Welcome, everyone. I would like to introduce Dr. Anthony Kane. He joined the American Association of State Highway and Transportation officials as director of engineering of technical services. Dr. Kane previously served as the Federal Highway Administration's executive director from 1994 until 2001. During his three-year career with federal highways, Dr. Kane was instrumental in enacting and implementing many service Transportation Act and funding increases. Doctor Kane? Good afternoon. Welcome to the seminar and webcast. Many of the new programs that or authorized have yet to be enacted into established practice because of the failure of the Appropriations Act. What I would like to do today is run very quickly through all of the provisions of. I am joined today by Jeffrey Paniati. Looking at the first slide, dealing with the signing ceremonies and the speaker of the house. This legislation was significant in terms of funding and finance, the oversight requirements that are now required, a major increases in transit and highways, increases in research, some over programming of those increased funds. Federal highways has been left for very few choices. Very strong changes in the program, environmental streamlining, and benefit provisions. There are three broad dimensions that I will try to cover very quickly. The record funding level, a major policy changes and the need for future courses of action. We had significant spending increases for transit and highways, the major changes are funded in support in the future, program levels will not be able to continue and the whole series of policy studies that are required to take a look up the issue. Been taking a look at the highway program and the highway program is very strong concern by DOT concept to maintain funding guarantees. Both were taking care of in this legislation. The dramatic downturns that might be possible from a negative fix is now cushioned by the fact that you can go, as long as there is money there, there will be, in terms of the overall funding level, AASHTO and state DOTs are looking for a program level of about $45 billion a year for highways and a significant increase in the transit program. 295 billion conduct a 40 overall, record levels for highways and transit. In terms of the core programs, state DOTs and grant recipients really are interested in core programs maintaining of a larger share of funding. 84% of the overall highway funding goes to the core programs, earmarked continue to increase the history of earmarking is in the last six reauthorization is increasing both dollar numbers and dollars. The last major reauthorization have about five% of the program your mark, this time it is closer to ten%. In terms of the core programs, all had very significant increases over the 21 and now we have in new equity bonus program. The new highway safety improvement program, which I will mention later, was very significant Now that safety is a core program. In terms of innovative finance, both administration and state DOTs were very supportive of all in the defense provisions that came upon the act, with changes to the to be a program, continuation of current law on pulling and also expansion, to allow conversions in New Express line demonstration the the as we are seeing in the private sector, much stronger in terms of a public/private partnerships in recent days in Texas, Illinois, and Virginia, that provision alone will see that we have larger new projects coming downstream Financial flexibility, state DOT recipients needed to have more flexibility with regard to Aramark programs. Law allows states to utilize and transfer within their own categories, funding for higher priority projects and other Aramark projects, as long as it is we balanced out authorization procedure because of. States must really take a hard look at recipients, in terms of grants at both local government level and in short adequate cost Accounting controls are in place for those funds. In addition, a caucus, in terms of major projects, required all projects over a billion dollars to have a financial plan. SAFBDLU now requires everybody to have a project management plan. In addition, all projects over 100 million have to have a financial plan submitted to the Secretary Dick in terms of revenue Commission and Policy Studies, we created a number of new commissions that are important in the future peak of the largest one is called the Revenue Setting Commission, which has three charges. Of looking at the needs of all surface transportation modes, inner-city rail, passenger and freight, Metropolitan Transit, as well as the highway program. In another section there is a requirement to look at the interstate highway system and, very important, the future requirements of the highway trust fund. In addition, a parallel study, 1142, called the National Service Transportation Infrastructure Financing Commission was instrumental in launching that. The chart you are looking at now is a balance in the highway account, not from 62. Also from revenue available to the trust fund at that time. Both estimates are changed somewhat. What it shows is that by 2009, we can continue with the same funding levels that we have or the trust fund will go bust. It reinforces the need for those commissions to make recommendations to Congress on the sources of funds for programs. In terms of transit, high levels of increases in the transit program, also similarly retained a 20% matching rate, which EFTA were strongly in favor of and very large increases in world trends it. In terms of example provisions in highway engineering, design and build rules that were recently issued me to be revised because now there are many restrictions removed in terms of smaller scale projects and also allowing project to go ahead in terms of federal aid award a contract. Bridge program had major changes in terms of eligibility, so you can have preventative maintenance, expenditures from the trust fund, something the administration and my members that state DOTs had wanted for many years. Allowance for interstate idling production facilities to be installed at stops in rest areas so trucks could turn off their engines. There could be a revenue raising measures to install these facilities. There is an interested oasis program allowing movement of trucks off the interstate to already existing truck stops which really reinforces off Interstate commercialization as opposed to commercialization on the interstate. Highway engineering provisions in state DOT, traffic control sections, additional regulations will be forthcoming. In terms of words on the rules, America as it toughens the requirements for buying America. A new program funded over four years, which both the state DOT and administration were supportive of, had a kickoff meeting yesterday to talk about how the program might be launched to really bring about better projects in the consistent release, safety, and in life cycle of cost-reduction. Motorcycles advisory committee is to beat established to advise motorcycle issues. As many of you may or may not be aware, the largest growing field of fatalities is on motorcycles. In the research area, there was a very large increase in funding. However it has been over designated. Over $30 million has been over designated in terms of earmarking and categories of research for which no funding is available for FHWA. In addition, there is a new program called a Sharp, funded at about half the level that had been requested. An advisory committee will take a hard look at, check of a program that can launch over the four years given that the program has been cut in half. A very brand new and important program, environmental planning and research, administered by federal highways at about $70 million per year. Long-term payment performance, state DOTs had requested approximately $20 million. Have the funding has been approved and as we are meeting today, there are meeting today to talk about this issue and others, as to how the plan will be modified and one of the shortfalls in research funding for that activity. There were increases in the LTAP program, which are members support. Local technical assistance program, centered in each state an Indian reservation, shares resources and knowledge. The UDC program tremendously increased designated universities. There will be some flexibility halfway through the program to have great competition. Significant new programs and ideas congestion and freight, in terms of increased R&D for that area, new congestion programs and freight research programs. Highway Safety, I think is just a wonderful package that came out of the SAFETEA-LU program. Highway safety improvement program was created as a new corps program. There will be comprehensive set the plants required in each state, something the state DOT to or in favor of, as well as the Federal Association. This will require every state to look at all roadways, all 4 million miles, whether that on them or not, in terms of higher crash rates, enforcement actions, laws that might need to be changed, safety solutions on the in the structure and look at education. On the 17th and 18th of November, the NCHRD will have up to three state be a lot of people attend a conference for your exchange because were. In addition, in the planning process, two of the factors on safety and security was split in two and not at the State and Metropolitan level, the planning process will have to focus independently as a safety and security issue. There is a transparency requirement and the legislation that requires every state to identify the 5% worst fatality location, irrespective of whether the on those roads or not and publish it on the web and submitted to the U.S. duty. There is a very strong requirement that touches on the issues of port liability and some language in the legislation is at the potential tort liability involvement with the provision. New road safety program at 90 million a year targeted to world roadways. It is to be used on the runways that have a higher statewide average fatality and injury rate. So it will require a much more comprehensive debate than many states currently have. All 4 million miles of roadway in this country need to have money designated. No new sanctions inactive, which is good news to the state recipients. But the government highway safety officials, as well as state DOTs were encouraging Congress not to enact any new sanctions. Those that or existing where we codify and continued with no new real sanctions. The grant recipients for an ISA, of which 22 are in the state DOTs, very much wanted the multiplicity of grants consolidated to make it easier in terms of application process is. Well the or consolidated, a single grant application form was enacted so that there will be a process of administering the many important it enhancement programs and encouragement programs that an ISA has. Safety belts and incentive programs for primary sepal laws, not only to encourage states to pass new laws, heavily weighted toward states that pass new laws, but also to encourage those states that have primaries it lost to approve the higher level of usage, they will also share in new funding. And enhance the level of funding for safety data, which will be very important in order to compensate the data, and what of the R&D project that was funded at $2 million was to help create a AASHTO product for safety information management which will help states to their comprehensive set the plants. In addition, several organizations are scheduled for works on training and work some clearing house activity. In the areas of project delivery and internal streamlining, a lot of changes in SAFETEA-LU. And mandatory for Yess and CEs in terms of a number of steam and processes. Funding to resource agencies, additional flexibility is at stake duty of grant recipients, can fund part of the staffing costs of resource agencies to allow the team to operate more efficiently and effectively and faster. Delegation of CE is now available to all states and a full and IP a delegation of pilot, where five states will be authorized to carry out the functions of the Federal Highway, in terms of signing records of decision and a delegation. Obviously these new processes will take a lot of guidance and regulatory changes, and FHWA will be hosting a whole launch a strike launching a whole host of activities regarding that shortly. In the area of four death changes, you can have v four cup of mat project for the 180 day deadline on filing lawsuits on informal documents and for intelligent and normal Systems Project, are looking at current regulations on calling for ideas related projects. Think it's an opportunity to take a hard look at the project and items that are listed so that a broader list of projects can more easily go through the environmental process. Transportation air quality, and host of changes. I will go to them all, they really tied into the transportation planning process better so that the requirements in areas that are in a tin can meet their air quality requirements and transportation requirements much more effectively together. For further information on anything on SAFETEA-LU, it's available on the website of AASHTO and we link to a bunch of other website. U.S. Duty has tremendous information available. Of salary Briggs and I are both available to respond on any questions about reauthorization, as well as in Valdez case questions regarding operations and ITS legislation. Thank you. Thank you, Tony. Our next speaker today will be Jeffrey Paniati. He is the associate administrator for operations and the acting director of the intelligent Transportation Systems joint program office within the Federal Highway Administration. In this role, he has responsibility for intelligent transportation system deployment, congested management, traffic operations and analysis, freight operations, emergency management, operations security, works on operation, and the manual on uniform traffic control devices. In addition, he is currently the acting director of the ITS Joint Program Office. Previously, he spent two years as the program manager for the ITS joint office. In this capacity, he led 200 plus million dollar federal ITS program and directed the day-to-day operations of the J.P. zero. He has 20 years of experience with the Federal Highway Administration, primarily in the areas of safety, traffic operations and ITS. Thank you, Valerie. It is my pleasure to be here again on the talking operations series. I think this is the third time I have had the opportunity to do so. We have found this webcast serious to be very positive in terms of being able to talk about topics of interest and bring things part in a timely manner. I think the SAFETEA-LU briefings are a perfect example of that. Where hopefully we are able to get some information out to you all in a very quick and a timely manner. And certainly based on the response we have seen to this webcast, in particular, there is a lot of interest in it. This is the second one we are doing on this topic and we are happy to do so. Tony did a very broad perspective on the SAFETEA-LU end of the various provisions. I will try to go down a little bit deeper into the bill and talk about specifically about some areas system management and operation, congestion mitigation, ITS and freight. And while there are separate provisions in the bill with regard to all these areas, as you can imagine, there is also said that can overlap in the relationship between the issues in these areas. In fact, if you look within the bill, a hundred pages or so, you have to look in many different places to find references and information to the serious aspects of SAFETEA-LU peak of with the exception of the eye test program, which has its own section, you'll find provisions related to these areas scattered throughout SAFETEA-LU. What I will try to do in this presentation is summarized those various provisions. I have also given you, throw the presentation, the section numbers for the provisions I will be talking about, in case you want to read for yourself and go deeper. I did want to start off this afternoon with a few observations and then I will get into some more specifics. First, SAFETEA-LU takes important steps forward in a number of different areas. It incorporates systems management and operations in the the federal aid program in several ways, one of which I will point out in just a second. Second, SAFETEA-LU puts a very strong focus on congestion litigation in a number of different ways, in the area of congested management is provision in real time information and it's a continuation of intelligent transportation systems. Third, it dramatically increases the recognition of the importance of freight. If we think that 2T21, there were relatively few programs devoted to freight and what you find in 12 to is a much greater emphasis across the board in a different area, albeit with some significant earmarking. Finally, there is a very strong and continued support for a ITS on the program and a mainstreaming of the ITS deployment Program, as I will talk about in a few minutes. Starting with system management, probably the greatest step forward is in the Transportation Planning area. SAFETEA-LU incorporates operations and management and planning in a number of different ways, specifically in the metropolitan planning area, rather than previously as D21, just including management and operations as a factor, it now includes a specific requirement to include the operation and management strategies and the Metropolitan Transportation plan. Further if it remains the congestion Management System as the congestion Management process and includes specific references to operations and management and the section of the requirements. In the state of transportation planning area, there is a specific requirement to include capital operations and management strategies as a way to get the most efficient use of the existing system because of taking these together, as a whole, a very strong push forward into the planning process to include management and operation. We are working very closely with the Federal Highway Administration and the Office of planning and developing regulations and guidance that would implement these provisions. If we look in the congested management area, starting with funding, as you heard party talk about, virtually all aspects of the program has a funding increase peaked at a total of about a 30% increase over T-21 and we see that reflected in a number of areas that are directly focused on ITS, management, operations, those kinds of activities. They include $8.6 billion for CAAC. There are some $15 million in high priority programs, as Tony said, and if you look in specific projects, what you find is that many of those projects are targeted at things like improving traffic flow, improving operations, enhancing safety, increasing freight movement, so a lot of funding opportunities there. And then the highways for Life program, which is funded at $75 million which is focused on reducing construction time and the seceded congested with it. So all of these areas provide significant opportunities to move forward in both operate truck operations and management. There were also a number of new tools provided. They include continuation of the value pricing program and providing funding for that program. But also importantly adding a new expressman demonstration program, which is a program that is focused on managing congestion. It allows the Federal Highway Administration to approve up to 15 projects that seek to manage congestion. Do at capacity to the system, but do so using electronic toll collection in ways that manage congestion out on the system. In fact, one of the requirements of this particular area of the program is that the department established interoperability requirements for automatic toll collection on these 15 projects. Well those requirements will only apply to the 15 specific projects approved here, because there are some competing standards out in the marketplace today, for example the easy pass a standard and the California standard on the west coast, we think it will be very important and the way this interoperability requirement is established. Probably have large intimate struck by the impact than just the 15 projects. Then the final part of the consistent tool our age of the facilities. Here, what happened is the mainstreaming of hotlines, states are now permitted to create hotlines in a mainstream fashion, but also they can now permit low emission and energy efficient vehicles, hybrids include, to use age of the lanes. The key requirement that goes with it is that the states must closely monitor the performance of those high occupancy lanes and maintain them to a specified level of performance, taking action if necessary to exclude vehicles from those lanes to maintain their performance. Ing if you take these various tools in total, certainly a lot of emphasis on pricing and some different and new ways to manage congestion out on the transportation system. A couple of new opportunities in research. SAFETEA-LU makes a new research program that provides $36 million over four years for research and 31 million for technical assistance. Is focused on consistent measurement processes and reporting and identification and implementation of effective congestion relief strategies. That is a program that the FHWA will manage. In addition, as Tony said, there is funding for the future strategic planning program. Not as much as they had asked for, but still a significant amount of funding. And one of the four focus areas identified under the F-SHARP program is improving reliability of the system. Another approach to dealing with congestion is real-time operations. The Federal highways have been working aggressively in recent years and working closely with AASHTO and the 511 coalition before expanding traveler Information Systems. SAFETEA-LU recognizes the importance of having information in real time of what is going on out in the system and of sharing that information with travelers on the system. So it calls for the secretary to establish the capability in all states to provide in the time that kind of information for a variety of purposes. It makes clear that funding for these kinds of systems are eligible under the mainstream programs. It requires that a time information be included as part of the required a regional ITS architectures, and it calls on the department to establish a data exchange standards, which will facilitate the move of information between a state's and really create not just state based systems but a national system, to support travelers across the country pick Also importantly, included in SAFETEA-LU is a call to advance 511 and a call for full deployment of 511 by year 2010. Also in the area of real-time information is continuation of a program, extension of a program that existed in T-21 called Intelligent Transportation Infrastructure Program, now called Transportation Technology in a Vivid Demonstration Program. This program is aimed at providing the resources, making resources available to cities to allow them to be acquired in a time information to give to travelers and manage the system. Caring for word from T-21 is an existing contract that will be completed as planned. It provides funding for about 11 additional cities. SAFETEA-LU that's 15 in cities that are new eligible, specifically named as eligible to take advantage of this program. There are also some additional resources that will be made available and the second part of the program, in a competitive environment with a series of potentially other contractors be on mobility technologies. So this program creates a two-part program. The first part is to complete existing contracts with mobility technologies and a second part that would allow for some existing carryover funds, about the city's fourth, to be used and the potential for nearly appropriated funds to be added to that part of the program. The program is a little bit complicated because of these two ports, and because of the city's. FHWA is just getting ready to issue a solicitation of interest in the program to all eligible cities. The solicitation should be issued either later this week or at the beginning of next week.