Local Road Assistance Program (LRAP)
Please Note: LRAP used to be called URIP (Urban Rural Initiative Program) between 2000 and July 1, 2013
On June 26, 2013, the Governor signed the new Transportation Budget. The Budget amount for Local Road Assistance (formerly URIP) was $23,072,983 which is about $556,000 less than last year because DOT’s total Highway Budget is less than last year. Because the LRAP allocation has been about 10% of that total, then the LRAP amount correspondingly decreased this year. For next year (FY 15), the LRAP allocation will be reduced to 9% of the Highway Budget and is scheduled to be $20,111,535. However, that figure will likely change and the final figure will not be available until the Legislature adjourns this Spring. For municipal budgeting purposes, it is likely that a reduction will be seen for all 502 municipal, count, and Indian recipients.
Individual municipal/county Certification Forms with town-by-town allocations were mailed around July 12.
Starting in the Fall of 2013, all LRAP payments will be sent in one total lump sum payment by December 1. Quarterly payments will no longer be made in September, March and June.
Also the “hold harmless” clause in the law has been deleted. If your town has NOT been a “hold harmless” town, then your annual amount has gone up a bit. If you have been a “hold harmless” town, then you have been receiving exactly what you had been receiving in 1999. In reality, this means that your lane-mile rate has been higher than 1) the statutory rates per lane-mile and, 2) the other non-hold harmless towns. Now most “hold harmless” towns will see a decrease in their annual amount. While this is not good news for any town, it now means that every town will be receiving the same rate per lane-mile as stated in the law. As an example, the statutory rate for rural local roads is $600 per lane-mile so a rural Maine “hold harmless” town now receiving $800 will now receive $600 per lane mile.
- Why and how did the Legislative Transportation Committee make some of the decisions in this past session which reduced Local Road Assistance, paving, and bridge/highway projects? (Word) (PDF)
Feel free to contact Peter Coughlan for particular details at 624-3266 or firstname.lastname@example.org
LRAP Documents and Information
- FY 14, FY 13, FY-12, FY-11, FY-10, FY-09, and FY-99 Payments to Municipalities, Counties, and Indian Reservations (PDF)
- How to sign up for Electronic Fund Transfers.
- Rates per Lane-mile table.
- Graphical summary of rates for urban & rural towns (PDF).
- History of Total Payments (PDF).
- Law Changes in 2002.
- Maine statute in Title 23 about the Local Road Assistance Program (LRAP) -- see Subchapter 6 (Offsite)
- Maine Municipal Association Report of URIP Working Group - Jan 06 (PDF).
- The Legislative OPEGA chose to review the entire URIP process and administration in 2007. A full and condensed report can be found here. Two recommendations were made for the Program:
- Effective July 1, 2008, funding recipients must provide information on how URIP funds were expended from the previous fiscal year. The information collected will be used to chart the progress of improving public roads by the 502 Maine municipalities, counties, and Indian reservations that receive funding from this program.
- Encourage Program recipients to enroll in the direct deposit option instead of receiving a paper check in the mail.
- Municipalities requesting verification of the funds received from the Local Road Assistance Program for Audits should be in writing to, Pete Coughlan, MaineDOT Community Services Division, 16 State House Station , Augusta Maine 04333-0016.
Highlights of the "Local Road Assistance Program"
- as of July 1, 2013, the Local Road Assistance Program (LRAP) replaced the Urban-Rural Initiative Program (URIP) which was created on July 1, 1999.
- annual funding to municipalities "floats" with the up’s and down’s of the annual Highway Budget, rather than being a fixed amount. If Highway Fund revenues are up, then the total allocation will increase and vice versa. As of FY 15 (July 2014), the total LRAP allocation is 9% of the total Highway Budget.
- LRAP continues to be focused on municipal aid toward highway and bridge capital improvements. Prior to 1999, the use of these "local road" funds was only for the "maintenance or improvement of public roads". Since 1999, these funds must be used for “capital improvements” to local roads except for the 47 urban compact municipalities which have the option to spend the urban funds on capital or Maintenance Needs (PDF) (Word) on any public road within the state Compact area of that municipality.
- a Capital Improvement (PDF) (Word) is defined as work on a road or bridge that has a life expectancy of at least 10 years or restores the load-carrying capacity.
- LRAP Annual Certification Forms are sent out by the Community Services Division around July 1 and should be returned by August 1st of each year. The certification form informs the municipality about its upcoming year’s allocation amount and requires written signature(s) that the funds will be used pursuant to the law. No funds can be sent until that completed annual certification form is received by MaineDOT's Community Services Division by mail or scanning/email (no FAX’s please).
- the “hold harmless” (HH) provision was eliminated in July 2013. This means that any town that mathematically should be receiving less funding using the statutory rates but have had been receiving the “hold harmless” amount from 1999 will be getting less funding now. In reality, any HH town has actually been receiving more dollars-per-lane-mile that non-HH towns. Being inherently unfair and inconsistent, all towns will now receive the SAME lane-mile rates.
Base funding rates per lane mile before any administrative adjustments to reflect revenue available.
- $600 per lane-mile for townways
- $600 per lane-mile for State Aid/minor collectors
- $300 per lane-mile for seasonal townways
Urban Compact Municipalities:
- within urban compact areas
- $2,500 per lane-mile for summer maintenance of State Highway and State Aid highways
- $1,250 per additional lane-mile for summer maintenance of State Highway and State Aid highways
- $1,700 per lane-mile for winter maintenance of State Highways only
- $0 per lane -mile for town ways
- outside urban compact areas
- same rates as "rural towns"
Recent Funding History
- The Governor signed the Highway Fund budget into law on June 21, 2011 as PL 2011, c 392. The total FY 12 URIP allocation is 2.4% higher than last year and includes $600,000 for Transit Bonus. Many municipalities will see a small increase in their URIP payments while others will remain at their “hold harmless” amount. Figures are shown below in Item #1.
- At the end of the Legislative session in April, 2010, the MaineDOT Budget was passed and the FY 10 URIP "pie" was increased for the 4th quarter only by $1,102, 013 and increased for FY 11 by $365,718. This resulted in many towns/cities seeing an increase in their 4th quarter FY 10 URIP payment and an additional increase in their FY 11 payment.
- At the end of the Legislative session on June 12, 2009, the MaineDOT Budget was passed and the total URIP "pie" was decreased because the overall Budget was decreased. The total amount of the FY 10 "pie" was $21,343,364 which was $3.07M (12.6%) less than FY 09. This did NOT equate to a 12.6% reduction for every town in Maine. Over 200 previous "hold harmless" towns saw no decrease at all. The remaining towns/cities, especially urban compact communities, saw reductions in their FY 10 payments. In fact, an additional 200+ towns are now at their FY 99 "hold harmless" amounts.
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