New Search
Local Agencies' Use of Highway Funds <br /> Performance Audit <br /> OVERVIEW (Continued) <br /> C. Constitutional and Statutory Restrictions on Use of State Highway Funds. - <br /> j The Oregon Constitution Arficle IX, Section 3a specifies the following for the use of <br /> monies derived from taxes on motor vehicle use and fuel: - ~ - <br /> 1 <br /> • -These funds shall be used exclusively for the construction, reconstruction, <br /> improvement,,,repair, maintenance,. operation and use of public highways, roads, <br /> streets and roadside rest areas in the state. <br /> ~ They may also be used for the cost of administration and the retirement of bonds <br /> for which these revenues have been pledged... ~ . ~ <br /> • If any of these revenues arises from taxes or excises levied .on the ownership, <br /> operation or use of motor vehicles then they may be .used for the acquisition, <br /> development, maintenance or care of parks or recreation areas: <br /> Oregon Revised Statutes Section 366.514 requires that at least 1 percent of -State <br /> Highway Fund monies received in a year,be expended to provide footpaths and bicycle <br /> ~ trails. This section does not apply to a city in any, year in which the,1 percent equals <br /> - <br /> $250 or less, or to a county in any year in which the 1 percent equals $1,500 or less., A <br /> - - . <br /> county or city may accumulate these monies for 10 years prior to expenditure. <br /> Oregon Revised Statues Section 366.815 requires cities to establish a state tax street <br /> fund to accumulate and expend State Highway Fund monies. In addition, a city may <br /> . <br /> not accumulate State Highway Fund monies for more than two years unless they have <br /> <br /> ~I ~ perfected plans for a definite construction pro ram that extends be and this eriod. <br /> g Y P <br /> The construction program must receive the approval of the State Department of <br /> ~ Transportation's Chief. Engineer before the monies may be accumulated. If approval is <br /> not received, then the accumulated monies are to be returned to the State Treasurer for <br /> ; reallocation to other cities. <br /> There are no similar requirements for counties. <br /> <br /> 'I <br /> I <br /> Talbot, Korvoia & Warwick, up g <br /> _ _ _ <br /> <br />