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B-180617 1 (1974-08-06)

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                   CONPTROLLER GENERAL OF THE UNITED STATES
                             WASHINGTON. D.C. 20548

                                                                AUG 6  19
B-180617                        RELEASED


The Honorable Alan Cranston

United States Senate

Dear Senator Cranston:

     On May 14, 1974, you asked us to review the grant by the Urban Mass
Transportation Administration (U!ITA) to the Long Beach Public Transporta-
tion Company, Long Beach, California, particularly that part concerning
Long Beach's plan to buy new bus stop benches.

     You asked whether UMTA's grant for Long Beach to buy bus stop benches
was proper under the standards of the Urban Mass Transportation Act of
1964 (49 U.S.C. 1601), whether the Administrator of U1TA could disapprove
specific items in a proposed UMTA assistance grant, and whether the Admin-
istrator had fulfilled his responsibility in approving funding for Long
Beach's plan to replace existing bus stop benches. We believe that UMTA
acted properly in administering its responsibility under the act.


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     Unde2r the original provisions of the Uran Mass Transportation Act.
the Administrator of the Housing and Home Finance Agency was responsible
for urban mass transportation functions. Later the Department of Housing
and Urban Development Act of 1965 (Public Law 89-174, 79 Stat. 667) trans-
ferred this responsibility to the Secretary of Housing and Urban Development.
Under Reorganization Plan No. 2 of 1968, this responsibility was transferred
to the Secretary of Transportation. UMTA was established by section 3 of
this plan.


     Pursuant to his authority under the
(49 U.S.C. 1657(e)(1)), the Secretary of
sibility for carrying out the provisions
Act to the Administrator of UMTA.


Department of Transportation Act
Transportation delegated respon-
of the Urban Mass Transportation


     Section 3 of the Urban Mass Transportation Act authorizes the Federal
Government to help States and local public bodies improve their mass trans-
portation services.

     (a) The Secretary is authorized, in accordance with the
     provisions of this chapter and on such tori  ,;', conditions
     as he may prescribe, to makn qrants or t,
     through the purchase of securities or cquI; l rs


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