Sec. 5. The federal fund exchange program is established to provide eligible entities and the department with greater flexibility in funding transportation projects. The department shall administer the program as follows:
(1) Exchanged funds awarded to an eligible entity may be carried over for up to three (3) years at the discretion of the department or the metropolitan planning organization, whichever is applicable.
(2) Exchanged funds may be expended for any transportation purpose allowable under federal law.
(3) Exchanged funds may be expended on any phase of a project, including:
(A) periodic project oversight services;
(B) construction inspection services; and
(C) reimbursement for items that were conducted before the application or request for exchanged funds or before the award of exchanged funds.
(4) A recipient of exchanged funds must provide a twenty percent (20%) local match payable by any available revenue source, except as provided by federal law. Awards shall be made by the department or metropolitan planning organization, whichever is applicable, in an amount that is twenty percent (20%) less than the total cost of the project to accomplish the required match.
(5) After the initial award of exchanged funds for a project and before the department's closeout of the project, an eligible entity may apply to the department or metropolitan planning organization, whichever is applicable, to be awarded additional exchanged funds as considered necessary to pay for project change orders.
(6) All contracts for professional services paid for with exchanged funds must be made on the basis of competence and qualifications for the type of services to be performed and compensation shall be negotiated as the eligible entity determines to be reasonable after its selection of a consultant or consultants.
(7) Professional services must be performed by an entity that is prequalified by the department.
(8) The department's design manual must provide guidance for projects funded with exchanged funds. However, exceptions to the design manual guidance are permitted at the discretion of the eligible entity.
As added by P.L.141-2013, SEC.1. Amended by P.L.218-2017, SEC.97.