Federal Register, Volume 75, Number 30, February 16, 2010, Pages 7027-7148 Page: 7,054

                                
Federal Register/Vol. 75, No. 30 / Tuesday, February 16, 2010 / Notices

use of this provision. The one percent
may also include security expenditures
included within other capital activities,
and, where the recipient is eligible,
operating assistance.
FTA is often called upon to report to
Congress and others on how grantees are
expending Federal funds for security
enhancements. To facilitate tracking of
grantees' security expenditures, which
are not always evident when included
within larger capital or operating
activity line items in the grant budget,
we have established a non-additive
("non-add") scope code for security
expenditures-Scope 991. The non-add
scope is to be used to aggregate
activities included in other scopes, and
it does not increase the budget total.
Section 5307 grantees should include
this non-add scope in the project budget
for each new Section 5307 grant
application or amendment. Under this
non-add scope, the applicant should
repeat the full amount of any of the line
items in the budget that are exclusively
for security and include the portion of
any other line item in the project budget
that is attributable to security, using
under the non-add scope the same line
item used in the project budget. The
grantee can modify the ALI description
or use the extended text feature, if
necessary, to describe the security
expenditures.
The grantee must provide information
regarding its use of the one percent for
security as part of each Section 5307
grant application, using a special screen
in TEAM-Web. If the grantee has
certified that it is not necessary to
expend one percent for security, the
Section 5307 grant application must
include information to support that
certification. FTA will not process an
application for a Section 5307 grant
until the security information is
complete.
d. FY 2010 Operating Assistance
UZAs under 200,000 in population
may use Section 5307 funds for
operating assistance. In addition,
Section 5307, as amended, allows some
UZAs with a population of 200,000 or
more to use Urbanized Area Formula
funds for operating assistance under
certain conditions. CR, 2010 extends
that eligibility until February 28, 2010.
The specific provisions allowing the
limited use of operating assistance in
large UZAs follow:
(1) Section 5307(b)(1)(E) provides for
grants for the operating costs of
equipment and facilities for use in
public transportation in the Evansville,
IN-KY urbanized area, for a portion or

portions of the UZA if "the portion" of

the UZA includes only one State, the
population of "the portion" is less than
30,000, and the grants will be not used
to provide public transportation outside
of "the portion" of the UZA.
(2) Section 5307(b)(1)(F) provides
operating costs of equipment and
facilities for use in public transportation
for local governmental authorities in
areas which adopted transit operating
and financing plans that became a part
of the Houston, Texas, UZA as a result
of the 2000 decennial census of
population, but lie outside the service
area of the principal public
transportation agency that serves the
Houston UZA.
(3) Section 5336(a)(2) prescribes the
formula to be used to apportion Section
5307 funds to UZAs with population of
200,000 or more. SAFETEA-LU
amended 5336(a)(2) to add language that
stated, "* * * except that the amount
apportioned to the Anchorage urbanized
area under subsection (b) shall be
available to the Alaska Railroad for any
costs related to its passenger
operations." This language has the effect
of directing that funds apportioned to
the Anchorage urbanized area, under
the fixed guideway tiers of the Section
5307 apportionment formula, be made
available to the Alaska Railroad, and
that these funds may be used for any
capital or operating costs related to its
passenger operations.
(4) Section 3027(c)(3) of TEA-21, as
amended (49 U.S.C. 5307 note),
provides an exception to the restriction
on the use of operating assistance in a
UZA with a population of 200,000 or
more, by allowing transit providers/
grantees that provide service exclusively
to elderly persons and persons with
disabilities and that operate 20 or fewer
vehicles to use Section 5307 funds
apportioned to the UZA for operating
assistance. The total amount of funding
made available for this purpose under
Section 3027(c)(3) is $1.4 million.
Transit providers/grantees eligible
under this provision have already been
identified and notified.
(5) Consistent with the SAFETEA-LU
Technical Corrections Act, 2008, in FY
2009, section 5307(b)(2) allowed (1)
UZAs that grew in population from
under 200,000 to over 200,000 or that
were under 200,000 but merged into
another urbanized area and the
population is over 200,000, as a result
of the 2000 Census to use Section 5307
funds for operating assistance in an
amount up to 50 percent of the
grandfathered amount for FY 2002
funds; (2) Areas that were nonurbanized
under the 1990 Census and became

urbanized, as a result of the 2000

Census, to use no more than 50 percent
of the amount apportioned to the area
for FY 2003 for operating assistance;
and (3) nonurbanized areas under the
1990 Census that merged into urbanized
areas over 200,000, as a result of the
2000 Census, to use 50 percent of the
amount the area received in FY 2002
Section 5311 funding for operating
assistance. CR 2010 continued these
special rules for the period October 1,
2009 through February 28, 2010.
e. Sources of Local Match
Consistent with to Section 5307(e),
the Federal share of an urbanized area
formula grant is 80 percent of net
project cost for a capital project and 50
percent of net project cost for operating
assistance unless the recipient indicates
a greater local share. The remainder of
the net project cost (i.e., 20 percent and
50 percent, respectively) shall be
provided from the following sources:
1. From non-Government sources
other than revenues from providing
public transportation services;
2. From revenues derived from the
sale of advertising and concessions;
3. From an undistributed cash
surplus, a replacement or depreciation
cash fund or reserve, or new capital;
4. From amounts received under a
service agreement with a State or local
social service agency or private social
service organization; and
5. Proceeds from the issuance of
revenue bonds.
6. Funds from Section
403(a)(5)(C)(vii) of the Social Security
Act (42 U.S.C. 603(a)(5)(C)(vii)) can be
used to match Urbanized Area Formula
funds.
f. Designated Transportation
Management Areas (TMA)
Guidance for setting the boundaries of
TMAs is in the joint transportation
planning regulations codified at 23 CFR
part 450 as referenced in 49 CFR part
613. In some cases, the TMA planning
boundaries established by the MPO for
the designated TMA includes one or
more small UZAs. In addition, one
small UZA (Santa Barbara, CA) has been
designated as a TMA. In either of these
situations, the Governor cannot allocate
"Governor's Apportionment" funds
attributed to the small UZAs to other
areas; that is, the Governor only has
discretion to allocate Governor's
Apportionment funds attributable to
areas that are outside of designated
TMA planning boundaries.
The list of small UZAs included
within the planning boundaries of
designated TMAs is provided in the

table below.

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