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FOR RELEASE:
Contact: Ann
Henley
August 19, 2005 (703)
684-3200
The National
School Transportation Association is pleased to announce the passage
of the Safe, Accountable, Flexible, and Efficient Transportation
Equity Act: A Legacy for Users, signed into law by President Bush
on August 11th in Chicago, Illinois.
"This is
a huge victory for the private school bus industry," says Becky
Weber, NSTA Lobbyist, "This legislation helps level the playing
field with public transit agencies and makes the transportation
of schoolchildren safer."
The legislation
contains several provisions that impact the industry including:
Charter Bus
and School Bus Transportation Rules
The
new law provides for flexible penalties when transit agencies violate
either federal charter bus or school bus rules. The previous law
allowed only for withholding of all of a transit agency's federal
funding. The new law will allow withholding of a portion of a transit
agency's formula apportionment. In addition, FTA is required to
investigate complaints rather than having the discretion to investigate
or not investigate.
This means that
it is more likely that the Federal Transit Administration will investigate
and penalize transit agencies that violate the charter bus or school
bus rules.
In addition,
the new law directs the DOT to begin a negotiated rulemaking process
to determine what changes should be made to the charter bus rule.
In a negotiated rulemaking process, all stakeholders are invited
to be at the table with the agency and all parties must agree on
the outcome. NSTA intends to be an active member of this process
to ensure that beneficial changes to the charter rules can be enacted
and to prevent any harmful incursions into charter bus work by public
transit operators.
Private Enterprise Participation
This
provision of federal transit law was modified to state that public
transit authorities must encourage the participation of the private
sector to the maximum extent feasible "as determined by local
policies, criteria and decision-making."
This is a minor
modification of the current law to restate that the private sector
is permitted the opportunity to participate in the provision of
public transportation services and continues to restate the policy
that the private sector should be given the opportunity to provide
public transportation service where appropriate.
Planning
Provisions
Related
to the Private Enterprise Participation provision, this change repeals
section 5305(e) in the former law which said that the DOT could
not withhold certification from a metropolitan planning organization
for deciding the feasibility of private enterprise participation,
therefore making the private enterprise participation provision
essentially moot. The new law rewrites the entire planning section
and removes 5305 (e) so mpo's must now prove that they have permitted
maximum participation by the private sector in the planning process
in order to be successfully certified. This means that mpo's will
now be much more aware and apt to reach out to the private sector
in their processes and will create more opportunities for school
bus contractors to provide public transportation services where
appropriate.
13c Labor
Protection
The
new law codifies a U.S. Department of Labor ruling which found that
in a change of contractor situation, section 13c of federal labor
law does not require the employees to be guaranteed jobs with the
new contractor, or that their labor contract be carried over to
the new contractor. That means the incoming contractor need not
hire the workforce of the predecessor or honor its labor agreement.
The exception
would be if there was an acquisition of a mass transit system, which
is financed with federal funds.
Employees could
still file 13c claims if layoffs occur in the transition from one
contractor to another, but to prevail on the claims they need to
show that their dismissal or displacement was caused by a federal
project.
Two new transit
programs, Transit in the Parks and New Freedom Imitative will not
require 13c labor protection agreements - another victory for the
private sector.
Passenger Van Safety
The
new law requires the DOT to test 15 passenger vans as part of the
rollover resistance program of NHTSA's new car assessment program.
A "15 passenger van" is defined as a vehicle seating 10-14
passengers, not including the driver.
This section
also includes a modified provision that was included in the Senate
passed bill, entitled "Prohibition of Purchase, Rental, or
Lease of Noncomplying 15-Passenger Vans for School Use", a
modification of Section 30112(a) of current law. It now reads as
follows:
"Except
as provided in this section, Sections 30113 and 30114 of this
title, and subchapter III of this chapter, a school or school
system may not purchase or lease a new 15-passenger van if it
will be used significantly by, or on behalf of, the school or
school system to transport preprimary, primary, or secondary school
students to or from school or an event related to school, unless
the 15 passenger van complies with the motor vehicle standards
prescribed for school buses and multifunction school activity
buses under this title. This paragraph does not apply to the purchase
or lease of a 15-passenger van under a contract executed before
the date of enactment of this paragraph."
This provision
puts the onus of the purchase or lease of 15-passenger vans on the
school or school district instead of the dealer. It also puts schools
and school districts on notice that they should not purchase these
vans outright.
The maximum
civil penalty is increased to $10,000 in the case of the manufacture,
sale, offer for sale, introduction or delivery for introduction
into interstate commerce, or importation of a school bus or school
bus equipment in violation of the law. The maximum penalty under
this paragraph for a related series of violations is $15,000,000.
The penalty provision applies more broadly than to just schools
or school systems, but also to manufacturers and dealers.
Clean School
Bus
The bill includes language authorizing $55 million for fiscal years
2006 and 2007 and unspecified sums for 2008 and 2009 to carry out
a program to help fund the purchase of new, lower emitting school
buses, after-treatment emissions control equipment or biodiesel
fuel. The language authorizes grants to public agencies, nonprofit
trade associations and school bus contractors. Funds may be used
for up to 25% of the cost of buses meeting specified emissions standards
tougher than currently required by EPA or up to 50% for buses meeting
even tougher standards specified in the law. In addition, the law
allows grants for up to 100% for the purchase of biodiesel fuel
and certain bus retrofit technologies like emissions catalysts and
particulate traps.
Diesel Retrofit
Funding Under CMAQ
The bill
also includes expanded eligibility for use of Congestion Mitigation
and Air Quality Improvement Program (CMAQ) funding to cover the
cost of diesel retrofits in non-attainment areas. The CMAQ program
provides approximately $8.5 billion over five years for the CMAQ
program and these funds may now be used to fund diesel retrofits
for motor vehicles and for any construction equipment used in highway
construction projects. EPA is directed to develop guidelines on
the effectiveness of diesel retrofit technologies and provide information
and technical assistance to the owners and operators of diesel equipment
and vehicles.
Financial
Responsibility
Minimum
financial responsibility standards are to be set for all private
operators.
Private Sector
Access to Funding
For
the Transit in the Parks Program, private contractors can provide
that service under normal contracting rules.
Transit Competition
The
new law contains a provision designed to prevent transit agencies
from linking together to perform regional intercity bus services.
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