LCTM NOFO_Final.pdf

Low-Carbon Transportation Materials Program

Notice of Funding Opportunity

U.S. DEPARTMENT OF TRANSPORTATION

Federal Highway Administration

Notice of Funding Opportunity for LOW CARBON TRANSPORTATION MATERIALS PROGRAM

AGENCY: U.S. Department of Transportation (DOT), Federal Highway Administration

(FHWA).

ACTION: Notice of Funding Opportunity (NOFO)

SUMMARY:

The Inflation Reduction Act (IRA) (Pub. L. 117-169, Aug. 16, 2022) established the Low

Carbon Transportation Materials (LCTM) Program, codified as Title 23, United States Code

(U.S.C.), Section 179. It provides funding for the use of construction materials that have substantially lower levels of greenhouse gas (GHG) emissions. The program will distribute grants with the goals to increase the use of lower carbon materials and products that are used in projects funded under Title 23, facilitate the use of low carbon transportation materials while ensuring appropriateness for use in projects eligible under Title 23, promote technology transfer and enhance workforce development to increase the adoption of environmental quantification techniques used in decision making by transportation agencies, and encourage eligible recipients to begin LCTM activities and build successful low carbon transportation material identification frameworks.

Activities anticipated to be funded under this program are identification frameworks for eligible materials, work needed to determine their appropriateness for use on eligible projects, and the use of low carbon transportation materials on eligible construction projects.

The deadline to submit applications under this Notice of Funding Opportunity (NOFO) is on

November 25, 2024. Other key milestones include the announcement of awards under the

NOFO, anticipated in winter 2024/2025. Once the Grant Agreement is fully executed and funds are obligated, funds must be expended no later than September 30, 2031.

This NOFO is to solicit applications from eligible entities other than the State department of transportation (State DOT) and will result in the distribution of up to $800 million. The actual amount available to be awarded under this notice will be subject to the availability of funds.

Eligible entities under this NOFO are:

• A unit of local government;

• A political subdivision of a State;

• A territory of the United States;

• An entity described in 23 U.S.C. 207(m)(1)(E);

• A recipient of funds under 23 U.S.C. 203;

• A metropolitan planning organization (MPO) (as defined in section 23 U.S.C.134(b)(2));

• A special purpose district or public authority with a transportation function.

State DOTs were eligible under a Request for Applications posted to FHWA’s LCTM Webpage at www.fhwa.dot.gov/lowcarbon/funding.cfm, that closed on June 10, 2024.

Funds made available for Federal Fiscal Year (FY) 2022 for the LCTM Grant Program are to be awarded on a competitive basis for the use of substantially lower carbon materials on projects and necessary work to identify appropriateness for the use of these materials on eligible projects.

This notice describes the application requirements, selection and evaluation criteria, applicable program and Federal requirements, and available technical assistance during the grant solicitation period.

DATES:

Applications must be submitted electronically through grants.gov no later than 11:59 p.m., Eastern Time, on November 25, 2024 (the “application deadline”). Applicants are encouraged to submit applications in advance of the application deadline; however, applications will not be evaluated, and awards will not be made, until after the application deadline.

FHWA has a range of resources available to potential applications and plans to conduct outreach regarding LCTM. Details of which will be posted to the program’s Website at https://fhwatest.fhwa.dot.gov/lowcarbon/outreach.

ADDRESSES:

Applications must be submitted electronically through grants.gov. Refer to Catalog of Federal

Domestic Assistance Number: 20.205 -- Highway Planning and Construction http://www.fhwa.dot.gov/lowcarbon/funding.cfm file://///vntscex.local/dfs/homef/Sharon.ChanEdmiston/My%20Documents/2021%20Desktop/Byways/NOFO/grants.gov https://fhwatest.fhwa.dot.gov/lowcarbon/outreach file://///vntscex.local/dfs/homef/Sharon.ChanEdmiston/My%20Documents/2021%20Desktop/Byways/NOFO/grants.gov

FOR FURTHER INFORMATION CONTACT:

Veronica Jacobson

Agreement Officer

Office of Acquisition and Grants Management

Federal Highway Administration

U.S. Department of Transportation

1200 New Jersey Ave., SE.

Washington, DC 20590

Email: FHWALowCarbonMaterials@dot.gov

Phone: 720-963-3020

Alternate:

Hector R. Santamaria

Agreement Officer/Team Leader

Office of Acquisition and Grants Management

Federal Highway Administration

U.S. Department of Transportation

1200 New Jersey Ave., SE.

Washington, DC 20590

Phone: 202-493-2402

Office hours are from 9:30 a.m. to 4:00 p.m., Eastern Time, Monday through Friday, except

Federal holidays.

FHWA will not review applications in advance, but FHWA staff are available for general questions about the LCTM Program and NOFO. FHWA will not provide technical assistance to any applicant including providing guidance on how to address any information that should be included in an application. FHWA will post answers to questions and requests for clarifications at Grants.gov under this NOFO’s page. To ensure applicants receive accurate information about eligibility or the program, the applicant is encouraged to contact FHWA directly, rather than through intermediaries or third parties, with questions.

SUPPLEMENTARY INFORMATION:

Each section of this notice contains information and instructions relevant to the application process for LCTM grants. The applicant should read this notice in its entirety so that they have the information they need to submit eligible and competitive applications.

Table of Contents

SECTION A - PROGRAM DESCRIPTION

SECTION B - FEDERAL AWARD INFORMATION

SECTION C - ELIGIBILITY INFORMATION

SECTION D - APPLICATION AND SUBMISSION INFORMATION

SECTION E - APPLICATION REVIEW INFORMATION

SECTION F - FEDERAL AWARD ADMINISTRATION INFORMATION

SECTION G - FEDERAL AWARDING AGENCY CONTACTS

SECTION H - OTHER INFORMATION

NOTE: This notice contains collection-of-information requirements subject to the Paperwork

Reduction Act. The use of Standard Forms 424, 424A, 424B, 424C, 424 D, and SF-LLL has been approved by the Office of Management and Budget (OMB) under 2105-0520.

Notwithstanding any other provision of law, no person is required to respond to, nor shall any person be subject to a penalty for failure to comply with, a collection of information subject to the Paperwork Reduction Act, unless that collection displays a currently valid OMB control number.

FHWA uses www.grants.gov for receipt of all applications. Applicants must register and use the system to submit applications electronically. Applicants are encouraged to register in advance of the submission deadline and to register to receive notifications of updates/amendments to this notice. Approval of user registrations for the site may take multiple weeks. It is the applicant’s responsibility to monitor for any updates to this notice.

http://www.grants.gov/

SECTION A - PROGRAM DESCRIPTION

1. Overview

The Inflation Reduction Act (IRA) (Pub. L. 117-169, Aug. 16, 2022) established the LCTM

Program (23 U.S.C. 179), which provides funding for the use of construction materials that have substantially lower levels of GHG emissions.

The purpose of the LCTM Program is to reimburse the incrementally higher costs of using or provide an incentive1 amount to eligible recipients for the use, in projects, of construction materials and products that have substantially lower levels of embodied GHG emissions, as described by the Environmental Protection Agency (EPA), associated with all relevant stages of production, use, and disposal as compared to estimated industry averages of similar materials or products, hereafter referred to as low carbon transportation materials.

The program will also serve to help eligible transportation agencies update or develop specification language and conduct identification activities needed to demonstrate materials are appropriate for use on Federal-aid construction projects.

Funds made available for the LCTM Program will be awarded for the use of substantially lower carbon materials and products on construction projects funded under title 23 U.S.C. and necessary work to identify appropriateness for use of these materials on eligible projects.

FHWA is requesting applications from eligible applicants other than the State DOTs. State

DOTs were eligible to apply for LCTM funds under a Request for Applications, posted on

FHWA’s Webpage at www.fhwa.dot.gov/lowcarbon/funding.cfm.

As part of the LCTM Program, this notice will result in the distribution of up to $800 million, subject to the availability of funds. This notice describes the application requirements, selection, and evaluation criteria.

For the purposes of this NOFO, materials/products available for reimbursement or incentives are those identified by the EPA Administrator2. In alignment with the Administration’s Federal Buy

Clean Initiative, EPA released an Interim Determination (ID) in December 20223 that outlined an approach to establish thresholds and data requirements for qualifying concrete (and cement), glass, asphalt mix, and steel materials/products that meet the substantially lower embodied carbon requirements. For purposes of this NOFO, these are the only materials/products categories that are currently eligible.

1 23 U.S.C. 179(b)(1).

2 23 U.S.C. 179(a).

3 Available from EPA. FHWA is closely monitoring updates to EPA ID. In the event of an update, EPA has acknowledged in the ID of December 22, 2022, “…that any revisions to this determination will apply only prospectively to contracts awarded…”.…”. As appropriate, FHWA will inform recipients of any changes to the program if the EPA ID is updated.

http://www.fhwa.dot.gov/lowcarbon/funding.cfm

An agency shall determine the substantially lower embodied carbon thresholds (i.e., best performing 20 percent, 40 percent, and industry averages) for materials/products eligible for reimbursement or incentive under this program through the following options:

Option (1): An agency may reference the established thresholds as published on the

FHWA Website4. Stakeholders from concrete, glass, asphalt, and steel industries are working to provide industry-average data to support implementation of the LCTM

Program5.

Option (2): An agency may determine local or regional thresholds for concrete (and cement), glass, asphalt mix, and/or steel. In this option, the agency shall follow accepted

International Organization for Standardization (ISO) standards to develop thresholds.

Agencies shall disclose the Global Warming Potential (GWP), the methodology for determining the percentiles and averages, the source(s) used for each material/product, and the parameters (including performance specification) used to set the GWP.

Agencies may also use a combination of these two options for this program. Under this NOFO, the LCTM Program will provide funds directly to recipients that will implement the provisions of the EPA’s ID for eligible low carbon transportation materials/products. Recipients may also be reimbursed for identification of eligible materials and work needed to determine their appropriateness for use on eligible projects, as discussed more in Section C Eligibility

Information of this NOFO.

2. LCTM Program Goals

Program goals include, but are not limited to:

• Increase the use of lower carbon materials and products that are used in projects funded under Title 23.

• Facilitate the use of low carbon transportation materials while ensuring appropriateness for use in projects eligible under Title 23.

• Promote technology transfer and enhance workforce development to increase the adoption of environmental quantification techniques used in decision making by transportation agencies.

• Encourage eligible recipients to begin LCTM activities and build successful low carbon transportation material identification frameworks.

3. Administration Priorities and Departmental Strategic Plan Goals

The Department seeks to fund projects that advance the Departmental priorities of safety, climate change and sustainability, equity and environmental justice, and workforce development, job

4 These thresholds are not yet available. FHWA is currently engaging with relevant industry stakeholders to obtain industry average information. FHWA anticipates referencing this information to establish acceptable thresholds for the LCTM Program when it is available in fall 2024.

5 Industry stakeholders are expected to provide industry information for product/material types within the product categories complying with the EPA ID. For example, within the steel product category industry stakeholders may provide data based on function and other industry specific considerations.

quality, and wealth creation as described in the DOT Strategic Plan, Research, Development and

Technology Strategic Plan, and in executive orders (E.O.). Administration priorities will be considered as described in Section A.3. Illustrative examples are provided in Section E.2.

i. Safety

DOT is committed to advancing safe, efficient transportation, including in the LCTM Program.

Projects in the LCTM Program should provide substantial safety benefits (to commuters, workers, etc.) compared to existing conditions; mitigate to the extent practicable any significant safety risks that could result after the project’s completion; and do not negatively impact the safety of the traveling public, and any relevant group applicable to the program.

ii. Climate Change and Sustainability

As part of the Biden-Harris Administration’s whole-of-Government Federal Buy Clean

Initiative, and consistent with E.O. 14057, Catalyzing Clean Energy Industries and Jobs Through

Federal Sustainability (86 FR 70935), the EPA, the U.S. General Services Administration

(GSA), and GSA/FHWA are closely collaborating to implement related efforts as part of IRA

Sections 60112, 60116, 60503, and 60506. As FHWA and GSA implement programs to use and incentivize low-carbon materials, EPA is working to encourage increased Environmental Product

Declaration (EPD) harmonization and availability through grant, technical assistance and carbon labeling programs for construction materials.

DOT seeks to fund activities and projects under the LCTM Program that reduce GHG emissions from materials used in the transportation sector. DOT also seeks to incorporate evidence-based climate resilience measures and features, avoid adverse environmental impacts to air or water quality, wetlands, and endangered species, and address the disproportionate negative environmental impacts of transportation on communities with environmental justice concerns, consistent with E.O. 14096, Revitalizing Our Nation’s Commitment to Environmental Justice for

All (88 FR 25251), and E.O. 14008, Tackling the Climate Crisis at Home and Abroad (86 FR

7619).

iii. Equity and Environmental Justice

DOT seeks to fund activities and projects under the LCTM Program that will create positive outcomes that will reduce, mitigate, or reverse how a community is experiencing disadvantage through increasing affordable transportation options, improving health or safety, reducing pollution, connecting Americans to good-paying jobs, fighting climate change, and/or improving access to nature, resources, transportation or mobility, and quality of life. Applicants are strongly encouraged to use the DOT Equitable Transportation Community Explorer (arcgis.com) to understand how their project area is experiencing disadvantage in any of five areas that transportation projects with a direct relationship. Also, to identify and implement programs and policies that ensure the benefits of investments while mitigating economic displacement economically susceptible residents and businesses. Some examples include the preservation and/or production of affordable housing; expanding affordable, safe transportation and mobility options to areas where good jobs are concentrated; and supporting entrepreneurship, small business growth, tourism and access to capital through local hiring. The applicant will engage the public, including disadvantaged communities, during all phases of the project, including https://www.sustainability.gov/buyclean/ https://www.sustainability.gov/buyclean/ planning, design, construction, and implementation. For more information, see Three Major

Components of DOT’s Justice40 Initiative.

iv. Workforce Development, Job Quality, and Wealth Creation

DOT intends to use the LCTM Program to support the creation of good-paying jobs with the free and fair choice to join a union including through the use of a project labor agreement and the incorporation of strong labor standards and training and placement programs, especially registered apprenticeships, in project planning stages, consistent with E.O. 14025, Worker

Organizing and Empowerment (86 FR 22829), and E.O. 14052, Implementation of the

Infrastructure Investment and Jobs Act (86 FR 64335). Applicants are encouraged to review the

Grant Application Checklist for a Strong Transportation Workforce and Labor Plan, that can be found on the DOT Navigator. DOT also intends to use the LCTM Program to support wealth creation, consistent with the DOT Equity Action Plan by adopting local and economic hiring preferences for the project workforce or include other changes to hiring policies and workplace cultures to promote the entry and retention of underrepresented populations; and through the inclusion of local inclusive economic development and entrepreneurship such as the use of the

Disadvantaged Business Enterprises, Minority-owned Businesses, Women-owned Businesses, or

8(a) firms. DOT also intends to use the LCTM Program to support Made in America goals consistent with E.O. 14005, Ensuring the Future Is Made in All of America by All of America's

Workers (86 FR 7475).

SECTION B – FEDERAL AWARD INFORMATION

1. Award Amount Available

For FY 2022, up to $800 million is available for LCTM awards under this notice. Subject to the availability of funds, the Administrator may distribute funds for a grant under this program as the

Administrator determines to be necessary. FHWA reserves the right to make no awards under this NOFO.

2. Award Size

FHWA does not have a requirement for a minimum or maximum award amount.

3. Type of Award

The LCTM funds will be awarded upon the execution of a grant agreement or project agreement with FHWA. A determination will be made if the successful applicant will administer the grant, or at the request of the successful applicant, an applicable State DOT will administer the grant.

If a State DOT will serve as a pass-through entity to a non-State DOT entity, program funds will be awarded upon the execution of a project agreement, which is a type of grant agreement for the administration of funds to a State DOT in the Fiscal Management Information System (FMIS).

4. Availability of Funds

All awards of FY 2022 LCTM funds are available for obligation until September 30, 2026, and must be expended before September 30, 2031.

5. Period of Performance https://www.transportation.gov/priorities/equity/justice40/three-major-components-dots-justice40-initiative https://www.transportation.gov/priorities/equity/justice40/three-major-components-dots-justice40-initiative

The period of performance for the award is anticipated to be 1 to 6 years from the effective date of the agreement. The start of the period of performance will begin on the date that an agreement is fully executed. Once the grant agreement is fully executed and funds are obligated, funds must be expended by the period of performance end date or no later than September 30, 2031, whichever is sooner.

If a State DOT will serve as a pass-through to a non-State DOT entity awarded a grant, the DOT

Payment System will be “Current Bill” in the “FMIS” and the start of the period of performance will begin on the date LCTM funds are obligated in FMIS and end on the project end date in

FMIS.

If a grant recipient will be a non-State DOT entity, DOT Payment System will be “DELPHI eInvoicing” and the start of the period of performance will begin on the date the grant agreement is executed by the FHWA, which will obligate the LCTM and end on the period of performance that is listed in the grant agreement.

6. Special Statutory Funding Limitation

LCTM funding shall not be used for projects that result in additional through travel lanes for single-occupant passenger vehicles. [23 U.S.C. 179(b)(4)(C)].

7. LCTM Implementation Process Report

An Implementation Process Report (IPR) shall be developed to document a process(es) for how the recipient plans to implement LCTM activities and increase the adoption of low carbon transportation materials. Recipients must receive approval of the IPRs before FHWA will issue the authorization to proceed or obligate LCTM funding for use on a construction project.

Section F.3.iii of this NOFO includes the minimum contents of an IPR. The recipient may choose to develop multiple IPRs to meet the requirements for different processes or activities undertaken with LCTM funds.

SECTION C – ELIGIBILITY INFORMATION

To be selected for a grant, an applicant must meet the eligibility requirements under this Section

C including: Eligible applicant and Eligible Projects. Applications that do not meet these threshold eligibility requirements will not be evaluated under the merit criteria in Section E.

1. Eligible Applicants

Eligible Applicants

Low-Carbon Transportation Materials Grants

(23 U.S.C. 179(c)(2))

(B) a unit of local government;

(C) a political subdivision of a State;

(D) a territory of the United States;

(E) an entity described in 23 U.S.C. 207(m)(1)(E);

(F) a recipient of funds under 23 U.S.C. 203;

(G) a MPO (as defined in section 23 U.S.C. 134(b)(2));

(H) a special purpose district or public authority with a transportation function.

2. Cost Sharing or Matching

If a reimbursement is provided under this LCTM Program, the total Federal share payable for the incremental costs or incentive amount shall be 100 percent. Identification of eligible materials and work needed to determine their appropriateness for use on eligible projects can be considered as wholly incremental, i.e., the work would not have been done except for the availability of this program, and an application could request reimbursement for 100 percent of these costs.

While LCTM funds are eligible for up to 100 percent Federal share, LCTM funds may only be applied to eligible activities associated with the use of the low carbon transportation material.

The program is not intended to fund entire construction projects. This program may reimburse an amount equal to the incrementally higher cost of using eligible materials and products or an incentive amount equal to 2 percent of the cost of using low-embodied carbon materials.6

3. Number of Applications

An eligible applicant shall only submit one application; however, one application can include the process development activities related to multiple transportation materials and can include project bundling to facilitate implementation of different classes of eligible materials on multiple construction projects.

4. Eligible Projects

The LCTM Program will not fund entire construction projects, but provides funds for eligible activities highlighted in Section C.5, including the use of eligible materials on construction projects funded under 23 U.S.C., including projects on:

• Federal-aid highways;

• Tribal transportation facilities;

• Federal lands transportation facilities; and

• Federal lands access transportation facilities.

Funds are also available to use for activities required to develop a process to demonstrate

6 23 U.S.C. 179(b)(2) materials meet the standard of ‘substantially lower embodied carbon’ and are appropriate for use.

For purposes of this program, eligible materials categories7 are concrete (and cement), glass, asphalt mix, and steel.

5. Eligible Activities

Agreements under this program are not intended to provide funds that fully fund construction projects. Under 23 U.S.C. 179(b)(2), funds may be used for incentives or incremental costs.

Specifically, eligible recipients that use low-embodied carbon construction materials and products on a project funded under Title 23 may receive an incentive equal to 2 percent of the cost of using low-embodied carbon construction materials and products on the project.

Alternatively, eligible recipients that use low-embodied carbon construction materials and products on a project funded under Title 23 may receive amount of reimbursement equal to the incrementally higher cost of using such materials relative to the cost of using traditional materials, as determined by the eligible recipient and verified by the FHWA.

Identification of eligible materials and work needed to determine their appropriateness for use on eligible projects can be considered as wholly incremental, i.e., the work would not have been done except for the availability of this program, and an application could outline a 100 percent reimbursement of these incremental cost amounts. For the use of eligible materials on eligible construction projects, the reimbursement shall not exceed either the incremental cost of using or the incentive amount. The recipient will need to demonstrate how the corresponding reimbursement amount is calculated as part of the reimbursement request. For the purposes of the application, an estimate can be provided.

The applicant could choose to achieve LCTM goals outlined in Section A.2. LCTM Program

Goals in a variety of ways. This could include, but not be limited to, the series of activities outlined in the table below. An applicant may also elect a reimbursement mechanism for incrementally higher costs of using materials or an incentive cost, depending on the activity.

FHWA will not consider previously incurred costs or previously expended or encumbered funds for reimbursement.

7 Please note that any materials funded under this program would need to meet other applicable requirements, including Buy America (23 U.S.C. 313) and Build America, Buy America Act (BIL Sections 70901-52).

Low Carbon Transportation Materials Identification Process Development

Categories of

Activities Example Eligible Activities (non-exhaustive)

Funding

Method8

Process for

Substantially

Lower

Embodied

Carbon

• Development of Implementation Process Report(s)

Example: Agency contracts with entity to assist in development of IPR(s) on selected materials or processes.

• Academia or Consultant support to identify eligible materials, training needs, additional data, and special provision development.

Example: Agency enters into a contract with a consulting firm to identify materials (concrete

(and cement), glass, asphalt mix, and steel) that are eligible and available in the region.

• Industry Outreach and Coordination.

Example: Agency conducts listening session(s) or partnering meetings with industry.

• Development of process to collect and store EPDs.

Example: Agency contracts with entity to create and host an EPD database.

• Identification of ‘substantially lower’ embodied carbon thresholds that meet ISO acceptable practices.9

Example: Agency contracts with consultant to identify thresholds from relevant industry reports containing region-specific information.

Example: Agency contracts with consultant to conduct a benchmarking analysis to identify their Agency-specific regional thresholds.

• LCTM Training.

Example: Agency conducts or hires an entity to conduct training for staff, consultants, and contractor personnel on the relevance of low carbon transportation materials, EPDs, and any new Agency-specific processes.

Incremental amount

LCTM Quality

Assurance (QA) and LCTM

Specifications

• Development of Implementation Process Report(s).

Example: Agency contracts with entity to develop IPRs detailing new QA processes

8 “Incentive amount” and “Incremental amount” are defined specifically for this NOFO in Section C.2.

9 The published industry thresholds may be used, or the Agency may develop their own local or regional thresholds as defined by EPA. The Agency shall develop a process to compare their thresholds to the identified benchmark.

and/or implementation steps for new material special provisions or specification updates.

• Development of QA plan(s) and/or Performance

Monitoring Plan for the material.

Example: Agency develops QA plan or a

Performance Monitoring Plan for projects constructed with low carbon transportation materials.

• Industry Outreach and Coordination.

Example: Agency hosts listening sessions with industry on new QA processes or new special provisions

• Update of existing material specifications or development of new special provision to facilitate use on projects.

Example: Agency contracts with a university to test asphalt mixture combinations that meet the requirements of “substantially lower embodied carbon” and meet Agency engineering performance criteria. The University then develops a new special provision for appropriate mixtures.

• Preliminary mixture design and testing to evaluate materials.

Example: Agency enters into a contract with a consulting firm to identify data gaps or conduct additional testing needed to ensure satisfactory performance on an eligible Federal-aid project

Example: Agency contracts with university to conduct testing and evaluation on a wide combination of mixtures of materials likely to meet low carbon definition to ensure they are appropriate for use on eligible Federal-aid projects.

• Testing Equipment to properly accept and verify

LCTM.

Example: Agency purchases test equipment they do not currently have but is needed to properly assess engineering performance and accept low carbon materials, such as a new asphalt cracking performance test device.

• LCTM Test Strips.

Example: Agency places short sections of a concrete pavement with an eligible mixture to ensure the mixture is placeable and appropriate for use on eligible Federal-aid projects.

• Development of a verification process for LCTM and EPDs.

Example: Agency contracts with consultant to develop a process to collects EPDs and other required information on a project and determine if the materials meet eligibility requirements.

Example: Agency develops a process to calculate the incremental cost or incentive amount to request as Federal reimbursement.

• Training.

Example: Agency contracts with university to conduct training on their low carbon QA processes and new special provisions targeted at Agency staff and consultants.

Construction

Project

Identification

• Development of Implementation Process Report(s).

Example: Agency contracts with consultant to develop an IPR detailing how eligible materials will be implemented on eligible construction projects.

• Identify Construction Projects.

Example: Agency identifies eligible projects that would be appropriate for inclusion of eligible materials.

• Develop a plan for incorporation of LCTM on construction projects.

Example: Agency develops a plan to incorporate eligible materials on eligible construction projects.

• Development of project-specific construction contract language.

Example: Agency modify its special provision for project specific criteria.

• Industry Outreach and Coordination.

Example: Agency conducts outreach to industry and construction contracts and material suppliers to communicate activities, requirements, and special provisions.

• Training.

Example: Agency contracts with a university to conduct Agencywide training for Agency staff and consultants on the low carbon QA process and material special provision.

Incremental

Use of Eligible Materials on Construction Projects (non-exhaustive)

Categories of

Activities Example Eligible Activities

Funding

Method

Use of LCTM on Projects

• Identification of eligible Federal-aid projects.

Example: Agency contracts with a consultant to identify construction projects that would make the most sense on which to incorporate low carbon transportation materials (most likely included in the State’s Statewide Transportation

Improvement Program (STIP) or Capital

Improvement Plan)

• Estimation of costs of LCTM.

Example: Agency contracts with a consultant to estimate costs of eligible materials.

• Comparison of LCTM costs and traditional material cost.

Example: Agency contracts with a consultant to compare costs of low carbon transportation materials with conventional materials.

• LCTM Bid Items (added solely to facilitate use of

LCTM).

Example: Agency pays for additional line items that are needed to implement low carbon transportation materials effectively and appropriately on construction projects.

amount or incentive amount

Substantially

Lower

Embodied

Carbon

• EPD Bid Item.

Example: Agency adds a pay item for a line item for EPDs collection in order to determine if a material meets low carbon material definition.

• Collection of Energy Star Performance Score.

Example: Agency request reporting of Energy

Star performance scores by material suppliers, as required by EPA’s ID.

• Quality Incentives for environmental performance.

Example: Agency offers quality incentives for eligible low carbon materials to contractors as part of the special provision(s).

• Other costs for the use of substantially lower carbon materials.

Example: Agency incurs additional costs to implement low carbon transportation materials and requests reimbursement in accordance with all Federal regulations and cost control provisions (e.g., costs are not included as part of overhead expenses.)

incentive

QA and

Acceptance

• LCTM test strip.

Example: Agency places short sections of low carbon transportation materials to ensure they can be produced at production scale, are placeable, and meet engineering requirements in a production environment.

• Additional testing equipment and/or testing required to accept low carbon materials.

Example: Agency purchases resistivity test equipment to assess low carbon concrete in accordance with their special provision.

Example: Agency contracts with consultants to conduct additional testing necessary to accept low carbon transportation materials (as outlined in the special provision).

• Verification that material placed meets thresholds for substantially lower carbon.

Example: Agency contracts with consultants to conduct analysis to ensure materials meet criteria for low carbon transportation materials.

• Verification of engineering properties of the LCTM.

Example: Agency contracts with consultants to conduct additional testing necessary to assess if in-place low carbon materials meet design criteria.

• Quality Incentives for engineering performance.

Example: Agency offers quality incentives to facilitate low carbon transportation material usage.

incentive amount

Use of Materials and Products on

Construction

Projects

• Development of Project-specific Performance

Monitoring Plan.

Example: Agency contracts with university to develop a project-specific plan to monitor and assess long term performance of low carbon transportation materials.

• Construction and placement costs of using eligible materials on eligible projects.

Example: Agency implements the use of concrete maturity testing to minimize traffic opening delays when using eligible materials.

• Reporting of results from Long Term Performance

Monitoring Plan.

Incremental amount or incentive

Example: Agency contracts with university to develop a project-specific long term reporting mechanisms on LCTM.

SECTION D - APPLICATION AND SUBMISSION INFORMATION

1. Address to Request Application Package

All application materials may be found on Grants.gov at http://www.grants.gov.

Once at Grants.gov, select the Search Grants tab. Then enter one of the following:

• Opportunity Number: 693JJ325NF00002

• Opportunity Name: Low Carbon Transportation Materials Program

• Assistance Listing Number: 20.205 Highway Planning and Construction

When at one of these pages, select the Opportunity, which will open to a page with several tabs.

The first tab is a synopsis of the opportunity. Select the Application Package tab to download the forms needed to submit an FY 22 LCTM Grant Application Package.

For a Telephone Device for the Deaf, please call (202) 366-3993. If potential applicants are unable to download the application package from the internet, they may send a written request for a paper copy to the below address. Requests should be sent to:

Veronica Jacobson

Agreement Officer

Office of Acquisition and Grants Management

Federal Highway Administration

U.S. Department of Transportation

1200 New Jersey Ave., SE.

Washington, DC 20590

Email: FHWALowCarbonMaterials@dot.gov

Phone: 720-963-3020

Alternate:

Hector R. Santamaria

Agreement Officer/Team Leader

Office of Acquisition and Grants Management

Federal Highway Administration

U.S. Department of Transportation

1200 New Jersey Ave., SE.

Washington, DC 20590

Email: FHWALowCarbonMaterials@dot.gov

Phone: 202-493-2402

2. Content and Form of Application Submission

i. Application

All applications must be submitted electronically through grants.gov.

NOTE: DOT may share application information within the DOT or with other Federal Agencies if the DOT determines that sharing is relevant to the respective program’s objectives.

The application package must consist of the following in this order:

Part Page Limit

SF-424, Application for Federal Assistance None

SF-424C, Budget Information for Construction Programs None

SF-424D, Assurances for Construction Programs None

Disclosure of Lobbying Activities (SF-LLL) None

Volume 1: Technical Application (Attach to SF-424, Item 15) 15 pages

Volume 2: Budget Application (Attach to SF-424, Item 15) None

Additional Supporting Documentation (As needed) (Attach to SF-424, Item 15) 15 pages

(a) Standard Form 424 (SF-424)

NOTE: Applicants may leave fields 5a, 5b, 6, 7, and 13 blank on the form.

NOTE: A number of separate PDF flat files must be attached in Item 15 to provide required project information that is not included in the body of the SF-424.

Instructions for adding Item 15 Attachments:

• Click on “Add Attachments” in Item 15 to open the first pop-up window. Click “Add

Attachment” and a second pop-up File Explorer/Directory window will appear, from which you can choose files to attach. Attachments can be added one at a time or all at once by holding down the CTRL key and selecting multiple files. Select “Open” to add the selected files as attachments.

• Click “Done” to finalize the attachments.

• Click “View Attachments” to see a list of files that have been added as attachments.

Required attachments: the following files must be added as Attachments to Item 15 of SF-424:

(a) Volume 1 Technical Application, as described in detailed below.

(b) Volume 2 Budget Application, as described in detail below.

(c) Additional Supporting Documentation (as needed).

(b) Required Forms for Construction Projects

Applicants should include estimated construction-related activities, and must submit the following forms:

1. Standard Form 424C (Budget Information Construction Programs); and

2. Standard Form 424D (Assurances for Construction Programs).

file://///vntscex.local/dfs/homef/Sharon.ChanEdmiston/My%20Documents/2021%20Desktop/Byways/NOFO/grants.gov

NOTE: All Standard Forms (SF) of the 424 family are available for download at https://grants.gov/forms/forms-repository/sf-424-family

(c) Disclosure of Lobbying Activities (SF-LLL)

(d) Volume 1 – Technical Application

The Technical Application should thoroughly address, with as much detail as possible without exceeding the page limit, the information necessary for the FHWA to determine that the activities proposed under the application satisfy requirements described in Sections B and C and to assess the Merit Criteria in Section E.

Applicants are encouraged to incorporate how the planned activities included in their application support Administration priorities, outlined in Section A.3, into the narrative in the Technical

Application.

To the extent practicable, applicants should provide supporting data and documentation in a form that is directly verifiable by FHWA. FHWA may, but is not required to, request additional information, including additional data, to clarify supporting data and documentation submitted in an application, but FHWA encourages applicants to submit the most relevant and complete information they can provide. FHWA also encourages applicants, to the extent practicable, to provide data in a form that is publicly available or verifiable. To ensure a fair and unbiased evaluation of applications submitted under this notice, the FHWA will not request additional information to perfect incomplete applications.

FHWA recommends that the application be prepared with standard formatting preferences (i.e., a single-spaced document, using a standard 12-point font such as Times New Roman, with 1-inch margins). Tables are permitted. Text in tables may be smaller than 12-point font but must be legible. The technical application should not exceed 15 pages in length. Appendices may include documents supporting assertions or conclusions made in the 15-page technical application and do not count towards the 15-page limit. Front matter, back matter, and references do not count towards the 15-page limit. If possible, Website links to supporting documentation should be provided rather than copies of these supporting materials. If supporting documents are submitted, applicants should clearly identify within the application the relevant portion of the project narrative that each supporting document supports. FHWA recommends using appropriately descriptive final names (e.g., “Project Narrative,” “Maps,” “Memoranda of

Understanding and Letters of Support,” etc.) for all attachments.

I. Cover Sheet

Low Carbon Transportation Materials

Cover Page

Organization Name Identify the legal name of the eligible entity submitting the application.

Entity Type Clearly identify as an eligible Agency outlined in

Section C.1.

Application

Description

Provide a short overview of the application.

Total LCTM Funding Request $

Funds for LCTM Process Development $

Funds for LCTM Construction Projects $

II. Technical Description:

The applicant should provide a concise description of the anticipated activities and scope of work of the application, including a discussion of any relevant Agency history or broader context the applicant deems relevant. Describe how the applicant proposes to meet one or more of the program goals, outlined in Section A.2. This section should include a description and scope of work, including planned major activities, milestones, and deliverables. The application can provide a technical and management narrative describing how the applicant proposes to carry out the planned work.

III. Applicant Information:

The application should include the lead applicant’s demonstrated experience with receipt and expenditure of Federal-aid highway program funds under title 23, U.S.C. FHWA will consider the degree of experience as part of the readiness evaluation. If an application is rated Responsive under other criteria, but the applicant has no or limited experience with the receipt and expenditure of Federal-aid highway program funds, FHWA may contact the applicant prior to the final selection of FY 22 awards to discuss technical resources that may be available to assist the applicant in obtaining the capacity and expertise to ensure compliance with all applicable

Federal requirements and timely delivery of the activities included in the scope of work.

The application could include information about the Agency’s staffing structure and anticipated partners or other entities that will be engaged to support the scope of work described in the application.

The applicant should describe in detail all of the other public and private parties who are involved in delivering the project, including a specific description of the role of each entity in delivering the project.

The applicant should state whether or not a private or non-private entity will receive a direct and predictable financial benefit if the project is selected for award. This includes, but is not limited to, private and non-private entities directly benefitting from completion of the proposed project.

If this project directly involves or benefits a specific private corporation, a non-public entity, or a public entity, please identify the full name of each entity, separated by a comma.

IV. Overall Readiness:

The application should include information that, when considered with the budget information, demonstrates the applicant’s ability to substantially execute and complete the full scope of work in the application before the expiration of funds. The applicant should demonstrate a sound, feasible, and achievable technical and management approach to successfully perform and complete the proposed scope of work. The application should articulate the likelihood of success for the project and include major activities and milestones. The application should include the basis for the cost estimate presented in the application, including the identification of contingency levels appropriate to any scope, schedule, and budget risk-mitigation measures.

a. Schedule: The applicant should include a schedule that identifies major activities and associated milestones. The proposal should demonstrate that the work is ready to begin soon after the award is announced and to be complete before expiration of funds.

Examples of such milestones include procurement authorization, and project partnership and implementation agreements. The project schedule should be sufficiently detailed to demonstrate that all necessary activities will be completed to allow LCTM Program funds to be obligated as indicated in the project schedule in the application, and all work tasks can be completed during the period of performance.

b. Project Risks and Mitigation Strategies: The applicant should identify risks to the likelihood of successful initiation and completion of work (e.g., procurement delays or lack of legislative or administrative approval) and the strategies that the applicant and any project partners have undertaken or will undertake to mitigate those risks.

c. Required Approvals: The applicant should demonstrate they are able to follow all applicable requirements for the applicable Federal-aid construction project(s) on which the applicant proposes to incorporate LCTM funds. This includes, but is not limited to, NEPA review and environmental impact assessment and Domestic Preference

Requirements including Buy America and Build America, Buy America (BABA), further outlined in Section F.

V. Merit Criteria:

The applicant should describe how the proposal meets the merit criteria listed in Section E.1.i.

Insufficient information to assess any criterion will negatively impact the project rating.

Applicants should note that merit reviewers will focus on the technical application and will not be required to reference the other sections in the application package; therefore, all relevant information to demonstrate alignment with the merit criteria as described in Section E.1.i should be included in this section of the application. Applicants should describe the merit criteria in the order in which they are described in the NOFO and address each criterion separately. Guidance describing how FHWA will evaluate projects against the merit criteria is in Section E.1 of this notice. Applicants should review that section before considering how to organize their application.

VI. State and Local Approvals:

The applicant should demonstrate receipt (or the schedule for anticipated receipt) of State and local approvals on which the project depends, such as State and local environmental and planning approvals, and STIP or transportation improvement program (TIP) funding. Additional support from relevant State and local officials is not required; however, an applicant should demonstrate that the project has broad public support.

VII. Federal Transportation Requirements Affecting State and Local Planning:

The planning requirements applicable to the Federal-aid highway program apply to all LCTM projects.10 Applicants should demonstrate that a project that is required to be included in the relevant State, metropolitan, and local planning documents has been or will be included in such documents. If the project is not included in a relevant planning document at the time the application is submitted, the applicant should submit a statement from the appropriate planning

Agency that actions are underway to include the project in the relevant planning document.

Applicants should provide links or other documentation supporting this consideration.

Because projects have different schedules, the construction start date for each grant will be specified in the project-specific agreements signed by FHWA and the grant recipients, will be based on critical path items that applicants identify in the application, and will be consistent with relevant State and local plans.

VIII. Administration Priorities and Departmental Strategic Plan Goals

The application should describe how the project meets the Administration Priorities and

Departmental Strategic Plan Goals as described in Section A.3.

(e)Volume 2 – Budget Application

I. Budget Application:

The Budget Application should be detailed enough to demonstrate that the scope of work satisfies the provisions of this NOFO and that it is sufficient yet reasonable to cover the scope of work of the application. If contingencies are anticipated, the application should include information showing that the applicant has budgeted sufficient contingency amounts to cover unanticipated cost increases. The Budget application should clearly identify that the funds are obligated and expended by the corresponding expiration date. FHWA encourages applicants to submit the most relevant and complete information they can provide; Historical bid data and/or an engineer’s estimate can be used to support the requested budget.

10 In accordance with 23 U.S.C. 134 and 135, all projects requiring an action…