$27.5 Billion Allocated
- 50% To be allocated directly to State DOT's based upon existing allocation formulas. States have 120 days (after funds are made available) to allocate the funds to specific expenses or projects, but may request a 1 year extension. (2-3 months to make funds available + 2-12 months to allocate money to projects + project start dates may vary based upon planning dates)
- 50% allocated to directly to State Governments
- 30% of State Funds are allocated to specific regions with no requirement for specific use nor use-it-or-lose-it provision.
- No restrictions on usage other that priority is to be given to projects that can be completed within 3 years and in economically distressed areas. No requirement for states to utilize the money for repair or maintenance first.
- $40 million included for additional USDOT Administration.
Rail Transportation Allocations
- $8 Billion for High Speed Corridors and inner city rail transportation. Money split up between 3 agencies for use: USDOT, Capital Assistance Program and High Speed Rail Program.
- Department of Transportation has 180 days to allocate funding of capital grants and determine provisions. No funds will flow from the program until such guidance is in place.
- $1.3 Billion to be given to Amtrak with $450 million (35%) allocated to security improvements and a limit that no more than 60% can be spent on Northeast Corridor Improvements.
Transit Allocations
$6.9 Billion Capital Projects
- 80% allocated to inner city projects, 10% to rural areas, 10% to High Density Areas
- $100 million to be used to reduce "energy consumption and greenhouse gases" among public transportation agencies.
- Agencies have 180 days after funds become available to allocate the funds.
$750 Million Transit Rail & Repair (i.e. subways)
$750 Million for transit projects already under construction or "shovel-ready". Available funds must be obligated within 150 days, but may take until 2012 to be utilized.
Additional Transportation Grants
$1.5 Billion to be freely allocated by the USDOT however they deem fit for transportation programs. Projects must be selected and obligated within 1 year and be able to be completed within 3 years.
Other Allocations
Estimated $5.3 billion dollars for the creation of $25 billion in a new class of "Recover Zone" bonds. Bond funds are to be allocated to States with high jobless rates, based upon an undefined formula (minimum amount to be set for each state). States are to allocate funds to areas of highest jobless rate, poverty rate or foreclosure rates. Funds may be used for transportation projects, training programs, education and economic development programs within these areas as deemed fit by local municipalities.
Estimated $4.3 billion dollars for the creation of a new class of Tax Credit Bonds for local municipalities. Tax Credit Bonds will be designed to replace current tax exempt bonds by making interest taxable for the bond holder and providing them with a tax credit for a portion of the interest. Designed to reduce interest payments States and Municipalities must pay on bond issues.
$192 million for federal tax credits for specific companies or government entities that provide public transit benefits to employees.
