§ 5307. Urbanized area formula grants
(a)
Definitions.—
In this section, the following definitions apply:
(1)
Associated capital maintenance items.—
The term “associated capital maintenance items” means—
(2)
Designated recipient.—
The term “designated recipient” means—
(A)
an entity designated, in accordance with the planning process under sections
5303,
5304, and
5306, by the chief executive officer of a State, responsible local officials, and publicly owned operators of public transportation, to receive and apportion amounts under section
5336 that are attributable to transportation management areas identified under section
5303; or
(b)
General Authority.—
(1)
Grants.—
The Secretary may make grants under this section for—
(D)
operating costs of equipment and facilities for use in public transportation in an urbanized area with a population of less than 200,000;
(E)
operating costs of equipment and facilities for use in public transportation in a portion or portions of an urbanized area with a population of at least 200,000, but not more than 225,000, if—
(F)
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, urbanized area 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 urbanized area.
(2)
Special rule for fiscal years 2005 through 2009.—
(A)
Increased flexibility.—
The Secretary may award grants under this section, from funds made available to carry out this section for each of the fiscal years 2005 through 2009, to finance the operating cost of equipment and facilities for use in public transportation in an urbanized area with a population of at least 200,000, as determined by the 2000 decennial census of population, if—
(i)
the urbanized area had a population of less than 200,000, as determined by the 1990 decennial census of population;
(ii)
a portion of the urbanized area was a separate urbanized area with a population of less than 200,000, as determined by the 1990 decennial census of population;
(iii)
the area was not designated as an urbanized area, as determined by the 1990 decennial census of population; or
(iv)
a portion of the area was not designated as an urbanized area, as determined by the 1990 decennial census, and received assistance under section
5311 in fiscal year 2002.
(B)
Maximum amounts in fiscal year 2005.—
In fiscal year 2005—
(i)
amounts made available to any urbanized area under clause (i) or (ii) of subparagraph (A) shall be not more than the amount apportioned in fiscal year 2002 to the urbanized area with a population of less than 200,000, as determined in the 1990 decennial census of population;
(ii)
amounts made available to any urbanized area under subparagraph (A)(iii) shall be not more than the amount apportioned to the urbanized area under this section for fiscal year 2003; and
(iii)
each portion of any area not designated as an urbanized area, as determined by the 1990 decennial census, and eligible to receive funds under subparagraph (A)(iv), shall receive an amount of funds to carry out this section that is not less than the amount the portion of the area received under section
5311 for fiscal year 2002.
(C)
Maximum amounts in fiscal year 2006.—
In fiscal year 2006—
(i)
amounts made available to any urbanized area under clause (i) or (ii) of subparagraph (A) shall be not more than 50 percent of the amount apportioned in fiscal year 2002 to the urbanized area with a population of less than 200,000, as determined in the 1990 decennial census of population;
(ii)
amounts made available to any urbanized area under subparagraph (A)(iii) shall be not more than 50 percent of the amount apportioned to the urbanized area under this section for fiscal year 2003; and
(iii)
each portion of any area not designated as an urbanized area, as determined by the 1990 decennial census, and eligible to receive funds under subparagraph (A)(iv), shall receive an amount of funds to carry out this section that is not less than 50 percent of the amount the portion of the area received under section
5311 for fiscal year 2002.
(D)
Maximum amounts in fiscal year 2007.—
In fiscal year 2007—
(i)
amounts made available to any urbanized area under clause (i) or (ii) of subparagraph (A) shall be not more than 25 percent of the amount apportioned in fiscal year 2002 to the urbanized area with a population of less than 200,000, as determined in the 1990 decennial census of population;
(ii)
amounts made available to any urbanized area under subparagraph (A)(iii) shall be not more than 25 percent of the amount apportioned to the urbanized area under this section for fiscal year 2003; and
(iii)
each portion of any area not designated as an urbanized area, as determined by the 1990 decennial census, and eligible to receive funds under subparagraph (A)(iv), shall receive an amount of funds to carry out this section that is not less than 25 percent of the amount the portion of the area received under section
5311 in fiscal year 2002.
(E)
Maximum amounts in fiscal years 2008 and 2009.—
In fiscal years 2008 and 2009—
(i)
amounts made available to any urbanized area under clause (i) or (ii) of subparagraph (A) shall be not more than 50 percent of the amount apportioned in fiscal year 2002 to the urbanized area with a population of less than 200,000, as determined in the 1990 decennial census of population;
(ii)
amounts made available to any urbanized area under subparagraph (A)(iii) shall be not more than 50 percent of the amount apportioned to the urbanized area under this section for fiscal year 2003; and
(iii)
each portion of any area not designated as an urbanized area, as determined by the 1990 decennial census, and eligible to receive funds under subparagraph (A)(iv), shall receive an amount of funds to carry out this section that is not less than 50 percent of the amount the portion of the area received under section
5311 in fiscal year 2002.
(3)
In a transportation management area designated under section
5303
(k) of this title, amounts that cannot be used to pay operating expenses under this section also are available for a highway project if—
(A)
that use is approved, in writing, by the metropolitan planning organization under section
5303 of this title after appropriate notice and an opportunity for comment and appeal is provided to affected public transportation providers;
(c)
Public Participation Requirements.—
Each recipient of a grant shall—
(1)
make available to the public information on amounts available to the recipient under this section and the program of projects the recipient proposes to undertake;
(2)
develop, in consultation with interested parties, including private transportation providers, a proposed program of projects for activities to be financed;
(3)
publish a proposed program of projects in a way that affected citizens, private transportation providers, and local elected officials have the opportunity to examine the proposed program and submit comments on the proposed program and the performance of the recipient;
(4)
provide an opportunity for a public hearing in which to obtain the views of citizens on the proposed program of projects;
(5)
ensure that the proposed program of projects provides for the coordination of public transportation services assisted under section
5336 of this title with transportation services assisted from other United States Government sources;
(d)
Grant Recipient Requirements.—
A recipient may receive a grant in a fiscal year only if—
(1)
the recipient, within the time the Secretary prescribes, submits a final program of projects prepared under subsection (c) of this section and a certification for that fiscal year that the recipient (including a person receiving amounts from a chief executive officer of a State under this section)—
(A)
has or will have the legal, financial, and technical capacity to carry out the program, including safety and security aspects of the program;
(D)
will ensure that elderly and handicapped individuals, or an individual presenting a medicare card issued to that individual under title II or XVIII of the Social Security Act (42 U.S.C. 401 et seq., 1395 et seq.), will be charged during non-peak hours for transportation using or involving a facility or equipment of a project financed under this section not more than 50 percent of the peak hour fare;
(G)
has available and will provide the required amounts as provided by subsection (e) of this section;
(I)
has a locally developed process to solicit and consider public comment before raising a fare or carrying out a major reduction of transportation;
(J)
(i)
will expend for each fiscal year for public transportation security projects, including increased lighting in or adjacent to a public transportation system (including bus stops, subway stations, parking lots, and garages), increased camera surveillance of an area in or adjacent to that system, providing an emergency telephone line to contact law enforcement or security personnel in an area in or adjacent to that system, and any other project intended to increase the security and safety of an existing or planned public transportation system, at least one percent of the amount the recipient receives for each fiscal year under section
5336 of this title; or
(e)
Government’s Share of Costs.—
(1)
Capital projects.—
A grant for a capital project (including associated capital maintenance items) under this section shall be for 80 percent of the net project cost of the project. The recipient may provide additional local matching amounts.
(2)
Operating expenses.—
A grant for operating expenses under this section may not exceed 50 percent of the net project cost of the project.
(3)
Remaining costs.—
Subject to paragraph (4), the remainder of the net project cost shall be provided—
(A)
in cash from non-Government sources other than revenues from providing public transportation services;
(4)
Use of certain funds.—
The prohibitions on the use of funds for matching requirements under section 403(a)(5)(C)(vii) of the Social Security Act (42 U.S.C. 603
(a)(5)(C)(vii)) shall not apply to the remainder.
(f)
Statewide Operating Assistance.—
(g)
Undertaking Projects in Advance.—
(1)
When a recipient obligates all amounts apportioned to it under section
5336 of this title and then carries out a part of a project described in this section (except a project for operating expenses) without amounts of the Government and according to all applicable procedures and requirements (except to the extent the procedures and requirements limit a State to carrying out a project with amounts of the Government previously apportioned to it), the Secretary may pay to the recipient the Government’s share of the cost of carrying out that part when additional amounts are apportioned to the recipient under section
5336 if—
(2)
The Secretary may approve an application under paragraph (1) of this subsection only if an authorization for this section is in effect for the fiscal year to which the application applies. The Secretary may not approve an application if the payment will be more than—
(A)
the recipient’s expected apportionment under section
5336 of this title if the total amount authorized to be appropriated for the fiscal year to carry out this section is appropriated; less
(3)
The cost of carrying out that part of a project includes the amount of interest earned and payable on bonds issued by the recipient to the extent proceeds of the bonds are expended in carrying out the part. However, the amount of interest allowed under this paragraph may not be more than the most favorable financing terms reasonably available for the project at the time of borrowing. The applicant shall certify, in a manner satisfactory to the Secretary, that the applicant has shown reasonable diligence in seeking the most favorable financing terms.
(h)
Reviews, Audits, and Evaluations.—
(1)
(A)
At least annually, the Secretary shall carry out, or require a recipient to have carried out independently, reviews and audits the Secretary considers appropriate to establish whether the recipient has carried out—
(2)
At least once every 3 years, the Secretary shall review and evaluate completely the performance of a recipient in carrying out the recipient’s program, specifically referring to compliance with statutory and administrative requirements and the extent to which actual program activities are consistent with the activities proposed under subsection (d) of this section and the planning process required under sections
5303–5306 of this title. To the extent practicable, the Secretary shall coordinate such reviews with any related State or local reviews.
(i)
Procurement System Approval.—
A recipient may request the Secretary to approve its procurement system. The Secretary shall approve the system for use for procurements financed under section
5336 of this title if, after consulting with the Administrator for Federal Procurement Policy, the Secretary decides the system provides for competitive procurement. Approval of a system under this subsection does not relieve a recipient of the duty to certify under subsection (d)(1)(E) of this section.
(j)
Operating Ferries Outside Urbanized Areas.—
A vessel used in ferryboat operations financed under section
5336 of this title that is part of a State-operated ferry system may be operated occasionally outside the urbanized area in which service is provided to accommodate periodic maintenance if existing ferry service is not reduced significantly by operating outside the area.
(k)
Relationship to Other Laws.—
(1)
Applicable provisions.—
Sections
5301,
5302,
5303,
5304,
5306,
5315
(c),
5318,
5319,
5323,
5325,
5327,
5329,
5330,
5331,
5332,
5333, and
5335 apply to this section and to any grant made under this section.
(2)
Inapplicable provisions.—
(A)
In general.—
Except as provided by this section, no other provision of this chapter applies to this section or to a grant made under this section.
(B)
Title 5.—
The provision of assistance under this chapter shall not be construed as bringing within the application of chapter
15 of title
5 any nonsupervisory employee of a public transportation system (or any other agency or entity performing related functions) to which such chapter is otherwise inapplicable.
(l)
Treatment.—
For the purposes of this section, the United States Virgin Islands shall be treated as an urbanized area, as defined in section
5302.