Virginia Department of Rail and Public Transportation

The meeting focused extensively on the MERIT Operating Assistance Review. Key discussion points included the review of public comments, which showed supportive feedback overall but opposition from Northern Virginia regarding proposed changes, and requests for a more transparent process. The committee reviewed proposed MERIT Operating formula alternatives, Alternative 1 favoring single-year performance responsiveness and Alternative 2 using a three-year average, with a staff recommendation for Alternative 1. Improvements to the MERIT Capital Assistance program for clarity and alignment with state-of-good-repair standards were also reviewed. Significant discussion arose regarding the speed of the review process, with multiple members expressing concern that insufficient time was provided for adequate feedback from constituents. Consequently, the committee decided to delay making a final recommendation on the MERIT changes until no later than June 30, 2026, to allow for further review, potentially incorporating data following the General Assembly adjournment. The committee also discussed standardizing operating cost metrics and internal administrative definitions.

This document is a review of the MERIT (Making Efficient and Responsible Investments in Transit) Program's Operating and Capital Assistance components, proposing revisions to its funding allocation methodologies. The review identifies challenges with current formulas, such as being input-focused, relying on performance trend bases, and exhibiting complexity. Key proposed changes include refining capital project categorization and scoring, introducing new incentive points for grants management, and reforming operating assistance through an unadjusted performance measure methodology, consolidated operating cost metrics, and a simplified formula that replaces trend-based adjustments with a fixed performance set-aside. The overarching aim is to align the program with policy goals emphasizing performance-based metrics, operational efficiency, and transparent resource allocation.

This report, 'Driving Down Pollution: Accelerating Cleaner Cars in Virginia,' outlines a strategic direction for Virginia to curb tailpipe pollution and promote cleaner vehicles. It emphasizes maintaining and enhancing existing Clean Cars standards (Low-Emissions and Zero-Emissions Vehicle standards) due to their benefits in combating climate change, improving public health and equity, generating consumer savings, and fostering economic growth. The report also identifies opportunities and next steps, including investing in EV charging infrastructure, providing purchase incentives, making new developments EV-ready, and adopting smart utility policies to guide a smooth and equitable transition to zero-emission transportation.

The meeting agenda focused on comments to the CTB regarding the U. merit operating assistance program and DRPT's recommendations for changes to the formula. The committee reviewed and considered the adoption of minutes from the last two meetings. Public comments were summarized, highlighting support for cost efficiency and fairness, as well as concerns about the review timeline. Discussions covered two operating formula options, capital assistance, and administrative updates, with emphasis on performance-driven funding and clarity in project categorization.

The meeting covered MERIT Review updates, including policy goals such as simplification, transparency, outcomes-focused results, and operational efficiency. The responsibilities between the CTB, TSDAC, and DRPT were reviewed. Different MERIT funding scenario alternatives were presented and the administrative policy alternatives tested with certain formulas. The public was given the opportunity to provide comments.