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Preapplication             Program Year 2018 Methodology

The SCIP/LTIP Infrastructure Program

The Eastgate Regional Council of Governmentsserves as the administrative home for the District 6 Public Works IntegratingCommittee (D6PWIC). There are 19 District Integrating Committees covering all88 Ohio Counties. In Mahoning and Trumbull Counties, the D6PWIC develops themethodology to administer the State Capital Improvement Program (SCIP) and theLocal Transportation Improvement Program (LTIP) and to annually evaluate thePre Applications submitted by the various units of local government, and submita slate of projects to the Ohio Public Works Commission (OPWC) for theirconcurrence and subsequent funding. The OPWC is responsible for administeringthese two infrastructure programs, SCIP and LTIP on a statewide basis.

State Capital Improvement Program

The State Capital Improvement Program wascreated in 1987 and renewed in 1995 and 2005 by amendments creating Sections2k, 2m and 2p, Article VIII of the Ohio Constitution. These Constitutionalprovisions allow the State to use its general revenues as debt support to issuegeneral obligation bonds up to $120 million annually and then up to $150million beginning July 2011. Eligible applicants are counties, cities,villages, townships, and water and sanitary districts (ORC 6119 or 6117).Eligible projects are for improvements to roads, bridges, culverts, watersupply systems, wastewater systems, storm water collection systems, and solidwaste disposal facilities.

Funding is provided through grants, loans, andloan assistance or local debt support. Grants are available for up to 90% ofthe total project costs for repair/replacement, and up to 50% fornew/expansion. Loans can be provided for up to 100% of the project costs.Grant/loan combinations are also available. The term of the loan cannot exceedthe useful life of the project, or thirty years, whichever is less. The minimumterm is one year. The District will recommend the rate of interest for eachloan in whole percent increments from 0 to 3 percent.  Once the project iscompleted a final amortization schedule is provided requiring payments every Januaryand July until the term of the loan expires. Loans may be paid in full with noprepayment penalty. Loan Assistance is a grant that pays for the interest on apublic or private loan during the construction period plus one year. Thisassistance can be used on bond/note issuances or loans initiated up to twelvemonths prior to the date of the Project Agreement. OPWC may also pay a one-timeinfusion of funds called a Credit Enhancement to enhance an applicant’s abilityto secure affordable debt. The OPWC may pay the premium for a bond insurancepolicy which would improve the applicant’s credit or bond rating. This categoryof funding may be applied for as part of a project that is a grant, loan orgrant/loan combination but needs to be a separate application foradministrative purposes.

A portion of the SCIP funds is set aside for twospecific programs that are administered directly by OPWC rather than thedistricts. The $15 million Small Government Program is a “second chance” forselected village and township projects that have not been funded through theDistricts, and the $3 million Emergency Program is for those projects thataddress immediate health and safety threats and cannot wait for the normalannual funding cycle. For more information on these programs, please go to theOPWC website, www.pwc.state.oh.us.

Local Transportation ImprovementProgram

The Local TransportationImprovement Program was created by the legislature in 1989 and currently providesapproximately $52 million in gasoline tax receipts annually (the equivalent ofone cent per gallon). Since the use of such receipts is constitutionallylimited to roads and bridges only counties, cities, villages and townships mayapply for these funds. Applicants may apply for grants up to 100% of theproject cost.                                                                                                                                                 

If you have any questions or needadditional information, please call or e-mail the D6PWIC Liaison, Mr. Tim Yovaat 234-254-1503 or tyova@eastgatecog.org.