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Federal Funding Sources <br />Minnesota receives federal funds under the Transportation <br />Equity Act for the 21st Century (TEA-21), which is a six <br />year transportation finance bill that will provide roughly <br />$400 million to Minnesota in federal fiscal year 2002 <br />(October 1, 2001 through September 30, 2002). Federal <br />revenues come in a variety of different programs, and are <br />mostly used to support construction and maintenance of state <br />road and bridge systems. TEA-21 will expire in FFY2003 <br />and Congress is preparing to consider the next transportation <br />funding bill. <br /> <br />Federal funding, which comes primarily from the 18.4- cent <br />federal motor fuels tax, is distributed to specific competitive <br />projects within the state through eight Area Transportation <br />Partnerships (ATPs). ATP members include representatives <br />of Minnesota cities and counties, the state Department of <br />Transportation, transit agencies, and regional planning <br />organizations. <br /> <br /> Figure 11 <br /> Federal Funds to Minnesota's Area <br /> Transportation Partnerships <br /> FY 2003-2005 <br /> Federal Fund <br /> District Share <br /> Target <br /> ATP (Percent) ($Millions) <br /> 1 9.6% $32 <br /> 2 5.6% $18 <br /> 3 11.4% $38 <br /> 4 6.6% $22 <br /> 6 -9.9% $33 <br /> 7 7.5% $25 <br /> 8 6.0% $20 <br /> M 43.4% $143 <br /> Total 10010% $331 <br />Source: Mn/DOT Office of Inv. Mgmt. <br /> <br />The flow chart below in Figure 12 shows an estimate of federal funds for FY 2003-2005 from the <br />federal government to Minnesota local units of government, including both Minnesota cities and <br />counties. The key point illustrated in this chart is that Minnesota cities compete among themselves and <br />also Minnesota counties for about $104 million in federal funds for 2003-2005. (Note: In 2001, <br />roughly two-thirds of the federal funding for road and bridge improvements for Minnesota local <br />governments was provided to Minnesota counties, and one-third was provided to Minnesota cities.) <br /> <br /> Figure 12 <br />Federal Funding to Minnesota Local Governments - FY 2003-2005 <br /> <br />Local: 40% <br />$57 million <br /> <br />Metro: 43.4% <br />$143 Million <br /> <br />State: 60% <br />$86 million <br /> <br />ATP Target: $331 Million <br /> <br />Greater Minnesota: 56.6% <br />$187 Million <br /> <br /> I <br /> <br />Local: 25% <br />$47 million <br /> <br />State: 75% <br />$140 Million <br /> <br />Source: MrffDOT Office of Investment Management <br /> <br />15 <br /> <br /> <br />