Subscribe to our free, weekly email newsletter!


Transportation infrastructure: DOT announces new funding for TIGER II grants

image
By Jeff Berman, Group News Editor
June 01, 2010

Roughly four months after the Department of Transportation awarded grants to various U.S. governments, cities, and transit agencies as part of the $1.5 billion Transportation Investment Generating Economic Recovery (TIGER) Discretionary Grant Program, DOT Secretary Ray LaHood has announced there is $600 million in TIGER II grants available for surface transportation projects.

DOT officials said that these “grants will be awarded on a competitive basis to projects that have a significant impact on the nation, a region or metropolitan area that can create jobs.”

As was the case with the first round of TIGER funding, the objective of TIGER II grants is to ensure that economic funding is rapidly made available for transportation infrastructure projects and that project spending is monitored and transparent.

The first round of TIGER grants were distributed among 51 projects out of more than 1,400 applications that came in throughout the country. According to the DOT, the total amount requested from the more than 1,400 applications would have rung in at nearly $60 billion worth of projects—or 40 times the amount available through the program.

Freight transportation projects were well represented among the winners, with 22 of the 51 projects pertaining to goods movement, according to the Coalition for America’s Gateways and Trade Corridors (CAGTC).

Some of the programs receiving freight-related TIGER grant funding included:
-National Gateway Freight Rail Corridor (OH, PA, WV, MD), $98 million;
-CREATE Program Projects (IL), $100 million;
-The Southwestern Regional Intermodal Freight Transportation Hub (IL), $6 million;
-Crescent Corridor Intermodal Freight Rail Project (TN, AL), $105 million;
-Port of Gulfport Rail Improvements (MS), $20 million;
-Alameda Corridor East: Colton Crossing (CA), $33.8 million; and
-U.S. 395 North Spokane Corridor (WA), $35 million.

Mort Downey, senior advisor at infrastructure firm Parsons-Brinkerhoff, described the TIGER grant award winners as the “cream of the crop,” considering that one out of every 38 submitted projects received funding.

The criterion used by the DOT to select projects was fundamentally cost-benefit analysis, and this bodes well for the freight-related projects that were selected. But in order for these projects to be considered successful, Downey said they ultimately need to deliver.

“These grants are important on the job creation front and even more importation on the long-term economic growth front—particularly for the freight projects,” noted Downey. “The freight projects in particular have very large cost-benefit potential and are largely focused on shippers in terms of supply chain efficiency and reducing inventories and [transit time] delays. A lot of these projects were ‘partnership projects’ between entities like railroads and ports, and TIGER money acted as the closer to make these deals work.”

In terms selection criteria for TIGER II grants, submissions must include: contributing to the long-term economic competitiveness of the nation; improving the condition of existing transportation facilities and systems; improving energy efficiency and reducing greenhouse gas emissions; improving the safety of U.S. transportation facilities and improving the quality of living and working environments of communities through increased transportation choices and connections.

The DOT said that pre-applications for TIGER II grants are due on July 16 and applications are due on August 23 from state and local governments.

 

About the Author

Jeff Berman headshot
Jeff Berman
Group News Editor

Jeff Berman is Group News Editor for Logistics Management, Modern Materials Handling, and Supply Chain Management Review. Jeff works and lives in Cape Elizabeth, Maine, where he covers all aspects of the supply chain, logistics, freight transportation, and materials handling sectors on a daily basis. .(JavaScript must be enabled to view this email address).


Subscribe to Logistics Management magazine

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your
entire logistics operation.
Start your FREE subscription today!

Recent Entries

Satish Jindel, president of Pittsburgh-based SJ Consulting, says that one way for LTL carriers to improve both their bottom lines and overall productivity is to get a better grasp on the cost of handling a shipment and the pricing they have for it.

Falling 5.5 cents to $2.668 per gallon, this follows last week’s 5.9 cent decline for the lowest weekly average price going back to the week of October 14, 2009, when it was at $2.60 per gallon.

With the latest round of Trans-Pacific Partnership (TPP) negotiations in Maui, Hawaii ending without a deal, U.S. supply managers may be adjusting to other global sourcing strategies.

The PMI, the ISM’s index to measure growth fell 0.8 percent to 52.7 (a PMI of 50 or greater represents growth). PMI growth has been at 50 or higher for 31 straight months (with the overall economy growing for 74 months), and the current PMI is 1.7 percent below the 12-month average of 54.4.

The current status of FedEx’ planned acquisition of Netherlands-based TNT-NV and a provider of mail and courier services and the fourth largest global parcel operator for $4.8 billion, which was initially announced in April, remains in flux, with continued actions being taken by the European Commission.

Article Topics

News · All topics

Comments

Post a comment
Commenting is not available in this channel entry.


© Copyright 2015 Peerless Media LLC, a division of EH Publishing, Inc • 111 Speen Street, Ste 200, Framingham, MA 01701 USA