InDepth Federal Aid Project Delivery Workshop

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In-Depth Federal Aid Project Delivery Workshop

• Thursday, November 29, 2007

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Project Funding

• Federal Funds
• Match Requirements
• State Funds
• Special Programs
• Summary

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Federal Funds

• SAFETEA-LU
• Safe, Accountable, Flexible, Efficient
  Transportation Equity Act A Legacy for Users
• Enacted August 10, 2005, as Public Law 109-59.
  SAFETEA-LU authorizes the Federal surface
  transportation programs for highways, highway
  safety, and transit for the 5-year period
  2005-2009.

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Federal Funds (contd)

• Different Categories (sometimes referred to as
  colors of money)
• Formula Limitation (vs. Apportionment)
• Receive annually
• Used on most projects
• Earmarks
• Project specific funding
• From SAFETEA-LU (set record for earmarks)
• 6400 earmarks totaling 23 billion
• Funds paid out over life of Act

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Federal Funds (contd)

• From Annual Appropriations Bill
• Should be obligated in the year received
• Federal funding provided on a reimbursement basis
• Must spend a dollar to get back .89

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Federal Funds (contd)

• Federal Discretionary Programs
• US DOT now has very few true discretionary
  programs
• Emergency Relief
• Highways for LIFE
• Scenic Byways
• Covered Bridges
• Value Pricing Pilot Program
• Truck Parking Facilities

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Federal Funds (contd)

• Programs With Local Components
• Surface Transportation Program
• Highway Bridge
• CMAQ
• Planning
• Forest Highways
• Rail-Highway Grade Crossings
• High Risk Rural Roads
• Safe Routes to School
• Transportation Enhancement
• Recreational Trails

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Match Requirements

• Most federal funds require non-federal funds as
  match
• Match can come from several sources
• Cash
• Check
• Local Government Investment Pool (LGIP)
• Irrevocable letter of credit

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Match Requirements (contd)

• Donations (must obtain prior approval in order to
  qualify)
• Cash
• Materials
• Services
• Real property
• Six point criteria
• Timing of match (as per IGA and AOC/LOC
  agreement)
• Must be provided in advance of PE or ROW phases

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Match Requirements (contd)

• Will receive request for advance deposit when
  phase of work ready to commence
• Amount is provided to Highway Program Office
  (HPO) from Local Agency Liaison (LAL) who then
  makes the request
• Construction phase requires 110 of engineers
  estimate and receipt must be prior to award
• May request any excess funds after award of
  contract

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Match Requirements (contd)

• Use of match
• As expenditures come in, federal funds and
  associated match funds are used
• Match will be used incrementally over life of
  project phase
• At end of project phase, any unused funds are
  returned

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State Funds

• Oregon Transportation Investment Act (OTIA)
• Legislative authority given to ODOT to issue
  bonds for transportation needs
• I/II/III
• Modernization, Preservation, Bridge
• State and Local projects received funding
• Must be spent within a specified time frame
• Project specific funding
• Approvals/changes by Committee

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State Funds (contd)

• Non-bonded funds
• Derived from license and registration fees, gas
  taxes and weight-mile taxes, etc.
• Shared with Counties and Cities
• http//www.oregon.gov/ODOT/CS/FS/docs/HwyRev_appor
  t/apport_fy08.pdf
• Work must be gas-tax eligible
• Used as match for federal projects
• Stand alone projects

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Special Programs

• Fund Exchange
• Trading in federal dollars for state dollars
• .94 exchange rate
• Provide funding for specific roadway projects,
  including pavement preservation programs, match
  for federal-aid projects, and repayment of bonds
  and loans on eligible projects
• May be used for specific maintenance purposes
• Purchase or Production of Aggregate
• Used exclusively for highway work

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Special Programs (contd)

• Purchase of Equipment
• Must only be used for highway purposes
• Special City Allotment
• Annual program funded with 1M state highway
  funds
• For use upon city streets that are within cities
  with populations of 5,000 or less
• 25,000/project
• Can receive half the funds up front

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Special Programs (contd)

• Special County Allotment
• Annual program funded with 1M state highway
  funds
• For counties with a road funding deficit
• Used only for maintenance, repair and improvement
  of existing roads
• Free Bridge Design
• For the ten counties with the lowest dedicated
  road funding

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Special Programs (contd)

• Annual calculation
• Upon request, plans and specifications for
  bridges or culverts shall be provided by ODOT
  without cost

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Summary

• Project can be funded with any funding source
  previously mentioned
• Either as a sole source or any combination
• Dont start work on federal project until
  approval given
• Important to not only know how a project funded,
  but also if specific work within the project will
  have specific funding

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Questions?
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Contact Information

• Steve Leep
• Program and Funding Services Manager
• Highway Program Office
• [phone]
• steve.r.leep_at_odot.state.or.us