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2001 Session

Budget Amendments - SB800 (Committee Approved)

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Federal Funds for Mass Transit (language only)

Item 506 #1s

Item 506 #1s

Transportation
Transportation, Secretary of

Language
Page 444, line 6, strike "Minimum Guarantee Equity program and the".
Page 444, line 9, after "§33.1-23.1", strike ", except" and insert ".".
Page 444, strike lines 10 through 21.
Page 444, after line 43, insert:  
"i.  Funds apportioned under federal law for the Minimum Guarantee Equity program shall be allocated in the first year as follows:  $16,957,500 to eligible projects at the discretion of the Commonwealth Transportation Board and an additional $10,062,500 for debt service interest payments for the Federal Highway  Reimbursement Anticipation Notes issued by the Commonwealth Transportation Board during fiscal year 2001.  Ten percent of Minimum Guarantee Equity funding shall be allocated to mass transit projects.  In the second year, funds apportioned under federal law for the Minimum Guarantee Equity program shall be allocated as follows:  1) ten percent of total Minimum Guarantee Equity funds, an amount estimated at $7,339,000, shall be allocated to mass transit projects as enumerated in Item 518; 2) $34,179,000 shall be allocated equally among the secondary and urban systems of highways in accordance with the allocation formulas in §33.1-23.3 and §33.1-23.4 of the Code of Virginia; and 3) the remaining Minimum Guarantee Equity funds shall be distributed through the state allocation formula set out in §33.1-23.1 of the Code of Virginia.  It is the intent of the General Assembly that the amount of  federal funds appropriated to mass transit  in this Item shall be a stable and reliable funding source. "


Explanation
(This amendment clarifies language included in Chapter 1073 of the 2000 Acts of Assembly concerning the allocation of federal funds to mass transit and removes the discretion of the Commonwealth Transportation Board in the second year to allocate a portion of federal funds. The FY 2001 Virginia Transportation Development Plan and Annual Budget used these federal funds to provide the interest payments for the FY 2001 Federal Highway Reimbursement Anticipation Notes. The Virginia Transportation Act of 2000 (Chapter 1019 and Chapter 1044 of the 2000 Acts of Assembly) required that these interest payments be made from each district in proportional share. The result was that the secondary and urban systems assumed more than 60 percent of the interests costs while receiving less than 1 percent of the benefit.)