Funding/Apportionments Questions & Answers

Answer 1: For FY 2013, a total of $40.4 billion in contract authority is authorized for highways and bridge programs. In addition, there is $500 million authorized for Projects of National and Regional Significance and $30 million authorized for Tribal High Priority Projects from the General Fund and subject to appropriation.

For FY 2014, a total of $41 billion in contract authority is authorized for the highways and bridge programs. In addition, there is $30 million authorized for Tribal High Priority Projects from the General Fund and subject to appropriation.

The detailed table showing authorized funding for individual programs under MAP-21 can be found here.

Answer 2: MAP-21 takes a new approach to formulas that differs substantially from the approach under SAFETEA-LU (and prior authorization acts). Under SAFETEA-LU each apportioned program was funded by a separate authorization (or takedown) and then distributed among the States based on factor data such as lane miles, vehicle miles traveled, fatalities data, etc. Under MAP-21, for each fiscal year, a lump sum is authorized for all apportioned programs. This lump sum is first distributed among the States based on each State's total FY 2012 apportionments (with an adjustment in FY 2014 to guarantee a 95% return of each State's dollar contribution to the Highway Account of the Highway Trust Fund) and then distributed within each State among the individual apportioned programs. The full description of the apportionment calculations can be found in the Apportionment fact sheet.

Answer 3: A set-aside is an amount or percentage of each State's apportioned funds required to be used for a specified purpose or activity.

Answer 4: There are a number of set-asides from the apportioned amounts. Below is a summary of all of the set-asides under MAP-21 (excluding those based on penalty provisions). Please note the relevant program codes used to obligate these set aside amounts in the program codes Q&A below.

National Highway Performance Program (NHPP):

• Transportation Alternatives Program (TAP): Proportional set-aside from each State's apportionments such that the total amount set aside from all of a State's apportionments equals the total TAP amount determined for the State. A description of the calculation can be found on the TAP Fact Sheet.
• State Planning & Research (SPR): Set-aside of 2% from each State's NHPP apportionment.

Surface Transportation Program (STP):

• TAP: Proportional set-aside from each State's apportionments such that the total amount set aside from all of a State's apportionments equals the total TAP amount determined for the State. A description of the calculation can be found on the TAP Fact Sheet.
• SPR: Set-aside of 2% from each State's STP apportionment.
• Off-System Bridges: Set-aside of an amount equal to 15% of a State's FY 2009 Highway Bridge Program apportionment from the portion of each State's STP apportionment that is not suballocated.

Highway Safety Improvement Program (HSIP):

• Railway-Highway Crossings Program: A national total of $220 million is set aside from the States' initial HSIP amounts. The set-aside amount from each State's initial HSIP amount is based on the formula in section 130(f) of title 23, United States Code. The final HSIP apportionment is net of this set-aside, meaning that the TAP and SPR set-asides below are calculated based on the final HSIP apportionment.
• TAP: Proportional set-aside from each State's apportionments such that the total amount set aside from all of a State's apportionments equals the total TAP amount determined for the State. A description of the calculation can be found on the TAP Fact Sheet.
• SPR: Set-aside of 2% from each State's HSIP apportionment.

Congestion Mitigation & Air Quality Improvement Program (CMAQ):

• TAP: Proportional set-aside from each State's apportionments such that the total amount set aside from all of a State's apportionments equals the total TAP amount determined for the State. A description of the calculation can be found on the TAP Fact Sheet.
• SPR: Set-aside of 2% from each State's CMAQ apportionment.
• Priority use of CMAQ funds in PM 2.5 areas: Set-aside of 25% of the portion of each State's CMAQ apportionment that is based all or in part on weighted population for PM 2.5 nonattainment for priority use on PM 2.5 projects in PM 2.5 nonattainment or maintenance areas.

Metropolitan Planning Program:

• TAP: Proportional set-aside from each State's apportionments such that the total amount set aside from all of a State's apportionments equals the total TAP amount determined for the State. A description of the calculation can be found on the TAP Fact Sheet.

TAP:

• Recreational Trails Program (RTP): Set-aside of an amount equal to a State's FY 2009 RTP apportionment from each State's TAP funds (unless a State opts out of the set-aside no later than 30 days prior to the start of a fiscal year).

Railway-Highway Crossings Program:

1. Protective devices: An amount equal to 50% of a State's Railway-Highway Crossings Program amount is set aside for protective devices. The remaining 50% is for hazard elimination.

SPR:

• Research, Development, and Technology Transfer (RD&T): Set-aside of 25% from each State's total SPR funding.

Answer 5: MAP-21 requires some transfers from States to FHWA for certain purposes. Equal formula obligation limitation must be transferred with the funds. Specific instructions/information on the process for such transfers will be provided to the States (via the FHWA Division Offices) from the relevant program offices. The following are the transfers to FHWA required under MAP-21:

1. Future Strategic Highway Research Program (FSHRP) Implementation: Each State is required to "make available" (i.e., transfer) to FHWA an amount equal to 4% (as was agreed to by ¾ of the States) of a State's total SPR funding.
2. FHWA RTP administration: Each State that does not opt out of the set-aside for the Recreational Trails Program is required to "return" (i.e., transfer) to FHWA 1% from each State's RTP set-aside amount.

Answer 6: A limiting amount is a ceiling on the amount or percentage of each State's apportioned funds that may be used for a certain purpose or activity.

Answer 7: There are a number of limiting amounts for the apportioned funds. Below is a summary of all of the limiting amounts under MAP-21. Please note the relevant program codes used to obligate these limiting amounts in the program codes Q&A below (except for the data compilation and analysis limiting amount for the Railway-Highway Crossings Program, which is not tracked via FMIS program code).

Surface Transportation Program (STP):

• Highway use tax evasion: A State may obligate up to ¼% of its STP apportionment amount for carrying out initiatives to halt the evasion of payment of motor fuel taxes.
• Denali access system: The State of Alaska may transfer up to 15% of its STP apportionment amount to the Denali Commission for the Denali Access System Program.
• Special rule for areas of 5,000 or less population: A State may obligate up to 15% of its STP apportionment amount sub-allocated to areas with populations 5,000 and under for projects on roads functionally classified as minor collectors.
• On-the-job training: A State may obligate up to ½% of its STP apportionment amount for carrying out on-the-job training under section 140(b) of title 23.

Congestion Mitigation & Air Quality Improvement Program (CMAQ):

• CMAQ flexible funding: A State that does not have (and has never had) a nonattainment area or a State that has a nonattainment/maintenance area but received a minimum CMAQ apportionment in FY 2009 may use all or a portion, respectively, of its CMAQ apportionment under MAP -21 for projects eligible under STP. See the CMAQ fact sheet for further details.

Recreational Trails Program:

• State program administration: A State may obligate up to 7% of its recreational trails funding on State costs incurred in administering the program.
• Educational programs: A State may obligate up to 5% of its recreational trails funding on publications and educational programs related to recreational trails.

Railway-Highway Crossings Program:

• Data compilation and analysis: A State may use not more than 2% of its Railway-Highway Crossings Program funds for compilation and analysis of data in support of activities carried out to produce the annual report required in section 130(g) of title 23.

Multiple programs:

• Certain safety projects: This provision allows for up to a 100% Federal share payable for certain safety projects, limited to 10% of sums apportioned under NHPP, STP, HSIP, CMAQ, and MPP. Note that the total limiting amount may be used in any proportion among the listed programs.
• Innovative project delivery: This provision allows the Federal share payable to be increased by up to 5% of the total project cost, not to exceed 100%, for projects using innovative project delivery methods, limited to 10% of the combined apportionments of the State under NHPP, STP, and MPP. Note that the total limiting amount may be used in any proportion among the listed programs.

Answer 8: The notice showing the official apportionments certified by the FHWA Administrator is issued on October 1 of each fiscal year. The notice shows the apportionments for the National Highway Performance Program, Surface Transportation Program, Highway Safety Improvement Program, Railway-Highway Crossings Program, Congestion Mitigation & Air Quality Improvement Program, and Metropolitan Planning Program. The FY 2013 apportionment notice and tables can be found online.

Apportionments are loaded into the Fiscal Management Information System (FMIS) and made available to the States shortly after the system opens for each fiscal year. States are able to view their apportionment amounts, including the detailed funding breakdowns such as set-asides (set-aside for State Planning & Research, set-aside for the Transportation Alternatives Program, etc.), suballocations, and limiting amounts in FMIS at that point.

Supplementary tables showing the detailed funding breakdowns will be issued via a separate notice at a later date (typically a couple months after the October 1 notice). In addition, as was the case under SAFETEA-LU, following the issuance of the supplementary tables FWHA plans to provide computational tables to the States as well.

Answer 9: FHWA has set up new program codes for MAP-21. A memorandum to FHWA Division Offices and States provides the new program codes.

Answer 10: For any programs that were continued, but amended, the rules in effect as of October 1, 2012, will apply to all related funding, whether carryover or new. This includes programs such as Surface Transportation Program (STP), Congestion Mitigation and Air Quality Improvement Program (CMAQ), and the Highway Safety Improvement Program (HSIP) (see FHWA Treatment of Carryover Highway Program Funding table).

Answer 11: So long as funding for the program has not been rescinded and the period of availability for obligation has not expired, any carryover funding continues to be available for the original purpose under the rules that apply to the funding.

Answer 12: For programs that were consolidated within a new program, the carryover funding continues to be available for the original purpose under the rules that applied under the old program. This includes programs such as Interstate Maintenance (IM), Highway Bridge, and National Highway System (NHS). The rules in effect as of October 1, 2012 will apply to all new programs, such as the National Highway Performance Program (see FHWA Treatment of Carryover Highway Program Funding table).