FTA Streamlining Project Management Oversight

Written by Marybeth Luczak, Executive Editor
A final rule amending FTA regulations for Project Management Oversight (PMO) of transit capital investments has been released.

A final rule amending FTA regulations for Project Management Oversight (PMO) of transit capital investments has been released.

The Federal Transit Administration (FTA) has released a final rule to streamline its Project Management Oversight (PMO) for major capital projects.

The rule “reduces the number of transit projects subject to FTA oversight and modifies the regulation to make it consistent with statutory changes,” FTA said.

The rule redefines a “major capital project” as a new fixed guideway project—or an expansion, rehabilitation or modernization of an existing fixed guideway system—with a total project cost of $300 million or more and with a federal investment of $100 million or more. The previous threshold defined a major capital project as one that costs $100 million or more, but did not include federal support as a factor.

Federal public transportation law requires FTA to maintain a PMO regulation. The rule has not been updated since 1989. Other changes to the rule include “updates to the elements of the required Project Management Plan that reflect industry best practices,” according to FTA.

“The number of transit capital projects and the infrastructure costs associated with them has increased significantly since the PMO program was first authorized in 1987,” FTA Deputy Administrator K. Jane Williams said. “This rule tailors the level of FTA oversight to the real costs, complexities and risks of major capital projects and right-sizes the role of federal oversight while eliminating unnecessary red tape for state and local leaders.”

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