Infra Insight Blog

Imagine you are sitting in your car at a traffic signal. The signal turns green and you begin to accelerate. Without you doing anything, your car suddenly screeches to a halt as another car runs a red light and whizzes past. Your car, equipped with sensors and an array of wireless connections, was able to communicate with other vehicles and the surrounding infrastructure to avoid collision. If your car had not stopped, you would have been involved in a serious accident. According to a recent plan released by the U.S. Department of Transportation (USDOT), this is exactly the type of ...

On September 23, 2024, the United States District Court for the Eastern District of Kentucky issued an Opinion and Order in Mid-America Milling Co., LLC, et al., v. U.S. Department of Transportation, et. al., No. 3:23-CV-00072-GFVT, 2024 WL 4267183 (E.D. Ky. Sept. 23, 2024), granting a preliminary injunction on the basis that the race- and gender-based rebuttable presumptions used in the U.S. Department of Transportation (USDOT) Disadvantaged Business Enterprise (DBE) program violates the United States Constitution’s guarantee of equal protection under the Fourteenth Amendment. ... 

The U.S. Department of Transportation (USDOT) recently announced a long-awaited Notice of Funding Opportunity (NOFO) for public agencies to enhance technical capacity to deliver projects using a public-private partnership (P3) model. Authorized by the Infrastructure Investment and Jobs Act (P.L. 117-58; also known as the IIJA), $57.72 million is available through the Innovative Finance and Asset Concessions Grant Program (Program) for public agencies to hire technical, financial and legal experts (either on staff or as consultants) to support the evaluation and delivery ...

Federal prevailing wage law, known as the Davis-Bacon Act and Related Acts (Davis-Bacon Act), is applicable to almost every federal and federal-aid project.  The rules governing the Davis-Bacon Act have been essentially unchanged for 40 years.  But now, for the first time since the Reagan administration, the U.S. Department of Labor (Department) is updating the Davis-Bacon Act and making a number of significant changes to how the Davis-Bacon Act is administered ...

The first urban-core tolling program in the United States marked a major milestone. In late June, the Federal Highway Administration (FHWA) concluded its environmental assessment of the Metropolitan Transportation Authority’s (MTA) Central Business District (CBD) Tolling Program and issued a Finding of No Significant Impact (FONSI). This federal determination will allow the program to move forward into implementation. ... 

Last month, through the annual process known as the “May Revise,” California Governor Gavin Newsom released an update to the 2023-24 state budget proposal that he first introduced in January. The updated budget proposal sets forth a $306.5 billion spending plan that seeks to tackle the state’s growing budget deficit while maintaining key investments in education, healthcare, housing, climate and infrastructure.

Regarding infrastructure, the Governor noted that, due to unprecedented local, state, and federal investments, the state will spend more than $180 billion ...

On January 10, 2023, the Biden-Harris administration released the U.S. National Blueprint for Transportation Decarbonization ("Blueprint"), representing a major step in advancing the president’s clean transportation agenda and addressing the growing climate crisis caused by greenhouse gas (GHG) emissions. The Blueprint arrives as preliminary U.S. carbon-emissions data for 2022 show yet another year of increased emissions, indicating that the country is not on course to meet its commitment under the Paris Agreement to halve economy-wide emissions by 2030. ... 

As anticipated by project sponsors and industry participants, the U.S. Department of Transportation (USDOT) issued a temporary waiver of Buy America requirements for construction materials on May 19, 2022.

The Infrastructure Investment and Jobs Act (IIJA) expanded the applicability of Buy America and required the Office of Management and Budget (OMB) to promulgate guidance extending the current Buy America requirements regarding iron and steel and manufactured products to include construction materials, as well. OMB issued initial IIJA-implementing guidance effective ...

The Office of Management and Budget (“OMB”) recently issued initial Buy America implementation guidance required by Sections 70901-52 of the Infrastructure Investment and Jobs Act (P.L. 117-58; “IIJA”).

The Buy America preference applies to federally supported public infrastructure projects, including the structures, facilities and equipment for highway, transit, water and energy projects in the United States ...

On February 4, 2022, President Joe Biden signed an Executive Order on Use of Project Labor Agreements for Federal Construction Projects (the “Executive Order”)¹, which will require the use of project labor agreements (“PLAs”) on large-scale federal construction projects with a total estimated cost to the federal government of $35 million or more.

A PLA is a collective bargaining agreement that applies to a specific construction project and lasts only for the duration of the project. PLAs are primarily designed to reduce jurisdictional disputes among unions and between ...

Late last Friday on November 5^th, the U.S. House of Representatives passed the $1.2 trillion bipartisan infrastructure bill, the Infrastructure Investment and Jobs Act or IIJA, which President Biden intends to sign on Monday, November 15^th. Much of the focus of the bill has been on the unprecedented increase in federal spending to rebuild the nation's roads, bridges, airports, seaports and transit systems. However, there are several provisions of the infrastructure bill that expand, and hopefully will make more transparent, the TIFIA credit assistance program. A low-cost ...

Yesterday, the Senate released legislative text for its highly anticipated bipartisan infrastructure package, titled the ­­­­­­­­Infrastructure Investment and Jobs Act. Negotiations have been ongoing for months, and while several political and policy hurdles remain before this proposal can arrive on the President’s desk for his signature, agreement on this bipartisan package is a hugely positive development. Project sponsors and practitioners have closely tracked the development of this package not only with respect to overall funding levels and policies but ...

Los Angeles County aims to integrate infrastructure planning with social and environmental needs in its recently released draft of the updated L.A. River Master Plan.

The plan is the first to cover the entire L.A. River and proposes a 51-mile connected open space to manage floodwaters while improving natural ecosystems and public wellbeing. Calculations based on information from the US Census Bureau indicate that 25% of Californians live within a 30-minute drive of the LA River and over one million people live within one mile. ...

On November 3rd, Austin voters approved a property tax increase to help fund the $7.1 billion Project Connect mass transit project. The initial investment, which is a portion of the “Project Connect System Plan,” includes 27 miles of rail service, 31 stations and a transit tunnel. Specific elements of the plan include: ...

On August 29, 2020, Governor Newsom signed into law AB 2731, which is intended to support the potential redevelopment of the 70-acre Navy Old Town Campus in downtown San Diego. The site would include a LEED Gold certified transit hub, a public transit connection to the San Diego International Airport and adjacent transit-oriented development, including up to 10,000 new residential units. The bill was authored by California State Assemblymember Todd Gloria and Senate President pro Tempore Toni G. Atkins. It authorizes the San Diego Association of Governments (SANDAG) to acquire a ...

5G provides reliable communications, enables near real-time interactions and has much faster data speed. 5G also provides the platform for the Internet of Things which can be utilized in improving public safety, autonomous driving, healthcare, education, smart cities, smart farming, home automation and many more.

On August 12, 2020, the U.S. Court of Appeals for the Ninth Circuit upheld most of the Federal Communications Commission (FCC)’s initiatives to expedite 5G deployments on existing local infrastructure. Specifically, the court upheld the following orders issued ...

On July 23, 2020, the California Transportation Foundation convened a panel of transportation professionals for the webinar “Transportation Outlook: Moving Beyond COVID-19.”  The panelists discussed the impacts of the coronavirus and what the future holds for California’s transportation sector in the wake of the pandemic. ...

The full House will consider the FY21 Transportation, Housing and Urban Development (THUD) bill that the House Appropriations Committee approved with a final vote of 30-22 on July 14, 2020.  For FY2021, the THUD bill provides a total of $107.2 billion in total budgetary resources for the U.S. Department of Transportation, including: ...

Nossaman attorneys Brandon Davis, Liz Klebaner, Brad Kuhn and David Miller hosted a virtual panel discussion on June 3, 2020 covering strategies for successful infrastructure projects in the wake of the global COVID-19 pandemic.  The panel covered procurement and contracting strategies; real estate and construction considerations; NEPA, CEQA and environmental compliance; and an outlook of environmental litigation under California and federal law. Below are key takeaways from the panel: ...

Like many other state agencies, Texas stay-at-home orders issued in response to COVID-19 have shuttered many TxDOT offices since mid-March. These orders have prevented TxDOT staff from attending meetings in person with colleagues, proposers and consultants, however, despite these obstacles, TxDOT has managed to advance several design-build procurements. Among other things, TxDOT has developed strategies to help the agency adapt to the current reality, including advancing processes that allow for electronic submission and evaluation of procurement documents and ...

For those of you involved in the transportation sector, we invite you to join us on Wednesday, June 3^rd for a discussion on planning, procurement and financing strategies that can be implemented now to support timely project delivery in the wake of the COVID-19 pandemic.  We are planning a very interactive webinar where ample time will be set aside to answer questions received from attendees both prior to and during the event. ...

As we continue to navigate the far-reaching impacts of the global coronavirus pandemic, our work and commitment to assisting marginalized and underserved communities with critical infrastructure is more important than ever.

The Centers for Disease Control and Prevention (CDC) and World Health Organization (WHO) have been recommending handwashing as one of the easiest and most effective ways to prevent the spread of COVID-19 for months.  However, according to the U.S. Water Alliance’s Closing the Water Access Gap in the United States report, approximately two million ...

In his Infra Insight Blog post on April 15, Fred Kessler reported on how the budgets for state departments of transportation, which rely heavily on federal and state fuel tax revenues, are suffering due to reduced traffic volume caused by the COVID-19 “stay at home” directives issued by state and local governments.  Nevertheless, with limited exceptions, transportation agencies and the construction industry are allowed to perform road work and some transportation agencies have expedited the delivery of highway projects. ...

In his Infra Insight Blog post on April 9, Frank Liu reported on the uncertain status of the long awaited federal infrastructure bill.  As the federal deficit balloons and election season intensifies, the likelihood of prompt Congressional action on a major infrastructure bill is diminishing.  All indications are that it will be sidelined as Congress works on a “Phase 4” coronavirus relief bill to ameliorate the unprecedented loss of jobs throughout the nation and provide further direct assistance to the business community.  The Phase 4 bill also should include ample stop gap ...

Last Tuesday, President Donald Trump tweeted his support for a “very big and bold” $2 trillion infrastructure package to be included in Congress’ next response to the COVID-19 pandemic.  To date, Congress has passed three bills to combat the effects of the coronavirus outbreak, which has ravaged the global economy and caused more than 297 million Americans to be placed under some form of lockdown.  The latest bill, known as the Coronavirus Aid, Relief, and Economic Security (CARES) Act, was signed into law on March 27, 2020 and directs more than $2 trillion in spending to ...

As the number of those impacted by the coronavirus (“COVID-19”) pandemic continues to grow, affected parties across all industries look for guidance on how to deal with this novel situation.  Governments and private parties are analyzing project contracts as they take precautionary actions to prevent the spread of COVID-19.  In this midst of all of this confusion, two questions arise:  What does the COVID-19 pandemic and the steps being taken in response mean for your project contracts? And, will an excusable delay/force majeure clause provide any protection for the impacts of ...

Like several state and local transportation agencies around the nation, the Jacksonville Transportation Authority (JTA) is looking to roll out a fleet of autonomous vehicles. However, unlike other entities, the JTA is hoping to meld this new technology with an aging monorail system that needs updating.

Through its Ultimate Urban Circulator Program (U²C), the JTA is looking for a private partner to help it roll out an autonomous vehicle fleet through multiple phases. The JTA will first deploy autonomous vehicles at-grade along Bay Street in downtown Jacksonville, then convert the ...

The Los Angeles County Metropolitan Transportation Authority (Metro) has authorized a three-year $27.5 million environmental and engineering study to investigate the replacement of existing High-Occupancy Vehicle (HOV) lanes on the 405 freeway with toll lanes between the 101 and 10 freeways.

According to Metro, the 405 is one of the nation’s most traveled urban highways, with more than 400,000 people commuting through this corridor each day. The proposed toll lanes are aimed at creating a faster way for some drivers to navigate the Sepulveda Pass from the 101 freeway in the San ...

The Federal Transit Administration (FTA) recently penned a Dear Colleague letter regarding the Agency’s implementation of the Capital Investment Grants Program, stating that FTA will consider federal loans or financing tools in the context of all federal funding sources for a project, implying that such financing assistance will be calculated as part of a transit project’s federal share. Other modal agencies consider federal loan programs, such as TIFIA or RRIF, to be part of a project’s non-federal share.[1]

The letter has caused a significant amount of discussion in the ...

Sponsors of critical maritime transportation projects received welcome news this week, as the U.S. Department of Transportation (USDOT) published a Notice of Funding Opportunity (NOFO) for America’s Marine Highway Projects. This notice makes available roughly $7 million in recently-appropriated funds for the Short Sea Transportation Program (46 U.S.C. § 55601), commonly referred to as America’s Marine Highway Program (AMHP).

The U.S. Maritime Administration (MARAD) is in charge of this important, but perhaps not well-known, program:  The America’s Marine Highway ...

Last week the U.S. Secretary of Transportation Elaine Chao notified Congress of DOT’s INFRA grant winners.  The Chicago CREATE program will receive over $132 million to reduce congestion where multiple railroads intersect and to eliminate automobile traffic delays by separating rail and automobile traffic.  In Ohio, the Ohio Rail Development Commission will receive over $16.2 million to improve 30 miles of rail line.

The INFRA program formerly known as the FASTLANE program focuses on highway projects, but projects that shift freight to other modes of transportation are ...

A new Government Accounting Office report says the Federal Transit Administration has failed to meet three statutory requirements (two from MAP-21 and one from the FAST Act) related to the Capital Investments Grant program, the primary source of federal funding for commuter, light rail, subway, ferry and bus rapid transit projects.  FTA says it has no plans to do so.

GAO says FTA has not issued regulations for rating Core Capacity Improvement projects; established a grant program for simultaneous development of multiple transit projects; or implemented a pilot program for ...

As the December 31, 2018 deadline approaches for freight, passenger, and commuter railroads to implement Positive Train Control (PTC), the Federal Railroad Administration (FRA) is reporting on the progress of individual railroads in complying with the mandate.

In 2008, Congress passed the Rail Safety Improvement Act and mandated that certain railroads carrying passengers or hazardous materials are required to install PTC. The FRA describes PTC as a communication-based/processor-based train control technology designed to prevent train-to-train collisions, overspeed ...

The White House released its long-awaited infrastructure proposal to Congress this morning, along with the President’s fiscal year 2019 budget proposal. While elements have been hinted at and leaked before, the 55-page document released today provides significant new details. Though the Administration began to advance discrete priorities by executive action this past year, this broad proposal will require legislation. The Administration has opted to leave to Congress the drafting of the bill, just as it did with tax reform.

The White House proposal includes:

• Creation of new ...

A government shut down arises when Congress fails to pass an appropriations act that enables federal agencies to spend. There should be separate appropriations acts for groups of agencies.  However, in recent years, Congress has not enacted these separate appropriations acts, but collected them in one enormous bill that includes virtually every agency of the federal government.  Having created these monster bills, Congress then delays passage over battles about what programs or expenditures should or should not be included.  This creates the delays that lead to government ...

The Canadian government is taking a new approach to P3s.  By the end of 2017, PPP Canada will have ceased operations, and the Canada Infrastructure Bank (the CIB) will be launched.

Year end is nearly upon us.  What has PPP Canada accomplished, and what is expected from the new CIB?

PPP Canada’s Contributions

PPP Canada was established by the Harper government in 2008.  At that time, certain provinces were already very experienced in the delivery of large and complex public infrastructure projects using P3 delivery models (including British Columbia, Alberta and Ontario).  The specific ...

In Florida, All Aboard Florida, a private entity, is about to launch passenger rail service from Miami to West Palm Beach, with future service extending to Orlando. In California, the California High-Speed Rail Authority is currently constructing a high-speed passenger rail line with the long-term goal of connecting the metro areas of San Francisco and the Los Angeles.  These projects have a common denominator: each envisions intercity passenger rail service entirely within one state.  But when it comes to economic regulation by the federal government, these projects are treated ...

President Trump kicked off infrastructure week on Monday, June 5^th, by proposing to corporatize the U.S. air traffic control system, shifting about 35,000 workers, including unionized traffic controllers, technicians, and others, off of the government payroll, and removing the Federal Aviation Administration from its role operating the business that it regulates.  It’s an idea that has been in the national discourse since at least the 1980’s, and is supported by the major U.S. airlines and other key industry players, including the union representing air traffic ...

Among other policy initiatives, the Trump Administration has advocated for the need to improve the nation’s infrastructure in order to maintain America’s economic competitiveness. In its recently released 2018 proposed budget, the Administration included $200 billion in outlays related to its infrastructure initiatives.  The Administration’s budget also focuses on leveraging private sector involvement as part of the overall solution to reform and change how infrastructure projects are regulated, funded, delivered and maintained.

There have been reports that one ...

On Tuesday, May 16, 2017 the Senate’s Committee on Environment and Public Works Subcommittee on Transportation and Infrastructure will hold a hearing titled Leveraging Federal Funding; Innovative Solutions for Infrastructure.

The stated purpose of the hearing is for Senators to examine the need for more public sector funding and private sector financing in the Federal Highway Program.  To this end, the Subcommittee has scheduled the following individuals to testify on this topic:

• Eric Garcetti (Mayor, City of Los Angeles; Chair of U.S. Conference of Mayors Infrastructure ...

It’s been a productive time for advocates of water in the U.S. with President Obama signing into law the Water Infrastructure Improvements for the Nation Act (WIIN).  WIIN includes the Water Resources Development Act of 2016 (WRDA), together with provisions to authorize critical water projects  and improve drinking water infrastructure, water storage and supply, flood control and waterways across the nation.

A summary of some of WIIN’s key attributes are set out below:

• WIIN authorizes Congress to provide $20 million for the Water Infrastructure Finance and Innovation Act ...

Voting and registration are officially open for the P3 Awards Gala hosted by InfraAmericas and The Performance Based Building Coalition (PBBC) which takes place on Monday, June 13 in New York City prior to the annual US P3 Forum held on June 15-16. The US P3 Forum is the P3 industry’s premier gathering of infrastructure professionals including infrastructure developers, investors, financiers, state and federal public officials and regional transportation authorities.

Voting

This industry awards dinner recognizes individual achievement in advancing P3 projects. The ...

At the end of 2015, two modal administrations of the United States Department of Transportation (US DOT) have encountered changes to their Buy America programs.  Both the Federal Transit Administration (FTA) and the Federal Highway Administration (FHWA) have had changes imposed upon their Buy America procedures – the FTA by Congress through provisions in the Fixing America’s Surface Transportation Act (or, FAST Act) and the FHWA through a recent opinion in the United States District Court for the District of Columbia (United Steel, Paper and Forestry, Rubber, Manufacturing ...

Posted by guest blogger Billy Moore.

Billy Moore of Vianovo works with the Transportation Transformation Group, a consortia of public and private entities that looks at ways of improving the funding and financing of the nation’s transportation infrastructure, which is co-chaired by Nossaman Partner Geoffrey Yarema.

The House and Senate conferees have agreed on a compromise $305 billion five-year surface transportation authorization: the Fixing America's Surface Transportation (FAST) Act. The bill should be headed to the White House in the next few days. It would ...

Los Angeles World Airports (LAWA) staff today briefed its Board of Airport Commissioners on its plans to deliver and finance the estimated $5 billion Landside Access Modernization Program (LAMP) at Los Angeles International Airport (LAX).  LAMP includes several elements, including an elevated 2.25-mile automated people mover (APM), a consolidated rent-a-car facility (ConRAC), parking garages, pedestrian bridges to airport terminals and roadway improvements.  The APM will have several stops between LAX’s Central Terminal Area and the new ConRAC, including a stop at a ...

Last month, the United States Department of Transportation (USDOT) formally unveiled its Build America Transportation Investment Center (BATIC). BATIC’s mission is to:

• Expand the use of federal transportation credit programs;

• Innovate new approaches to project development processes and funding challenges and institutionalize technology and best practice across credit programs and modal teams; and

• Deliver streamlined technical and financial assistance to accelerate project delivery

BATIC is intended to serve as a single point of contact for project sponsors to obtain ...

Federal Transit Administration (FTA) grants fund billions of transit-related projects throughout the United States.  In an effort to improve the project delivery process for those projects, the FTA on September 3, 2015, announced the establishment of the Expedited Public Transportation Improvement Initiative (XPEDITE) in the Federal Register.  The FTA is soliciting participation in an online dialogue regarding XPEDITE, the goals of which are to facilitate the transit industry's implementation of the following:

• Proven technologies to improve service delivery and ...

To help promote Infrastructure Week—which brings together thousands of stakeholders from around the country to highlight the critical importance of investing in and modernizing America’s infrastructure systems, and the essential role infrastructure plays in our economy—Nossaman is reposting this article on California’s infrastructure needs. To learn more about Infrastructure Week, which runs May 11-May 15, please visit www.infrastructureweek.org or follow Infrastructure Week on Twitter @RebuildRenew.

California is the most populous state in the Country; ...

As part of Infrastructure Week, 2015, several interested organizations banded together for an afternoon meeting on Monday, May 11, that focused on public-private partnerships as a way out of the infrastructure crunch.  Projects, big and small, stand to benefit from engaging the private sector to solve an array of infrastructure challenges.  The event was hosted by the Pew Charitable Trusts, and moderated by Cleveland City Councilman Matt Zone, who is also the 2^nd Vice President of National League of Cities (NLC).  Art Smith, President of the National Council for Public-Private ...

Federal transportation officials are contemplating new contract rules that would make it easier for states and cities to hire local residents to work on transportation projects.  Federal rules currently prohibit the Federal Highway Administration (FHWA) and the Federal Transit Administration (FTA) from allowing contract provisions that do not directly relate to the bidder's performance of work.  Thus, local hiring provisions have not been allowed in procurements for federally funded projects.  This month, however, U.S. Transportation Secretary, Anthony Foxx, announced a ...