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Audit Initiated of FTA’s Determinations of Project Sponsors’ Progress Toward Meeting TAM Performance Targets for IIJA CIG Funding

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One of the Federal Transit Administration’s (FTA) highest priorities is helping public transit agencies maintain their bus and rail systems in a state of good repair. According to FTA, state of good repair is the condition in which a capital asset, such as a unit of rolling stock, a facility, a unit of equipment, or an element of public transportation infrastructure, is able to operate at a full level of performance. According to the Department, the Nation’s public transportation systems have a combined repair backlog of over $105 billion. To help address this challenge, FTA requires transit agencies to develop transit asset management (TAM) plans. These plans include inventories of assets, assessments of asset condition, and prioritization of investments to improve assets’ state of good repair. The Infrastructure Investment and Jobs Act of 2021 (IIJA) authorized increased funding to the Capital Investment Grant (CIG) program and requires the Department to determine that a project sponsor has made progress toward meeting TAM performance targets prior to awarding CIG funding. Accordingly, we are initiating this audit to assess FTA’s determinations of project sponsors’ progress toward meeting TAM performance targets prior to awarding IIJA CIG funding.