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State Transportation Bond Funds

State Transportation Bond Funds. Local Bridge Replacement Program, Local Road Improvement Program, Safe Routes to School, and Disaster Relief. State Transportation Fund (Bridge Bonds).

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State Transportation Bond Funds

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  1. State Transportation Bond Funds Local Bridge Replacement Program, Local Road Improvement Program, Safe Routes to School, and Disaster Relief.

  2. State Transportation Fund (Bridge Bonds) General obligation bonds typically fund the State Transportation Fund and are also commonly referred to as bridge bond funds. Minnesota Statutes 174.50 and Minnesota Rules 8810, along with the specific session law associated with each bond appropriation, govern what is an eligible use for State Transportation Funds. State Transportation Funds may be used to replace, rehabilitate or remove a bridge. Bridges can be located on a CSAH, MSAS, county road, city street, or township road, but must be owned by the county, city or township.

  3. Local Bridge Replacement Program The Local Bridge Replacement Program is funded from the Minnesota State Transportation Fund. State Transportation Fund (Bridge Bonds) is one of three funding programs exclusively for local bridge projects that the State Aid Division administers. The funds made available through these programs are not state aid funds and must be applied for and approved on a project by project basis.

  4. Information sheets Local Bridge Replacement Program Local Road Improvement Program Safe Routes to School Program Disaster Relief Flood Bond

  5. Forms Bridge application form Bridge fund eligibility All bonding projects selected will receive a funding and requisition letter from the State Program Administrator. Once this is received the project can be let.

  6. Requisition letter State Aid Finance receives a requisition letter via email from the State Program Administrator. This requisition is based on the Engineer’s Estimate. Local agencies send in an awarded bid (in Excel format) to State Aid Finance via email to michael.ayers@state.mn.us. The awarded bid is used to determine the actual bond grant amount. SP project numbers (DCP) do not require an awarded bid but instead use the participation distribution sheet received by State Aid Office that is based on the low bid to determine the grant amount.

  7. Encumbrance letter A bond encumbrance letter with grant amount is sent via email to local agency’s engineer and accountant, DSAE, State Program Administrator and State Aid Programs Support. The local agency must return a signed Grant Agreement with bond resolution inserted. State Aid Programs Support notifies State Aid Finance via email that the grant agreement is fully executed before the funds are encumbered in the State Aid Accounting System (SAAS). Because bond funds are reimbursable, locals need to pay for work performed on bond eligible items before submitting a pay request

  8. Agreement instructions and templates • Further details can be found on State Aid Programs webpage. • Bridge Program - Local Bridge Replacement Program • Roadway Programs - Local Road Improvement Program • Bridge grant agreement instructions • Bridge grant agreement template • General (cash) fund template • Sample resolution for agreement

  9. Questions? SolicitationPatti Loken patti.loken@state.mn.us 651-366-3803 Grant agreementsOlga Kruglova olga.kruglova@state.mn.us 651-366-3806 Encumbrance lettersMohamed Farah mohamed.m.farah@state.mn.us 651-366-3166

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