The Federal Funds Exchange is one of the funding sources outlined in the "2025-2034 Proposed CIP.pdf" for financing capital improvement projects. Below are the details extracted from the document, specifically from Page 4 and Page 9, which provide information about the Federal Funds Exchange program and its funding allocations for the Capital Improvement Plan (CIP).
Details of Federal Funds Exchange
Description (Page 4)
- Definition: The Federal Funds Exchange is a voluntary program that allows local agencies to trade all or part of their federal fund allocation in a specific federal fiscal year with the Kansas Department of Transportation (KDOT) in exchange for state transportation dollars.
- Purpose: This program provides local agencies with more flexible state funding instead of federal funds, which often come with stricter regulations and requirements.
- Guidelines Link: The document references a link to the official guidelines for the program:
https://www.ksdot.gov/Assets/wwwksdotorg/bureaus/burlocalProj/BLPDocuments/FFE/Fund%20Exchange%20Program%20Guidelines.pdf- Note: As of April 21, 2025, I cannot access the link directly to verify its contents, but it is intended to provide detailed program rules and eligibility criteria.
Funding Allocations (Page 9)
The Federal Funds Exchange funding for the 2025-2034 CIP is detailed in the "2025 - 2034 CIP Funding Source Summary" table, comparing the 2024 Adopted CIP and the 2025 Proposed CIP, along with variances. The amounts allocated for each year, the Capital Improvement Budget (CIB) totals (2025-2027), and the 10-year totals are as follows:
- 2025:
- 2024 Adopted CIP: $1,575,000
- 2025 Proposed CIP: $1,315,000
- Variance: ($260,000) (a decrease in funding compared to the 2024 plan)
- 2026:
- 2024 Adopted CIP: $1,675,000
- 2025 Proposed CIP: $1,317,000
- Variance: ($358,000) (a decrease in funding)
- 2027:
- 2024 Adopted CIP: $1,000,000
- 2025 Proposed CIP: $1,800,970
- Variance: $800,970 (an increase in funding)
- 2028:
- 2024 Adopted CIP: $1,000,000
- 2025 Proposed CIP: $1,000,000
- Variance: $0 (no change)
- 2029:
- 2024 Adopted CIP: $1,000,000
- 2025 Proposed CIP: $1,000,000
- Variance: $0 (no change)
- 2030-2034:
- 2024 Adopted CIP: $1,440,000
- 2025 Proposed CIP: $1,440,000
- Variance: $0 (no change)
- CIB Totals (2025-2027):
- 2024 Adopted CIP: $4,250,000
- 2025 Proposed CIP: $4,432,970
- Variance: $182,970 (an increase in funding for the first three years)
- 10-Year Totals (2025-2034):
- 2024 Adopted CIP: $7,690,000
- 2025 Proposed CIP: $7,872,970
- Variance: $182,970 (an overall increase in funding over the 10-year period)
Key Observations
- Funding Trends: The Federal Funds Exchange allocations in the 2025 Proposed CIP show a slight reduction in 2025 and 2026 compared to the 2024 Adopted CIP, but an increase in 2027. Funding remains stable at $1,000,000 annually for 2028 and 2029, and $1,440,000 for the 2030-2034 period.
- Overall Increase: The 10-year total for the 2025 Proposed CIP ($7,872,970) is $182,970 higher than the 2024 Adopted CIP ($7,690,000), primarily driven by the increase in 2027.
- CIB Focus: The CIB totals (covering 2025-2027) show a modest increase, indicating a slight prioritization of Federal Funds Exchange dollars in the first three years of the CIP.
Usage in CIP
- The document does not specify which individual projects are funded by the Federal Funds Exchange in the provided pages (up to Page 280). However, given the program's focus on transportation, these funds are likely allocated to Public Works Projects (Pages 123-147) or Citywide/Non-Citywide Fix Our Streets Half-Cent Sales Tax Programs (Pages 37-109), which include street, sidewalk, and other transportation-related improvements.
- Examples of potential projects include the 2025 ADA Sidewalk Ramp Program (Page 7), which involves infrastructure improvements, though its primary funding is listed as Fix Our Streets Sales Tax. Federal Funds Exchange dollars could supplement such projects if they involve transportation infrastructure.
Additional Notes
- Eligibility: To qualify for the Federal Funds Exchange, projects must align with KDOT's guidelines, typically involving transportation-related infrastructure (e.g., roads, bridges, sidewalks).
- Flexibility: The exchange program provides state dollars, which are less restrictive than federal funds, allowing the city to use them for a broader range of CIP projects within transportation categories.
- Limitations: The document does not provide a detailed breakdown of how Federal Funds Exchange dollars are allocated to specific projects or the exchange rate (e.g., how much state funding is received per federal dollar traded). For precise project allocations, further details from Pages 37-147 (project pages) would be needed, but these are not fully provided in the document excerpt.
- Variance Context: The reductions in 2025 and 2026 may reflect adjustments in project schedules or federal fund availability, while the increase in 2027 suggests a planned ramp-up in transportation-related projects.
Summary
The Federal Funds Exchange program is a flexible funding mechanism that allows the city to trade federal transportation funds for state dollars through KDOT. For the 2025-2034 CIP, it provides $7,872,970 over ten years, with allocations ranging from $1,315,000 (2025) to $1,800,970 (2027), and $1,440,000 for 2030-2034. The program supports transportation-related capital projects, likely within the Public Works or Fix Our Streets categories, though specific project allocations are not detailed in the provided pages. The 2025 Proposed CIP shows a net increase of $182,970 compared to the 2024 Adopted CIP, reflecting slight adjustments in funding priorities.
If you need further details, such as specific projects funded by Federal Funds Exchange (requiring analysis of Pages 37-147) or additional context about the program's implementation, please let me know, and I can provide a more targeted response or suggest next steps!
