Bill Text: IN HB1246 | 2011 | Regular Session | Introduced
Bill Title: Federal fund exchange program.
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2011-01-12 - First reading: referred to Committee on Roads and Transportation [HB1246 Detail]
Download: Indiana-2011-HB1246-Introduced.html
Citations Affected: IC 36-9-42.
Synopsis: Federal fund exchange program. Establishes the federal
fund exchange program (program) to allow a county or municipality
that receives funds from the federal surface transportation program to
exchange the federal funds for an equal amount of state funds. Provides
that the Indiana department of transportation shall administer the
program.
Effective: July 1, 2011.
January 12, 2011, read first time and referred to Committee on Roads and Transportation.
PRINTING CODE. Amendments: Whenever an existing statute (or a section of the Indiana Constitution) is being amended, the text of the existing provision will appear in this style type, additions will appear in this style type, and deletions will appear in
Additions: Whenever a new statutory provision is being enacted (or a new constitutional provision adopted), the text of the new provision will appear in this style type. Also, the word NEW will appear in that style type in the introductory clause of each SECTION that adds a new provision to the Indiana Code or the Indiana Constitution.
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A BILL FOR AN ACT to amend the Indiana Code concerning local
government.
Chapter 42. Federal Fund Exchange Program
Sec. 1. As used in this chapter, "department" refers to the Indiana department of transportation established by IC 8-23-2-1.
Sec. 2. As used in this chapter, "federal funds" means funds received by a unit through the federal surface transportation program.
Sec. 3. As used in this chapter, "participating unit" refers to a county or municipality that enters into an exchange agreement with the department under section 7 of this chapter.
Sec. 4. As used in this chapter, "program" refers to the federal fund exchange program established under section 5 of this chapter.
Sec. 5. The federal fund exchange program is established to provide units that receive federal funds with greater flexibility in funding transportation projects. The department shall administer
the program.
Sec. 6. Not later than July 1 of each year, the department shall
determine the amount of state funds available for the program. In
making the determination, the department shall consider the
following:
(1) Whether adequate state funds are available to fund the
program without putting at risk other transportation
activities or projects needing state funds.
(2) Whether the department can readily and effectively use
federal funds received through the program.
Sec. 7. A unit is eligible to participate in the program upon
entering into an exchange agreement with the department. The
department shall consider the following before entering into an
exchange agreement with a unit:
(1) The amount of federal funds the unit wants to exchange.
(2) A brief description of each project the unit wants to fund,
including the estimated cost of the project.
(3) The benefit to a project described in subdivision (2) from
the removal of federal funding, due to the project's size, type,
location, or other features.
(4) The approximate relative equity among districts of the
department in receiving state funds through the program.
(5) The availability of state funds.
Sec. 8. An exchange agreement must provide the following:
(1) The unit may exchange only federal funds for state funds.
(2) The unit may use state funds only for the project for which
the federal funds were originally intended.
(3) If the unit uses state funds to replace local funds in order
to use the local funds for purposes unrelated to
transportation, the unit:
(A) must repay the state funds to the department; and
(B) may not participate in the program during the
succeeding fiscal year.
(4) State funds are exchanged for federal funds on a one to
one (1:1) ratio.
(5) The unit agrees to provide local matching funds equal to
not less than ten percent (10%) of the estimated project cost.
(6) The department will disburse the state funds to the unit on
a reimbursement basis.
Sec. 9. Not later than June 30 of each year, the department shall
submit a report on the program to the general assembly in an
electronic format under IC 5-14-6. A report submitted under this
section must include:
(1) a summary of the exchange agreements entered into
during the fiscal year; and
(2) a status report on the implementation of projects funded
through the program.
Sec. 10. A unit that participates in the program shall comply
with applicable public purchasing laws and competitive bidding
requirements with respect to projects funded through the program.
Sec. 11. The department may adopt rules under IC 4-22-2 to
implement this chapter.
