BACKGROUND
KEY POINTS
KEY PLAYERS
KEY PROGRAMS

BACKGROUND

The Transportation Equity Act for the 21st Century, or "TEA-21," refers to the massive federal transportation spending bill signed into law by President Clinton in June of 1998. It provides over $3 billion in annual federal funding over a six year period (federal fiscal years 1998 through 2003) to assist California's state department of transportation (Caltrans), metropolitan regions, and local governments with everything from building freeways to installing curb cuts on sidewalks.

First passed in its original form by Congress in 1956 and renewed every five or six years since then, the federal transportation bill establishes programs and policies that guide the expenditure of revenues from the 18.3 cent federal gasoline tax. Originally intended as funding to construct the since-completed 45,000 mile Interstate highway system, the legislation was dramatically altered in the early 1990s to fund more transportation alternatives to single occupancy vehicle travel as well as include more local government and public participation.

The passage of TEA-21 represented a major victory for advocates of a more balanced transportation system and greater local control over decision-making. In California, federal funding is combined with state and local dollars and emerges as a dizzying array of programs. Some of the more promising for transportation reform advocates include the transportation enhancements program, the safe routes to school program, the bicycle transportation account and the congestion mitigation and air quality (CMAQ) program.
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KEY POINTS

• TEA-21 provides more transportation money to California than ever before, but with fewer strings attached. The law thus provides a record number of new opportunities for transportation reforms but very few actual guarantees.
• There is virtually nothing that can't be funded under TEA-21 Ð it has the broadest eligibility possible for transportation project funding. It can be used on highways, bike lanes and paths, transit facilities, clean air programs, neighborhood traffic calming, ridesharing programs, HOV lanes, ADA accessible sidewalks, transit-oriented development, even day care facilities at transit stations.
• Under a new California law (SB45), the 43 regional transportation planning agencies (RTPAs) in the state now enjoy much of the decision making authority regarding when and where local transportation projects get funded. Yet Caltrans does still direct a portion of the state and the federal funding.
• Planning is a major component of TEA-21. Short and long -range transportation plans must be developed by every RTPA as well as the state. To be funded, projects must be on these plans.
• Projects must have a 11.5 percent local match for funding. They must also be sponsored by a public agency, be on a plan of some kind or have been formally studied, and are subject to all federal regulations and environmental reviews.

KEY PLAYERS

The essential ingredient to making the promise of TEA-21 a reality in California is its implementation. Local governments and transportation reform advocates must verse themselves on the complexities of the ever-changing transportation decision-making process within the state.

From the turn of the century until 1991, Caltrans Ð the state department of transportation Ð had an almost exclusive lock on the transportation decision-making process. Caltrans is still an important player statewide, but as a result of the predecessor to TEA-21 and several state laws passed in recent years, California's 43 regional transportation planning agencies and 58 counties now play a much more significant role than ever before.

At the regional level, Regional Transportation Planning Agencies (RTPAs) have much of the responsibility for programming federal transportation dollars under TEA-21. These are the most critical agencies for local officials and advocates to tap into for federal as well as state funding.

At the county level, Congestion Management Agencies (CMAs) and/or Local Transportation Commissions are also sometimes responsible for drafting local transportation plans and nominating projects for funding. And finally, City and County Public Works Departments still have a big say over which projects get funded.
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KEY PROGRAMS

One of TEA-21's most important components is its breadth of programs that allow smaller, more neighborhood-based projects to compete with bigger-ticket items like freeway construction. Some of the most important:

Transportation Enhancements (TEA)
Very popular program that funds everything from bicycle and pedestrian facilities to main street revitalizations to historic preservation of train depots ($60M/yr statewide Ð 75% programmed by RTPAs; 25% by Caltrans).

Safe Routes to School Program
New Caltrans-administered program that can fund bicycle, pedestrian and traffic calming projects to make it safer for kids to walk and bike to school ($20M/yr). More info: www.dot.ca.gov/hq/LocalPrograms/

CMAQ
Congestion Mitigation Air Quality program funds air quality initiatives like ridesharing, clean fuel buses, and bicycle and pedestrian facilities programmed by RTPAs ($300M/yr +).

Surface Transportation Program (STP)
Largest and most flexible program for capital projects. Everything from ADA accessible sidewalks to transit capital projects to road construction programmed by RTPAs ($300M/yr +).

Tax-Free Transit Passes
A component of TEA-21 that allows employers to offer transit passes worth up to $65 a month to employees. Tax free to employees and tax deductible for the employer.

STIP
The bulk of this enormous state funding program has historically gone to larger highway expansion and mass transit projects but the new SB45 law has opened up eligibility to include just about any kind of capital project and put three-quarters of the funding in the hands of the RTPAs. Process now begins at the local level with a Regional Transportation Improvement Program (RTIP) adopted every other year.

Transit funding
Handled on the same cycle as the RSTP/CMAQ funds and programmed by RTPAs and the state's transit agencies. (roughly $3B/yr statewide).

SHOPP
The State Highway Operations and Protection Program is the main state highway rehabilitation and safety improvement program. While traditionally reserved for repaving, there may be opportunities to include bicycle and pedestrian safety improvements. Programmed exclusively by Caltrans.

Bicycle Transportation Account
There are many other funding sources that don't use TEA-21 funds but are still important funding sources for local projects. Worth $1M/yr statewide that will soon be $5M/yr. For more information contact visit www.dot.ca.gov/hq/LocalPrograms/ or call Caltrans at 916-653-2750.

TDA Article 3 Funds
Revenues generated by a quarter cent of the statewide sales tax that are returned to counties for the purpose of bicycle and pedestrian facility funding.
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