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ACEC Ohio/ODOT Matchmaking Event | ACEC Ohio Transportation Committee Meeting, 8/6/19

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ACEC Transportation Committee updates from Matthew Reiffer below:


FHWA Safe Harbor Indirect Cost Rate Policy Guidance

FHWA had conducted a 3-year pilot study of a safe harbor rate in 10 states. Based on reported positive results, they are now expanding the program to be available to every state.  The basic concept is to allow new, small, and DBE firms without a compliant FAR overhead rate to voluntarily use an artificially low rate (set at 110% in the pilot, but subject to state discretion in the permanent policy).  This allows more firms to compete for work while they develop a cost history and adequate accounting systems to develop a FAR-compliant rate.  It also allows DOTs to allocate limited audit resources to more complex, higher risk contracts.

(FHWA) posted the final guidance on expanding and making permanent the Safe Harbor Indirect Cost Rate policy for state departments of transportation. Click here for the Federal Register notice.

ACEC Legislative Update - FY 2020 Transportation Appropriations

The House of Representatives approved its version of the annual spending bill for Department of Transportation programs for Fiscal Year 2020.  The bill would increase investment levels for most federal transportation infrastructure accounts. It was included in a broader package of 4 other appropriations bills.

The bill meets FAST Act funding levels for highway programs at $46.4 billion from the Highway Trust Fund and adds an additional $1.5 billion from the General Fund for surface transportation block grants, railway-highway crossing safety improvement, and charging infrastructure along corridor ready or corridor pending alternative fuel corridors.

A total of $13.5 billion is provided for Federal Transit Administration programs, fully funding FAST Act commitments and $2.3 billion for Capital Investment Grants, equal to the authorized level, and $750 million for transit infrastructure grants.

Click here for more information on the bill from the House Appropriations Committee.  The outcome of this year's spending bills is contingent on agreement between Congress and the President on overall budget totals.  The Senate has been waiting to proceed on appropriations pending discussions among congressional leaders and the administration.

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