTEA. The FFGA
provides for $305,010,400 in section 5309 funds. The current cost
estimate for the project totals $487,700,000. The sum of $208,146,866
has been made available in appropriated funds through fiscal year 1998.
This includes $28,370,000 in prior-year deobligated funds.
Austin Capital Metro. --The Committee recommends $1,000,000 for
Austin Capitol Metro for preliminary engineering for the proposed light
rail project in north Austin, Texas, to serve the central business
district, the State capitol, and the rapidly growing population and
employment centers of the city. Capital Metro and the Texas Department
of Transportation have recently completed a major investment study in
March 1997 which identifies a 30-mile LRT as the locally preferred
alternative. The initial cost estimate totals $182,300,000.
Canton-Akron-Cleveland commuter rail project.-- The Northeast Ohio
Areawide Coordinating Agency, the local metropolitan planning
organization (MPO), is conducting a major investment study (MIS) to
examine the feasibility of establishing commuter rail service to link
the areas within the Northeast Corridor of the Canton-Akron-Cleveland
(CAC) areas. In anticipation of future transportation needs in the CAC
corridor, Akron Metro Regional Transit Authority has acquired several
parcels of abandoned rail right of way in the region. The study will
consider the existing and proposed land use patterns and impacts,
preliminary ridership estimates, preliminary cost estimates, assessment
of economic and environmental implications, and analysis of several
commuter rail alternatives. Through fiscal year 1998, Congress has
appropriated $2.8 million for this effort. For fiscal year 1999, the
Committee recommends $3,000,000.
Charlotte, North Carolina, north-south corridor transitway project.
--The Committee recommends $2,000,000 for the Charlotte, North Carolina,
north-south corridor transitway project. The city of Charlotte, in
cooperation with the North Carolina Department of transportation, is
conducting an MIS to explore the feasibility of constructing a buy-only
rapid transit system with the Charlotte-Mecklenburg County area. The
South Corridor Transitway extends 13.5 miles from the Uptown Charlotte
Transportation Center to Interstate 485 near Pineville, NC. The total
estimated cost for the transitway is $250,000,000. The corridor is
included in the Mecklenburg-Union Metropolitan Planning Organization's
2015 long-range plan. Through fiscal year 1998, Congress has
appropriated $1,000,000 for this effort.
Chicago Metra extensions and upgrades. --The Committee recommends
$4,000,000 for three Chicago Metra extensions and upgrades: (1) double
tracking the north-central corridor line, which was inaugurated in
August 1998 and has already exceeded ridership projections. The line
runs along Wisconsin Central Railroad line from Antioch and Franklin
Park to downtown Chicago; (2) extending the southwest corridor, which
runs on Norfolk Southern Railroad line from Orland Park to Chicago's
Southwest Side; and extending the system's service westward into Kane
County, a rapidly growing suburban area with high employment growth,
Metra is the country's second largest commuter rail serving a population
base of over 7,500,000.
Chicago Transit Authority (CTA) Ravenswood line. --The Committee
recommends $2,000,000 for capacity expansion of the Chicago Ravenswood
light rail system. The Ravenswood line carries approximately 105,000
people daily. The area is experiencing rapid growth in ridership, and
increased capacity is required to handle this growth. The funds provided
will allow CTA to complete the major investment study and related
environmental reviews for the capacity expansion project. CTA plans to
lengthen existing platforms in order to accommodate trainsets of eight
cars in length.
Clark County, Nevada, fixed guideway. --The Committee recommends
$4,000,000 for preliminary engineering and design for a proposed fixed
guideway system in the Las Vegas, NV, resort corridor. There are two
major components to the proposed fixed guideway system: a 18.4-mile core
system running south from Cashman Field to the Stratosphere Tower, then
branching out along Sahara Avenue and paralleling Las Vegas Boulevard
south behind the valley's resorts. In addition, an extension to McCarran
International Airport is planned. The regional transportation commission
has requested FTA approval to enter preliminary engineering for phase I
of the Las Vegas corridor. The initial cost estimate for this project is
between $2,100,000,000 and $2,300,000,000. The local financial
commitment for this project is 55 percent. Through fiscal year 1998,
Congress has made available $4,983,828 in appropriated funds for this
project.
Cleveland Berea Red Line extension to the Hopkins International
Airport. --The Committee recommends $1,000,000 for a major investment
study to determine transportation options to provide a direct link
between downtown Cleveland, Hopkins International Airport, the
International Exposition Center, and Baldwin Wallace College. The
proposed Berea Rapid Transit extension, approximately 3 miles from the
Greater Cleveland Regional Transit Authority's airport station, is
directly aligned with the local transit operator's red line rapid rail
system. The MIS is also considering adequate walkup access and
park-and-ride facilities to encourage greater use of the red line light
rail transit system.
Cleveland Euclid corridor improvement project. --The Committee
recommends $2,000,000 for design and construction costs of the Greater
Cleveland Regional Transit Authority's 5.6-mile downtown corridor,
incorporating executive bus lanes and related capital improvements on
Euclid Avenue from Public Square in downtown Cleveland east to
University Circle. The proposed project is known as the Euclid corridor
improvement project [ECIP]. In addition, five stations along the
existing red line will be relocated in order to spur economic
development and improve access between the stations, surrounding
neighborhoods, and employment centers. In November 1995, the GCRTA Board
of Trustees selected the ECIP as the locally preferred alternative. The
total capital cost estimate for the ECIP is $332,500,000. Through fiscal
year 1998, Congress has appropriated $8,740,000.
Dallas-Fort Worth RAILTRAN project.-- The Committee recommends
$10,698,000 for the Fort Worth Railtran commuter rail and intermodal
transportation center project, which will provide a much needed commuter
rail link between Fort Worth and Dallas. Service between Dallas and
Arlington has already been initiated. These funds will allow Fort
Worth's connection to this service beginning in 2000, and complete the
Federal share of funding for the Railtran commuter rail project. Federal
funds are matched with 70 percent local and State participation.
DART north-central light rail extension project. --The Committee
recommends $8,000,000 for the Dallas-DART north-central light rail
extension project. This project is a 12.3-mile, eight-station,
$513,000,000 LRT extension to Plano. The southern 7.3 miles from Park
Lane to Richardson Transit Center, would be double tracked. The northern
5 miles will be double tracked as well. Dallas area rapid transit has
completed a major investment study and the preferred alternative was
selected in September 1994. The project is now in final design. The
local share commitment to this project is 35 percent. Through fiscal
year 1998, Congress has made available $27,332,867 in appropriated funds
for this project.
Dayton, Ohio light rail study.-- The Committee recommendation
includes an appropriation of $1,000,000 for a light rail feasibility
study in Dayton, Ohio. No previous appropriations have been provided.
Denver southwest corridor project. --The Committee recommends
$40,000,000 for the Denver southwest corridor light rail transit (LRT)
project. The total FFGA amount for the 8.7-mile LRT extension is
$120,000,000. The extension will connect with the existing Denver
central corridor light rail line from the I 25/Broadway interchange, and
run over an exclusive, grade-separated right-of-way paralleling Santa Fe
Drive, to Mineral Avenue in Littleton. This project is currently in the
final design. Through fiscal year 1998, Congress has made available
$24,415,144 in appropriated funds for this project. An additional
$1,341,506 was made available from reprogrammed funds.
Dulles corridor, Virginia.-- The Virginia Department of Rail and
Public Transportation has completed a major investment study (MIS) which
evaluated several transportation options in the Dulles Corridor. The
corridor extends from the West Falls Church Metrorail station to the
Dulles International Airport and continues into Loudon County. There is
a significant level of existing local and express bus service in the
corridor. The MIS for the Dulles Corridor was completed in June 1997.
The Committee has provided $17,000,000 for fiscal year 1999.
Fort Lauderdale, Florida Tri-County commuter rail project. --The
Committee recommends $4,000,000 for the Tri-County commuter rail
project. The Tri-County Commuter Rail Authority (Tri-Rail) operates a
71-mile commuter rail system connecting Dade, Broward, and Palm Beach
Counties. Tri-Rail's short-range program includes the addition of a
second track and rehabilitation of the signal system. These improvements
will reduce conflicts with Amtrak and CSX freight trains. The project is
in the final design state. The local share commitment to this project is
39 percent. The estimated total capital cost of the project is
$573,100,000. To date, Congress has appropriated $51,281,075 in section
5309 funds for Tri-Rail improvements.
Harrisburg, Pennsylvania, capital area transit/corridor one. --The
Committee recommends $500,000 for final design and preliminary
engineering costs associated with the development of a regional light
rail system in the Harrisburg, PA, metropolitan area in a corridor which
would ultimately link Lancaster to Carlisle via Harrisburg. The total
cost is estimated at $56,000,000 and would consist of an initial 12-mile
segment from Harrisburg Transportation Center to the Navy's
Mechanicsburg, PA, installation.
Houston advanced transit program. --The Metropolitan Transit
Authority of Harris County (Houston METRO) will initiate major
investment studies (MIS) on various elements of the advanced transit
program (ATP), previously the advanced regional bus plan. This program
has been incorporated in the region's metropolitan transportation plan.
The first study is the west loop major investment study METRO is
scheduled to begin this MIS of the west loop corridor during fiscal year
1998. The Interstate IH 610 Corridor examined in the MIS will be from
the Interstate (IH 10) Interchange on the north (with connections to the
Katy High Occupancy Vehicle Lane and Northwest Transit Center) to the
vicinity of Westpark Drive to the south. it is anticipated that this MIS
will take from six to nine months to complete. METRO will be working
closely with the Texas Department of Transportation (TxDOT) to ensure
that any recommendation from the west loop MIS will be compatible with
their transportation systems management (TSM) improvements in the west
loop. METRO is scheduled to begin an MIS of the Westpark Corridor in
latter part of fiscal year 1998. The corridor examined in this MIS will
be from the Hillcroft Transit Center to the vicinity of Shepherd. Other
elements of the Houston advanced transit program include the proposed
expansion of the Northwest Station Park and Ride facilities and a major
investment analysis of alternative transportation infrastructure in the
city of Houston. Through fiscal year 1998, Congress has appropriated
$1,000,000 for the advanced transit program. For fiscal year 1999, the
Committee recommends $2,000,000.
Houston regional bus project. --The Committee recommends $59,670,000
for the Houston regional bus project. The estimated total for the
project is $625,000,000. The plan, developed by Houston METRO, consists
of a package of major improvements to the region's existing bus system.
It includes major service expansions in most of the region, new and
extended HOV (high-occupancy vehicle) facilities and ramps, several
transit centers and park-and-ride lots, and supporting facilities. The
individual elements of the plan are in various stages of development,
from preliminary engineering to construction. An FFGA was issued for
this project on December 30, 1994, which fulfilled the requirements of
section 3035(uu) of ISTEA. A total of $378,257,998 has been made
available from appropriated funds for this project through fiscal year
1998.
Johnson County, Kansas, I 35 commuter rail project. --The Committee
recommends $1,000,000 for planning and design of a commuter rail project
along the railroad tracks that parallel Interstate 35, extending from
Johnson County into downtown Kansas City. I 35 cannot be widened and
proactive Kansas local governments, along with the support of business
groups, have identified commuter rail as the preferred option to avoid
traffic gridlock. No previous appropriations have been provided to this
project.
Knoxville, Tennessee electric transit project. --The Committee
recommends $1,500,000 for the Knoxville, Tennessee electric transit
project. This project is expected to provide a dedicated electric
trolley route around the periphery of the downtown area with stops at
entertainment venues and parking areas. No previous appropriations have
been provided for this project.
Laurel rail line project, Lackawanna County, Pennsylvania. --The
Committee has included bill language making available $500,000 for the
Laurel Rail Line project in Lackawanna County, Pennsylvania from funds
previously appropriated in fiscal year 1998 for the Pennsylvania
Strawberry Hill/Diamond Branch rail project.
Los Angeles, MOS 3 project. --The 23-mile, $5,700,000,000 Metro Red
Line rail project is planned as ``minimum operable segments'' (MOSs) for
funding purposes. ISTEA defined MOS 3 to include three Metro Rail
extensions including the North Hollywood extension, the East Side
extension, and the Mid-City extension. TEA21 subsequently broadened the
range of options in the corridors. A full funding grant agreement has
been signed, committing $1,416,490,000 in funding. To date, Congress has
appropriated $571,727,000, including $61,500,000 in fiscal year 1998.
The Committee recommendation provides a total of $70,000,000 for
fiscal year 1999. This amount includes: (1) $38,000,000 in new
appropriations provided in this Act for construction of North Hollywood;
(2) $24,000,000 that had been allocated for the East Side in the fiscal
year 1998 Department of Transportation and Related Agencies
Appropriations Act to be available for North Hollywood construction in
fiscal year 1999; and (3) $8,000,000 in new appropriations for continued
development of transportation alternatives in the East Side and Mid-City
corridor.
In fiscal year 1998, the Committee directed that the funds
appropriated in that year shall be available only after (1) the LACMTA
produces a financially constrained rail recovery plan which complies
with the consent decree for enhanced bus service; (2) the FTA conducts a
final review and accepts the plans and certifies to the House and Senate
Committees on Appropriations that the fiscal management of the project
meets or exceeds accepted US government standards; (3) the General
Accounting Office and the department's Inspector General conduct an
independent analysis of the plans and provide such analysis to the House
and Senate Committees on Appropriations; (4) the House and Senate
Committees on Appropriations have concluded their review of the analysis
within sixty days of the transmittal of the analysis to the Committees;
and (5) after the FTA has re-negotiated parts 1A and 1B of the MOS 3
full funding grant agreement.
The LACMTA submitted its financially constrained recovery plan to the
FTA on May 15, 1998, and the FTA, the GAO and the IG have provided
informally their comments and observations on the recovery plan to the
Committee. While the plan does not meet fully the requirements set
forward in the conference agreement accompanying the fiscal year 1998
Department of Transportation and Related Agencies Appropriations Act,
the Committee acknowledges that the LACMTA has made significant progress
over the last several months and has promulgated a recovery plan that
indicates that the transit authority can complete construction of the
North Hollywood segment on schedule and near budget with funds that can
be reasonably anticipated to be available to the LACMTA. The Committee
notes that the recovery plan does not address heavy rail construction
planned for the East Side and Mid-City corridors as included in the full
funding grant agreement, and that, by allocating funds to North
Hollywood construction, operating deficits have not been addressed.
With these preliminary findings, the Committee directs that the FTA
release the $37,500,000 provided in the fiscal year 1998 Department of
Transportation and Related Agencies Appropriations Act for continuing
construction of the North Hollywood segment. For fiscal year 1999, the
Committee provides new appropriations of $38,000,000 for the North
Hollywood segment, together with the $24,000,000 provided in the fiscal
year 1998 Department of Transportation and Related Agencies
Appropriations Act. In total, $62,000,000 shall be available for North
Hollywood construction in fiscal year 1999. This level is consistent
with the levels assumed for fiscal year 1999 in the full funding grant
agreement for North Hollywood.
The Committee has provided $8,000,000 for further design, review and
development of transportation alternatives in the East Side and Mid-City
corridors. These funds shall not be available for construction of heavy
rail subway envisioned in parts 1B and 1C of the full funding grant
agreement.
The Committee is pleased with the new leadership at the LACMTA and is
encouraged by the actions taken by the Board over the last several
months. It is clear that the LACMTA is trying to address severe
financial difficulties that have impacted its rail and bus programs,
which are heavily supported by federal funds. While the LACMTA is making
steady progress, it still faces serious potential capital and operating
shortfalls that may impact its ability to meet the consent decree and
maintain the current level of service at existing fares. To obtain
information that will aid the Committee as it considers future federal
support for Los Angeles transportation programs, the Committee directs
the LACMTA to provide the FTA, the department's Inspector General, the
General Accounting Office, and the House and Senate Committees on
Appropriations a finance plan by February 1, 1999, and each year
thereafter. The plan shall identify (1) the status, cost, and funding
sources for completing the North Hollywood extension of the Red Line
subway project; (2) the status, cost, and funding sources of current and
planned activities (e.g., bus purchases) designed to comply with the bus
consent decree; (3) the cost and funding sources for operating
activities; and (4) the cost, schedule, and funding sources for projects
planned to address the transportation needs of those areas where planned
rail extensions have been suspended (e.g., Pasadena, East Side and
Mid-City). The Committee expects that the plan will also identify all
potential short- and long-term rail, bus, and highway program funding
shortfalls, as well as potential strategies and sources of funding for
addressing these shortfalls.
The Committee further expects that of the non-federal funding
available to the LACMTA, capital obligations necessary to complete the
construction of North Hollywood and to comply with the bus consent
decree shall be met first before any other financial obligations for
capital investments. The Committee further expects that the business
action plans identified in 1998 and 1999 to balance the LACMTA's budget
in those years shall be implemented and not be supplanted by funding
provided by this Act.
Maryland commuter rail [MARC].-- The Committee recommends
$17,041,000 for the MARC commuter rail project. Planned system
extensions would provide service to Washington, DC, from Frederick, MD.
The extension of MARC service to Frederick consists of a 13.5-mile line
which will operate on existing CSX transportation rail right-of-way. The
MARC program also includes new equipment and station improvements. The
local share commitment to this project is 20 percent. FTA has determined
that the grantee has the financial capacity to build and operate the
Frederick project, the new equipment, and make station improvements. An
FFGA was issued for the Frederick extension and capital improvement
projects in June 1995 for $105,251,373. To date, Congress has made
available $87,633,965 in appropriated funds for this project as well as
an additional $33,250,000 not included in the FFGA.
Maryland Route 5 corridor project. --The Committee recommendation
includes $1,500,000 for preliminary engineering and design for the
Maryland Route 5 corridor project. Maryland's Route 5 is one of the
major routes from Washington, D.C. to Waldorf, Maryland and other
southern points. No previous appropriations have been provided for this
project.
Memphis, TN, medical center rail project. --The Committee recommends
$2,200,000 for the Memphis Medical Center rail extension project. The
Memphis Area Transit Authority [MATA] currently operates the 2.2-mile
Main Street trolley, a vintage rail trolley line in downtown Memphis.
The Main Street trolley extension via the Riverfront loop was opened for
service in October 1997. This line serves existing and proposed
developments along the Mississippi River and connects with the Main
Street trolley, Central Station, and North End terminal. The funds
provided for the rail connection to the medical center will complete the
downtown rail circulation system. Through fiscal year 1998, Congress has
made available $5,745,788 in appropriated funds for the Memphis regional
rail plan.
Miami Metro-Dade Transit east-west corridor. --The Committee
recommends $3,000,000 for the proposed heavy rail line linking the
suburban area southwest of Florida International University to Miami
International Airport [MIA], downtown Miami, and the Port of Miami
seaport. The locally preferred alternative includes an 11.2-mile minimum
operable segment of heavy rail running from the Palmetto Expressway to
the Port of Miami, with a spur from MIA to the Miami Intermodal Center.
Capital cost estimates for the project total $1,580,000,000. Preliminary
engineering and the final environmental impact statement are currently
being completed, and the funds provided in this bill will allow the
Florida Department of Transportation to begin construction activities.
Miami Metro-Dade North 27th Avenue corridor project. --The
Metro-Dade Transit Agency (MDTA) is considering rail, busway and bus
operations for improving transportation in the 9.5 mile N.W. 27th Avenue
corridor. One alternative is an elevated heavy rail line which would
operate in full integration with stage 1 metrorail, connect with major
regional educational and sports facilities, and terminate at the
Dade/Broward county line. The preliminary capital cost of the rail
alternative is $453 $463 million. This includes final design,
right-of-way and rolling stock acquisition. To date, Congress has
appropriated $8,940,000 for this project. For fiscal year 1999, the
Committee recommends $1,000,000.
Mission Valley East light rail transit project. --The Metropolitan
Transit Development Board (MTDB) is planning to build a 5.9 mile Mission
Valley East light rail transit (LRT) extension from east of Interstate
15 to the City of La Mesa, California, where it would connect to the
existing East LRT line, now referred to as the Orange Line, near
Baltimore Drive. The line would serve four new stations at Grantville,
San Diego State University, Alvardo Medical Center, and 70th Street, and
would include elevated, at-grade, and tunnel portions. The project will
provide two park-and-ride lots and a new access road between Warning
Road and Grantville Station. The total project capital costs equal
$332,000,000. The project is expected to serve approximately 10,800
daily riders in the corridor by 2015, and 2.5 million new systemwide
annual transit trips. It is anticipated that the project's final
environmental impact statement can be certified and the design and
engineering phase initiated in fiscal year 1998. Through fiscal year
1998, Congress has appropriated $1,000,000 for this project. The
Committee recommends an appropriation of $2,000,000 in fiscal year 1999.
Nashville, Tennessee regional commuter rail. --The Committee
recommends $500,000 for feasibility studies, a major investment study,
and preliminary engineering on a commuter rail service connecting the
downtown Nashville area with other areas in the Southeast region of the
United States. The proposed commuter rail system would incorporate
approximately five existing rail lines, and would be phased in over a
20-year period, with a mutual terminus in downtown Nashville. No
previous appropriations have been provided for this project.
New Jersey urban core Hudson-Bergen project. --The Committee
recommends $70,000,000 for the New Jersey urban core
project-Hudson-Bergen light rail line. The urban core project consists
of a number of rail improvements designed to improve mobility in
northern New Jersey, and consists of the following segments: Secaucus
transfer; Kearney connection; Northeast corridor signal system:
improvements to New York Penn Station; Hudson-Bergen LRT; and
Newark-Newark International Airport-Elizabeth transit link, which also
includes a rail connection between the Penn and Broad Street Stations in
Newark. The local financial commitment is accounted for through the
ISTEA toll revenue credit provision. ISTEA earmarked $634,400,000 for
the entire urban core program of projects. The Hudson-Bergen project is
a 20.1-mile, 33-station at-grade LRT line from the Vince Lombardi
park-and-ride lot through Hoboken and Jersey City to Route 440 in
southwest Jersey City and 34th Street in Bayonne. The 9.6-mile initial
operating segment is now under construction.
New Orleans Canal Street corridor project. --The Regional Transit
Authority is developing a 4.7-mile streetcar project in downtown New
Orleans. The Canal Streetcar Spine would extend along the median of
Canal Street from the Canal Ferry at the Mississippi River in the
central business district, through the Mid-City neighborhood, to two
outer termini at the Cemeteries and City Park/Beauregard Circle. The
capital cost is estimated to be $136.4 million. The record of decision
for the project was issued by FTA on August 28, 1997. In September 1997,
the FTA approved the initiation of final design. Through fiscal year
1998, Congress has appropriated $32,360,000 for the project. The
Committee recommendation includes an appropriation of $43,000,000 for
the project in fiscal year 1999.
New Orleans Desire Streetcar project. --The Regional Transit
Authority will begin a major investment study to consider transportation
alternatives in a half mile area of downtown New Orleans from North
Rampart Street/St. Claude Avenue on the north and the Mississippi River
on the south. The corridor contains densely developed residential areas,
the F. Edward Hebert Defense Complex which is home to the U.S. Navy
Support Activity Center, the French Quarter (Vieux Carre), and two other
historic neighborhoods (Faubourg Marigny and Bywater). The alternatives
that are being studied include a streetcar (build) alternative, a
transportation management alternative, and a no build alternative in
terms of providing improved transit service to the corridor. Through
fiscal year 1998, Congress has appropriated $2,000,000 for the project.
The Committee recommendation includes an appropriation of $2,000,000 for
the project.
Norfolk-Virginia Beach regional rail project. --The Tidewater
Transportation District Commission (TTDC) is planning an 18.25-mile
light rail transit (LRT) line from the oceanfront area in Virginia Beach
to downtown Norfolk. The proposed LRT alignment generally follows the
Norfolk-Southern right-of-way. TTDC estimates that the LRT will cost
$376,500,000 to construct, and will carry 33,000 to 39,000 daily riders
in the year 2010. The Norfolk-Virginia Beach Corridor has been and
continues to be an area of significant growth in the Hampton Roads
region. TTDC has completed a major investment study to evaluate
transit/transportation improvements in the 30-mile corridor extending
from Virginia Beach to downtown Norfolk and the Norfolk Naval Base. TTDC
selected the light rail transit alternative for the 18.25 mile segment
from Virginia Beach to downtown Norfolk as the locally preferred
alternative. Through fiscal year 1998, Congress has appropriated
$1,990,000 for this project. For fiscal year 1999, the Committee
recommends $2,000,000 for the project.
Northern Indiana South Shore commuter rail extension. --The
Committee recommends $2,000,000 for the Northern Indiana South Shore
commuter rail extension project. The Northern Indiana Commuter
Transportation District [NICTD] operates the South Shore Line passenger
service between South Bend, IN, and the Randolph Street Station in
Chicago, IL. In order to meet the growing demand for commuter rail
service in northern Indiana, appropriated funds to be matched with local
funds, will be used for the purchase of additional passenger train cars.
This effort is currently in the system planning study phase. Through
fiscal year 1998, Congress has made available $4,483,573 in appropriated
funds. The Committee has provided funding to the South Shore commuter
rail line to assist with the acquisition of an eight-car train set.
North Shore corridor. --The Committee understands that the
Massachusetts Bay Transportation Authority (MBTA) believes that a
comprehensive analysis of transportation alternatives for the North
Shore area is warranted. This major investment study would evaluate in
accordance with FTA procedures and requirements a variety of mass
transit improvements for the North Shore including improved commuter
rail service in the corridor and the extension of the Blue Line of
MBTA's rapid transit service to Beverly, Massachusetts. Due to budget
constraints, the Committee has not included discretionary funds for this
purpose, but believes that such a study may be beneficial and that the
MBTA may utilize its federal transit formula funds to conduct such a
study.
Oceanside-Escondido light rail project. --The North County Transit
District (NCTD) is the lead agency planning the conversion of an
existing 22-mile freight rail corridor into a light rail transit system
running from the coastal city of Oceanside, through the cities of Vista,
San Marcos, and unincorporated portions of San Diego County, to the City
of Escondido. A proposed alignment will serve the California State
University San Marcos, including an additional 1.7 miles of new rail
right-of-way. The proposed rail system would serve fifteen stations,
four of these stations would be located at existing transit stations.
Through fiscal year 1998, Congress has appropriated $2,990,000 for the
project. For fiscal year 1999, the Committee recommends an appropriation
of $5,500,000.
Orange County, California transitway project. --The Orange County
Transportation Authority (OCTA) and the California Department of
Transportation (Caltrans) are currently completing a 108-mile system of
HOV lanes and developing an intermodal transportation network in Orange
County. Previous federal appropriations provided $23,325,000 for
construction of one element of Orange County's HOV lane system--the I
405/SR 55 transitway. OCTA will complete construction of the
$164,000,000 I 405/SR 55 transitway project and add express buses and
park-and-ride lots with local funds. OCTA is seeking continued federal
appropriations for the bus and rail transit elements of the Central
Orange County Transitway project for which the Committee has included
$4,000,000 in fiscal year 1999.
Orlando Lynx light rail project --The Committee recommends
$17,500,000 for the Orlando, Florida, Lynx light rail project. The
locally preferred alternative, selected in September 1995, includes
highway improvements along a 75-mile corridor and a light rail transit
(LRT) component along a 52-mile corridor at a capital cost of
$2,700,000,000. A 25-mile minimum operating segment of the LRT is
completing a preliminary engineering and draft impact statement
(PE/DIS). The proposed 26.8-mile, 27-station LRT project is estimated to
have a capital cost total of $878,800,000. Through fiscal year 1998,
Congress has made available $33,683,196 in appropriated funds for this
project.
Philadelphia-Reading SEPTA Schuylkill Valley Metro. --The Committee
recommends $2,000,000 for line engineering and initial construction on
the 62-mile commuter rail service to be instituted between Philadelphia
and Reading, Pennsylvania. The system plans to incorporate 28 stops. A
feasibility study for the Schuylkill Valley Metro has been completed,
and local funding of $5,000,000 has been approved to commence a major
investment study this summer.
Philadelphia SEPTA Cross County Metro. --The Committee recommends
$1,000,000 for the Cross County Metro corridor, which will extend
approximately 48 miles from Glenloch, Chester County, Pennsylvania, to
Morrisville, Bucks County, along Conrail's existing Trenton cutoff
freight rail-line. The project has received $2,400,000 in prior-year
funding for preliminary engineering and design, and the feasibility
study has been completed. A draft environmental impact statement is
scheduled for completion in June 1998. The funds provided in this act
are for further engineering and design work, and necessary right-of-way
improvements.
Phoenix metropolitan area transit project. --The Committee
recommends $8,000,000 for the Phoenix metropolitan area transit project.
In February 1997, the Maricopa Association of Governments Regional
Council adopted an 18-mile fixed guideway corridor into the region's
1997 long range transportation plan. This corridor links the high
employment cores along Central Avenue in Phoenix, and the downtowns of
Phoenix, Tempe and Mesa. This corridor also serves Sky Harbor
International Airport, Arizona State University, three major sports
facilities, Tempe's Rio Salado development and residential
concentrations surrounding each end of the corridor. The Regional Public
Transit Authority in October 1996 initiated two major investment studies
to study transportation alternatives in the corridor. The first study,
the Central Phoenix/East Valley MIS, addressed alternative investment
strategies within the entire corridor. The second study, the Downtown
Tempe MIS, focused on a sub-area within the corridor, linking downtown
Tempe with Arizona State University, the Rio Salado development, and
surrounding commercial and residential concentrations. After
considerable analysis, it was concluded that the preliminary technology
and alignment for both studies were mutually compatible. As a result,
recommendations from the Downtown Tempe MIS and Central Phoenix/East
Valley MIS were combined for the final phase of analysis. Alternatives
under consideration include a light rail transit alignment linking
Phoenix, Tempe, and Mesa; bus service improvements; and commuter rail
along the existing Union Pacific Railroad. The locally preferred
alternative (LPA) for the Tempe sub-area was approved by the Tempe City
Council in December 1997, and includes a three to four mile light rail
transit alignment. The LPA for the remainder of the Central Phoenix/East
Valley corridor was to be completed in February 1998. Through fiscal
year 1998, Congress has provided $4,000,000 for the project.
Pittsburgh-Allegheny County busway and light rail projects. --The
Committee recommends an appropriation of $3,000,000 for projects under
consideration by the Port Authority of Allegheny County, Pennsylvania.
The Port of Allegheny County has begun environmental assessments and
preliminary engineering on a new 2.3-mile extension of the 6.8-mile
Martin Luther King, Jr. east busway, which was completed in 1983 and
carries 30,000 riders daily. The extension will serve the communities of
Edgewood, Swissvale, and Rankin, including park-and-ride lots, which the
current busway lacks. The Port Authority is also reconstructing the
Overbrook, Library, and Drake trolley lines in Allegheny County to
upgrade the line to light rail standards, in an effort to complete the
last twelve miles of a 25-mile rail system serving Pittsburgh's southern
suburbs. The Committee's recommendation permits the Port Authority of
Allegheny County to allocate the appropriation to the various projects
as it determines to be appropriate.
Portland Westside/Hillsboro LRT and South-North light rail
projects.-- The Committee recommends $25,718,000 for the Portland
Westside LRT project. Within the funds provided, not more than
$1,000,000 may be available for the South/North light rail project.
Tri-County Metropolitan Transportation District of Oregon (Tri-Met) is
building a light rail transit extension from downtown Portland, west
through Beaverton, to a terminus in downtown Hillsboro. The total
estimated cost of the project is $963,522,674. In downtown Portland, the
17.7-mile extension will connect to the existing Banfield LRT line (MAX)
that operates between Portland and Gresham. In August 1997, 12 vehicles
went into service on the existing line. Construction is nearing
completion along the entire alignment. Tri-Met initiated revenue service
to the project's first stations in August 1997 with full service over
the entire line scheduled for September 1998. The local share commitment
to this project is 27 percent. The cost-effectiveness index is $12 per
new passenger trip. In September 1992, FTA and Tri-Met entered into a
full funding grant agreement (FFGA) for the 12-mile segment from
downtown Portland to 185th Avenue. The section 5309 new start share for
this segment was $515,990,000. The FFGA was amended in 1994 to add the
6.2-mile Hillsboro extension, bringing the total section 5309 share to
$590,060,336. An additional $40,000,000 was added to the project in
fiscal year 1996. Through fiscal year 1998, Congress has made available
$593,471,931 in appropriated new start funds.
Puget Sound RTA Link light rail. --The Committee recommends
$1,000,000 for preliminary engineering, environmental analyses, siting,
and design of stations and maintenance facilities, and development of
station area plans for the light rail component of the Puget Sound
regional transit system plan. The link light rail will complement the
sounder commuter rail system in the Tacoma to Everett Puget Sound
corridor. The light rail will run from Seattle-Tacoma International
Airport to Northgate, utilizing an already-built downtown Seattle
transit tunnel. A major investment study for the light rail project has
already been performed. Total costs of the link light rail project are
estimated to be $539,000,000.
Puget Sound RTA Sounder commuter rail project. --The Committee
recommends $19,500,000 for the Seattle-Tacoma-Sound Move light rail and
commuter rail project. The three-county Central Pudget Sound Regional
Transit Authority (RTA) Board has adopted a 10-year regional plan. The
estimated capital cost of the project is $3,068,000 and will cover
proposed transportation improvements, substantial commuter rail service
in the region principally between Seattle and Tacoma, as well as LRT,
and expanded bus service. A major investment study was completed in
March 1997. FTA approved the initiation of preliminary engineering for
the Central LRT project in August 1997. The draft environmental impact
statement (DEIS) is scheduled to be completed in fall 1998. The local
share commitment on the total project is 76 percent. FTA has rated both
the financial plan and the operating plan as medium-high. Through fiscal
year 1998, Congress has made available $20,920,851 in appropriated funds
for this project.
Raleigh-Durham-Chapel Hill Triangle Transit. --The Committee
recommends $8,000,000 for the Research Triangle Park transit plan in
Raleigh-Durham, North Carolina. The phase 1 regional rail project is the
proposed initial segment of a three-phased project that will link the
three counties--Wake, Durham,and Orange--in the Triangle region of North
Carolina in a 35-mile regional commuter rail system. In phase 1, the
Triangle Transit Authority (TTA) intends to initiate regional rail
service from Durham to downtown Raleigh to north Raleigh. TTA proposes
to use diesel multiple unit rail vehicles to serve the 16 anticipated
(phase 1) stations. The proposed project will use the existing North
Carolina Railroad and CSX rail corridors to connect Duke University,
downtown Durham, Research Triangle Park, RDU Airport, Morrisville, Cary,
North Carolina State University, downtown, and north Raleigh. The
capital cost estimate for phase 1 totals $250,000,000. The cost estimate
includes: final design, acquisition of right-of-way and rail vehicles,
station construction, park-and-ride lots, and construction of storage
and maintenance facilities. TTA is currently in the preliminary
engineering/environmental documentation phase. Through fiscal year 1998,
Congress has made available $13,947,234 in appropriated funds for the
project.
Sacramento south corridor LRT extension. --The Committee recommends
$23,480,000 for the Sacramento south corridor project, the full amount
for fiscal year 1999 under the project's FFGA. The Sacramento Regional
Transit District (RT) is developing an 11.3-mile light rail project on
the Union Pacific Railroad right-of-way. RT has elected to phase the
project. Phase 1, known as the interim operable segment (IOS), consists
of a 6.3-mile, $220,000,000 LRT extension in the south Sacramento
corridor. Phase 2 is also expected to cost $220,000,000. The local share
commitment to this project is 50 percent. The administration signed an
FFGA with Sacramento in June 1997 to provide a commitment of
$111,200,000 in new start funds for the 6.3-mile extension. Construction
is expected to begin in late 1998. Through fiscal year 1998, Congress
has made available $28,168,442 in appropriated funds for this project.
Salt Lake City south LRT. --The Committee recommends $70,000,000 for
the Salt Lake City south LRT project. Utah Transit Authority (UTA) is
constructing a 15-mile light rail transit (LRT) line from downtown Salt
Lake City to suburban areas to the south. The LRT line will operate
at-grade on city streets in the downtown and utilize a railroad
right-of-way already owned by UTA to the south of downtown. Construction
is well underway and the project is expected to be completed by December
2000. FTA has negotiated an FFGA with UTA committing $237,393,530 in new
start funds to the project. Total cost of the project is $312,500,000.
Through fiscal year 1998, a total of $129,986,471 has been made
available by Congress in appropriated funds for this project.
Salt Lake City/airport to university (west-east) light rail. --The
Committee recommends $3,000,000 for developing a final environmental
impact statement and beginning preliminary engineering on the proposed
10-mile light rail corridor extending from the Salt Lake International
Airport east through downtown Salt Lake City and terminating at the
University of Utah. The project will also connect with the north-south
LRT line in the downtown area. Light rail vehicles will operate at-grade
on tracks laid in existing city streets and on property owned by the
airport and by the university. Total capital costs are estimated to be
$374,000,000, with annual operating costs projected at $7,500,000.
San Bernardino, California Metrolink project. --The Committee has
provided $2,000,000 for the San Bernardino Metrolink project. This
project is to extend the Metrolink track one mile from the San
Bernardino train station to a point opposite the San Bernardino stadium.
This new end point will connect with the transfer station for Omnitrans,
which will allow commuters to reach a much larger area through an
extended bus system.
In addition to the $2,000,000 provided in this Act for the San
Bernardino Metrolink project, the Committee directs the FTA to make
available for this project the $1,000,000 provided in the fiscal year
1998 for the procurement of natural gas engines.
San Diego Mid-Coast corridor project. --The Metropolitan Transit
Development Board (MTDB), the California Department of Transportation
(Caltrans), and the San Diego Association of Governments (SANDAG) are
proposing commuter rail improvements, a light rail line, and high
occupancy vehicle (HOV) lanes in the Mid-Coast Corridor. The corridor
extends approximately 12 miles along I 5, from near I 8 near Old Town,
north to the vicinity of the University of California, San Diego,
University Towne Centre shopping mall, and Carmel Valley. The commuter
rail improvements to the Coaster stations consist of the construction of
a new station and additional parking to an existing station on the
Coaster commuter line. The project is estimated to cost $7,400,000. The
10.4 mile Mid-Coast LRT project would extend from Old Town to North
University City, and would include nine stations. The line would connect
with the Mission Valley and South LRT lines, now referred to as the Blue
Line, as the Coaster line at the Old Town Transit Center. The Balboa
segment is a 3.4 mile initial LRT phase proposed from Old Town to Balboa
Avenue at a cost of $90,800,000. Total costs for the Mid Coast Balboa
segment LRT and the Coaster stations equal $98,400,000. The 10.4-mile
full build LRT line and supporting bus services are estimated to cost
$374,900,000. Through fiscal year 1998, Congress has appropriated
$7,060,000 for this project. The Committee recommendation for fiscal
year 1999 appropriations is $3,000,000.
San Francisco BART extension to the airport project. --Local
officials in the San Francisco area have proposed a four-station,
6.4-mile extension of the Bay Area Transit (BART) system from Colma to
an intermodal station serving the San Francisco International Airport.
The route will serve the cities of South San Francisco and San Bruno,
connect with the airport, and continue to Millbrae. The majority of the
route is to follow a combination of existing and abandoned railroad
rights-of-way. Through fiscal year 1998, Congress has provided
$113,730,000. For fiscal year 1999, the Committee recommends
$74,000,000.
San Jacinto, California branch line. --The Riverside County
Transportation Commission (RCTC) has purchased a 20-mile rail line which
connects the city of Riverside to Perris. The RCTC plans to upgrade this
line to accommodate passenger service and connect it to Metrolink, the
current commuter rail service, in Riverside. The project consists of
right-of-way, grade crossing improvements, station construction and the
acquisition of rolling stock. The total cost of the project is
$43,000,000, of which $31,000,000 is needed for construction and
$12,000,000 to purchase rolling stock. For fiscal year 1999, the
Committee has provided $500,000 for this commuter rail project.
San Jose Tasman LRT project. --The Committee recommends $35,000,000
for the Tasman LRT project. Phase I west extension consists of 7.6 miles
of surface LRT from the northern terminus of the Guadalupe LRT in Santa
Clara, west through Sunnyvale, to the CalTrain commuter rail station in
Mountain View. The project will include 11 stations and will be double
tracked except for partial single tracking between Mountain View and
Lockheed stations. The West Extension is estimated to cost $325,000,000,
and received an FFGA in July 1996. To date, appropriations for the
project have totaled $124,080,000.
San Juan Tren Urbano. --The Committee recommends $60,000,000 for
continuing construction on the 10.7-mile 14-station rapid rail-line
between Bayamon Centro and the Sagrado Corazon area of Santurce in the
San Juan metropolitan area. The system consists of a double-track line
operating over at-grade and elevated rights-of-way, with a short
below-grade segment. The FTA issued a full funding grant agreement in
March 1996 to provide a total of $307,410,000 to complete the project.
To date, a total of $33,380,000 has been provided in Federal new starts
appropriated funds.
South Boston Piers MOS 2 project. --The Committee recommends
$53,983,000 for the South Boston Piers Transitway project. This project
consists of a 1 mile bus tunnel connecting South Station to the Fan Pier
and to the World Trade Center. The tunnel will be used by electric
trolleybuses and its construction is timed to coincide with the central
artery/tunnel highway project now underway. The project is under
construction. The local share commitment to this project is 20 percent.
An FFGA was issued in November 1994, in the amount of $330,726,320.
Through fiscal year 1998, Congress has made available $188,300,861 in
appropriated funds.
South DeKalb-Lindbergh Corridor LRT. --The Committee recommends
$1,000,000 for preliminary planning and a draft environmental impact
statement design for a proposed 14.5-mile light rail system in the south
DeKalb County to Lindbergh, GA, Emory University transportation
corridor. The Metropolitan Atlanta Regional Transportation Authority
(MARTA) is currently examining route alternatives for this corridor.
Spokane, Washington light rail project. --The Spokane Regional
Transportation Council has conducted a major investment study (MIS) to
examine the impacts of high capacity transportation on a proposed
160-mile corridor between the central business district of Spokane,
Washington and Liberty Lake. The proposed corridor would connect major
residential and employment centers within the Spokane Valley. Spokane
has been identified as a ``serious'' nonattainment area for carbon
dioxide. Trips along the corridor nearly double based on the population
and employment forecasts between the years 1990 and 2020. The MIS
considered three alternatives including: high occupancy vehicle (HOV)
lanes, express busways, and light rail. Based on the results of a draft
MIS, light rail was selected as the preferred alternative with strong
local support for light rail. The MIS was included in the region's long
range in November 1994. It is anticipated that the project sponsor will
request to initiate preliminary engineering and the environmental impact
statement process in 1998. The total estimated cost for the corridor,
including local, state, and federal funding, ranges between $200,000,000
and $300,000,000. For fiscal year 1999, the Committee recommends
$1,000,000.
St. Louis-St. Clair county LRT extension project. --The Committee
recommends $35,000,000 for the St. Clair County corridor LRT. The
initial operating segment (IOS) is a 17.4-mile extension between
downtown East St. Louis, IL, and the Belleville Community College in St.
Clair County, IL. The selected full project alternative is a 26-mile LRT
extension with a total cost of $426,700,000. The FFGA new starts amount,
toward the IOS is $243,930,961. The total estimated cost of the IOS is
$339,200,000. Through fiscal year 1998, $69,610,663 has been made
available from Congress in appropriated funds for this project.
Tampa Bay regional rail project. --The Hillsborough County
metropolitan planning organization, in cooperation with the Hillsborough
Area Regional Transit Agency, is conducting a major investment study
(MIS) to examine transportation improvements in a proposed 60-mile
corridor extending from the city of Lakeland in Polk County west to the
city of Oldsmar in Pinellas County. Early consideration of land use and
transportation connections and a broad participatory public involvement
process has been implemented into the MIS. Alternatives under
consideration include potential combinations of roadway, bus, busway,
high occupancy vehicle lanes and fixed guideway transportation
improvements. Through fiscal year 1998, Congress has provided $1,000,000
for this project. For fiscal year 1999, the Committee recommends
$500,000.
Twin Cities Transitways project. --The Committee provides
$22,000,000 for the Twin Cities Transitways project, which centers on
the development and construction of the Hiawatha Corridor light rail
transit line. The Twin Cities of Minneapolis-St. Paul is the 15th
largest metropolitan area in the nation, with a population of 2.6
million. In recent years, traffic congestion, pollution and related
problems have increased dramatically, with significant adverse impacts
on residents. The Twin Cities region has concluded that a network of
transitways is indispensable to manage growth wisely and encourage land
use and behavioral choices that enhance the Twin Cities' quality of
life. The Committee commends local, regional and state efforts to study
and develop new fixed guideways in the Hiawatha, Riverview, Northstar
and Red Rock Corridors that best serve the transportation needs of the
Twin Cities metropolitan area.
Virginia railway express (VRE) Fredericksburg to Washington commuter
rail project. --The Committee has provided $2,000,000 for the Virginia
Railway Express (VRE) Fredericksburg to Washington commuter rail
project.
West Trenton, New Jersey rail project. --The Committee
recommendation includes $1,000,000 for the West Trenton, New Jersey rail
project. The project intends to restore commuter service on the West
Trenton rail corridor, connecting the towns of Manville, Belle Mead,
Hillsborough, Montgomery, Hopewell, Pennington, and West Trenton, in
sommerset and Mercer Counties, in New Jersey. Previous appropriations of
$500,000 have been provided for this project.
Whitehall ferry terminal, New York. --The Committee recommends
$1,000,000 for construction of a new Staten Island ferry/Whitehall ferry
terminal facility and connecting intermodal areas in Manhattan. The
Whitehall ferry terminal suffered significant structural damage in a
fire in 1991, and needs to be replaced. The new terminal will be ADA
accessible and will enhance the safety and security for the 65,000
passengers using the facility daily. The project will directly connect
with the New York subway system, bus services, and highway users. The
total cost of the project is expected to exceed $100,000,000. To date,
the project has received $15,000,000 in federal funds.
MAJOR CAPITAL INVESTMENTS
(Highway Trust Fund)
(Liquidation of contract authorization)
Appropriation, fiscal year 1998 (---)
Budget estimate, fiscal year 1999 ($1,900,000,000)
Recommended in the bill (---)
xlBill compared with:
Appropriation, fiscal year 1998 (---)
Budget estimate, fiscal year 1999 (-1,900,000,000)
The Committee recommendation disapproves the budget request which
proposed to provide liquidating cash for the proposed major capital
investments program. Funding for this program is currently provided
under the section 5309 capital investment grants program, and
liquidating cash to pay those obligations is provided under current law.
The new program structure requested by the Administration was not
incorporated in TEA21.
MASS TRANSIT CAPITAL FUND
(Liquidation of Contract Authorization)
(Highway Trust Fund)
Appropriation, fiscal year 1998 $2,350,000,000
Budget estimate, fiscal year 1999\1\ ---
Recommended in the bill 1,805,600,000
xlBill compared with:
Appropriation, fiscal year 1998 -544,400,000
Budget estimate, fiscal year 1999 +1,805,600,000
\1\The budget proposes to fund the liquidating cash appropriation under a new account entitled mass capital investments.
This liquidating cash appropriation covers obligations incurred under
contract authority provided for activities previously discussed under
the capital investment grants program. The Committee recommends
$1,805,600,000 in liquidating cash for mass transit capital programs.
JOB ACCESS AND REVERSE COMMUTE GRANTS
Appropriation (general fund) Limitation on obligations (trust fund)
Appropriation, fiscal year 1998 --- ---
Budget estimate, fiscal year 1999\1\ --- ---
Recommended in the bill $10,000,000 ($40,000,000)
xlBill compared to:
Appropriation, fiscal year 1998 +10,000,000 (+40,000,000)
Budget estimate, fiscal year 1999 +10,000,000 (+40,000,000)
\1\The budget included a request to set-aside $100,000,000 for access to job activities from the formula grants program.
The fiscal year 1999 budget request and the Administration's
reauthorization proposal for the surface transportation programs,
NEXTEA, proposed to establish a new access to jobs and training program.
The program was to be funded at $100,000,000 in fiscal year 1999 as a
set-aside from the formula program. The proposal intended to provide
enhanced transportation services for low-income individuals, including
former welfare recipients, traveling to jobs or training centers.
Section 3037 of TEA21 establishes such a program, the jobs access and
reverse commute grants program. For fiscal year 1999, the program is
funded at a total level of $50,000,000, with no more than $10,000,000
derived from the general fund and $40,000,000 derived from the mass
transit account of the highway trust fund. These funds are guaranteed
under the transit funding category.
The program is to make competitive grants to qualifying metropolitan
planning organizations, local governmental authorities, agencies, and
non-profit organizations in urbanized areas with populations greater
than 200,000. Grants may not be used for planning or coordination
activities. No more than $10,000,000 may be provided for reverse
commuter grants.
WASHINGTON METROPOLITAN AREA TRANSIT AUTHORITY
Appropriation, fiscal year 1998 $200,000,000
Budget estimate, fiscal year 1999\1\ 50,300,000
Recommended in the bill 50,000,000
xlBill compared with:
Appropriation, fiscal year 1998 -150,000,000
Budget estimate, fiscal year 1999 -300,000
\1\The budget proposed that the appropriation be derived from the highway trust fund.
The bill provides $50,000,000 to complete the construction of the
Washington, D.C. Metrorail system. This level is a decrease of
$150,000,000 below the 1998 enacted level and $300,000 below the budget
request. This appropriation is guaranteed under the transit funding
category.
This appropriation concludes the federal share of the costs to
construct the Washington, D.C. Metrorail system. A total of
$11,000,000,000 of local and federal funds will have been invested in
the Washington Metropolitan Area Transit Authority's rail system. The
federal government's portion will be $8,000,000,000. This figure
includes funding from the 1990 reauthorization, interest and principal
on $997,000,000 in federally-guaranteed bonds through fiscal year 1994,
as well as interest expense and the cost of refinancing these bonds in
fiscal year 1994.
The following table summarizes funding made available to date for the
construction and completion of the 103-mile Washington Metrorail system:
Offset folio 168 insert here
SAINT LAWRENCE SEAWAY DEVELOPMENT CORPORATION
The Saint Lawrence Seaway Development Corporation's operations
program consists of lock and marine operations, maintenance, dredging,
planning and development activities related to the operation and
maintenance of that part of the Saint Lawrence Seaway between Montreal
and Lake Erie within the territorial limits of the United States.
The Committee maintains a strong interest in maximizing the
commercial use and competitive position of the Saint Lawrence Seaway.
The general language under this heading is the same as the language
provided last year. Continuation of this language, in addition to that
under the operations and maintenance appropriation, will provide the
Corporation the flexibility and access to available resources needed to
finance costs associated with unanticipated events which could threaten
the safe and uninterrupted use of the Seaway. The language permits the
Corporation to use sources of funding not designated for the harbor
maintenance trust fund by Public Law 99 662, but which have been
historically set aside for non-routine or emergency use-cash reserves
derived primarily from prior-year revenues received in excess of costs;
unused borrowing authority; and miscellaneous income.
OPERATIONS AND MAINTENANCE
(Harbor Maintenance Trust Fund)
Appropriation, fiscal year 1998\1\ $11,200,000
Budget estimate, fiscal year 1999
Recommended in the bill 11,496,000
xlBill compared with:
Appropriation, fiscal year 1998 +296,000
Budget estimate, fiscal year 1999 +11,496,000
\1\Excludes reductions of $7,000 for TASC.
On March 4, 1996, the Vice President announced plans to restructure
nine federal agencies as performance-based organizations (PBOs). The
Saint Lawrence Seaway Development Corporation (Seaway) was one of the
nine agencies chosen for the conversion to a PBO. Others include the
Department of Commerce seafood inspection; Patent and Trademark Office;
National Technical Information Service; Defense Commissary Agency;
Federal Housing Administration mortgage insurance services; Government
National Mortgage Association, the U.S. Mint; and Federal retirement
benefit services.
Legislation and a financial plan for the Seaway's PBO was submitted
to Congress in July 1996; however, it was not acted upon. The PBO
legislation was resubmitted to Congress in May 1997.
As a PBO, the Seaway's primary funding mechanism would change under
its proposed legislation from yearly congressional appropriations to
mandatory formula-based payments. Due to the PBO proposal, the Seaway is
not making an appropriation request in fiscal year 1999, but instead is
seeking a mandatory payment of $12,646,000 from the Harbor Maintenance
Fund.
The bill includes an appropriation of $11,496,000 instead of
mandatory funding as requested. Establishing the Seaway as a PBO has not
been authorized and it is not within this Committee's jurisdiction to do
so. Neither the Committee nor the department is aware of any current or
pending congressional action on PBO authorizing legislation. Until
authorization is enacted, the Committee will continue funding the Seaway
according to current law. The Committee recommendation in no way
presumes that the Seaway's status will change to a PBO.
The Committee remains concerned about certain provisions contained
within the proposed PBO legislation. First, the proposed mandatory
funding mechanism would guarantee a certain level of funding
irrespective of overall policy goals, such as deficit reduction, which
may undermine Congressional and Presidential goals to maintain a
balanced budget. Second, Congress would no longer have a direct role in
setting the Seaway's annual funding levels or determining how those
funds should be used.
The Committee has reduced funding from the proposed mandatory payment
level of $12,646,000 for two reasons. First, payment for the Seaway is
based on a five-year average of international metric tonnage moved
through the Seaway, adjusted by a factor of 1.076 and adjusted for
inflation. In 1997, actual Seaway tonnage decreased, thus the
Corporation recalculated its needs to reflect actual tonnage for the
1997-navigation season, lowering its financial need. The Committee has
taken this recalculated need into consideration. Second, in March 1998,
the Secretary revoked the authority delegating the Seaway to carry out
the functions of the Great Lakes Pilotage Act of 1960, and transferred
these functions and four staff back to the Coast Guard, where most
pilotage functions were prior to late 1995. As a result, the annual
costs of the pilotage functions were not included in the appropriation
for the Seaway.
RESEARCH AND SPECIAL PROGRAMS ADMINISTRATION
The Research and Special Programs Administration (RSPA) was
originally established by the Secretary of Transportation's
organizational changes dated July 20, 1977. The agency received
statutory authority on October 24, 1992. RSPA has a broad portfolio. Its
diverse jurisdictions include hazardous materials, pipelines,
international standards, emergency transportation, and university
research. As the department's only multimodal administration, RSPA
provides research, analytical and technical support for transportation
programs through headquarters offices and the Volpe National
Transportation Systems Center.
SUMMARY OF FISCAL YEAR 1999 PROGRAM
The Committee recommends $77,627,000 in new budget authority and
limitations on obligations to continue the operations, research and
development, and grants-in-aid administered by the Research and Special
Programs Administration. The following table summarizes fiscal year 1998
program levels, the fiscal year 1999 program requests, and the
Committee's recommendations:
Program Fiscal year 1998 enacted\1\ Fiscal year 1999 estimate Recommended in the bill
Research and special programs $29,450,000 $29,655,000 $34,379,000
Pipeline safety\2\ 31,300,000 35,463,000 33,448,000
Emergency preparedness grants (including limitations on obligations) 200,000 200,000 9,800,000
----------------------------- --------------------------- -------------------------
\1\Includes $1,000,000 provided in the Emergency Supplemental Appropriation Act of 1998 and excludes reductions of $92,000 for TASC.
\2\Does not reflect funding derived from the reserve fund because it is not directly appropriated.
RESEARCH AND SPECIAL PROGRAMS
Appropriation, fiscal year 1998\1\ $29,450,000
Budget estimate, fiscal year 1999 29,655,000
Recommended in the bill 34,379,000
xlBill compared with:
Appropriation, fiscal year 1998 +4,929,000
Budget estimate, fiscal year 1999 +4,724,000
\1\Includes $1,000,000 provided under the Emergency Supplemental Appropriation Act of 1998 and excludes reductions of $48,000 for TASC.
RSPA's research and special programs administers a comprehensive
nationwide safety program to (1) protect the nation from the risks
inherent in the transportation of hazardous materials by water, air,
highway and railroad; (2) oversee the execution of the Secretary of
Transportation's statutory responsibilities for providing transportation
services during national emergencies; and (3) coordinate the
department's research and development policy planning, university
research, and technology transfer. Overall policy, legal, financial,
management and administrative support to RSPA's programs is also
provided under this appropriation. The total recommended program level
for research and special programs is $34,379,000, which is $4,724,000
more than requested. Budget and staffing data for this appropriation are
as follows:
Fiscal year 1998 enacted\1\ Fiscal year 1999 estimate Recommended in the bill
Hazardous materials safety $15,342,000 $15,863,000 $15,863,000
Research and technology 3,446,000 3,851,000 3,700,000
Emergency transportation 2,443,000 997,000 997,000
Program support 8,219,000 8,944,000 8,819,000
Advanced vehicle technology consortia 5,000,000
------------------------------ ---------------------------- -------------------------
Total, Research and Special Programs 29,450,000 29,655,000 34,379,000
\1\Include $1,000,000 provided under the Emergency Supplemental Appropriation Act of 1998.
The Committee recommends the following changes to the budget request:
Hold research and technology to 10 percent increase -$151,000
Delete funding for new electronic grant project -100,000
Delete funding for acquisition management training -25,000
Fund advanced vehicle technology consortia +5,000,000
Research and technology. --The Committee has held research and
technology to a 10 percent increase over fiscal year 1998 instead of 17
percent as requested.
Electronic grant project. --The Committee has denied funding for the
electronic grant project due to budget constraints.
Acquisition management training. --The Committee has not provided
any funding for acquisition management training throughout the
department due to budget constraints.
Advanced vehicle technology consortia. --The Committee has provided
$5,000,000 so that RSPA can participate in a joint DOT/DOE initiative
that would support a public/private partnership to design, develop, and
deploy alternative fuels and propulsion systems focusing on medium and
heavy vehicles. The budget request included an appropriation of
$10,000,000 within the FHWA's limitation on general operating expenses.
The Committee recognizes the work of the Northeast Alternative
Vehicle Consortium to reduce vehicle emissions in the northeast, and
encourages the consortium to compete for funding made available under
this program.
Hazmat Training. --The Committee believes that the transportation of
hazardous material presents serious safety and health risks to those
workers who are not properly trained in such activities as hazardous
materials classification, the use of placarding and labeling, general
handling procedures, loading and unloading methods, and personal
protection techniques in the event of release or damage during
transportation of hazardous materials. The Committee recognizes the need
for highly qualified instructors who can train front line employees to
reduce the risk factors associated with the transportation of hazardous
material, and encourages RSPA to consider awarding grants for this
purpose authorized under section 5107(e) of title 49, U.S.C.
PIPELINE SAFETY
(Pipeline Safety Fund)
(Oil Spill Liability Trust Fund)
(Pipeline safety fund) (Oil spill liability trust fund)
Appropriation, fiscal year 1998\1\ $28,000,000 $3,300,000
Budget estimate, fiscal year 1999 32,163,000 3,300,000
Recommended in the bill 28,973,000 4,475,000
xlBill compared with:
Appropriation, fiscal year 1998 +973,000 +1,175,000
Budget estimate, fiscal year 1999 -3,190,000 +1,175,000
\1\Excludes reductions of $44,000 for TASC.
The pipeline safety program is responsible for a national regulatory
program to protect the public against the risks to life and property in
the transportation of natural gas, petroleum and other hazardous
materials by pipeline. The enactment of the Oil Pollution Act of 1990
also expanded the role of the pipeline safety program in environmental
protection and resulted in a new emphasis on spill prevention and
containment of oil and hazardous substances from pipelines. The office
develops and enforces federal safety regulations and administers
grants-in-aid for state pipeline programs.
The bill includes $33,448,000 to continue pipeline safety operations,
research and development, and state grants-in-aid in fiscal year 1999.
The bill specifies that, of the total appropriation, $4,475,000 is to be
derived from the oil spill liability trust fund and $28,973,000 is from
the pipeline safety fund. In addition, the Committee has included
language that permits the office of pipeline safety (OPS) to use
$1,300,000 from its reserve fund for one-call notification grants,
emergency notification, and public education.
The following table summarizes the Committee's recommendation by
budget activity and funding source:
Budget activity Pipeline safety fund Oil spill liability trust fund Reserve fund\1\ Total
Personnel, compensation, and benefits $7,620,000 $587,000 $8,207,000
Administrative expenses 3,613,000 45,000 3,658,000
Contracts: 900,000 400,000 1,300,000
Oil Pollution Act 2,443,000 2,443,000
Research and development 1,919,000 1,919,000
Grants: 12,600,000 400,000 13,000,000
---------------------- -------------------------------- ----------------- --------------
Total 28,973,000 4,475,000 1,300,000 34,748,000
\1\Funding derived from the reserve fund is not directly appropriated.
Authorized level. --For the past two years, the department has
submitted a budget request that, in total, is below the authorized level
but exceeds the authorized level for fees. As a result, the Committee
has had to reallocate the request to fit within the authorized
components. The Committee expects the department to submit future budget
requests that fall within the authorized level, both in their components
(pipeline safety fund, oil spill liability trust fund, and reserve fund)
and in total.
Oil spill liability trust fund. --The budget request sought
$3,300,000 from the oil spill liability trust fund; however, the
Committee has increased this amount to $4,475,000 because there are a
number of program activities that could be more suitably funded from
this source instead of funded by new user fees. These changes are
reflected in the table above.
Information and analysis. --The Committee has taken a slight
reduction from the budget request for information and analysis
(-$65,000). This funding was to be used to apply the concepts and
lessons learned from the pilot risk management demonstration project.
However, this demonstration project began slower than anticipated and
not all of the companies have been selected. As a result, two years of
data will not be available for RSPA to analyze by the end of fiscal year
1999.
Compliance program. --The Committee has held the compliance program
to the fiscal year 1998 enacted level (-$150,000). At this level, the
Committee believes that there is sufficient engineering support staff
available to oversee regular inspections and monitor remediation
activities.
State grants. --The Committee has provided $13,000,000 for state
grants, an increase of $1,000,000 (8 percent) above the fiscal year 1998
enacted level. Due to budget constraints, the Committee could not
appropriate the 12.5 increase requested (-$500,000).
EMERGENCY PREPAREDNESS GRANTS
(Emergency Preparedness Fund)
Appropriation, fiscal year 1998 $200,000
Budget estimate, fiscal year 1999 200,000
Recommended in the bill 200,000
xlBill compared with:
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999
The Hazardous Materials Transportation Uniform Safety Act of 1990
(HMTUSA) requires RSPA to: (1) develop and implement a reimbursable
emergency preparedness grant program; (2) monitor public sector
emergency response training and planning and provide technical
assistance to states, political subdivisions and Indian tribes; and (3)
develop and update periodically a mandatory training curriculum for
emergency responders.
The bill includes $200,000, the same amount requested for fiscal year
1999, for activities related to emergency response training curriculum
development and updates, as authorized by section 117(A)(i)(3)(B) of
HMTUSA.
LIMITATION ON OBLIGATIONS
Bill language is included that limits the obligation of emergency
preparedness training grants. RSPA intends to increase the annual
funding under the Hazmat Registration Program from $7,372,000 to
approximately $14,300,000 in 1999. However, the agency has not yet
issued a notice of proposed rulemaking identifying ways to increase
collections to this level. The Committee is concerned about doubling the
program's collections in one fiscal year, and as such, has limited the
amount RSPA can collect for the emergency preparedness grants program to
$9,600,000.
In 1995, RSPA issued a notice of proposed rulemaking recommending a
graduated fee structure that would increase the total fees collected to
$19,200,000. This is the level authorized by the 1990 Hazardous
Materials Transportation Uniform Safety Act. However, there was
considerable industry opposition to the graduated fee structure, and
after considering these comments, RSPA decided not to increase these
fees without further consultation.
Since then, the Inspector General (IG) has audited RSPA's hazardous
materials registration program, and found that, among other things, the
administration has not identified all shippers and carriers that are
potentially subject to its regulations and does not follow up to ensure
that covered entities register as required. Based on these two findings,
the IG projected that by better identifying hazmat entities and by
following up with those who do not respond, RSPA could generate
additional registration and processing fees of between $960,000 and
$2,200,000 annually. The Committee believes that after RSPA acts upon
the IG's recommendations, RSPA should be able to collect additional
fees. Only after this is completed should the administration begin its
negotiated rulemaking to establish a graduated registration fee. The
Committee does not believe that this action could responsibly occur
prior to fiscal year 2000.
OFFICE OF INSPECTOR GENERAL
Appropriation, fiscal year 1998\1\ $42,000,000
Budget estimate, fiscal year 1999 42,491,000
Recommended in the bill 43,495,000
Bill compared with:
Appropriation, fiscal year 1998 +1,495,000
Budget estimate, fiscal year 1999 +1,004,000
\1\Excludes reductions of $59,000 for TASC.
The Inspector General's office was established in 1978 to provide an
objective and independent organization that would be more effective in:
(1) preventing and detecting fraud, waste, and abuse in departmental
programs and operations; and (2) providing a means of keeping the
Secretary of Transportation and the Congress full and currently informed
of problems and deficiencies in the administration of such programs and
operations. According to the authorizing legislation, the Inspector
General (IG) is to report dually to the Secretary of Transportation and
to the Congress.
The Committee recommendation provides $43,495,000 for activities of
the Office of Inspector General, an increase of $1,004,000 above the
administration's request and $1,495,000 (3.5 percent) above the level
for comparable activities during fiscal year 1998.
Audit reports. --The Committee requests the Inspector General to
continue forwarding copies of all audit reports to the Committee
immediately after they are issued, and to continue to make the Committee
aware immediately of any review that recommends cancellation or
modifications to any major acquisition project or grant, or which
recommends significant budgetary savings.
SURFACE TRANSPORTATION BOARD
SALARIES AND EXPENSES
Appropriation, fiscal year 1998\1\ $13,853,000
Budget estimate, fiscal year 1999\2\ 16,000,000
Recommended in the bill 16,000,000
xlBill compared with:
Appropriation, fiscal year 1998 +2,144,000
Budget estimate, fiscal year 1999
\1\Excludes $2,000,000 in user fees and reductions of $3,000 for TASC.
\2\Represents $16,000,000 in user fees, which offset the appropriation as collected throughout the fiscal year.
The Surface Transportation Board was created on January 1, 1996 by
P.L. 104 88, the Interstate Commerce Commission (ICC) Termination Act of
1995. Consistent with the continued trend toward less regulation of the
surface transportation industry, the Act abolished the ICC; eliminated
certain functions that had previously been implemented by the ICC;
transferred core rail and certain other provisions to the Board and
certain other motor carrier functions to the Federal Highway
Administration. The Board is specifically responsible for regulation of
the rail and pipeline industries and certain non-licensing regulations
of motor carriers and water carriers. The new law empowers the Board
through its exemption authority to promote deregulation administratively
on a case-by-case basis and continues intact the important rail reforms
of the Staggers Rail Act of 1980, which have helped substantially
improve rail service and the profitability of the railroad industry.
The Committee recommends a total appropriation of $16,000,000, the
same amount as requested by the Board. Included in this total is an
estimated $2,600,000 in user fees, which will offset the appropriated
funding.
User fees. --The Committee disagrees with the budget request to fund
the entire operation of the Surface Transportation Board, or
$16,000,000, from the collection of user fees. Current statutory
authority, under the Independent Offices Appropriations Act (31 U.S.C.
9701), grants the Board the authority to collect user fees; however, not
to the level provided in the budget estimate. Legislative change to the
Board's authorizing statute to mandate an industry assessment program of
$16,000,000 would require Congress to enact such authority prior to
October 1, 1998. Even assuming that Congress approves legislation that
would authorize the Board to recover the full costs of administering its
programs, the Board would have to undertake necessary rulemakings to
determine the appropriate level of these assessments. These rulemakings
could not be completed in a timely manner to ensure adequate funding for
the Board in fiscal year 1999.
Instead of fully funding the Board through user fees, the Committee
believes that $2,600,000 is a reasonable sum, based on current
collections and carryover balances of $625,000 from fiscal year 1997.
Language is included in the bill allowing the fees to be credited to the
appropriation as offsetting collections, and reducing the general fund
appropriation on a dollar for dollar basis as the fees are received and
credited. The Board has told the Committee that it would prefer language
that would allow the user fees to be credited to the appropriation as
offsetting collections because the tracking of the collection would be
simplified.
The Committee has retained the bill language that provides that any
fees received in excess shall remain available until expended but shall
not be available for obligation until October 1, 1999. The carryover
provision allows the Board to capture and utilize the fees from prior
year filings during periods of shortfall. This language is necessary as
long as there is a dollar cap associated with offsetting collections.
During fiscal year 1999, the Committee suggests that the Board
revisit its user fee collection schedule to see if these fees should be
altered to better reflect the Board's costs of providing these services.
The Board did this type of analysis in 1996 when it increased its fees
from $1,900,000 to $3,000,000 per year. Any analysis that the Board
undertakes should reflect a gradual increase in fees, not to recoup all
the operating costs of the Board in fiscal year 2000.
Union Pacific/Southern Pacific merger. --The Committee is aware that
the Board has continuing jurisdiction over the Union Pacific/Southern
Pacific merger in connection with the STB Finance Docket No. 32760. If
it becomes necessary for the Board to issue a rule regarding the
environmental mitigation study for Wichita, Kansas, the Board shall base
its final environmental mitigation conditions for Wichita on verifiable
and appropriate assumptions. If there is any material change in the
bases of the assumptions on which the final mitigation for Wichita is
imposed, the Committee expects the Board to exercise that jurisdiction
by reexamining the final environmental mitigation measures. Also, if the
Union Pacific Corporation, its divisions, or subsidiaries materially
changes or is unable to achieve the assumptions the Board based its
final mitigation measures on, then the Board should reopen Finance
Docket 32760, if requested, and prescribe additional mitigation properly
reflecting these changes, if shown to be appropriate.
TITLE II--RELATED AGENCIES
ARCHITECTURAL AND TRANSPORTATION BARRIERS COMPLIANCE BOARD
Appropriation, fiscal year 1998 $3,640,000
Budget estimate, fiscal year 1999 3,847,000
Recommended in the bill 3,847,000
xlBill compared with:
Appropriation, fiscal year 1998 +207,000
Budget estimate, fiscal year 1999
The Committee recommends $3,847,000 for the operations of the
Architectural and Transportation Barriers Compliance Board, an increase
of $207,000 over the 1998 enacted level, and the same as the budget
request.
The activities of the Board include: ensuring compliance with the
standards prescribed by the Architectural Barriers Act; ensuring that
public conveyances, including rolling stock, are readily accessible to
and usable by physically handicapped persons; investigating and
examining alternative approaches to the elimination of architectural,
transportation, communication and attitudinal barriers; determining what
measures are being taken to eliminate these barriers; developing minimum
guidelines and requirements for accessibility standards; and providing
technical assistance to all programs affected by Title V of the
Rehabilitation Act.
NATIONAL TRANSPORTATION SAFETY BOARD
SALARIES AND EXPENSES
Appropriation, fiscal year 1998\1\ $53,771,000
Budget estimate, fiscal year 1999\2\ 47,200,000
Recommended in the bill 53,300,000
xlBill compared with:
Appropriation, fiscal year 1997 -471,000
Budget estimate, fiscal year 1998 +6,100,000
\1\Includes $5,400,000 contained in the Emergency Supplemental Appropriations Act of 1998.
\2\The President's budget request also included an appropriation of $6,000,000 in user fees.
Under the Independent Safety Board Act, the National Transportation
Safety Board (NTSB) is responsible for improving transportation safety
by investigating accidents, conducting special studies, developing
recommendations to prevent accidents, evaluating the effectiveness of
the transportation safety programs of other agencies, and reviewing
appeals of adverse actions involving airman and seaman certificates and
licenses, and civil penalties issued by the Department of
Transportation.
The bill includes an appropriation of $53,300,000 for salaries and
expenses, which is $6,100,000 more than requested in the President's
budget, and does not assume the collection of $6,000,000 in user fees.
The following table summarizes the fiscal year 1998 program level,
the President's fiscal year 1999 request, and the Committee's
recommendations:
Program Fiscal year 1998 enacted Fiscal year 1999 estimate Recommended in bill
Staff years Budget authority\1\ Staff years Budget authority\2\ Staff years Budget authority
Policy and direction 91 $11,703,000 91 $12,150,000 91 $12,150,000
Aviation safety 139 15,943,000 139 19,065,000 139 19,065,000
Surface transportation 96 11,465,000 96 12,155,000 96 12,255,000
Research and engineering 66 7,902,000 66 8,420,000 66 8,420,000
Administrative law judges 10 1,358,000 10 1,410,000 10 1,410,000
-------------- --------------------- -------------- --------------------- -------------- ------------------
Total 402 48,371,000 402 53,200,000 402 53,300,000
\1\Does not include $5,400,000 supplemental emergency appropriations. That funding was appropriated for rental payments of the Calverton facility in New York.
\2\Includes $6,000,000 in user fees.
The Committee expects to be advised if the Board proposes to deviate
in any way from the staff year allocations or by more than five percent
from the funding allocations listed above.
Truck and bus accidents. --The Committee is concerned about the
growing number of truck and bus accidents. After years of declining
vehicle crash rates and fatalities rates, both large trucks and
intercity passenger buses are experiencing an upswing in crash and
fatality rates. The Committee directs the Safety Board to monitor the
bus situation carefully and include it as part of the Board's special
investigation of bus crashworthiness and survivability. In addition, the
Committee directs the Board to closely monitor commercial motor vehicle
accident and fatality rates to determine whether or not these accident
rates are growing as a result of increased speeds on the nation's
highways. The Committee has provided $100,000 above the budget request
to do this additional work.
User fees. --The Committee has denied the request to collect
$6,000,000 in user fees. This request was based on the assumption that
legislation authorizing a commercial aviation accident investigation fee
would be enacted, and available for expenditure. The Committee does not
have the jurisdiction to authorize the collection of this fee and is
opposed to such a fee because it makes certain transportation sectors
(i.e. the aviation industry) responsible for paying accident
investigation costs while other sectors (i.e. rail, highway, marine,
etc.) would not be responsible for these costs. In addition, such fees
do not appear to meet existing definitions of user fees, and might, upon
further analysis, be defined as new taxes.
EMERGENCY FUND
Appropriation, fiscal year 1998 $1,000,000
Budget estimate, fiscal year 1999 1,000,000
Recommended in the bill 1,000,000
xlBill compared with:
Appropriation, fiscal year 1998
Budget estimate, fiscal year 1999
The bill includes an appropriation of $1,000,000 for the emergency
fund. Under Public Law 97 257, Supplemental Appropriation Act, 1982,
Congress provided a $1,000,000 emergency fund to be used for accident
investigation expenses when investigations would otherwise have been
hampered by lack of funding. By adopting this request, the Committee is
doubling the size of the emergency fund to $2,000,000. At this level,
sufficient funds should be available for unanticipated or unusually
expensive accident investigations. The Committee directs that this fund
should continue to be used only for accident investigation expenses when
investigations would otherwise have been hampered by a lack of funding.
New activities, such as providing assistance to families of victims of
transportation disasters, are not eligible. The Committee has provided
ample funding for family assistance activities under the Safety Board's
salaries and expenses account.
TITLE III--GENERAL PROVISIONS
(including transfers of funds)
The Committee concurs with the general provisions that apply to the
Department of Transportation and related agencies as proposed in the
budget with the following changes:
The Committee does not approve the requested deletion of the
following sections, all of which were contained in the fiscal year 1998
Department of Transportation and Related Agencies Appropriations Act
(section numbers are different):
Section 314 prohibits the use of funds to award multi-year contracts
for production end items that include certain specified provisions.
Section 317 prohibits funds to compensate in excess of 350 staff
years under the federally funded research and development contract
between the Federal Aviation Administration and the Center for Advanced
Aviation Systems Development.
Section 318 reduces funding for activities of the Transportation
administrative service center of the Department of Transportation and
limits obligation authority of the center to $89,124,000. The fiscal
year 1998 bill limited obligation authority of the center to
$118,800,000.
Section 320 prohibits funds to be used to prepare, propose, or
promulgate any regulation pursuant to title V of the Motor Vehicle
Information and Cost Savings Act prescribing corporate average fuel
economy standards for automobiles as defined in such title, in any model
year that differs from standards promulgated for such automobiles prior
to enactment of this section.
Section 323 prohibits the use of funds for any type of training which
(a) does not meet needs for knowledge, skills, and abilities bearing
directly on the performance of official duties; (b) could be highly
stressful or emotional to the students; (c) does not provide prior
notification of content and methods to be used during the training; (d)
contains any religious concepts or ideas; (e) attempts to modify a
person's values or lifestyle; or (f) is for AIDS awareness training,
except for raising awareness of medical ramifications of AIDS and
workplace rights.
Section 324 prohibits the use of funds in this Act for activities
designed to influence Congress on legislation or appropriations except
through proper, official channels.
Section 325 limits necessary expenses of advisory committees to
$1,000,000 of the funds provided in this Act to the Department of
Transportation.
Section 327 requires compliance with the Buy American Act.
Section 329 prohibits funds to implement or enforce regulations that
would result in slot allocations of international operations to any
carrier at O'Hare International Airport in excess of the number of slots
allocated to and scheduled by that carrier as of October 31, 1993, if
that slot is withdrawn from an air carrier under existing regulations.
The Committee included the following general provisions as requested
with modifications:
Section 305 prohibits funds in this Act for salaries and expenses of
more than 88 political and Presidential appointees in the Department of
Transportation and includes a provision that prohibits political and
Presidential personnel to be assigned on temporary detail outside the
Department of Transportation.
Section 315 allows funds for discretionary grants of the Federal
Transit Administration for specific projects, except for fixed guideway
modernization projects, not obligated by September 30, 2001, to be used
for other projects under 49 U.S.C. 5309.
Section 322 provides that funds received from the sale of data
products of the Bureau of Transportation Statistics may be credited to
the Federal-aid highways account for reimbursing the Bureau for such
expenses and that such funds shall be subject to the obligation
limitation for federal-aid highways and highway safety construction.
Section 331 credits to appropriations of the Department of
Transportation rebates, refunds, incentive payments, minor fees and
other funds received by the Department from travel management centers,
charge card programs, the subleasing of building space, and
miscellaneous sources. Funds shall remain available until December 31,
1999.
The Committee included the following new provisions:
Section 321 conveys Coast Guard lights at Tchefuncte River and Pass
Manchac in Louisiana to non-federal parties.
Section 333 rescinds unobligated balances of funds made available in
previous appropriations Acts for the National Civil Aviation Review
Commission and for the Urban Mass Transportation Administration's
``urban discretionary grants.''
Section 334 conveys land from the former Coast Guard reserve training
facility in Jacksonville, Florida, to non-federal parties.
Section 335 establishes a blue-ribbon panel to study the future
capital requirements, roles, and missions of the Coast Guard.
Section 336 provides $250,000 for activities and operations of a
Centennial of Flight Commission.
Section 337 authorizes the Secretary to waive repayment of any
federal-aid highway funds expended on high occupancy lanes or auxiliary
lanes on I 287 in the State of New Jersey.
Section 338 allows previously appropriated funds for a
railroad-highway crossing project in Augusta, Georgia, for other
projects in Augusta, Georgia.
Section 339 restricts funding provided in the Transportation Equity
Act for the 21st Century for Pennsylvania Station in excess of the
$100,000,000 federal commitment to fire and life safety repairs in the
North River and East River tunnels of Pennsylvania Station.
Section 340 prohibits the Coast Guard from enforcing regulations
regarding animal fats and vegetable oils.
Section 341 makes funding available for emergency railroad
rehabilitation and repair available from September 1996 to July 10,
1998.
Section 342 relates to evaluating environmental impacts of the toll
road in Orange and San Diego counties, California.
Section 343 provides for the conveyance of a decommissioned Coast
Guard vessel to the University of South Alabama that is determined to be
appropriate by the Commandant and the University.
Section 344 amends item 1132 in section 1602 of Public Law 105 178
relating to Mississippi.
Sections 345 and 346 make technical corrections to Public Law 105 178
on transit and highway guarantee funding levels.
The Committee has not included provisions proposed in the budget:
(1) pertaining to exemptions to the Federal-aid highways limitation
on obligations; (2) allowing additional transfer authority not to exceed
5 percent between discretionary appropriations; (3) authorizing the
collection of fees resulting from the siting of mobile service antennas;
(4) allowing the Secretary of Transportation to exempt any class of
vehicle deemed appropriate under 49 CFR part 580.6; and (5) authorizing
new railroad safety fees.
HOUSE OF REPRESENTATIVES REPORT REQUIREMENTS
The following items are included in accordance with various
requirements of the Rules of the House of Representatives:
CONSTITUTIONAL AUTHORITY
Clause 2(1)(4) of rule XI of the Rules of the House of
Representatives states:
Each report of a committee on a bill or joint
resolution of a public character, shall include a statement
citing the specific powers granted to the Congress in the
Constitution to enact the law proposed by the bill or joint
resolution.
The Committee on Appropriations bases its authority to report this
legislation from clause 7 of section 9 of Article I of the Constitution
of the United States of America which states:
No money shall be drawn from the Treasury but in
consequence of Appropriations made by law . . . .
Appropriations contained in this Act are made pursuant to this
specific power granted by the Constitution.
RESCISSIONS
Pursuant to clause 1(b) of rule X of the House of Representatives,
the following table is submitted describing the rescissions recommended
in the accompanying bill:
Federal Aviation Administration, Grants-in-aid for airports (airport and airway trust fund) (rescission of contract authorization) -$5,000,000
xlTitle III, General Provisions:
Section 334, National Civil Aviation Review Commission -752,000
Section 334, UMTA Urban discretionary grants -3,918,000
TRANSFERS OF FUNDS
Pursuant to clause 1(b) of rule X of the House of Representatives,
the following statement is submitted describing the transfers of funds
provided in the accompanying bill.
The Committee recommends the following transfers:
Under Coast Guard, Reserve training: Provided, That no more than
$20,000,000 of funds made available under this heading may be
transferred to Coast Guard ``Operating expenses'' or otherwise made
available to reimburse the Coast Guard for financial support of the
Coast Guard Reserve.
Under Federal Highway Administration, Limitation on general operating
expenses: Provided, That $52,530,000 shall be transferred to the
National Highway Traffic Safety Administration to carry out the
functions and operations of the office of motor carriers.
Under Federal Transit Administration, Administrative expenses:
Provided further, That of the funds in this Act available for the
execution of contracts under section 5327(c) of title 49, United States
Code, $750,000 shall be transferred to the Department of Transportation
Inspector General for costs associated with the audit and review of new
fixed guideway systems.
Under the general provisions:
Sec. 316. Notwithstanding any other provision of law, any funds
appropriated before October 1, 1998, under chapter 53 of title 49
U.S.C., that remain available for expenditure may be transferred to and
administered under the most recent appropriation heading for any such
section.
Sec. 338. Funds made available in previous appropriations Acts for a
railroad-highway crossing project in Augusta, Georgia shall be available
for other street, rail and related improvements in the vicinity of the
grade crossing of the CSX railroad and 15th Street in Augusta, Georgia.
COMPLIANCE WITH CLAUSE 3 OF RULE XIII
In compliance with clause 3 of rule XIII of the Rules of the House of
Representatives, changes in existing law made by the bill, as reported,
are shown as follows (existing law proposed to be omitted is enclosed in
black brackets, new matter is printed in italic, existing law in which
no change is proposed is shown in roman):
TRANSPORTATION EQUITY ACT FOR THE 21ST CENTURY
* * * * * * *
TITLE I--FEDERAL-AID HIGHWAYS
Subtitle A--Authorizations and Programs
* * * * * * *
SEC. 1102. OBLIGATION CEILING.
(a) General Limitation.--Notwithstanding any other provision of law
but subject to subsections (g) and (h), the obligations for Federal-aid
highway and highway safety construction programs shall not exceed--
(1) $21,500,000,000 for fiscal year 1998;
(2) $25,431,000,000 $25,511,000,000 for fiscal year 1999;
* * * * * * *
Subtitle F--High Priority Projects
* * * * * * *
SEC. 1602. PROJECT AUTHORIZATIONS.
Subject to section 117 of title 23, United States Code, the amount
listed for each high priority project in the following table shall be
available. (from amounts made available by section 1101(a)(13) of the
Transportation Equity Act for the 21st Century) for fiscal years 1998
through 2003 to carry out each such project:
No. State Project description (Dollars in millions)
1. Georgia I 75 advanced transportation management system in Cobb County 1.7
* * * * * * *
1132. Mississippi Construct I 20 interchange at [Pirate Cove] Pirates' Cove and 4-lane connector to Mississippi Highway 468 0.75.
* * * * * * *
* * * * * * *
TITLE VIII--TRANSPORTATION DISCRETIONARY SPENDING GUARANTEE
AND BUDGET OFFSETS
Subtitle A--Transportation Discretionary Spending Guarantee
SEC. 8101. DISCRETIONARY SPENDING CATEGORIES.
(a) * * *
(b) Offsetting Adjustment in Discretionary Spending Limits.--
(1) Adjustment of nondefense category for fy1999.--The discretionary
spending limit set forth in section 251(c)(3)(B) of the Balanced Budget
and Emergency Deficit Control Act of 1985, as adjusted in conformance
with section 251(b) of that Act, is reduced by $859,000,000 in new
budget authority and $25,173,000,000 $25,144,000,000 in outlays.
(2) Adjustment of discretionary category for fy2000.--The
discretionary spending limit set forth in section 251(c)(4)(A) of the
Balanced Budget and Emergency Deficit Control Act of 1985, as adjusted
in conformance with section 251(b) of that Act, is reduced by
$859,000,000 in new budget authority and $26,045,000,000 $26,009,000,000
in outlays.
* * * * * * *
(f) Technical Amendments.--Section 250(c)(4)(C) of the Balanced
Budget and Emergency Deficit Control Act of 1985 (as amended by
subsection (c) of this section) is amended--
(1) by striking ``Century and'' and inserting ``Century or'';
(2) by striking ``as amended by this section,'' and inserting ``as
amended by the Transportation Equity Act for the 21st Century,''; and
(3) by adding at the end the following new flush sentence:
``Such term also refers to the Washington Metropolitan Transit
Authority account (69 1128 0 1 401) only for fiscal year 1999 only for
appropriations provided pursuant to authorizations contained in section
14 of Public Law 96 184 and Public Law 101 551.''.
SEC. 8102. CONFORMING THE PAYGO SCORECARD WITH THIS ACT.
Upon the enactment of this Act, the Director of the Office of
Management and Budget shall not make any estimates under section 252(d)
of the Balanced Budget and Emergency Deficit Control Act of 1985 of
changes in direct spending outlays and receipts for any fiscal year
resulting from this title or from section 1102 of this Act .
* * * * * * *
SECTION 250 OF THE BALANCED BUDGET AND EMERGENCY DEFICIT CONTROL ACT OF
1985
SEC. 250. TABLE OF CONTENTS; STATEMENT OF BUDGET ENFORCEMENT
THROUGH SEQUESTRATION; DEFINITIONS.
(a) * * *
* * * * * * *
(c) Definitions .--
As used in this part:
(1) * * *
* * * * * * *
(4)(A) * * *
* * * * * * *
(C) The term ``mass transit category'' refers to the following
budget accounts or portions thereof that are subject to the obligation
limitations on contract authority provided in the Transportation Equity
Act for the 21st Century and or for which appropriations are provided
pursuant to authorizations contained in that Act (except that
appropriations provided pursuant to section 5338(h) of title 49, United
States Code, as amended by this section, as amended by the
Transportation Equity Act of the 21st Century, shall not be included in
this category):
(i) 69 8191 0 7 401 (Mass Transit Capital Fund).
(ii) 69 8350 0 7 401 (Trust Fund Share of Expenses).
(iii) 69 1129 0 1 401 (Formula Grants).
(iv) 69 1120 0 1 401 (Administrative Expenses).
(v) 69 1136 0 1 401 (University Transportation Centers).
(vi) 69 1137 0 1 401 (Transit Planning and Research).
Such term also refers to the Washington Metropolitan Transit
Authority account (69 1128 0 1 401) only for fiscal year 1999 only for
appropriations provided pursuant to authorizations contained in section
14 of Public Law 96 184 and Public Law 101 551.
* * * * * * *
CHANGES IN EXISTING LAW
Pursuant to clause 3 of rule XXI of the House of Representatives, the
following statements are submitted describing the effects of provisions
in the accompanying bill which might be construed, under some
circumstances, as directly or indirectly changing the application of
existing law.
The bill provides that appropriations shall remain available for more
than one year for a number of programs for which the basic authorizing
legislation does not explicitly authorize such extended availability.
The bill includes limitations on official entertainment, reception
and representation expenses for the Secretary of Transportation and the
National Transportation Safety Board. Similar provisions have appeared
in many previous appropriations Acts.
The bill provides for transfer of funds that might be construed as
changing the application of existing law. Similar provisions have
appeared in previous appropriations Acts. These items are discussed
under the appropriate heading in the report.
The bill includes a number of limitations on the purchase of
automobiles, motorcycles, or office furnishings. Similar limitations
have appeared in many previous appropriations Acts.
Language is included in several instances permitting certain funds to
be credited to the appropriations recommended.
Language is included under Office of the Secretary, ``Salaries and
Expenses,'' which would allow crediting the account with up to
$1,000,000 in user fees.
Language is included that limits operating costs and capital outlays
of the Transportation Administrative Service Center of the Department of
Transportation and limits special assessments or reimbursable agreements
levied against any program, project or activity funded in this Act to
only those assessments or reimbursable agreements that are presented to
and approved by the House and Senate Appropriations Committee.
Language is included under the Coast Guard, ``Operating expenses''
which specifies that the number of aircraft on hand at any one time
cannot exceed two hundred and twelve.
Language is included under the Coast Guard, ``Operating expenses''
which specifies that none of the funds appropriated shall be available
for pay or administrative expenses in connection with shipping
commissioners.
Language is included under the Coast Guard, ``Operating expenses''
that limits the use of funds for yacht documentation to the amount of
fees collected from yacht owners.
Language is included under the Coast Guard, ``Operating expenses''
that specifies that the Commandant shall reduce both military and
civilian employment levels to comply with Executive Order No. 12839.
Language is included under the Coast Guard, ``Operating expenses''
that prohibits funds to plan, finalize, or implement any regulation that
would promulgate new maritime user fees not specifically authorized by
law after the date of enactment of this Act.
Language is included under the Coast Guard, ``Acquisition,
construction, and improvements'' that credits funds received from the
sale of the HU 25 aircraft to this account to purchase new aircraft.
Language is included under the Coast Guard, ``Acquisition,
construction, and improvements'' that credits funds from the disposal of
surplus property by sale or lease and allows not more than $3,000,000 to
be credited as offsetting collections to this appropriation.
Language is included under Coast Guard, ``Reserve training'' that
limits funds available for transfer to ``Operating expenses'' to no more
than $20,000,000 to reimburse the Coast Guard for financial support of
the Coast Guard Reserve.
Language is included under Coast Guard, ``Reserve training'' that
prohibits funds by the Coast Guard to assess direct charges on the Coast
Guard Reserves for items or activities which were not so charged during
fiscal year 1997.
Language is included under the Coast Guard, ``Research, development,
test, and evaluation'' that credits funds received from state and local
governments and other entities for expenses incurred for research,
development, testing, and evaluation.
Language is included under the FAA, ``Operations,'' permitting the
use of funds to enter into a grant agreement with a nonprofit
standard-setting organization to develop aviation safety standards.
Language is included under the Federal Aviation Administration,
``Operations'' that prohibits the use of funds for new applicants of the
second career training program.
Language is included under the FAA, ``Operations'' that prohibits the
use of funds for premium pay unless an employee actually performed work
during the time corresponding to the premium pay.
Language is included under the FAA, ``Operations'' that prohibits
funds from being used to operate a manned auxiliary flight service
station in the contiguous United States.
Language is included under the FAA, ``Operations'' that limits FAA's
contribution to the Transportation Administrative Service Center.
Language is included under FAA, ``Operations'' that prohibits
multiyear leases greater than three years in length or greater than
$100,000,000 unless specifically authorized and contingent liabilities
fully funded.
Language is included under FAA, ``Operations'' that requires that
only overflight fees be used to support salaries or expenses of
personnel who carry out the essential air service program.
Language is included under FAA, ``Operations'' that prohibits funds
for FAA to sign a lease for satellite services related to the global
positioning system wide area augmentation system until the FAA
administrator certifies in writing that such lease will result in the
lowest overall cost to the agency.
Language is included under FAA, ``Facilities and equipment'' that
allows certain funds received for expenses incurred in the establishment
and modernization of air navigation facilities to be credited to the
account.
Language is included under FAA, ``Facilities and equipment'' that
prohibits funds for additional bulk explosive detection systems until
the FAA administrator certifies in writing that major air carriers
responsible for providing security agree to specific stipulations.
Language is included under FAA, ``Facilities and equipment'' that
reimburses the sponsor of Louisville Standiford Field in Kentucky for
costs related to an instrument landing system.
Language is included under FAA, ``Research, engineering, and
development,'' that allows certain funds received for expenses incurred
in research, engineering and development to be credited to the account.
Language is included prohibiting funds for aircraft purchase loan
guarantees.
Language is included repealing the administrative service franchise
fund.
The bill includes a limitation on general operating expenses and
transportation research of the Federal Highway Administration.
Language is included under National Highway Traffic Safety
Administration, ``Operations and research'' prohibiting the planning or
implementation of any rulemaking on labeling passenger car tires for low
rolling resistance.
Language is included under National Highway Traffic Safety
Administration, ``Highway traffic safety grants'' limiting obligations
for certain safety grant programs.
Language is included under Federal Railroad Administration, ``Office
of the administrator'' authorizing the Secretary to receive payments
from the Union Station Redevelopment Corporation, credit them to the
appropriation charged with the first deed of trust, and make payments on
the first deed of trust.
Language is included under Federal Railroad Administration,
``Railroad safety'' that allows reimbursement of states' employees
travel and per diem costs when directly supporting federal railroad
safety programs.
Language is included under Federal Railroad Administration,
``Railroad Research and Development'' that allows FRA to sell old
aluminum reaction rail at the Transportation Technology Center in
Pueblo, Colorado, and credits such sale to this appropriation.
Language is included authorizing the Secretary to issue fund
anticipation notes necessary to pay obligations under sections 511
through 513 of the Railroad Revitalization and Regulatory Reform Act.
Language is included under Federal Railroad Administration, ``Rhode
Island rail development'' that specifies that the federal contribution
shall be matched on a dollar-for-dollar basis.
Language is included under Federal Railroad Administration, ``Capital
Grants to the National Railroad Passenger Corporation'' that withholds
funds to Amtrak until the deposit of funds provided under the Taxpayer
Relief Act of 1997 and the approval of an Amtrak capital funding plan by
the Secretary of Transportation, Director of the Office of Management
and Budget, and the House and Senate Committees on Appropriations.
Language is included under Federal Transit Administration,
``Administrative expenses'' that transfers funds to the Inspector
General for audit and review of new fixed guideway systems.
Language is included under Federal Transit Administration,
``Discretionary grants,'' specifying the distribution of funds for new
fixed guideway systems in this Act.
Language is included under Research and Special Programs
Administration, ``Research and special programs,'' which would allow up
to $1,200,000 in fees collected under 49 U.S.C. 5108(g) to be deposited
in the general fund of the Treasury as offsetting receipts.
Language is included under Research and Special Programs
Administration, ``Research and special programs,'' that credits certain
funds received for expenses incurred for training and other activities.
Language is included under Research and Special Programs
Administration, ``Pipeline safety'' that allows up to $1,300,000 for
one-call notification systems to be funded from amounts previously
collected and held in a reserve account.
Language is included under Research and Special Programs
Administration, ``Emergency preparedness grants,'' specifying the
Secretary of Transportation or his designee may obligate funds provided
under this head.
Language is included under Surface Transportation Board, ``Salaries
and expenses'' allowing the collection of $2,600,000 in fees established
by the Chairman of the Surface Transportation Board; and providing that
fees collected in excess of $2,600,000 shall not be available until
October 1, 1999.
Language is included under ``Architectural and Transportation
Barriers Compliance Board, ``Salaries and expenses,'' that provides that
funds received for publications and training may be credited to the
appropriation.
Language is included in rescinding contract authority and other
unobligated balances of funds previously provided.
The bill contains a number of general provisions that place
limitations or funding prohibitions on the use of funds in the bill and
which might, under some circumstances, be construed as changing the
application of existing law.
The bill contains a number of general provisions that allow for the
redistribution of previously appropriated funds.
Section 313 allows airports to transfer to the Federal Aviation
Administration instrument landing systems which conform to FAA
specifications and the purchase of such equipment was assisted by a
federal airport aid program.
Section 318 reduced funding for activities of the transportation
administrative service center of the Department of Transportation and
limits obligation authority of the center to $89,124,000.
Section 320 prohibits funds to be used to prepare, propose, or
promulgate any rule under title V of the Motor Vehicle Information and
Cost Savings Act prescribing corporate average fuel economy standards
for automobiles.
Section 321 includes language that conveys the Pass Manchac Light in
Tangipahoa Parish, Louisiana to the State of Louisiana and the
Tchefuncte River Rear Light in Madisonville, Louisiana, to the Town of
Madisonville.
Section 322 allows funds received by the Bureau of Transportation
Statistics from the sale of data products be credited to the Federal-aid
highways account for the purpose of reimbursing the Bureau for such
expenses.
Section 323 prohibits funds for any type of training which: (a) does
not meet needs for knowledge, skills, and abilities bearing directly on
the performance of official duties; (b) could be highly stressful or
emotional to the students; (c) does not provide prior notification of
content and methods to be used during the training; (d) contains any
religious concepts or ideas; (e) attempts to modify a person's values or
lifestyle; or (f) is for AIDS awareness training, except for raising
awareness of medical ramifications of AIDS and workplace rights.
Section 330 limits the number of communities that receive essential
air service funding.
Section 331 credits to appropriations of the Department of
Transportation rebates, refunds, incentive payments, minor fees and
other funds received by the Department from travel management centers,
charge card programs, the subleasing of building space, and
miscellaneous sources.
Section 332 authorizes the Secretary of Transportation to allow
issuers to redeem or repurchase preferred stock sold to the Department
of Transportation.
Section 334 includes language that conveys land from the former Coast
Guard reserve training facility in Jacksonville, Florida, to non-federal
parties.
Section 335 provides funds for a blue-ribbon panel to study the
future capital requirements, roles, and missions of the U.S. Coast
Guard.
Section 336 provides funds for activities and operations of the
Centennial of Flight Commission.
Section 337 authorizes the Secretary to waive repayment of any
federal-aid highway funds expended on high occupancy lanes or auxiliary
lanes on I 287 in the State of New Jersey.
Section 338 allows previously appropriated funds for a
railroad-highway crossing project in Augusta, Georgia, for other
projects in Augusta, Georgia.
Section 339 limits funds made available for Pennsylvania Station
above the federal commitment of $100,000,000 to fire and life safety
repairs in the North River and East River tunnels.
Section 340 prohibits the Coast Guard from enforcing regulations
regarding animal fats and vegetable oils.
Section 341 makes funding available in Public Law 105 174 for
emergency railroad rehabilitation and repair available from September
1996 to July 10, 1998.
Section 342 relates to evaluating environmental impacts of the toll
road in Orange and San Diego counties, California.
Section 343 provides for the conveyance of a decommissioned Coast
Guard vessel to the University of South Alabama that is determined to be
appropriate by the Commandant and the University.
Section 344 amends item 1132 in section 1602 of Public Law 105 178
relating to Mississippi.
Sections 345 and 346 make technical corrections to Public Law 105 178
on transit and highway guarantee funding levels.
APPROPRIATIONS NOT AUTHORIZED BY LAW
Pursuant to clause 3 of rule XXI of the House of Representatives, the
following lists the appropriations in the accompanying bill which are
not authorized by law:
United States Coast Guard
Federal Aviation Administration
Federal Railroad Administration
Research and Special Programs Administration
Surface Transportation Board
COMPARISON WITH BUDGET RESOLUTION
Section 308(a)(1)(A) of the Congressional Budget and Impoundment
Control Act of 1974 (Public Law 93 344), as amended, requires that the
report accompanying a bill providing new budget authority contain a
statement detailing how the new authority compares with the reports
submitted under section 302(b) of the Act for the most recently agreed
to concurrent resolution on the budget for the fiscal year. This
information follows:
[In millions of dollars]
302(b) allocation This bill
Budget authority Outlays Budget authority Outlays
Discretionary $11,939 $39,933 $11,939 $39,933
Mandatory 682 678 682 678
------------------- ---------- ------------------- ---------
Total 12,621 40,611 12,621 40,611
The bill provides new spending authority as defined under section
401(c)(2) of the Congressional Budget and Impoundment Control Act of
1974 (Public Law 93 344), as amended, as follows:
Under Federal Railroad Administration, Railroad rehabilitation and
improvement financing funds, authority is provided to issue notes
necessary to pay obligations under section 511 through 513 of the
Railroad Revitalization and Regulatory Reform Act. This provision has
been included at the request of the administration because the
government's financial obligations under this program are difficult to
determine in advance and may require immediate expenditures of funds.
The Committee has received no indication to date that this authority
will be used in fiscal year 1998. Similar provisions have been included
in many previous appropriations Acts.
FIVE-YEAR OUTLAY PROJECTS
In accordance with section 308(a)(1)(B) of the Congressional Budget
Act of 1974 (Public Law 93 344), as amended, the following information
was provided to the Committee by the Congressional Budget Office:
Budget authority $13,733,000,000
xlOutlays:
1999 16,313,000,000
2000 15,002,000,000
2001 6,351,000,000
2002 4,181,000,000
2003 and beyond 3,842,000,000
FINANCIAL ASSISTANCE TO STATE AND LOCAL GOVERNMENTS
In accordance with section 308(a)(1)(C) of Public Law 93 344, the
Congressional Budget Office has provided the following estimates of new
budget authority and outlays provided by the accompanying bill for
financial assistance to state and local governments:
Budget authority $1,098,,000,000
Fiscal year 1999 outlays 7,157,000,000
Offset Folios 191 to 204 Insert here
ADDITIONAL VIEWS OF HON. FRANK R. WOLF
For fiscal year 1999, the Committee has provided $3,922,000,000 for
Coast Guard operations and acquisition activities including $406,000,000
to support America's ``War on Drugs.'' As a result of the high priority
the Committee places on the eradication of illegal drug use by
Americans, and its youth in particular, the Committee has included over
$73 million more for this effort than was requested by the
administration. It is because I hold such strong views on this topic
that I have included these ``Additional Views'' in the Committee's
report urging the Coast Guard to use force to prevent drugs from
reaching our shores and to increase efforts to apprehend known drug
traffickers. With the additional funding provided in this bill the Coast
Guard must be allowed to be more aggressive in its pursuit of drug
traffickers. If America is going to be called upon to provide more for
drug interdiction, Americans should know that their money is being put
to its best and most effective use.
Every year I visit schools in my congressional district taking the
opportunity to spend time with teachers, administrators and students.
What I am hearing from them about illegal drug use is alarming. I have
hosted workshops and conferences on the drug problem and invited parents
and community leaders. What I see is a frustration that while we talk a
great deal about the elimination of drugs, not enough is being done. I
agree. The ``War on Drugs'' is truly a battle for the heart and soul of
our nation and simply throwing money at it will not win it.
There is a great deal of debate on how best to curb illegal drug use
in America. Some propose greater educational and rehabilitative programs
to curb demand. Other stress interdiction and the need to work with
source countries to eliminate supply.
In my opinion, education and treatment must be the foundation upon
efforts to eliminate illegal drug use are built. By educating our youth
about the perils of drug use and by extending a helping hand to those
afflicted by this scourge, America can prevail in the ``War on Drugs.''
Initiatives such as the ``Drug Free Communities Act'' and the ``Drug
Free Workplaces Act'' which support community-based educational efforts
can play an important role in this effort. So too must America's
families. We must provide parents with every tool necessary to assist in
this effort including the ability to speak frankly with clinicians and
physicians about their children's drug use, a right many parents today
do not enjoy.
In the mid to late 1980's, President and Mrs. Reagan provided
national leadership in America's effort to rid itself of illegal drugs,
and through the ``Just Say No'' campaign significantly reduced illegal
drug use in our nation. But no battle is won forever. In a recent
National Parents' Resource Institute for Drug Education (PRIDE) survey,
25 percent of senior high school students responded that they have used
drugs at least once a month. Each generation must remain vigilant in its
efforts. We must stress the importance of education and rehabilitation
as keys to eliminating the use of illegal drugs in America.
At the same time, congressional leadership has stressed the role of
interdiction in the ``War in Drugs'' and funding for the Coast Guard in
this bill provides more for this effort. It is in this regard that I
suggest that if America is going to spend more of its taxpayers' money
on interdiction, it must be more aggressive in combating illegal drug
suppliers. We must rethink our ``shoot-down'' policy as well as the
policy on apprehension of drug traffickers. By doing so, we send a
strong message to all engaged in the drug trade that America is serious
about winning this war.
This is not a new idea. In 1990, former Rep. Lawrence Coughlin of
Pennsylvania, who served as the ranking minority member of the
Transportation subcommittee, introduced the ``Airborne Drug Trafficking
Deterrence Act'' because the Coast Guard lacked the tools to adequately
engage drug traffickers using aircraft to transport their poison to
America.
In 1998, the situation remains much the same. Today, the Coast Guard
has the ability to fire warning shots, and disabling fire, at boats
suspected of transporting illegal drugs. It is a resource that is
available today, but in my opinion is not used enough. However, the
Coast Guard has virtually no power to deal with drugs being transported
via aircraft. Only in those narrow situation where an aircraft poses an
imminent threat of death or serious bodily injury to any person may the
Coast Guard act. In addition, none of the Coast Guard's aircraft are
currently equipped with firepower.
As Rep. Coughlin said, the Coast Guard has ``enormous capability to
detect, monitor and follow drug smugglers but little ability to take any
action which might deter them . . . they follow drug smugglers with
expensive radars and chase planes. They watch them deliver their drugs,
and they escort them away from the drop site. They are well trained,
attentive to procedure, professional--and, unfortunately, they are
helpless, because they can take no action against such an aircraft.''
Coast Guard aircraft should be outfitted with the necessary firepower
or the resources of our armed forces should be made available at their
disposal to carry out this important mission.
Is not the delivery of drugs to America a threat of death or serious
bodily injury? In 1988, then Assistant Attorney General William Weld
stated that an argument for firing upon aircraft known to be
transporting illegal drugs could be made ``if sufficient nexus can be
established between air transportation of drugs and the physical harm
that might result when the drugs reach their intended.'' In my opinion,
the required nexus exists--illegal drugs of the sort being transported
via aircraft do pose a threat of death and serious bodily injury to
Americans.
A more aggressive shoot-down policy would also have the effect of
deterring drug smuggling via aircraft. A smuggler who knows that his
plane, and his life, could be lost in the delivery of drugs may think
again before making the run. In 1990, former Coast Guard Commandant Paul
Yost agreed, and in a letter to Congress wrote, ``In my view, the use of
force against airborne drug traffickers, under certain conditions, is
not only justified but necessary given the world we live in.''
In addition, the United States must be more aggressive in its effort
to apprehend known drug traffickers, regardless of their location.
Earlier this year, the Customs Service, Justice Department and Federal
Reserve Bank culminated a bold three-year investigation of drug-money
laundering with charges against bankers with 12 of Mexico's largest 19
banks. ``Operation Casablanca'' resulted in the seizure of two tons of
cocaine, four tons of marijuana, and most importantly, the arrest of
more than 100 individuals engaged in the drug trade.
While ``Operation Casablanca'' is a positive step in America's ``War
on Drugs,'' we cannot claim victory. In addition to seizing laundered
proceeds from the drug trade, the United States should consider
developing a program to seize individuals who perpetuate the sale of
narcotics in America. If foreign governments are not willing to
apprehend known drug traffickers in their countries, then the United
States should. With the funds provided by this Committee and others in
Congress to defeat drug use, intelligence gathered on the drug trade
should be put to the most productive use, including the seizure of
individuals.
The ``War on Drugs'' demands bold and innovative steps. It requires a
balance of strategies to eliminate supply and demand. Education and
rehabilitation can work as they have in the past and these important
efforts must continue. But if we are going to place a priority on
interdiction as the congressional leadership has, there is more we can
do. Firing upon known drug traffickers, and apprehending them wherever
they may be, would be a good start.
Frank R. Wolf.
ADDITIONAL VIEWS OF HON. DAVID OBEY
WHY IS THE FEDERAL BUDGET BALANCED?
Fiscal Year 1998 will mark the first balanced budget in 29 years. On
July 15, 1998 the Congressional Budget Office revised its surplus
estimate once again predicting that the 1998 surplus will be $63
billion, and if the current policies remain unchanged, the surplus is
expected to rise to $80 billion in 1999. The OMB's Mid-Session Review
issued on May 26, 1998 predicts a 1998 surplus of $39 billion. This is a
remarkable turnabout given that as recently as FY 1992, the federal
deficit was $290 billion. This surplus is the culmination of six years
in a row of successively improved fiscal balances, the longest such
period of improvement in history; will cause the debt burden to shrink
for the fourth year in a row (i.e., debt held by the public as a share
of GDP; and will cause mandatory net interest payments to start
shrinking as a share of the budget and as a share of the
economy--leaving more room in the budget for productive activities.
Soon after May surplus projections were released, the Majority Party
issued a flurry of press releases making the claim that so-called
``Balanced Budget'' legislation and other bills enacted by Congress last
year are responsible for this turnabout. Such claims are simply not
credible. Just as it took years of fiscal imprudence in the 1980's and
early 1990's to build up a $290 billion deficit by 1992, it took years
of adhering to disciplined and responsible fiscal and monetary policies
since 1992 to dig out of this deficit position.
WHAT CAUSED THE 1998 SURPLUS?--CBO'S EXPLANATION
So what are the precise reasons for this dramatic turnaround since
President Bush left office with a $290 billion deficit? The CBO has
issued data that answers this question objectively and decisively.
According to the CBO data, the remarkable fiscal turnabout has been
due to three primary factors: An improved economy with six years of
sustained growth; legislation passed by the 103rd Democratic Congress in
1993 and 1994; and a slower rise in the cost of medical care (e.g.,
Medicare/Medicaid) than projected.
Conspicuously absent from CBO's analysis of reasons for the 1998
surplus is the fiscal effect of laws enacted by Republican congresses
between 1995 and the present date. The reason for this is that the CBO
actually totes up legislation enacted in the period that Republican have
been in control of Congress as raising the deficit by more than it cut
in 1998. The sum total of laws passed by the 104th and 105th Republican
congresses will cost the Treasury roughly $11,000,000,000 more in FY
1998 than they saved.
In January 1993 when President Clinton took office, CBO made the
alarming prediction that the federal deficit for the next five years
would go through the roof--to $357 billion by fiscal 1998. This was
despite the fact that the economy was expected to improve over that
five-year timeframe. Since then, we have been able to wipe out this $357
billion deficit and build a surplus of $43 billion--a net change of $400
billion.
The CBO attributes this astounding turnaround to the following major
reasons:
Major Reasons for the FY 1998 Surplus
CBO Estimate
Billions
Projected FY 1998 Deficit (Jan. 1993 CBO forecast)
$357
Major Factors for Fiscal Change Since 1992:
Improved economy (revenues higher/entitlement costs lower than 1993
forecast)
\1\-210
Democratic Congress (budgetary effect of legislation passed in 1993
and 1994)
-141
Health care costs (lower cost increases for Medicare/other health care
programs than 1993 forecast)
-60
Total Deficit Reduction
-411
Republican Congresses (budgetary effect of legislation passed
1995-present)
+11
Total Fiscal Change
-400
\1\Minimum.
Despite claims to the contrary, CBO data show that the combined
fiscal effect of the laws enacted by the 104th and 105th Republican
Congresses is to add $11,000,000,000 more to the deficit than it cut in
Fiscal Year 1998.
Clearly the CBO numbers confirm that the major credit for creating
the 1998 surplus must go to actions of the 103rd Democratic Congress,
which not only produced real net savings of $141 billion, but created
the conditions necessary to adopt pro-growth monetary policies that have
been very successful. The centerpiece of this effort, the deficit
reduction bill passed in 1993, was described as follows by Federal
Reserve Chairman Greenspan: ``There's no question that the impact of
bringing the deficit down [through the 1993 budget bill] set in place a
series of events--a virtuous cycle, if I may put it that way--which has
led us to where we are.'' (In testimony before the House Budget
Committee, March 4, 1998.)
The facts show that the 1998 budget is balanced despite Republican
legislative efforts, not because of them.
David Obey.
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