For those of us who occasionally tap the FHWA "Transportation Enhancement" program as a source of grants (as for the spiffy new door sheet posted by the Strasburg a few weeks ago), here's how the program is treated in the new highway bill that is due to be passed and signed today.

The program is renamed the "Transportation Alternatives" program. It is no longer a mandatory carve-out of a share of the Surface Transportation Program (STP), but is a program of its own, funded at about the same level as in recent years.

The list of eligible project categories is the same, including "historic preservation" and "establishment of transportation museums."

The main focus of the program (and the main competitor for grants) remains pedestrian and bike paths, scenic improveents, and environmental remediation.

However, the funding is shared with three additional categories in the "Alternatives" program:
Recreational trails (Governors may opt out of this)
Safe Routes to Schools (more pedestrian paths)
Conversion of freeways to boulevards (probably a favor to one state).

The major change to the program is that it is now effectively optional at the state level. If unobligated Alternatives apportionments for any state reach the equivalent of a year's apportionment, the amount over 100% of a year's apportionments may be spent for other transportation projects. States may sit on their Alternatives aid for a year and then spend it for other purposes. This will set up competition in each state between bike paths, historic preservation, and roads interests, so unless your state makes a priority of historic preservation, you should not assume that the former "Enhancement" grants will still be available to railroad museums.

Changes take effect for Fiscal 2013 and 2014 (starting Oct. 1, 2012). Grants already obligated are unaffected. There is no guarantee as to what will happen after Sept. 30, 2014, but the safe bet is another series of temporary extensions lasting several years.

This is based on a quick reading of the bill, so you might want to read the bill for yourself. The Alternatives Program is at Sec. 1122, Page 93, and the list of eligible categories is at Page 18. Don't print the whole thing: it's 599 pages.