CMAQ and the New Air Quality Standards

1. CMAQ and the New Air Quality Standards Air Quality Team, FHWA Summer, 2004

2. Topics • Background on CMAQ • CMAQ and the New NAAQS • CMAQ and Reauthorization • New Areas and CMAQ Eligibility • CMAQ Tracking System

3. Background on the CMAQ Program

4. CMAQ Background • Created by ISTEA of ’91, reauthorized by TEA-21, expected to continue • Funds transportation projects and programs to help achieve and maintain NAAQS for Ozone, CO, and PM-10 • Jointly administered by FHWA and FTA in consultation with EPA

5. CMAQ Overview • $14.1 billion program under ISTEA and TEA-21 • Apportioned to States based on: • Population in ozone and CO areas • Severity of the air quality problem • All States guaranteed a 0.5% minimum apportionment • More than $13 Billion invested in 15,000 AQ projects since 1992

6. CMAQ Funding by Project Type (FY 1992-2000)

7. Flexible Funds for Transit (FY 1992 – FY 2002) Cumulative Transfers • CMAQ $5,051M • STP $3,464M • Other $699M • Total $9,214M

8. CMAQ and the New NAAQS

9. CMAQ and the New NAAQS • Underlying Principle of CMAQ $$: • Funding should be proportional to AQ problem • The CMAQ formula is statutory (see 23 USC 104) • New areas designated, but not covered by current statute (Title 23) • SAFETEA addresses 8-hr ozone, PM2.5

10. Air Quality: New Ozone Nonattainment Areas

11. Air Quality: Potential PM2.5 Nonattainment Areas EPA: 244 counties. Designations expected by end of 2004.

12. CMAQ and Reauthorization

13. Reauthorization of Surface Transportation Funding: SAFETEA • The last funding Act, TEA-21, covered FY ’98 – ‘03 and sunset 9/30/03. • Administration proposed SAFETEA in May 2003… • But Congress has yet to pass a new law • Current: short-term reauthorizations and continuing resolutions

14. CMAQ Authorization Levels * Administration proposal

15. Funding under 3 bills • SAFETEA: $8.9 billion for CMAQ ($256 billion total) • Senate: $13.4 billion ($341 billion) • House: $9.4 billion ($285 billion)

16. More Areas, More Funding?? • More than 120 new counties will be nonattainment for 8-hour ozone • More than 240 counties projected to be nonattainment for fine PM

17. Reauthorization: CMAQ and SAFETEA CMAQ Apportionment formula • Administration proposed formula changes to adopt new NAAQS • Senate (S.1072) adopted our changes • House (HR 3550) has not • Changes to reflect the new NAAQS are expected, but when?

18. TEA-21 Weighting Factors

19. SAFETEA Weighting Factors

20. TEA-21, SAFETEA Differences

21. SAFETEA & New Pollutants • New 8-hr ozone areas weight = 1.0 • New PM2.5 areas weight = 1.2 • Multiple pollutants earn extra weight • 1-hr ozone factors (marginal to extreme) will take precedence in FY05

22. Reauthorization Scenarios • SAFETEA passes in FY04 • SAFETEA passes in FY05 • Wild card– New NAAQS provisions not adopted??

23. If SAFETEA (new NAAQS provisions) passes in FY04 • FY05 apportionments would reflect new law • 8-hr areas would be included • Where 1-hr and 8-hr overlap, 1-hr would take precedence • No 1-hr areas removed from CMAQ apportionment formula • PM2.5 areas will not be included

24. If SAFETEA Passes in FY04 FY2006-2009 • 1-hr ozone std. revoked (expected June 2005) • 1-hr areas will be removed from formula • 8-hr areas will remain in the formula • PM2.5 areas designated (expected December 2004) • Include in FY06 apportionments

25. If SAFETEA passes in FY05 • Initial FY05 apportionments will be made according to TEA-21 formula • Leave out 8-hr; PM2.5 • Final FY05 apportionments will be redone once SAFETEA is signed to include 8-hr areas

26. Wild card?? • Congress could pass something different • Impossible to guess OR • Congress could fail to adopt new NAAQS provisions • FY05: 8-hr not included (formula based on 1-hr and CO areas) • FY06: 8-hr, PM2.5 not included (formula based on CO only!)

27. Even if No Bill is Passed… • New areas can spend CMAQ funds once they have been designated • However, States will not be apportioned funds for 8-hr / PM2.5 areas without new legislation

28. Early Action Compacts • No statutory basis for including EACs in apportionments—nonattainment is deferred • No draft bill brings EACs into the formula • Exception is EACs that are 1-hour ozone maintenance—they remain in the formula

29. Former CMAQ Areas • Areas no longer identified as NA or maintenance are out of the formula and ineligible for CMAQ investment • Existing CMAQ guidance features some flexibility and transition for these areas • Updated guidance is under discussion

30. New Areas and CMAQ Eligibility

31. CMAQ Projects Must • …be a Transportation Project • …in a NA/Mtce area • …that reduces emissions

32. Station Cars/ Car Sharing Boston, Seattle HD Diesel Retrofits CA Truck Stop Electrification NYC Intermodal Freight Ohio, Maine, NYC New Fuels - Fuel Cell Buses Chicago, Houston, Atlanta, LA ITS – Transit and Road Everywhere Public-Pvt. Partnerships Jersey City, Chicago, Atlanta Parking Cash Out Glendale I/M & Remote Sensing WI, NY, DC, IN, IL, NJ Transit-Oriented Dev. Portland, Minneapolis CMAQ and Creativity: Examples

33. Areas New to CMAQ? MPOs need to develop a CMAQ project selection process • Involve partners and stakeholders • Transparent, codified • Annual CMAQ reports

34. Basic CMAQ Eligibility… Eligible projects include: • transit improvements • shared ride services • traffic flow improvements • demand management • bicycle and pedestrian projects • alternative fuels • inspection and maintenance programs • freight services • experimental pilots • public / private partnerships

35. CMAQ Eligibility • Idle Reduction projects • Freight projects (intermodal) • Rail / truck / barge • Diesel Retrofit projects • On-road: Freight and buses • Off-road: construction equipment • Conformity credit issue

36. Truck and Rail Flows Traffic Congestion

37. Alternative Fuels • Biodiesel Projects • Yes, but probably not in NOx-limited areas • Hybrids

38. Other Issues • Operating costs-3 year limit • Vehicle lease as capital cost • Increased emphasis on meeting ADA requirements

39. CMAQ Reporting Requirements

40. CMAQ Tracking System

41. CMAQ Tracking System • Benefits of using the system • Standardize data • Create reports for your State • Upload vs. entering individual projects

42. Expected Emissions Benefits (VOC, FY2000)

43. http://www.fhwa.dot.gov/environment/cmaqpgs/index.htm Michael.Koontz@fhwa.dot.gov (CMAQ Coordinator) Diane.Turchetta@fhwa.dot.gov Victoria.Martinez@fhwa.dot.gov Robert.Kafalenos@fhwa.dot.gov Michael.Savonis@fhwa.dot.gov (AQ Team Leader)

44. Questions??