3190 Federal Register / Vol. 76, No. 12 / Wednesday, January 19, 2011 / Notices 

1The TIFIA regulations have not been updated to 

reflect changes enacted in Public Law 109–59, 

SAFETEA–LU. Where the statute and the regulation 

conflict, the statute takes precedence. See the TIFIA 

Program Guide for updated program information. 

FOR FURTHER INFORMATION CONTACT: Mr. 

Charles J. O’Neill, Planning and 

Program Management Team Leader, 

FHWA—Tennessee Division Office, 404 

BNA Drive-Suite 508 Nashville, TN 

37217. Phone: (615) 781–5770. 

SUPPLEMENTARY INFORMATION: The 

FHWA, in cooperation with the 

Tennessee Department of 

Transportation, is rescinding the Notice 

to prepare a Supplemental EIS on a 

Proposal to extend SR 374 in 

Clarksville, Montgomery County, 

Tennessee. A Draft EIS for the extension 

of SR 374 from SR 13 to SR 76 in 

Clarksville was approved in March 

2000. A Supplemental EIS was being 

prepared to bring the original EIS into 

compliance with current environmental 

laws and regulations. After initiating the 

Supplemental EIS, it was determined 

that the proposed project’s potential 

impacts are not expected to be 

substantial; therefore, preparation of an 

EIS is not warranted. An Environmental 

Assessment (EA) documenting the 

potential social, economic, and 

environmental effects of the proposed 

project will be prepared in accordance 

with the National Environmental Policy 

Act (NEPA) and applicable 

environmental laws and regulations. 

The EA will evaluate the potential 

effects of the No Build Alternative and 

the Build Alternative, which is based on 

Alternative C from the original EIS. 

To ensure that the full range of issues 

related to this proposed action are 

addressed and all significant issues 

identified, comments and suggestions 

are invited from all interested parties. 

Comments or questions concerning the 

proposed action should be directed to 

the FHWA contact person identified 

above at the address provided above. 

(Catalog of Federal Domestic Assistance 

Program Number 20.205, Highway Planning 

and Construction. The regulations 

implementing Executive Order 12372 

regarding intergovernmental consultation on 

Federal programs and activities apply to this 

proposed program.) 

Charles J. O’Neill, 

Planning and Program Management Team 

Leader, Nashville, TN. 

[FR Doc. 2011–978 Filed 1–18–11; 8:45 am] 

BILLING CODE 4910–22–P 

DEPARTMENT OF TRANSPORTATION 

Federal Highway Administration 

Office of the Secretary 

Federal Railroad Administration 

Federal Transit Administration 

Maritime Administration 

[Docket No. FHWA–2010–0154] 

Notice of Funding Availability for 

Applications for Credit Assistance 

Under the Transportation 

Infrastructure Finance and Innovation 

Act (TIFIA) Program 

AGENCY: Federal Highway 

Administration (FHWA), Federal 

Railroad Administration (FRA), Federal 

Transit Administration (FTA), Maritime 

Administration (MARAD), Office of the 

Secretary of Transportation (OST), U.S. 

Department of Transportation (DOT). 

ACTION: Notice of funding availability. 

SUMMARY: The DOT’s TIFIA Joint 

Program Office (JPO) announces the 

availability of funding to support new 

applications for credit assistance. Under 

TIFIA, the DOT provides secured 

(direct) loans, lines of credit, and loan 

guarantees to public and private 

applicants for eligible surface 

transportation projects of regional or 

national significance. Projects must 

meet statutorily specified criteria to be 

selected for credit assistance. 

Because demand for the TIFIA 

program can exceed budgetary 

resources, the DOT is utilizing periodic 

fixed-date solicitations that will 

establish a competitive group of projects 

to be evaluated against the program 

objectives. This notice outlines the 

process that applicants must follow. 

DATES: For consideration, Letters of 

Interest must be submitted 

electronically via e-mail by 4:30 p.m. 

EST on February 18, 2011, using the 

revised form on the TIFIA Web site: 

http://www.fhwa.dot.gov/ipd/tifia/ 

guidance_applications/index.htm. 

Applicants that have previously 

submitted Letters of Interest must 

resubmit an updated letter as outlined 

below. 

The application due date will be 

established after consultation between 

the TIFIA JPO and the applicant. 

ADDRESSES: Submit all Letters of Interest 

to the attention of Mr. Duane Callender 

at: TIFIACredit@dot.gov. Submitters 

should receive a confirmation e-mail, 

but are advised to request a return 

receipt to confirm transmission. Only 

Letters of Interest received via e-mail, as 

provided above, shall be deemed 

properly filed. 

FOR FURTHER INFORMATION CONTACT: For 

further information regarding this notice 

please contact Duane Callender via email at TIFIACredit@dot.gov or via 

telephone at 202–366–9644. A TDD is 

available at 202–366–7687. Substantial 

information, including the TIFIA 

Program Guide and application 

materials, can be obtained from the 

TIFIA Web site: http:// 

www.fhwa.dot.gov/ipd/tifia/. 

SUPPLEMENTARY INFORMATION: 

Table of Contents 

I. Background 

II. Eligible Projects 

III. Types of Credit Assistance 

IV. Threshold Requirements 

V. Rating Opinions 

VI. Letters of Interest and Applications 

VII. Fees 

VIII. Selection Criteria 

IX. Program Funding 

I. Background 

The Transportation Equity Act for the 

21st Century (TEA–21), Public Law 

105–178, 112 Stat. 107, 241, (as 

amended by sections 1601–02 of Pub. L. 

109–59) established the Transportation 

Infrastructure Finance and Innovation 

Act of 1998 (TIFIA), authorizing the 

DOT to provide credit assistance in the 

form of secured (direct) loans, lines of 

credit, and loan guarantees to public 

and private applicants for eligible 

surface transportation projects. The 

TIFIA regulations (49 CFR part 80) 

provide specific guidance on the 

program requirements.1 On January 5, 

2001, at 65 FR 2827, the Secretary of 

Transportation (Secretary) delegated to 

the FHWA the authority to act as the 

Executive Agent for the TIFIA program 

(49 CFR 1.48(b)(6)). The TIFIA JPO, an 

organizational unit in the FHWA Office 

of Innovative Program Delivery, has 

responsibility for coordinating program 

implementation. 

II. Eligible Projects 

Highway, passenger rail, transit, 

bridge, intermodal projects, and 

intelligent transportation systems may 

receive credit assistance under TIFIA. 

Additionally, the Safe, Accountable, 

Flexible, Efficient Transportation Equity 

Act: A Legacy for Users (SAFETEA–LU) 

(Pub. L. 109–59, 119 Stat. 1144) enacted 

in 2005 expanded eligibility to private 

rail facilities providing public benefit to 

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Federal Register / Vol. 76, No. 12 / Wednesday, January 19, 2011 / Notices 3191 

highway users and surface 

transportation infrastructure 

modifications necessary to facilitate 

direct intermodal transfer and access 

into and out of a port terminal. See the 

revised definition of ‘‘project’’ in 23 

U.S.C. 601(a)(8) and Chapter 3 of the 

TIFIA Program Guide for a description 

of eligible projects (http:// 

www.fhwa.dot.gov/ipd/tifia/ 

guidance_applications/index.htm). 

III. Types of Credit Assistance 

The DOT may provide credit 

assistance in the form of secured (direct) 

loans, lines of credit, and loan 

guarantees. These types of credit 

assistance are defined in 23 U.S.C. 601 

and 49 CFR 80.3. Subject to certain 

conditions, the TIFIA credit facility can 

hold a subordinate lien on pledged 

revenues. The maximum amount of 

TIFIA credit assistance to a project is 33 

percent of eligible project costs. 

IV. Threshold Requirements 

Projects seeking TIFIA assistance 

must meet certain statutory threshold 

requirements. Generally, the minimum 

size for TIFIA projects is $50 million of 

eligible project costs; however, the 

minimum size for TIFIA projects 

principally involving the installation of 

an intelligent transportation system is 

$15 million. Each project seeking TIFIA 

assistance must apply to the DOT, and 

must satisfy the applicable State and 

local transportation planning 

requirements. Each application must 

identify a dedicated revenue source to 

repay the TIFIA loan, and each private 

applicant must receive public approval 

for its project as demonstrated by 

satisfaction of the applicable planning 

and programming requirements. These 

eligibility requirements are detailed in 

23 U.S.C. 602(a) and Chapter 3 of the 

TIFIA Program Guide (http:// 

www.fhwa.dot.gov/ipd/tifia/ 

guidance_applications/index.htm). 

V. Rating Opinions 

The senior debt obligations for each 

project receiving TIFIA credit assistance 

must obtain an investment grade rating 

from at least one nationally recognized 

credit rating agency, as defined in 23 

U.S.C. 601(a)(10) and 49 CFR 80.3. If the 

TIFIA credit instrument is proposed as 

the senior debt, then it must receive the 

investment grade rating. 

To demonstrate this potential, each 

application must include a preliminary 

rating opinion letter from a credit rating 

agency that addresses the 

creditworthiness of the senior debt 

obligations funding the project (i.e., debt 

obligations which have a lien senior to 

that of the TIFIA credit instrument on 

the pledged security) and the default 

risk of the TIFIA credit instrument. The 

preliminary rating opinion letter must 

be based on the financing structure 

proposed by the applicant and must also 

conclude that there is a reasonable 

probability for the senior debt 

obligations to receive an investment 

grade rating. A project that does not 

demonstrate the potential for its senior 

obligations to receive an investment 

grade rating will not be considered for 

TIFIA credit assistance. 

Letters of Interest submitted pursuant 

to this notice do not need to include the 

preliminary rating opinion letter. Only 

those invited to submit applications will 

be required to obtain the preliminary 

rating opinion letter. 

Each project selected for TIFIA credit 

assistance must obtain an investment 

grade rating on its senior debt 

obligations (which may be the TIFIA 

credit facility) and a revised opinion on 

the default risk of the TIFIA credit 

instrument before the FHWA will 

execute a credit agreement and disburse 

funds. More detailed information about 

these TIFIA credit opinions and ratings 

may be found in the Program Guide on 

the TIFIA Web site at http://

www.fhwa.dot.gov/ipd/tifia/

guidance_applications/index.htm. 

VI. Letters of Interest and Applications 

Because the demand for credit 

assistance can exceed budgetary 

resources, the DOT is utilizing periodic 

fixed-date solicitations that will 

establish a competitive group of projects 

to be evaluated against the TIFIA 

program objectives. 

Applicants seeking TIFIA credit 

assistance must submit a Letter of 

Interest describing the project 

fundamentals and addressing the TIFIA 

selection criteria. For consideration in 

this funding cycle, Letters of Interest 

must be submitted by 4:30 p.m. EST via 

e-mail at: TIFIACredit@dot.gov on 

February 18, 2011, using the revised 

form on the TIFIA Web site: http://

www.fhwa.dot.gov/ipd/tifia/

guidance_applications/index.htm. 

Applicants that have previously 

submitted Letters of Interest must 

resubmit an updated letter using the 

revised form. For the purpose of 

completing its evaluation, the TIFIA JPO 

staff may contact an applicant regarding 

specific information in the Letter of 

Interest. 

A public agency that seeks access to 

TIFIA on behalf of multiple competitors 

for a project concession must submit the 

project’s Letter of Interest. Although the 

public agency would not become the 

TIFIA borrower, nor even have yet 

identified the TIFIA applicant, it must 

provide information sufficient for the 

DOT to evaluate the project against the 

TIFIA program objectives. The DOT will 

not consider Letters of Interest from 

entities that have not obtained rights to 

develop the project. 

After concluding its review of the 

Letters of Interest, the DOT will invite 

complete applications (including the 

preliminary rating opinion letter and 

detailed plan of finance) for the highestrated projects according to the selection 

criteria detailed in Section VIII below. 

The application due date will be 

established after consultation between 

the TIFIA JPO and the applicant. 

An invitation to apply for credit 

assistance does not guarantee the DOT’s 

approval, which will remain subject to 

evaluation based on TIFIA’s statutory 

credit requirements and established 

standards in addition to the successful 

negotiation of all terms and conditions. 

VII. Fees 

There is no fee to submit a Letter of 

Interest. Unless otherwise indicated in a 

subsequent notice published in the 

Federal Register, each invited applicant 

must submit, concurrent with its 

application, a non-refundable fee of 

$50,000, an amount based on historical 

costs incurred by the TIFIA JPO for 

financial advisory services to help 

evaluate TIFIA applications. The FHWA 

no longer accepts paper checks. 

Payments should be made via 

Automated Clearing House, at https://

www.pay.gov/paygov/forms/

formInstance.html?agency

FormId=18446839. For successful 

applicants, this fee will be credited 

toward final payment of a credit 

processing fee (also referred to as a 

transaction fee), to be assessed at 

financial close, to reimburse the TIFIA 

JPO for actual financial and legal costs. 

For projects that enter credit 

negotiations, the DOT will require the 

borrower to pay at closing or within a 

specified period following closing, upon 

invoicing by the TIFIA JPO, an amount 

equal to the actual costs incurred by the 

TIFIA JPO in procuring the assistance of 

outside financial advisors and legal 

counsel through execution of the credit 

agreement(s) and satisfaction of all 

funding requirements of those 

agreements. In the event a final credit 

agreement is not executed, the borrower 

is still required to reimburse the DOT 

for the costs incurred. Typically, the 

amount of this credit processing fee has 

ranged from $200,000 to $300,000, 

although it has been greater for projects 

that require complex financial 

structures and extended negotiations. 

The TIFIA JPO charges each borrower 

an annual fee for loan servicing 

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3192 Federal Register / Vol. 76, No. 12 / Wednesday, January 19, 2011 / Notices 

activities associated with each TIFIA 

credit instrument. The current fee, 

adjusted annually per the Consumer 

Price Index, is $11,500 per year. 

Finally, the TIFIA credit agreements 

will allow the TIFIA JPO to charge, as 

incurred, a monitoring fee equal to its 

costs of outside advisory services 

required to assist the TIFIA JPO in 

modifying or enforcing the agreement. 

Applicants may not include any of the 

fees described above—or any expenses 

associated with the application process 

(such as charges associated with 

obtaining the required preliminary 

rating opinion letter)—among eligible 

project costs for the purpose of 

calculating the maximum 33 percent 

credit amount. 

VIII. Selection Criteria 

The eight TIFIA selection criteria are 

described in statute at 23 U.S.C. 602(b) 

and assigned relative weights via 

regulation at 49 CFR 80.15. The criteria 

are restated below with (where 

appropriate) language indicating how 

the DOT will interpret them. The DOT 

will give priority to projects that have a 

significant impact on desirable longterm outcomes for the Nation, a 

metropolitan area, or a region. 

Listed in order of relative weight, the 

TIFIA selection criteria are as follows: 

(i) The extent to which the project is 

nationally or regionally significant, in 

terms of generating economic benefits, 

supporting international commerce, or 

otherwise enhancing the national 

transportation system. This includes 

consideration of livability: Providing 

transportation options that are linked 

with housing and commercial 

development to improve the economic 

opportunities and quality of life for 

people in communities across the U.S.; 

economic competitiveness: Contributing 

to the economic competitiveness of the 

U.S. by improving the long-term 

efficiency and reliability in the 

movement of people and goods; and 

safety: Improving the safety of U.S. 

transportation facilities and systems and 

the communities and populations they 

impact. Relative weight: 20 percent. 

(ii) The extent to which TIFIA 

assistance would foster innovative 

public-private partnerships and attract 

private debt or equity investment. 

Relative weight: 20 percent. 

(iii) The extent to which the project 

helps maintain or protect the 

environment. This includes 

sustainability: Improving energy 

efficiency, reducing dependence on oil, 

reducing greenhouse gas emissions, and 

reducing other transportation-related 

impacts on ecosystems; and the state of 

good repair: Improving the condition of 

existing transportation facilities and 

systems, with particular emphasis on 

projects that minimize lifecycle costs 

and use environmentally sustainable 

practices and materials. Relative weight: 

20 Percent. 

(iv) The creditworthiness of the 

project, including a determination by 

the Secretary of Transportation that any 

financing for the project has appropriate 

security features to ensure repayment. 

Relative weight: 12.5 Percent. 

(v) The likelihood that TIFIA 

assistance would enable the project to 

proceed at an earlier date than the 

project would otherwise be able to 

proceed. Relative weight: 12.5 Percent. 

(vi) The extent to which the project 

uses new technologies, including 

intelligent transportation systems, to 

enhance the efficiency of the project. 

Relative weight: 5 Percent. 

(vii) The amount of budget authority 

required to fund the Federal credit 

instrument made available under TIFIA. 

Relative weight: 5 Percent. 

(viii) The extent to which TIFIA 

assistance would reduce the 

contribution of Federal grant assistance 

to the project. Relative weight: 5 

Percent. 

Note that, when evaluating the Letters 

of Interest, the information needed to 

address criterion (iv), creditworthiness, 

and criterion (vii), budget authority, is 

unlikely to be available in sufficient 

detail. Therefore, the DOT will not 

employ these two criteria when 

reviewing the Letters of Interest. 

However, DOT will consider these 

criteria when reviewing project 

applications. 

IX. Program Funding 

The SAFETEA–LU authorized $122 

million annually from the Highway 

Trust Fund for fiscal years 2005–2009 in 

TIFIA budget authority to pay the 

subsidy cost of credit assistance. As of 

the publication date of this notice, 

extensions of the surface transportation 

reauthorization act have been enacted 

continuing highway programs that were 

authorized through fiscal year 2009, and 

the expectation is that Congress will 

reauthorize an equivalent amount of 

budget authority for the TIFIA program 

in the future Any budget authority not 

obligated in the fiscal year for which it 

is authorized remains available for 

obligation in subsequent years. The 

TIFIA budget authority is subject to an 

annual obligation limitation that may be 

established in appropriations law. Like 

all funds subject to the annual Federalaid obligation ceiling, the amount of 

TIFIA budget authority available in a 

given year may be less than the amount 

authorized for that fiscal year. 

Consistent with the Federal Credit 

Reform Act of 1990 and the 

requirements of the Office of 

Management and Budget, the subsidy 

cost of a loan is affected by recovery 

assumptions, allowance for defaults, the 

borrower’s interest rate, and fees. The 

factors that most heavily influence the 

subsidy cost of a TIFIA loan fall into the 

recoveries category (for example, the 

repayment pledge and whether the debt 

is senior or subordinate) and the 

allowance for defaults category 

(including the credit rating on the debt 

and the degree of back-loading). The 

borrower’s interest rate will also affect 

the subsidy cost of the TIFIA loan. The 

final subsidy cost estimate is expressed 

as a percentage of the principal amount 

of the credit assistance. 

Authority: 23 U.S.C. 601–609; 49 CFR 

1.48(b)(6); 23 CFR Part 180; 49 CFR Part 80; 

49 CFR Part 261; 49 CFR Part 640. 

Issued on: January 12, 2011. 

Victor M. Mendez, 

Federal Highway Administrator. 

[FR Doc. 2011–933 Filed 1–18–11; 8:45 am] 

BILLING CODE 4910–9X–P 

DEPARTMENT OF TRANSPORTATION 

Federal Highway Administration 

Value Pricing Pilot Program 

Participation, Fiscal Years 2010 and 

2011 

AGENCY: Federal Highway 

Administration (FHWA), DOT. 

ACTION: Notice of extension of deadline. 

SUMMARY: The FHWA is extending the 

deadline for formal grant applications 

for the Value Pricing Pilot (VPP) 

program, which was published on 

October 19, 2010, at 75 FR 64397. The 

original deadline for formal grant 

applications was January 18, 2011. This 

notice extends the deadline by 15 

calendar days to February 2, 2011. 

DATES: Formal grant applications must 

be submitted no later than 5 p.m., 

Eastern, on February 2, 2011. 

Application Submission: Grant 

applications may be submitted through 

http://www.grants.gov. Applications for 

tolling authority only should be 

submitted through an expression of 

interest at the following Web site: 

http://ops.fhwa.dot.gov/tolling_pricing/ 

participation.htm. 

FOR FURTHER INFORMATION CONTACT: For 

questions about this notice or for 

general questions related to the VPP 

program, please contact Ms. Angela 

Jacobs, FHWA Office of Operations, at 

(202) 366–0076, angela.jacobs@dot.gov. 

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