Federal Fund Exchange Training

What is the Federal Fund Exchange? This is a voluntary program in which a Local Public Agency can trade its federal obligation authority with KDOT or another local agency in exchange for state funds. State funds are paid on a reimbursement basis as the LPA incurs costs. Program is voluntary. Requires $ be used on a transportation project. (More later) Reimbursement program. Saves dollars/time: Reduced plan needs in many cases Avoid cumbersome fed. Requirements Projects better tailored to local needs – Example: bridge on very low vol. road More flexibility: Wider range of projects, for example some maintenance activities are eligible. More later. Dollars don’t have to be spent on specific classes of roads.

What Are the Benefits of the Fund Exchange? Eliminates costly and time-consuming requirements of federal-aid projects. Reduced environmental documentation Plans development to meet local needs Inspection to meet local needs Avoid many restrictive federal provisions Buy America Davis-Bacon DBE Uniform Act Pipe Policy

What Are the Benefits of the Fund Exchange? More flexibility in selection of projects Projects can be on non-federal aid routes Bridges don’t have to meet eligibility requirements Much wider range of scopes allowed

“Transportation Project” Road construction, reconstruction, rehabilitation Pavement preservation (overlay, mill/overlay, chip/seal, pvt. patching, crack sealing) Purchase of aggregate used exclusively on a specific section of road Safety improvement (signing, pvt. marking, roadside obstacles, intersection, etc.)

“Transportation Project” Bridge construction/replacement Bridge rehabilitation, repair Bridge removal Low-water crossing

“Transportation Project” Erosion protection in ditches or around drainage structures. Const. of sidewalks, ADA ramps, pedestrian signals. Construction of trails. Curb & Gutter repair or replacement. Storm sewer repairs.

Allowable Use of State Funds All phases of project are eligible. LPA determines procedures, criteria and standards. Must meet applicable laws, regulations, accepted engineering practices. Funds must be requested prior to September 15 of Federal Fiscal Year they were made available. Transportation project: Defined in Guidelines. See list Eligible phases: PE, R/W, Util., Construction, CE Project doesn’t have to be done the “KDOT way”. Local standards and practices may be followed. All applicable laws, regulations and engineering practices must be met. Reimbursement on projects may be for the entire project or we can make “progress payments” to help the LPA manage its cash flow.

Current Fed.-Aid Process Federal funds are made available to KDOT through FHWA. KDOT shares a portion of federal funds with cities and counties. FHWA KDOT City/County Project must meet federal rules and requirements. Example: NEPA Project standards and specs established by KDOT & FHWA rules. Plan development must be in accordance with KDOT practices. LPA develops project. KDOT lets/administers project with federal/local funds

How the Fund Exchange Works Federal funds are made available to KDOT through FHWA. KDOT shares a portion of federal funds with cities and counties. FHWA KDOT City/County KDOT agrees to provide LPA $0.75 state funds per $1.00 fed. In 2018 with rate to be determined annually by the Secretary of Transportation LPA requests KDOT exchange funds. Local agency determines appropriate standards, specifications, plan requirements.

How the Fund Exchange Works KDOT reimburses LPA up to maximum amount of total exchange. KDOT City/County LPA submits request for reimbursement to KDOT along with appropriate documentation of expenditure. Local agency determines appropriate standards, specifications, plan requirements. LPA lets/administers project(s) themselves and pays contractor/suppliers.

Fed. Funds Available for Exchange 5-Year Plan funds (STP Limitation) Counties: $31.1 million (FFY 2018) Cities: $11.6 million (FFY 2018) Minus Federal-Aid Local Bridge Program. Approx. $8 million annually. Minus Local Bridge Inspection Compliance Effort. Approx. $5 million annually. Through 2022.

Implementation Plan Beginning Fall 2010 – Federal Fiscal Year 2011. All counties Cities over 5,000 not in metro area.

“5-Year Plan Letter” No longer 5-year plan update Letter will: Tell you how many fed $ available for year Give you option of either programming fed-aid project or requesting exchange. Provide deadline for informing us of decision.

What do I need to do to exchange my federal funds?

Understand the Rules

Request is submitted to KDOT, now what?

KDOT reviews request, determines if projects meet program requirements

Reimbursement Process

Statutes, Regulations & Engineering Practices

When do I need to hire an engineer? “A Study of the Duties of a County Engineer in the State of Kansas” By: Thomas Mulinazzi, KU Chaitanya Gampa, KU Eugene Russell, KSU

http://www.kutc.ku.edu/pdffiles/Duties%20of%20an%20Engineer.pdf

http://www.kutc.ku.edu/pdffiles/Duties%20of%20an%20Engineer.pdf

Work Requiring Engineer Establishing design standards Roadway and crossroad culvert design Bridge (structural) design Sizing crossroad culverts and bridges Determining needed repairs on bridges & culverts Bridge inspection & load rating Drainage and flooding studies Computing drainage areas and runoff rates

Work Requiring Engineer Prepare state & federal permit applications Prepare construction specifications Construction Inspection Traffic control/signage design and review

Work That Does Not Require Engineer Project cost estimates Right of way acquisition Utility relocations Advertisement and contract administration Manage project for LPA Maintenance type projects

Work That Does Not Require Engineer Pavement preservation w/o geometric, safety, drainage or other changes Overlay, mill/overlay Chip and seal Pavement patching Crack sealing Placement of aggregate Replace deteriorated curb & gutter Storm sewer repair to restore function Installation of erosion protection measures in ditch or at drainage structure outlet

K.S.A. 68-1105 Estimates, plans and specifications for bridges and culverts; employment of engineer. Whenever the board of county commissioners . . . Deem it necessary to repair any county bridge or culvert it shall . . . direct the county engineer to prepare complete plans for the same, . . . Provided, that the board may employ an engineer to act in conjunction with the county engineer in preparing plans, specifications, estimates, and in superintending the construction of any bridge or culvert work: Provided, however, That no engineer shall be employed by the board to furnish or to prepare plans, specifications or estimates for any county or township bridge or culvert work, or to supervise the construction of any such work, who is in the employ of or represents any bridge company, bridge firm, or bridge contractor. . .

Design Criteria General Road Design Bridge Design AASHTO, NACE, APWA Depends on scope of work Bridge Design AASHTO

Bridges NBI All bridges on public roads must be inspected. New or altered bridge must be on inventory in 180 days.

Surveying Minimum Standards for the Practice of Land Surveying (K.A.R. 66-12-1) http://www.accesskansas.org/ksbtp/KAR66-12-1.html Statutes regarding survey practices and protection of cornerstones and monuments

Environmental - Permits NEPA documentation not required Permits may be needed Division of Water Resources Corps of Engineers NPDES Others?

Contracts Method of contracting shall meet appropriate Kansas statutory requirements and procedures. Work with your attorney or counselor.

Questions?