statewide TIPS, do not need to be approved by the FHWA or the FTA, copies of any new or amended TIPS must be provided to each agency. Additionally, in nonattainment and maintenance areas for transportation related pollutants, the FHWA and the FTA, as well as the MPO, must make a conformity determination on any new or amended TIPS (unless the amendment consists entirely of exempt projects) in accordance with the Clean Air Act requirements and the EPA conformity regulations (40 CFR part 51).

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(c) There must be reasonable opportunity for public comment in accordance with the requirements § 450.316(b)(1) and, in nonattainment TMAS, an opportunity for at least one formal public meeting during the TIP development process. This public meeting may be combined with the public meeting required under § 450.322(c). The proposed TIP shall be published or otherwise made readily available for review and comment. Similarly, the approved TIP shall be published or otherwise made readily available for information purposes.

(d) The TIP shall cover a period of not less than 3 years, but may cover a longer period if it identifies priorities and financial information for the additional years. The TIP must include a priority list of projects to be carried out in the first three years. As a minimum, the priority list shall group the projects that are to be undertaken in each of the years, i.e., year 1, year 2, year 3. In nonattainment and maintenance areas, the TIP shall give priority to eligible TCMs identified in the approved SIP in accordance with the U.S. EPA conformity regulation (40 CFR part 51) and shall provide for their timely implementation.

(e) The TIP shall be financially constrained by year and include a financial plan that demonstrates which projects can be implemented using current revenue sources and which projects are to be implemented using proposed revenue sources (while the existing transportation system is being adequately operated and maintained). The financial plan shall be developed by the MPO in cooperation with the State and the transit operator. The State and the transit operator must

provide MPOs with estimates of av able Federal and State funds which MPOS shall utilize in developing fin cial plans. It is expected that the Sta would develop this information as of the STIP development process that the estimates would be refin through this process. Only projects which construction and operati funds can reasonably be expected to available may be included. In the c of new funding sources, strategies ensuring their availability shall identified. In developing the financi analysis, the MPO shall take into count all projects and strategies fund under title 23, U.S.C., and the Federa Transit Act, other Federal funds, loc sources, State assistance, and privaa participation. In nonattainment an maintenance areas, projects included for the first two years of the current TIP shall be limited to those for which funds are available or committed.

(f) The TIP shall include:

(1) All transportation projects, or identified phases of a project, (including pedestrian walkways, bicycle transportation facilities and transportation enhancement projects) within the metropolitan planning area proposed for funding under title 23, U.S.C., (includ ing Federal Lands Highway projects and the Federal Transit Act, excluding safety projects funded under 23 U.S.C 402, emergency relief projects (except those involving substantial functional locational and capacity changes), and planning and research activities ( cept those funded with NHS, STP, and or MA funds). Planning and research activities funded with NHS, STP ander MA funds, other than those used for major investment studies, may be ex cluded from the TIP by agreement the State and the MPO;

(2) Only projects that are consistent. with the transportation plan;

(3) All regionally significant trans portation projects for which an FHWA or the FTA approval is required wheth er or not the projects are to be funded with title 23, U.S.C., or Federal Transit Act funds, e.g., addition of an inter change to the Interstate System with State, local, and/or private funds, dem onstration projects not funded under title 23, U.S.C., or the Federal Transit

Act, etc.;

For informational purposes and quality analysis in nonattainment maintenance areas, all regionally ificant transportation projects prod to be funded with Federal funds, iding intermodal facilities, not red in paragraphs (f)(1) or (f)(3) of section; and

For informational purposes and Equality analysis in nonattainment maintenance areas, all regionally ificant projects to be funded with -Federal funds.

) With respect to each project er paragraph (f) of this section the shall include:

) Sufficient descriptive material ., type of work, termini, length, :.) to identify the project or phase; 2) Estimated total cost;

3) The amount of Federal funds prosed to be obligated during each proim year;

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(6) In nonattainment and mainteance areas, identification of those ojects which are identified as TCMs the applicable SIP; and

(7) In areas with Americans with Disilities Act required Paratransit and y station plans, identification of lose projects which will implement le plans.

(h) In nonattainment and mainteance areas, projects included shall be pecified in sufficient detail (design oncept and scope) to permit air qualty analysis in accordance with the J.S. EPA conformity requirements (40 FR part 51).

(i) Projects proposed for FHWA and/ r FTA funding that are not considered y the State and MPO to be of approriate scale for individual identificasion in a given program year may be grouped by function, geographic area, and work type using applicable classifications under 23 CFR 771.117 (c) and(d). In nonattainment and maintenance areas, classifications must be consistent with the exempt project classifications contained in the U.S. EPA conformity requirements (40 CFR part 51).

(j) Projects utilizing Federal funds that have been allocated to the area pursuant to 23 U.S.C. 133(d)(3)(E) shall be identified.

(k) The total Federal share of projects included in the TIP proposed for funding under section 9 of the Federal Transit Act (49 U.S.C. app. 1607a) may not exceed section 9 authorized funding levels available to the area for the program year.

(1) Procedures or agreements that distribute suballocated Surface Transportation Program or section 9 funds to individual jurisdictions or modes within the metropolitan area by predetermined percentages or formulas are inconsistent with the legislative provisions that require MPOS in cooperation with the State and transit operators to develop a prioritized and financially constrained TIP and shall not be used unless they can be clearly shown to be based on considerations required to be addressed as part of the planning process.

(m) For the purpose of including Federal Transit Act section 3 funded projects in a TIP the following approach shall be followed:

(1) The total Federal share of projects included in the first year of the TIP shall not exceed levels of funding committed to the area; and

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(2) The total Federal share projects included in the second, third and/or subsequent years of the TIP may not exceed levels of funding committed, or reasonably expected to be available, to the area.

(n) As a management tool for monitoring progress in implementing the transportation plan, the TIP shall:

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and strategies for ensuring their advancement at the earliest possible time; and

(4) In nonattainment and maintenance areas, include a list of all projects found to conform in a previous TIP and are now part of the base case for the purpose of air quality conformity analyses. Projects shall be included in this list until construction or acquisition has been fully authorized, except when a three-year period has elapsed subsequent to the NEPA approval without any major action taking place to advance the project.

(0) In order to maintain or establish operations, in the absence of an approved metropolitan TIP, the FTA and/ or the FHWA Administrators, as appropriate, may approve operating assistance.

§ 450.326 Transportation improvement program: Modification.

The TIP may be modified at any time consistent with the procedures established in this part for its development and approval. In nonattainment or maintenance areas for transportation related pollutants if the TIP is amended by adding or deleting projects which contribute to and/or reduce transportation related emissions or replaced with a new TIP, new conformity determinations by the MPO and the FHWA and the FTA will be necessary. Public involvement procedures consistent with §450.316(b)(1) shall be utilized in amending the TIP, except that these procedures are not required for TIP amendments that only involve projects of the type covered in § 450.324(i).

$450.328 Transportation improvement program: Relationship to statewide TIP.

(a) After approval by the MPO and the Governor, the TIP shall be included without modification, directly or by reference, in the STIP program required under 23 U.S.C. 135 and consistent with §450.220, except that in nonattainment and maintenance areas, a conformity finding by the FHWA and the FTA must be made before it is included in the STIP. After approval by the MPO and the Governor, a copy shall be provided to the FHWA and the FTA.

(b) The State shall notify the ap priate MPO and Federal Lands H ways Program agencies, e.g., Burea Indian Affairs and/or National P Service, when a TIP including proje under the jurisdiction of these agen has been included in the STIP.

§450.330 Transportation improvem program: Action required by FH FTA.

(a) The FHWA and the FTA m jointly find that each metropolit TIP is based on a continuing, cam prehensive transportation process c ried on cooperatively by the Stat MPOS and transit operators in accor ance with the provisions of 23 U.S 134 and section 8 of the Federal Trans Act (49 U.S.C. app. 1607). This findin shall be based on the self-certificatio statement submitted by the State and MPO under §450.334 and upon other re views as deemed necessary by the FHWA and the FTA.

(b) In nonattainment and maintenance areas, the FHWA and the FTA must also jointly find that the metropolitan TIP conforms with the adopted SIP and that priority has been given to the timely implementation of transportation control measures contained in the SIP in accordance with 40 CFR part 51. As part of their review in nonattainment areas requiring TCMs, the FHWA and the FTA will specifically consider any comments relating to the financial plans for the plan and TIP contained in the summary of significant comments required under $450.316(b). If the TIP is found to be in nonconformance with the SIP, the TIP shall be returned to the Governor and the MPO with the joint finding. If the TIP is found to conform with the SIP the Governor MPO shall be notified of the joint finding. After the FHWA and the FTA find the TIP to be in conform ance, the TIP shall be incorporated without modification, into the STIP directly or by reference.

$450.332 Project selection for imple

mentation.

(a) In areas not designated as TMAS and when $450.332(c) does not apply, projects to be implemented using title 23 funds other than Federal lands projects or Federal Transit Act funds

• be selected by the State and/or transit operator, in cooperation

the MPO from the approved metlitan TIP. Federal Lands Highways ram projects shall be selected in ordance with 23 U.S.C. 204.

In areas designated as TMAS re $450.332(c) does not apply, all 23 and Federal Transit Act funded jects, except projects on the NHS projects funded under the bridge, erstate maintenance, and Federal ds Highways programs, shall be seed by the MPO in consultation with State and transit operator from the roved metropolitan TIP and in acdance with the priorities in the apoved metropolitan TIP. Projects on

NHS, and projects funded under the idge and Interstate maintenance proams shall be selected by the State in Operation with the MPO, from the proved metropolitan TIP. Federal nds Highway Program projects shall selected in accordance with 23 .S.C. 204.

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(c) Once a TIP that meets the requirements of $450.324 has been devel-ped and approved, the first year of the IP shall constitute an "agreed to" Ist of projects for project selection urposes and no further project selecon action is required for the impleenting agency to proceed ojects, except where the appropriated ederal funds available to the metroolitan planning area are significantly ss than the authorized amounts. In nis case, a revised "agreed to" list of rojects shall be jointly developed by he MPO, State, and the transit operaor if requested by the MPO, State, or he transit operator. If the State or ransit operator wishes to proceed with project in the second or third year of he TIP, the specific project selection procedures stated in paragraphs (a) and b) of this section must be used unless the MPO, State, and transit operator jointly develop expedited project selection procedures to provide for the advancement of projects from the second For third year of the TIP.

(d) Projects not included in the Federally approved STIP will not be eligile for funding with title 23, U.S.C., or ederal Transit Act funds.

(e) In nonattainment and maintedance areas, priority will be given to

the timely implementation of TCMs contained in the applicable SIP in accordance with the U.S. EPA conformity regulations at 40 CFR part 51.

§ 450.334 Metropolitan transportation planning process: Certification.

(a) The State and the MPO shall annually certify to the FHWA and the FTA that the planning process is addressing the major issues facing the area and is being conducted in accordance with all applicable requirements of:

(1) Section 134 of title 23, U.S.C., section 8 of the Federal Transit Act (49 U.S.C. app. 1607) and this part;

(2) Sections 174 and 176 (c) and (d) of the Clean Air Act (42 U.S.C. 7504, 7506 (c) and (d));

(3) Title VI of the Civil Rights Act of 1964 and the Title VI assurance executed by each State under 23 U.S.C. 324 and 29 U.S.C. 794;

(4) Section 1003(b) of the Intermodal Surface Transportation Efficiency Act of 1991 (Pub. L. 102-240) regarding the involvement of disadvantaged business enterprises in the FHWA and the FTA funded planning projects (sec. 105(f), Pub. L. 97-424, 96 Stat. 2100; 49 CFR part 23); and

(5) The provisions of the Americans with Disabilities Act of 1990 (Pub. L. 101-336, 104 Stat. 327, as amended) and U.S. DOT regulations "Transportation for Individuals with Disabilities" (49 CFR parts 27, 37, and 38).

(b) The FHWA and the FTA jointly will review and evaluate the transportation planning process for each TMA (as appropriate but no less than once every three years) to determine if the process meets the requirements of this subpart.

(c) In TMAs that are nonattainment or maintenance areas for transportation related pollutants, the FHWA and the FTA will also review and evaluate the transportation planning process to assure that the MPO has an adequate process to ensure conformity of plans and programs in accordance with procedures contained in 40 CFR part 51.

(d) Upon the review and evaluation conducted under paragraphs (b) and (c) of this section, if the FHWA and the

FTA jointly determine that the transportation planning process in a TMA meets or substantially meets the requirements of this part, they will take one of the following actions, as appropriate:

(1) Jointly certify the transportation planning process;

(2) Jointly certify the transportation planning process subject to certain specified corrective actions being taken; or

(3) Jointly certify the planning process as the basis for approval of only those categories of programs or projects that the Administrators may jointly determine and subject to certain specified corrective actions being taken.

(e) A certification action under this section will remain in effect for three years unless a new certification determination is made sooner.

(f) If, upon the review and evaluation conducted under paragraph (b) or (c) of this section, the FHWA and the FTA jointly determine that the transportation planning process in a TMA does not substantially meet the requirements, they may take the following action as appropriate, if after September 30, 1993, the transportation planning process is not certified:

(1) Withhold in whole or in part the apportionment attributed to the relevant metropolitan planning area under 23 U.S.C. 133(d)(3), capital funds apportioned under section 9 of the Federal Transit Act, and section 3 funds under the Federal Transit Act (49 U.S.C. 1607(a)); or

(2) Withhold approval of all or certain categories of projects.

(g) If a transportation planning process remains uncertified for more than two consecutive years after September 30, 1994, 20 percent of the apportionment attributed to the metropolitan planning area under 23 U.S.C. 133(d)(3) and capital funds apportioned under the formula program of section 9 of the Federal Transit Act (49 U.S.C. app. 1607a) will be withheld.

(h) The State and the MPO shall be notified of the actions taken under paragraphs (f) and (g) of this section. Upon full, joint certification by the FHWA and the FTA, all funds withheld

will be restored to the metropolitan area, unless they have lapsed.

$450.336 Phase-in of new require ments.

(a) Except for reflecting the consideration given the results of the management systems, the planning process and plans in nonattainment areas requiring TCMs shall comply, to the extent possible, with the requirements of this subpart by October 1, 1994. All other metropolitan areas shall comply to the extent possible with the require ments of this subpart by December 18, 1994. Where time does not permit a quantitative analysis of certain fac tors, a qualitative analysis of those factors will be acceptable. If a forecast period of less than twenty years is ac ceptable for SIP development and air quality conformity purposes, that same time period will be acceptable for transportation planning. The initial plan update shall be financially feasible, taking into account capital costs and the funds reasonably available for capital improvements, as well as addressing to the extent possible the costs of and revenues available for operating and maintenance of the transportation system. Where TCMs are required, the plan update process shall be coordinated with the process for developing TCMs. The planning process for subsequent updates of the plan and the updated plans shall comply with the requirements of this subpart. Plan up dates performed in all areas must con sider the results of the managemen systems (specified in 23 CFR part 500 as they become available. The plan shall reflect this consideration.

(b)(1) During the period prior to the full implementation of the CMS in s TMA, the MPO in cooperation with the State, the public transit operators, and other operators of major modes d transportation shall identify the loca tion of the most serious congestion problems in the metropolitan area and proceed with the development of a tions to address these problems.

(2) Prior to the full implementatio of a CMS, an adequate interim CMS1 a TMA designated as nonattainment for carbon monoxide and/or ozone shall as a minimum, include a process thai results in an appropriate analysis of