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Officials say recent events impacting local gasoline supplies helped shed light on the real need for efficient and attractive public transportation choices.
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The proposal previously passed the Senate and now heads to Gov. David Ige, who said he expects to sign it after a review.
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If a state fails to meet the deadline, the FTA is prohibited by federal law from obligating any funds to public transportation agencies throughout that state until certification is achieved.
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The bill is projected to bring about $2.37 billion to help complete the 20-mile rail by extending the half-percent excise tax surcharge on Oahu for another three years, although the mayor of Honolulu would like it extended to five years.
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If no solution is found by Sept. 15, the federal government could demand that Honolulu return more than $800 million it has already spent and withhold the rest of a promised $1.5 billion funding package.
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The Honolulu Authority for Rapid Transportation has a September 15 deadline to submit its financial plan to the Federal Transit Administration.
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Recipients of Federal funding for public transportation projects would be allowed to identify specific FTA regulations, practices, procedures, or guidance documents that may be an impediment to the use of a P3 or private investment in that project.
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All projects must comply with Buy America regulations, which require that all iron, steel, or manufactured products be produced in the U.S., as well as final assembly of vehicles.
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The package would fund alternative transportation by instituting a payroll tax of one-tenth of a percent of wages. In 2018, officials expect to raise $103 million for public transit in metro areas and rural communities.
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Sears is responsible for oversight of the firm’s operations in Washington, Oregon, Hawaii and the South Pacific.
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