Transportation Infrastructure Finance And Innovation Act (TIFAI) Program (20.223)

Program

20.223 Transportation Infrastructure Finance And Innovation Act (TIFAI) Program

Federal Agency

Agency: Department of Transportation
Office: Federal Highway Administration (FHWA)

Authorization

TIFIA Infrastructure Finance and Innovation Act of 1998, 23 U.S.C 601-609.

Program Number

20.223

Last Known Status

Active

Objectives

To finance projects of national or regional significance by filling market gaps and leveraging substantial non-Federal and private co-investment. TIFIA credit assistance is intended to facilitate the financing of projects that would otherwise have been significantly delayed because of funding limitations or difficulties accessing the capital markets. Through TIFIA, the DOT provides Federal credit assistance to eligible highway, transit, rail, and intermodal freight projects, including access to seaports.

Types of Assistance

DIRECT LOANS; GUARANTEED/INSURED LOANS

Uses and Use Restrictions

Highway, transit, rail, freight facilities, and certain port projects may receive credit assistance through the TIFIA program. The TIFIA statute requires all projects receiving TIFIA assistance to comply with 23 U.S.C. (for highway projects) and chapter 53 of 49 U.S.C. (for transit projects), as applicable. In addition, all projects receiving TIFIA assistance must comply with generally applicable Federal laws and regulations, including title VI of the Civil Rights Act of 1964, the National Environmental Policy Act of 1969, and the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970.

Eligibility Requirements

Applicant Eligibility

Public or private entities seeking to finance, design, construct, own, or operate an eligible surface transportation project may apply for TIFIA assistance. Examples of such entities include state departments of transportation; local governments; transit agencies; special authorities; special districts; railroad companies; and private firms or consortia that may include companies specializing in engineering, construction, materials, and/or the operation of transportation facilities.

Beneficiary Eligibility

Public or private entities seeking to finance, design, construct, own, or operate an eligible surface transportation project. Examples include state departments of transportation; local governments; transit agencies; special authorities; special districts; railroad companies; and private firms or consortia that may include companies specializing in engineering, construction, materials, and/or the operation of transportation facilities.

Credentials/Documentation

All applicants must demonstrate relevant experience, strong qualifications, a sound project approach, and a project that can demonstrate financial feasibility. Applicants also must meet various Federal standards for participation in a Federal credit program. For example, applicant may not be delinquent or in default on any Federal debts. Such requirements will be specified in the contractual documents between the DOT and each applicant. This program is excluded from coverage under OMB Circular No. A-87.

Application and Award Process

Preapplication Coordination

To begin the application process, an applicant should submit to the DOT a Letter of Interest, not to exceed 10 pages. A Letter of Interest template can be found at http://www.tifia.fhwa.dot.gov/; it identifies the specific information that must be provided. The DOT requests that applicants submit the Letter of Interest by attaching it via email to TIFIACredit@dot.gov. This letter serves to familiarize the DOT with basic information relating to the project and the applicant. It also permits the DOT and the applicant to ensure that the project meets the basic eligibility requirements for participation. This program is excluded from coverage under E.O.12372. Environmental impact information is not required for this program. This program is excluded from coverage under E.O. 12372.

Application Procedure

OMB Circular No. A-102 applies to this program. This program is excluded from coverage under OMB Circular No. A-110. Upon receiving the DOTs notification that the project meets the basic eligibility criteria, the applicant may submit an application. An application fee, currently $30,000, must be submitted with the proposal. The application form is available on the TIFIA web site at http://tifia.fhwa.dot.gov/.

Award Procedure

Final approval is granted by the Secretary of Transportation.

Deadlines

Not Applicable.

Range of Approval/Disapproval Time

After a complete application has been filed with all supporting documents, processing time is approximately 60 days. The average time to execute a TIFIA agreement from the date of Secretarial approval FY08 was 1-4 months.

Appeals

Not Applicable.

Renewals

Not Applicable.

Assistance Considerations

Formula and Matching Requirements

Statutory formulas are not applicable to this program.

Matching requirements are not applicable to this program.

MOE requirements are not applicable to this program.

Length and Time Phasing of Assistance

The maximum maturity of all TIFIA credit instruments is 35 years after a project's substantial completion. Method of awarding/releasing assistance: lump sum.

Post Assistance Requirements

Reports

Audits

No audits are required for this program.

Records

Documentary evidence that may be requested for each project includes: audited financial statements, updated budget and cash flow projections, audit reports, sources and uses of funds, coverage ratios, project schedules, operating statistics, and management updates (within no more than 180 days following the recipient's fiscal year-end). In addition, the credit agreement obligates the borrower to provide the DOT an annual update to the project's financial plan in accordance with specified requirements. Each borrower will be required to give notice to the DOT of material events, including litigation, which could affect project development or the credit quality of the project.

Program Accomplishments

Fiscal Year 2008: For FY 07, one project loan in the amount of $516, 000,000 has been approved. FY 08, two project loans in the amount of $480,000,000 and $558,922,875 were approved. Fiscal Year 2009: No Current Data Available Fiscal Year 2010: No Current Data Available

Financial Information

Account Identification

69-4123-0-3-401; 69-4173-0-3-401; 69-4145-0-3-401.

Obligations

(Salaries) FY 08 $998,922,875; FY 09 est $2,118,612,000; FY 10 est $0 - FY10 est. not available.

Range and Average of Financial Assistance

No Data Available.

Regulations, Guidelines and Literature

See TIFIA website at http://tifia.fhwa.dot.gov/ Legislation and Regulations, Program Guidance and application Materials, and Background Reference.

Related Programs

Not Applicable.

Information Contacts

Regional or Local Office

None.

Headquarters Office

E64-301 1200 New Jersey Ave S.E., Washington, District of Columbia 20590 Phone: (202) 366-9644.

Web Site Address

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

Examples of Funded Projects

Fiscal Year 2008: Examples include $917 million loan for the Central Texas Turnpike, $215 million loan for the Cooper River Bridge, $600 million loan guarantee for the Washington DC Metro Capital Improvement Program, $159 million loan for the Staten Island Ferries and Ferry Terminals, $439 million in two loans for the Miami Intermodal Center. Fiscal Year 2009: No Current Data Available Fiscal Year 2010: No Current Data Available

Criteria for Selecting Proposals

The DOT has assigned specific weights to the selection criteria, as follows: National or Regional Significance (20 percent); Private Participation (20 percent); Environment (20 percent); Project Acceleration (12.5 percent); Creditworthiness (12.5 percent); Use of Technology (5 percent); Consumption of Budget Authority (5 percent); Reduced Federal Grant Assistance (5 percent).