Legislative & Regulatory Update

TEA-21 In Review

excerpts from A Summary: Transportation Equity Act for the 21st Century

(Publication No. FHWA-PL-98-038)

from On the Move, Fall (September) Quarter 1998, Volume 11, Number 3

Go back to "The Utah Technology Transfer Center On the Move Fall 1998 Newsletter"

TEA-21 builds on the initiatives established in the Intermodal Surface Transportation Efficiency Act of 1991 (ISTEA), the previous authorizing legislation for surface transportation. This new Act authorizes the continuation and improvement of current programs along with new initiatives to meet the challenges of improving transportation safety as traffic continues to increase at record levels. The Act advances America's economic growth and competitiveness domestically and internationally (through efficient and flexible transportation), while providing protection and enhancement for communities and the natural environment. Below are some of the significant features of TEA-21.

Assurance of a guaranteed level of Federal funds for surface transportation through FY 2003. The annual floor for highway funding is based on tax revenue deposits to the Highway Account of the Highway Trust Fund (HTF). Transit funding is guaranteed at a selected fixed amount. All highway user taxes are extended at the same rates as when the legislation was enacted. The share given back to each state is set to meet the objective of a 90.5 percent return based on the data available at the time the legislation was enacted. This amount will be adjusted each year to ensure that each State's piece of the pie is at least 90.5 percent of what it has contributed to the Highway Account.

Strengthening of safety programs across the Department of Transportation. New incentive programs, with great potential life and property savings, are aimed at increasing the use of safety belts and promoting the enactment and enforcement of 0.08 percent blood alcohol concentration standard for drunk driving.

This legislation establishes an incentive program to encourage States to adopt and demonstrate specific programs, such as: prompt suspension of the driver's license of an alcohol-impaired driver or graduated licensing systems for new drivers; or States can meet performance criteria showing reductions in fatalities involving impaired drivers. The legislation also establishes penalties for States that fail to enact laws prohibiting open alcoholic beverage containers in the passenger area of a motor vehicle and for failing to set minimum penalties for repeat drunk-driving offenders.

The Act directs the Secretary to make grants to States that adopt or demonstrate specific programs, such as primary safety belt use laws and special traffic enforcement programs, and/or that carry out specific child passenger protection and education activities.

Continuation of the program structure established for highways and transit under the landmark ISTEA legislation. Flexibility in the use of funds, emphasis on measures to improve the environment, focus on a strong planning process as the foundation of good transportation decisions--all ISTEA hallmarks--are continued and enhanced by TEA-21. New programs such as Transportation Infrastructure Finance and Innovation and Access to Jobs target special areas of national interest and concern.

Investing in research and its application to maximize the performance of the transportation system. Special emphasis is placed on deployment of Intelligent Transportation Systems to help improve operations and management of transportation systems and vehicle safety.

One of the special programs continued and enhanced in TEA-21 is innovative financing. TEA-21 builds on the initiatives begun under ISTEA to leverage Federal resources by encouraging private participation in the delivery of surface transportation infrastructure. These initiatives are intended to supplement the traditional Federal-aid grant assistance by increasing funding flexibility and program effectiveness. They establish pilot programs to test new financing mechanisms and extend or make permanent some of the tools already tested.

Several such provisions apply to local governments and allow for Federal matching flexibility. The Act provides more flexibility to States and local governments in meeting the non-Federal matching requirement by:

(1) Allowing the fair market value of land lawfully obtained by the State or local government to be applied to the non-Federal share of project costs.

(2) Allowing funds from other Federal agencies to be applied to the non-Federal share of recreational trails or transportation enhancement projects.

(3) Allowing funds appropriated to Federal land management agencies or to the Federal lands highway program to be applied to the non-Federal share of certain projects.

For more detailed information on this Act, please check out the U.S. Department of Transportation website at...[http://www.dot.gov].