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Committee Reports for the 109th Congress | |
| Senate Report 109-293 | 1 of 1 | |
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28-780 PDF
2d Session
109-293
TRANSPORTATION, TREASURY, HOUSING AND URBAN DEVELOPMENT, THE JUDICIARY, AND RELATED AGENCIES APPROPRIATIONS BILL, 2007
| July 26, 2006- Ordered to be printed | |
| Mr. BOND, from the Committee on Appropriations, submitted the following | |
| REPORT | |
| [To accompany H.R. 5576] |
The Committee on Appropriations, to which was referred the bill (H.R. 5576) making appropriations for the Departments of Transportation, Treasury, and Housing and Urban Development, the Judiciary, District of Columbia, and independent agencies for the fiscal year ending September 30, 2007, and for other purposes, reports the same to the Senate with an amendment and recommends that the bill as amended do pass.
| Amounts of new budget (obligational) authority for fiscal year 2007 | |
| Total of bill as reported to the Senate | $89,389,989,000 |
| Amount of 2006 appropriations 1 | 102,948,146,000 |
| Amount of 2007 budget estimate | 86,748,272,000 |
| Amount of House allowance 2 | 86,656,536,000 |
| Bill as recommended to Senate compared to-- | |
| 2006 appropriations | -13,558,157,000 |
| 2007 budget estimate | +2,641,717,000 |
| House allowance | +2,654,889,000 |
| 1 Includes $20,685,563,000 in emergency appropriations. | |
| 2 Excludes $575,200,000 considered by the House for the District of Columbia. |
| C O N T E N T S | Page | |
| Program, Project, and Activity | 4 | |
| Reprogramming Guidelines | 4 | |
| Relationship With Budget Offices | 5 | |
| Congressional Budget Justifications | 5 | |
| House Appropriations | 7 | |
| Title I: Department of Transportation: | Office of the Secretary | |
| 8 | ||
| Federal Aviation Administration | ||
| 21 | ||
| Federal Highway Administration | ||
| 39 | ||
| Federal Motor Carrier Safety Administration | ||
| 51 | ||
| National Highway Traffic Safety Administration | ||
| 57 | ||
| Federal Railroad Administration | ||
| 66 | ||
| Federal Transit Administration | ||
| 72 | ||
| Saint Lawrence Seaway Development Corporation | ||
| 87 | ||
| Maritime Administration | ||
| 88 | ||
| Pipeline and Hazardous Materials Safety Administration | ||
| 92 | ||
| Research and Innovative Technology Administration | ||
| 94 | ||
| Bureau of Transportation Statistics | ||
| 95 | ||
| Office of Inspector General | ||
| 95 | ||
| Surface Transportation Board | ||
| 97 | ||
| Administrative Provisions--Department of Transportation | ||
| 98 | ||
| Title II: Department of the Treasury: | Departmental Offices | |
| 100 | ||
| Financial Crimes Enforcement Network | ||
| 107 | ||
| Financial Management Service | ||
| 108 | ||
| Alcohol and Tobacco Tax and Trade Bureau | ||
| 109 | ||
| Bureau of Engraving and Printing | ||
| 109 | ||
| Bureau of the Public Debt | ||
| 110 | ||
| Community Development Financial Institutions Fund | ||
| 111 | ||
| United States Mint | ||
| 112 | ||
| Internal Revenue Service | ||
| 112 | ||
| Department of the Treasury: Administrative Provisions | ||
| 122 | ||
| Title III: Department of Housing and Urban Development: | Tenant-based Rental Assistance | |
| 124 | ||
| Project-based Rental Assistance | ||
| 127 | ||
| Public Housing Capital Fund | ||
| 128 | ||
| Public Housing Operating Fund | ||
| 128 | ||
| Revitalization of Severely Distressed Public Housing [HOPE VI] | ||
| 129 | ||
| Native American Housing Block Grant | ||
| 130 | ||
| Indian Housing Loan Guarantee Fund Program Account | ||
| 131 | ||
| Community Planning and Development | ||
| 132 | ||
| Housing Programs | ||
| 158 | ||
| Government National Mortgage Association | ||
| 164 | ||
| Policy Development and Research | ||
| 165 | ||
| Fair Housing and Equal Opportunity | ||
| 166 | ||
| Office of Lead Hazard Controln | ||
| 167 | ||
| Management and Administration | ||
| 168 | ||
| Office of Inspector General | ||
| 169 | ||
| Working Capital Fund | ||
| 170 | ||
| Office of Federal Housing Enterprise Oversight | ||
| 170 | ||
| Administrative Provisions | ||
| 171 | ||
| Title IV: The Judiciary: | ||
| Supreme Court of the United States | 173 | |
| United States Court of Appeals for the Federal Circuit | ||
| 174 | ||
| U.S. Court of International Trade | ||
| 175 | ||
| Courts of Appeals, District Courts, and Other Judicial Services | 175 | |
| Defender Services | ||
| 178 | ||
| Fees of Jurors and Commissioners | ||
| 179 | ||
| Court Security | ||
| 179 | ||
| Administrative Office of the United States Courts | ||
| 180 | ||
| Federal Judicial Center | ||
| 181 | ||
| Judicial Retirement Funds | ||
| 182 | ||
| United States Sentencing Commission | ||
| 182 | ||
| Administrative Provisions--The Judiciary | ||
| 182 | ||
| Title V: Executive Office of the President and Funds Appropriated to the President: | Compensation of the President | |
| 184 | ||
| White House Office | ||
| 184 | ||
| Executive Residence at the White House | ||
| 185 | ||
| Council of Economic Advisers | ||
| 186 | ||
| Office of Policy Development | ||
| 186 | ||
| National Security Council | ||
| 187 | ||
| Office of Administration | ||
| 187 | ||
| Office of Management and Budget | ||
| 188 | ||
| Office of National Drug Control Policy | ||
| 189 | ||
| Funds Appropriated to the President | 191 | |
| Unanticipated Needs | ||
| 195 | ||
| Special Assistance to the President | ||
| 195 | ||
| Official Residence of the Vice President | ||
| 196 | ||
| Title VI: Independent Agencies: | Architectural and Transportation Barriers Compliance Board | |
| 197 | ||
| Consumer Product Safety Commission | ||
| 198 | ||
| Election Assistance Commission | ||
| 198 | ||
| Federal Election Commission | ||
| 199 | ||
| Federal Deposit Insurance Corporation | ||
| 199 | ||
| Federal Labor Relations Authority | ||
| 200 | ||
| Federal Maritime Commission | ||
| 200 | ||
| General Services Administration | ||
| 201 | ||
| Merit Systems Protection Board | ||
| 210 | ||
| Morris K. Udall Scholarship and Excellence in National Environmental Policy Foundation | ||
| 211 | ||
| National Historical Publications and Records Commission | ||
| 214 | ||
| National Credit Union Administration | 215 | |
| National Transportation Safety Board | ||
| 217 | ||
| Neighborhood Reinvestment Corporation | ||
| 218 | ||
| Office of Government Ethics | ||
| 219 | ||
| Office of Personnel Management | ||
| 219 | ||
| Office of Special Counsel | ||
| 223 | ||
| Selective Service System | ||
| 225 | ||
| United States Interagency Council on Homelessness | ||
| 225 | ||
| United States Postal Service | ||
| 227 | ||
| United States Tax Court | ||
| 229 | ||
| Statement Concerning General Provisions | ||
| 229 | ||
| Title VII: General Provisions This Act | 230 | |
| Title VIII: General Provisions, Departments, Agencies, and Corporations | 232 | |
| Title IX: Air Transportation to and From Love Field | 235 | |
| Compliance With Paragraph 7, Rule XVI, of the Standing Rules of the Sen- ate | 236 | |
| Compliance With Paragraph 7(c), Rule XXVI, of the Standing Rules of the Senate | 237 | |
| Compliance With Paragraph 12, Rule XXVI of the Standing Rules of the Senate | 238 | |
| Budgetary Impact Statement | 249 | |
| Comparative Statement | 250 |
PROGRAM, PROJECT, AND ACTIVITY
During fiscal year 2007, 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' [PPA] shall mean any item for which a dollar amount is contained in appropriations acts (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 discretionary grants and discretionary grant allocations made through either bill or report language. In addition, the percentage reductions made pursuant to a sequestration order to funds appropriated for facilities and equipment, Federal Aviation Administration, shall be applied equally to each budget item that is listed under said account 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.
REPROGRAMMING GUIDELINES
The Committee includes a provision (sec. 710) establishing the authority by which funding available to the agencies funded by this Act may be reprogrammed for other purposes. The provision specifically requires the advanced approval of the House and Senate Committees on Appropriations of any proposal to reprogram funds that: (1) creates a new program; (2) eliminates a program, project, or activity [PPA]; (3) increases funds or personnel for any PPA for which funds have been denied or restricted by the Congress; (4) proposes to redirect funds that were directed in such reports for a specific activity to a different purpose; (5) augments an existing PPA in excess of $5,000,000 or 10 percent, whichever is less; (6) reduces an existing PPA by $5,000,000 or 10 percent, whichever is less; or (7) creates, reorganizes, or restructures offices different from the congressional budget justifications or the table at the end of the Committee report, whichever is more detailed.
The Committee retains the requirement that each agency submit an operating plan to the House and Senate Committees on Appropriations not later than 60 days after enactment of this Act to establish the baseline for application of reprogramming and transfer authorities provided in this act. Specifically, each agency should provide a table for each appropriation with columns displaying the budget request; adjustments made by Congress; adjustments for rescissions, if appropriate; and the fiscal year enacted level. The table shall delineate the appropriation both by object class and by PPA. The report must also identify items of special congressional interest.
The Committee expects the agencies and bureaus to submit reprogramming requests in a timely manner and to provide a thorough explanation of the proposed reallocations, including a detailed justification of increases and reductions and the specific impact the proposed changes will have on the budget request for the following fiscal year. Except in emergency situations, reprogramming requests should be submitted no later than June 30.
The Committee expects each agency to manage its programs and activities within the amounts appropriated by Congress. The Committee reminds agencies that reprogramming requests should be submitted only in the case of an unforeseeable emergency or a situation that could not have been anticipated when formulating the budget request for the current fiscal year. Further, the Committee notes that when a Department or agency submits a reprogramming or transfer request to the Committees on Appropriations and does not receive identical responses from the House and Senate, it is the responsibility of the Department to reconcile the House and Senate differences before proceeding, and if reconciliation is not possible, to consider the request to reprogram funds unapproved.
The Committee would also like to clarify that this section applies to Working Capital Funds and Forfeiture Funds and that no funds may be obligated from such funds to augment programs, projects or activities for which appropriations have been specifically rejected by the Congress, or to increase funds or personnel for any PPA above the amounts appropriated by this Act.
RELATIONSHIP WITH BUDGET OFFICES
Through the years, the Committee has channeled most of its inquiries and requests for information and assistance through the budget offices of the various departments, agencies, offices, and commissions. The Committee has often pointed to the natural affinity and relationship between the budget offices and the Committee which makes such a relationship workable. The Committee reiterates its longstanding position that while the Committee reserves the right to call upon any office or officer in the departments, agencies, and commissions, the primary conjunction between the Committee and these entities must be through the budget offices. To help ensure the Committee's ability to perform its responsibilities, the Committee insists on having direct, unobstructed, and timely access to the budget offices and expects to be able to receive forthright and complete responses from that office and its employees.
CONGRESSIONAL BUDGET JUSTIFICATIONS
While the Committee supports the concept of the Program Assessment Rating Tool [PART] as a method for evaluating programs by linking performance, goals, and benchmarks with funding decisions, the process has failed largely through the inability of the administration to establish meaningful benchmarks and program goals that can be used as a valid measure for the success of a program and its funding requirements/needs. In too many cases, the PART analysis appears to be overly subjective and designed to reach certain preconceived conclusions about a program's validity and accomplishments and its budget needs.
This approach reduces PART's value as a tool for measuring the contributions of a program and to what extent a program should be funded. More troubling, OMB and Federal agencies have tended to accommodate an increasing amount of PART performance data in the budget justifications by eliminating fundamental and objective programmatic budget data that is critical to the work of the Committee. This trend has made it increasingly difficult for the Committee to perform a meaningful review of budget justifications, including the ability to conduct necessary budget oversight work as well as the ability to reach valid and comprehensive funding decisions absent a substantial amount of additional review and budget analysis.
Budget justifications are prepared not for the use of the agency, but instead are the primary tool used by the House and Senate Committees on Appropriations to evaluate the resource requirements and fiscal needs of agencies. The Committee is aware that the format and presentation of budget materials is largely left to the agency within presentation objectives set forth by OMB. In fact, OMB Circular A-11, part 6 specifically states that the `agency should consult with your congressional committees beforehand to ensure their awareness of your plans to modify the format of agency budget documents.' The Committee is disappointed that none of the agencies funded under this act have recently heeded this direction. Nevertheless, the Committee expects all the budget justification to provide the data needed to make appropriate and meaningful funding decisions.
While the Committee values the inclusion of performance data and presentations, it is important to ensure that, in the implementation of the PART analysis, vital budget information that the Committee needs is not lost. Therefore, the Committee directs that justifications submitted with the fiscal year 2008 budget request by agencies funded under this act must contain the customary level of detailed data and explanatory statements to support the appropriations requests at the level of detail contained in the funding table included at the end of the report. Among other items, agencies shall provide a detailed discussion of proposed new initiatives, proposed changes in the agency's financial plan from prior year enactment, and detailed data on all programs and comprehensive information on any office or agency restructurings. At a minimum, each agency must also provide adequate justification for funding and staffing changes for each individual office and materials that compare programs, projects, and activities that are proposed for fiscal year 2008 to the fiscal year 2007 enacted level.
The Committee is aware that the analytical materials required for review by the Committee are unique to each agency in this act. Therefore, the Committee expects that the each agency will coordinate with the House and Senate Committees on Appropriations in advance on its planned presentation for its budget justification materials in support of the fiscal year 2008 budget request.
HOUSE APPROPRIATIONS
The Senate Committee recommendation excludes District of Columbia appropriations items that were funded by the House in this bill. The Committee believes that it is appropriate to fund those items in a separate bill. For ease of comparison, the Committee report excludes in the `House allowance' those items that are addressed in the District of Columbia Appropriations Act, 2007, an original Senate bill.
TITLE I
DEPARTMENT OF TRANSPORTATION
OFFICE OF THE SECRETARY
Section 3 of the Department of Transportation Act of October 15, 1966 (Public Law 89-670) provides for establishment of the Office of the Secretary of Transportation [OST]. The Office of the Secretary is comprised of the Secretary and the Deputy Secretary immediate and support offices; the Office of the Under Secretary of Transportation for Policy, including the offices of the Assistant Secretary for Aviation and International Affairs and the Assistant Secretary for Transportation for Policy; three Assistant Secretarial offices for Budget and Programs, Governmental Affairs, and Administration; and the Offices of Small and Disadvantaged Business Utilization, Intelligence, Security and Emergency Response, Chief Information Officer, the General Counsel and Public Affairs. The Office of the Secretary also includes the Department's Office of Civil Rights and the Department's Working Capital Fund.
SALARIES AND EXPENSES
| Appropriations, 2006 | $84,051,000 |
| Budget estimate, 2007 | 92,742,000 |
| House allowance | 65,973,000 |
| Committee recommendation | 92,742,000 |
PROGRAM DESCRIPTION
This appropriation finances the costs of policy development and central supervisory and coordinating functions necessary for the overall planning and direction of the Department. It covers the immediate secretarial offices and the offices of the under secretary, assistant secretaries, general counsel and other support offices.
COMMITTEE RECOMMENDATION
The Committee recommends a total of $92,742,000 for salaries and expenses of the Office of the Secretary of Transportation, including $60,000 for reception and representation expenses. The recommendation is equal to the budget request and $8,691,000 more than the fiscal year 2006 enacted level.
The accompanying bill authorizes the Secretary to transfer up to 5 percent of the funds from any Office of the Secretary to another. The Committee recommendation continues language that permits up to $2,500,000 of fees to be credited to the Office of the Secretary for salaries and expenses.
The following table summarizes the Committee's recommendation in comparison to the fiscal year 2006 enacted level and the budget estimate:
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Fiscal year-- Committee recommendation
2006 enacted 1 2007 request
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Immediate Office of the Secretary $2,176,000 $2,255,000 $2,255,000
Office of the Deputy Secretary 691,000 717,000 717,000
Office of the General Counsel 15,031,000 15,681,000 15,681,000
Office of the Under Secretary of Transportation for Policy 11,534,000 11,934,000 11,934,000
Office of the Assistant Secretary for Budget and Programs 8,400,000 10,002,000 10,002,000
Office of the Assistant Secretary for Governmental Affairs 2,270,000 2,319,000 2,319,000
Office of the Assistant Secretary for Administration 21,811,000 25,108,000 25,108,000
Office of Public Affairs 1,891,000 1,932,000 1,932,000
Executive Secretariat 1,428,000 1,478,000 1,478,000
Board of Contract Appeals 690,000 707,000 707,000
Office of Small and Disadvantaged Business Utilization 1,252,000 1,286,000 1,286,000
Office of Intelligence, Security, and Emergency Response 5,102,000 7,041,000 7,041,000
Office of the Chief Information Officer 11,776,000 12,281,000 12,281,000
Total, Salaries and Expenses 84,051,000 92,742,000 92,742,000
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The Committee allows funds made available in the fiscal year 2006 appropriations act under this section for the Missouri Transportation Institute to cover costs incurred retroactive to October 1, 2005.
IMMEDIATE OFFICE OF THE SECRETARY
PROGRAM DESCRIPTION
The Secretary of Transportation provides leadership and has the primary responsibility to provide overall planning, direction, and control of the Department.
COMMITTEE RECOMMENDATION
The Committee recommends $2,255,000 for fiscal year 2007 for the Immediate Office of the Secretary. The recommendation is the same as the budget request and $79,000 greater than the fiscal year 2006 enacted level.
IMMEDIATE OFFICE OF THE DEPUTY SECRETARY
PROGRAM DESCRIPTION
The Deputy Secretary has the primary responsibility of assisting the Secretary in the overall planning and direction of the Department.
COMMITTEE RECOMMENDATION
The Committee recommends $717,000 for the Immediate Office of the Deputy Secretary, which is identical to the budget request and $26,000 greater than the fiscal year 2006 enacted level.
OFFICE OF THE GENERAL COUNSEL
PROGRAM DESCRIPTION
The Office of the General Counsel provides legal services to the Office of the Secretary including the conduct of aviation regulatory proceedings and aviation consumer activities and coordinates and reviews the legal work in the chief counsels' offices of the operating administrations. The General Counsel is the chief legal officer of the Department of Transportation and the final authority within the Department on all legal questions.
COMMITTEE RECOMMENDATION
The Committee recommends $15,681,000 for expenses of the Office of the General Counsel for fiscal year 2007, equal to the budget request and $650,000 greater than the fiscal year 2006 enacted level.
OFFICE OF THE UNDER SECRETARY OF TRANSPORTATION FOR POLICY
PROGRAM DESCRIPTION
The Under Secretary for Policy is the chief policy officer of the Department and is responsible to the Secretary for the analysis, development, and review of policies and plans for domestic and international transportation matters. The Office administers the economic regulatory functions regarding the airline industry and is responsible for international aviation programs, the essential air service program, airline fitness licensing, acquisitions, international route awards, computerized reservation systems, and special investigations such as airline delays.
COMMITTEE RECOMMENDATION
For fiscal year 2007, the Committee recommends $11,934,000 for the Office of the Under Secretary for Policy, the same as the budget request and $400,000 more than the fiscal year 2006 enacted level. The Committee denies the transfer of two FTEs from the Office of Intelligence, Security and Emergency Response.
OFFICE OF THE ASSISTANT SECRETARY FOR BUDGET AND PROGRAMS
PROGRAM DESCRIPTION
The Assistant Secretary for Budget and Programs is the principal staff advisor to the Secretary on the development, review, presentation, and execution of the Department's budget resource requirements, and on the evaluation and oversight of the Department's programs. The primary responsibilities of this office are to ensure the effective preparation and presentation of sound and adequate budget estimates for the Department, to ensure the consistency of the Department's budget execution with the action and advice of the Congress and the Office of Management and Budget, to evaluate the program proposals for consistency with the Secretary's stated objectives, and to advise the Secretary of program and legislative changes necessary to improve program effectiveness.
COMMITTEE RECOMMENDATION
The Committee recommends $10,002,000 for the Office of the Assistant Secretary for Budget and Programs, the same as the budget request and $1,602,000 over the fiscal year 2006 enacted level.
OFFICE OF THE ASSISTANT SECRETARY FOR GOVERNMENTAL AFFAIRS
PROGRAM DESCRIPTION
The Assistant Secretary for Governmental Affairs advises the Secretary on all congressional and intergovernmental activities and on all departmental legislative initiatives and other relationships with Members of Congress. The Assistant Secretary promotes effective communication with other Federal agencies and regional Department officials, and with State and local governments and national organizations for development of departmental programs; and ensures that consumer preferences, awareness, and needs are brought into the decision-making process.
COMMITTEE RECOMMENDATION
The Committee recommends a total of $2,319,000 for the Office of the Assistant Secretary for Governmental Affairs, an amount equal to the budget request and $49,000 over the fiscal year 2006 enacted level.
OFFICE OF THE ASSISTANT SECRETARY FOR ADMINISTRATION
PROGRAM DESCRIPTION
The Assistant Secretary for Administration is responsible for establishing policies and procedures, setting guidelines, working with the operating administrations to improve the effectiveness and efficiency of the Department in human resource management, security and administrative management, real and personal property management, and acquisition and grants management.
COMMITTEE RECOMMENDATION
The Committee recommends $25,108,000 for the Office of the Assistant Secretary for Administration, the same as the budget request and $3,297,000 above the fiscal year 2006 enacted level.
OFFICE OF PUBLIC AFFAIRS
PROGRAM DESCRIPTION
The Director of Public Affairs is the principal advisor to the Secretary and other senior departmental officials and news media on public affairs questions. The Office issues news releases, articles, fact sheets, briefing materials, publications, and audiovisual materials. It also provides information to the Secretary on opinions and reactions of the public and news media on transportation programs and issues. It arranges news conferences and provides speeches, talking points, and byline articles for the Secretary and other senior departmental officials, and arranges the Secretary's scheduling.
COMMITTEE RECOMMENDATION
The Committee recommends $1,932,000 for the Office of Public Affairs, which is the same amount as the budget request and $41,000 more than the fiscal year 2006 enacted level.
EXECUTIVE SECRETARIAT
PROGRAM DESCRIPTION
The Executive Secretariat assists the Secretary and the Deputy Secretary in carrying out their management functions and responsibilities by controlling and coordinating internal and external written materials.
COMMITTEE RECOMMENDATION
The Committee recommends $1,478,000 for the Executive Secretariat. The recommendation is identical to the budget request and $50,000 more than the fiscal year 2006 enacted level.
BOARD OF CONTRACT APPEALS
PROGRAM DESCRIPTION
The primary responsibility of the Board of Contract Appeals is to provide an independent forum for the trial and adjudication of all claims by, or against, a contractor relating to a contract of any element of the Department, as mandated by the Contract Disputes Act of 1978, 41 U.S.C. 601.
COMMITTEE RECOMMENDATION
The Committee recommends $707,000 for the Board of Contract Appeals, the same as the budget request and $17,000 greater than the fiscal year 2006 enacted level.
OFFICE OF SMALL AND DISADVANTAGED BUSINESS UTILIZATION
PROGRAM DESCRIPTION
The Office of Small and Disadvantaged Business Utilization has primary responsibility for providing policy direction for small and disadvantaged business participation in the Department's procurement and grant programs, and effective execution of the functions and duties under sections 8 and 15 of the Small Business Act, as amended.
COMMITTEE RECOMMENDATION
The Committee recommends $1,286,000, an amount equal to the budget request and $34,000 more than the fiscal year 2006 enacted level.
OFFICE OF INTELLIGENCE, SECURITY AND EMERGENCY RESPONSE
PROGRAM DESCRIPTION
The Office of Intelligence, Security and Emergency Response keeps the Secretary and his advisors informed on intelligence and security issues pertaining to transportation. The office also provides support to the Secretary for his statutory and administrative responsibilities in the areas of emergency preparedness, response, and recovery functions. Further, the office ensures that transportation policy and programs support the national objectives of general welfare, economic growth and stability, and the security of the Unites States.
The Office of Intelligence, Security and Emergency Response is at the forefront of the Department's response to transportation-related emergencies. To prepare for such events, the office coordinates and conducts the Department's participation in national and regional exercise and training for emergency personnel; administers the Department's Continuity of Government and Continuity of Operations programs; and coordinates DOT's role in select international contingency plan and response initiatives. Additionally, the office provides direct emergency response and recovery support through the National Response Plan [NRP] and operates the Department's Crisis Management Center [CMC], a facility that monitors the Nation's transportation system 24 hours a day, 7 days a week and is the Department's focal point during emergencies.
COMMITTEE RECOMMENDATION
The Committee recommends $7,042,000 for the Office of Intelligence, Security and Emergency Response. The recommendation is equal to the request and $1,940,000 more than the fiscal year 2006 enacted level. The Committee approves the request for two additional FTEs to carry out the emergency response functions of the office, and denies the request to transfer two FTEs to the Office of the Under Secretary of Transportation Policy.
OFFICE OF THE CHIEF INFORMATION OFFICER
PROGRAM DESCRIPTION
The Office of the Chief Information Officer [OCIO] serves as the principal adviser to the Secretary on matters involving information resources and information systems management.
COMMITTEE RECOMMENDATION
The Committee recommends $12,281,000, an amount equal to the budget request and $505,000 greater than the fiscal year 2006 enacted level.
OFFICE OF CIVIL RIGHTS
| Appropriations, 2006 | $8,464,500 |
| Budget estimate, 2007 | 8,820,900 |
| House allowance | 8,821,000 |
| Committee recommendation | 8,820,900 |
PROGRAM DESCRIPTION
The Office of Civil Rights is responsible for advising the Secretary on civil rights and equal employment opportunity matters, formulating civil rights policies and procedures for the operating administrations, investigating claims that small businesses were denied certification or improperly certified as disadvantaged business enterprises, and overseeing the Department's conduct of its civil rights responsibilities and making final determinations on civil rights complaints. In addition, the Civil Rights Office is responsible for enforcing laws and regulations which prohibit discrimination in federally operated and federally assisted transportation programs.
COMMITTEE RECOMMENDATION
The Committee recommends a funding level of $8,820,900 for the Office of Civil Rights for fiscal year 2007. The recommendation is identical to the budget request and is $356,400 more than the fiscal year 2006 enacted level.
TRANSPORTATION PLANNING, RESEARCH, AND DEVELOPMENT
| Appropriations, 2006 | $14,850,000 |
| Budget estimate, 2007 | 8,910,000 |
| House allowance | 4,910,000 |
| Committee recommendation | 9,334,000 |
PROGRAM DESCRIPTION
The Office of the Secretary performs those research activities and studies which can more effectively or appropriately be conducted at the departmental level. This research effort supports the planning, research and development activities needed to assist the Secretary in the formulation of national transportation policies. The program is carried out primarily through contracts with other Federal agencies, educational institutions, nonprofit research organizations, and private firms.
COMMITTEE RECOMMENDATION
The Committee recommends $9,334,000 for transportation planning, research, and development, $5,516,000 less than the fiscal year 2006 enacted level and $424,000 more than the President's budget request. The Committee directs funding to be allocated to the following projects that are listed below:
TPR&D
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Project name Committee recommendation
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Missouri Department of Transportation and the Commercial Vehicle Safety Alliance Education Training Program $1,000,000
St. Louis University Advanced Neurosurgical Innovation Center [SANIC], Missouri 1,000,000
Virtual Accident and Injury Reconstruction Center, Mississippi State University, Mississippi 2,500,000
Maritime Fire and Safety Association, Washington 485,000
Agriculture Freight Supply Chain Analyses, WSDOT 170,000
SR-520 Innovative Water Quality Protection Project, Washington 679,000
UVM Advanced Ground Penetrating Radar Systems, Vermont 1,000,000
Staten Island North/West Shore Rail Plan Study, New York 1,000,000
Tracking Methods for Intermodal Containerized Freight, Oklahoma 1,500,000
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WORKING CAPITAL FUND
| Limitation, 2006 | ($118,014,000) |
| Budget estimate, 2007 1 | ........................... |
| House allowance | (120,000,000) |
| Committee recommendation | (123,418,000) |
| 1 Proposed without limitation. |
PROGRAM DESCRIPTION
The Working Capital Fund [WCF] provides common administrative services to the Department's operating administrations and other Federal entities. The services are centrally performed in the interest of economy and efficiency and are funded through negotiated agreements with Department operating administrations and other Federal customers and are billed on a fee-for-service basis to the maximum extent possible.
COMMITTEE RECOMMENDATION
The Committee recommends a limitation of $123,418,000 on activities financed through the Working Capital Fund. The budget request proposes to remove the obligation limitation on the Working Capital Fund for services to the operating administrations of the Department. The Committee, however, insists that the discipline of an annual limitation is necessary to keep assessments and services of the Working Capital Fund in line with costs. As in past years, the bill specificies that the limitation shall apply only to the Department and not to services provided by other entities. The Committee directs that services shall be provided on a competitive basis to the maximum extent possible.
MINORITY BUSINESS RESOURCE CENTER PROGRAM
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Appropriations Limitation on guaranteed loans
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Appropriations, 2006 $891,000 ($18,367,000)
Budget estimate, 2007 891,000 (18,367,000)
House allowance (18,367,000)
Committee recommendation 891,000 (18,367,000)
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PROGRAM DESCRIPTION
The Minority Business Resource Center of the Office of Small and Disadvantaged Business Utilization provides assistance in obtaining short-term working capital for disadvantaged, minority, and women-owned businesses. The program enables qualified businesses to obtain loans at prime interest rates for transportation-related projects. As required by the Federal Credit Reform Act of 1990, this account records the subsidy costs associated with guaranteed loans for this program as well as administrative expenses of this program.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $891,000 to cover the subsidy costs for guaranteed loans and $396,000 for administrative expenses to carry out the guaranteed loan program. The recommendation is the same as the budget estimate and is equal to the fiscal year 2006 enacted level. The Committee also recommends a limitation on guaranteed loans of $18,367,000, the same amount as the budget request and the fiscal year 2006 enacted level.
MINORITY BUSINESS OUTREACH
| Appropriations, 2006 | $2,970,000 |
| Budget estimate, 2007 | 2,970,000 |
| House allowance | 2,970,000 |
| Committee recommendation | 2,970,000 |
PROGRAM DESCRIPTION
This appropriation provides contractual support to assist small, women-owned, Native American, and other disadvantaged business firms in securing contracts and subcontracts arising out of transportation-related projects that involve Federal spending. It also provides support to historically black and Hispanic colleges. Separate funding is requested by the administration since this program provides grants and contract assistance that serves Department-wide goals and not just OST purposes.
COMMITTEE RECOMMENDATION
The Committee recommends $2,970,000 for grants and contractual support provided under this program for fiscal year 2007. The recommendation is the same as the budget request and the fiscal year 2006 enacted level.
NEW HEADQUARTERS BUILDING
| Appropriations, 2006 | $49,500,000 |
| Budget estimate, 2007 | 59,400,000 |
| House allowance | ........................... |
| Committee recommendation | 59,400,000 |
PROGRAM DESCRIPTION
This appropriation finances the tenant-related costs for a new Department of Transportation headquarters building. The proposed concept would consolidate all of the department's headquarters operating administration functions (except FAA), from various locations in the Washington, DC, metropolitan area into leased buildings within the central employment area of the District of Columbia.
COMMITTEE RECOMMENDATION
The Committee recommends $59,400,000 for tenant-related costs for new headquarters building. The recommendation is equal to the budget estimate and $9,900,000 more than fiscal year 2006 enacted level.
Headquarters Security- The Committee encourages the Secretary to explore purchasing the requisite software, hardware and installation services necessary to meet Homeland Security Presidential Directive-12 standards. The Secretary should explore smart card and biometric authentication for access to critical networks and applications as well as ingress/egress points in the new DOT headquarters building. In addition, the Secretary is encouraged to utilize small business concerns in meeting this requirement.
PAYMENTS TO AIR CARRIERS
(AIRPORT AND AIRWAY TRUST FUND)
------------------------------------------------------------------
Appropriations Mandatory 1 Total
------------------------------------------------------------------
Appropriations, 2006 1 $59,400,000 $50,000,000 $109,400,000
Budget estimate, 2007 50,000,000 50,000,000
House allowance 67,000,000 50,000,000 117,000,000
Committee recommendation 67,000,000 50,000,000 117,000,000
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PROGRAM DESCRIPTION
This appropriation provides additional funding for the Essential Air Service [EAS] program, which was created as a 10-year transition program to continue air service to communities that had received federally mandated air service prior to deregulation of commercial aviation in 1978. The program currently provides subsidies to air carriers serving small communities that meet certain criteria.
The Federal Aviation Administration Reauthorization Act of 1996 (Public Law 104-264) authorized the collection of user fees for services provided by the Federal Aviation Administration [FAA] to aircraft that neither take off from, nor land in, the United States. These are commonly known as overflight fees. In addition, the act stipulated that the first $50,000,000 of annual fee collections must be used to finance the EAS program. In the event of a shortfall in fees, the law requires FAA to make up the difference from other funds available to the agency.
COMMITTEE RECOMMENDATION
For fiscal year 2007, the administration proposes no appropriated funds for the EAS program, although the budget includes $50,000,000 for the EAS program to be funded by overflight fees collected by the FAA. The Committee recommendation provides a total of $117,000,000 for the Essential Air Service program, which is comprised of an appropriation under this heading of $67,000,000 and $50,000,000 derived from overflight fees or funds otherwise available to the FAA. The Committee recommendation is $67,000,000 more than the budget estimate and $7,600,000 more than the fiscal year 2006 enacted level. Based on the latest projections from the Department of Transportation, the funding level that the Committee recommends is sufficient to continue air service during fiscal year 2007 for every community currently receiving service through the EAS program as of February 1, 2006.
EAS Program Growth.--The Committee is concerned about the substantial growth of the costs of the EAS program and about its ability to continue to provide sufficient funding for subsidies so that no community currently in the EAS system loses current service levels. The Department will have to renew a number of contracts during fiscal year 2007, and costs of the new contracts are expected to increase due to higher fuel prices and other factors. While the Committee's recommended funding level attempts to account for such factors, it is clear that the program will face additional pressure during a time of extreme fiscal constraint. Although intended as a temporary program, many communities depend on this air service. Consequently, the Committee directs the Secretary to consider implementing section 402 of Vision 100--The Century of Aviation Reauthorization Act (Public Law 108-176) which permits an increase in the rates of compensation to air carriers due to the significant increase in the cost of fuel. This was unanticipated and outside the control of air carriers.
The following table reflects the points currently receiving service and the annual rates as of February 1, 2006 in the continental United States and Hawaii.
SUBSIDIZED EAS COMMUNITIES AS OF FEBRUARY 1, 2006
[Excludes Communities in Alaska]
---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
States/Communities Est. Miles to Nearest Hub (S,M,or L) 1 Avg. Daily Enplnmnts at EAS Point (YE 9/30/05) Ann. Sbsdy Rates at 2/1/2006 Subsidy per Passenger Total Psgrs (YE 9/30/05)
---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
ALABAMA:
Muscle Shoals 60 17.4 $1,364,697 $125.11 10,908
ARIZONA:
Kingman 121 6.5 $1,001,989 $245.41 4,083
Page 282 14.6 $1,057,655 $115.68 9,143
Prescott 102 20.3 $1,001,989 $78.91 12,698
Show Low 154 8.7 $779,325 $142.34 2 5,475
ARKANSAS:
El Dorado/Camden 107 6.8 $923,456 $218.10 4,234
Harrison 80 11.6 $1,385,183 $190.35 7,277
Hot Springs 51 10.3 $923,456 $143.73 6,425
Jonesboro 82 8.4 $923,456 $176.13 5,243
CALIFORNIA:
Crescent City 223 38.2 $816,025 $34.16 23,885
Merced 60 27.5 $645,751 $37.46 17,237
Visalia 47 4.2 $450,000 $173.14 2,599
COLORADO:
Alamosa 164 16.9 $1,083,538 $102.29 10,593
Cortez 255 25.8 $853,587 $52.77 16,175
Pueblo 36 4.9 $780,997 $255.06 3,062
GEORGIA:
Athens 72 23.2 $392,108 $27.01 14,516
HAWAII:
Hana 35 ( 3 ) $774,718 ( 3 ) ( 3 )
Kalaupapa ( 3 ) $331,981 ( 3 ) ( 3 )
Kamuela 39 ( 3 ) $395,053 ( 3 ) ( 3 )
ILLINOIS:
Decatur 126 34.5 $954,404 $44.20 21,594
Marion/Herrin 123 36.6 $1,251,069 $54.60 22,913
Quincy 111 27.4 $1,097,406 $63.91 17,170
IOWA:
Burlington 74 22.1 $1,077,847 $77.99 13,820
Fort Dodge 91 26.8 $1,080,386 $64.37 16,784
Mason City 131 43.6 $1,080,386 $39.59 27,289
KANSAS:
Dodge City 150 12.5 $1,379,419 $176.22 7,828
Garden City 202 28.4 $1,733,997 $97.53 17,780
Great Bend 114 2.5 $621,945 $403.08 1,543
Hays 175 24.9 $1,540,392 $98.83 15,586
Liberal/Guymon, OK 138 13.9 $1,008,582 $116.14 8,684
Manhattan 122 32.3 $360,803 $17.82 20,243
Salina 97 7.6 $360,803 $75.75 4,763
KENTUCKY:
Owensboro 105 10.3 $1,127,453 $175.64 6,419
MAINE:
Augusta/Waterville 67 14.8 $1,065,475 $114.83 9,279
Bar Harbor 144 33.4 $1,065,475 $50.91 20,928
Presque Isle 262 52.9 $1,116,423 $33.73 33,097
Rockland 81 23.0 $1,065,475 $73.87 14,424
MARYLAND:
Hagerstown 60 20.6 $649,929 $50.42 12,891
MICHIGAN:
Escanaba 112 35.9 $290,952 $12.96 22,450
Iron Mountain/Kingsford 105 29.0 $602,761 $33.19 18,163
Ironwood/Ashland, WI 213 10.4 $409,242 $62.68 6,529
Manistee/Ludington 110 7.9 $776,051 $156.40 4,962
MINNESOTA:
Chisholm/Hibbing 199 33.7 $1,279,329 $60.72 21,069
Thief River Falls 305 15.2 $777,709 $81.73 9,516
MISSISSIPPI:
Laurel/Hattiesburg 89 48.1 $1,100,253 $36.55 30,106
MISSOURI:
Cape Girardeau 127 20.3 $1,147,453 $90.15 12,728
Fort Leonard Wood 85 25.3 $683,201 $43.05 15,869
Joplin 70 30.9 $755,762 $39.01 19,374
Kirksville 137 4.4 $840,200 $306.42 2,742
MONTANA:
Glasgow 285 6.9 $823,591 $190.25 4,329
Glendive 222 3.6 $823,591 $368.17 2,237
Havre 230 5.0 $823,591 $263.55 3,125
Lewistown 103 2.8 $823,591 $472.78 1,742
Miles City 145 3.9 $823,591 $341.17 2,414
Sidney 272 11.5 $823,591 $114.71 7,180
West Yellowstone 332 13.8 $418,488 $48.32 8,660
Wolf Point 293 5.7 $823,591 $229.60 3,587
NEBRASKA:
Alliance 233 4.5 $655,898 $233.25 2,812
Chadron 290 4.9 $655,898 $215.54 3,043
Grand Island 138 24.3 $1,198,396 $78.89 15,190
Kearney 181 21.1 $1,166,849 $88.32 13,212
McCook 256 6.3 $1,502,651 $379.55 3,959
North Platte 255 24.7 $870,504 $56.29 15,465
Scottsbluff 192 28.5 $494,887 $27.75 17,836
NEVADA:
Ely 234 6.9 $698,078 $161.33 4327
NEW HAMPSHIRE:
Lebanon 72 28.4 $998,752 $56.21 17,769
NEW MEXICO:
Alamogordo/Holoman AFB 89 ( 4 ) $592,170 ( 4 ) ( 4 )
Carlsbad 149 14.0 $599,671 $68.63 8,738
Clovis 102 6.8 $859,057 $201.75 4,258
Hobbs 90 4.9 $519,614 $168.21 3,089
Silver City/Hurley/Deming 134 6.6 $859,057 $206.85 4,153
NEW YORK:
Jamestown 68 26.6 $501,937 $30.10 16,676
Massena 138 10.7 $585,945 $87.85 6,670
Ogdensburg 105 6.4 $585,945 $146.67 3,995
Plattsburgh 82 4.1 $753,964 $294.17 2,563
Saranac Lake 132 7.4 $753,964 $161.83 4,659
Watertown 54 16.7 $585,945 $56.11 10,443
NORTH DAKOTA:
Devils Lake 402 7.2 $1,329,858 $296.18 4,490
Dickinson 319 16.4 $1,697,248 $165.75 10,240
Jamestown 333 9.9 $1,351,677 $217.63 6,211
OKLAHOMA:
Enid 84 3.5 $636,279 $289.88 2,195
Ponca City 80 2.6 $636,279 $387.03 1,644
OREGON:
Pendleton 185 21.6 $649,974 $47.99 13,545
PENNSYLVANIA:
Altoona 112 20.9 $893,774 $68.16 13,112
Bradford 77 19.3 $501,937 $41.48 12,102
Du Bois 112 33.2 $643,818 $31.01 20,764
Johnstown 84 39.3 $464,777 $18.89 24,610
Lancaster 69 19.0 $1,611,707 $135.72 11,875
Oil City/Franklin 85 10.3 $683,636 $105.78 6,463
PUERTO RICO:
Mayaguez 105 33.3 $688,551 $33.08 2 20,818
Ponce 77 11.2 $622,056 $88.54 2 7,025
SOUTH DAKOTA:
Brookings 206 2.5 $1,039,364 $677.11 1,535
Huron 281 4.6 $1,039,364 $361.27 2,877
Pierre 395 20.3 $449,912 $35.43 12,699
Watertown 207 31.1 $1,211,589 $62.30 19,448
TENNESSEE:
Jackson 86 7.2 $1,179,026 $261.54 4,508
TEXAS:
Victoria 93 34.3 $510,185 $23.76 21,470
UTAH:
Cedar City 179 42.4 $1,068,607 $40.22 26,567
Moab 256 3.1 $674,804 $344.99 1,956
Vernal 150 4.6 $595,436 $208.56 2,855
VERMONT:
Rutland 69 6.7 $849,705 $202.89 4,188
VIRGINIA:
Staunton 113 18.3 $650,123 $56.73 11,460
WASHINGTON:
Ephrata/Moses Lake 102 11.8 $1,698,922 $230.30 7,377
WEST VIRGINIA:
Beckley 168 6.3 $977,858 $247.12 3,957
Bluefield/Princeton 133 6.3 $977,858 $247.25 3,955
Clarksburg/Fairmont 96 27.6 $306,109 $17.72 17,270
Greenbrier/W.SulphSpr/LWB 166 15.8 $540,579 $54.50 9,918
Morgantown 75 35.7 $306,109 $13.68 22,379
Parkersburg 110 52.0 $439,115 $13.50 32,528
WYOMING:
Laramie 145 27.1 $397,400 $23.44 16,956
Riverton 305 37.6 $394,046 $16.75 23,519
Rock Springs 189 45.0 $390,488 $13.85 28,195
Sheridan 132 42.0 $336,701 $12.79 26,318
Worland 161 6.1 $797,844 $208.42 3,828
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ADMINISTRATIVE PROVISIONS--OFFICE OF THE SECRETARY OF TRANSPORTATION
Section 101. The Committee authorizes the Administrator of the Federal Aviation Administration to reimburse amounts made available pursuant to 49 U.S.C. 41742(a)(1) from fees credited under 49 U.S.C. 45303.
Section 102. The Committee authorizes the Secretary of Transportation to transfer to the account called `Minority Business Outreach' unexpended balances from the bonding assistance program funded out of the account `Office of the Secretary, Salaries and Expenses.'
Section 103. The Committee prohibits the Office of the Secretary of Transportation from obligating funds originally provided to a modal administration in order to approve assessments or reimbursable agreements, unless the Department follows the regular process for reprogramming funds, including congressional notification.
Section 104. The Committee prohibits the Department of Transportation from amending regulations that define `actual control' of a domestic air carrier under the proposed `open skies' policy.
FEDERAL AVIATION ADMINISTRATION
PROGRAM DESCRIPTION
The Federal Aviation Administration is responsible for the safe movement of civil aviation and the evolution of a national system of airports. The Federal Government's regulatory role in civil aviation began with the creation of an Aeronautics Branch within the Department of Commerce pursuant to the Air Commerce Act of 1926. This act instructed the agency to foster air commerce; designate and establish airways; establish, operate, and maintain aids to navigation; arrange for research and development to improve such aids; issue airworthiness certificates for aircraft and major aircraft components; and investigate civil aviation accidents. In the Civil Aeronautics Act of 1938, these activities were transferred to a new, independent agency named the Civil Aeronautics Authority.
Congress streamlined regulatory oversight in 1957 with the creation of two separate agencies, the Federal Aviation Agency and the Civil Aeronautics Board. When the Department of Transportation [DOT] began its operations in 1967, the Federal Aviation Agency was renamed the Federal Aviation Administration [FAA] and became one of several modal administrations within DOT. The Civil Aeronautics Board was later phased out with enactment of the Airline Deregulation Act of 1978, and ceased to exist in 1984. Responsibility for the investigation of civil aviation accidents was given to the National Transportation Safety Board in 1967. FAA's mission expanded in 1995 with the transfer of the Office of Commercial Space Transportation from the Office of the Secretary, and decreased in December 2001 with the transfer of civil aviation security activities to the new Transportation Security Administration.
COMMITTEE RECOMMENDATION
The total recommended program level for the FAA for fiscal year 2007 amounts to $8,366,000,000, which is $261,860,000 more than the fiscal year 2006 enacted level. The following table summarizes the Committee's recommendations:
--------------------------------------------------------------------------------------------------
Fiscal year-- Committee recommendation
2006 enacted 2007 request
--------------------------------------------------------------------------------------------------
Operations $8,104,000,000 $8,366,000,000 $8,366,000,000
General fund appropriation 2,921,000,000 2,921,000,000
Trust fund appropriation (5,485,590,000) (5,445,000,000) (5,445,000,000)
Flight service stations transition costs (148,500,000)
Facilities and equipment 1 2,555,000,000 2,503,000,000 2,549,510,000
Research, engineering, and development 136,620,000 130,000,000 135,500,000
Grants-in-aid for airports 3,514,500,000 2,750,000,000 3,520,000,000
Total 14,310,000,000 13,749,000,000 14,571,010,000
--------------------------------------------------------------------------------------------------
OPERATIONS
| Appropriations, 2006 | $8,104,141,000 |
| Budget estimate, 2007 | 8,366,000,000 |
| House allowance | 8,360,000,000 |
| Committee recommendation | 8,366,000,000 |
PROGRAM DESCRIPTION
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, international, commercial space, medical, engineering and development programs, as well as policy oversight and agency management functions. The operations appropriation includes the following major activities: (1) the air traffic organization which operates, on a 24-hour daily basis, the national air traffic system, including the establishment and maintenance of a national system of aids to navigation, the development and distribution of aeronautical charts and the administration of acquisition, and research and development programs; (2) the regulation and certification activities including establishment and surveillance of civil air regulations to assure safety and development of standards, rules and regulations governing the physical fitness of airmen as well as the administration of an aviation medical research program; (3) the office of commercial space transportation; and (4) headquarters, administration and other staff and support offices.
COMMITTEE RECOMMENDATION
The Committee recommends a total of $8,366,000,000 for FAA operations, an increase of $261,860,000 above the level provided for fiscal year 2006 and the same as the budget estimate. The Committee recommendation derives $5,445,000,000 of the appropriation from the airport and airway trust fund. The level is equal to the budget estimate. The balance of the appropriation will be drawn from the general fund of the Treasury.
As in past years, FAA is directed to report immediately to the House and Senate Committees on Appropriations in the event resources are insufficient to operate a safe and effective air traffic control system.
Second Career Training Program- The Committee includes language which prohibits the use of funds for the second career training program.
Sunday Premium Pay- The Committee prohibits FAA from paying Sunday premium pay, except in those cases where the individual actually worked on a Sunday.
Manned Auxiliary Flight Service Stations- The Committee continues a prohibition against the use of funds for operating a manned auxiliary flight service station in the contiguous United States.
Aeronautical Charting and Cartography- The Committee prohibits the use of funds to conduct aeronautical charting and cartography [AC&C] activities through the working capital fund [WCF]. Public Law 106-181 had authorized the transfer of these activities from the Department of Commerce to the FAA.
Government-issued Credit Cards- The Committee prohibits the use of a government-issued credit card to purchase a store gift card or gift certificate.
The following table summarizes the Committee's recommendation in comparison to the budget estimate and fiscal year 2006 enacted level:
[In thousands of dollars]
-----------------------------------------------------------------------------------------------
Fiscal year-- Committee recommendation
2006 enacted 2007 budget estimate
-----------------------------------------------------------------------------------------------
Air Traffic Organization $6,549,758 $6,704,223 $6,690,108
Aviation Safety 948,957 981,668 997,718
Commercial Space Transportation 11,641 11,985 11,722
Financial Services 50,473 94,708 93,620
Human Resource Management 69,244 87,850 87,850
Region and Center Operations 149,237 272,821 272,821
Staff Offices 140,580 175,392 175,655
Information Services 35,751 36,779 36,506
Flight Service Stations Transition 148,500
TOTAL 8,117,083 8,366,000 8,366,000
-----------------------------------------------------------------------------------------------
AIR TRAFFIC ORGANIZATION
The Committee recommends $6,690,108,000 for the Air Traffic Organization to operate and maintain the national air traffic control system. The recommended level is $140,350,000 more than the fiscal year 2006 enacted level. The Committee is confident that the recommended funding level is sufficient to continue safe and efficient management of the National Airspace System [NAS].
Air Traffic Controller Contract- Recently, the FAA implemented a new contract for its air traffic controller workforce. Under this contract, most current air traffic controllers would continue to receive their existing base salaries and benefits while newly hired controllers would be hired at lower wage rates. The FAA has maintained that this contract will result in significant cost savings, freeing up resources for other critical agency needs. However, the Committee is concerned that the imposition of these new contract terms could result in an even larger number of senior controllers choosing to retire than was originally contemplated by the FAA. Given the overarching need for the agency to retain a seasoned and experienced workforce to maintain safety, the Committee plans to monitor this situation carefully. As such, in addition to the prompt and regular submission of the controller workforce staffing plan, the Committee directs FAA to report to the House and Senate Committees on Appropriations on the extent of controller retirements and any trends they are experiencing in comparison to the number of retirements anticipated by the FAA for the current year and the number of retirements experienced in prior years. This report is due no later than April 15, 2007.
FAA Workforce Plans- The bill includes provisions that require the FAA to submit to Congress its annual air traffic controller workforce plan by March 1 of each year, and that would reduce the appropriation to the FAA's Operations account by $100,000 for each day that the report is late. The Committee is greatly frustrated by the FAA's failure to transmit an update to its workforce plan. The original plan was transmitted to Congress in December 2004, and despite promises that the plan would be updated annually, the Committee is still waiting for the revised plan. On May 4, 2006, the Administrator testified before the Committee that an updated report would be submitted in a short period of time. The report, however, is now seven months late. The Committee directs the FAA to submit its 2006 plan immediately. The Committee also notes that half of the FAA's inspector workforce is expected to retire by the year 2010. The Committee believes that an effective safety staff is vital to protecting the public, and that supporting this staff is essential to ensuring the safety of an increasing complex aviation system. Consequently, the bill includes a provision that requires the FAA to submit to Congress a workforce plan that describes a strategy for maintaining a sufficient aviation safety staff that is similar in its content and identical in its format to the air traffic controller workforce plan. The Committee expects the aviation safety workforce plan will provide a background to the current staffing levels, describe the challenges to hiring sufficient safety staff, forecast expected attrition, set specific and realistic hiring targets over a ten-year period, and detail strategies for meeting staffing needs through better management practices in the same manner as was utilized in the initial air traffic controller workforce plan. The bill includes a provision that would reduce the appropriation to the FAA's Operations account by $100,000 for each day that the report is late.
Air Traffic Control Supervisor Staffing- The Committee remains concerned that there are not enough Air Traffic Control Supervisors in place to assure flight safety. Additional supervisors are necessary to reduce operational errors that have led to dangerous runway incursions and serious in flight errors. To remedy this, Congress mandated in fiscal year 2005 Transportation Appropriations bill that the FAA have 1,846 supervisors in place by September 30, 2005. The FAA only had 1,801 in September and the number has since fallen to 1,777 on March 18, 2006 at the same time operational errors continue to rise. We are concerned that the FAA is moving in the wrong direction and is not promoting controllers to supervisory ranks. The Committee expects the FAA to fill supervisor vacancies and to meet the mandated floor of 1,846 Supervisors. The Committee directs FAA to submit a report by January 31, 2007, stating how many Air Traffic Control Supervisors are in place on September 30, 2006 and the FAA's plan to hire additional supervisors to address the problem of increased operational errors.
Alien Species Action Plan [ASAP].--The Committee recommends $1,600,000 to continue the implementation of the Alien Species Action Plan which was adopted by the FAA as part of its August 26, 1998, record of decision approving certain improvements at Kahului Airport on the Island of Maui. These funds will be used to execute capital projects and continue the operational requirements imposed by the ASAP.
AVIATION SAFETY
The Committee recommends $997,718,000 for aviation safety. The recommendation is $48,761,000 more than the enacted level.
Aviation Safety Inspectors and Aircraft Certification Staff.--The Committee provides $48,711,612 for aviation safety, an increase of $16,000,000 over the budget request to increase critical safety staff in the Office of Aviation Flight Standards [AFS] and the Office of Aircraft Certification [AIR]. The bill specifies that $32,474,408--or two-thirds of the total funding for aviation safety--shall be used to increase the staff of the AFS office and that $16,237,204--or one-third of the total--shall be used to increase the staff of the AIR office. The bill also prohibits the FAA from reprogramming those funds between the two offices or transferring the funds to any other activity.
For fiscal year 2006, the Committee provided $12,000,000 above the budget request with the expectation that the FAA would increase safety staff by 238 new safety personnel. This increase in funding included $8,000,000 for AFS inpectors, and $4,000,000 for AIR safety inspectors, engineers, pilots, and scientists. In May, the Committee was disappointed to learn that the FAA would be able to add only 171 new employees to its safety staff. The Committee recognizes that the across-the-board cut and mandatory pay raise enacted for fiscal year 2006 constrains the FAA's ability to hire more aggressively; however, the Committee remains convinced that the staffing levels in the offices of flight standards and aircraft certification are not satisfactory. The Committee is especially concerned that the dearth of safety inspectors limits the FAA's ability to protect the safety of our air transportation system.
Finally, the Committee is frustrated by the FAA's failure to provide timely information on its hiring practices. The Committee repeatedly requested for information from the FAA on the progress the agency was making in increasing its safety staff, but never received an adequate response until days before the Committee held a hearing on the FAA's budget. Furthermore, the Committee notes that FAA has not yet followed directions in the Statement of Managers of the 2006 Act that instructs the FAA to provide semi-annual reports on its safety staff. In light of this communication gap, the bill now includes a requirement for the FAA to provide quarterly reports on the agency's progress in increasing the staff of its safety offices.
Medallion Program.--The Committee recommends $5,000,000 to continue the medallion five star shield program, a key safety initiative in the FAA's current strategic plan for reducing general aviation accidents in Alaska.
FACILITIES AND EQUIPMENT
(AIRPORT AND AIRWAY TRUST FUND)
| Appropriations, 2006 | $2,514,600,000 |
| Budget estimate, 2007 | 2,503,000,000 |
| House allowance | 3,110,000,000 |
| Committee recommendation | 2,549,510,000 |
PROGRAM DESCRIPTION
The Facilities and Equipment [F&E] appropriation provides funding for modernizing and improving air traffic control and airway facilities, equipment, and systems. The appropriation 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. The program aims to keep pace with the increasing demands of aeronautical activity and remain in accordance with the Federal Aviation Administration's comprehensive 5-year capital investment plan [CIP].
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $2,549,510,000 for the Facilities and Equipment of the Federal Aviation Administration. The Committee recommendation is $46,510,000 more than the budget estimate and $34,910,000 more than the fiscal year 2006 enacted level. The bill provides that $2,101,610,000 is available for obligation until September 30, 2009, and $447,900,000 is available until September 30, 2007.
The Committee recommendations focus on reinforcing greater accountability and mission goals, and strive for better or alternative ways of improving and modernizing the system. Furthermore, in reviewing the budget estimate for this account, the Committee has placed priority on funding programs necessary to upgrade current equipment for future capacity requirements or programs that will enable the FAA to proceed with initiatives to improve safety and initiatives to alleviate congestion, reduce aircraft spacing, and increase the efficiency of the NAS.
The Committee reiterates the need for the FAA to take immediate steps to control personnel cost growth and to impose budget and schedule discipline on major acquisition programs in a time of fiscal constraints and declining capital budget funding. Our Nation's air traffic control system has failed to keep up with the increasing and changing demands of civil aviation, and the FAA will not be able to meet future demands and needs without changing and improving the ways the agency modernizes the NAS. This challenge is unlikely to be met without changing the FAA culture. Ultimately, changing the FAA culture is a long-term proposition, but the failure to do so will harm the aviation industry, inconvenience the flying public, and serve as an obstacle to national economic growth.
Budget Activities Format- The Committee directs that the fiscal year 2008 budget request for the Facilities and Equipment account conform to the same organizational structure of budget activities.
The Committee's recommended distribution of funds for each of the budget activities funded by the appropriation follows:
FACILITIES AND EQUIPMENT
--------------------------------------------------------------------------------------------------------------------------------------
2007 estimate Committee recommendation
--------------------------------------------------------------------------------------------------------------------------------------
Activity 1, Engineering, Development, Testing and Evaluation:
Advanced Technology Development and Prototyping $45,100,000 $50,100,000
Safe Flight 21 (SF-21) 19,700,000 30,700,000
Aeronautical Data Link (ADL) Applications 1,000,000 1,000,000
Next Generation VHF Air/Ground Communications System (NEXCOM) 25,000,000 25,000,000
Traffic Management Advisor (TMA) 37,600,000 37,600,000
NAS Improvement of System Support Laboratory 1,000,000 1,000,000
William J. Hughes Technical Center Facilities 12,000,000 12,000,000
William J. Hughes Technical Center Infrastructure Sustainment 4,200,000 4,200,000
System-Wide Information Management (SWIM) 24,000,000 24,000,000
ADS-B NAS Wide Implementation 80,000,000 80,000,000
Total, Activity 1 249,600,000 265,600,000
Activity 2, Procurement and Modernization of Air Traffic Control Facilities and Equipment:
En Route Programs:
En Route Automation Modernization (ERAM) 375,700,000 375,700,000
En Route Systems Modification 27,500,000 27,500,000
Next Generation Weather Radar (NEXRAD)--Provide 2,000,000 2,000,000
Weather and Radar Processor (WARP) 7,400,000 7,400,000
ARTCC Building Improvements/Plant Improvements 51,000,000 51,000,000
Air Traffic Management (ATM) 78,850,000 78,850,000
Air/Ground Communications Infrastructure 16,500,000 16,500,000
ATC Beacon Interrogator (ATCBI)--Replacement 16,400,000 16,400,000
Air Traffic Control En route Radar Facilities Improvements 5,000,000 5,000,000
En Route Communications and Control Facilities Improvements 1,883,769 1,883,769
Integrated Terminal Weather System (ITWS) 20,900,000 20,900,000
FAA Telecommunications Infrastructure (FTI) 28,000,000 28,000,000
Oceanic Automation System 31,350,000 31,350,000
Air Traffic Operations Management System (ATOMS) 6,000,000 6,000,000
Voice Switching and Control System (VSCS) 15,000,000 15,000,000
En Route Communications Gateway (ECG) 4,200,000 4,200,000
Volcano Monitoring 5,000,000
Terminal Programs:
Airport Surface Detection Equipment--Model X (ASDE-X) 63,600,000 63,600,000
Terminal Doppler Weather Radar (TDWR)--Provide 12,500,000 12,500,000
Standard Terminal Automation Replacement System (STARS) (TAMR Phase 1) 49,200,000 49,200,000
Terminal Automation Program 13,800,000 13,800,000
Terminal Air Traffic Control Facilities--Replace 124,000,000 149,000,000
ATCT/Terminal Radar Approach Control (TRACON) Facilities--Improve 44,233,563 44,233,563
Terminal Voice Switch Replacement (TVSR)/Enhancement Terminal Voice Switch (ETVS) 11,300,000 11,300,000
NAS Facilities OSHA and Environmental Standards Compliance 25,000,000 25,000,000
Airport Surveillance Radar (ASR-9) 15,900,000 15,900,000
Terminal Digital Radar (ASR-11) 44,050,000 44,050,000
DOD/FAA Facilities Transfer 2,300,000 2,300,000
Precision Runway Monitors 2,600,000 2,600,000
Terminal Radar (ASR)--Improve 2,022,848 3,532,848
Terminal Communications--Improve 1,348,887 1,348,887
Runway Status Lights (RWSL) 13,700,000 13,700,000
Terminal Automation Modernization/Replacement Program (TAMR Phase 2) 30,450,000 30,450,000
National Airspace System Voice Switch (NVS) 1,000,000 1,000,000
Weather System Processor (WSP) 1,000,000 1,000,000
NAS Infrastructure Management System (NIMS) 5,000,000 5,000,000
Flight Service Programs:
Automated Surface Observing System (ASOS) 5,000,000 5,000,000
FSAS Operational and Supportability Implementation System (OASIS) 8,300,000 8,300,000
Flight Service Station (FSS) Modernization 6,000,000 6,000,000
Landing and Nav Aids:
VHF Omnidirectional Radio Range (VOR) with Distance Measuring Equipment (DME) 5,000,000 5,000,000
Instrument Landing System (ILS)--Establish 4,000,000 8,000,000
Wide Area Augmentation System (WAAS) for GPS 122,400,000 97,400,000
Runway Visual Range (RVR) 5,000,000 5,000,000
LORAN-C 10,000,000
Navigation and Landing Aids--Improve 4,270,933 4,270,933
Approach Lighting System Improvement Program (ALSIP) 12,000,000 22,000,000
Distance Measuring Equipment (DME) 5,000,000 5,000,000
Visual Navaids--Establish/Expand 2,000,000 2,000,000
Instrument Approach Procedures Automation (IAPA) 9,300,000 9,300,000
Navigation and Landing Aids--Service Life Extension Program (SLEP) 5,000,000 5,000,000
VASI Replacement--Replace with Precision Approach Indicator 3,000,000 3,000,000
Other ATC Facilities Programs:
Fuel Storage Tank Replacement and Monitoring 5,800,000 5,800,000
FAA Buildings and Equipment 12,000,000 12,000,000
Air Navigational Aids and ATC Facilities (Local Projects) 3,000,000 3,000,000
Aircraft Related Equipment Program 11,000,000 11,000,000
Computer Aided Engineering and Graphics (CAEG)--Modernization 1,500,000 1,500,000
Airport Cable Loop Systems--Sustained Support 5,000,000 5,000,000
Alaskan NAS Interfacility Communications System (ANICS) 2,240,000 2,240,000
Facilities Decommissioning--NDB 12,600,000 12,600,000
Electrical Power System--Sustain/Support 38,000,000 38,000,000
Total, Activity 2 1,438,100,000 1,468,610,000
Activity 3, Procurement and Modernization of Non-Air Traffic Control Facilities and Equipment:
Support Programs:
Hazardous Materials Management 20,000,000 20,000,000
Aviation Safety Analysis System (ASAS) 14,500,000 14,500,000
Logistics Support Systems and Facilities (LSSF) 1,000,000 1,000,000
Test Equipment--Maintenance Support for Replacement 1,500,000 1,500,000
National Airspace System (NAS) Recovery Communications (RCOM) 10,000,000 10,000,000
Facility Security Risk Management 25,000,000 25,000,000
Information Security 12,000,000 12,000,000
System Approach for Safety Oversight (SASO) 17,300,000 17,300,000
Aviation Safety Knowledge Management Environment (ASKME) 4,600,000 4,600,000
Training, Equipment and Facilities:
Aeronautical Center Infrastructure Modernization 13,800,000 13,800,000
National Airspace System (NAS) Training Facilities 14,000,000 14,000,000
Distance Learning 1,500,000 1,500,000
Total, Activity 3 135,200,000 135,200,000
Activity 4, Facilities and Equipment Mission Support:
System Support and Support Services:
System Engineering and Development Support 25,900,000 25,900,000
Program Support Leases 45,000,000 45,000,000
Logistics Support Services (LSS) 7,900,000 7,900,000
Mike Monroney Aeronautical Center Leases 13,500,000 13,500,000
Transition Engineering Support 24,700,000 24,700,000
Frequency and Spectrum Engineering 4,500,000 4,500,000
Technical Support Services Contract (TSSC) 35,000,000 35,000,000
Resource Tracking Program (RTP) 1,700,000 1,700,000
Center for Advanced Aviation System Development (CAASD) 70,000,000 70,000,000
NOTAMS and Aeronautical Information Programs 4,000,000 4,000,000
Total, Activity 4 232,200,000 232,200,000
Activity 5, Personnel Compensation, Benefits, and Travel:
Personnel and Related Expenses 447,900,000 447,900,000
Total, Activity 5 447,900,000 447,900,000
Total, All Activities 2,503,000,000 2,549,510,000
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Advanced Technology Development and Prototyping- The Advanced Technology Development and Prototyping [ATDP] program develops and validates technologies that support a range of timely and critical initiatives within the Engineering, Development, Test and Evaluation activity. The Committee recommends $50,100,000 to be distributed as follows:
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Committee recommendation
---------------------------------------------------------------------------------
Runway incursion reduction program $8,000,000
System capacity, planning, and improvement 5,500,000
General aviation and vertical flight technology program 2,000,000
Operational concept validation 3,000,000
Safer skies 3,600,000
Wake turbulence 1,000,000
Airspace management laboratory 4,000,000
NAS requirements 800,000
Wind profiling and weather research Juneau 1,100,000
Runway obstruction warning system 2,000,000
Mobile object infrastructure technology 3,000,000
Airspace redesign 2,800,000
ATO strategy and evaluation 2,000,000
Energy management and efficiency compliance 5,000,000
Market based competitive sourcing 3,800,000
Dynamic capital planning 2,500,000
---------------------------------------------------------------------------------
Runway Obstruction Warning System- The Committee recommends an increase of $2,000,000 for the ATDP budget line to continue development, enhancement, and evaluation of the Runway Obstruction Warning System at the test bed at Gulfport-Biloxi Airport.
Mobile Object Infrastructure Technology- The Committee recommends $3,000,000 to advance technology to pre-deployment status and demonstrate the mobile object infrastructure technology's ability to provide remote maintenance and monitoring; data collection from disparate and unspecified sources; quality assurance in a secure and dynamic infrastructure; and, to establish one of FAA's labs as an official system wide information management node.
Safe Flight 21- The Committee supports the Safe Flight 21 program and recommends $30,700,000, an increase of $11,000,000 above the budget estimate. The Committee is disappointed that the administration has slashed the overall funding for Safe Flight 21; a program that is critical to the safety of general aviation in Alaska. The Committee urges the administration and FAA to be more sensitive to this and other important aviation programs.
System-Wide Information Management [SWIM]- The bill includes $24,000,000 for the System Wide Information Management [SWIM] program, which will provide the foundation necessary for transforming the national airspace system into a network-centric operation. The Committee urges the FAA not to focus on narrowly defined connectivity projects and upgrades for existing FAA systems, and instead directs the FAA to use the funding provided to continue the developments in the overall SWIM architecture, standards, core information services, and demonstrations that are underway in the Global Communications, Navigation, Surveillance System program. In addition, the Committee urges the FAA to align its work on SWIM with the efforts of the Joint Planning and Development Office to build the next generation air transportation system. The Committee directs the FAA to submit a report to the Committee not later than January 30, 2007, that details how the agency will spend the $24,000,000 provided for SWIM, including how much of the funding will be spent directly on SWIM systems architecture, standards and core information services. The Committee expects that all major information and automation programs in the national airspace system will use their existing program funds to support connectivity to the SWIM architecture. The Committee directs the FAA to highlight its plans and the funds allocated for achieving SWIM compliance and connectivity for each appropriate item in the Facilities and Equipment account in the agency's budget justifications for fiscal year 2008.
Volcano Monitoring.--The Committee recommendation provides $5,000,000 to continue the volcano monitoring program.
Air Traffic Control Training Simulators.--The Committee recommends that the FAA continue to procure control tower simulators under an existing Air Force contract, which was a full and open competition, in order to continue upgrading their training capabilities in order to meet the needs identified in the Controller Workforce Plan [CWP] and the Capital Investment Plan [CIP]. The Committee understands that the FAA can request the Air Force to extend the existing contract by making a formal request to the Air Force to extend the time and pricing considerations. Currently, there are 121 tower control training simulators in place supporting ATC training in the United States with the military, the FAA and several universities that support the FAA's Collegiate Training Initiative [CTI] program.
Terminal Air Traffic Control Facilities Replacement.--The Committee recommendation includes $149,000,000 for new and replacement air traffic control tower [ATCT] and ATCT/TRACON consolidation projects, an increase of $25,000,000 from the budget request. Funding shall be available for the following projects in the corresponding amounts:
-------------------------------
Location Amount
-------------------------------
Kalamazoo, MI $1,800,000
West Palm Beach, FL 10,000,000
Reno, NV 2,500,000
Cleveland, OH 3,700,000
Memphis, TN 22,400,000
Jeffco, CO 4,200,000
Palm Springs, CA 2,000,000
Houston, TX 2,000,000
Gulfport, MS 10,000,000
Las Vegas, NV 55,000,000
Pensacola, FL 1,100,000
Boise, ID 7,000,000
Dayton, OH 2,200,000
Barnstable, MA 250,000
-------------------------------
Reprogramming of Appropriated Funds for Tower and TRACON Replacements- The Committee notes that the FAA has initiated an effort to evaluate and prioritize the need to replace individual air traffic control towers and terminal radar approach control facilities. Part of this effort has included the preparation of a long-overdue accounting of prior-appropriated funds for this activity. Too often in the past, the FAA has delayed the construction of necessary projects for which funds had already been appropriated in order to reprogram resources to alternative projects without congressional notification or consultation. Most recently, the FAA has sought to alter this practice by seeking a formal reprogramming of funds toward the replacement of LaGuardia tower [LGA]. Much of this funding proposed to be reprogrammed for the LGA tower is to be derived from monies appropriated for some 20 other projects in 2004 and 2005.
At this point in time, the Committee has no choice but to approve this reprogramming. Much of the funding proposed for reprogramming was initially appropriated in 2004 and is now at risk of lapsing due to the agency's failure to spend the funding on the projects for which they were intended. For example, almost none of the funds that the Committee appropriated for fiscal year 2004 for the replacement of towers at Las Vegas, Nevada, Missoula, Montana, Traverse City, Michigan, Dayton, Ohio, and Kalamazoo, Michigan have been spent. The FAA has stated that they are likely to pursue those projects some time in the future and, if necessary, seek additional funding to complete them either through additional reprogrammings or through new requests for appropriations. The Committee should not have to appropriate funding twice for the same project due to the agency's bureaucratic dithering and its failure to rapidly initiate design and construction of the projects that have been funded. Moreover, the Committee is concerned that the FAA's commitment to seek the necessary funding to complete these projects at some later time might prove to be a hollow promise, given the administration's propensity to propose funding cuts for the aviation capital programs and the pressure the FAA will face to fund other modernization needs.
As such, the Committee has appropriated $25,000,000 in this bill to immediately replace the funds that have been reprogrammed away from tower projects that have not yet been completed and will need more funds in the future. These funds have been provided in lieu of funding the Administrator's request for the Wide Area Augmentation System [WAAS] which the Committee views as a lower priority. In making these funds available now, the Committee directs the Administrator to move out immediately with the completion of these projects. The Committee expects the Administrator to revisit her schedule for initiating design and construction for the projects cited above. The Committee has no intention of waiting until 2010 or later to see construction contracts awarded for tower replacement projects that received initial appropriations as long ago as 2001. In the future, baring any unusual circumstance, the Committee expects the FAA to restrict funding for any specific tower replacement to the facility for which it is appropriated.
Terminal Digital Radar (ASR-11).--The Committee recommends $44,050,000, the same amount as the budget request. The ASR-11 program will replace 100 existing FAA radar systems at low-to-medium density terminal facilities.
The Committee is aware of the desire for a terminal radar to serve the regions of Utah County, Utah and Las Vegas, Nevada. The Committee encourages the FAA to work with Utah County, Utah and Las Vegas, Nevada to improve radar coverage for both areas.
Terminal Radar [ASR]--Improve.--The Committee has provided $3,532,848 for the improvement of terminal radar [ASR] infrastructure throughout the NAS. Within the amount provided, $600,000 shall be for in-service engineering and $1,422,848 shall be for radar improvements in Tulsa, Oklahoma; Dallas-Fort Worth, Texas; Tampa, Florida; Azle, Texas, Denver, Colorado; and Roanoke, Virginia. The remaining $1,510,000 shall be for the relocation of the ASR-8 radar at Bismarck, North Dakota.
Instrument Landing System [ILS] Establishment.--The Committee recommends $8,000,000 for establishment of instrument landing systems. The Committee directs funds to be distributed as follows:
$1,300,000 to establish an ILS at Aiken Municipal Airport, South Carolina;
$750,000 to establish and ILS at Alliance Municipal Airport in Alliance, Nebraska;
$2,200,000 To upgrade ILS to Category III on Runway 31, Atlantic City, New Jersey; and
$2,400,000 To acquire and install ILS at Council Bluffs Municipal Airport, Iowa.
Approach Lighting System Improvement Program [ALSIP]- The Committee recommends $22,000,000 for the procurement and installation of frangible approach lighting equipment including high intensity approach lighting system with sequenced flashing lights [ALSF-2] and medium intensity approach lighting system [MALSR]. The amount provided is $8,000,000 more than the budget request. The Committee expects that $4,000,000 of the amount provided above the request shall be used to install previously procured MALSR systems presently stored in the FAA depot, utilizing the same four-phase approach presently being utilized for the installation of these systems: $1,000,000, the Committee expects the FAA to procure two Low Cost MALSR systems for the continued evaluation of this new technology system, which will reduce life cycle costs; and the recommendation includes $5,000,000 to continue the program of providing lighting systems at rural airfields throughout Alaska.
Loran-C.--The Committee recommends $10,000,000 to continue the program to modernize the Loran-C navigation system. The Committee is aware that recapitalization of the loran radionavigational system in the contiguous United States has largely been completed, but notes that substantial work remains in Alaska. Ultimately there needs to be a resolution between the GPS system and Loran-C. The best system deserves concrete investment. The Committee strongly believe there should be a worldwide system subject to rational criteria.
Stand Alone Weather Sensors.--The Committee notes that the budget does not request funding for the Stand Alone Weather Sensors program. The Committee is concerned that significant taxpayer funds have been spent on this program only to have the FAA warehouse important weather monitoring stations for class C airports nationwide. The Committee directs the FAA Administrator to submit a report by March 15, 2007, to the Committee detailing the number of SAWS systems purchased and deployed, improvements in flight safety at deployed airports, safety impacts at class C airports yet to receive SAWS systems, accounting of current class C airports, and the FAA's plan to proceed with the original intent of SAWS deployment at all class C airports.
FAA Telecommunications Infrastructure- The purpose of the FTI program is to replace seven existing FAA-owned and -leased telecommunications networks with a single new network that would cost less to operate. FTI is an important program because it is expected to reduce FAA's growing operations costs and provide the backbone for several initiatives associated with the next generation air traffic management system. The Committee is concerned about delays to this program and diminishing benefits.
Specifically, the Committee was greatly dismayed to learn from the DOT Inspector General that the FAA failed to realize roughly $33,000,000 in anticipated operating savings from the FTI program in fiscal year 2005 due to the agency's inability to disconnect legacy circuits in a safe and timely manner. The Inspector General also reported the FAA was at further risk of sacrificing over $100,000,000 in planned operating savings in the current fiscal year because of program delays. The failure of the agency to capture these planned savings is unacceptable. Among other problems, these failures have undermined the Administrator's ability to adequately hire and train critically needed safety personnel, including safety inspector positions which the Committee funded in 2006 with resources provided in excess of the agency's budget request.
In April 2006, the Inspector General reported that FTI is a high risk effort and recommended that FAA take a number of actions. These include developing a realistic master schedule and effective transition plan by coordinating with all parties involved with the FTI transition, and validating cost estimates and benefits.
FAA is taking overdue but positive steps by including its regions, the current service provider, and the FTI contractor to improve the overall transition to FTI. While FAA has made some progress in improving FTI service deliveries, a significant number of FTI services that were accepted by FAA have not been cutover, thus requiring considerable rework and causing an increased backlog.
FAA also engaged MITRE to independently validate the FTI schedule. Based on MITRE's report, it appears that FTI will not be completed as planned in December 2007, but is more likely to be completed later in 2008. This will result in additional unplanned costs and a further reduction in projected cost savings from this program.
The Committee is aware that FAA will be reviewing the FTI cost and schedule baselines in August. After that review, the Committee expects the FAA to provide it with a clear understanding of the work required to complete FTI, a realistic estimate of when FTI will be completed, how potential risks to ATC operations will be minimized, and when the Agency will begin to realize benefits from this multi-billion dollar investment. The Committee cautions FAA that future funding for this program is dependent on providing this information to this Committee in a timely manner.
RESEARCH, ENGINEERING, AND DEVELOPMENT
(AIRPORT AND AIRWAY TRUST FUND)
| Appropriations, 2006 | $136,620,000 |
| Budget estimate, 2007 | 130,000,000 |
| House allowance | 134,000,000 |
| Committee recommendation | 135,500,000 |
PROGRAM DESCRIPTION
The Research, Engineering and Development [RE&D] appropriation provides funding for long-term research, engineering and development programs to improve the air traffic control system by increasing its safety and capacity, as well as reducing the environmental impacts of air traffic, as authorized by the Airport and Airway Improvement Act and the Federal Aviation Act, as amended. The programs are designed to meet the expected air traffic demands of the future and to promote flight safety through improvements in facilities, equipment, techniques, and procedures in order to ensure that the system will safely and efficiently handle future volumes of aircraft traffic.
COMMITTEE RECOMMENDATION
The Committee recommends $135,500,000 for the FAA's research, engineering, and development activities. The recommended level of funding is $5,500,000 more than budget request and $1,120,000 less than the fiscal year 2006 enacted level.
A table showing the fiscal year 2006 enacted level, the fiscal year 2007 budget estimate, and the Committee recommendation follows:
RESEARCH, ENGINEERING AND DEVELOPMENT
-------------------------------------------------------------------------------------------------------------
Fiscal year-- Committee recommendation
2006 enacted 2007 estimate
-------------------------------------------------------------------------------------------------------------
Improve Aviation Safety:
Fire Research and Safety $6,182,000 $6,638,000 $6,638,000
Propulsion and Fuel System 5,741,000 5,048,000 6,048,000
Advance Material/Structural Safety 5,881,000 2,843,000 4,843,000
Atmospheric Hazards/Digital System Safety 3,407,000 3,848,000 3,848,000
Aging Aircraft 19,807,000 18,621,000 18,621,000
Aircraft Catastrophic Failure Prevention Research 3,306,000 1,512,000 1,512,000
Flightdeck/Maintanence/System Integration Human Factors 8,099,000 7,999,000 7,999,000
Aviation Safety Risk Analysis 4,883,000 5,292,000 5,292,000
Air Traffic Control/Technical Operations Human Factors 9,558,000 9,654,000 9,654,000
Aeromedical Research 8,800,000 6,962,000 8,462,000
Weather Program--Safety 20,376,000 19,545,000 19,545,000
Unmanned Aircraft System 1,200,000 1,200,000
Improve Efficency:
Joint Program and Development Office 17,919,000 18,100,000 18,100,000
Wake Turbulence 2,273,000 3,066,000 3,066,000
Reduce Environmental Impacts: Environmental and Energy 15,840,000 16,008,000 16,008,000
Mission Support:
System Planning and Resource Management 1,189,000 1,234,000 1,234,000
William J. Hughes Technical Center Laboratory Facility 3,359,000 3,430,000 3,430,000
RE&D Total 136,620,000 131,000,000 135,500,000
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IMPROVE AVIATION SAFETY
Propulsion and Fuel Systems- The Committee recommends $5,048,000 for propulsion and fuel systems research to reduce commercial fatalities. The Committee provides $1,000,000 to complete the evaluation of the effects of molecular markers designed for the purpose of detecting adulteration or dilution of jet fuel for use in aviation engines.
Advanced Materials/Structural Safety- The Committee recommends $4,843,000 for advanced materials/structural safety research. The recommendation is an increase of $2,000,000 from the budget estimate and an decrease of $1,038,000 from the fiscal year 2006 enacted level. The Committee recommends $500,000 to support and improve ongoing metallic and composite structures research at the National Institute for Aviation Research.
Aeromedical Research- The Committee recommends $8,462,000 for aeromedical research, an increase of $1,500,000 above the budget estimate. The Committee recommends $1,000,000 to continue studies related to cabin air quality to be conducted by the center of excellence for cabin environment research.
Flight Attendant Fatigue- The Committee continues to be concerned about the issue of flight attendant fatigue, and whether current regulations provide adequate rest time for flight attendants. Pursuant to the Committee's request in the Consolidated Appropriations Act of 2005, the FAA submitted a report in July 2006 on the impact of the minimum rest requirements of FAR 121.467 and FAR 135.273. The study was limited in nature; however, the report stated that flight attendants are `experiencing fatigue and tiredness and as such, (fatigue) is a salient issue warranting further evaluation.' In order to gain a fuller understanding of the impact of fatigue on flight attendants, the Committee directs FAA to utilize $500,000 of its appropriation for CAMI to carry out its recommendations for further study of this problem. The Committee directs CAMI to submit a report to the Congress not later than December 31, 2008, and expects the report to include analysis in the six areas that CAMI identified in its report of July 2006: a survey of field operations, a focused study of incident reports, field research on the effects of fatigue, a validation of models for assessing flight attendant fatigue, international policies and practices, and the potential benefits of training.
GRANTS-IN-AID FOR AIRPORTS
(LIMITATION ON OBLIGATIONS)
(AIRPORT AND AIRWAY TRUST FUND)
| Limitation, 2006 | $3,514,500,000 |
| Budget estimate, 2007 | 2,750,000,000 |
| House allowance | 3,700,000,000 |
| Committee recommendation | 3,520,000,000 |
COMMITTEE RECOMMENDATION
The Committee recommends a limitation on obligations of $3,520,000,000 for grants-in-aid to airports for fiscal year 2007, which is $770,000,000 more than the budget estimate and $5,500,000 more than the fiscal year 2006 enacted level. The Committee recommendation is sufficient to continue the important tasks of enhancing airport and airway safety, ensuring that airport standards continue to be met, maintaining existing airport capacity, and developing additional capacity.
The Committee recommends several changes to the Grants-in-Aid for Airports programs by including language that allows funds appropriated to the Small Community Air Service Development Program [SCASDP] to be used for expenses associated with administering the program. This language further exempts SCASDP from the obligation cap for administration and transfers the amount appropriated to the account available to administer the program. This language would also exempt the Small Community Air Service Development Program's obligation of funds for administrative purposes from the Trust Fund obligation cap for administrative expenses.
In addition, these changes solve an inadvertent problem that was created in prior year appropriations. Because there is a prohibition on transfers, unless explicitly exempted, the funds for the SCASDP program cannot be transferred to the account where the program is currently administered. This language would allow the money to be transferred and align program funding with managed responsibility. In prior years, the SCASDP program has not been given the authority to use appropriated funds for administering the program. This language gives authority for funds appropriated to be used for administering the program.
Airport Discretionary Grants- Of the funds covered by the obligation limitation in this bill, the Committee directs FAA to provide not less than the following funding levels, out of available resources, for the following projects in the corresponding amounts. The Committee agrees that State apportionment funds may be construed as discretionary funds for the purposes of implementing this provision. To the maximum extent possible, the administrator should work to ensure that airport sponsors for these projects first use available entitlement funds to finance the projects. However, the FAA should not require sponsors to apply carryover entitlement to discretionary projects funded in the coming year, but only those entitlements applicable to the fiscal year 2007 obligation limitation. The Committee further directs that the specific funding allocated above shall not diminish or prejudice the application of a specific airport or geographic region to receive other AIP discretionary grants or multi-year letters of intent.
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State Airport Name Project Description Amount
-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
AL
Birmingham International Extension of runway 6/24 $3,500,000
AL
Franklin Field Airport Environmental assessment, land acquisition, design and construction, relocation and extension of the existing runway and renovation of airport facility 4,000,000
DE
Delaware Airpark (33N) Construct a new runway, taxiway and apron system 3,300,000
IL
Waukegan Regional Environmental Study and land acquisition for runway extension 1,000,000
KY
Louisville International-Standiford Field Runway widening and various improve- ments 3,200,000
KY
Barkley Regional To construct a new terminal facility 1,500,000
LA
Louis Armstrong New Orleans International Various Improvements 2,200,000
MA
Nantucket Memorial Move air traffic control tower to accommodate terminal improvements 2,000,000
MI
Bishop International Cargo Apron expansion 3,000,000
MI
Capital City Extend primary runway 4,000,000
MO
Mexico Memorial Airport New terminal and various improvements 200,000
MO
Max B. Swisher Airport Various improvements 8,750,000
MO
Rosecrans Memorial Airport Rotary Snow Broom 350,000
MO
Farmington Regional Airport Partial parallel taxiway construction 800,000
MS
Golden Triangle Regional Airport Runway extension and environmental assessment 2,000,000
MS
Greenwood-Leflore Airport Control tower construction and various improvements 2,000,000
MS
Jackson International Airport Essential airfield improvements 4,000,000
MS
Trent Lott International Airport Runway extension 2,000,000
MS
Tunica Municipal Airport Runway and Parallel Taxiway Extension 2,000,000
MT
Billings Logan International Airport Taxiway A Pavement Rehabilitation and Drainage Upgrade 2,200,000
MT
Bert Mooney Airport Airport Approach Lighting and environmental assessment 1,500,000
MT
Great Falls International Airport Expand and improve taxiway apron system and other improvements 1,500,000
NC
Rowan County Airport Existing runway protection zone land acquisition and airfield improvements 1,000,000
NC
Statesville Regional Airport Runway extension, runway strengthening, and other improvements 1,000,000
ND
Devils Lake Municipal-Knoke Field Reconstruct runway 13/31 1,500,000
ND
Grand Forks International Construct a new runway 1,000,000
NE
Western Nebraska Regional/William B. Heilig Field Various improvements 1,000,000
NM
Alexander Municipal Construct new cross wind runway 1,500,000
NM
Albuquerque International Sunport Aircraft parking ramp 1,000,000
NM
Las Cruces International Runway Improvements 4,000,000
NY
Niagara Falls International New Terminal Apron 1,000,000
OR
McNary Field Construct new runway 1,500,000
OR
Roberts Field-Redmond Municipal Renovation of airport terminal 2,000,000
PA
Erie Intl Runway expansion 3,000,000
TN
Nashville International Runway 13/31 improvements 5,000,000
TX
San Marcos Municipal Various Improvements 4,500,000
WI
La Crosse Municipal Phase 3 construction of parallel taxiway to primary runway and reconstruction of Taxiways A and E and the south General Aviation apron 5,000,000
WI
Sheboygan County Memorial Extend primary runway 2,000,000
WI
Southern Wisconsin Regional Construct parallel taxiway to Runway 36; construct southwest T-Hangar apron; reconstruct T-Hangar apron and acquire land in the primary runway approach 1,000,000
WV
West Virginia statewide Various Improvements 8,000,000
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Panama City-Bay County International Airport, Florida.--The Committee encourages the FAA to give priority consideration to the application for a letter of intent that the Panama City-Bay County International Airport Authority and Industrial District submitted for construction of a new airport. The FAA has noted that the runways at the current airport do not meet Federal safety and design standards. The FAA's draft environmental impact statement further noted that the `No Action' alternative is `not reasonable, feasible, practicable or prudent.' The Committee has been informed that substantial safety and capacity benefits will accrue from the completion of this project. The Committee also understands this project has several unique characteristics, including having a private entity donate the new site and reducing conflict with military aircraft. In addition, the Committee understands that more than two-thirds of this project will be funded from non-Federal sources. The Committee supports the application as submitted and believes this is a unique opportunity to leverage Federal funds.
Runway Incursion Prevention Systems and Devices- The bill includes a provision that allows funds for grants-in-aid to airports to be used by airports to procure and install runway incursion prevention systems and devises.
Airport Technology- The budget estimate includes $18,870,000 for airport technology research. The Committee recommendation is $1,000,000 more than the budget request, and funds recommended in addition to the estimate are for the airfield pavements research program. The program is designed to develop safer, more cost-effective, and durable asphalt and concrete airfield pavements.
GRANTS-IN-AID FOR AIRPORTS
(AIRPORT AND AIRWAY TRUST FUND)
(RESCISSION OF CONTRACT AUTHORIZATION)
| Rescission, 2006 | -$1,032,000,000 |
| Budget estimate, 2007 | -1,582,000 |
| House allowance | -25,000,000 |
| Committee recommendation | -765,490,000 |
COMMITTEE RECOMMENDATION
The Committee recommends a rescission of contract authorization of $765,490,000 of contract authority from the Airport and Airway Trust Fund. Section 48112 of title 49, United States Code, stipulates that additional contract authorization for the grants-in-aid program is automatically made available in an amount equal to the difference between the appropriated level for the facilities and equipment program and the authorized amount for the same fiscal year.
ADMINISTRATIVE PROVISIONS--FEDERAL AVIATION ADMINISTRATION
Section 110 limits the number of technical staff years at the Center for Advanced Aviation Systems Development to no more than 395 in fiscal year 2007.
Section 111 permits the Administrator to reimburse FAA appropriations for amounts made available for 49 U.S.C. 41742(a)(1) as fees are collected and credited under 49 U.S.C. 45303.
Section 112 allows funds received to reimburse FAA for providing technical assistance to foreign aviation authorities to be credited to the Operations account.
Section 113 extends the terms and conditions of the aviation insurance program, commonly known as `war risk insurance,' and the limitation on air carrier liability for third party claims arising out of acts of terrorism to August 31, 2007 and includes an option for the Secretary to futher extend the program until December 31, 2007.
Section 114 extends the retirement age for pilots to age 65.
Section 115 prohibits funds in this act to be used to adopt guidelines or regulations requiring airport sponsors to provide the Federal Aviation Administration `without cost' buildings, maintenance, or space for FAA services. The prohibition does not apply to negotiations between FAA and airport sponsors concerning `below market' rates for such services or to grant assurances that require airport sponsors to provide land without cost to the FAA for air traffic control facilities.
FEDERAL HIGHWAY ADMINISTRATION
PROGRAM DESCRIPTION
The principal mission of the Federal Highway Administration is, in partnership with State and local governments, to foster the development of a safe, efficient, and effective highway and intermodal system nationwide including access to and within national forests, national parks, indian lands and other public lands.
COMMITTEE RECOMMENDATION
Under the Committee recommendations, a total program level of $39,865,464,863 would be provided for the activities of the Federal Highway Administration in fiscal year 2007.
LIMITATION ON ADMINISTRATIVE EXPENSES
| Appropriations, 2006 | $360,991,620 |
| Budget estimate, 2007 | 372,504,000 |
| House allowance | 372,504,000 |
| Committee recommendation | 378,504,000 |
PROGRAM DESCRIPTION
This limitation on obligations provides for the salaries and expenses of the Federal Highway Administration for program management, direction, and coordination; engineering guidance to Federal and State agencies; and advisory and support services in field offices.
COMMITTEE RECOMMENDATION
The Committee recommends a limitation on obligations of $378,504,000 for administrative expenses of the agency.
This limitation is $6,000,000 more than the budget request and $17,512,380 more than the fiscal year 2006 enacted level. The Committee recommends the additional funding be used to continue to improve oversight and stewardship of the Federal-aid highway funds to ensure that every Federal dollar is well spent and that program operations and processes are efficient and streamlined. The funds should be applied to the Financial Integrity Review and Evaluation program, improvements to FHWA's Fiscal Information Management System, as well as permanent change of station moves.
LIMITATION ON TRANSPORTATION RESEARCH
| Limitation, 2006 | $425,502,000 |
| Budget estimate, 2007 | 429,800,000 |
| House allowance | 429,800,000 |
| Committee recommendation | 429,800,000 |
PROGRAM DESCRIPTION
The limitation controls spending for the transportation research and technology programs of the FHWA. This limitation includes the intelligent transportation systems, surface transportation research, technology deployment, training and education, and university transportation research. Funding for the Bureau of Transportation Statistics [BTS] is also included within this limitation even though BTS is organizationally placed within the Research and Innovative Technology Administration [RITA]. Additional information regarding BTS is included in the RITA section of this report.
COMMITTEE RECOMMENDATION
The Committee recommends a limitation on obligations for transportation research of $429,800,000. This limitation is consistent with the Senate-passed authorization level and is $4,298,000 more than the fiscal year 2006 enacted level.
FEDERAL-AID HIGHWAYS
(LIMITATION ON OBLIGATIONS)
(HIGHWAY TRUST FUND)
| Limitation, 2006 | $35,672,020,464 |
| Budget estimate, 2007 | 39,086,464,683 |
| House allowance | 39,086,464,683 |
| Committee recommendation | 39,086,464,683 |
PROGRAM DESCRIPTION
The Federal-aid highways program provides financial support to States and localities for development, construction, and repair of highways and bridges through grants. The program is financed from the Highway Trust Fund and most of the funds are distributed through apportionments and allocations to States. Title 23 of the United States Code and other supporting legislation provide authority for the various activities of the FHWA. Funding is provided by contract authority, with program levels established by annual limitations on obligations set in appropriations acts.
COMMITTEE RECOMMENDATION
The Committee recommends limiting fiscal year 2007 Federal-aid highways obligations to $39,086,464,683, which is $3,414,444,220 more than the fiscal year 2006 enacted level.
FERRY BOATS AND FERRY TERMINAL FACILITIES
Within the funds available for ferry boats and ferry terminal facilities, funds are to be available for the following projects and activities:
--------------------------------------------------------------------------------------------------------------
Project name Committee recommendation
--------------------------------------------------------------------------------------------------------------
Cleveland-Cuyahoga County Port Authority Intermodal Relocation Opportunity Study, OH $1,000,000
Detroit/Wayne County Port Authority Public Dock, Detroit, MI
Public Dock & Terminal Project, MI 3,000,000
Dorena-Hickman Ferry Boat Service, Mississippi County, Missouri 1,000,000
Haverstraw Ferry Terminal , NY 500,000
Homer-Halibut Cove-Jakolof Bay-Seldovia Ferry, AK 3,500,000
Kitsap Transit, Rich-Passage Wake Impact Study, WA 2,200,000
Manns Harbor Shipyard, NC 2,000,000
Mississippi River Ferry Boat Expansion, Davenport, Iowa 1,000,000
Mukilteo Multimodal Terminal Redevelopment, WA 675,000
Oak Bluffs Terminal reconstruction, Martha's Vineyard, MA 1,500,000
Oklahoma River Ferry Boat Transportation, Oklahoma 1,000,000
Puget Sound Regional Council, Passenger-Only Ferry Study, WA 125,000
Swan's Island Ferry Facilities Improvement Project, ME 1,000,000
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TRANSPORTATION AND COMMUNITY AND SYSTEM PRESERVATION PROGRAM
Within the funds available for transportation and community and system preservation program, funds are to be distributed to the following projects and activities:
-------------------------------------------------------------------------------------------------------------------------------------------
Project name Committee recommendation
-------------------------------------------------------------------------------------------------------------------------------------------
87th Street Parkway Improvement, Lenexa, KS $1,500,000
Access Road to Beckley Veterans Affairs Medical Center, WV 1,400,000
Antelope Valley Project Transportation Improvements, NE 750,000
Aurora Bike Trail, IL 300,000
Cal-Sag Greenway Bike Trail, IL 250,000
City of Reading Streetscape Improvements, Pennsylvania 1,000,000
City of Warwick, RI; for a feasibility study on Route 37 extension, RI 250,000
Clayton Pedestrian Grade Seperation, Johnston County, NC 575,000
Des Moines Creek Trail Access Project, Des Moines, WA 500,000
ast Aztec Arterial Route, NM 1,000,000
Euclid Lakefront Mixed Use Harbor Town Marina Project, OH 750,000
Flats East Bank Project, OH 1,050,000
General Dacey Trail--Phase 2, IL 200,000
Grand Illinois Trail, Village of Carbon Cliff, IL 200,000
Great River Trail near Savanna, IL 200,000
Harrisburg to Eldorado Bike Trail, IL 250,000
Highway 49 Roadway Lighting, Hattiesburg 750,000
Hofstra University Safe and Sustainable Campus Plan, NY 1,000,000
Intersection Rehabilitation and Improvements, US24 and Marlatt Avenue, Manhattan, KS 1,500,000
Kaycee Main Street Project, Wyoming 500,000
Longleaf Trace Trail, MS 250,000
Morgantown access road--Airport to I-68, WV 2,300,000
Natchez Historical Trail, MS 500,000
Olympic Discovery Trail/Elwha River Pedestrian Bridge, Clallam County, WA 500,000
Pookela Road Improvements, HI 1,000,000
Separated Grade Crossing for Torrington, Wyoming 800,000
Shiloh Road Corridor--West Billings, MT 500,000
SIU--Edwardsville Morris Bike Trail, IL 200,000
South Dakota School of Mines and Technology Connector Road, South Dakota 1,000,000
Springfield Park District's Interurban Bicycle and Pedestrian Trail, IL 200,000
State Route 72 Widening, Grading, Paving, and General Safety Improvements, OH 500,000
Statesmen Boulevard and Trail, Delta State University, MS 500,000
Town of North Kingstown, RI; for Post Road Corridor Plan 500,000
Town of Tiverton, RI; Stone Bridge Improvements 500,000
U.S. 113 (Worcester Highway), Maryland 750,000
University of Southern Maine, University Commons Bedford Street Safety Improvements, ME 1,000,000
Urbana to Danville Trail, IL 200,000
Utah County Mobility Studies, UT 500,000
Uptown St. Joseph Revitalization Project, MO 1,000,000
Vermont Downtown Streetscape & Sidewalk Improvements in Springfield, Derby Line, Bristol, Stamford, Franklin [VT] 2,000,000
Western Kentucky University--Community Bikeway in Bowling Green, Kentucky 1,000,000
William H. Darr Agricultural Center Renovation of Facilities and Equipment, MO 1,000,000
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FEDERAL LANDS
Within the funds for the Federal lands program, funds are to be available for the following projects and activities:
--------------------------------------------------------------------------------------------------------------------
Project name Committee recommendation
--------------------------------------------------------------------------------------------------------------------
116th Street NE Interchange Improvement Project, Tulalip Tribes, WA $1,000,000
Alaska Trail Initiative, AK 2,000,000
Arcadia Boat Ramp Project, Squaxin Island Tribe, WA 1,000,000
Beartooth Highway Reconstruction, WY 1,000,000
BIA Route 12 Cheyenne River Sioux Tribe, SD 2,000,000
BIA Route 6 Cheyenne River Sioux Tribe, South Dakota 2,000,000
Big Timber-McLeod Street Renovation Project, MT 2,000,000
Bozeman-Durston Avenue/Peach Street and North 7th Avenue Intersection, MT 2,000,000
City of Red Lodge West Fork Road & Ski Run Road, MT 1,000,000
City of Rocks Back Country Byway, Idaho 1,000,000
City of Rocks Back Country Byway, Idaho 3,000,000
Colorado State Highway 13 from Craig to Wyoming state line, Colorado 1,000,000
Colorado State Highway 150--from US 160, north to Great Sand Dunes National Park, Colorado 1,000,000
Consumer Road to Horizon Mine, Carbon County, Utah 1,250,000
Croix Street Reconstruction: Completion of Phase I , Negaunee, MI 350,000
Grand Teton Pathways Project, Wyoming 1,000,000
Grenada Access Road, MS 1,000,000
Hawaii Statewide Federal Lands Improvements, HI 800,000
Homochitto National Forest Roads, Lincoln County, MS 1,000,000
Hoover Dam Bypass Bridge, AZ 1,000,000
Kalispell Westside/Stillwater Bypass Project, MT 4,200,000
Pikes Peak Highway [CO] 1,000,000
Pondera County Rural Roads, MT 2,460,000
Reconstruct Nine Mile Canyon Road, Duchesne County, Utah 500,000
Road 27 Paving, NE 1,000,000
Sardis Lake Drive, MS 500,000
Shotgun Cove Road, AK 1,000,000
Skokomish Tribe Access Road and US-101 Realignment Project, WA 1,000,000
SR-160 Blue Diamond Highway--Las Vegas to Pahrump, NV 5,000,000
Three Affiliated Tribes, Wells Road, North Dakota 1,000,000
US 491 in Montezuma County [CO] 500,000
Valentine National Wildlife Refuge Roads in Cherry County, Nebraska 1,000,000
Valles Caldera National Preserve, New Mexico 1,400,000
Vermont Federal Lands Projects [VT] 640,000
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INTERSTATE MAINTANENCE DISCRETIONARY
Within the funds for the interstate maintenance discretionary program, funds are to be available for the following projects and activities:
-------------------------------------------------------------------------------------------------------------------------------
Project name Committee recommendation
-------------------------------------------------------------------------------------------------------------------------------
East Belgrade Interchange, MT $1,000,000
I-10 Reconstruction/Las Cruces to New Mexico-Texas State Line, NM 1,500,000
I-12 at LA 1088 New Interchange, Louisiana 750,000
I-15 Auxiliary Lanes, Kaysville to 31st Street in Ogden, Utah 1,000,000
I-15 Bluff Interchange, St. George, Utah 750,000
I-225 at Colfax/US 40 & 17th Ave [CO] 1,000,000
I-25 and State Highway 16 Interchange at Fort Carson (Gate 20), CO 2,000,000
I-376 Redesignation Improvement Plan, Pennsylvania 2,000,000
I-5/I-205 Salmon Creek Interchange Project, Clark County, WA 2,000,000
I-70 Viaduct Realignment, Topeka, KS 500,000
I-73, Construction of I-73 from Myrtle Beach, SC to I-95, ending at the North Carolina state line, SC 500,000
I-75 at South Dixie Drive/Central Avenue Interchange, OH 2,000,000
I-81 Widening, PA 625,000
I-84, US-93 Interchange, Stage 2--Idaho 500,000
I-85 New Interchange in Troup County, GA 1,000,000
I-95 in Cumberland, Harnett, and Johnston Counties, NC 750,000
I-95/U.S. Hwy 301 Interchange, SC 500,000
Improvements to Rte 266 and Interchange with I-44, MO 2,500,000
Interstate 20/59 Industrial Park Interchange, MS 3,150,000
Interstate 29 Utility Relocation, Sioux City, Iowa 500,000
Interstate 69/Great River Bridge: Highway 65-MS Highway 1, AR 2,000,000
Interstate 80 Concrete Rehabilitation, Wyoming 750,000
Interstate 84 Burnt River Freight Improvement, OR 1,000,000
Interstate 94 from Highway 336 to Barnesville, MN 750,000
Interstate 94/43/794, Marquette Interchange, WI 2,375,000
Lighting at Exit 400 Off Interstate 55, Lincoln County, MS 350,000
Pacific Street Bridge over I-680, NE 750,000
Port Road Expansion and Improvements, Houston, Texas 500,000
Queen's Medical center H-1 Access Ramp, HI 4,000,000
Reconstruction of Two Interchanges on I-235, Wichita, KS 500,000
Rhode Island Department of Transportation; I-95 and I-195 Lighting Project, RI 1,000,000
Southern Nevada Beltway Interchanges, NV 3,000,000
SR-704/I-5 Cross Base Highway, Pierce County, WA 1,000,000
Turnpike Improvements Project, DE 2,000,000
US 278 Corridor Construction, South Carolina 500,000
Widening of I-55 from Church Rd. to TN State Line, Mississippi 5,000,000
-------------------------------------------------------------------------------------------------------------------------------
FEDERAL-AID HIGHWAYS PROGRAMS
The roads and bridges that make up our Nation's highway infrastructure are built, operated, and maintained through the joint efforts of Federal, State, and local governments. States have much flexibility to use Federal-aid highway funds to best meet their individual needs and priorities, with FHWA's assistance and oversight.
The Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users [SAFETEA-LU], the highway, highway safety, and transit authorization through fiscal year 2009, makes Federal-aid highways funds available in the following major categories:
National Highway System [NHS].--The Intermodal Surface Transportation Efficiency Act [ISTEA] of 1991 authorized the NHS, which was subsequently established as a 161,000 mile road system by the National Highway System Designation Act of 1995. This system serves major population centers, intermodal transportation facilities, international border crossings, and major destinations. The NHS program provides funding for this system consisting of roads that are of primary Federal interest. The NHS consists of the current Interstate, other rural principal arterials, urban freeways and connecting urban principal arterials, and facilities on the Defense Department's designated Strategic Highway Network, and roads connecting the NHS to intermodal facilities. The Federal share for the NHS program is generally 80 percent, subject to the sliding scale adjustment, with an availability period of 4-years.
Interstate Maintenance [IM].--The 46,876 mile Dwight D. Eisenhower National System of Interstate and Defense Highways retains a separate identity within the NHS. The IM program finances projects to rehabilitate, restore, resurface and reconstruct the Interstate system. Reconstruction that increases capacity, other than HOV lanes, is not eligible for IM funds. The Federal share for the IM program is 90 percent, subject to the sliding scale adjustment, and funds are available for 4 years.
Surface Transportation Program [STP].--STP is a flexible program that may be used by States and localities for projects on any Federal-aid highway, bridge projects on any public road, transit capital projects, and intracity and intercity bus terminals and facilities. A portion of STP funds are set aside for transportation enhancements and State sub-allocations are provided. The Federal share for STP is generally 80 percent, subject to the sliding scale adjustment, with a 4-year availability period.
Bridge Replacement and Rehabilitation.--The bridge program enables States to improve the condition of their bridges through replacement, rehabilitation, and systematic preventive maintenance. The funds are available for use on all bridges, including those on roads functionally classified as rural minor collectors and as local. Bridge program funds have a 4-year period of availability with a Federal share for all projects, except those on the Interstate System, of 80 percent, subject to the sliding scale adjustment. For those bridges on the Interstate System, the Federal share is 90 percent, subject to the sliding scale adjustment. There is a set-aside of $100,000,000 from the fiscal year 2006-2009 funding for specific projects listed in SAFETEA-LU.
Congestion Mitigation and Air Quality Improvement Program [CMAQ].--The CMAQ program directs funds toward transportation projects and programs to help meet and maintain national ambient air quality standards for ozone, carbon monoxide, and particulate matter. A minimum one-half percent of the apportionment is guaranteed to each State.
Highway Safety Improvement Program [HSIP].--The new highway infrastructure safety program (previously funded by a set-aside from STP), was established as a core program beginning in 2006. The program, which features strategic safety planning and performance, devotes additional resources and supports innovative approaches to reducing highway fatalities and injuries on all public roads.
Federal Lands Highways.--This category funds improvements for forest highways; park roads and parkways; Indian reservation roads; and refuge roads. The Federal lands highway program provides for transportation planning, research, engineering, and construction of highways, roads, parkways, and transit facilities that provide access to or within public lands, national parks, and Indian reservations.
The Committee directs that the funds allocated for this program in this bill and in permanent law are to be derived from the FHWA's public lands discretionary program, and not from funds allocated to the National Park Service's regions.
Equity Bonus.--The equity bonus (replaces TEA21's minimum guarantee) provides additional funds to States to ensure that each State's total funding from apportioned programs and for High Priority Projects meets certain equity considerations. Each State is guaranteed a minimum rate of return on its share of contributions to the highway account of the Highway Trust Fund, and a minimum increase relative to the average dollar amount of apportionments under TEA21. Certain States will maintain the share of total apportionments they each received during TEA21. An open-ended authorization is provided, ensuring that there will be sufficient funds to meet the objectives of the equity bonus.
Emergency Relief [ER].-- Section 125 of title 23, United States Code, authorizes $100,000,000 annually for the ER program. This program provides funds for the repair or reconstruction of Federal-aid highways and bridges and federally owned roads and bridges that have suffered serious damage as the result of natural disasters or catastrophic failures. The ER program supplements the commitment of resources by States, their political subdivisions, or Federal agencies to help pay for unusually heavy expenses resulting from extraordinary conditions.
Ferry Boats and Ferry Terminal Facilities.--SAFETEA-LU reauthorized funding for the construction of ferry boats and ferry terminal facilities and requires that $20,000,000 from each of fiscal years 2005 through 2009 be set aside for marine highway systems that are part of the National Highway System for use by the States of Alaska, New Jersey, and Washington.
National Scenic Byways.--This program provides funding for roads that are designated by the Secretary of Transportation as All American Roads [AAR] or National Scenic Byways [NSB]. These roads have outstanding scenic, historic, cultural, natural, recreational, and archaeological qualities.
Transportation and Community and System Preservation [TCSP].--SAFETEA-LU continues the TCSP program to provide grants to States and local governments for planning, developing, and implementing strategies to integrate transportation and community and system preservation plans and practices. These grants may be used to improve the efficiency of the transportation system; reduce the impacts of transportation on the environment; reduce the need for costly future investments in public infrastructure; and provide efficient access to jobs, services, and centers of trade.
Transportation Infrastructure Finance and Innovation [TIFIA].--The TIFIA credit program provides funds to assist in the development of major infrastructure facilities through greater non-Federal and private sector participation, building on public willingness to dedicate future revenues or user fees in order to receive transportation benefits earlier than would be possible under traditional funding techniques. The TIFIA program provides secured loans, loan guarantees, and standby lines of credit that may be drawn upon to supplement project revenues, if needed, during the first 10 years of project operations.
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 SAFETEA-LU, funding is authorized for each of fiscal years 2005 through 2009, is available until expended, and is distributed among the 13 eligible States based on the latest available cost-to-complete estimate prepared by the Appalachian Regional Commission.
High Priority Projects.--Funds are provided for specific projects identified in SAFETEA-LU. Over 5,000 projects are identified, each with a specified amount of funding over the 5 years of SAFETEA-LU.
Projects of National and Regional Significance.--This program provides funding for specific projects of national or regional importance. All the funds authorized for this program from the Highway Trust Fund are designated for projects listed in SAFETEA-LU.
FEDERAL-AID HIGHWAYS
(LIQUIDATION OF CONTRACT AUTHORIZATION)
(HIGHWAY TRUST FUND)
| Appropriations, 2006 | $36,032,343,903 |
| Budget estimate, 2007 | 39,086,464,683 |
| House allowance | 39,086,464,683 |
| Committee recommendation | 39,086,464,683 |
The Committee recommends a liquidating cash appropriation of $39,086,464,683. The recommended level is equal to the budget request and is necessary to pay outstanding obligations from various highway accounts pursuant to prior appropriations acts.
FEDERAL-AID HIGHWAYS
(HIGHWAY TRUST FUND)
(RESCISSION)
The bill rescinds $1,500,983,000 of the unobligated balances of funds apportioned to the States under chapter 1 of title 23, United States Code, excluding safety programs and funds set aside within the State for population areas. The Committee directs the FHWA to administer the rescission by allowing each State the maximum flexibility in making adjustments among the apportioned highway programs.
APPALACHIAN DEVELOPMENT HIGHWAY SYSTEM
| Appropriations, 2006 | $19,800,000 |
| Budget estimate, 2007 | ........................... |
| House allowance | ........................... |
| Committee recommendation | 20,000,000 |
PROGRAM DESCRIPTION
Funding for the Appalachian Development Highway System [ADHS] is authorized under section 1069(y) of the Intermodal Surface Transportation Efficiency Act (Public Law 102-240). The ADHS program provides funds for the construction of the Appalachian corridor highways in the 13 States that comprise the Appalachian region. These highways, in many instances, are intended to replace some of the most deficient and dangerous segments of rural roadway in America.
COMMITTEE RECOMMENDATION
The Committee recommends $20,000,000 for corridor H in West Virginia of the Appalachian Development Highway System [ADHS]. The recommended amount is $200,000 more than the fiscal year 2006 enacted level.
DELTA REGIONAL TRANSPORTATION DEVELOPMENT PROGRAM
| Appropriations, 2006 | ........................... |
| Budget estimate, 2007 | ........................... |
| House Allowance | ........................... |
| Committee recommendation | $20,000,000 |
PROGRAM DESCRIPTION
Funding for the Delta Regional Transportation Development Program is authorized under section 1308 of the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users (Public Law 109-59). The Delta Regional Transportation Development Program provides funds to support and encourage multi-state transportation planning and corridor development, provide for transportation project development, facilitate transportation decisionmaking and support transportation construction in the eight States comprising the Delta Region (Alabama, Arkansas, Illinois, Kentucky, Louisiana, Mississippi, Missouri, and Tennessee).
COMMITTEE RECOMMENDATION
The Committee recommends $20,000,000 for the Delta Regional Transportation Development Program. The Committee directs funding be allocated to the following projects that are listed below:
--------------------------------------------------------------------------------------------
Project name Committee recommendation
--------------------------------------------------------------------------------------------
Pemiscot County Port Authority Intermodal Infrastructure, Missouri $3,900,000
Highway 6 from Batesville to Clarksdale, Mississippi 5,000,000
Park Hills and Mineral Area College Outer Road, Missouri 1,100,000
Industrial Park By-Pass, MO 2,787,000
Route Y Reconstruction Project, MO 1,200,000
--------------------------------------------------------------------------------------------
ADMINISTRATIVE PROVISIONS--FEDERAL HIGHWAY ADMINISTRATION
Section 120 distributes obligation authority among Federal-aid highway programs.
Section 121 continues a provision that credits funds received by the Bureau of Transportation Statistics to the Federal-aid highways account.
Section 122 includes language that makes certain projects and activities eligible to receive fiscal year 2007 grants.
Section 123. The statement of managers accompanying the fiscal year 2005 appropriations act includes $2,500,000 from Bridge Discretionary Program funds for the Joachim Avenue Bridge replacement, Missouri (page 1394 of House Report 108-792). This provision would make the funds available for the New South Herculaneum Bridge, Herculaneum, Missouri.
Section 124 recommends that funds made available under this section be designated for the following projects:
SURFACE TRANSPORTATION PROJECTS
--------------------------------------------------------------------------------------------------------------------------------------------------------------------------
Project name Committee recommendation
--------------------------------------------------------------------------------------------------------------------------------------------------------------------------
I-225 at Colfax Avenue (US 40) and 17th Avenue in Aurora, Colorado $2,000,000
I-70 Stapleton Interchange [CO] 1,000,000
13th Street/Interstate 22 Ramp Repair and Safety, Pennsylvania 1,000,000
21st Century Parks Inc. in Louisville, KY 5,400,000
A-B Street Corridor Connector, Auburn, WA 1,800,000
Akutan Road construction, AK 1,000,000
Allen County SR-309 Safety Improvements and Related Construction, OH 1,000,000
American Parkway Project, PA 500,000
American St./Girard Ave. Gateway, PA 500,000
Aroostook County North-South Highways, ME 1,500,000
Ashburton Avenue Reconstruction in Yonkers, NY 2,000,000
Battleship New Jersey Access Road (Clinton Street) Repaving, New Jersey 750,000
Beltline Road Corridor Study, OR 500,000
Bland Street Improvements, MO 300,000
Bluffton Parkway Extensions, SC 1,000,000
Bob Anthony Parkway, Barnett Reservoir, MS 750,000
Booneville Bypass, MS 1,000,000
Bossier Parish Congestion Relief Program, Louisiana 2,000,000
Bridge Over Brandywine Creek, Pennsylvania 1,250,000
Bristol Street Widening, Santa Ana, CA 600,000
Burlington Avenue Grade Separated Interchange at US 24, Logansport, Cass County, IN 2,000,000
Caraway Bridge Overpass, Arkansas 2,000,000
Carson City Freeway-Phase 2, NV 3,000,000
CEMAR Urban Trail Project, Iowa 500,000
Center City Streetscape Improvement, Missouri 1,000,000
Chambers County Bridge Replacement, Alabama 200,000
Chittenden County, VT Downtown Revitalization Improvements in Essex Junction and Milton [VT] 2,400,000
City of Ashland Main Street Redevelopment Project, MO 315,800
City of Herculaneum-Joachim Avenue Bridge Replacement-the new `South Bridge', Missouri 2,557,800
City of Pittsburgh Lower Hill Plaza, Pennsylvania 1,000,000
City of Scranton East Elm Street Project, Pennsylvania 500,000
Clifton Corridor Transit Management Association [CCTMA] 1,000,000
Coalfields Expressway, WV 5,000,000
Cold Storage Spur Line, Iowa 1,500,000
Coldwater River Bridge and Approaches, DeSoto County, MS 1,250,000
Colfax Narrows Project, NV 1,000,000
College of Southern Idaho Student Safety Initiative, ID 800,000
Connecticut Center for Science and Exploration and Capital City Economic Development Authority Construction of Integrated Parking Facilities, CT 2,000,000
Construction and Improvements to County Road One (RS-209) south of I-70 to K-32, Leavenworth County, Kansas 1,000,000
Construction of I-45 over SH96, Galveston County, Texas 1,500,000
Construction of Improvements to 144th Street from `Q' Street to Madison Street, NE 1,000,000
Coon Rapids Iowa Area Great Places Trail, IA 500,000
County Highway 74/Laraway Road Corridor Improvements, Illinois 650,000
Cumberland Avenue Improvements, Tennessee 1,000,000
Deer Valley Road Bridge Crossing, Surprise, AZ 1,880,000
Delaware State Transportation & Public Safety Traffic Information Exchange Pilot Project, DE 1,000,000
Denali Commission, AK 4,000,000
Downtown Redevelopment Plan, MO 500,000
Durant Main Street/SH 78 Improvements, Oklahoma 500,000
East Street Extension Junction City, Kansas 1,000,000
East Washington Avenue Reconstruction, WI 400,000
El Paso Inner Loop Highway, TX 4,000,000
Ellsworth Air Force Base Road Improvement, South Dakota 4,750,000
Engineering, design and construction of a Port Access Road connecting to I-26 in North Charleston, SC 1,000,000
Extension of arterial roadway, Prineville, Oregon 1,000,000
Extension of Highway 57, Jackson County, MS 750,000
Falcon Raod Improvements--Phase II, Oklahoma 1,000,000
Forest Park South Neighborhood Streetscape Improvements, Missouri 500,000
Fredericksburg Road/Medical Drive, San Antonio, TX 1,000,000
Friant Road Widening, Fresno County, CA 1,000,000
Gateway Plan 2030: Inner Loop Highway, El Paso, Texas 750,000
Glencoe Railroad Congestion Mitigation Project in MN 1,000,000
Grand Avenue Underpass, Illinois 2,000,000
Grand Lagoon Bridge Replacement, Bay County, Florida 1,500,000
Grand Rapids Passenger Rail and Station Relocation, MI 2,000,000
Granite Falls Alternate Freight Route, Snohomish County, WA 2,000,000
Granite Street Reconstruction Project, NH 1,500,000
Grant City Downtown Revitalization, MO 500,000
Grant County Economic Development Corridor, Indiana 1,000,000
Green Spring Interchange Area Management Plan, OR 300,000
Greenville Trail, MO 500,000
Haines Road Improvements, AK 1,000,000
Hanford Reach National Monument Transportation Infrastructure Improvements, WA 1,000,000
Harrisburg Southern Gateway Project, Pennsylvania 1,000,000
Heart of America Bicycle/Pedestrian Bridge, MO 1,000,000
High Speed Maglev Deployment Program, PA 1,500,000
Highway 11, Picayune, MS 1,250,000
Highway 19, Neshoba County, MS 2,500,000
Highway 412: Springdale Bypass, Arkansas 4,000,000
Highway 431 Expansion, Alabama 1,000,000
Highway 49/Highway 7 Connector Road, Greenwood, MS 1,250,000
Highway 65 North in Dallas County, Missouri 1,500,000
Highway 71: Louisiana State Line--DeQueen, Arkansas 2,000,000
Highway 79 Four Lane, Blount County, Alabama 2,000,000
Highway 965/Fairview Lane/Golfview Drive Intersection Alignment Project, North Liberty, Iowa 870,000
Highway Improvement to Highway 54 Near Mexico, MO 539,400
Hudiburg Drive Beautification and Improvement, Oklahoma 780,000
I-10 Widening in Western Maricopa County, Arizona 2,000,000
I-25 & SH 16 Interchange [CO] 1,000,000
I-29/52nd Avenue South Interchange Reconstruction in Fargo, North Dakota 2,000,000
I-35/Tecumseh Road Transportation Traffic Study, Norman, Oklahoma 800,000
I-5/Highway 99W Connector, OR 1,000,000
I-5/North Macadam Freeway Ramp & Street Capacity Improvements, OR 2,000,000
I-580 Meadow Mall Interchange, NV 1,000,000
I-74/Northern Beltway, Eastern Expansion, Forsyth County, NC 1,000,000
I-84, Exit 29 (Franklin Road) Local Systems Improvement, ID 1,000,000
Idaho Byways Corridor Planning Implementation, ID 1,000,000
Interchange Construction at US73 and 20th Street, Leavenworth, KS 1,000,000
Interchange Improvements at I-44 & Kansas Expressway, Missouri 1,000,000
Interchange Improvements at U.S. 60 and National Avenue, Greene County, MO 1,500,000
Intermodal Infrastructure Enhancement Project, Port of Pasco, WA 800,000
Interstate 20 South Frontage Road, Warren County, MS 1,500,000
Interstate 235 Reconstruction in Des Moines, Iowa--utility work 3,750,000
Iowa Highway 32, Southwest Areterial, Dubuque, Iowa 1,000,000
Jefferson Park Avenue Pedestrian Crossing, Virginia 3,500,000
K-7 Corridor Study from 183rd St to 119th Street in Olathe, KS 500,000
Kalispell Bypass, MT 4,000,000
King Coal Highway, WV 5,000,000
KY 70 Rehabilitation Project in Barren County, KY 400,000
Lake Harbour Road, Ridgeland, MS 1,250,000
Las Vegas Beltway/Airport Connector Interchange, NV 1,000,000
Lawton Downtown Revitalization Project, Oklahoma 1,000,000
Lincoln Avenue Grade Separation Project, Port of Tacoma, WA 1,500,000
Lincoln South and West Beltway, NE 1,000,000
Little Bay Bridges/Spaulding Turnpike, New Hampshire 5,000,000
Mahoning County US-224 and Related Connector Road Safety Improvements, OH 1,500,000
Manchester East/West Connector Bridge [NH] 500,000
Marks Airport Improvements, MS 1,000,000
Marshall County Commission Double Bridges, Alabama 2,000,000
Marshall County Salt Dome, KY 400,000
Martin Bluff Road, Mississippi 5,000,000
McIngvale Road Interchange/State Hwy 304, Mississippi 5,000,000
MD 404 Upgrades, Maryland 4,000,000
Merrimack River Footbridge, Manchester, NH 250,000
Mingo Wildlife Refuge Recreational Trail & Habitat Improvement, MO 800,000
Minnesota Valley Regional Rail Authority Rehabilitation Improvements, Minnesota 2,000,000
Mississippi Highway 27, MS 500,000
Mississippi Highway 44 Extension/Pearl River Bridge, MS 2,000,000
Missouri 58 Highway and Route D Improvements, Cass County, MO 1,000,000
MO 740 Stadium Extension to I-70, Missouri 3,000,000
Morgan County, WV--Extension of Western Maryland Trail through Paw Paw Bends 1,000,000
Natchez Roads, MS 1,500,000
Nehemiah Gateway `Ways to Work' Loan Program, DE 259,080
New Orleans Regional Redevelopment Planning, LA 2,000,000
North Royal Street Improvements, TN 1,000,000
North Second Street Corridor, Memphis, Tennessee 4,000,000
Northside Drive, Clinton, MS 3,750,000
Oelwein Community Revitalization Initiative, Oelwein, Iowa 1,000,000
Old Whitfield Road, Pearl, MS 2,000,000
Outer Loop, Montgomery, Alabama 3,000,000
Paducah Waterfront Development Project in Paducah, Kentucky 4,600,000
Patriot Parkway (Southern Bypass), Madison County, Alabama 4,700,000
Pecue Lane Interchange and Realignment, Louisiana 250,000
Pedestrian Access and Safety Improvements, Oklahoma 500,000
Pinnacle Aeropark Access Project, Wayne County, MI 2,000,000
Planning Study for Limited Access Highway at Fort Campbell, KY 400,000
Port Huron NAFTA Corridor Congestion Mitigation Project, MI 1,000,000
Port of Anacortes Infrastructure Improvements, Anacortes, WA 1,150,000
Port of Anchorage Intermodal Marine Facility Development, AK 1,000,000
Port of Anchorage road improvements, AK 1,000,000
Ports-to-Plains Corridor [CO] 500,000
Ports-to-Plains Trade Corridor, TX 1,000,000
Post Street Centennial Trail and Utility Bridge, Spokane, WA 2,000,000
Pyramid Highway Corridor Early Action Items, NV 1,000,000
Rails Corridor Alliance, MS 750,000
Reconstruction of US-50 in Reno County, KS 1,000,000
Reconstruction of US-50, Gray County, KS 2,000,000
Relief Route, City of Aztec, New Mexico 1,000,000
Resurfacing of Ocean, Post, and Shore Roads, RI 1,000,000
Rhode Island Department of Transportation; Post Road Improvements [RI] 2,000,000
Rhode Island Department of Transportation; Route 3 Improvements, RI 1,000,000
Rhode Island Department of Transportation; Warwick Intermodal Station Sky Bridge and Moving Skywalk Project, RI 1,000,000
Rickenbacker Global Logistics Transportation Improvements, OH 1,000,000
River Tech Boulevard Road Construction, Illinois 1,000,000
Road Improvements and Upgrades to Boyd Boulevard, LaPorte, IN 750,000
Route 17 Essex Street Bridge (Bergen County, NJ) 2,000,000
Route 29 Boulevard Conversion Project in Trenton, NJ 2,000,000
Route 30 Cooper River Drainage Improvements (Camden County, NJ) 3,000,000
Sam Chastain Waterfront Trail, Renton, WA 1,200,000
SD 11 and SD 42 in Sioux Falls, South Dakota 5,000,000
Second Bridge to Oak Island, Brunswick County NC 1,000,000
SH 44/104th Ave Improvements [CO] 800,000
South Corridor (North Lake Road) of the North Valley Connector Study, Utah 750,000
South Lake Union Circulation System, Seattle, WA 1,150,000
SR 40 from west of CR 61 to I-95, Camden Co., GA 1,000,000
SR 85 Improvements, Crestview, Florida 1,000,000
SR1 Beach Area Improvements--Rehoboth Entrance Improvements, DE 2,000,000
SR-1 Grade Separated Intersection, DE 2,000,000
SR-57 Safety Improvements, Lorain County, OH 1,000,000
Stafford County Courthouse Improvement Project, Virginia 711,000
State Road 133 from Valdosta to Moultrie to Albany, Georgia 1,000,000
Staten Island North/West Shore Rail Plan Study, NY 1,400,000
Ste. Genevieve Main Street/Riverfront Improvement Project, MO 1,000,000
Stillwater Avenue Reconstruction Project, Bangor, ME 100,000
Street Repair, Greenville, MS 1,250,000
Tantalus Drive Stabilization, HI 4,000,000
Temple Park and Temple Square, MO 1,000,000
Tenth Street Connector, Greeneville, NC 1,000,000
TH 14 from Waseca to Owatonna, MN 2,000,000
TH 610 Corridor from TH 169 in Brooklyn Park to I-94 in Maple Grove, MN 1,000,000
The Chinatown Plaza and Vicinity Revitalization, Pennsylvania 120,000
Thomaston--Route 1 Highway Reconstruction Project, ME 2,000,000
Toby Tubby Parkway, MS 500,000
Town of Branford Relocation of State Route 794 and Alterations of Approaches of State Route 794 and State Route 146 to Route 1, Connecticut 3,000,000
Town of Mansfield Construction of Parking Garage in Storrs Town Center, Connecticut 2,000,000
Town of West Haven Development of a Feasibility Study of the Extension of Fresh Meadow Road to Route 34, Connecticut 250,000
Transportation Infrastructure Improvements and Expansion for Green River, Wyoming 400,000
U.S. 69 and Chuckwa Drive Ramps, Oklahoma 475,118
U.S. 82--Downtown Connector Road, Greenwood, MS 1,500,000
University of Memphis Southern Railroad Pedestrian Underpass, Tennessee 1,000,000
US 12 Improvements from Burbank to Walla Walla, WA, Phase VII 1,000,000
US 14 Pierre-Fort Pierre Bridge Rehabilitation, South Dakota 1,000,000
US 17 in Beaufort County, NC 2,000,000
US 2, Dover Bridge, Bonner County--Idaho 1,000,000
US 30 and SR 230/Harrisburg Pike Improvements, PA 630,000
US 35 Improvements, West Virginia 5,000,000
US 51 Widening, Hernando, MS 1,250,000
US 51/SR 43 Connector Road, MS 3,250,000
US 63 and Gans Road Interchange, Missouri 4,500,000
US 93 Hamilton to Missoula 1,000,000
US Highway 11, St. Tammany, Louisiana 4,000,000
US Highway 21 from Roaring Gap to Sparta, NC 997,000
US Route 1 and SR 452 Improvements, PA 500,000
US-2, Dover Bridge, Bonner County, Idaho 1,000,000
US-6 Passing Lanes, Emery County, Utah 3,000,000
Utah County I-15 Reconstruction Mitigation Strategic Plan: Redwood Road and Lehi 1000 South, Utah 2,000,000
Walden Point Road, AK 2,250,000
Warrensburg Hwy 13 Bypass, Missouri 5,000,000
Warsaw Bridge Replacement, Warsaw, MO 200,000
Washington Boulevard Transportation Project, Camanche, Iowa 200,000
Wasilla Road improvements, AK 750,000
West High Development, MO 500,000
West Veterans Boulevard Extension, Auburn, Alabama 1,500,000
West Virginia Drive, City of Port St. Lucie, Florida 1,000,000
West Virginia Route 2 Improvements, WV 9,500,000
Wheeler Peak Drive Road Upgrade, NV 1,000,000
WV Route 9 5,000,000
Zora and Main Street Interchange, MO 1,200,000
--------------------------------------------------------------------------------------------------------------------------------------------------------------------------
New Orleans Regional Redevelopment Planning, Louisiana.--The Committee instructs the grantee for the New Orleans Regional Redevelopment Planning to be coordinated with the New Orleans area foundation.
Section 125 transfers funding from a New Haven, Missouri, project to route 100 and highway 19 improvements.
Section 126 provides requirements for any waiver of Buy American requirements.
FEDERAL MOTOR CARRIER SAFETY ADMINISTRATION
PROGRAM DESCRIPTION
The Federal Motor Carrier Safety Administration [FMCSA] was established within the Department of Transportation by the Motor Carrier Safety Improvement Act [MCSIA] (Public Law 106-159) in December 1999. Prior to this legislation, motor carrier safety responsibilities were under the jurisdiction of the Federal Highway Administration.
FMCSA's primary mission is to improve the safety of commercial vehicle operations on our Nation's highways. To accomplish this mission, FMCSA is focused on reducing the number and severity of large truck crashes. FMCSA is responsible for ensuring that Mexican commercial vehicles entering the United States operate in accordance with the North American Free Trade Agreement [NAFTA] and comply with all U.S. hazardous material and safety regulations. In addition, FMCSA oversees compliance with the Federal Motor Carrier Commercial Regulations through increased household goods carrier enforcement, education and outreach.
Agency resources and activities contribute to safety in commercial vehicle operations through enforcement, including the use of stronger enforcement measures against safety violators; expedited safety regulation; technology innovation; improvements in information systems; training; and improvements to commercial driver's license testing, recordkeeping, and sanctions. To accomplish these activities, FMCSA works closely with Federal, State, and local enforcement agencies, the motor carrier industry, highway safety organizations, and individual citizens.
MCSIA and the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users [SAFETEA-LU] provides funding authorizations for FMCSA's Motor Carrier Safety Operations and Programs and Motor Carrier Safety Grants. Under these authorizations, funding supports FMCSA's expanded scope as authorized by the USA PATRIOT Act, which created new and enhanced security measures. Additionally, funding supports border enforcement and safety-related activities associated with implementation of the NAFTA requirement that Mexican long-haul shippers be allowed to operate within the United States subject to the same safety requirements placed on U.S. carriers.
COMMITTEE RECOMMENDATION
The Committee recommends a total of $517,000,000 for FMCSA in fiscal year 2007, which is equal to the requested amount and $26,950,000 more than the fiscal year 2006 level.
MOTOR CARRIER SAFETY OPERATIONS AND PROGRAMS
(LIQUIDATION OF CONTRACT AUTHORIZATION)
(LIMITATION ON OBLIGATIONS)
(HIGHWAY TRUST FUND)
| Limitation, 2006 | $210,870,000 |
| Budget estimate, 2007 (limitation) | 223,000,000 |
| House allowance | 223,000,000 |
| Committee recommendation | 223,000,000 |
PROGRAM DESCRIPTION
This account provides the necessary resources to support motor carrier safety program activities and maintain the agency's administrative infrastructure. Funding supports nationwide motor carrier safety and consumer enforcement efforts, including Federal safety enforcement activities at the U.S./Mexico border to ensure that Mexican carriers entering the United States are in compliance with Federal Motor Carrier Safety Regulations. Resources are also provided to fund motor carrier regulatory development and implementation, information management, research and technology, safety education and outreach, and the 24-hour safety and consumer telephone hotline.
COMMITTEE RECOMMENDATION
The Committee recommends a limitation on obligations of $223,000,000 for FMCSA's Operations and Programs. The recommendation is consistent with SAFETEA-LU authorization levels and is $12,130,000 more than fiscal year 2006 enacted level.
The bill specifies that $10,296,000 for the research and technology program is available for obligation until September 30, 2010.
OPERATING EXPENSES
The Committee recommends $151,107,000 for operating expenses.
State Enforcement of Farm Operations- The Committee is concerned about the confusion and the unnecessary burdens imposed on farm operators and State enforcement officials associated with Federal Motor Carrier Safety Administration title 49, Code of Federal Regulations, parts 381-397. Clearly, farmers operating their own equipment to transport their own farm commodities to local markets are intended in many if not most cases to be exempt from the Federal regulatory requirements imposed on commercial operators. In regard to the regulations referenced, the Committee directs the FMCSA to review and provide a report to the Committee within 90 days after the date of enactment of this act outlining: the explicit legal requirements for farm operators and State enforcement officials; the flexibility, waivers and exemptions available to States in enforcing Federal requirements; the conditions related to farm operator compliance that compel the DOT to withhold Motor Carrier Safety Assistance Program assistance to States; and, recommendations on how these Federal requirements may be simplified and made more uniform to avoid unnecessary and unintended confusion and regulatory burdens.
Household Goods Enforcement.--The Committee recommends $1,500,000 for household goods enforcement. The Committee encourages FMCSA to assert its role to enforce Federal laws and regulations with respect to transportation of household goods and to do everything possible to increase the number of investigations against unscrupulous household goods movers.
Working Capital Fund- The Committee recommends $4,087,000 for the working capital fund. The Committee recommendation is consisent with the budget request and more than a 6 percent increase above the fiscal year 2006 enacted level.
U.S.-Mexico Cross Border Trucking- Section 350 of the fiscal year 2002 Transportation Appropriations Act (Public Law 107-87) mandated that certain safety requirements must be met for Mexican motor carriers to enter the United States. Prior to the enactment of that legislation, on June 27, 2002, the Committee held a joint hearing with the Committee on Commerce, Science and Transportation on cross-border truck and bus operations at the United States-Mexico border. At that hearing, the Department of Transportation's Inspector General pointed out that, despite the fact that FMCSA had issued a rule requiring States to authorize their enforcement personnel to take action when they encounter a vehicle without valid operating authority, only two States had taken the necessary action by the time of that hearing. Today, more than 3 years later, some States have still not provided authorization for their enforcement personnel to take trucks without the proper operating authority out-of-service despite the fact that the FMCSA established a deadline for compliance with this requirement of September 30, 2003.
The Committee is frustrated and dismayed to learn of the slow responsiveness by several States in complying with this Federal requirement. The Committee has tasked the Federal Motor Carrier Safety Administration with carrying out congressional intent on all of the safety requirements established in section 350 of Public Law 107-87 and the implementation of all Federal motor carrier safety regulations. This includes the provision in section 350 requiring that inspectors of Mexican trucks affix a Commercial Vehicle Safety Alliance [CVSA] decal showing that the vehicle meets all necessary requirements. Given the Agency's disappointing results in compelling compliance by the States to the above-cited requirements, the Committee directs the Administrator to redouble her efforts and take whatever steps are necessary to ensure that States come into full compliance with all the safety requirements and intent set forth in section 350.
Federally Conducted Compliance Reviews- The Committee is concerned that the number of federally conducted compliance reviews and enforcement actions have decreased significantly since the new entrant program commenced and directs FMCSA to ensure that it reverses this trend consistent with the objectives and goals of MCSIA. The Committee also directs FMCSA to work closely with the States to promote their continued participation in a vigorous compliance review program. In order to monitor its progress, FMCSA shall provide a report to the House and Senate Committees on Appropriations on the number of completed compliance reviews and new extrant safety audits in conjunction with the Agency's fiscal year 2008 budget request.
PROGRAM EXPENSES
The Committee recommends $70,893,000 for FMCSA's program expenses.
Research and Technology- The Committee recommends $10,296,000 for research and technology. The recommendation is consistent with the requested amount and $313,000 more than the fiscal year 2006 enacted level.
Outreach and Education- The Committee recommends $4,000,000 for the outreach and education program, consistent with the budget request and the fiscal year 2006 enacted level. The Committee reminds FMCSA that data collection and analysis are two of the most important aspects of any program that focuses on ways to inform and influence behavior. The Committee expects FMCSA to manage the Outreach and Education program with the same performance, data, and analysis-driven focus which the Agency is implementing for the enforcement programs. The Committee directs FMCSA to use funds provided above the budget estimate to continue the outreach program with the goal of enhancing the coordination and effective enforcement of Federal laws and regulations with respect to household goods transportation. The Committee directs FMCSA to develop a process as part of the household goods outreach program for State safety authorities and law enforcement agencies to refer investigations to the appropriate Federal authorities.
Information Management Program- The Committee recommends $43,175,000 for FMCSA's information management program [IMP], which is consistent with the budget request and $1,504,000 more than the fiscal year 2006 enacted level.
MOTOR CARRIER SAFETY GRANTS
(LIQUIDATION OF CONTRACT AUTHORIZATION)
(LIMITATION ON OBLIGATIONS)
(HIGHWAY TRUST FUND)
(INCLUDING TRANSFER OF FUNDS)
-----------------------------------------------------------------------------------------
Liquidation of contract authorization Limitation on obligations
-----------------------------------------------------------------------------------------
Appropriations, 2006 $279,180,000 $279,180,000
Budget estimate, 2007 297,502,000 297,502,000
House allowance 294,000,000 294,000,000
Committee recommendation 294,000,000 294,000,000
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PROGRAM DESCRIPTION
This account provides the necessary resources for the Motor Carrier Safety Assistance Program [MCSAP] State grants. Grants will be used to support State compliance reviews; identify and apprehend traffic violators; conduct roadside inspections; and support safety audits on new entrant carriers. Grants are also provided to States for enforcement efforts at both the southern and northern borders to ensure that all points of entry into the United States are fortified with comprehensive safety measures; improvement of State commercial driver's license [CDL] oversight activities to prevent unqualified drivers from being issued CDL's; and the Performance Registration Information Systems and Management [PRISM] program, which links State motor vehicle registration systems with carrier safety data in order to identify unsafe commercial motor carriers.
COMMITTEE RECOMMENDATION
(LIQUIDATION OF CONTRACT AUTHORIZATION)
The Committee recommends a liquidation of contract authorization of $294,000,000 for the payment of obligations incurred in carrying out motor carrier safety grant programs. The Committee recommendation is consistent with the budget estimate and is consistent with the amount of contract authorization for this program under SAFETEA-LU.
(LIMITATION ON OBLIGATIONS)
The Committee recommends a limitation on obligations of $294,000,000 for motor carrier safety grants. The recommended limitation is consistent with the budget estimate and is consistent with the amount of contract authorization for this program under SAFETEA-LU. The Committee recommendation is $14,820,000 more than the fiscal year 2006 enacted level. In addition, the Committee recommends the allocation of $3,502,000 of revenue aligned budget authority [RABA] from the Federal-aid highway program to this account as authorized by SAFETEA-LU. The Committee recommends a separate limitation for each grant program funded under this account with the following funding allocations:
---------------------------------------------------------------------------------------
Amount
---------------------------------------------------------------------------------------
Motor carrier safety assistance program [MCSAP] $197,000,000
Border enforcement grants 32,000,000
Performance and registration information system management [PRISM] grants 5,000,000
MCSAP RABA 3,502,000
Safety Data Improvement 3,000,000
CDLIS 7,000,000
Commercial driver's license and driver improvement program 25,000,000
Commercial vehicle information systems and networks [CVISN] grants 25,000,000
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MOTOR CARRIER SAFETY
(HIGHWAY TRUST FUND)
(RESCISSION)
The bill rescinds $27,122,669 in unobligated balances from amounts made available under this heading in prior appropriations acts.
NATIONAL MOTOR CARRIER SAFETY PROGRAM
(HIGHWAY TRUST FUND)
(RESCISSION)
The bill rescinds $3,419,816 in unobligated balances from amounts made available under this heading in prior appropriations acts.
ADMINISTRATIVE PROVISIONS--FEDERAL MOTOR CARRIER SAFETY ADMINISTRATION
Section 130 subjects the funds in this act to section 350 of Public Law 107-87 in order to ensure the safety of all cross-border long haul operations conducted by Mexican-domiciled commercial carriers.
Section 131. SAFETEA-LU includes a provision for the repeal of the Single State Registration System [SSRS] on January 1, 2007, and its replacement with a new Unified Carrier Registration System [UCR]. The Committee, however, believes that a repeal of SSRS is premature given that progress on instituting the UCR has been insignificant. The current SSRS brings in approximately $100,000,000 in registration fees to the States that participate in the program, funds that are often used to cover the cost of transportation safety and enforcement programs. For this reason, the Committee includes language that would delay the repeal of SSRS by 12 months, and require the Government Accountability Office to report to the Congress on the progress being made in establishing the UCR.
Section 132. This section makes a correction to Public Law 109-59 regarding the definition of a commercial motor vehicle and regulation of freight forwarders and brokers.
NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION
PROGRAM DESCRIPTION
The National Highway Traffic Safety Administration [NHTSA] is responsible for motor vehicle safety, highway safety behavioral programs, and the motor vehicle information and automobile fuel economy programs. The Federal Government's regulatory role in motor vehicle and highway safety began in September 1966 with the enactment of the National Traffic and Motor Vehicle Safety Act of 1966 (codified as chapter 301 of title 49, United States Code) and the Highway Safety Act of 1966 (codified as chapter 4 of title 23, United States Code). The National Traffic and Motor Vehicle Safety Act of 1966 instructs the Secretary to reduce traffic crashes and deaths and injuries resulting from traffic crashes; establish motor vehicle safety standards for motor vehicles and motor vehicle equipment in interstate commerce; carry out needed safety research and development; and expand the National Driver Register. The Highway Safety Act of 1966 instructs the Secretary to increase highway safety by providing for a coordinated national highway safety program through financial assistance to the States.
In October 1966, these activities, originally under the jurisdiction of the Department of Commerce, were transferred to the Department of Transportation, to be carried out through the National Traffic Safety Bureau. In March 1970, the National Highway Traffic Safety Administration [NHTSA] was established as a separate organizational entity in the Department. 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.
NHTSA's mission was expanded in October 1972 with the enactment of the Motor Vehicle Information and Cost Savings Act (now codified as chapters 321, 323, 325, 327, 329, and 331 of title 49, United States Code). This act as originally enacted, instructs the Secretary to establish low-speed collision bumper standards, consumer information activities, and odometer regulations. Three major amendments to this act have been enacted: (1) a December 1975 amendment directs the Secretary to set and administer mandatory automotive fuel economy standards; (2) an October 1984 amendment directs the Secretary to require certain passenger motor vehicles and their major replacement parts to be marked with identifying numbers or symbols; and (3) an October 1992 amendment directs the Secretary to set and administer automobile content labeling requirements.
NHTSA's current programs are authorized in five major laws: (1) the National Traffic and Motor Vehicle Safety Act (chapter 301 of title 49, United States Code ); (2) the Highway Safety Act (chapter 4 of title 23, U.S.C.); (3) the Motor Vehicle Information and Cost Savings Act [MVICSA] (part C of subtitle VI of title 49, United States Code); (4) the National Driver Register Act of 1982; and (5) the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users [SAFETEA-LU].
The National Traffic and Motor Vehicle Safety Act 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, which was reauthorized by the National Driver Register Act of 1982.
The Highway Safety Act provides for coordinated national highway safety programs (section 402 of title 23, United States Code) to be carried out by the States and for highway safety research, development, and demonstration programs (section 403 of title 23, United States Code). The Anti-Drug Abuse Act of 1988 (Public Law 100-690) authorized a new drunk driving prevention program (section 410 of title 23, United States Code) to make grants to States to implement and enforce drunk driving prevention programs.
SAFETEA-LU, which was enacted on August 10, 2005, either reauthorized or added new authorizations for the full range of NHTSA programs for fiscal years 2005 through 2009.
COMMITTEE RECOMMENDATION
The Committee recommendation of $819,250,000 provides sufficient funding for the National Highway Traffic Safety Administration to maintain current programs and continue the mobilization and paid media initiatives that have proven so effective in increasing safety belt use and impaired driving awareness.
The following table summarizes the Committee recommendations:
-------------------------------------------------------------------------------------
Program Fiscal year-- Committee recommendation
2006 enacted 1 2007 estimate
-------------------------------------------------------------------------------------
Operations and research $230,132,000 $227,250,000 $231,500,000
National Driver Register 3,960,000 4,000,000 4,000,000
Highway traffic safety grants 572,394,000 583,750,000 583,750,000
Total 806,486,670 815,000,000 819,250,000
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OPERATIONS AND RESEARCH
| Appropriations, 2006 | $234,092,430 |
| Budget estimate, 2007 | 227,250,000 |
| House allowance | 236,450,000 |
| Committee recommendation | 231,500,000 |
PROGRAM DESCRIPTION
These programs support traffic safety programs and related research, demonstrations, technical assistance, and national leadership for highway safety programs conducted by State and local government, the private sector, universities, research units, and various safety associations and organizations. These highway safety programs emphasize alcohol and drug countermeasures, vehicle occupant protection, traffic law enforcement, emergency medical and trauma care systems, traffic records and licensing, State and community traffic safety evaluations, motorcycle riders, pedestrian and bicycle safety, pupil transportation, distracted and drowsy driving, young and older driver safety programs, and development of improved accident investigation procedures.
COMMITTEE RECOMMENDATION
The Committee recommends a total of $231,500,000 in new budgetary resources, which is $4,250,000 above the budget request and $2,592,430 less than the fiscal year 2006 enacted level.
The Committee recommends funds to be distributed to the following program activities in the following amounts:
------------------------------------------------------------
Program Committee recommendation
------------------------------------------------------------
Contract programs:
Safety performance $14,905,000
Safety assurance 18,277,000
Highway safety 50,965,000
Research and analysis 65,711,000
General administration 673,000
Salaries and benefits 75,000,000
Travel 1,364,000
Operating expenses 22,355,000
Grant administration reimbursement (17,750,000)
Total 231,500,000
------------------------------------------------------------
OPERATING EXPENSES
Budget Documentation.--The Committee reminds NHTSA that budget request materials submitted to the Congress should not only include explanatory documentation for any proposed budget increases; the budget materials should also describe any proposed decreases to programs from the prior year's funding levels.
The Committee recommends $5,403,000 for the working capital fund, equal to the budget request.
Administrative Expenses.--Section 2001(11) of SAFETEA-LU provides for administrative and related operating expenses for NHTSA carrying out chapter 4 of title 23, United States Code, and for the highway safety title of Public Law 109-59. The Committee recommends $17,750,000, to NHTSA for administrative expenses associated with administering the highway safety grant programs and related operating expenses.
SAFETY PERFORMANCE
Vehicle Safety Harmonization.--The Committee recommends $206,000 for international harmonization activities, an amount equal to the budget request.
New Car Assessment Program- The Committee recommends $10,500,000 for the New Car Assessment Program [NCAP].
Tire Pressure Monitoring Systems.--The TREAD Act included a requirement that the Secretary of Transportation issue a rule mandating new motor vehicles have a warning system to alert operators when a tire is significantly under-inflated. In compliance with this directive, in April of 2005 NHTSA published a final rule that requires Tire Pressure Monitoring Systems [TPMS] to be installed in every new vehicle by model year 2006. NHTSA notes the potential of TPMS in preventing injury, saving lives and improving fuel economy. However, the Committee is concerned that these impacts may be undermined if consumers do not fully understand the technology. Therefore, the Committee provides NHTSA with $750,000 and directs NHTSA to carry out a consumer education campaign that would assist drivers in understanding new TPMS technologies, their purpose, and the valuable safety information that they provide.
HIGHWAY SAFETY PROGRAMS
The Committee recommends funds to be distributed to the following program activities in the following amount:
----------------------------------------------------------
Committee recommendation
----------------------------------------------------------
Impaired Driving $11,300,000
Drug Impaired Driving 1,500,000
Pedestrians/Bicycles 1,665,000
Older Drivers 500,000
Motorcycles 800,000
National Occupant Protection 11,224,000
Enforcement and Justice Services 2,717,000
Law Enforcement Training (500,000)
Emergency Medical Services 4,320,000
Records and Licensing 2,660,000
Highway Safety Research 11,430,000
Emerging Traffic Safety Issues 593,000
NOPUS 1,656,000
Enhance 9-1-1 Act Implementation 500,000
International Activities 100,000
Total 50,965,000
----------------------------------------------------------
Impaired Driving.--The Committee recommends $11,300,000 to support the impaired driving program. This amount is equal to the budget request. These additional funds will allow NHTSA to continue to: (1) promote high visibility law enforcement; (2) educate prosecutors, judges and law enforcement regarding impaired driving and promote specialized or enhanced court systems; (3) develop effective messages and countermeasures to reach high risk groups; and (4) encourage widespread adoption of medical screening and brief intervention for individuals with alcohol abuse problems.
Judicial and Prosecutorial Awareness- The Committee recommends $1,100,000 for judicial and prosecutorial awareness to expedite the detection, identification and tracking of hard core drunk drivers. The Committee is aware that one of the major factors in alcohol-related crashes is the number of habitual drunk drivers involved in alcohol-related traffic crashes.
The Committee directs NHTSA to work with State and local law enforcement officials, judges, prosecutors and parole officers to assist them in developing strategies that specifically target the removal of habitual drunk drivers from the road.
Motorcycles.--NHTSA's budget documents state that motorcycle fatalities have increased for 7 straight years, for a total 89 percent increase since 1997. Helmet use continues to play a role in 40 percent of motorcycle accidents. The Committee recommends $800,000 for motorcycle program activities, the same as the fiscal year 2006 level.
National Occupant Protection Program.--Recent years have seen encouraging increases in safety belt use across the country, reaching 82 percent for 2005.
The Committee continues to urge NHTSA to be vigilant and resourceful in its efforts to not only increase the seat belt rate, but ensure that this vigilance is not overshadowing the overall goal of reducing fatalities in this and every aspect of highway safety. The Committee recommends $11,224,000 for NHTSA's occupant protection efforts, which is the requested amount.
To supplement NHTSA's overall safety belt effort, the Committee recommends funding to continue the `Click It or Ticket' national public service message program.
Emergency Medical Services- The Committee continues to support the development of a national database to collect EMS data similar to those that exist for fire and police services. The Committee recommends an increase of $2,000,000 for fiscal year 2007, of which $1,000,000 is to continue the implementation of the National Emergency Medical Services Information System [NEMISIS] data collection initiative at the National Center for Statistics and Analysis. The Committee views the implementation of NEMISIS, to be extremely important in light of NHTSA's role as Federal coordinator of all EMS systems.
International Activities.--The Committee recommends $100,000 for NHTSA's international activities initiative.
The Committee recommends $500,000 for necessary expenses of the National Highway Traffic Safety Administration to support the E-911 Implementation Coordination Office, established pursuant to section 104 of Public Law 108-494.
RESEARCH AND ANALYSIS
Biomechanical Research.--The Committee recommends $12,500,000 for biomechanics research. The Committee's recommendation includes necessary resources for the continued research of the Crash Injury Research and Engineering Network program.
Maternal and Fetal Injuries in Vehicle Crashes.--The Committee has become aware of possible increases in vehicle crashes involving pregnant women. These vehicle crashes put both the expectant mother and fetus at risk, yet little is known of the incident, risks and characteristics of pregnant women in crashes. The Committee directs NHTSA to explore the feasibility of adding a gravid anthropomorphic dummy to its vehicle testing procedures. A Federal standard on a gravid anthropomorphic dummy may help spur the research to improve the crashworthiness of vehicles for pregnant women. NHTSA shall report to the House and Senate Committees on Appropriations within 9 months of enactment of this act on the number of crashes involving pregnant women and the injuries and fatalities associated with those crashes. Also, the report shall include an assessment of creating a crash test dummy that would measure the injuries to the women and the fetus.
CIREN Research on Older Drivers.--The Committee is aware of the growing population of older Americans, which is expected to nearly double by 2030. In recognition of this growth and the different health issues facing older Americans, the Committee directs NHTSA as part of its CIREN program, to collect data that will measure the impact of crashes on older populations and that would assist in the possible development of a crash test dummy representing older occupants. NHTSA is directed to update the Committee on the CIREN program including its efforts related to older drivers.
Plastic and Composite Vehicles- The Committee recognizes the development of plastics and polymer-based composites in the automotive industry and the important role these technologies play in improving and enabling automobile performance. The Committee recommends $500,000 to continue development of Lightweight Plastic and Composite Intensive Vehicles [PCIV] research to examine possible safety benefits. The program will help facilitate a foundation of cooperation between DOT, the Department of Energy and industry stakeholders for the development of safety-centered approaches for future light-weight automotive design.
Crash Avoidance and Human Vehicle Performance.--The Committee includes $6,750,000 for the crash avoidance and human vehicle performance program as requested in the budget estimate. Within the funds provided, the Committee directs that no less than $3,000,000 be utilized for the National Advance Driving Simulator.
Fatality Analysis Reporting System.--The Committee recommends $7,063,000 for the Fatality Analysis Reporting System [FARS], equal to the proposed budget request and the fiscal year 2006 enacted base funding.
FAST FARS- The Committee recommends $1,000,000 for the FAST FARS data collection program. An effective FAST FARS system will permit the agency to analyze the effectiveness of its programs more quickly, thereby improving decision making to better utilize limited safety funding resources.
Vehicle Crash Causation Study.--The Committee continues to support the ongoing vehicle crash causation study and provides $7,000,000, the requested level, for this purpose.
Hydrogen Fuel Cell and Alternative Fuel Vehicle Safety- The Committee strongly supports NHTSA's initiative to address possible safety concerns as hydrogen fuel cell and other alternative fuel cell vehicles are introduced into the Nation's fleet. The fiscal year 2007 budget request, $925,000, is provided for this purpose.
NATIONAL DRIVER REGISTER
(LIQUIDATION OF CONTRACT AUTHORIZATION)
(LIMITATION ON OBLIGATIONS)
(HIGHWAY TRUST FUND)
----------------------------------------------------------------------------------------
Liquidation of contractauthorization Limitation on obligations
----------------------------------------------------------------------------------------
Appropriations, 2006 $4,000,000 $3,960,000
Budget estimate, 2007 4,000,000 4,000,000
House allowance 4,000,000 4,000,000
Committee recommendation 4,000,000 4,000,000
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PROGRAM DESCRIPTION
This account provides funding to implement and operate the Problem Driver Pointer System [PDPS] and improve traffic safety by assisting State motor vehicle administrators in communicating effectively and efficiently with other States to identify drivers whose licenses have been suspended or revoked for serious traffic offenses such as driving under the influence of alcohol or other drugs.
COMMITTEE RECOMMENDATION
(LIQUIDATION OF CONTRACT AUTHORIZATION)
The Committee recommends a liquidation of contract authorization of $4,000,000 for payment on obligations incurred in carryout provisions of the National Driver Register Act. The recommended liquidating cash appropriation is equal to the budget estimate and is equal to the fiscal year 2006 enacted level.
LIMITATION ON OBLIGATIONS
The Committee recommends a limitation on obligations of $4,000,000 for the National Driver Register. The recommended limitation is the same as the budget request and is $40,000 more than the fiscal year 2006 enacted level.
HIGHWAY TRAFFIC SAFETY GRANTS
(LIQUIDATION OF CONTRACT AUTHORIZATION)
(HIGHWAY TRUST FUND)
---------------------------------------------------------------------------------------
Limitation of contract authorization Limitation onobligations
---------------------------------------------------------------------------------------
Appropriations, 2006 $578,176,000 $572,394,000
Budget estimate, 2007 583,750,000 583,750,000
House allowance 587,750,000 587,750,000
Committee recommendation 583,750,000 583,750,000
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PROGRAM DESCRIPTION
SAFETEA-LU reauthorizes three State grant programs: highway safety programs, occupant protection incentive grants, and alcohol-impaired driving countermeasures incentive grants; and authorizes for the first time an additional five State programs: safety belt performance grants, State traffic safety information systems improvement grants, high visibility enforcement program, child safety and child booster seat safety incentive grants, and motorcyclist safety grants.
The highway safety grant program under section 402 of title 23, United States Code SAFETEA-LU established a new safety belt performance incentive grant program under section 406 of title 23, United States Code; SAFETEA-LU also established a new program of incentive grants under section 408 of title 23, United States Code; SAFETEA-LU amended the alcohol-impaired driving countermeasures incentive grant program authorized by section 410 of title 23, United States Code; SAFETEA-LU establishes a new program to administer at least two high-visibility traffic safety law enforcement campaigns each year to achieve one or both of the following objectives: (1) reduce alcohol-impaired or drug-impaired operation of motor vehicles; and/or (2) increase the use of safety belts by occupants of motor vehicles.
Motorcyclist Safety- Section 2010 of SAFETEA-LU established a new program of incentive grants for motorcycle safety training and motorcyclist awareness programs. Section 2011 of SAFETEA-LU established a new incentive grant program these grants may be used only for child safety seat and child restraint programs.
Grant Administrative Expenses- Section 2001(a)(11) of SAFETEA-LU provides funding for salaries and operating expenses related to the administration of the grants programs and supports the national occupant protection user survey and highway safety research programs.
COMMITTEE RECOMMENDATION
(LIQUIDATION OF CONTRACT AUTHORIZATION)
The Committee recommends an appropriation for liquidation of contract authorization of $583,750,000 for payment on obligations incurred in carryout provision of the highway traffic safety grant programs. The Committee recommendation is consistent with the amount of contract authorization for highway traffic safety grant programs under SAFETEA-LU. The recommended liquidating cash appropriation is equal to the budget estimate and $5,574,000 more than fiscal year 2006 enacted level.
(LIMITATION ON OBLIGATIONS)
The Committee recommends a limitation on obligations of $583,750,000 for the highway traffic safety grant programs funded under this heading. The recommended limitation is equal to the budget estimate and $11,356,000 more than fiscal year 2006 enacted level.
The Committee continues to recommend prohibiting the use of section 402 funds for construction, rehabilitation or remodeling costs, or for office furnishings and fixtures for State, local, or private buildings or structures.
The Committee recommends a separate limitation on obligations for administrative expenses and for each grant program as follows:
------------------------------------------------------------------------------------
Amount
------------------------------------------------------------------------------------
Administrative expenses $17,750,000
Highway safety programs (section 402) 220,000,000
Occupant protection programs (section 405) 25,000,000
Alcohol impaired driving countermeasures incentive grants (section 410) 125,000,000
High visibility enforcement program (section 2009) 25,000,000
Motorcyle safety (section 2010) 6,000,000
State traffic safety information systems improvements (section 412) 34,500,000
Child safety and child booster seat safety incentive grants 6,000,000
Safety belt performance grants (section 406) 124,500,000
Total 445,500,000
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OPERATIONS AND RESEARCH
(LIQUIDATION OF CONTRACT AUTHORITY)
(LIMITATION ON OBLIGATIONS)
(HIGHWAY TRUST FUND)
(RESCISSION)
The bill rescinds $6,772,751 in unobligated balances from amounts made available under this heading in prior appropriations acts.
NATIONAL DRIVER REGISTER
(LIQUIDATION OF CONTRACT AUTHORITY)
(LIMITATION ON OBLIGATIONS)
(HIGHWAY TRUST FUND)
(RESCISSION)
The bill rescinds $8,553 in unobligated balances from amounts made available under this heading in prior appropriations acts.
HIGHWAY TRAFFIC SAFETY GRANTS
(LIQUIDATION OF CONTRACT AUTHORITY)
(LIMITATION ON OBLIGATIONS)
(HIGHWAY TRUST FUND)
(RESCISSION)
The bill rescinds $5,646,863 in unobligated balances from amounts made available under this heading in prior appropriations acts.
ADMINISTRATIVE PROVISIONS--NATIONAL HIGHWAY TRAFFIC SAFETY ADMINISTRATION
Section 140 includes a provision to allows the Secretary to transfer funds in any fiscal year provided for administrative expenses for the National Highway Traffic Safety Administration's National Driver Register, under section 2001(a)(7) of Public Law 109-59, and for the agency's administrative and related operating expenses, under section 2001(a)(11) of Public Law 109-59, to the `Operations and Research' account and the `Operations and Research, Limitations on Obligations, Highway Trust Fund' account.'
Section 141 requires the Secretary of Transportation to submit a report to Congress describing the feasibility and marginal production costs of making all new passenger automobiles and light trucks sold in the United States capable of using a flexible fuel mixture.
FEDERAL RAILROAD ADMINISTRATION
The Federal Railroad Administration [FRA] became an operating administration within the Department of Transportation on April 1, 1967. It incorporated the Bureau of Railroad Safety from the Interstate Commerce Commission, the Office of High Speed Ground Transportation from the Department of Commerce, and the Alaska Railroad from the Department of the Interior. The Federal Railroad Administration is responsible for planning, developing, and administering programs to achieve safe operating and mechanical practices in the railroad industry. Grants to the National Railroad Passenger Corporation (Amtrak) and other financial assistance programs to rehabilitate and improve the railroad industry's physical infrastructure are also administered by the Federal Railroad Administration.
SAFETY AND OPERATIONS
| Appropriations, 2006 | $144,490,000 |
| Budget estimate, 2007 | 150,578,000 |
| House allowance | 150,153,000 |
| Committee recommendation | 150,578,000 |
PROGRAM DESCRIPTION
The Safety and Operations account provides support for FRA rail safety activities and all other administrative and operating activities related to staff and programs.
COMMITTEE RECOMMENDATION
The Committee recommends $150,578,000 for Safety and Operations for fiscal year 2007, which is consistent with the budget request and $6,088,000 more than the fiscal year 2006 enacted level. Of this amount the bill specifies that, $13,870,890 remains available until expended.
RAILROAD RESEARCH AND DEVELOPMENT
| Appropriations, 2006 | $54,524,000 |
| Budget estimate, 2007 | 34,650,000 |
| House allowance | ........................... |
| Committee recommendation | 34,650,000 |
PROGRAM DESCRIPTION
Railroad Research and Development provides for research in the development of safety and performance standards for railroads and the evaluation of their role in the Nation's transportation infrastructure.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $34,650,000 for railroad research and development, which is the same as the budget request and $19,874,000 less than the fiscal year 2006 enacted level.
Within the amount provided, the Committee recommends:
$250,000 for the Constructed Facilities Center at West Virginia University to develop manufactured modules using innovative manufacturing techniques, advanced blast resistant materials and structural systems, and embedded modern sensors;
$750,000 for Marshall University, in cooperation with the University of Nebraska, to develop a new track stability technology using the actual rail lines in the states as the calibration test beds; and
$500,000 for the Las Vegas-Los Angeles High Speed Rail Study to conduct the conceptual engineering and capacity modeling for multi-frequency passenger rail service between Las Vegas and Los Angeles.
GRANTS TO THE NATIONAL RAILROAD PASSENGER CORPORATION (AMTRAK)
| Appropriations, 2006 | $1,293,633,000 |
| Budget estimate, 2007 1 | 900,000,000 |
| House allowance | 900,000,000 |
| Committee recommendation | 1,400,000,000 |
| 1 Funds to be available for transfer to the Surface Transportation Board for directed service of commuter rail obligations. |
PROGRAM DESCRIPTION
The National Railroad Passenger Corporation (Amtrak) is a for-profit corporation that operates intercity passenger rail services in 46 States and the District of Columbia, in addition to serving as a contractor in various capacities for several commuter rail agencies. Congress created Amtrak in the Rail Passenger Service Act of 1970 (Public Law 91-518) in response to private carriers' inability to profitably operate intercity passenger rail service due a steady decline in ridership that began in the 1920's. Thereafter, Amtrak assumed the common carrier obligations of the private railroads in exchange for the right to priority access of their tracks for incremental cost.
COMMITTEE RECOMMENDATION
CAPITAL GRANTS FOR THE NATIONAL RAILROAD PASSENGER CORPORATION
The Committee recommends $750,000,000 for capital grants to Amtrak. Of this amount, no more than $295,000,000 is available for debt service payments. The Committee is concerned about the safety and efficiency of the Nation's passenger rail system and has provided the funds needed to ensure Amtrak's major capital needs are met. The Committee continues to believe that providing funds in the forms of grants for Amtrak's capital needs ensures greater oversight and more optimal use of taxpayers' resources.
Because the Committee is concerned about the uncertainty of what benchmarks must be reached to achieve a systemwide state-of-good repair, the Committee has included a new provision allowing the Federal Railroad Administration to retain up to one-quarter of 1 percent of Amtrak's capital subsidy to provide meaningful oversight to Amtrak's major capital investments. Amtrak has begun to undertake projects that are significant in size and cost, such as the replacement of the bridges across the Thames and Niantic Rivers in Connecticut and the ventilation towers for the Hudson and East River tunnels in New York and New Jersey. Moreover, as the failure of Amtrak's electrification system between New York City and Washington, DC, on May 25 of this year demonstrated, the lack of action on Amtrak's major capital assets has the potential for adversely affecting transportation over a wide region.
While the FRA has assumed the responsibility of providing annual capital grants to Amtrak, the FRA has yet to possess the resources necessary to provide meaningful oversight of major capital investments. As an example, FRA does not have the resources to review independently the design and cost estimates for the new bridges, to assess whether the bridges have been built according to design, or to review and, if necessary, recommend corrective measures if the bridge fabrication and construction begins to exceed estimates and schedules. Indeed, FRA's oversight is limited to reviewing reports on project progress from Amtrak's engineering and mechanical departments except where FRA's limited staff might have expertise in a specific area that coincides with a capital project. The Federal Transit Administration performs its oversight of major projects through Project Management Oversight consultants. The Committee believes that FRA should use a similar approach. While the amount provided for this purpose is modest in absolute terms, it should be adequate to initiate the oversight program and for FRA to review those large projects important for maintaining or improving safety and operational reliability where there may be significant risk in achieving the expected cost, schedule or scope of the project. It is expected that with this enhanced ability that FRA will report to the House and Senate Committees on Appropriations on a regular basis on the state of Amtrak's capital program.
The Committee remains concerned about the significant costs associated with Amtrak's food and beverage and first-class services. While Amtrak has shown commendable progress in its efforts to reform these services, the Committee believes that further oversight and accountability is needed. The Committee has included a provision that prohibits the Secretary of Transportation from approving any capital grant request that proposes spending funds on the retrofitting, refurbishing or maintenance of equipment or facilities used for food and beverage or sleeper class services unless the proposed plans comply with the stated goal of eliminating Federal subsidies for these services by 2011. While Amtrak's services meet basic mobility needs, the Committee does not believe that Federal subsidies should be directed toward the enhancement of services and amenities that only add to Amtrak's operational losses.
As Amtrak itself has noted, Amtrak's equipment and infrastructure require significant investment to achieve a state-of-good repair. Amtrak has, on repeated occasions, diverted funds needed for capital investments to cover operational losses. This has had the effect of leaving Amtrak's system in a less than optimal state. While the Committee has pressed both Amtrak and the Department of Transportation to provide a detailed and prioritized list of needs to return Amtrak's infrastructure to a state-of-good repair, both entities have either been unable or unwilling to do so. The administration's capital grant request for Amtrak for fiscal year 2007 is $500,000,000, but it remains unclear what this number will achieve in restoring Amtrak's system to the necessary state-of-good repair. If the Committee were better able to discern what projects could be funded with more resources, it would be better positioned to justify the provision of such resources. The Committee has, therefore, included provisions mandating that the administration's budget submission for fiscal year 2008 include a detailed capital investment plan that prioritizes and provides cost estimates for capital projects necessary to achieve safe, efficient, and timely intercity passenger rail service. This plan should incorporate input from the States and railroads where Amtrak provides services or its infrastructure is used detailing what investments are necessary to ensure timely and safe transportation services. The Committee believes that such a plan will better enable Congress, Amtrak, and the administration to chart a future path for Amtrak and to more strategically provide for Amtrak's many capital needs.
EFFICIENCY INCENTIVE GRANTS TO THE NATIONAL RAILROAD PASSENGER CORPORATION
Despite the lack of action on a comprehensive reauthorization of Amtrak, the Committee notes that there are signs that Amtrak is making some progress in addressing the significant imbalance between its operating expenses and revenues. The Committee is pleased with reports of savings and other efficiencies achieved through the reforms contained in the fiscal year 2006 Transportation appropriations act directing savings through operating efficiencies, including, but not limited to, modifications to food and beverage service and first-class service. Amtrak also has improved its accounting and its capital project management and reporting. It has renewed focus on improving on-time performance on the Northeast Corridor that is resulting in measurable improvements. Amtrak is implementing a consistent approach to seeking compensation from States for service largely within one State modeled after what States on the Pacific Coast have been doing for years and Amtrak has initiated a review of the future of its long distance service. All of these initiatives are positive signs. While most of these reforms can be found in directives from this Committee or conditions in Amtrak's grant agreement with FRA, the Amtrak Board, and Amtrak's current management deserve credit for serving as instruments and advocates of needed change.
Despite the concerns stated previously, the Committee is pleased that Amtrak has implemented strategic initiatives in 15 areas including: a plan for restructurings its food and beverage service and dining and lounge car operations over several years; adopting a reliability-centered maintenance approach to increase fleet maintenance efficiencies; consolidating maintenance facilities and reducing maintenance overtime; outsourcing and reducing staff at stations; improving fuel efficiency; renegotiating labor agreements to eliminate outsourcing and work rule restrictions; and reducing outside legal fees. While Amtrak is making positive steps toward reforms, the Committee remains concerned that other initiatives such as restructuring long-distance train services, improving financial management systems, and improving service reliability on the Northeast Corridor are only in the beginning of the planning stage, and that many of the initiatives have not yet translated into any meaningful way of improving Amtrak's bottom line.
The Committee remains interested in making sure that Amtrak is fully addressing reform opportunities and meeting benchmarked goals that are sustainable over the long term on food and beverage reforms, sleeper car and long distance service in particular. Amtrak continues to require a significant claim on the discretionary Federal financial resources available for transportation and places significant stress on this Committee in finding sufficient resources to keep Amtrak running. For this reason, the Committee will continue to insist on reform initiatives with timelines and set benchmarked goals so that the Committee will know with some degree of confidence that the Federal taxpayer's funds, regardless of the amount, provides a high quality product in a cost-effective manner.
The most glaring examples of the failure of Amtrak to serve as an effective steward of the taxpayer's investments are in the areas of food and beverage service and first-class service. Both the Amtrak Inspector General and the Department of Transportation Inspector General have singled out these functions as primary examples of misplaced priorities in the use of the financial resources available to the Corporation. In fiscal year 2006, Amtrak's losses on food and beverage service will equal over 10 percent of Amtrak's total subsidy and over 20 percent of its operating subsidy. Amtrak loses even more on its first-class service.
While the Committee believes there is a role for Federal subsidies on intercity passenger rail service, in particular for capital investment, it cannot accept the concept that the Federal taxpayers should pay for the cost of dinner and drinks on the train or of first-class accommodations. Indeed, 49 U.S.C. 305(c)(4) authorizes Amtrak to `provide food and beverage service on its trains only if the revenues from the services each year at least equal the cost of providing the service.' This statutory requirement seems to have been ignored by Amtrak. The Committee recognizes that passengers on trains, particularly those trains that operate on extended schedules, need food. This does not mean that the food and beverage or the first-class accommodations should receive a Federal subsidy. The Committee notes that Amtrak has begun initiatives for improving the financial performance of food and beverage and first-class services--initiatives that the Committee wants to nurture. Indeed, the history of Amtrak is replete with initiatives that have been forgotten or ignored because the attention of management, Amtrak's Board of Directors, the Department of Transportation, and the Congress have been diverted to other issues. Thus, this year, the Committee wishes to build upon Amtrak's early work by requiring that Amtrak develop realistic plans with meaningful milestones to eliminate the Federal subsidies of these services over the next 5 years. Amtrak is directed to reduce the net Federal subsidy of food and beverage service and sleeper/first-class service in fiscal year 2007 by 20 percent over the level of subsidy, including that attributable to the operation and maintenance of equipment and facilities solely used for these services, in fiscal year 2005. The Committee requests that Amtrak's Inspector General provide the Senate and House Appropriations Committees with regular reports on Amtrak's performance.
To better understand the cost effectiveness of Amtrak today, the Committee directs FRA, in consultation with Amtrak, Amtrak's Inspector General, the Government Accountability Office, and such other entities that the Administrator deems appropriate, to develop a set of metrics for important functions performed by Amtrak, be they important from a safety or operational perspective or important because these functions consume a large amount of Amtrak's financial resources. FRA and Amtrak will then identify how Amtrak and corporations and/or public agencies with functions similar to Amtrak, performed against these metrics in fiscal year 2006 or the most recent year in which data are available. Amtrak will include in its quarterly reports updates of its performance against these metrics.
Another approach to determining the extent to which the quality and cost of providing intercity passenger rail service can be improved is to determine whether an entity other than Amtrak can provide such services more efficiently and effectively. While there has been an ongoing debate over whether others could do better than Amtrak, there has yet to be an effective test. This issue certainly resonates with the States that provide financial support for intercity passenger rail service. Amtrak's de facto monopoly limits any incentive on Amtrak's part to control costs or enhance the quality of its operation, and States must pay whatever Amtrak demands. The Committee believes that, in the absence of reauthorization legislation, an appropriate interim measure to determine the feasibility of a State assuming greater responsibility over intercity passenger rail would be a pilot program to determine whether a State can reduce its costs and, thus, reduce the Federal operating subsidy while maintaining or improving service quality. This will be achieved by enabling a State to assume responsibility for part or all of the functions that the State presently pays Amtrak to do.
The Secretary of Transportation is directed to require Amtrak to conduct a pilot program under which a State would assume the financial responsibility for a train, route or corridor that the State either presently subsidizes or has committed to subsidize. The State would receive 75 percent of the current fully allocated operating loss, which effectively is the Federal subsidy of the service in the first year and 50 percent in the second and third years. Thus, this pilot would not only yield information on the potential long-term benefits of States assuming responsibility for trains they deem important, it offers some reduction in the Federal operating subsidy needs in the short term. This pilot would be implemented as a contract between a State and Amtrak. The State would use established State procedures to arrange for another entity or entities to provide those functions the State wishes to assume. Amtrak would make whatever other services, equipment, facilities, including crew where incorporated into a State's plan, available to the State at a cost that covers Amtrak's expenses. The Secretary would effectively oversee Amtrak's implementation of this provision. Amtrak and the State should reach an agreement through amicable negotiations. The Secretary would also be charged with keeping the process moving and, where the State and Amtrak could not reach agreement, serve to resolved such issues as the appropriate terms and conditions for the use of Amtrak-controlled equipment.
On-Time Performance of Amtrak Long Distance Trains- -The Committee is greatly dismayed with Amtrak's deteriorating on-time performance outside of the Northeast Corridor. Such delays, frequently longer than 3 or 4 hours, undermine Amtrak's ability to attract repeat customers. Outside of the Northeast corridor, Amtrak trains are dispatched by the freight railroads over whose territory they operate. Under section 24308(c) of title 49 of the United States Code, Amtrak trains have `preference over freight transportation in using a rail line, junction, or crossing' unless the Secretary of Transportation provides a specific exemption to this law. For this reason, the Committee directs the DOT Inspector General to investigate the root causes of Amtrak delays and compliance with the above cited subsection of title 49. The report shall investigate all pertinent issues regarding practices in dispatching trains and delays in maintaining track used by Amtrak.
The Railroad Rehabilitation and Improvement Financing [RRIF]- The RRIF program was established by Public Law 109-178 to provide direct loans and loan guarantees to State and local governments, government-sponsored entities, or railroads. Credit assistance under the program may be used for rehabilitating or developing rail equipment and facilities. SAFETEA-LU expanded the authority under the RRIF program; currently, the unpaid principal amounts of the obligations may not exceed $35,000,000,000 at any one time. Of this total, not less than $7,000,000,000 is reserved for projects benefiting freight railroads other than class I carriers. No Federal appropriation is required to implement the program because a non-Federal partner may contribute the subsidy amount required by the Credit Reform Act of 1990 in the form of a credit risk premium. The Committee continues bill language specifying that no new direct loans or loan guarantee commitments may be made using Federal funds for the payment of any credit premium amount during fiscal year 2007.
ADMINISTRATIVE PROVISIONS
Section 150 allows DOT to purchase promotional items of nominal value for use in certain outreach activities.
Section 151 prohibits funds for the National Railroad Passenger Corporation from being available if the Corporation contracts for services at or from any location outside of the United States which were, as of July 1, 2006, performed by a full-time or part-time Amtrak employee within the United States.
FEDERAL TRANSIT ADMINISTRATION
The Federal Transit Administration was established as a component of the Department of Transportation by Reorganization Plan No. 2 of 1968, effective July 1, 1968, which transferred most of the functions and programs under the Federal Transit Act of 1964, as amended (78 Stat. 302; 49 U.S.C. 1601 et seq.), from the Department of Housing and Urban Development. The missions of the Federal Transit Administration are: to assist in the development of improved mass transportation facilities, equipment, techniques, and methods; to encourage the planning and establishment of urban and rural transportation services needed for economical and desirable development; to provide mobility for transit dependents in both metropolitan and rural areas; to maximize the productivity and efficiency of transportation systems; and to provide assistance to State and local governments and their instrumentalities in financing such services and systems.
The programs funded by the FTA are contained in the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users [SAFETEA-LU], Public Law 109-59. The budget request follows a new account structure, established under SAFETEA-LU, which consists of four major accounts, three of which are general funded--Administrative Expenses, Research, and University Research Centers, and Capital Investment Grants. The fourth, Formula and Bus Grants, is funded solely from the Mass Transit Account of the Highway Trust Fund.
The following table summarizes the Committee's recommendations compared to fiscal year 2006 and the administration's request:
-------------------------------------------------------------------------------------------------------------------
Program 2006 enacted 2007 estimate 2007 House allowance Committee recommendation
-------------------------------------------------------------------------------------------------------------------
Administrative expenses $79,200,000 $85,000,000 $85,000,000 $85,000,000
Formula and bus grants 6,910,132,000 7,262,775,000 7,262,775,000 7,262,775,000
Research and University Research Centers 75,200,000 61,000,000 61,000,000 61,000,000
Capital investment grants 1,440,681,660 1,466,000,000 1,566,000,000 1,466,000,000
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ADMINISTRATIVE EXPENSES
| Appropriations, 2006 | $79,200,000 |
| Budget estimate, 2007 | 85,000,000 |
| House allowance | 85,000,000 |
| Committee recommendation | 85,000,000 |
PROGRAM DESCRIPTION
Administrative expenses funds personnel, contract resources, information technology, space management, travel, training, and other administrative expenses necessary to carry out its mission to promote public transportation systems.
COMMITTEE RECOMMENDATION
The Committee recommends a total of $85,000,000 for the agency's salaries and administrative expenses. The recommended level of funding is $5,800,000 more than the fiscal year 2006 enacted level.
The specific levels of funding recommended by the Committee are as follows:
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Committee recommendation
----------------------------------------------------------------------------------------------------
Office of the Administrator $1,063,353
Office of Administration 7,653,698
Office of Chief Counsel 4,272,759
Office of Communications and Congressional Affairs 1,394,111
Office of Program Management (including the Office of Safety and Security) 8,403,493
Office of Budget and Policy 9,258,714
Office of Research, Demonstration, and Innovation 4,876,078
Office of Civil Rights 3,272,077
Office of Planning 4,717,764
Regional offices 22,419,998
Central Account 17,667,955
Total 85,000,000
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The Committee recommendation includes language authorizing the Administrator to transfer funding between offices. Any transfers totaling more than 5 percent of the initial appropriation from this account must be approved by the House and Senate Committees on Appropriations through the same process used for reprogramming funds.
Budget Justifications- The FTA is directed to submit its fiscal year 2008 congressional justification for administrative expenses by office, with material detailing salaries and expenses, staffing increases, and programmatic initiatives of each office.
Project Management Oversight Activities.--The Committee directs FTA to continue to submit to the House and Senate Committees on Appropriations the quarterly FMO and PMO reports for each project with a full funding grant agreement.
To further support oversight activities, the bill continues a provision requiring FTA to reimburse the DOT Office of Inspector General [OIG] $2,000,000 for costs associated with audits and investigations of transit-related issues, including reviews of new fixed guideway systems. This reimbursement must come from funds available for the execution of contracts. Over the past several years, the OIG has provided critical oversight of a number transit projects and FTA activities, which the Committee has found invaluable. The Committee anticipates that the Inspector General will continue such activities in fiscal year 2007.
Full Funding Grant Agreements [FFGAs].--TEA21, as amended, requires that FTA notify the House and Senate Committees on Appropriations, as well as the House Committee on Transportation and Infrastructure and the Senate Committee on Banking, 60 days before executing a full funding grant agreement. In its notification to the House and Senate Committees on Appropriations, the Committee directs FTA to submit the following information: (1) a copy of the proposed full funding grant agreement; (2) the total and annual Federal appropriations required for the project; (3) the yearly and total Federal appropriations that can be planned or anticipated for future FFGAs for each fiscal year through 2008; (4) a detailed analysis of annual commitments for current and anticipated FFGAs against the program authorization, by individual project; (5) an evaluation of whether the alternatives analysis made by the applicant fully assessed all the viable alternatives; (6) a financial analysis of the project's cost and sponsor's ability to finance the project, which shall be conducted by an independent examiner and which shall include an assessment of the capital cost estimate and finance plan; (7) the source and security of all public and private sector financing; (8) the project's operating plan, which enumerates the project's future revenue and ridership forecasts; and (9) a listing of all planned contingencies and possible risks associated with the project.
The Committee also directs FTA to inform the House and Senate Committees on Appropriations in writing 30 days before approving schedule, scope, or budget changes to any full funding grant agreement. Correspondence relating to all changes shall include any budget revisions or program changes that materially alter the project as originally stipulated in the FFGA, including any proposed change in rail car procurement.
The Committee directs FTA to continue to provide a monthly new start project update to the House and Senate Committees on Appropriations, detailing the status of each project. This update should include FTA's plans and specific milestone schedules for advancing projects, especially those within 2 years of a proposed full funding grant agreement. In addition, FTA should notify the Committees 10 days before any project in the new starts process is given approval by FTA to advance to preliminary engineering or final design.
FORMULA AND BUS GRANTS
(LIQUIDATION OF CONTRACT AUTHORITY)
(LIMITATION ON OBLIGATIONS)
(INCLUDING RESCISSION)
----------------------------------------
Trust fund
----------------------------------------
Appropriations, 2006 $6,910,131,690
Budget estimate, 2007 7,262,775,000
House allowance 7,262,775,000
Committee recommendation 7,262,775,000
----------------------------------------
PROGRAM DESCRIPTION
As proposed in the budget, Formula and Bus Grants includes the following programs: urbanized area formula grants; clean fuels formula grants; formula grants for special needs of elderly individuals and individuals with disabilities; formula grants for non-urbanized areas; job access and reverse commute grants; new freedom grants; growing States and high density States grants; bus and bus facility grants; rail modernization grants; alternatives analysis; alternative transportation in parks and public lands; and the national transit database. In addition, set-asides from formula funds are directed to a grant program for intercity bus operators to finance Americans with Disabilities Act accessibility costs.
COMMITTEE RECOMMENDATION
The Committee recommends $7,262,775,000 for transit formula and bus grants from a limitation on obligations from the mass transit account of the highway trust fund. The recommendation is $352,643,310 more than the fiscal year 2006 enacted level. This account includes a rescission of $28,660,920.
The Committee recommendation maintains the set-aside for project oversight in current law instead of providing an increase for program management of formula funds, as requested. The Committee distributes, the total level of funding among the formula categories as follows:
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Amount
--------------------------------------------------------------------
Urbanized Area Formula $3,947,144,400
Over-the-road Bus Program 7,600,000
Elderly & Persons with Disabilities 117,000,000
Nonurbanized Area Formulaÿ 467,030,600
Bus and Bus Facility 900,500,000
Fixed Guideway Modernization 1,448,000,000
Job Access and Reverse Commute 144,000,000
New Freedom 81,000,000
National Transit Database 3,500,000
Planning Programs 99,000,000
Alternatives Analysis 25,000,000
Alternative Transportation in Parks and Public Lands 23,000,000
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Section 3009 of SAFETEA-LU amends U.S.C. 5307, urbanized formula grants, by providing for a phase-out of operating eligibility for urbanized areas which crossed over 200,000 in population for the first time in the 2000 census, but continues to allow the Secretary to make operating grants to urbanized areas with a population of less than 200,000. Generally, urbanized formula grants may be used to fund capital projects and to finance the 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 1 percent of their annual formula grants on enhancements, which include landscaping, public art, bicycle storage, and connections to parks.
Formula and Bus funds can be used for all transit purposes, including planning, bus and railcar purchases, facility repair and construction, maintenance and, where eligible, operating expenses. These funds help transit systems alleviate congestion, ensure basic mobility, promote economically vibrant communities, and meet the requirements of the Americans with Disabilities Act [ADA] and the Clean Air Act [CAA].
The following table displays the State-by-State distribution of the formula program funds within each of the program categories:
FEDERAL TRANSIT ADMINISTRATION ESTIMATED FISCAL YEAR 2007 APPORTIONMENTS FOR FORMULA GRANTS PROGRAMS (BY STATE)
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State Section 5307 and 5340 Urbanized Area Section 5311 and 5340 Non-urbanized Area Section 5310 Special Needs for Elderly and Individuals with Disabilities Job Access and Reverse Commute New Freedom State Total
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Alabama $17,757,310 $11,531,981 $2,031,112 $2,520,454 $1,341,689 $35,182,547
Alaska 22,435,680 5,287,400 275,749 218,712 109,127 28,326,668
American Samoa 198,128 63,190 86,638 18,116 366,072
Arizona 53,233,301 8,224,361 2,122,529 2,789,071 1,428,548 67,797,810
Arkansas 8,732,695 8,801,078 1,308,042 1,482,182 761,051 21,085,048
California 637,409,387 20,178,894 12,367,520 20,630,436 10,147,556 700,733,794
Colorado 53,882,757 7,265,712 1,478,187 1,760,887 1,110,096 65,497,638
Connecticut 65,239,473 2,372,431 1,437,179 1,186,944 1,097,915 71,333,943
Delaware 10,144,567 1,101,096 423,082 278,186 216,349 12,163,280
District of Columbia 72,816,544 365,619 399,650 242,935 73,824,748
Florida 188,812,559 11,938,051 7,890,887 8,740,426 5,440,473 222,822,396
Georgia 73,598,292 14,854,892 2,962,922 3,927,582 2,458,689 97,802,378
Guam 535,533 167,134 86,754 53,757 843,178
Hawaii 25,300,938 1,718,384 584,095 481,097 303,970 28,388,484
Idaho 6,315,238 5,072,764 557,451 663,139 322,397 12,930,988
Illinois 232,616,115 12,367,244 4,571,851 5,314,858 3,607,918 258,477,986
Indiana 39,176,416 11,845,248 2,408,422 2,428,364 1,634,380 57,492,831
Iowa 14,900,302 8,813,714 1,243,967 1,090,305 693,372 26,741,660
Kansas 10,984,546 8,174,258 1,115,566 977,774 601,609 21,853,754
Kentucky 19,618,629 11,172,945 1,872,803 1,943,690 931,398 35,539,465
Louisiana 31,708,912 8,971,607 1,864,585 3,044,744 1,339,953 46,929,801
Maine 3,838,677 4,761,201 658,535 532,282 309,363 10,100,059
Maryland 101,139,169 4,367,070 1,982,154 1,869,988 1,566,055 110,924,436
Massachusetts 166,641,644 3,038,777 2,630,547 2,450,968 1,948,572 176,710,508
Michigan 72,595,701 15,131,932 3,803,866 4,194,169 2,894,852 98,620,521
Minnesota 47,111,756 11,117,462 1,747,510 1,490,649 997,847 62,465,224
Mississippi 5,508,784 10,069,922 1,311,767 1,536,366 715,108 19,141,947
Missouri 40,647,314 12,058,993 2,300,287 2,354,038 1,385,899 58,746,531
Montana 2,820,380 6,552,507 464,254 480,936 225,706 10,543,783
N. Mariana Islands 696,764 30,507 64,379 132,766 58,007 982,423
Nebraska 8,946,243 5,713,026 741,458 591,960 327,216 16,319,903
Nevada 25,879,336 4,292,814 905,448 903,751 553,501 32,534,850
New Hampshire 5,448,721 3,070,213 560,176 371,486 363,503 9,814,099
New Jersey 280,684,486 2,846,191 3,344,865 2,992,052 2,549,253 292,416,847
New Mexico 9,685,768 7,138,423 818,200 1,153,820 433,668 19,229,879
New York 625,104,763 15,289,317 7,925,192 10,287,412 5,801,102 664,407,786
North Carolina 43,181,676 19,149,339 3,313,420 3,536,873 2,229,626 71,410,933
North Dakota 3,424,958 3,456,075 367,819 307,145 154,087 7,710,084
Ohio 93,965,897 17,413,497 4,447,567 4,664,132 2,867,435 123,358,528
Oklahoma 14,403,558 9,827,707 1,541,451 1,713,818 817,436 28,303,970
Oregon 39,829,471 8,509,361 1,429,162 1,547,190 793,434 52,108,619
Pennsylvania 160,661,233 17,629,639 5,249,324 5,294,308 3,543,480 192,377,984
Puerto Rico 52,950,512 1,226,050 1,791,572 6,990,591 1,390,749 64,349,474
Rhode Island 17,922,122 512,123 566,911 492,067 303,302 19,796,525
South Carolina 16,117,501 9,625,026 1,770,069 1,973,447 1,130,635 30,616,678
South Dakota 2,688,866 4,277,960 405,186 329,640 173,676 7,875,328
Tennessee 31,607,849 12,278,186 2,465,049 2,814,741 1,547,929 50,713,754
Texas 212,828,027 29,417,889 7,341,337 13,095,027 5,884,975 268,567,254
Utah 31,123,282 4,176,204 735,982 938,490 447,018 37,420,977
Vermont 1,423,405 2,299,609 346,510 196,980 124,633 4,391,137
Virgin Islands 842,661 406,863 158,694 87,101 35,854 1,531,173
Virginia 59,491,923 10,839,984 2,599,542 2,691,215 1,871,053 77,493,718
Washington 105,979,847 8,318,576 2,211,542 2,613,574 1,638,596 120,762,135
West Virginia 5,701,734 5,870,001 987,018 1,116,308 556,512 14,231,573
Wisconsin 43,010,894 11,741,348 2,019,973 1,989,522 1,393,903 60,155,640
Wyoming 1,509,504 4,051,087 296,342 213,292 104,717 6,174,941
Subtotal 3,920,098,087 446,930,600 116,415,000 144,000,000 81,000,000 4,708,443,687
Oversight 27,046,313 2,020,000 585,000 29,651,313
Total 3,947,144,400 448,950,600 117,000,000 144,000,000 81,000,000 4,738,095,000
Tribal Transit Program 10,000,000 10,000,000
RTAP 8,080,000 8,080,000
Grand Total 3,947,144,400 467,030,600 117,000,000 144,000,000 81,000,000 4,756,175,000
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Limited Extensions of Discretionary Funds- There have been occasions when the Committee has extended the availability of capital investment funds for longer than the original 3-year availability. The Committee, however, has extended funding for many of these projects for more than 1 fiscal year, in an effort to give transit agencies and FTA the opportunity to spend these funds. The Committee strongly urges FTA to obligate the grants before the commencement of the fiscal year 2007 calendar, as the Committee will not look favorably upon any further requests for an extension of funds past 1 fiscal year. Three, even four, fiscal years is more than an adequate amount of time for project sponsors to obligate the discretionary grants, except in the most unusual of circumstances. Transit agencies are urged not to seek discretionary funding when the work cannot be completed in a 3-year time frame. In addition, by October 30, 2006, FTA should submit a report to the House and Senate Committees on Appropriations detailing which of these projects have not obligated the funds, including an explanation of why this could not be achieved.
The availability of these particular funds is extended for 1 additional year, absent further congressional direction. The Committee directs the FTA not to reallocate funds provided in fiscal year 2004 for the following bus and bus facilities projects:
Alaska--Sawmill Creek Intermodal Facility
Georgia--Macon Multimodal Station
Idaho--Transit Coalition for Buses and Bus Facilities
Iowa--UNI Multimodal Project
Indiana--Indianapolis Downtown Transit Facility
Massachusetts--Springfield Union Station Intermodal facility redevelopment
Mississippi--Intermodal Facility, JIA
New York--Nassau County, Hub Enhancements
Ohio--Central Ohio Transit Authority Facility
Pennyslvania-- Pittsburgh Water Taxi and
South Dakota--Cheyenne River Sioux Tribe Public Buses and Bus Facilities
Washington--Grant Transit Authority, Bus Facility.
The Committee directs FTA not to reallocate funds provided in fiscal year 2003 or previous acts for the following bus and bus facilities projects:
Georgia--Macon Intermodal Center
Indiana--Indianapolis Downtown Transit facility
Massachusetts--Springfield Union Station Intermodal facility
Massachusetts--Springfield Union Station Intermodal Redevelopment Project; and
Washington--Aurora Avenue Bus Rapid Transit.
Bus Rapid Transit Project Las Vegas Boulvard, Nevada.--Amounts made available in fiscal year 2003 for Bus Rapid Transit Project Las Vegas Boulvard., Nevada shall not be reallocated by FTA and shall be available to the Regional Transportation Commission of Southern Nevada for Buses and Bus Facilities, including Bus Rapid Transit projects, and shall remain available until expended.
Orange County Transportation Authority- Funds made available in fiscal year 2002 for Costa Mesa CNG facility shall be available to Orange County Transportation Authority.
Utah Intermodal Transportation Facilities- Funds made available in the fiscal year 2006 for the Westminster College Intermodal Transportation Expansion for small buses in Utah shall be made available for Utah Intermodal Transportation Facilities.
Pablo Bus Facility- Funds made available in fiscal year 2006 for Pablo Bus Facility and Pablo Buses shall be made available for Pablo Bus Facility.
Illinois Statewide Buses.--The Committee provides $6,000,000 to the Illinois Department of Transportation [IDOT] for section 5309 Bus and Bus Facilities grants. The Committee expects IDOT to provide at least $3,000,000 for Downstate Illinois replacement buses in Bloomington, Champaign-Urbana, Danville, Decatur, Peoria, Pekin, Quincy, River Valley, Rockford, Rock Island, Springfield, Madison County, Rides MTD, South Central MTD, and Macomb. Further, the Committee expects IDOT to provide appropriate funds for bus facilities in Bloomington, Galesburg, River Valley Metro in Kankakee, Macomb, Peoria, and Rock Island, including $500,000 for the Macomb maintenance facility and $500,000 for the Kankakee's River Valley Metro operations facility.
Springfield Union Station Intermodal Facility, Massachusetts- The Committee continues to be supportive of the construction of a new, affordable, intermodal facility in the city of Springfield, Massachusetts. However, the Committee notes that more than $12,700,000 of funds already appropriated for this project from as far back as 2002 remain unobligated. Still other funds provided for the project in authorization acts also remain unobligated. The Committee directs the government and transportation leaders in the region to immediately focus on the task of developing a feasible project plan that limits the Federal contribution for the project to the sums already provided so that these appropriated funds can be expended promptly. The Committee further directs the Administrator to work with the appropriate city and regional leadership toward this goal. The Administrator is requested to report back to the Committee regarding progress on this project not later than July 1, 2007.
West Virginia Statewide Bus and Bus Facilities- Consistent with the provisions of section 3044 of SAFETEA-LU, the bill includes a total of $5,000,000 for bus and bus facilities within the State of West Virginia for fiscal year 2007.
Hybrid Bus Cost Share- The Committee has not included a provision to allow FTA to provide grants for 100 percent of the net capital cost of a factory-installed or retrofitted hybrid electric system in a bus as proposed in the budget. The Committee has stressed the importance of hybrid technology buses in the past and remains committed to seeing hybrid technology proliferate throughout the Nation's transit systems. However, the Committee believes that waiving the required match would result in less hybrid buses being purchased by transit properties, not more. The Committee strongly believes that local share requirements are the best deal for taxpayers when it comes to stretching increasingly scarce Federal resources.
The Committee directs FTA to distribute funds made available to carry out the Bus and Bus Facilities program in this fiscal year as directed by SAFETEA-LU. Of the remaining funds provided for that program in this fiscal year as well as the $24,893,251 remaining in fiscal year 2006, the committee directs the funds as follows:
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Project name Committee recommendation
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Akron METRO RTA Radio Replacement, OH $750,000
Alabama Senior Transportation Program, AL 1,000,000
Altoona Intermodal/Parking Facility Renovation Project, Pennsylvania 1,000,000
AnchorRides Disabled Vehicle Maintenance Project, AK 100,000
Atlanta--MARTA Bus Acquisition Program, GA 1,750,000
Bay Area Transportation Authority Replacement Bus Purchase, Traverse City, MI 550,000
Ben Franklin Transit, Maintenance and Operations Facility, WA 750,000
Bi-County Transit Center in Langley Park, Maryland 1,000,000
Boston College Green Line MBTA, MA 1,000,000
Bridgeport Intermodal Transportation Center (CT) 5,000,000
Brockton Area Transit Authority Bus Replacement, MA 1,000,000
Broward County Alternative Fuel Buses, Florida 1,000,000
Bucks County Intermodal Facility 2,000,000
Bus and Bus Facilities, City of Roswell, New Mexico 400,000
Bus and Bus Facilities, Grant County, New Mexico 1,500,000
Calaveras County--Calaveras Regional Intermodal Transportation Center, CA 500,000
Camden County Intermodal Facility, New Jersey 1,000,000
Capital Metro--Bus and Bus Facilities, TX 4,800,000
CCTA Buses, Facilities and Equipment [VT] 4,000,000
Cedar Avenue Bus Rapid Transit, Phase 1, Dakota County, Minnesota 3,700,000
Central Corridor Transitway, MN 1,350,000
Central Florida Regional Transportation Authority (LYNX) Bus Procurement, Florida 3,250,000
Church Street Transportation Center 1,600,000
City of Billings--City of Billings' MET Transit Authority Improvements 500,000
City of Mobile Waterfront Project, AL 1,000,000
City of St. Joseph, Missouri, Bus and Bus facilities 84,000
City Utilities of Springfield Intermodel Transfer Facility, MO 2,000,000
City of San Luis Obisbo--Replacement Buses, CA 500,000
City of Lynwood--Lynwood Intermodal Transit Facility, CA 500,000
City of Hercules--Hercules Intermodal Terminal, CA 500,000
City of Pasadena--Bus Priority System, CA 500,000
City of Visalia--Visalia Buses and Bus Facilities, CA 500,000
City of Oakland--Transit Improvements at BART Stations, CA 500,000
City of Fresno--FAX Buses, CA 500,000
Clallam Transit Vehicle Replacement, WA 500,000
Clallam Transit, International Gateway Project, WA 1,000,000
Coast Transit Authority, MS 5,000,000
Colorado Transit Coalition--Colorado 5,000,000
Columbia County Public Transportation Vehicle Replacement, WA 120,000
Community Transit, Bus Rapid Transit Vehicle Acquisition, WA 1,000,000
Diesel Paratransit Vans, Las Cruces, NM 140,000
Downtown Transit Center, Indianapolis, IN 1,000,000
Dubuque Downtown Transportation Center Intermodal Transit Facility Study, Iowa 100,000
Ed Roberts Campus, CA 500,000
Erie Metropolitan Transit Authority Operations Facility, Pennsylvania 1,750,000
Everett Transit Vehicle Replacement, WA 600,000
FAST Traffic Management, Southern Nevada, NV 1,017,000
Four County Elder Advocates Senior Transportation Initiative, Joplin, Missouri 150,000
Garfield County Public Transportation Vehicle Replacement, WA 70,000
Georgia Regional Transportation Authority Express Buses 2,000,000
Grant Transit Vehicle Replacement, WA 480,000
Grays Harbor Transit Vehicle Replacement, WA 1,000,000
Great Falls Transit District--Bus and Bus Facilities 3,480,000
Greater Ouachita Port Intermodal Facility, Louisiana 3,500,000
Greater Richmond Transit Company Bus Facility, Virginia 1,500,000
Hampton Roads Transit--Southside Bus Facility Replacement, Virginia 1,500,000
Hawaii Rural Bus Program 3,000,000
Idaho Transit Coalition Capital Investment 3,750,000
Indiana University Campus Bus Service Park and Ride, Bloomington, IN 1,500,000
Intermodal Facilities, Utah 2,500,000
Island Transit Vehicle Replacement, WA 435,000
JATRAN Fleet Replacement, MS 1,000,000
Jefferson State Hoover Intermodal Facility, AL 1,250,000
Jefferson Transit Vehicle Replacement, WA 480,000
Kansas City Area Transportation Authority Bus Replacement, MO 5,420,000
Kansas Statewide Bus and Bus Facilities, Kansas 1,000,000
King County Metro, Bus Radio Replacement Program, WA 750,000
LACMTA Bus Facility Upgrade, CA 1,000,000
Lakewood Township Multi Modal Facility Phase I, New Jersey 1,500,000
Livermore Amador Valley Transit Authority--Satellite Maintenance and Operations Facility, CA 500,000
Long Beach Transit--Clean Fuel Buses, CA 500,000
Louisiana Statewide Bus and Bus Facilities 3,000,000
Lubbock Citibus Low Floor Buses, Paratransit Vans, Facilities, and Equipment 1,800,000
Mason Transit Vehicle Replacement, WA 300,000
Memphis Airport Intermodal Facility, Tennessee 2,750,000
Mesa, AZ Main Street Bus Rapid Transit 2,500,000
Metro Atlanta--MARTA Automated Smart Card Fare Collection System, GA 750,975
MetroLINK Facility, Illinois 1,000,000
Michigan's 1st congressional District Bus and Facility Capital Needs, MI 2,000,000
Montpelier, VT Transit Facilities [VT] 1,000,000
Nevada Statewide Bus and Bus Facilities 3,000,000
Newark Penn Station Intermodal Improvements, New Jersey 2,000,000
North Dakota Statewide Transit, North Dakota 2,000,000
Norwalk Pulse Point Facility Safety Improvements (CT) 199,650
Norwich Intermodal Transportation Center, CT 2,000,000
Operations and Maintenance Facility, Memphis, Tennessee 3,500,000
Oxford Public Transit, MS 450,000
Pacific Transit Vehicle Replacement, WA 210,000
Paducah Area Transit System in Paducah, Kentucky 2,000,000
Pierce Transit, Peninsula Park and Ride, WA 1,000,000
Potomac & Rappahannock Transportation Commission (PRTC) Bus and Bus Facilities 2,250,000
Prospect & E. 21st Street intermodal Transportation Center, OH 2,750,000
Pullman Transit Vehicle Replacement, WA 1,000,000
Replacement Buses and Bus and Facility Related Equipment--Nebraska 2,000,000
Replacement of buses for the Transit Authority of Northern Kentucky 1,000,000
Richmond Highway Public Transportation Initiative, Virginia 3,000,000
Rio Arriba County Vehicles, Shelters, Building and Compound for Fleet, New Mexico 300,000
Sacramento Regional Transit District Bus and Bus Facility/Sacramento Region Paratransit Vehicles, CA 1,000,000
San Antonio Bus Facility Improvements and Bus Fleet Modernization, TX 2,250,000
San Joaquin County Bus Facility, CA 1,000,000
San Diego Association of Governments--Regional Bus Replacement Vehicles, CA 500,000
Santa Clara Valley Transportation Authority--Paratransit Vehicles, CA 500,000
Santa Fe Transit Center, Replacement Buses and Park and Ride Lots, NM 1,500,000
Section 5309 fiscal year 2007 Bus Discretionary Proposal, OH 6,000,000
Senior Transportation Connection of Cuyahoga County, OH 750,000
SEPTA R-5 Intermodal Center, Pennsylvania 1,000,000
Shenango Valley Shuttle Service, Pennsylvania 600,000
Silver Spring Metrorail Station, South Gate Entrance Opening, Maryland 500,000
Skagway Intermodal facility, AK 900,000
SMTS-Bus, Facilities and Capital Maintenance, MO 1,660,800
Southeastern Connecticut Bus Rapid Transit System (CT) 1,000,000
Southern University Bus Enhancements 250,000
St. Bernard Port Intermodal Facility, Louisiana 1,000,000
State of Arkansas--Bus and Bus Facilities for Urban, Rural, and Elderly and Disabled Agencies, Arkan- sas 4,000,000
Statewide Bus & Bus Facilities Improvements, Utah 3,750,000
Statewide bus and bus facilities, Illinois 6,000,000
Statewide Bus and Bus Facilities, Missouri 2,000,000
Statewide Bus and Bus Facilities, New Mexico 1,500,000
Statewide Bus and Bus Facilities, Tennessee 5,250,000
Statewide Bus and Bus Facilities, WI 5,000,000
Statewide Bus Replacement, Iowa 5,000,000
Statewide Electric Hybrid Bus Initiative by the Indiana Transit Association, IN 4,192,273
Statewide O.A.T.S. bus and bus facilities, MO 1,000,000
Telegraph Avenue-International Boulevard-East 14th Street Bus Rapid Transit Corridor Improvements, CA 2,000,000
Transit Maintenance and Operations Facility, City of Las Cruces, NM 1,500,000
Treasure Valley, Idaho Transit Facilities 480,000
Tucson SunTran bus replacement, AZ 2,000,000
Twin Transit Vehicle Acquisition, WA 175,000
UNI Multimodal Project, Cedar Falls, Iowa 2,425,000
University of Delaware's Automotive Based Fuel Cell Hybrid Bus Program 1,000,000
University Place Intermodal Transit Facility, Pierce County, WA 750,000
Uptown Crossings Joint Development Transit Project, Cincinnati, OH 2,000,000
Valley Transit Vehicle Replacment, WA 230,000
Wahiawa Transit Center 1,000,000
Wyandotte County Unified Government Transit Bus replacement and facilities enhancements, Kansas 1,000,000
Yolo County--Yolobus facility expansion, CA 500,000
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The Committee directs FTA to distribute funds made available to carry out the Alternatives Analysis Program in this fiscal year as directed by SAFETEA-LU. Of the remaining funds provided for that program in this fiscal year as well as the $6,100,000 remaining in fiscal year 2006, the Committee directs the funds as follows:
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Project name Committee recommendation
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Pawtucket/Central Falls Commuter Rail Project, RI $1,220,000
Middletown to Newark Commuter Rail Connection Project, DE 1,220,000
Commuter Rail, Albuquerque to Santa Fe, New Mexico 1,000,000
Commuter Rail--Eastern Jackson County, Missouri 1,000,000
Jacksonville Transportation Authority, Rapid Transit System Development, Florida 530,000
Northwest New Jersey--Northeast Pennsylvania Passenger Rail Project 830,000
SR-304/I-269 HOV Bus Rapid Transit, MS 300,000
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RESEARCH AND UNIVERSITY RESEARCH CENTERS
--------------------------------------
General fund
--------------------------------------
Appropriations, 2006 $75,200,000
Budget estimate, 2007 61,000,000
House allowance 65,000,000
Committee recommendation 61,000,000
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PROGRAM DESCRIPTION
This appropriation provides financial assistance to support activities that are designed to develop solutions that improve public transportation. As the Federal agency responsible for transit, FTA assumes a leadership role in supporting research intended to identify different strategies to increase ridership, improve personal mobility, minimize automobile fuel consumption and air pollution, and enhance the quality of life in all communities.
FTA may make grants, contracts, cooperative agreements, or other agreements for research, development, demonstration, and deployment projects, and evaluation of technology of national significance to public transportation. FTA provides transit agencies with research results to help make them better equipped to improve public transportation services and to help public transportation services meet national transportation needs at a minimum cost. FTA assists transit agencies to employ new service methods and technologies that improve their operations and capital efficiencies or improve transit safety and emergency preparedness.
The purpose of the university transportation centers [UTC] program is to foster a national resource and focal point for the support and conduct of research and training concerning the transportation of passengers and property. Funds provided under the FTA's UTC program are transferred to and managed by the Research and Innovation Technology Administration and combined with a transfer of funds from the Federal Highway Administration. The transit university transportation research program funds are statutorily available to designated universities in SAFETEA-LU.
COMMITTEE RECOMMENDATION
The Committee recommends $61,000,000 to continue the university transportation research program. The Committee recommendation is $14,200,000 less than the fiscal year 2006 enacted level.
The Committee recommends funds for the following:
--East Tennessee Hydrogen Initiative, Tennessee, $2,400,000;
--Staten Island North/West Shore Rail Plan Study, New York, $600,000; and
--WVU Exhaust Emission Testing Initiative, West Virginia, $1,000,000.
CAPITAL INVESTMENT GRANTS
| Appropriations, 2006 | $1,440,682,000 |
| Budget estimate, 2007 | 1,466,000,000 |
| House allowance | 1,566,000,000 |
| Committee recommendation | 1,466,000,000 |
PROGRAM DESCRIPTION
Section 5309 of 49 U.S.C. authorizes discretionary grants or loans to States and local public bodies and agencies thereof to be used in financing mass transportation investments. Investments may include construction of new fixed guideway systems and extensions to existing guideway systems; major bus fleet expansions and bus facility construction; and fixed guideway expenditures for existing systems. Under SAFETEA-LU, funding for major bus fleet expansion and bus facility construction and fixed guideway expenditures for existing systems has been incorporated under Formula and Bus Grants and is provided as contract authority supported by funds derived from the Mass Transit Account of the Highway Trust Fund.
COMMITTEE RECOMMENDATION
The Committee action recommends a level of $1,466,000,000. The recommended level is $25,318,000 above the fiscal year 2006 enacted level and the same as the budget request. A total of $14,660,000 is set aside for oversight activities.
The Committee recommends the following allocations of new starts funds in fiscal year 2007:
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Project name Committee recommendation
----------------------------------------------------------------------------------------------------------
Alaska and Hawaii ferry projects, Alaska $15,000,000
Central Link Initial Segment, Washington 80,000,000
Central LRT Double-Track, Maryland 482,822
Central Phoenix/East Valley Light Rail, Arizona 90,000,000
Charlotte (NC) Charlotte Rapid Transit Expansion Project, North Carolina 6,000,000
Charlotte (NC) South Corridor Light Rail Project, North Carolina 70,744,065
Commuter Rail, Salt Lake County to Weber County, Utah 80,000,000
CORRIDORone Regional Commuter Rail 2,500,000
CTA Douglas Blue Line, Chicago, Illinois 1,573,675
CTA Ravenswood Brown Line, Chicago, Illinois 40,000,000
Dallas Area Rapid Transit Northwest/Southeast Light Rail MOS, Texas 80,000,000
Denali Commission, Alaska 5,000,000
Dulles Corridor Rail Project, Virginia 25,000,000
Euclid Corridor Transportation Project, Ohio 693,013
Galveston Rail Trolley Extension to Boulevard, Texas 2,000,000
Honolulu High-Capacity Transit Corridor Project, Hawaii 4,000,000
Houston METRO--Advanced Transit Program/METRO Solutions Phase 2, Texas 15,000,000
Hudson-Bergen Light Rail MOS2, New Jersey 100,000,000
Interstate MAX LRT Extension, Oregon 542,940
Long Island Rail Road East Side Access, New York 300,000,000
Los Angeles Metro Gold Line Eastside Extension, California 100,000,000
MARC Commuter Rail Improvements, Maryland 4,000,000
Miami-Dade County Metrorail Orange Line Expansion, Florida 2,000,000
Mid-Jordan Light Rail Transit Line, Utah 4,500,000
Mission Valley East LRT Extension, California 806,654
NJ Trans-Hudson Midtown Corridor, New Jersey 4,400,000
Norfolk Light Rail Project Final Design and Construction, Virginia 1,500,000
North Shore LRT Connector, Pennsylvania 55,000,000
Northeast Corridor Commuter Rail Project between Wilmington and Newark, Delaware 1,000,000
Northstar Corridor Rail Project, Minnesota 1,000,000
Oceanside-Escondido Rail Corridor, California 684,040
Perris Valley Line Metrolink Extension, California 3,000,000
Post Road Commuter Rail Facility, Connecticut 2,000,000
San Francisco BART Extension to San Francisco International Airport, California 2,424,694
Schuylkill Valley MetroRail, Pennsylvania 1,000,000
South Corridor I-205/Portland Mall Light Rail, Oregon 80,000,000
South County Commuter Rail Project--Wickford Junction Station, Rhode Island 7,000,000
Southeast Corridor Multi-Modal Project (T-REX) Colorado 80,000,000
Tren Urbano, Puerto Rico 2,670,518
Union-Pacific West Line Extension, Illinois 1,255,978
University Link LRT Extension, Seattle, Washington 15,000,000
West Corridor LRT, Colorado 35,000,000
Wilsonville to Beaverton Commuter Rail Project, Oregon 27,600,000
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New Jersey Trans-Hudson Midtown Corridor Project- The Committee has fully funded the project allocations articulated in section 3037 of SAFETEA-LU including the funding authorized for the New Jersey Trans-Hudson Midtown Corridor project. Over and above these amounts, the Committee has provided discretionary funding from the Capital Investment Grants program for this project. The combination of these two appropriations will yield a total of $8,400,000 for this project for fiscal year 2007.
Seattle Light Rail Initial Segment and Extensions- Consistent with the existing full funding grant agreement, the bill includes $80,000,000 for the initial segment of the Seattle Link light rail system. The bill also includes $15,000,000 for the University Link extension that will shortly be entering the final design phase. It has always been the goal of regional transportation planners and the locally elected leadership that the initial segment of this light rail system should directly connect Seattle city center with SeaTac International Airport. However, due to rapid changes in security and infrastructure planning at the airport after the September 11 terrorist attacks, the Full Funding Grant Agreement [FFGA] for the initial segment could not include a direct connection into the airport. In order to rectify this situation and help provide for a seamless transit link directly to the airport, the bill includes a general provision (section 145) intended to allow any Federal funds that may not be necessary due to budget `under runs' in the performance of the initial segment project to be used to assist in the construction of the airport link. This provision will, in effect, allow Sound Transit to benefit from its careful management of the initial segment project, allowing the agency to capture the Federal portion of any cost savings and use those savings to close a critically important gap in transit service in the region.
Limited Extensions of Discretionary Funds- There have been occasions when the Committee has extended the availability of capital investment funds. These extensions are granted on a case by case basis and, in nearly all instances, are due to circumstances that were unforeseen by the project's sponsor. The availability of these particular funds is intended for one additional year, absent further congressional direction. The Committee directs the FTA not to reallocate funds provided in fiscal year 2004 for the following new starts projects:
Connecticut--Stamford, Connecticut, Urban Transitway and Intermodal Transportation Center Improvements.
Delaware--Wilmington, Delaware, Train Station Improvements
District of Columbia/Virginia--Dulles Corridor Rapid Transit Project
Pennsylvania--Schuylkill Valley Metro; and
Wisconsin--Kenosha-Racine-Milwaukee Rail Extension Project.
The Committee directs FTA not to reallocate funds provided in fiscal year 2003 or previous acts for the following new starts projects:
Connecticut--Bridgeport Connecticut, Intermodal Transportation Center Project
District of Columbia/Virginia--Dulles Corridor Rapid Transit Project
Delaware--Wilmington, Delaware, Train Station Improvements
Delaware--Wilmington, Delaware, Downtown Transit Corridor Project; and
Wisconsin--Kenosha-Racine-Milwaukee Rail Extension Project.
Appropriations for Full Funding Grant Agreements.--The Committee reiterates direction initially agreed to in the fiscal year 2002 conference report that FTA should not sign any FFGAs that have a maximum Federal share of higher than 60 percent.
ADMINISTRATIVE PROVISIONS--FEDERAL TRANSIT ADMINISTRATION
Section 160 exempts limitations previously made available on obligations for programs of the FTA under 49 U.S.C. 5338.
Section 161 allows funds under this act, Federal Transit Administration, Capital investment grants not obligated by September 30, 2008 to be made available for other projects under 40 U.S.C. 5309.
Section 162 allows funds appropriated before October 1, 2005, that remain available for expenditure to be transferred.
Section 163 allows unobligated funds for new projects under Federal Transit Authority to be used during this fiscal year to satisfy expenses incurred for such projects.
Section 164 allows funds appropriated in prior years to the City of Albuquerque, New Mexico, to be available for bus and bus facilities.
Section 165 amends the Central Link Initial Segment Project, as previously stated in the report.
Section 166 extends the availability of funds provided for the Las Vegas Resort Corridor Fixed Guideway Project and makes those funds available to the Regional Transportation Commission of Southern Nevada for any bus or bus facilities project eligible under section 5307 or 5309 of title 49, United States Code.
Section 167 modifies the eligibility of funds provided in fiscal year 2006 for the Miami Streetcar project.
Section 168 allows funds for the Alaska Hawaii Ferry set-aside grant program to be used for the Hawaii Port Infrastructure Expansion Program.
Section 169 allows funds under Capital Investments Grants to be used for activities under 49 U.S.C. 5339.
SAINT LAWRENCE SEAWAY DEVELOPMENT CORPORATION
PROGRAM DESCRIPTION
The Saint Lawrence Seaway Development Corporation [SLSDC] is a wholly owned Government corporation established by the Saint Lawrence Seaway Act of May 13, 1954 (33 U.S.C. 981). The SLSDC is a vital transportation corridor for the international movement of bulk commodities such as steel, iron, grain, and coal, serving the North American region that makes up one-quarter of the United States population and nearly one-half of the Canadian population. The SLSDC is responsible for the operation, maintenance, and development of the United States portion of the Saint Lawrence Seaway between Montreal and Lake Erie.
OPERATIONS AND MAINTENANCE
(HARBOR MAINTENANCE TRUST FUND)
| Appropriations, 2006 | $16,121,000 |
| Budget estimate, 2007 | 8,000,000 |
| House allowance | 17,425,000 |
| Committee recommendation | 17,425,000 |
PROGRAM DESCRIPTION
The Harbor Maintenance Trust Fund [HMTF] was established by the Water Resources Development Act of 1986 (Public Law 99-662). Since 1987, the HMTF has supported the operations and maintenance of commercial harbor projects maintained by the Federal Government. Appropriations from the Harbor Maintenance Trust Fund and revenues from non-Federal sources finance the operation and maintenance of the Seaway for which the SLSDC is responsible.
COMMITTEE RECOMMENDATION
The Committee recommendation includes $17,425,000 to fund the operations and maintenance of the SLSDC. This amount is $9,425,000 above the President's request and is $1,304,000 above the fiscal year 2006 enacted level. The Committee rejects the request to establish commercial tolls. The recommended level is sufficient to fund all base requirements, including concrete replacement at the two United States Seaway locks.
MARITIME ADMINISTRATION
PROGRAM DESCRIPTION
The Maritime Administration [MARAD] is responsible for programs authorized by the Merchant Marine Act, 1936, as amended (46 App. U.S.C. 1101 et seq.). MARAD is also responsible for programs that strengthen the U.S. maritime industry in support of the Nation's security and economic needs. MARAD prioritizes DOD's use of ports and intermodal facilities during DOD mobilizations to guarantee the smooth flow of military cargo through commercial ports. MARAD manages the Maritime Security Program, the Voluntary Intermodal Sealift Agreement Program and the Ready Reserve Force, which assure DOD access to commercial and strategic sealift and associated intermodal capacity. MARAD also continues to address the disposal of obsolete ships in the National Defense Reserve Fleet which are deemed a potential environmental risk. Further, MARAD administers education and training programs through the U.S. Merchant Marine Academy and six State maritime schools that assist in providing skilled merchant marine officers who are capable of serving defense and commercial transportation needs. The Committee continues to fund MARAD in its support of the United States as a maritime Nation.
MARITIME SECURITY PROGRAM
| Appropriations, 2006 | $154,440,000 |
| Budget estimate, 2007 | 154,440,000 |
| House allowance | 154,440,000 |
| Committee recommendation | 154,440,000 |
PROGRAM DESCRIPTION
The Maritime Security Program provides resources to maintain a U.S. flag merchant fleet crewed by U.S. citizens to serve both the commercial and national security needs of the United States. The program provides direct payments to U.S. flag ship operators engaged in U.S. foreign trade. Participating operators are required to keep the vessels in active commercial service and are required to provide intermodal sealift support to the Department of Defense in times of war or national emergency.
COMMITTEE RECOMMENDATION
The Committee recommends $154,440,000 for the Maritime Security Program, consistent with the budget request.
OPERATIONS AND TRAINING
| Appropriations, 2006 | $128,527,000 |
| Budget estimate, 2007 | 115,830,000 |
| House allowance | 116,442,000 |
| Committee recommendation | 115,830,000 |
PROGRAM DESCRIPTION
The Operations and Training appropriation primarily funds the salaries and expenses for MARAD headquarters and regional staff in the administration and direction for all MARAD programs. The account includes funding for the U.S. Merchant Marine Academy, six State maritime schools, port and intermodal development, cargo preference, international trade relations, deep-water port licensing, and administrative support costs.
COMMITTEE RECOMMENDATION
The Committee recommends $115,830,000 for Operations and Training for fiscal year 2007. The recommendation is consistent with the President's budget request and $12,697,000 below the fiscal year 2006 enacted level. The Committee has included $14,850,000 for the U.S. Merchant Marine Academy to continue with the major design and construction projects as identified in the 10-year capital improvement plan.
Funds appropriated for Operations and Training are sufficient to maintain the operating costs incurred by headquarters and regional staffs in administering and directing the Maritime Administration programs. The Committee recommendation includes the necessary resources to cover the costs of officer training at the U.S. Merchant Marine Academy; provide Federal financial support to the six State maritime academies; support coordination efforts for U.S. maritime industry activities under emergency conditions; and to promote port and intermodal development activities.
Funds provided for this account are to be distributed as follows: $61,747,000 for the U.S. Merchant Marine Academy, $9,900,000 for the State Maritime schools, and $44,185,000 for MARAD operations, for a total of $115,830,000.
SHIP DISPOSAL
| Appropriations, 2006 | $20,790,000 |
| Budget estimate, 2007 | 25,740,000 |
| House allowance | 25,740,000 |
| Committee recommendation | 25,740,000 |
PROGRAM DESCRIPTION
The Ship Disposal account provides resources to dispose of obsolete merchant-type vessels of 150,000 gross tons or more in the National Defense Reserve Fleet [NDRF] which the Maritime Administration is required by law to dispose of by the end of 2006. Currently there is a backlog of more than 115 ships awaiting disposal. Many of these vessels are some 50 years old or more and pose a significant environmental threat due to the presence of hazardous substances such as asbestos and solid and liquid polychlorinated biphenyls [PCBs].
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $25,740,000 for ship disposal. This amount is the same as the budget request and $4,950,000 above the fiscal year 2006 enacted level.
The Committee is pleased that the Maritime Administration expects to have completed the removal of all high priority ships and many moderate priority ships from its fleet sites by the end of fiscal year 2006. The Committee directs the Maritime Administration to notify the House and Senate Committee on Appropriations of any changes to this projection and the reasons for such changes. The Committee is concerned about the unexpected rising costs associated with the decommissioning of the nuclear ship Savannah and the uncertainty of costs needed to fund this project in future years. The Committee expects the Maritime Administration to update these cost projections in its fiscal year 2008 budget submission.
MARITIME GUARANTEED LOAN PROGRAM
(INCLUDING TRANSFER OF FUNDS)
| Appropriations, 2006 | $4,085,000 |
| Budget estimate, 2007 | 3,317,000 |
| House allowance | 3,317,000 |
| Committee recommendation | 3,317,000 |
PROGRAM DESCRIPTION
The Maritime Guaranteed Loan Program, commonly referred to as, `Title XI,' provides for a Federal Government guarantee of private-sector debt for ship construction and shipyard modernization. This program fosters and sustains a U.S. shipbuilding and repair industry which helps ensure that the United States remains a maritime Nation.
As required by the Federal Credit Reform Act of 1990 (Public Law 101-508), this account includes the subsidy costs associated with the loan guarantee commitments made in 1992 and beyond (including modifications of direct loans or loan guarantees that resulted from obligations or commitments in any year), as well as the administrative expenses of this program. The subsidy amounts are estimated on a present value basis and administrative expenses are estimated on a cash basis.
Funds for administrative expenses for the Title XI program are appropriated to this account, and then transferred by reimbursement to Operations and Training to be obligated and outlayed.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $3,317,000 for the Title XI, Maritime Guaranteed Loan Program. This amount is consistent with the administration's 2007 budget request.
NATIONAL DEFENSE TANK VESSEL CONSTRUCTION PROGRAM
(RESCISSION)
| Appropriations, 2006 | ........................... |
| Budget estimate, 2007 | -$74,000,000 |
| House allowance | -74,400,000 |
| Committee recommendation | -74,400,000 |
PROGRAM DESCRIPTION
The fiscal year 2004 Defense Authorization Act (Public Law 108-136) authorized the National Defense Tank Vessel Construction Program to provide financial assistance for the construction of five privately owned product tank vessels to be available for national defense purposes in time of war or national emergency.
COMMITTEE RECOMMENDATION
The Committee recommends rescinding funding for the National Defense Tank Vessel Construction Program but does not repeal sections 3541-46 of the Maritime Security Act of 2003.
ASSISTANCE TO SMALL SHIPYARDS
| Appropriations, 2006 | ........................... |
| Budget estimate, 2007 | ........................... |
| House allowance | ........................... |
| Committee recommendation | $15,000,000 |
PROGRAM DESCRIPTION
As authorized by section 3506 of the National Defense Authorization Act for Fiscal Year 2006, the Assistance to Small Shipyards program provides assistance in the form of grants, loans and loan guarantees to small shipyards for capital improvements.
COMMITTEE RECOMMENDATION
The Committee recommendation includes $15,000,000 for capital and related infrastructure improvements at qualified shipyards to enhance U.S. shipyards' ability to jointly compete for commercial and international ship construction. The Committee believes that this program will improve the overall international competitiveness of the domestic shipbuilding industry.
MARITIME GUARANTEED LOAN (TITLE XI) PROGRAM
| Appropriations, 2006 | ........................... |
| Budget estimate, 2007 | ........................... |
| House allowance | ........................... |
| Committee recommendation | $30,000,000 |
PROGRAM DESCRIPTION
The Program, established pursuant to title XI of the Merchant Marine Act, 1936, as amended, provides for a full faith and credit guarantee by the U.S. Government of debt obligations issued by (1) U.S. or foreign shipowners for the purpose of financing or refinancing either U.S. flag vessels or eligible export vessels constructed, reconstructed or reconditioned in U.S. shipyards and (2) U.S. shipyards for the purpose of financing advanced shipbuilding technology and modern shipbuilding technology (Technology) of a privately owned general shipyard facility located in the United States. The Program is administered by the Secretary of Transportation acting by and through the Maritime Administrator. Under the Federal Credit Reform Act of 1990, appropriations to cover the estimated costs of a project must be obtained prior to the issuance of any approvals for title XI financing.
COMMITTEE RECOMMENDATION
The Committee has provided $30,000,000 for the Maritime Guaranteed Loan Title XI program. Of the amount provided, $20,000,000 is available for obligation upon enactment of this act. To ensure appropriate oversight and financial controls, the Committee has mandated that of the funds provided, $10,000,000 cannot be expended until the Department of Transportation's Inspector General has certified to the House and Senate Committee on Appropriations that the Maritime Administration is in compliance with the recommendations contained in the Inspector General's audit reports on the title XI progam.
ADMINISTRATIVE PROVISIONS--MARITIME ADMINISTRATION
Section 170 authorizes the Maritime Administration to furnish utilities and services and make repairs to any lease, contract, or occupancy involving government property under the control of MARAD. Rental payments received pursuant to this provision shall be credited to the Treasury as miscellaneous receipts.
Section 171 prohibits obligations incurred during the current year from construction funds in excess of the appropriations and limitations contained in this act or in any prior appropriation act.
PIPELINE AND HAZARDOUS MATERIALS SAFETY ADMINISTRATION
The Pipeline and Hazardous Material Safety Administration [PHMSA] was established in the Department of Transportation on November 30, 2004, pursuant to the Norman Y. Mineta Research and Special Programs Improvement Act (Public Law 108-246). The PHMSA is responsible for the Department's pipeline safety program as well as oversight of hazardous materials transportation safety operations. The administration also is dedicated to safety, including the elimination of transportation-related deaths and injuries associated with hazardous materials and pipeline transportation, and by promoting transportation solutions that enhance communities and protect the environment.
ADMINISTRATIVE EXPENSES
| Appropriations, 2006 | $16,708,230 |
| Budget estimate, 2007 | 17,721,000 |
| House allowance | 17,721,000 |
| Committee recommendation | 17,721,000 |
PROGRAM DESCRIPTION
This account funds program support costs for the PHMSA, including policy development, civil rights, management, administration and agency-wide expenses.
COMMITTEE RECOMMENDATION
The Committee recommends $17,721,000 for this account, of which $639,000 is transferred from the Pipeline Safety Fund. This funding is the same as the budget request and $1,012,770 more than the fiscal year 2006 level. The Committee expects PHMSA to use these funds as reflected in its budget justification.
HAZARDOUS MATERIALS SAFTEY
| Appropriations, 2006 | $25,876,620 |
| Budget estimate, 2007 | 27,225,000 |
| House allowance | 27,225,000 |
| Committee recommendation | 27,225,000 |
PROGRAM DESCRIPTION
The PHMSA oversees the safety of more than 800,000 daily shipments of hazardous materials in the United States. PHMSA uses risk management principles and security threat assessments to fully assess and reduce the risks inherent in hazardous materials transportation.
COMMITTEE RECOMMENDATION
The Committee recommends $27,225,000 for hazardous materials safety, of which $2,111,000 shall remain available until September 30, 2009. These funds are the same as the budget request and $1,348,380 more than the fiscal year 2006 funding level.
PIPELINE SAFETY
(PIPELINE SAFETY FUND)
(OIL SPILL LIABILITY TRUST FUND)
| Appropriations, 2006 | $72,279,000 |
| Budget estimate, 2007 | 75,735,000 |
| House allowance | 75,735,000 |
| Committee recommendation | 75,735,000 |
PROGRAM DESCRIPTION
The Office of Pipeline Safety [OPS] is designed to promote the safe, reliable, and reliable sound transportation of natural gas and hazardous liquids by pipelines.
COMMITTEE RECOMMENDATION
The Committee recommendation provides $75,735,000, of which $18,810,000 will be derived from the Oil Spill Liability Trust Fund and of which $56,925,000 shall be derived from the Pipeline Safety Fund.
The Committee remains concerned with the significant increase included in the budget estimate for funds from the oilspill liability trust fund. The Oil Pollution Act of 1990 requires that these trust funds be used exclusively for oilspill prevention and response activities, and the Committee strongly encourages the OPS to allocate oversight activities between the hazardous liquid and gas pipelines and to factor the oilspill liability trust fund into the allocation formula that determines the hazardous liquid pipeline user fee assessment to accurately reflect the amount and type of oversight activities being conducted by the office consistent with the trust fund.
EMERGENCY PREPAREDNESS GRANTS
(EMERGENCY PREPAREDNESS FUND)
| Appropriations, 2006 | $14,355,000 |
| Budget estimate, 2007 | 28,526,000 |
| House allowance | 28,526,000 |
| Committee recommendation | 28,526,000 |
PROGRAM DESCRIPTION
The Hazardness Materials Transportation Uniform Safety Act of 1990 [HMTUSA] requires PHMSA 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.
COMMITTEE RECOMMENDATION
The Committee recommends $28,526,000 for this activity, of which $198,000 shall be for activities related to emergency response training curriculum development and updates, as authorized by section 117(A)(i)(3)(B) of HMTUSA. The Committee includes an obligation limitation of $28,328,000 for the emergency preparedness grant program.
RESEARCH AND INNOVATIVE TECHNOLOGY ADMINISTRATION
RESEARCH AND DEVELOPMENT
| Appropriations, 2006 | $5,716,260 |
| Budget estimate, 2007 | 8,217,000 |
| House allowance | 6,367,000 |
| Committee recommendation | 8,217,000 |
PROGRAM DESCRIPTION
The Research and Innovative Technology Administration [RITA] was established in the Department of Transportation, effective November 24, 2004, pursuant to the Norman Y. Mineta Research and Special Programs Improvement Act (Public Law 108-246). The mission of RITA is to focus the Department's multi-modal and intermodal research efforts, while coordinating the multifaceted research agenda of the Department.
RITA includes the University Transportation Centers, the Volpe National Transportation Center and the Bureau of Transportation Statistics [BTS], which is funded by an allocation from the Federal Highway Administration's Federal-aid highway account.
COMMITTEE RECOMMENDATION
The Committee recommends $8,217,000 to continue research and development activities in fiscal year 2007, of which $3,000,000 shall remain available until September 30, 2009. This funding level is sufficient to fund 33 full-time equivalent [FTE] staff, an increase of 5 FTEs over the fiscal year 2006 level.
Transportation Futures Program- The Committee recommends the budget request of $2,228,000 for the transportation futures and applied technology program.
Research programs- Within the fiscal year 2007 recommended funding level, the Committee provides $1,120,000 for RITA's research, development and technology [RD&T] programs as follows:
| Hazardous materials research and development [R&D] | $80,000 |
| Hydrogen fuels safety [R&D] | 500,000 |
| RD&T coordination | 540,000 |
The Committee recommends that the $1,120,000 provided for these RD&T programs is available until September 30, 2009.
The bill also includes language that allows funds received from States, counties, municipalities, other public authorities, and private sources for expenses incurred for training to be credited to this appropriation.
BUREAU OF TRANSPORTATION STATISTICS
(LIMITATION ON OBLIGATIONS)
| Limitation on obligations, 2006 | ($26,730,000) |
| Budget estimate, 2007 | (27,000,000) |
| House allowance | (27,000,000) |
| Committee recommendation | (27,000,000) |
PROGRAM DESCRIPTION
The Bureau of Transportation Statistics [BTS] is funded by an allocation from the limitation on obligations for Federal-aid highways. The bureau compiles, analyzes, and makes accessible information on the Nation's transportation systems; collects information on intermodal transportation and other areas as needed; and enhances the quality and effectiveness of the statistical programs of the Department of Transportation through research, the development of guidelines, and the promotion of improvements in data acquisition and use.
COMMITTEE RECOMMENDATION
Under the appropriation of the Federal Highway Administration, the bill provides $27,000,000 for BTS. In addition, BTS will receive a portion of the revenue aligned budget authority [RABA] increase to the Federal-aid highway program in fiscal year 2007.
The Committee limits BTS staff to 122 FTEs in fiscal year 2007 in order to curtail the significant growth in staffing that occurred previously within this agency.
OFFICE OF INSPECTOR GENERAL
SALARIES AND EXPENSES
| Appropriations, 2006 | $61,874,000 |
| Budget estimate, 2007 | 64,143,000 |
| House allowance | 64,143,000 |
| Committee recommendation | 64,143,000 |
PROGRAM DESCRIPTION
The Inspector General Act of 1978 established the Office of Inspector General [OIG] as an independent and objective organization, with a mission to: (1) conduct and supervise audits and investigations relating to the programs and operations of the Department; (2) provide leadership and recommend policies designed to promote economy, efficiency, and effectiveness in the administration of programs and operations; (3) prevent and detect fraud, waste, and abuse; and (4) keep the Secretary and Congress currently informed regarding problems and deficiencies.
COMMITTEE RECOMMENDATION
The Committee recommendation provides $64,143,000 for activities of the Office of Inspector General, which is $2,269,000 more than the fiscal year 2006 enacted level and the same as the budget request.
In addition, the OIG will receive $7,324,000 from other agencies in this bill for audit and investigation activities within that agency, as noted below:
-------------------------------------------------------------
Amount
-------------------------------------------------------------
Federal Highway Administration $3,524,000
Federal Transit Administration 2,000,000
Federal Aviation Administration 1,050,000
National Transportation Safety Board 500,000
Office of the Secretary of Transportation 125,000
Research and Innovative Technology Administration 125,000
-------------------------------------------------------------
Funding is sufficient to finance 420 full-time equivalent [FTE] staff in fiscal year 2007, for a decrease of 10 FTEs from the fiscal year 2006 level.
Audit Reports- The Committee requests the Inspector General to continue to forward 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. The OIG is also directed to withhold from public distribution for a period of 15 days any final audit or investigative report which was requested by the House or Senate Committees on Appropriations.
The Committee has included a provision in title VII (sec. 718) that requires all departments and agencies in this act to report quarterly to the House and Senate Committees on Appropriations on all sole source contracts, including the contractor, the amount of the contract, the purpose of the contract and the rationale for a sole-source procurement as opposed to a market-based procurement. The departments and agencies also are required to publish this information quarterly in the Federal Register. The Committee directs the IG to assess any conflicts of interest with regard to these contracts and DOT.
Unfair Business Practices.--The bill maintains language which authorizes the OIG to investigate allegations of fraud and unfair or deceptive practices and unfair methods of competition by air carriers and ticket agents.
SURFACE TRANSPORTATION BOARD
SALARIES AND EXPENSES
------------------------------------------------------------------------
Appropriation Crediting offsetting collections
------------------------------------------------------------------------
Appropriations, 2006 $26,198,000 $1,250,000
Budget estimate, 2007 22,925,000 1,250,000
House allowance 25,618,000 1,250,000
Committee recommendation 26,500,000 1,250,000
------------------------------------------------------------------------
PROGRAM DESCRIPTION
The Surface Transportation Board [STB] was created on January 1, 1996, by the Interstate Commerce Commission Termination Act of 1995 [ICCTA] (Public Law 104-88). The Board is a three-member, bipartisan, decisionally independent adjudicatory body organizationally housed within DOT and is responsible for the regulation of the rail and pipeline industries and certain non-licensing regulation of motor carriers and water carriers.
STB's rail oversight activities encompass rate reasonableness, car service and interchange, mergers, line acquisitions, line constructions, and abandonments. STB's jurisdiction also includes certain oversight of the intercity bus industry and pipeline carriers, rate regulation involving noncontiguous domestic water transportation, household goods carriers, and collectively determined motor carrier rates.
COMMITTEE RECOMMENDATION
The Committee recommends a total appropriation of $26,500,000, an increase of $3,575,000 above the budget request. Included in the recommendation is $1,250,000 in fees, which will offset the appropriated funding. At this funding level, the Board will be able to accommodate 150 full-time equivalent staff.
The Committee's recommendation funds the following increases above the fiscal year 2006 enacted level:
------------------------------------------------------------------------------------------------
Amount
------------------------------------------------------------------------------------------------
Annualize fiscal year 2006 pay raise +$113,000
Fiscal year 2007 pay raise +340,000
GSA rent and security increases +1,849,000
Inflation +51,000
Annualize salary increase for fiscal year 2006 hires and employee benefits increases +882,000
Working capital fund and telephone/utilities increases +21,000
Fiscal year 2007 relocation expenses (one-time) +375,000
Post move costs +274,000
Environmental travel increases +15,000
------------------------------------------------------------------------------------------------
The increases are offset by a reduction of $4,500,000 for the one-time relocation expenses funded in fiscal year 2006.
User Fees- Current statutory authority, under 31 U.S.C. 9701, grants theBboard the authority to collect user fees. Language is included in the bill allowing fees to be credited to the appropriation on a dollar-for-dollar basis as the fees are received and credited. The Committee continues this language to simplify the tracking of the collections and provide the Board with more flexibility in spending its appropriated funds.
ADMINISTRATIVE PROVISIONS--DEPARTMENT OF TRANSPORTATION
Section 180 allows funds for maintenance and operation of aircraft; motor vehicles; liability insurance; uniforms; or allowances, as authorized by law.
Section 181 limits appropriations for services authorized by 5 U.S.C. 3109 not to exceed the rate for an Executive Level IV.
Section 182 prohibits funds in this act for salaries and expenses of more than 113 political and presidential appointees in the Department of Transportation.
Section 183 prohibits funds for the implementation of section 404 of title 23, United States Code.
Section 184 prohibits recipients of funds made available in this act to release personal information, including a social security number, medical or disability information, and photographs from a driver's license or motor vehicle record without express consent of the person to whom such information pertains; and prohibits the Secretary of Transportation from withholding funds provided in this act for any grantee if a State is in noncompliance with this provision.
Section 185 allows funds received by the Federal Highway Administration, Federal Transit Administration, and the Federal Railroad Administration from States, counties, municipalities, other public authorities, and private sources for expenses incurred for training may be credited to each agency's respective accounts.
Section 186 authorizes the Secretary of Transportation to allow issuers of any preferred stock to redeem or repurchase preferred stock sold to the Department of Transportation.
Section 187 prohibits funds in this act to make a grant unless the Secretary of Transportation notifies the House and Senate Committees on Appropriation at least 3 full business days before any discretionary grant award, letter of intent, or full funding grant agreement totaling $2,000,000 or more is announced by the Department or its modal administration.
Section 188 allows rebates, refunds, incentive payments, minor fees and other funds received by the Department of Transportation from travel management center, charge card programs, subleasing of building space and miscellaneous sources are to be credit to appropriations of the Department of Transportation.
Section 189 allows that amounts from improper payments to a third party contractor that are lawfully recovered by the Department of Transportation shall be available to cover expenses incurred in recovery of such payments.
Section 190 authorizes the transfer of unexpended sums from `Minority Business Outreach' to `Office of the Secretary, Salaries and expenses'.
Section 191 does not allow OST to use any funds made available under this act to approve assessments or reimbursement agreements for funds appropriated to modal administrations in this act, except those already underway prior to the date of enactment of this act.
Section 192 prohibits the use of funds for a new EAS pilot program.
Section 193 establishes certain requirements for civil suits against moving companies.
Section 194 establishes certain requirements for the submission of budget justifications to the Congress.
Section 195 establishes requirements for reprogramming actions by the House and Senate Committees on Appropriations.
Section 196 authorizes and directs the Secretary of Transportation, notwithstanding any provision of law, to make project grants for the cost of acquisition of land, or reimbursement of the cost of land if purchased prior to enactment of this provision and prior to a grant agreement, for non-exclusive use aeronautical purposes on an airport layout plan that has been approved by the Secretary on January 23, 2004, pursuant to section 49 U.S.C. 47107(a)(16), for any small hub airport as defined in 49 U.S.C. 47102, and had scheduled or chartered direct international flights totaling at least 200 millions pounds gross aircraft landed weight for calendar year 2002.
Section 197 permits the FAA Administrator to reimburse FAA appropriations for amounts made available for 49 U.S.C. 41742(a)(1) as fees are collected and credited under U.S.C. 45303.
Section 198 prohibits assessments to be levied against any program, budget activity, subactivity or project funded by this act for the Working Capital Fund except under certain circumstances.
Section 199. This section directs the STB to conduct a hearing on `bottle neck' decisions. This provision further directs the STB to issue a Notice of Proposed Rulemaking regarding small rate cases not later than 90 days after the date of enactment of this act.
TITLE II
DEPARTMENT OF THE TREASURY
DEPARTMENTAL OFFICES
SALARIES AND EXPENSES
(INCLUDING TRANSFER OF FUNDS)
| Appropriations, 2006 | $194,626,000 |
| Budget estimate, 2007 | 223,874,000 |
| House allowance | 223,786,000 |
| Committee recommendation | 223,874,000 |
PROGRAM DESCRIPTION
The Departmental Offices consists of the Office of the Secretary and Deputy Secretary, the Office of International Affairs, the Office of Domestic Finance, the Office of Terrorism and Financial Intelligence, the Office of Tax Policy, the Office of Economic Policy, the Office of the General Counsel, the Office of Legislative Affairs, the Office of Public Affairs, Office of the Treasurer, and the Office of Management. The Secretary of the Treasury has the primary role in formulating and managing the domestic and international tax and financial policies of the Federal Government. The Secretary's responsibilities funded by the Salaries and Expenses appropriation include: recommending and implementing United States domestic and international economic and tax policy; fiscal policy; governing the fiscal operations of the Government; executing the Nation's financial sanction policies; disrupting and dismantling terrorist financial infrastructure; protecting the United States and international financial system from terrorist financing, money laundering, and other financial crimes; managing the public debt; managing international development policy; representing the United States on international monetary, trade and investment issues; overseeing Department of the Treasury overseas operations; and directing the administrative operations of the Department of the Treasury. The majority of the Salaries and Expenses appropriation provides resources for policy formulation and implementation in the areas of domestic and international finance, terrorist financing and financial crimes, tax, economic, trade, financial operations and general fiscal policy. This appropriation also provides resources to support to the Secretary and policy components, and coordination of departmental administrative policies in financial and personnel management, procurement operations, and information systems and telecommunications.
COMMITTEE RECOMMENDATION
The Committee recommends $223,874,000 for the Salaries and Expenses appropriation of the Departmental Offices account of the Department of the Treasury for fiscal year 2007. This amount is equal to the budget request and $29,248,000 above the fiscal year 2006 enacted level. Within the funds provided under this account, the Committee has provided $3,000,000 for information technology modernization; $100,000 for official reception and representation expenses; $258,000 for unforeseen emergencies; and $5,114,000 for the Treasury-wide financial statement audits and other Treasury office and bureau audits. Bill language also is included establishing a staffing floor of 139 FTEs and a funding level of $24,263,000 for the Office of Foreign Assets Control [OFAC].
The Committee has established specific salaries and expenses spending limitations for each program activity within the Departmental Offices account. The Committee has included authority for the Department to request funding transfers between each of its program activities. The Department is required to submit any such transfer requests to the House and Senate Committees on Appropriations and receive approval prior to the execution of any such transfer.
The following table compares the fiscal year 2006 enacted level to the fiscal year 2007 budget estimate and the Committee's recommendation for each office:
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Fiscal year 2006 enacted 2007 budget estimate Committee recommendation
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Executive direction $8,556,000 $17,501,000 $8,760,000
General counsel 7,773,000 8,741,000
Economic policies and programs 31,691,000 41,947,000 41,947,000
Financial policies and programs 26,308,000 25,336,000 25,336,000
Terrorism and financial intelligence 39,540,000 45,401,000 45,701,000
Treasury-wide management and programs 16,675,000 20,372,000 20,072,000
Administration 63,094,000 73,317,000 73,317,000
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Executive Direction- The Committee has decided not to follow the budget request proposal to consolidate funding for the Office of General Counsel under the executive direction activity.
The Committee remains concerned with the significant management challenges faced by the Department and believes that greater emphasis must be placed on effective management leadership. The Treasury Inspector General [IG] continues to cite concerns with the corporate management structure of the Treasury and believes that the lack of effective management leadership has contributed to serious deficiencies at some of the bureaus. In addition to concerns with corporate management, the IG continues to cite the Department's management of capital investments as a major management challenge. The IG specifically recommends that the Treasury needs to ensure consistency, cohesiveness, and economy among all bureaus by establishing clear lines of accountability, providing enterprise solutions for core business activities, and providing effective oversight of information technology investments and security. Given these concerns, the Committee directs the Department to provide an action plan, as part of its operating plan, on how it will address these issues. The action plan should specify the management officials who will be responsible for carrying out the plan.
General Counsel- As requested in the budget, the Committee has included an additional $542,000 to support three FTEs to support the growing workload of the Office of Terrorism and Financial Intelligence [TFI] and an additional $492,000 for three FTEs to provide legal support for OFAC.
Economic Policies and Programs- The Committee recommends an increase of $9,352,000 for the overseas attache program, as requested by the administration. The Committee strongly supports the expansion of this program.
Financial Policies and Programs- The Committee recommends $513,000 for the new Office of Dynamic Analysis as proposed by the budget request.
The Committee urges the Department to create an external, independent panel of experts to guide the new Office of Dynamic Analysis. Members of the panel should be appointed by the Secretary and should embody diverse points of view on pertinent economic issues.
Terrorism and Financial Intelligence- The Committee has included an additional $5,861,000 as requested for TFI to support the hiring of additional intelligence analysts, training, travel, professional development, and additional secure workspace. Further, these additional funds will support OFAC's efforts in enforcing economic sanctions against terrorist networks. The Committee recognizes the diverse and broad operational responsibilities of OFAC and accordingly, the Committee has included bill language establishing a staffing floor of 139 full-time equivalent positions for this office. The Committee also strongly urges the Department and administration to budget additional resources to ensure OFAC has the capacity to carry out its responsibilities.
Due to the significant dependence on information technology to carry out its activities and responsibilities, the Committee also has included an additional $300,000 for TFI to create a permanent position of Chief Technology and Information Officer [CTIO]. This position will be responsible for managing and overseeing all TFI information technology programs and needs, including projects under OFAC and FinCEN. The Committee directs that the CTIO will report directly to the Under Secretary for TFI. Until this position is filled, the Treasury's Chief Information Officer will continue to meet the IT needs of TFI.
TFI has become an increasingly important player in the intelligence community and as a result, greater demands have been placed on the office. To ensure TFI has the necessary support to carryout its growing responsibilities and duties, the Committee has provided full funding for additional staffing resources, information technology systems, and other necessary resources. The Committee strongly urges the Department to provide the necessary support to TFI so it can meet its demands.
Treasury-wide Management Policies and Programs- The Committee has provided $20,072,000 for this activity, including $1,538,000 for performance management training. The Committee supports the additional funds to provide training to managers at the Department given the management challenges identified by the Treasury Inspector General. The budget justifications, however, do not provide adequate detail on the requested training funds. Accordingly, the Committee directs the Department to provide specific details on these training funds in the operating plan.
Congressional Justifications- The Committee finds the Department's congressional justifications to be lacking in some basic areas. For example, the justifications do not provide adequate explanation of legislative bill language changes and fail to identify the specific activity account for which new initiatives are proposed. Accordingly, the Committee directs that the Department to address these issues in its fiscal year 2008 justifications.
Information Security- The Treasury Office of Inspector General [OIG] continues to cite the Department's information security as a management and performance challenge. Specifically, the Department faces serious challenges in bringing its systems into compliance with information technology security policies, procedures, standards, and guidelines. Moreover, the OIG cites the need to establish and maintain a system inventory as a core issue. This issue is particularly critical given the Internal Revenue Service's [IRS] recent loss of a laptop containing fingerprints of IRS employees. The Committee strongly urges the Department to address the OIG's findings and directs the Department to provide a status report to the Committee by March 1, 2007.
DEPARTMENT-WIDE SYSTEMS AND CAPITAL INVESTMENTS PROGRAMS
(INCLUDING TRANSFER OF FUNDS)
| Appropriations, 2006 | $24,168,000 |
| Budget estimate, 2007 | 34,032,000 |
| House allowance | 34,032,000 |
| Committee recommendation | 34,032,000 |
PROGRAM DESCRIPTION
The 1997 Treasury and General Government Appropriations Act established this account, which is authorized to be used by or on behalf of Treasury bureaus, at the Secretary's discretion, to modernize business processes and increase efficiency through technology investments, as well as other activities that involve more than one Treasury bureau or Treasury's interface with other Government agencies.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $34,032,000 for Department-wide systems and capital investment program [DSCIP]. This amount is equal to the budget request and $9,864,000 above the fiscal year 2006 enacted level.
The following table compares the Committee recommendation with the budget request and the fiscal year 2006 enacted levels.
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Project Fiscal year 2006 enacted 2007 budget estimate Committee recommendation
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Treasury Foreign Intelligence Network $5,940,000 $21,200,000 $21,200,000
OFAC Enterprise Content Management 627,000 627,000
Treasury Secure Data Network 2,772,000 4,003,000 4,003,000
Critical Infrastructure Protection 5,742,000 2,093,000 2,093,000
Back-up Disaster Recovery Capacity 1,729,000 1,656,000 1,656,000
Cyber Security 2,281,000 2,244,000 2,244,000
E-Government initiatives 2,734,000 2,209,000 2,209,000
Integrated Wireless Network 1,485,000
Enterprise Architecture 396,000
Defense Messaging System 495,000
Documents Management 594,000
Total DSCIP 24,168,000 34,032,000 34,032,000
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TFIN- The Committee strongly supports the upgrade to the Treasury Foreign Intelligence Network [TFIN] and considers this project to be one of the Department's top priorities due to its growing role in supporting the intelligence community and combating terrorist financing. The Committee recognizes that the additional funds provided will complete the redesign, modernization, and the installation of full back up and recovery capability for TFIN. Given the critical importance of this system to TFI and the intelligence community, including the Director of National Intelligence [DNI], the Committee strongly urges TFI to coordinate closely and seek assistance from the DNI's Office of Chief Information Officer and other intelligence agencies.
ECM- The Committee also strongly supports the OFAC Enterprise Content Management [ECM] system. The Committee believes that ECM is a high priority for OFAC to improve its ability to carry out its operations in managing records and responding to its customers. While the Committee appreciates the recent attention this project has received from the Department and the administration, it believes that more resources should be devoted to this project. Unfortunately, it appears that this project and other information technology projects are being penalized in the administration's budget process due to the Department's inability to develop an enterprise architecture.
Working Capital Fund- The Treasury working capital fund [WCF] was established in 1970 to provide centrally common administrative services across the Department, achieve economies of scale, and eliminate duplication of effort and redundancies. However, the Treasury's WCF lacks adequate transparency as identified by the Treasury Inspector General. The Committee, therefore, directs the Department to include in its operating plan and its fiscal year 2008 congressional justifications the following information: the estimated budget of the WCF in total and by program; the projected WCF budgets in total and by program for the next 2 budget years; the estimated contributions to the WCF by bureau/office, by program and how these contributions are determined; and a description and amount of any long-term contracts, leases, or commitments (those exceeding 1 year) of the WCF. The Committee also directs the Department to include a new `Working Capital Fund' appropriations account in its fiscal year 2008 budget submission. Lastly, the Committee directs the Department to notify the House and Senate Committees on Appropriations of any new working capital fund program exceeding $5,000,000.
OFFICE OF INSPECTOR GENERAL
SALARIES AND EXPENSES
| Appropriations, 2006 | $16,830,000 |
| Budget estimate, 2007 | 17,352,000 |
| House allowance | 17,352,000 |
| Committee recommendation | 18,352,000 |
PROGRAM DESCRIPTION
As a result of the 1988 amendments to the Inspector General [IG] Act, the Secretary of the Treasury established the Office of Inspector General [OIG] in 1989.
The OIG conducts and supervises audits, evaluations, and investigations designed to: (1) promote economy, efficiency, and effectiveness and prevent fraud, waste, and abuse in departmental programs and operations; and (2) keep the Secretary and Congress fully and currently informed of problems and deficiencies in the administration of departmental programs and operations. The audit function provides program audit, contract audit and financial statement audit services. Contract audits provide professional advice to agency contracting officials on accounting and financial matters relative to negotiation, award, administration, repricing, and settlement of contracts. Program audits review and audit all facets of agency operations. Financial statement audits assess whether financial statements fairly present the agency's financial condition and results of operations, the adequacy of accounting controls, and compliance with laws and regulations. These audits contribute significantly to improved financial management by helping Treasury managers identify improvements needed in their accounting and internal control systems. The evaluations function reviews program performance and issues critical to the mission of the Department, including assessing the Department's implementation of the Government Performance and Results Act [GPRA]. The investigative function provides for the detection and investigation of improper and illegal activities involving programs, personnel, and operations.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $18,352,000 for salaries and expenses of the Office of Inspector General. This amount is $1,000,000 above the budget request and $1,522,000 above the fiscal year 2006 enacted level. The Committee has provided additional funds above the budget request to support additional audit work on the Department's working capital fund and other management issues.
TREASURY INSPECTOR GENERAL FOR TAX ADMINISTRATION
SALARIES AND EXPENSES
| Appropriations, 2006 | $131,953,000 |
| Budget estimate, 2007 | 136,469,000 |
| House allowance | 136,469,000 |
| Committee recommendation | 136,469,000 |
PROGRAM DESCRIPTION
The Treasury Inspector General for Tax Administration [TIGTA] was established by the IRS Restructuring and Reform Act of 1998 (Public Law 105-206). Funding was first appropriated for this account in the fiscal year 2000 Treasury and General Government Appropriations Act (Public Law 106-58).
TIGTA conducts audits, investigations, and evaluations to assess the operations and programs of the Internal Revenue Service [IRS] and related entities, the IRS Oversight Board and the Office of Chief Counsel to (1) promote the economic, efficient and effective administration of the Nation's tax laws and to detect and deter fraud and abuse in IRS programs and operations; and (2) recommend actions to resolve fraud and other serious problems, abuses, and deficiencies in these programs and operations, and keep the Secretary and Congress fully and currently informed of these issues and the progress made in resolving them. TIGTA reviews existing and proposed legislation and regulations relating to the programs and operations of the IRS and related entities and makes recommendations concerning the impact of such legislation and regulations on the economy and efficiency in the administration of programs and operations of the IRS and related entities. The audit function provides program audit, limited contract audit and financial audit services. Program audits review and audit all facets of IRS and related entities in an effort to improve IRS systems and operations, while ensuring fair and equitable treatment of taxpayers. Contract audits focus on invoices/vouchers submitted to the IRS to determine whether charges are valid. The investigative function provides for the detection and investigation of improper and illegal activities involving IRS programs and operations and protects the IRS and related entities against external attempts to corrupt or threaten their employees.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $136,469,000 for the Treasury Inspector General for Tax Administration. This amount is an increase of $4,516,000 above the fiscal year 2006 enacted level and the same as the budget request.
The Committee commends TIGTA for the audit work in reviewing the IRS's response to Hurricane Katrina in the gulf coast area. The Committee also commends TIGTA for reviewing the IRS's business systems modernization program and other information technology projects.
AIR TRANSPORTATION STABILIZATION PROGRAM ACCOUNT
| Appropriations, 2006 | $2,723,000 |
| Budget estimate, 2007 | ........................... |
| House allowance | ........................... |
| Committee recommendation | ........................... |
PROGRAM DESCRIPTION
The Air Transportation Safety and System Stabilization Act, Public Law 107-42, established the Air Transportation Stabilization Board. The Board may issue up to $10,000,000,000 in loan guarantees.
COMMITTEE RECOMMENDATION
The Committee does not provide any appropriation funding, as requested, for the Air Transportation Stabilization Program for fiscal year 2007. Bill language, as requested, is included that allows the ATSB to charge fees to a borrower. The Board expects to negotiate repayment or remarketing of its remaining loans by the end of fiscal year 2006 and will terminate its activities in 2007.
FINANCIAL CRIMES ENFORCEMENT NETWORK
SALARIES AND EXPENSES
| Appropriations, 2006 | $72,894,000 |
| Budget estimate, 2007 | 89,794,000 |
| House allowance | 84,066,000 |
| Committee recommendation | 77,321,000 |
PROGRAM DESCRIPTION
The Financial Crimes Enforcement Network [FinCEN], a bureau within the Treasury Department's Office of Terrorism and Financial Intelligence, is the largest overt collector of financial intelligence in the United States. FinCEN's mission is to safeguard the financial system from the abuses of financial crime, including terrorist financing, money laundering and other illicit finance. FinCEN accomplishes its mission by administering the Bank Secrecy Act, a collection of statutes that form the Nation's anti-money laundering/counter-terrorist financing regulatory regime. As the delegated administrator of the Bank Secrecy Act, FinCEN is responsible for the development and implementation of regulations, rules and guidance issued under the Bank Secrecy Act. FinCEN also oversees the work of eight Federal agencies that have been delegated responsibility to examine various sectors of the financial industry for compliance with the Bank Secrecy Act's requirements. FinCEN is responsible for collecting, maintaining, and disseminating the information reported by financial institutions under the Bank Secrecy Act through a Government-wide access service. In coordination with Treasury's Office of Intelligence and Analysis, FinCEN analyzes this financial information and other information and intelligence to develop both strategic and tactical analytical products that support law enforcement, intelligence and regulatory agencies. FinCEN is the United States' Financial Intelligence Unit [FIU] and a founding member of the Egmont Group of Financial Intelligence Units. As the United States FIU, FinCEN routinely shares information and cooperates with other FIUs around the world to address the global problems of terrorist financing, money laundering, and other illicit finance.
COMMITTEE RECOMMENDATION
The Committee recommends $77,321,000 for the Financial Crimes Enforcement Network [FinCEN]. This amount is $4,427,000 above the fiscal year 2006 enacted level and $12,473,000 below the budget request.
The Committee does not recommend $12,473,000 in additional funds for the `BSA Direct' system due to the major failures of the system as identified by the Government Accountability Office [GAO] and the FinCEN Director. The Committee strongly believes that based on the GAO's assessment, FinCEN will not be in position in fiscal year 2007 to ensure it can spend effectively and efficiently the additional funds requested for BSA Direct. Further, the Committee understands that the IRS has developed a new system that meets the needs of FinCEN and its BSA users.
In the GAO's July 14, 2006 report on FinCEN's management of BSA Direct (GAO-06-947R), the GAO found that FinCEN did not always apply effective investment management processes to oversee the BSA Direct Retrieval and Sharing project. As a result, the GAO recommended that the Director of FinCEN direct the Chief Information Officer [CIO] to develop a plan with specific actions for improving the agency's capabilities for overseeing the BSA Direct project. Further, the GAO noted that the problems with BSA Direct indicate systemic problems with FinCEN's management and oversight of IT projects. Accordingly, the Committee directs FinCEN to develop a plan that addresses the GAO's concerns in its July 14, 2006 report and to ensure FinCEN has an executive level review process for IT projects. The Committee directs the Director of FinCEN to submit a report to the House and Senate Committees on Appropriations on these matters by no later than 90 days after the date of enactment of this act.
The Committee understands that FinCEN will require funds to terminate the existing contract for BSA Direct, including costs for the audit agency that will negotiate the termination costs. Further, the Director of FinCEN will determine additional financial requirements to achieve the BSA Direct Retrieval and Sharing Component's long-term vision. The Committee supports these efforts and looks forward in working with the Director in meeting FinCEN's future needs.
FINANCIAL MANAGEMENT SERVICE
SALARIES AND EXPENSES
| Appropriations, 2006 | $233,881,000 |
| Budget estimate, 2007 | 233,654,000 |
| House allowance | 233,654,000 |
| Committee recommendation | 233,654,000 |
PROGRAM DESCRIPTION
In 1940, the United States Department of the Treasury established the Fiscal Service, which consisted of the Bureau of Accounts, the Bureau of the Public Debt, and the Office of the Treasurer. A 1974 reorganization of the Fiscal Service created the Bureau of Government Financial Operations, which was formed from a merger of the Bureau of Accounts and most functions of the Office of the Treasurer. In 1984, the Bureau of Government Financial Operations was renamed the Financial Management Service [FMS].
FMS implements payment policy and procedures for the Federal program agencies, issues and distributes payments, promotes the use of electronics in the payment process, and assists agencies in converting payments from paper checks to electronic funds transfer [EFT]. FMS also provides debt collection operational services to client agencies and implements collections policy, regulations, standards and procedures for the Federal Government and assists agencies in converting collections from paper to electronic media.
FMS also provides financial accounting, reporting, and financing services to the Federal Government and the Government's agents who participate in the payments and collections process by generating a series of daily, monthly, quarterly and annual Government-wide reports. FMS also works directly with agencies to help reconcile reporting differences.
COMMITTEE RECOMMENDATION
The Committee recommends $233,654,000 for salaries and expenses for FMS. This amount is the same as the budget request and $227,000 below the fiscal year 2006 enacted level.
ALCOHOL AND TOBACCO TAX AND TRADE BUREAU
SALARIES AND EXPENSES
| Appropriations, 2006 | $90,215,000 |
| Budget estimate, 2007 | 63,964,000 |
| House allowance | 92,604,000 |
| Committee recommendation | 92,604,000 |
PROGRAM DESCRIPTION
The Homeland Security Act created the Alcohol and Tobacco Tax and Trade Bureau [TTB] within the Department of the Treasury and charged TTB with collecting revenue and protecting the public.
TTB enforces the Federal laws and regulations relating to alcohol and tobacco. Its responsibilities include maintaining a sound revenue management and regulatory system that continues to reduce the taxpayer burden, improve service, collect the revenue due, prevent tax evasion and other criminal conduct, and protecting the public and preventing consumer deception in regulated commodities.
COMMITTEE RECOMMENDATION
The Committee recommends $92,604,000 for TTB for fiscal year 2007. This amount is an increase of $28,640,000 over the budget request and an increase of $2,389,000 over the fiscal year 2006 enacted level. The increase over the budget request is due to the assumption of $28,640,000 in revenues from new user fees. The new user fee legislative proposal, however, has not been authorized and is not supported by the Committee.
BUREAU OF ENGRAVING AND PRINTING
PROGRAM DESCRIPTION
The Bureau of Engraving and Printing [BEP] has been the sole manufacturer of U.S. paper currency for almost 150 years. The origin of the BEP is traced to an Act of Congress passed on February 25, 1862, 12 Stat. 345, authorizing the Secretary of the Treasury to issue a new currency--United States notes. While this law was the cornerstone authority for the operations of the engraving and printing division of the Treasury for many years, it was not until an Act of June 20, 1874, 18 Stat. 100, that the Congress first referred to this division as the `Bureau of Engraving and Printing.' The Bureau's status as a distinct bureau within the Department of the Treasury was solidified by section 1 of the Act of June 4, 1897, 30 Stat. 18, which placed all of the business of the BEP under the immediate control of a director, subject to the direction of the Secretary of the Treasury. The 1897 law is now codified in 31 U.S.C. 303.
The BEP designs, manufactures, and supplies Federal Reserve notes, and other security documents issued by the Federal Government. The BEP executes certain printings for various territories administered by the United States, particularly postage and revenue stamps.
The operations of the BEP are currently financed by means of a revolving fund established in accordance with the provisions of Public Law 656, August 4, 1950 (31 U.S.C. 181), which requires the BEP to be reimbursed by customer agencies for all costs of manufacturing products and services performed. The BEP is also authorized to assess amounts to acquire capital equipment and provide for working capital needs.
No direct appropriation is required to cover the activities of the BEP.
BUREAU OF THE PUBLIC DEBT
ADMINISTERING THE PUBLIC DEBT
| Appropriations, 2006 | $175,154,000 |
| Budget estimate, 2007 | 177,789,000 |
| House allowance | 177,789,000 |
| Committee recommendation | 177,789,000 |
PROGRAM DESCRIPTION
The Public Debt Service was formed in 1919 with the appointment of the first Commissioner of the Public Debt. The Public Debt Service took general charge debt operations including debt accounting and securities issue and retirement, which had been conducted by several independent divisions within the Treasury. Acting under the authorization of the Reorganization Act of 1939, the President created the Bureau of the Public Debt, which was established as part of the Fiscal Service in the Department of the Treasury effective June 30, 1940, (31 U.S.C. 306). In 1993, the Savings Bonds Division, a separate organization, was made part of the Bureau.
This appropriation provides funds for the conduct of all public debt operations and the promotion of the sale of U.S. savings-type securities.
COMMITTEE RECOMMENDATION
The Committee recommends the budget request level of $177,789,000 for the Bureau of the Public Debt for fiscal year 2007. This amount is an increase of $2,635,000 above the fiscal year 2006 enacted level.
COMMUNITY DEVELOPMENT FINANCIAL INSTITUTIONS FUND
COMMUNITY DEVELOPMENT FINANCIAL INSTITUTIONS FUND PROGRAM ACCOUNT
| Appropriations, 2006 | $54,450,000 |
| Budget estimate, 2007 | 7,821,000 |
| House allowance | 40,000,000 |
| Committee recommendation | 55,000,000 |
PROGRAM DESCRIPTION
The Community Development Financial Institutions Fund makes investments in the form of grants, loans, equity investments, deposits, and technical assistance grants to new and existing community development financial institutions [CDFIs], through the CDFI program. CDFIs include community development banks, credit unions, venture capital funds, revolving loan funds, and microloan funds, among others. Recipient institutions engage in lending and investment for affordable housing, small business and community development within underserved communities. The CDFI Fund administers the Bank Enterprise Award [BEA] Program, which provides a financial incentive to insured depository institutions to undertake community development finance activities. The CDFI Fund also administers the New Markets Tax Credit Program, a program that provides an incentive to investors in the form of a tax credit, which is expected to stimulate private community and economic development activities.
COMMITTEE RECOMMENDATION
The Committee recommends $55,000,000 for the CDFI Fund, which is $550,000 above the fiscal year 2006 enacted level and $47,179,000 above the budget request. The Committee recommends that the entire program, not just the New Markets Tax Credit program, remain at the Department of the Treasury as opposed to the administration's proposal of moving the program to the Department of Commerce under the Strengthening America's Communities Initiative.
The Committee is again concerned about the proposed reductions to CDFI and the respective programs within CDFI, such as the Bank Enterprise Award [BEA]. These programs play an important role in providing financial services to underserved communities in both urban and rural communities across the country. The Committee expects the BEA program to be funded at no less than $10,000,000 for fiscal year 2007.
The Committee also recommends a set-aside of $3,000,000 for grants, loans, and technical assistance and training programs to benefit Native America, Alaskan Natives, and Native Hawaiian communities in the coordination of development strategies, increased access to equity investments, and loans for development activities.
UNITED STATES MINT
UNITED STATES MINT PUBLIC ENTERPRISE FUND
PROGRAM DESCRIPTION
The United States Mint manufactures coins, sells numismatic and investment products, and provides for security and asset protection. Public Law 104-52 established the U.S. Mint Public Enterprise Fund (the Fund). The Fund encompasses the previous Salaries and Expenses, Coinage Profit Fund, Coinage Metal Fund, and the Numismatic Public Enterprise Fund. The Mint submits annual audited business-type financial statements to the Secretary of the Treasury and to Congress in support of the operations of the revolving fund.
The operations of the Mint are divided into two major activities: Manufacturing and Sales (including circulating coinage and numismatic and investment products); and Protection. The Mint is credited with receipts from its circulating coinage operations, equal to the full cost of producing and distributing coins that are put into circulation, including depreciation of the Mint's plant and equipment on the basis of current replacement value. Those receipts pay for the costs of the Mint's operations, which include the costs of production and distribution. The difference between the face value of the coins and these costs are profits, which is deposited as seigniorage to the general fund. In fiscal year 2005, the Mint transferred $775,000,000 to the general fund. Any seigniorage used to finance the Mint's capital acquisitions is recorded as budget authority in the year that funds are obligated for this purpose and as receipts over the life of the asset.
COMMITTEE RECOMMENDATION
The Committee recommends a spending level of $30,200,000 for circulating coinage and protective service capital investments for the Mint. This amount is an increase of $3,432,000 above the fiscal year 2006 enacted level and is equal to the budget request.
INTERNAL REVENUE SERVICE
PROGRAM DESCRIPTION
The Internal Revenue Service [IRS] history dates back to 1862. In 1953, following a reorganization of its function, its name became the Internal Revenue Service. The IRS administers the Nation's tax laws and collects the revenue that funds most of the Federal Government's operations and public services. The IRS's mission is to provide taxpayers with quality service by helping them understand and meet their tax responsibilities and by applying the tax law with integrity and fairness to all. The IRS focuses its enforcement programs toward increasing voluntary tax compliance by deterring taxpayers inclined to evade their tax obligations while vigorously pursuing those who violate the law. It deals directly with more Americans than any other institution, public or private. In 2005, the IRS collected over $2,000,000,000,000 in revenue and processed more than 208 million tax returns. During the 2005 filing season, more than half of all individual taxpayers (nearly 68 million) filed electronically. Also, in 2005, the IRS provided assistance more than 95 million times through toll-free telephone lines, correspondence or visits to its more than 400 offices nationwide. An important focus for the IRS in recent years has been to undertake a major modernization of its systems, including expanding its Internet services, and business operations to serve better taxpayers and enforce the law.
COMMITTEE RECOMMENDATION
The Committee recommends $10,655,972,000 for the Internal Revenue Service for fiscal year 2007. This is an increase of $82,266,000 above the fiscal year 2006 enacted level and $64,135,000 above the budget request.
New Appropriations Account Structure- The Committee has created a new appropriations account structure for fiscal year 2007. Under this structure, the IRS's activities are more properly aligned to budget activities by creating new `Taxpayer Services', `Enforcement', and `Operations Support' accounts in place of the old `Processing, Assistance, and Management', `Tax Law Enforcement', and `Information Systems' accounts. The `Business Systems Modernization' and `Health Insurance Tax Credit Administration' accounts are maintained. Further, the Committee has broken out the `IRS Oversight Board' as a new separate account.
The Committee developed the new account structure in consultation with the Department of the Treasury, the IRS, and the House Committee on Appropriations. The Committee has provided the IRS with some administrative flexibility in transitioning to the new account structure by allowing the IRS to transfer funds among the taxpayer services, enforcement, and operations support accounts. This new administrative flexibility provided as an administrative provision.
Tax Gap- The IRS updated its results of a 3-year study on the difference between what taxpayers are supposed to pay and what they actually do pay, the so-called `tax gap.' The IRS found that for tax year 2001, about 84 percent of owed taxes were paid voluntarily and timely. However, a significant number of taxpayers do not comply with the Tax Code resulting in an estimated gross tax gap of $345,000,000,000. The IRS estimates that after enforcement and other late payments are factored into the gross tax gap, the net tax gap is about $290,000,000,000. The most current estimate of the tax gap remains largely unchanged from the IRS's initial update conducted last year and has remained relatively stable for the past three decades based on previous IRS studies. The accuracy of the tax gap, however, is uncertain given the use of outdated information and questionable methodology. Some experts, including the GAO and TIGTA, believe that the tax gap may actually be higher than estimated by the IRS. The Committee strongly believes that the IRS must and can reduce the tax gap if the IRS is given additional resources and is able to improve its operational capabilities (most notably through the Business Systems Modernization program).
To reduce the tax gap, the IRS's budget request has set a goal of increasing the voluntary compliance rate from a current estimate of about 83.7 percent to 85 percent by 2009. However, the budget request does not include a strategic plan to achieve this goal. To reduce the tax gap, experts recommend a number of approaches, such as: improving information reporting, improving taxpayer services, increasing research on noncompliance, improving the partnership between the IRS and the tax administration community, and leveraging technology to improve IRS's systems. The Committee supports all of these approaches and believes that the administration must develop a detailed business plan on how it will reduce the tax gap. Accordingly, the Committee has included an administrative provision that requires the IRS to develop a detailed, strategic plan that demonstrates how it will achieve and how it will measure the voluntary compliance goal of 85 percent by 2009.
Operating Plan and Notification- In addition to the normal operating plan requirements detailed in the introduction in this report, the Committee directs the IRS to include details on any planned reorganization, job reductions or increases to offices or activities within the agency, and modifications to any service or enforcement activity. Some past examples that would qualify under this directive include: the Modernization and Information Technology Systems [MITS] reorganization and the proposed closure of taxpayer assistance centers. The Committee also directs the IRS to obtain the approval of the IRS Oversight Board prior to submitting its operating plan to the Committee. Further, the IRS should promptly notify the Committee and the IRS Oversight Board if there are any substantial changes of these plans.
The Committee continues to remain concerned about any efforts to reduce significantly taxpayer services. Therefore, the Committee directs that should the IRS propose further reductions in taxpayer service, such reductions must be consistent with the budget justification, operating plan, and Taxpayer Assistance Blueprint.
Privacy Regulations- The Committee notes that the authorizing committee has approved legislation (S. 832) that addresses the troubling aspects of the use and disclosure of taxpayer information by return preparers for non-tax purposes and offshore disclosures. The Committee directs the IRS to be strictly attentive to this legislation in promulgating the final regulation relating to section 7216 of the Internal Revenue Code.
IRS Staffing Plans- The Committee continues to support adequate staffing levels for effective tax administration and supports the staffing plans for the Internal Revenue Service facilities in the communities of Martinsburg and Beckley, West Virginia. Therefore, the Committee urges the IRS, within the constraints of the fiscal year 2007 funding levels, to make no staffing reductions at the Martinsburg National Computing Center and the programmed level at the Finance Center in Beckley, West Virginia. Further, the Committee directs the IRS to provide an annual report to the Committee on its efforts to protect and increase staffing levels at the Martinsburg and Beckley IRS facilities.
Taxpayer Services in Alaska and Hawaii- Given the remote distance of Alaska and Hawaii from the U.S. mainland and the difficulty experienced by Alaska and Hawaii taxpayers in receiving needed tax assistance by the national toll-free line, it is imperative that the Taxpayer Advocate Service Center in each of these States is fully staffed and capable of resolving taxpayer problems of the most complex nature. The Committee directs the Internal Revenue Service to continue to staff each Taxpayer Advocate Service Center in each of these States with a Collection Technical Advisor and an Examination Technical Advisor in addition to the current complement of office staff.
TAXPAYER SERVICES
| Appropriations, 2006 | $2,142,275,000 |
| Budget estimate, 2007 | 2,079,151,000 |
| House allowance | 2,059,151,000 |
| Committee recommendation | 2,110,000,000 |
PROGRAM DESCRIPTION
The Taxpayer Services appropriation provides for taxpayer services, including forms and publications; processing tax returns and related documents; filing and account services; taxpayer advocacy services; and assisting taxpayers to understand their tax obligations, correctly file their returns, and pay taxes due in a timely manner.
COMMITTEE RECOMMENDATION
The Committee recommends $2,110,000,000 for Taxpayer Services, which is $32,275,000 below the fiscal year 2006 enacted level and $30,849,000 above the budget request. Bill language is included providing not less than $4,500,000 for the tax counseling for the elderly program and not less than $9,000,000 for low-income taxpayer clinic grants.
Taxpayer Assistance Blueprint- In response to the Committee's directive in the fiscal year 2006 Treasury Appropriations Act, the IRS, in consultation with the IRS Oversight Board and the National Taxpayer Advocate, began developing a `Taxpayer Assistance Blueprint' to develop a 5-year strategic plan on taxpayer services. As directed by the Committee, the IRS is reviewing its current portfolio of taxpayer services and exploring other types of services to meet the needs of taxpayers. Further, this plan will detail how it plans to meet the service needs on a geographic basis (by State and major metropolitan area), including any proposals to realign existing resources to improve taxpayer access to services, and address how the plan will improve taxpayer service based on reliable data on taxpayer service needs. The plan will also address efforts to expand efforts to partner with State and local governments and private entities to improve taxpayer services. The Committee commends the IRS, the IRS Oversight Board, and the National Taxpayer Advocate for their time and efforts on the Blueprint. Further, the Committee appreciates the efforts to conduct research on taxpayer needs and taxpayer service performance.
The Committee understands that the Blueprint may not be completed in time to be used as part of the development of the fiscal year 2008 budget request. However, the Committee strongly believes that the Blueprint should be incorporated in subsequent budget requests.
E-Filing- The Committee is disappointed with the IRS's performance in increasing the number of tax filers who submit their returns electronically and without additional cost. Most experts, including the IRS Oversight Board, believe that the IRS will not meet its congressionally mandated goal of having 80 percent of tax returns filed electronically by 2007. Accordingly, the Committee directs the IRS, in consultation with stakeholders, such as the National Taxpayer Advocate, to develop a detailed strategic plan to meet the 80 percent e-File goal. This plan should be submitted to the House and Senate Committees on Appropriations by no later than June 4, 2007.
Research- The Committee believes that the IRS will provide better taxpayer service, resulting in improved compliance, if taxpayer behavior is better understood and applied research is integrated into the development of taxpayer service and enforcement initiatives. Toward that end, the Committee directs the National Taxpayer Advocate, in consultation with IRS Office of Research, to report to the Appropriations Committees of the House and Senate by September 30, 2007, on activities that tax administrators in other nations undertake to understand taxpayer behavior. The report shall also make recommendations for the establishment of a cognitive learning and applied research laboratory. In addition, the report should identify innovative methods of understanding taxpayer behavior, including the use of agent-based computer simulations, and recommend whether the establishment of a cognitive learning laboratory would improve tax administration.
ENFORCEMENT
| Appropriations, 2006 | $4,701,970,000 |
| Budget estimate, 2007 | 4,797,126,000 |
| House allowance | 4,757,126,000 |
| Committee recommendation | 4,797,126,000 |
PROGRAM DESCRIPTION
The Enforcement appropriation provides for the examination of tax returns, both domestic and international; the administrative and judicial settlement of taxpayer appeals of examination findings; technical rulings; monitoring employee pension plans; determining qualifications of organizations seeking tax-exempt status; examining tax returns of exempt organizations; enforcing statutes relating to detection and investigation of criminal violations of the internal revenue laws; identifying under reporting of tax obligations; securing unfiled tax returns; and collecting unpaid accounts.
COMMITTEE RECOMMENDATION
The Committee recommends the budget request level of $4,797,126,000 for enforcement activities for fiscal year 2007. This amount is $95,156,000 above the fiscal year 2006 enacted level. Bill language is included to transfer not less than $55,584,000 to the Interagency Crime and Drug Enforcement [ICDE] program and to transfer up to $10,000,000 from enforcement to the Operations Support account to support the ICDE program.
National Research Program- The Committee strongly supports the work of the National Research Program [NRP] to increase understanding on the tax gap. While the IRS's NRP has done a commendable job in updating the tax gap estimates, there remain significant gaps in the gap. The IRS and others have expressed concerns with the certainty of the overall tax gap estimate in part because some areas of the estimate rely on old data (from the 1970s and 1980s) and it has no estimates for other areas of the tax gap. GAO, TIGTA, the National Taxpayer Advocate, and the IRS Oversight Board also have all recommended greater and more frequent data collection and studies of the tax gap. The Committee agrees with this recommendation. Accordingly, the Committee directs the IRS to submit a detailed research plan that will address the shortfalls in the NRP. The plan should include the use of a rolling sample, which was recommended by the IRS Oversight Board and GAO that covers all types of tax returns. Under this approach, one-fifth of the sample could be collected every year. The plan should include cost estimates of implementing the plan. The plan should be developed in consultation with the National Taxpayer Advocate and approved by the IRS Oversight Board prior to its submission to the House and Senate Committees on Appropriations by no later than March 12, 2007. Finally, to cover the costs of implementing the plan, the Committee encourages the IRS to request the use of unobligated funds as part of the reprogramming authority provided under this act.
The Committee believes that an understanding of the causes of inadvertent noncompliance and the role of preparers in facilitating both inadvertent and intentional noncompliance will improve tax administration and should inform IRS's allocation of resources. Thus, in administering its NRP for fiscal year 2007, the Committee directs the IRS to collect information on the causes of inadvertent noncompliance, the type of return preparation method (self, volunteer, or paid preparer), and whether the taxpayer was represented during the examination. The Committee directs the National Taxpayer Advocate to assist with this effort.
Misclassification of Contractors- The Committee is concerned with the misclassification of workers as independent contractors, who are filed under IRS form 1099. Many of these workers should be correctly classified as employees and filed under W-2 forms. This misclassification leads to the underreporting of self-employment taxes, which the IRS estimates accounts for $148,000,000,000 per year and 43 percent of the gross tax gap. Therefore, the Committee strongly urges the IRS to provide increased tax enforcement in industries where misclassification of employees is widespread.
OPERATIONS SUPPORT
| Appropriations, 2006 | $3,467,443,000 |
| Budget estimate, 2007 | 3,488,404,000 |
| House allowance | 3,459,152,000 |
| Committee recommendation | 3,487,000,000 |
PROGRAM DESCRIPTION
The Operations Support appropriation provides for overall planning and direction of the IRS including shared service support related to facilities services, rent payments, printing, postage, and security; other support functions that are considered overhead but essential to the successful operation of IRS programs including resources for headquarters management activities, including IRS-wide support for strategic planning, communications and liaison, finance, human resources, EEO and diversity; research and statistics of income; and necessary expenses for information systems and telecommunication support, including developmental information systems and operational information systems.
COMMITTEE RECOMMENDATION
The Committee recommends $3,487,000,000 for Operations Support for fiscal year 2007. This amount is $19,557,000 above the fiscal year 2006 enacted level and $1,404,000 below the budget request. Bill language is included allowing $75,000,000 of these funds to remain available until September 30, 2009; up to $1,000,000 for research activities; and $50,000 for official reception and representation. The Committee has provided additional reception and representation funds due to the IRS's growing role in international tax administration. These funds will be used to host meetings with international tax organizations such as the Joint International Tax Shelter Information Centre, Inter-American Center for Tax Administrators, and others.
IT Management and Oversight- The IRS has made significant strides in improving the management and oversight of its business systems modernization [BSM] program. Unfortunately, the IRS has not adequately addressed major systemic problems with its non-BSM portfolio of information technology projects as demonstrated by recent failures during the past filing season. TIGTA has identified problems in several areas of IT management and oversight including, but not limited to, such areas as: classification of investment projects, oversight and governance structure, risk management, contingency planning, and contractor performance and accountability. Further, it appears that the Department of the Treasury and the Office of Management and Budget have not exercised proper oversight for the business cases (OMB Circular A-11 Exhibit 300) used to justify the funding of the IRS's IT projects.
To the IRS's credit, it has begun addressing some of its IT problems through a reorganization of the Modernization and Information Technology Services [MITS] organization that began earlier this year. Nevertheless, the Committee remains troubled by the IT management and oversight problems at the IRS, as demonstrated by the failures with the Electronic Fraud Detection System, and it expects better performance to ensure it can support its tax administration activities. Accordingly, the Committee directs the IRS to review its entire non-BSM IT portfolio (regardless of tier classification) and make any changes as necessary to ensure that each project has (1) been properly classified for investment decision and management purposes, (2) the appropriate governance structure in place (such as an executive steering committee), (3) a risk management plan, (4) a contingency plan in case of breakdowns or failures in scheduled deliverables, (5) adequate provisions in the contracts to ensure penalties and repayment to the agency if performance is not met, (6) adequate contractor staffing and management in place to fulfill the contract terms and deliverables, and (7) been certified by the head of the relevant IRS business unit that the project is deemed necessary for its operations and meets its requirements. The Committee also directs the Chief Information Officer to certify that this review has been completed and submits such certification to the IRS Oversight Board, the Department of the Treasury, the Office of Management and Budget, the House and Senate Committees on Appropriations, the House Ways and Means Committee, and the Senate Finance Committee by no later than 90 days after the date of enactment of this act. This certification should be accompanied by a report on every individual IT project reviewed, a list of projects considered to be high risk, and any actions being taken to address problems identified by this review. Last, the Committee directs the IRS to provide monthly briefings to the IRS Oversight Board and TIGTA on the status of its IT portfolio and to report immediately on any project that has experienced significant cost variances or milestone delivery date slippages.
Modernization Vision and Strategy- The Committee highly commends the IRS for developing a new vision and strategy plan for IT modernization. This plan was a joint effort between the MITS organization and the IRS business units to develop a comprehensive business strategy for the IRS's IT needs. The Committee recommends that the plan be further refined to include a finer level of detail, and specifically, to include milestones and out-year cost estimates.
BSA Direct- The Committee appreciates the IRS's assistance provided to FinCEN in preventing any disruption in information technology service in administering BSA filing data activities by allowing FinCEN to use the IRS's WebCBRS system. The Committee directs the IRS to continue providing such assistance and to coordinate with FinCEN on future BSA filing data needs.
BUSINESS SYSTEMS MODERNIZATION
| Appropriations, 2006 | $242,010,000 |
| Budget estimate, 2007 | 212,310,000 |
| House allowance | 197,060,000 |
| Committee recommendation | 245,000,000 |
PROGRAM DESCRIPTION
This account provides for revamping business practices and acquiring new technology. The agency is using a formal methodology to prioritize, approve, fund, and evaluate its portfolio of business systems modernization investments. This methodology is designed to enforce a documented, repeatable, and measurable process for managing investments throughout their life cycle. The process is reviewed by the Government Accountability Office on a regular basis as part of the submission requirements for expenditure plans to the House and Senate Committees on Appropriations. The expenditure plan approval process prior to the use of appropriated funds continues for fiscal year 2007.
COMMITTEE RECOMMENDATION
The Committee recommends $245,000,000 for Business Systems Modernization [BSM] for fiscal year 2007. This amount is $32,690,000 above the budget request and $2,990,000 above the fiscal year 2006 enacted level. Bill language is included requiring an expenditure plan for these funds. Under the new appropriations account structure, the BSM account has been modified to include funding for IRS staffing associated with direct management of the BSM program.
The Committee continues to believe that BSM is the IRS's highest management and administrative priority that will require management's focus and attention for several years. To the IRS's credit, the program has made steady progress over the past 2 years. Unfortunately, the budget request cuts BSM by $29,700,000 or 15.2 percent from the fiscal year 2006 enacted level. The Committee is troubled by the proposed cut since it will slow the momentum of the BSM's progress in modernizing IRS's antiquated tax administration and financial systems. GAO noted that the proposed funding level would likely affect the IRS's ability to deliver the functionality planned for the fiscal year and could result in project delays and/or scope reductions. Further, this could in turn impact the long-term pace and cost of modernizing IRS tax systems and of ultimately improving taxpayer service and strengthening enforcement.
Based on the views of the GAO and the IRS Oversight Board, the Committee has included an additional $32,690,000 for the BSM program. The Committee directs that these additional funds be used for the modernized e-File program based on the recommendation of the IRS Oversight Board.
HEALTH INSURANCE TAX CREDIT ADMINISTRATION
| Appropriations, 2006 | $20,008,000 |
| Budget estimate, 2007 | 14,846,000 |
| House allowance | 14,846,000 |
| Committee recommendation | 14,846,000 |
PROGRAM DESCRIPTION
This appropriation provides operating funds to administer the advance payment feature of a new Trade Adjustment Assistance health insurance tax credit program to assist dislocated workers with their health insurance premiums. The tax credit program was enacted by the Trade Act of 2002 (Public Law 107-210) and became effective in August 2003.
COMMITTEE RECOMMENDATION
The Committee recommendation provides the budget request level of $14,846,000 for the Health Insurance Tax Credit Administration in fiscal year 2007. This amount is $5,162,000 below the fiscal year 2006 enacted level.
IRS OVERSIGHT BOARD
| Appropriations, 2006 | $1,500,000 |
| Budget estimate, 2007 | 1,500,000 |
| House allowance | 1,500,000 |
| Committee recommendation | 2,000,000 |
PROGRAM DESCRIPTION
The IRS Oversight Board was established by the Congress under the IRS Restructuring and Reform Act of 1998 [RRA]. Its legislatively-mandated mission is to oversee the IRS in its administration, management, conduct, direction, and supervision of the execution and application of the internal revenue laws. The Board is composed of nine members, appointed by the President and confirmed by the Senate. RRA provided the Board with specific responsibilities to review and approve strategic and performance plans; review operational functions; review the selection, evaluation, and compensation of senior executives; and review and approve the budget request of the IRS.
COMMITTEE RECOMMENDATION
The Committee recommends $2,000,000 for the IRS Oversight Board for fiscal year 2007. This amount is $500,000 above the budget request and the fiscal year 2006 enacted levels. These additional funds are provided to increase the Board's oversight of IRS operations, primarily in the area of information technology.
ADMINISTRATIVE PROVISIONS--INTERNAL REVENUE SERVICE
(INCLUDING TRANSFER OF FUNDS)
The Committee has included five administrative provisions carried in prior appropriations acts and six new administrative provisions. The administrative provisions are as follows:
Section 201 continues a provision allowing the IRS to transfer up to 5 percent of any appropriation made available to the Agency in fiscal year 2007 to any other IRS account, with the exception of the Enforcement account, which is limited to 3 percent. The IRS is directed to follow the Committee's reprogramming procedures outlined earlier in this report.
Section 202 continues a provision maintaining a training program in taxpayers' rights and cross-cultural relations.
Section 203 continues a provision requiring the IRS to institute and enforce policies and procedures, which will safeguard the confidentiality of taxpayer information.
Section 204 continues a provision directing that funds shall be available for improved facilities and increased manpower to support a 1-800 help line service for taxpayers.
Section 205 continues a provision designating not less than $170,000,000 for the Taxpayer Advocate Service [TAS]. Further, this amount does not include the normal overhead expenses that IRS provides outside of the TAS account. Accordingly, the Committee directs the IRS to continue providing overhead support from accounts outside of TAS.
Section 206 includes a new provision requiring the IRS to submit its fiscal year 2008 budget justification in the same format provided under this act.
Section 207 is a new provision that allows the IRS to transfer up to $10,000,000 from IRS appropriations accounts to manage the Earned Income Tax Credit program.
Section 208 is a new provision that allows the IRS to transfer up to $35,000,000 from the Taxpayer Services or Enforcement accounts to the Operations Support account for purposes of enhancing information technology systems that support taxpayer service and enforcement activities.
Section 209 is a new provision that establishes new IRS appropriations accounts as Taxpayer Services, Enforcement, and Operations Support.
Section 210 is a new provision that allows the IRS to transfer funds among its new accounts to implement the new account structure in this act.
Section 211 is a new provision that requires the IRS to develop a tax gap strategic plan that details the approaches it will use to achieve a voluntary compliance rate of 85 percent in 2009. This goal was established by the administration in its fiscal year 2007 budget justifications.
ADMINISTRATIVE PROVISIONS--DEPARTMENT OF THE TREASURY
(INCLUDING TRANSFER OF FUNDS)
The Committee includes nine administrative provisions carried over from prior appropriations acts and two new administrative provisions. The administrative provisions are as follows:
Section 212 authorizes certain basic services within the Treasury Department in fiscal year 2007, including purchase of uniforms; maintenance, repairs, and cleaning; purchase of insurance for official motor vehicles operated in foreign countries; and contracts with the Department of State for health and medical services to employees and their dependents serving in foreign countries.
Section 213 authorizes transfers, up to 2 percent, between Departmental Offices, Office of Inspector General, Financial Management Service, Alcohol and Tobacco Tax and Trade Bureau, Financial Crimes Enforcement Network, and the Bureau of the Public Debt appropriations under certain circumstances.
Section 214 authorizes transfer, up to 2 percent, between the Internal Revenue Service and the Treasury Inspector General for Tax Administration under certain circumstances.
Section 215 requires the purchase of law enforcement vehicles be consistent with Departmental vehicle management principles.
Section 216 prohibits the Department of the Treasury and the Bureau of Engraving and Printing from redesigning the $1 Federal Reserve Note.
Section 217 authorizes the Secretary of the Treasury to transfer funds from Salaries and Expenses, Financial Management Service, to the Debt Collection Fund as necessary to cover the costs of debt collection. Such amounts shall be reimbursed to the Salaries and Expenses account from debt collections received in the Debt Collection Fund.
Section 218 amends section 122 of Public Law 105-119 (5 U.S.C. 3104 note), by striking `8 years' and inserting `9 years'.
Section 219 requires prior approval for the construction and operation of a museum by the United States Mint.
Section 220 prohibits the merger of the United States Mint and the Bureau of Engraving and Printing without prior approval of the committees of jurisdiction.
Section 221 is a new provision that authorizes the Department's intelligence activities. This language was included at the request of the Office of the Director of National Intelligence.
Section 222 is a new provision that requires the Department to submit quarterly reports to the House and Senate Committees on Appropriations regarding all uncommitted, unobligated, unexpended, and excess funds in each program and activity and requires the Department to submit additional, updated budget information to these Committees upon request.
TITLE III
DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT
| Appropriations, 2006 | $33,593,827,000 |
| Budget estimate, 2007 | 34,118,007,000 |
| House allowance | 35,297,266,000 |
| Committee recommendation | 36,587,572,000 |
PROGRAM DESCRIPTION
The Department of Housing and Urban Development [HUD] was established by the Housing and Urban Development Act (Public Law 89-174), effective November 9, 1965. This Department is the principal Federal agency responsible for programs concerned with the Nation's housing needs, fair housing opportunities, and improving and developing the Nation's communities.
In carrying out the mission of serving the needs and interests of the Nation's communities and of the people who live and work in them, HUD administers mortgage and loan insurance programs that help families become homeowners and facilitate the construction of rental housing; rental and homeownership subsidy programs for low-income families who otherwise could not afford decent housing; programs to combat discrimination in housing and affirmatively further fair housing opportunity; programs aimed at ensuring an adequate supply of mortgage credit; and programs that aid neighborhood rehabilitation, community development, and the preservation of our urban centers from blight and decay.
HUD administers programs to protect the homebuyer in the marketplace and fosters programs and research that stimulate and guide the housing industry to provide not only housing, but better communities and living environments.
COMMITTEE RECOMMENDATION
The Committee recommends for fiscal year 2007 an appropriation of $36,587,572,000 for the Department of Housing and Urban Development. This is $2,993,745,000 above the fiscal year 2006 enacted level and $2,469,565,000 above the budget request.
TENANT-BASED RENTAL ASSISTANCE
(INCLUDING RESCISSION AND TRANSFERS OF FUNDS)
| Appropriations, 2006 1 | $15,417,919,000 |
| Budget estimate, 2007 1 | 15,920,000,000 |
| House allowance 1 | 15,846,400,000 |
| Committee recommendation 1 | 15,920,000,000 |
| 1 Include an advance appropriation of some $4,200,000,000. |
PROGRAM DESCRIPTION
This account provides funding for the section 8 tenant-based (voucher) program. Section 8 tenant-based housing assistance is one of the principle appropriations for Federal housing assistance and provides rental housing assistance to over 2 million families. Further, it funds incremental vouchers to assist non-elderly disabled families, to provide vouchers for tenants that live in projects where the owner of the project has decided to leave the section 8 program, or for replacement of units lost from the assisted housing inventory (tenant protection vouchers), etc. Under these programs, eligible low-income families pay 30 percent of their adjusted income for rent, and the Federal Government is responsible for the remainder of the rent, up to the fair market rent or some other payment standard. This account also provides funding for the Contract Administrator program, Family Self-Sufficiency [FSS] and the Family Unification program. Under FSS, families receive job training and employment that should lead to a decrease in their dependency on welfare programs and move towards economic self-sufficiency.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $15,920,000,000 for fiscal year 2007, including $4,200,000,000 as an advance appropriation to be made available on October 1, 2007. These funds are $502,081,000 above the fiscal year 2006 level. Of these amounts, the Committee has allocated $14,436,200,000 for the renewal of all expiring section 8 contracts; $149,300,000 for section 8 preservation contracts through tenant protections; $47,500,000 for family self-sufficiency contracts; $1,271,100,000 for administrative fees; up to $10,000,000 for the Family Unification program that provides vouchers to families for whom the lack of adequate housing is a primary factor in the separation, or the threat of imminent separation, of children from their families, and also provides vouchers to youths 18 to 21 years old who left foster care at age 16 or older and lack adequate housing; and $5,900,000 for transfer to the Working Capital Fund.
This account provides funding for section 8 tenant-based housing programs based on a budget-based approach that seeks to ensure funding for vouchers in use while permitting public housing agencies [PHAs] to fund vouchers up to the authorized level. This account funds housing for over 2 million families. Moreover, this level of funding will ensure that PHAs have adequate funds for all vouchers-in-use. The Committee expects that many PHAs will be able to pay the cost of all vouchers up to the legal authorized level.
In addition, the account funds incremental vouchers to assist non-elderly disabled families, vouchers for tenants that live in projects where the owner of the project has decided to opt-out of the section 8 project-based program, or for the replacement of other units lost from the assisted housing inventory. The Committee remains concerned over the increased costs of section 8 rents over the last few years and what these costs could mean to this program in the future expecially in consideration of increasing utility costs. Nevertheless, the Committee believes that many PHAs have not taken prudent steps in reducing the energy costs associated with public housing. High costs of fuel are only one component related to high energy bills.
The Committee believes that the budget-based approach will ensure a more rigorous rent policy and fiscally responsible approach. As a result, the Committee directs HUD to report semi-annually on rent increases for affordable, low-income housing throughout the Nation, including the cost to the Government for its failure to promote or implement a policy for developing low-income housing, especially in tight rental housing markets. The Committee also directs HUD to report annually, beginning no later than June 30, 2007 on the effectiveness of this budget-based approach to vouchers, including the extent to which available housing units are lost because of new cost adjustments as well as the impact of this policy on extremely low-income families (those at or below 30 percent of median income for an area).
The Committee has also broadened the base for determining the funding for section 8 vouchers for each PHA by eliminating the 3 month May through July snapshot of voucher costs and replacing it with the most recent 12 month period as a method for providing accurate and reliable data. The legislation also includes up to $100,000,000 for HUD to award funds to PHAs that were unfairly disadvantaged from excessive costs due to portability over the last year as well as other anomolies such as high utility costs. This funding should eliminate the need for any central fund.
The Committee includes $149,300,000 for tenant protection assistance. This is the same as the budget request and $28,900,000 less than the fiscal year 2006 level.
The Committee remains concerned that HUD is not committed to maintaining section 8 project-based housing and may be encouraging owners to opt out of the program. This would be a tremendous mistake since affordable housing needs are growing while the stock of affordable low-income housing is shrinking. HUD is directed to report no later than June 30, 2007 on the status of HUD's efforts to retain section 8 project-based housing, including a 5-year analysis of units lost and retained, by year, State, and locality. HUD is also directed to provide an analysis of all efforts made by HUD to preserve low-income section 8 units. The Committee also directs GAO to again assess HUD's efforts and success in preserving HUD-assisted low-income housing, especially section 8 project-based housing, including recommendations on how better to preserve this housing. The Committee expects an annual report on this issue.
The Committee directs the Secretary of Housing and Urban Development, in consultation with the Secretary of Veterans Affairs, to conduct a study of the Rental Vouchers for Veterans Affairs Supported Housing Program authorized under title 42 United States Code section 1437f(o)(19) and provide an overview of the program including the total number of vouchers, average cost, locations receiving vouchers, selection procedure and the cost of maintaining such vouchers. The Secretary shall submit such report to the Committees on Appropriation not later than 120 days after the enactment of this act.
The Committee recommends $1,271,100,000 for administrative fees for PHAs. These funds are to be allocated on a formula tied to units under lease. These funds are intended to ensure the success of the section 8 voucher program, but can be used to provide related low-income housing, including development costs.
The Committee provides $47,500,000 for Family Self-Sufficiency coordinators. These funds are designed to promote self-sufficiency by moving from welfare to work.
The Committee includes $5,900,000 to transfer to HUD's Working Capital Fund which is needed for HUD to complete an effective IT system to track HUD funding.
HOUSING CERTIFICATE FUND
(RESCISSION)
| Appropriations, 2006 | -$2,050,000,000 |
| Budget estimate, 2007 | -2,000,000,000 |
| House allowance | -2,000,000,000 |
| Committee recommendation | -2,000,000,000 |
COMMITTEE RECOMMENDATION
The Committee recommends a rescission of $2,000,000,000, the same as the budget request and $50,000,000 less than the fiscal year 2006 rescission level. The administration has been unable to demonstrate there are adequate `excess' section 8 funds available for rescission, which has been the source for prior year rescissions. Instead, the administration appears likely to rescind funds from congressional priority programs such as the Homeless Assistance programs, HOME, HOPE VI section 202 housing for elderly and section 811 Housing for Persons with Disabilities. As a result, because both HUD and OMB have recommended this rescission from section 8 funds, to the extent there are inadequate `excess' section 8 funding for the rescission, the next source of rescission funding is to be obtained, in part, first from an amount equal to 10 percent of HUD salaries and expenses and an amount equal to 10 percent of OMB funding. Only after this source of funds are exhausted can unobligated funds from other HUD programs be used to satisfy this rescission.
PROJECT-BASED RENTAL ASSISTANCE
(INCLUDING TRANSFER OF FUNDS)
| Appropriations, 2006 | $5,037,417,000 |
| Budget estimate, 2007 | 5,675,700,000 |
| House allowance | 5,475,700,000 |
| Committee recommendation | 5,675,700,000 |
PROJECT DESCRIPTION
Section 8 project-based rental assistance provides a rental subsidy to a private landlord that is tied to a specific housing unit as opposed to a voucher which allows a recipient to seek a unit, subject primarily to certain rent caps. Amounts in this account include funding for the renewal of expiring 8 project-based contracts, including section 8, moderate rehabilitation, and single room occupancy [SRO] housing.
COMMITTEE RECOMMENDATION
The Committee provides a total of $5,675,700,000 for the annual renewal of project-based contracts, of which up to $145,500,000 is for the cost of contract administrators, $3,960,000 is for the Working Capital Fund. This funding is equal to the budget request and $635,937,000 above the fiscal year 2006 level. As discussed in the Tenant-Based Rental Assistance account, GAO is directed to annually assess the status of HUD's efforts to preserve assisted housing.
PUBLIC HOUSING CAPITAL FUND
(INCLUDING TRANSFER OF FUNDS)
| Appropriations, 2006 | $2,438,964,000 |
| Budget estimate, 2007 | 2,178,000,000 |
| House allowance | 2,208,000,000 |
| Committee recommendation | 2,460,000,000 |
PROGRAM DESCRIPTION
This account provides funding for modernization and capital needs of public housing authorities (except Indian housing authorities), including management improvements, resident relocation and homeownership activities.
COMMITTEE RECOMMENDATION
The Committee recommends an appropriation of $2,460,000,000 for the public housing capital fund, which is $282,000,000 above the budget request and $21,036,000 above the fiscal year 2006 enacted level.
Of the amount made available under this section, up to $30,000,000 is for supportive services for residents of public housing. Per the budget request, $7,920,000 is available from this account to pay for the costs of administrative and judicial receiverships and $14,850,000 shall be transferred to the Working Capital Fund.
HUD is prohibited from using any funds under this account as an emergency reserve under section 9(k) of the United States Housing Act of 1937, but is provided up to $19,800,000 for emergency capital needs.
The bill includes up to $15,345,000 to support the ongoing financial and physical assessment activities at the Real Estate Assessment Center [REAC].
PUBLIC HOUSING OPERATING FUND
| Appropriations, 2006 | $3,564,000,000 |
| Budget estimate, 2007 | 3,564,000,000 |
| House allowance | 3,564,000,000 |
| Committee recommendation | 3,660,000,000 |
PROGRAM DESCRIPTION
This account provides funding for the payment of operating subsidies to some 3,050 public housing authorities (except Indian housing authorities) with a total of over 1.2 million units under management in order to augment rent payments by residents in order to provide sufficient revenues to meet reasonable operating costs.