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1999-2000 Annual Report
1999 Review....2000 Preview
 
Letter to Citizens | Butler County Data | Project Development | Funding Sources | 1999 Review |
1999 Income/Expenditures | 2000 Proposed Capital Improvements | 2000 Projected Revenue

FUNDING SOURCES

Adequate funding is the key to a successful capital improvements plan. The BCEO obtains revenue from three different levels --- Federal, State, and Local. There are two primary sources of local money --- gasoline taxes and license plate fees. (See "Where The Money Comes From" for an explanation of how these monies are distributed by the State.) This money is designated specifically for the County Engineer's Office for road and bridge projects and is completely separate from the County's general fund. Annual income generated by these local funding sources averages just under $9 million. This revenue is important as local match money for State and Federally funded projects.

The Butler County Engineer's Office maximizes the use of local funds by matching them with State and Federal funds. On the average, one local dollar can leverage three to four dollars from sources outside Butler County.

Federal Funding

The BCEO works to leverage outside funding whenever possible for eligible projects. As an example, there are several categories of Federal aid, most of which are designated for certain types of projects on specific roads and bridges. In order to utilize these funds very strict qualifications must be met, including the completion of environmental studies and providing the local funding match. An average leveraged ratio of 80 percent federal to 20 percent local is maintained by federal aid experts at the BCEO.

State Funding

Two primary sources of State funding utilized by the BCEO are the State Issue 2 Program (SI2P), renewed by Ohio voters in November 1995, and Community Development Block Grant Funds. The Ohio Public Works Commission (OPWC) administers the State Issue 2 Program, which also includes the Local Transportation Improvement Program and the Small Government Capital Improvements Program. As with Federal funds, a local match is required for the use of Issue 2 funds and the amount must be a minimum of 10 percent of the total project cost. State Issue 2 money is designated for the repair and replacement of existing infrastructure. The OPWC has divided the State into 19 separate funding districts, and communities and public agencies within each district must vie for their share of the funding which is allotted to their district. Butler County lies within District 10, which also includes the Counties of Warren, Clermont, and Clinton and their communities. The Butler County Engineer's Office serves as the manager and OPWC liaison for all Issue 2 funding in District 10.

The Community Development Block Grant Program is designed to provide money for small city, village, and township infrastructure programs that normally would not qualify for other outside funding sources. This program is also designed to assist with improvements to low-income areas.

Local Funding

The two primary sources of local funding are gasoline taxes and license plate fees. Many road and bridge projects are funded one-hundred percent with local money and are let by contract or are performed by crews from the Engineer's Office. Non-contract projects performed by BCEO crews are known as Force Account projects and can consist of everything from culvert and bridge replacements and deck repairs to general and seasonal maintenance. The Ohio Revised Code caps Force Account projects at $10,000 per mile for paving or maintenance and $40,000 per structure (bridge or culvert). (Materials for Force Account projects are bid through separate contracts.) If the cost estimate for a project is over these amounts, the project must by law be competitively bid and let as a contract to the lowest qualified bidder.

A new concept in locally funded road construction is the Transportation Improvement District (TID), which was enacted through state legislation passed in 1993.The TID is comprised of a panel of local governments charged with funding several projects in the TID-designated area, which covers most of the southeast quadrant of the County. Innovative financing is the key to speeding up construction of much-needed projects for which traditional funding methods have been difficult since most local, state, and federal budgets are already stretched. The County Engineer serves on the TID Board of Directors.

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