FY16 Competitive Funding Opportunity: Grants for Buses and Bus Facilities and Low or No Emission Grant Programs; 5339(b) Grants for Buses and Bus Facilities Program and 5339(c) Low or No Emission Program

FY16 Competitive Funding Opportunity: Grants for Buses and Bus Facilities and Low or No Emission Grant Programs; 5339(b) Grants for Buses and Bus Facilities Program and 5339(c) Low or No Emission Program

FY16 Competitive Funding Opportunity: Grants for Buses and Bus Facilities and Low or No Emission Grant Programs; 5339(b) Grants for Buses and Bus Facilities Program and 5339(c) Low or No Emission Program

Matthew J. Welbes
Federal Transit Administration
29 March 2016

[Federal Register Volume 81, Number 60 (Tuesday, March 29, 2016)]
[Notices]
[Pages 17553-17561]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2016-07027]

-----------------------------------------------------------------------

DEPARTMENT OF TRANSPORTATION

Federal Transit Administration

FY16 Competitive Funding Opportunity: Grants for Buses and Bus
Facilities and Low or No Emission Grant Programs; 5339(b) Grants for
Buses and Bus Facilities Program and 5339(c) Low or No Emission Program

AGENCY: Federal Transit Administration (FTA), DOT.

ACTION: Notice of Funding Opportunity (NOFO).

-----------------------------------------------------------------------

SUMMARY: The Federal Transit Administration (FTA) announces the
availability of approximately $211 million of Fiscal Year (FY) 2016
funds for the Section 5339(b) Grants for Buses and Bus Facilities
Competitive Grant Program (Bus Program) and approximately $55 million
for 5339(c) Low or No Emission Bus Competitive Grant Program (Low-No
Program). Funds awarded for the Bus Program will finance capital
projects to replace, rehabilitate, purchase or lease buses and related
equipment and to rehabilitate, purchase, construct or lease bus-related
facilities, including programs of bus and bus-related projects for
subrecipients that are public agencies, private companies engaged in
public transportation, or private non-profit organizations. Funds
awarded for the Low-No Program will finance the purchase or lease of
low or no emission vehicles that use advanced technologies, including
related equipment or facilities, for transit revenue operations.
Projects may include costs incidental to the acquisition of buses or to
the construction of facilities, such as the costs of related workforce
development and training activities, and project development. FTA may
award additional funding that is made available to the program prior to
the announcement of project selections.

DATES: Complete proposals must be submitted electronically through the
GRANTS.GOV ``APPLY'' function by May 13, 2016. Prospective applicants
should initiate the process by registering on the GRANTS.GOV Web site
promptly to ensure completion of the application process before the
submission deadline. Instructions for applying can be found on FTA's
Web site at http://transit.dot.gov/howtoapply and in the ``FIND''
module of GRANTS.GOV. Mail and fax submissions will not be accepted.

FOR FURTHER INFORMATION CONTACT: For the Bus Program, contact Sam
Snead, FTA Office of Program Management, 202-366-1089, or samuel.snead@

[[Page 17554]]

dot.gov. For the Low-No Program, contact Tara Clark, same office, 202-
366-2623, or tara.clark@dot.gov.

SUPPLEMENTARY INFORMATION:

Table Of Contents

A. Program Description
1. 5339(b) Bus and Bus Facilities Competitive Program
2. 5339(c) Low or No Emission Program
B. Federal Award Information
1. 5339(b) Bus and Bus Facilities Competitive Program
2. 5339(c) Low or No Emission Program
C. Eligibility Information
1. 5339(b) Bus and Bus Facilities Competitive Program
2. 5339(c) Low or No Emission Program
D. Application and Submission Information
E. Application Review
1. 5339(b) Bus and Bus Facilities Competitive Program
2. 5339(c) Low or No Emission Program
F. Federal Award Administration
G. Federal Awarding Agency Contacts
H. Technical Assistance and Other Program Information

A. Program Description

1. The Bus Program

Section 5339(b) of Title 49, United States Code, as amended by
Section 3017 of the Fixing America's Surface Transportation Act, Pub.
L. 114-94, authorizes FTA to award Bus Program grants through a
competitive process, as described in this notice. The program provides
funds to State and local governmental authorities for capital projects
to replace, rehabilitate, purchase or lease buses and related equipment
and to rehabilitate, purchase, construct or lease bus-related
facilities. Under this authority, FTA also may award grants to eligible
recipients for projects to be undertaken by subrecipients that are
public agencies, private companies engaged in public transportation, or
private non-profit organizations. The purpose of the Bus Program is to
improve the condition of the nation's public transportation bus fleets,
expand transportation access to employment, educational, and healthcare
facilities, and to improve mobility options in rural and urban areas
throughout the country. In accordance with the statutory requirement
that FTA must ``consider the age and condition of buses, bus fleets,
related equipment, and bus-related facilities'', FTA will prioritize
projects that demonstrate how they will address significant repair and
maintenance needs, improve the safety of transit systems, deploy
connective projects that include advanced technologies to connect bus
systems with other networks, and support the creation of ladders of
opportunity.

2. The Low or No Emission Bus (Low-No) Program

Section 5339(c) of Title 49, United States Code, as established by
Section 3017 of the FAST Act, authorizes FTA to award grants for low or
no emission buses through a competitive process, as described in this
notice. The Low or No Emission Bus Program (Low-No Program) provides
funding to State and local governmental authorities for the purchase or
lease of zero-emission and low-emission transit buses, including
acquisition, construction, and leasing of required supporting
facilities such as recharging, refueling, and maintenance facilities.
FTA recognizes that a significant transformation is occurring in the
transit bus industry, with the increasing availability of low and zero
emission bus vehicles for transit revenue operations. The adoption of
these technologically advanced vehicles will enable the country's
transportation system to move toward a cleaner and more energy-
efficient future, as described in the U.S. Department of
Transportation's recent report, Beyond Traffic 2045. Accordingly, the
purpose of the Low-No Program is to support the transition of the
nation's transit fleet to the lowest polluting and most energy
efficient transit vehicle technologies, thereby reducing local air
pollution and direct carbon emissions, and to support the deployment of
technologically advanced U.S.-made transit buses that have been largely
proven in testing and demonstrations, but are not yet widely deployed
in transit fleets.

B. Federal Award Information

1. 5339(b) Grants for Buses and Bus Facilities Competitive Program

The FAST Act amended 49 U.S.C. 5339 to provide competitive grants
for eligible projects under the Bus Program and has authorized $213
million in FY 2016 to carry out the Bus Program. A one half of one
percent take down authorized for oversight reduces this amount to
approximately $211 million. A minimum of 10 percent of the amount
awarded under the Bus Program will be awarded to States for projects
located in rural areas.

2. 5339(c) Low or No Emission Competitive Program

The FAST Act established 49 U.S.C. 5339(c) to provide competitive
grants for eligible projects under the Low-No Program and has
authorized $55 million in FY 2016 to carry out the Low-No Program.

C. Eligibility Information

1. Bus Program Eligibility

[[Page 17555]]

social service agency or private social service organization; revenues
generated from value capture financing mechanisms; or funds from an
undistributed cash surplus; replacement or depreciation cash fund or
reserve; or new capital. In addition, transportation development
credits or documentation of in-kind match may substitute for local
match if identified in the application.
iii. Eligible Projects
Eligible projects are capital projects to replace, rehabilitate
purchase, or lease buses, vans, and related equipment (including
intelligent technology and software), and capital projects to
rehabilitate, purchase, construct, or lease bus-related facilities.
Eligible projects under the Bus Program also include all projects
otherwise eligible under the Low-No Program.
FTA is particularly interested in implementing the provisions of
the FAST Act that permit applicants to use up to 0.5 percent of the FTA
funds for workforce development activities eligible under 49 U.S.C.
5314 and an additional 0.5 percent for costs associated with training
at the National Transit Institute. Applicants should identify the
proposed use of funds for these activities in the project proposal and
identify them separately in the project budget.

2. Low-No Program Eligibility

i. Eligible Applicants
Eligible applicants include direct recipients of FTA grants under
the Section 5307 Urbanized Area Formula program, States, and Indian
Tribes. Except for projects proposed by Indian Tribes, proposals for
funding eligible projects in rural (non-urbanized) areas must be
submitted as part of a consolidated State proposal. States and other
eligible applicants also may submit consolidated proposals for projects
in urbanized areas. Proposals may contain projects to be implemented by
the recipient or its subrecipients. Eligible subrecipients include
direct recipients of Section 5307 grants and local government
authorities that operate fixed route transit service. If a single
project proposal involves multiple public transportation providers,
such as when an agency acquires vehicles that will be operated by
another agency, the proposal must include a detailed statement
regarding the role of each public transportation provider in the
implementation of the project.
An eligible recipient may submit an application in partnership with
other entities that intend to participate in the implementation of the
project, including, but not limited to, specific vehicle manufacturers,
equipment vendors, owners or operators of related facilities, or
project consultants. If an application that involves such a partnership
is selected for funding, the competitive selection process will be
deemed to satisfy the requirement for a competitive procurement under
49 U.S.C. 5325(a) for the named entities. Applicants are advised that
any changes to the proposed partnership will require FTA advance
approval, would need to be consistent with the scope of the approved
project, and may necessitate a competitive procurement.
Under the 5339(c) Low-No Program, as amended by the FAST Act, there
no longer is a requirement that an eligible project or recipient be
located in an area designated as an air quality non-attainment or
maintenance area.
ii. Cost Sharing or Matching
All eligible expenses under the Low-No Program are attributable to
compliance with the Clean Air Act. Therefore under the provisions of 49
U.S.C. 5323(i) the maximum Federal participation in the costs of
leasing or acquiring a transit bus financed under the Low-No Program is
85 percent of the total transit bus cost. The proposer may seek a lower
Federal contribution. Further, the maximum Federal participation in the
cost of leasing or acquiring low or no emission bus-related equipment
and facilities under the Low-No Program, such as recharging or
refueling facilities, is 90 percent of the net project cost of the
equipment or facilities that are attributable to compliance with the
Clean Air Act.
Eligible sources of local match include the following: Cash from
non-Government sources other than revenues from providing public
transportation services; revenues derived from the sale of advertising
and concessions; amounts received under a service agreement with a
State or local social service agency or private social service
organization; revenues generated from value capture financing
mechanisms; or funds from an undistributed cash surplus; replacement or
depreciation cash fund or reserve; new capital; or in-kind
contributions. In addition, transportation development credits or
documentation of in-kind match may substitute for local match if
identified in the application.
iii. Eligible Projects
Eligible projects are projects or programs of projects for
purchasing or leasing low or no emission buses, acquiring low or no
emission buses with a leased power source, constructing or leasing
facilities and related equipment (including intelligent technology and
software), for low or no emission buses, constructing new public
transportation facilities to accommodate low or no emission buses, or
rehabilitating or improving existing public transportation facilities
to accommodate low or no emission buses. All proposed projects must be
part of the intended recipient's long-term integrated fleet management
plan.
Under the Low-No Program, a low or no-emission bus is defined as a
passenger vehicle used to provide public transportation that
significantly reduces energy consumption, air pollution, or direct
carbon emissions, when compared to a standard vehicle. This includes
zero-emission transit buses, which are defined as buses that produce no
direct carbon emissions and no particulate matter emissions under any
and all possible operational modes and conditions. Examples of zero
emission bus technologies include, but are not limited to hydrogen
fuel-cell buses and battery-electric buses. All transit bus models
procured with funds awarded under the Low-No Program must complete FTA
bus testing for production transit buses pursuant to 49 U.S.C. 5318.
The development or deployment of prototype vehicles is not eligible for
funding under the Low-No program.
FTA is particularly interested in implementing the provisions of
the FAST Act that permit applicants to use up to 0.5 percent of the FTA
funds for workforce development activities eligible under 49 U.S.C.
5314 and an additional 0.5 percent for costs associated with training
at the National Transit Institute. Applicants should identify the
proposed use of funds for these activities in the project proposal and
identify them separately in the project budget.

D. Application and Submission Information

1. Address

Applications must be submitted to Grants.gov. General information
for submitting applications through Grants.gov can be found at
www.fta.dot.gov/howtoapply along with specific instructions for the
forms and attachments required for submission. Failure to submit the
information as requested can delay review of the application.
The FTA urges proposers to submit applications at least 72 hours
prior to the due date to allow time to receive the

[[Page 17556]]

validation messages and to correct any problems that may have caused a
rejection notification. The FTA will not accept submissions after the
stated deadline. GRANTS.GOV scheduled maintenance and outage times are
announced on the GRANTS.GOV Web site. Deadlines will not be extended
due to scheduled Web site maintenance.
Proposers are encouraged to begin the process of registration on
the GRANTS.GOV site well in advance of the submission deadline.
Registration is a multi-step process, which may take several weeks to
complete before an application can be submitted. Registered proposers
may still be required to take steps to keep their registration up to
date before submissions can be made successfully: (1) Registration in
the System for Award Management (SAM) is renewed annually; and, (2)
persons making submissions on behalf of the Authorized Organization
Representative (AOR) must be authorized in GRANTS.GOV by the AOR to
make submissions.
Within 48 hours after submitting an electronic application, the
applicant should receive three email messages from GRANTS.GOV: (1)
Confirmation of successful transmission to GRANTS.GOV, (2) confirmation
of successful validation by GRANTS.GOV, and (3) confirmation of
successful validation by FTA. If confirmations of successful validation
are not received or a notice of failed validation or incomplete
materials is received, the applicant must address the reason for the
failed validation, as described in the email notice, and resubmit
before the submission deadline. If making a resubmission for any
reason, include all original attachments regardless of which
attachments were updated and check the box on the supplemental form
indicating this is a resubmission.

2. Content and Form of Application Submission

A complete proposal submission consists of at least two forms: The
SF424 Mandatory Form and the relevant supplemental form for either the
Bus Program or the Low-No Program. The application must include
responses to all sections of the SF424 Mandatory Form and the relevant
Supplemental Form, unless indicated as optional. The information on the
supplemental form will be used to determine applicant and project
eligibility for the program, and to evaluate the proposal against the
selection criteria described in part E of this notice.
A separate supplemental form exists for the Bus Program and the
Low-No program. Projects that use the inappropriate form will not
contain the information necessary to determine eligibility of the
project and will not be evaluated. Applicants may submit multiple
proposals for one or both competitions in a single application, but
must complete a separate ``project detail'' section of the appropriate
supplemental form for each project.
The supplemental form must be placed in the attachments section of
the SF424 Mandatory Form. Proposers must use the relevant supplemental
form(s) designated for the Bus Program and/or the Low-No Program and
attach it/them to the submission in GRANTS.GOV to successfully complete
the application process. A submission may include multiple supplemental
forms, and a single supplemental form may contain multiple individual
project proposals. All project proposals will be evaluated separately,
regardless of whether they are submitted as a single submission.
An applicant may submit additional supporting documentation for
each project proposal as attachments. Any supporting documentation must
be described and referenced by file name in the appropriate response
section of the supplemental form, or it may not be reviewed.
Information such as proposer name, Federal amount requested, local
match amount, description of areas served, etc. may be requested in
varying degrees of detail on both the SF424 form and Supplemental Form.
Proposers must fill in all fields unless stated otherwise on the forms.
The Supplemental Form template supports pasting copied text from other
documents; applicants should verify that pasted text is fully captured
on the Supplemental Form and has not been truncated by the character
limits built into the form. Proposers should use both the ``Check
Package for Errors'' and the ``Validate Form'' validation buttons on
both forms to check all required fields on the forms, and ensure that
the federal and local amounts specified are consistent.

3. Unique Entity Identifier and System for Award Management (SAM)

All applicants must provide a unique entity identifier provided by
the System for Award Management (SAM). Registration in SAM may take as
little as 3-5 business days, but since there could be unexpected steps
or delays (for example, if you need to obtain an Employer
Identification Number), FTA recommends allowing ample time, up to
several weeks, for completion of all steps. For additional information
on obtaining a unique entity identifier, please visit www.sam.gov.
Further instructions on registration will be provided by FTA through an
introductory applicant training session. Dates and times for the
training session will be posted on FTA's Web site at www.fta.dot.gov/busprogram.

4. Submission Dates and Times

Project proposals must be submitted electronically through
GRANTS.GOV by May 13, 2016. Mail and fax submissions will not be
accepted.

6. Funding Restrictions

Funds under this NOFO cannot be used to reimburse applicants for
otherwise eligible expenses incurred prior to FTA award of a Grant
Agreement until FTA has issued pre-award authority for selected
projects through a notification in the Federal Register, or unless FTA
has issued a ``Letter of No Prejudice'' for the project before the
expenses are incurred.

7. Other Submission Requirements

Applicants are encouraged to consider scaling projects in
increments of 1 or 2 transit buses, in case insufficient funding is
available to fund a project at the full requested amount. If an
applicant indicates that a project is scalable, the applicant must
provide an appropriate minimum funding amount that will fund an
eligible project that achieves the objectives of the program and meets
all relevant program requirements. The applicant must provide a clear
explanation of how the project budget would be affected by a reduced
award. Additionally, funding requests for workforce development
activities must be addressed separately in the budget section of the
application, and such activities must be attributable to the project
being applied for.

E. Application Review

1. Evaluation Criteria for the Bus and Bus Facilities Competitive
Program

FTA will evaluate project proposals for the Bus Program based on
the criteria described in this notice. Projects will be evaluated
primarily on the responses provided in the supplemental form.
Additional information may be provided to support the responses
provided, however, any additional documentation must be directly
referenced on the supplemental form, including the file name where the
additional information can be found.
1. Demonstration of Need
Applicants must demonstrate how the proposed project will address
an unmet need for capital investment in bus vehicles and/or supporting
facilities,

[[Page 17557]]

enhance the safety of the transit system for transit vehicle operators,
riders, and the general public, or improve connectivity of bus systems
with other networks through the use of deployment-ready information
technologies. For example, an applicant may demonstrate a substantial
backlog of deferred capital investment, insufficient size or capacity
of maintenance facilities, excessive reliance on vehicles that are
beyond their intended service life, a vehicle fleet that is
insufficient to meet current ridership demands, or passenger facilities
that are insufficient for their current use. For safety, an applicant
may demonstrate safety concerns with vehicles, equipment, or facilities
that are beyond their intended useful life, or that are no longer
appropriate for use due to safety concerns. To improve connectivity,
bus systems may deploy Intelligent Transportation System (ITS)
technologies or software that link buses with other transportation
networks. Applicants should also describe how the proposed project will
improve the operation of the transit system and whether the project
represents a one-time or periodic need that cannot reasonably be funded
from FTA program formula allocations or State and/or local resources.
Applicants should provide the following information, which FTA will
use to assess the need for capital investment underlying the proposed
project:
a. For bus projects (replacement, rehabilitation or expansion): The
age and condition of the asset(s) to be replaced or rehabilitated by
the proposed project, relative to their intended useful life.
Consistency with the proposer's bus fleet management plan. Condition
and performance of the asset to be replaced by the proposed project, as
ascertained through field inspections or otherwise, if available. For
fleet expansion requests, the degree to which the proposed project will
have a significant impact on service delivery. For both the Bus Program
and Low-No Program, the proposal must address whether the project
conforms to FTA's spare ratio guidelines.
b. For bus facility and equipment projects (replacement and/or
expansion): The age of the asset to be rehabilitated or replaced
relative to its useful life. The degree to which the proposed project
will enable the agency to improve the maintenance and condition of the
agency's fleet and/or other related transit assets. For expansion
requests, the degree to which the proposed project addresses a current
capacity constraint that is limiting the ability of the agency to
provide an adequate level of service relative to current ridership
demands or the degree the equipment will improve connectivity of bus
systems to other networks and infrastructure.
2. Demonstration of Benefits
Applicants must demonstrate how the proposed project will support
the creation of ladders of opportunity, which are defined for this
competition as public transportation services that enable individuals
to achieve increased economic security by supporting the following five
Ladders of Opportunity Principles: (1) Enhanced access to work, (2)
more transportation choices, (3) support for existing communities, (4)
enhanced economic opportunities, and (5) support for partnerships
between public agencies, non-profit organizations and the private
sector.
Enhanced access to work: FTA will evaluate whether the project will
improve access for Americans with transportation disadvantages through
reliable and timely access to employment centers, educational
opportunities, services and other basic needs.
More Transportation Choices: FTA will evaluate whether the project
will significantly enhance mobility through the creation of more
convenient transportation options for travelers.
Support for Existing Communities: FTA will evaluate whether the
project will increase community revitalization, improve the efficiency
of public works investments or safeguard rural communities.
Enhanced Economic Opportunities: FTA will evaluate whether the
project improves economic opportunities by linking capital investments
with local workforce development opportunities and initiatives,
including connections to employment and educational opportunities. FTA
is particularly interested in projects that propose to utilize the
eligibility of 0.5 percent of the proposed Federal funding for
workforce development and/or 0.5 percent for training at the National
Transit Institute. Please note that funding requests for workforce
development activities must be addressed separately in the budget
section of the application, and such activities must be attributable to
the project being applied for.
Support for partnerships between public agencies, non-profit
organizations and the private sector: FTA will evaluate the extent to
which the proposed project will support strong partnerships between
State or local public agencies, local non-profit organizations, and the
private sector to improve mobility for individuals with limited access
to economic opportunities. This includes the extent the applicant has
or will bring local workforce development, training, education,
veterans, transportation and planning stakeholders together with
representation of key customer groups (people with low-incomes, people
with disabilities, youths, veterans, elderly populations, etc.) to
formulate a plan to create ladders of opportunity in an area.
3. Planning and Local/Regional Prioritization
Applicants must demonstrate how the proposed project is consistent
with local and regional long-range planning documents and local
government priorities. This will involve assessing whether the project
is consistent with the transit priorities identified in the long range
plan; and/or contingency/illustrative projects included in that plan;
or the locally developed human services public transportation
coordinated plan. Applicants are not required to submit copies of such
plans, but should describe how the project will support regional goals
and may submit support letters from local and regional planning
organizations attesting to the consistency of the proposed project with
these plans.
Evidence of additional local or regional prioritization may include
letters of support for the project from local government officials,
public agencies, and non-profit or private sector partners.
4. Local Financial Commitment
Applicants must identify the source of the local cost share and
describe whether such funds are currently available for the project or
will need to be secured if the project is selected for funding. FTA
will consider the availability of the local cost share as evidence of
local financial commitment to the project. In addition, an applicant
may propose a local cost share that is greater than the minimum
requirement or provide documentation of previous local investments in
the project, which cannot be used to satisfy local matching
requirements, as evidence of local financial commitment.
5. Project Implementation Strategy
Projects will be evaluated based on the extent to which the project
is ready to implement within a reasonable period of time. Among other
factors, FTA will assess whether the project qualifies for a
Categorical Exclusion (CE), or whether the required environmental work
has been initiated

[[Page 17558]]

or completed for projects requiring an Environmental Assessment (EA) or
Environmental Impact Statement (EIS) under the National Environmental
Policy Act of 1969 (NEPA), as amended.
Applicants should address whether project implementation plans are
complete, including initial design of facilities projects. For vehicle
acquisitions, the applicant should explain the status and timeline of
the intended procurement strategy.
Applicants must also provide the timeframe under which the
Metropolitan Transportation Improvement Program (TIP) and/or Statewide
Transportation Improvement Program (STIP) can be amended to include the
proposed project. This should be accompanied by evidence of MPO and/or
State endorsement. In addition, the proposal should state whether grant
funds can be obligated within 12 months from time of award, if
selected. For projects that will require formal coordination, approvals
or permits from other agencies or project partners, the applicant must
demonstrate previous coordination with these organizations and their
support for the project, such as through letters of support.
6. Technical, Legal, and Financial Capacity
Applicants must demonstrate that they have the technical, legal and
financial capacity to undertake the project. FTA will review relevant
oversight assessments and records to determine whether there are any
outstanding legal, technical, or financial issues with the applicant
that would affect the outcome of the proposed project.
FTA will also review the proposed source of local match. Applicants
should submit evidence of the availability of such funds for the
project, for example by including a board resolution, letter of support
from the State, or other documentation of the source of local funds.
Review and Selection Process
In addition to other FTA staff that may review the proposals, a
technical evaluation committee will evaluate proposals based on the
published evaluation criteria. Members of the technical evaluation
committee and other FTA staff may request additional information from
applicants, if necessary. Based on the findings of the technical
evaluation committee, the FTA Administrator will determine the final
selection of projects for program funding. FTA may consider geographic
diversity, diversity in the size of the transit systems receiving
funding, and/or the applicant's receipt of other competitive awards in
determining the allocation of program funds. Not less than 10 percent
of the Bus and Bus Facility Program funds will be distributed to
projects in rural areas. In addition, not more than 10 percent of the
funds may be awarded to a single grantee.

2. Selection Criteria for the Low or No Emission Bus Program

FTA will evaluate project proposals for the Low-No Program based on
the criteria described in this notice. Projects will be evaluated
primarily on the responses provided in the supplemental form.
Additional information may be provided to support the responses
provided; however, any additional documentation must be directly
referenced on the supplemental form, including the file name where the
additional information can be found.
i. Demonstration of Need
Since the purpose of this program is to fund bus vehicles and
facilities, applicants must demonstrate how the proposed project will
address an unmet need for capital investment in bus vehicles and/or
supporting facilities. For example, an applicant may demonstrate a
substantial backlog of deferred capital investment, insufficient size
or capacity of maintenance facilities for low or no emission vehicles,
excessive reliance on vehicles that are beyond their intended service
life, or a vehicle fleet size that is insufficient to meet current
ridership demands.
Applicants should also provide the following information, which FTA
will use to assess the need for capital investment underlying the
proposed project:
a. For low or no emission bus projects (replacement, rehabilitation
or expansion): The age and condition of the vehicles or facilities to
be replaced or rehabilitated by the proposed project, relative to their
intended useful life. The consistency of the proposed project with the
proposer's bus fleet management plan. The condition and performance of
the vehicles to be replaced by the proposed project. For fleet
expansion requests, the degree to which the proposed project will have
a significant impact on service delivery. For both the Bus Program and
Low-No Program, the proposal must address whether the project conforms
to FTA's spare ratio guidelines. Low or no emission vehicles funded
under this program are not exempted from FTA's standard spare ratio
requirements which apply to and are calculated on the agency's entire
fleet.
b. For bus facility and equipment projects (replacement and/or
expansion): The age of the asset to be rehabilitated or replaced
relative to its useful life. The degree to which the proposed project
will enable the agency to improve the maintenance or operation of the
agency's existing low or no emission vehicles, and/or other related
transit assets.
ii. Demonstration of Benefits
Applicants must demonstrate how the proposed project will support
the successful deployment of vehicles with advanced propulsion
technologies in regular transit operations. In particular, the
applicant must demonstrate how the proposed project will support the
following Low-No Program objectives: (1) Reduce Direct Carbon
Emissions; (2) Reduce Particulate Emissions; (3) Support Deployment of
Advanced Propulsion Technologies; (4) Demonstrate Successful Revenue
Operation of New Technologies.
Reduce Direct Carbon Emissions: Applicants should demonstrate how
the proposed vehicles or facility will reduce emissions of greenhouse
gases from transit vehicle operations. FTA will evaluate the rate of
direct carbon emissions by the proposed vehicles or vehicles to be
supported by the proposed facility, the number of vehicles that will be
in operation as a result of the proposed project, and the emissions
from the vehicles that will be replaced or moved to the spare fleet as
a result of the proposed project.
Reduce Particulate Emissions: Applicants should demonstrate how the
proposed vehicles or facility will reduce the emission of particulates
that create local air pollution, which leads to local environmental
health concerns, smog, and unhealthy ozone concentrations. FTA will
evaluate the rate of particulate emissions by the proposed vehicles or
vehicles to be supported by the proposed facility, the number of
vehicles that will be in operation as a result of the proposed project,
and the emissions from the vehicles that will be replaced or moved to
the spare fleet as a result of the proposed project.
Support Deployment of Advanced Propulsion Technologies: As
described in the U.S. Department of Transportation's ``Beyond Traffic
2045'', the transportation sector will need to significantly reduce its
emissions of greenhouse gases. Accordingly, applicants should describe
how the proposed project will introduce new vehicle technologies that
reduce emissions and increase energy

[[Page 17559]]

efficiency into transit revenue operations. FTA will consider the
prevalence of the proposed propulsion technology in the nation's
transit fleet, the degree to which the proposed technology reduces
emissions as compared to more common vehicle propulsion technologies,
and the capability of the proposed vehicle type to perform to an
adequate level of performance in standard revenue operations, as
evidenced by successful revenue service in similar operating
environments.
Demonstrate Successful Revenue Operation of New Technologies:
Applicants should describe how the proposed project will support the
successful operation of new technologies in revenue service. FTA will
evaluate the current or planned ability of the applicant to
successfully operate and maintain the proposed vehicles or vehicles to
be supported by the proposed project. As the introduction of new
technology may impact the skills needed by the applicant's workforce,
FTA is particularly interested in projects that propose to utilize the
eligibility of 0.5 percent of the proposed Federal funding for
workforce development and/or 0.5 percent for training at the National
Transit Institute. Please note that funding requests for workforce
development activities must be addressed separately in the budget
section of the application, and such activities must be attributable to
the project being applied for. Applicants should also address the
appropriateness of the intended vehicles for the type of service
proposed, in particular when considering vehicle operating range,
charging or fueling requirements, or terrain. FTA will evaluate the
consistency of the proposed project with the applicant's long-term
fleet management plan, as well as the applicant's previous experience
with the relevant low or no emissions vehicle technologies.
iii. Planning and Local/Regional Prioritization
Applicants must demonstrate how the proposed project is consistent
with local and regional long range planning documents and local
government priorities. This will involve assessing whether the project
is consistent with the transit priorities identified in the long range
plan; and/or contingency/illustrative projects included in that plan;
or the locally-developed human services public transportation
coordinated plan. Applicants are not required to submit copies of such
plans, but should describe how the project will support regional goals
and may submit support letters from local and regional planning
organizations attesting to the consistency of the proposed project with
these plans.
Evidence of additional local or regional prioritization may include
letters of support for the project from local government officials,
public agencies, and non-profit or private sector partners.
iv. Local Financial Commitment
Applicants must identify the source of the local cost share and
describe whether such funds are currently available for the project or
will need to be secured if the project is selected for funding. FTA
will consider the availability of the local cost share as evidence of
local financial commitment to the project. In addition, an applicant
may propose a local cost share that is greater than the minimum
requirement or provide documentation of previous local investments in
the project, which cannot be used to satisfy local matching
requirements, as evidence of local financial commitment. FTA will also
note if an applicant proposes to use grant funds only for the
incremental cost of new technologies over the cost of replacing
vehicles with standard propulsion technologies.
v. Project Implementation Strategy
Projects will be evaluated based on the extent to which the project
is ready to implement within a reasonable period of time. Among other
factors, FTA will assess whether the project qualifies for a
Categorical Exclusion (CE), or whether the required environmental work
has been initiated or completed for projects requiring an Environmental
Assessment (EA) or Environmental Impact Statement (EIS) under the
National Environmental Policy Act of 1969 (NEPA), as amended.
Applicants must provide information regarding their project
implementation plans, including whether initial design of facilities
projects has been completed. For vehicle acquisitions, the applicant
must explain the status and timeline of the intended procurement
strategy, and must demonstrate familiarity with the current market
availability of the proposed advanced vehicle propulsion technology.
For project proposals that do not specify a particular
manufacturer, model, or vendor, applicants must demonstrate that
vehicles are available of the proposed type that meet or exceed FTA's
Buy America domestic content requirements.
For project proposals that involve a partnership with a
manufacturer, vendor, consultant, or other third party, applicants must
identify by name any project partners, including but not limited to
other transit agencies, bus manufacturers, owners or operators of
related facilities, or any expert consultants. FTA will evaluate the
experience and capacity of the named project partners to successfully
implement the proposed project based on the partners' experience and
qualifications. Applicants are advised to submit information on the
partners' qualification and experience as a part of the application.
Entities involved in the project that are not named in the application
will be required to be selected through a competitive procurement.
Applicants must also provide the timeframe under which the TIP and/
or STIP can be amended to include the proposed project. This should be
accompanied by evidence of MPO and/or State endorsement. In addition,
the proposal should state whether grant funds can be obligated within
12 months from time of award, if selected. For projects that will
require formal coordination, approvals or permits from other agencies
or project partners, the applicant must demonstrate previous
coordination with these organizations and their support for the
project, such as through letters of support.
vi. Technical, Legal, and Financial Capacity
Applicants must demonstrate that they have the technical, legal and
financial capacity to undertake the project. FTA will review relevant
oversight assessments and records to determine whether there are any
outstanding legal, technical, or financial issues with the applicant
that would affect the outcome of the proposed project. FTA will also
review the proposed source of local match. Applicants should submit
evidence of the availability of such funds for the project, for example
by including a board resolution, letter of support from the State, or
other documentation of the source of local funds.
Review and Selection Process
In addition to other FTA staff that may review the proposals, a
technical evaluation committee will evaluate proposals based on the
published evaluation criteria. Members of the technical evaluation
committee and other FTA staff may request additional information from
applicants, if necessary. Based on the findings of the technical
evaluation committee, the FTA Administrator will determine the final
selection of projects for program

[[Page 17560]]

funding. FTA may consider geographic diversity, diversity in the size
of the transit systems receiving funding, and/or the applicant's
receipt of other competitive awards in determining the allocation of
program funds. FTA may consider capping the amount a single applicant
may receive.

F. Federal Award Administration

i. Federal Award Notice
Subsequent to an announcement by the FTA Administrator of the final
project selections, which will be posted on the FTA Web site, FTA will
publish a list of the selected projects, a summary of final scores for
selected projects, Federal award amounts and recipients in the Federal
Register. Project recipients should contact their FTA Regional Offices
for additional information regarding allocations for projects under the
Bus and Low-No Programs.
At the time the project selections are announced, FTA will extend
pre-award authority for the selected projects. There is no blanket pre-
award authority for these projects before announcement.
ii. Award Administration
Funds under the Bus and Low-No Programs are available to States,
designated recipients, or eligible direct recipients of Section 5307
funds. There is no minimum or maximum grant award amount; however, FTA
intends to fund as many meritorious projects as possible. Only
proposals from eligible recipients for eligible activities will be
considered for funding. Due to funding limitations, proposers that are
selected for funding may receive less than the amount originally
requested. In those cases, applicants must be able to demonstrate that
the proposed projects are still viable and can be completed with the
amount awarded.
iii. Administrative and National Policy Requirements
i. Pre-Award Authority
The FTA will issue specific guidance to recipients regarding pre-
award authority at the time of selection. The FTA does not provide pre-
award authority for competitive funds until projects are selected and
even then there are Federal requirements that must be met before costs
are incurred. For more information about FTA's policy on pre-award
authority, please see the FY 2016 Apportionment Notice published on
February 16, 2016. https://www.gpo.gov/fdsys/pkg/FR-2016-02-16/pdf/2016-02821.pdf.
ii. Grant Requirements
If selected, awardees will apply for a grant through FTA's Transit
Award Management System (TrAMS). Recipients of Bus Program Funding in
urban areas and all Low/No Emission recipients, are subject to the
grant requirements of section 5307 Urbanized Area Formula Grant
program, including those of FTA Circular 9030.1E. Recipients of Bus
Program Funding in rural areas are subject to the grant requirements of
Section 5311 Formula Grants for Rural Areas Program, including those of
FTA Circular 9040.1G All recipients must follow the Grants Management
Requirements of FTA Circular 5010.1D, and the labor protections of 49
U.S.C. Section 5333(b). All competitive grants, regardless of award
amount, will be subject to the congressional notification and release
process. Technical assistance regarding these requirements is available
from each FTA regional office.
iii. Buy America
The FTA requires that all capital procurements meet FTA's Buy
America requirements that require all iron, steel, or manufactured
products be produced in the U.S., to help create and protect
manufacturing jobs in the U.S. The Ferry program will have a
significant economic impact toward meeting the objectives of the Buy
America law. The Buy America requirements can be found in 49 CFR part
661. Any proposal that will require a waiver must identify the items
for which a waiver will be sought in the application. Applicants should
not proceed with the expectation that waivers will be granted.
iv. Disadvantaged Business Enterprise
Projects that include ferry acquisitions are subject to the
Disadvantaged Business Enterprise (DBE) program regulations at 49 CFR
part 26. The rule requires that, prior to bidding on any FTA-assisted
vehicle procurement, entities that manufacture ferries must submit a
DBE Program plan and annual goal methodology to FTA. The FTA will then
issue a transit vehicle manufacturer (TVM) concurrence/certification
letter. Grant recipients must verify each entity's compliance before
accepting its bid. A list of certified TVMs is posted on FTA's Web page
at http://www.fta.dot.gov/civilrights/12891.html. Recipients should
contact FTA before accepting bids from entities not listed on this Web
posting. Recipients may also establish project specific DBE goals for
ferry purchases. The FTA will provide additional guidance as grants are
awarded. For more information on DBE requirements, please contact
Britney Berry, Office of Civil Rights, 202-366-1065, email:
britney.berry@dot.gov.
v. Planning
The FTA encourages proposers to notify the appropriate State
Departments of Transportation and MPOs in areas likely to be served by
the project funds made available under these initiatives and programs.
Selected projects must be incorporated into the long-range plans and
transportation improvement programs of States and metropolitan areas
before they are eligible for FTA funding.
vi. Standard Assurances
The applicant assures that it will comply with all applicable
Federal statutes, regulations, executive orders, FTA circulars, and
other Federal administrative requirements in carrying out any project
supported by the FTA grant. The applicant acknowledges that it is under
a continuing obligation to comply with the terms and conditions of the
grant agreement issued for its project with FTA. The applicant
understands that Federal laws, regulations, policies, and
administrative practices might be modified from time to time and may
affect the implementation of the project. The applicant agrees that the
most recent Federal requirements will apply to the project, unless FTA
issues a written determination otherwise. The applicant must submit the
Certifications and Assurances before receiving a grant if it does not
have current certifications on file.
vii. Reporting
Post-award reporting requirements include submission of Federal
Financial Reports and Milestone Reports in FTA's electronic grants
management system.

G. Technical Assistance and Other Program Information

This program is not subject to Executive Order 12372,
``Intergovernmental Review of Federal Programs.'' The FTA will consider
applications for funding only from eligible recipients for eligible
projects listed in Section C. Complete applications must be submitted
through GRANTS.GOV by 11:59 p.m. EDT on XXXXXXX. Contact information
for FTA's regional offices can be found on FTA's Web site at
www.fta.dot.gov.

H. Federal Awarding Agency Contacts

For further information concerning this notice please contact the
Bus Program manager via email at

[[Page 17561]]

samuel.snead@dot.gov, or call Sam Snead at 202-366-1089. For further
information concerning this notice contact the Low-No Program manager,
Tara Clark by phone at 202-366-2623, or by email at tara.clark@dot.gov.
A TDD is available for individuals who are deaf or hard of hearing at
[number]. In addition, FTA will post answers to questions and requests
for clarifications on FTA's Web site at http://transit.dot.gov/busprogram. To ensure applicants receive accurate information about
eligibility or the program, the applicant is encouraged to contact FTA
directly, rather than through intermediaries or third parties, with
questions. FTA staff may also conduct briefings on the competitive
grants selection and award process upon request.

Matthew J. Welbes,
Executive Director.
[FR Doc. 2016-07027 Filed 3-28-16; 8:45 am]
BILLING CODE 4910-57-P