By Ron Thaniel
October 4, 2010

The U.S. Department of Transportation (DOT) announced on September 24 that it received more than $19 billion in applications from all 50 states, the District of Columbia, and U.S. territories, for the highly sought after TIGER II Program (Transportation Investment Generating Economic Recovery). The $19 billion in applications far exceeds the $600 million available for this round for transportation projects that show significant economic promise and promote livability and sustainability.

This announcement by Transportation Secretary Ray LaHood followed his discussion on September 23 at The U.S. Conference of Mayors Fall Leadership Meeting, in which he said, under the TIGER program, “For the first time, transportation grants go directly to cities.”

Under TIGER II, $600 million is available to states, cities, transit agencies, port authorities, Metropolitan Planning Organizations and multi-jurisdictional entities – for capital investments in highway or bridge projects, public transportation projects, passenger and freight rail transportation projects, port infrastructure investments, and intermodal facilities. The grants will be award later this fall on a competitive basis to projects that have a significant impact on the nation, a region or metropolitan area. The DOT will give priority to projects that have a significant impact on the following long-term outcomes:

• State of Good Repair: Improving the condition of existing transportation facilities and systems, with particular emphasis on projects that minimize life-cycle costs.

• Economic Competitiveness: Contributing to the economic competitiveness of the United States over the medium- to long-term.

• Livability: Fostering livable communities through place-based policies and investments that increase transportation choices and access to transportation services for people in communities across the United States.

• Sustainability: Improving energy efficiency, reducing dependence on oil, reducing greenhouse gas emissions and benefitting the environment.

• Safety: Improving the safety of U.S. transportation facilities and systems.

Last February, the DOT announced 51 awards from nearly 1,500 applications for TIGER I grants. TIGER I applications were for almost $60 billion worth of projects, 40 times the $1.5 billion available under that program. Of that amount, more than 74 percent of funding went to transit, rail, and multimodal projects, and 53 percent of the funding went to local sponsors, including cities.

“The wave of applications for both TIGER II and TIGER I dollars shows the back-log of needed infrastructure improvements and the desire for more flexible funds,” said LaHood. “This also shows the opportunities still before us to create jobs, to reduce congestion, make wise environmental choices and help generate lasting economic growth.”

Turning to the reauthorization of the federal surface transportation law, the Conference of Mayors is campaigning for a well-funded TIGER program in the pending authorization. As expected, and unfortunately, the TIGER program is under attack by the highway and road industry. This lobby, with support of some states, is lobbying for traditional formula programs, which primarily flow from the federal government to states for allocation within the state at the discretion of state departments of transportation, which historically have largely allocated the funding to unsustainable road projects outside metropolitan areas.