Transportation Costs are a significant concern for communities and businesses alike. Recognizing this, Missouri has established the Governor’s Transportation Cost Share Program, a vital initiative designed to foster partnerships and pool resources for essential road and bridge projects. This program not only addresses critical infrastructure needs but also strategically invests in projects that promise substantial economic benefits for the state. Funded through a $75 million General Revenue appropriation, the program prioritizes collaboration and shared financial responsibility to deliver impactful transportation solutions.
Understanding the Governor’s Transportation Cost Share Program
The core objective of the Governor’s Transportation Cost Share Program is to alleviate the financial burden of transportation infrastructure development by creating partnerships with local entities. By sharing the costs, the program enables communities to undertake projects that might otherwise be financially prohibitive. A key aspect of the program is its focus on strategic investment, with 20% of its funds specifically earmarked for projects that demonstrably contribute to economic development within Missouri.
The Cost Share Committee, comprising key figures from the Missouri Department of Transportation (MoDOT), collaborates closely with the Missouri Department of Economic Development (DED) to ensure that selected projects maximize economic impact. This collaborative approach ensures that transportation investments are aligned with broader economic growth strategies for the state. The Missouri Highways and Transportation Commission (MHTC) ultimately approves the project recommendations, adding another layer of oversight and ensuring alignment with statewide transportation priorities.
Eligible Projects and Cost Participation Levels
The program extends financial assistance to both public and private applicants for projects focused on public roads and bridges that address a clearly identified transportation need. It is crucial to understand that program funds are intended to supplement, not replace, existing transportation funding allocations outlined in the State Transportation Improvement Program (STIP). This ensures that the Cost Share Program adds value without disrupting pre-planned infrastructure investments.
Funding is specifically directed towards construction contract costs. Expenses related to preliminary engineering, environmental services, right-of-way acquisition, utility adjustments, and construction inspection are expected to be covered by other funding sources. This targeted approach allows the program to maximize its impact on actual construction, the most capital-intensive phase of infrastructure projects.
The level of financial participation from the program is designed to incentivize partnership. For projects where sponsors collaborate with MoDOT, the program can match their investment up to 50% of the construction contract costs. In cases where projects are identified as having significant economic development potential, particularly in coordination with DED, the program may contribute up to 100% of construction costs using the dedicated 20% set-aside funds. It is important to note that retail development projects are explicitly excluded from qualifying as economic development projects under this program, ensuring a focus on broader economic drivers.
Project administration can be handled either by MoDOT or locally by the applicant. For MoDOT-administered projects, applicants are required to deposit their share of the construction costs with MoDOT upfront, typically before the project is put out for bid. For locally administered projects, applicants are reimbursed for actual costs upon submission of invoices. Regardless of administration, applicants bear responsibility for any project cost overruns, highlighting the importance of accurate project scoping and cost estimation.
Navigating the Application Process for Cost Share Funding
Applying for the Governor’s Transportation Cost Share Program involves a structured process designed to ensure project suitability and alignment with program goals. The initial step involves close collaboration with the relevant MoDOT district contact to define the project scope and estimate costs accurately. The district also provides crucial assistance in preparing the Request for Environmental Services (RES) and the formal Cost Share application. The application itself is accessible online, streamlining the submission process for applicants.
A critical component of the application is securing a letter of support from the MoDOT District Engineer. This letter must comprehensively detail the project’s significance and its anticipated impact on the state transportation system. Furthermore, a letter of support from the Metropolitan Planning Organization (MPO) or Regional Planning Commission (RPC) is also required, demonstrating broader regional endorsement of the project.
For projects seeking access to the 20% set-aside funds for economic development, a support letter from DED is mandatory. Supplemental materials such as traffic models or reports and a detailed project map are also required to provide a complete picture of the project’s rationale and scope. All application materials must be submitted to MoDOT Financial Services by established deadlines, which are publicly posted on the Partnership Development website, ensuring transparency and allowing ample preparation time for applicants.
Project Review and Approval: Ensuring Strategic Investment
The review process for Cost Share applications is rigorous, designed to ensure that program funds are allocated to projects that best meet the program’s objectives and offer the greatest value to Missouri. Each application undergoes a thorough verification process based on several key criteria:
- Eligibility: Projects must meet the eligibility criteria outlined in the program guidelines, focusing on public road and bridge projects addressing a transportation need.
- Project Cost Threshold: Total project costs must exceed $200,000, ensuring that the program supports substantial infrastructure improvements.
- Comprehensive Cost Breakdown: Applications must provide a complete breakdown of total project costs, including preliminary engineering, right-of-way acquisition, utilities, construction contract, and construction inspection, along with identified funding sources for each element.
- Applicant Cost Share Commitment: Applicants must formally agree to provide their share of the total project costs, demonstrating financial commitment to the partnership.
- State Highway System Impact: Projects that significantly expand the state highway system or increase MoDOT’s maintenance responsibilities require pre-approval from the Chief Engineer. In such cases, agreements may be sought for the project sponsor to either transfer ownership of existing state highway mileage or contribute to increased maintenance costs.
- Economic Impact Assessment: Economic impact is carefully evaluated, considering factors such as the type of development opportunity, potential for new spending by out-of-state visitors, job creation, associated payroll increases, and total capital investment. Retail development projects are not considered economic development projects.
- Transportation Need Validation: Transportation need is substantiated by a project’s inclusion in recognized planning documents such as Missouri’s High Priority Unfunded Needs list, MPO Long Range Transportation Plans, RPC regional priority lists, or city capital plans. Safety improvements, particularly those aimed at reducing fatal and injury crashes, also strongly demonstrate transportation need.
- Project Readiness Evaluation: Project readiness is a crucial factor, assessing the applicant’s ability to deliver the project within the proposed fiscal year and budget. “Shovel-ready” projects with clear purpose, defined schedules, delivery plans, and risk assessments are highly favored.
Following initial verification by Financial Services, applications are forwarded to a Staff Review Team comprising experts from various MoDOT divisions and DED. This team conducts a detailed review, providing comments and recommendations to Financial Services. The Staff Review Team prioritizes applications based on economic impact, transportation need (including effects on the state highway system), the applicant’s share of project costs, and project readiness.
Financial Services then compiles comprehensive Cost Share documents, including meeting agendas, project review sheets, project maps, and team recommendations, for review by the Cost Share Committee. The Committee, after considering the recommendations, either approves, denies, or requests further information for each application. Projects approved by the Cost Share Committee are then submitted to the MHTC for final approval.
Project Agreement and Delivery
Once a project receives MHTC approval, the MoDOT district works with the applicant to develop a formal Cost Share agreement. This agreement, utilizing a standard form (FS08), clearly outlines project costs, the financial responsibilities of each party, and the maximum approved Cost Share funding amount. The agreement undergoes a review process involving the “Agreements Review Group” and the Chief Counsel’s Office before final execution by the applicant.
To ensure timely project implementation, applicants are required to execute the agreement within six months of MHTC approval, unless an extension is granted by the Committee. For projects within an MPO area, coordination with the MPO is necessary to amend the Transportation Improvement Program (TIP). Following applicant execution, MoDOT coordinates to amend the STIP, and the agreement is finalized concurrently with STIP amendment approval by both the MHTC and the Federal Highway Administration. Project programming is considered complete upon these approvals, solidifying the funding commitment. Project delivery then proceeds, with MoDOT districts ensuring adherence to the Engineering Policy Guide (EPG) throughout design, right-of-way acquisition, utility adjustments, and construction phases.
Selected Projects: Demonstrating Program Impact
The Governor’s Transportation Cost Share Program has already funded a diverse range of impactful projects across Missouri. Examples of selected projects showcase the program’s commitment to addressing varied transportation needs and fostering economic growth. [Table of Selected Projects from original document would be inserted here if images were allowed]. These projects exemplify the program’s reach and its contribution to improving transportation infrastructure and driving economic progress throughout the state by strategically managing transportation costs.
In conclusion, the Governor’s Transportation Cost Share Program represents a significant opportunity for Missouri communities to address their transportation infrastructure needs while effectively managing transportation costs. By fostering partnerships, sharing financial responsibilities, and strategically investing in projects with economic benefits, the program is making a tangible difference in enhancing Missouri’s transportation network and supporting statewide prosperity.
