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25:18 <br />City Engineers Association of <br />Minnesota, Minnesota Chapter of <br />the American Public Works <br />Association and the League of <br />Minnesota Cities, Funding Street <br />Construction and Maintenance in <br />Minnesota's Cities. January 2003. <br />Minn. Const. art. XIV, § 5. <br />Minn. Stat. § 446A.085. <br />Minn. Stat. § 446A.085, subd. 15. <br />CHAPTER 25 <br />• Availability of other financing capability. <br />• Adequacy of provision for proper operation and maintenance after <br />construction. <br />As part of the standards or rules, Mn/DOT must, in consultation with local <br />road authorities, establish a minimum distance between any two bridges <br />that cross over the same river, stream, or waterway, so that only one of the <br />bridges is eligible for a grant. As appropriate, Mn/DOT may establish <br />exceptions from the minimum distance requirement or procedures for <br />obtaining a variance. Cities must apply for the money and win approval on <br />a project -by- project basis. Mn /DOT may make a grant to any city for <br />replacement or rehabilitation of a fracture - critical bridge. <br />State bridge bonds generally match or supplement other bridge repair and <br />replacement resources such as federal aid, county state aid (CSA) and MSA <br />allotments, and local property tax revenue. Bond funds are often the <br />catalyst that allows replacement or rehabilitation of a bridge. Historically, <br />bridge bonds provide 20 percent to 40 percent of a project's cost. <br />C. State highway user taxes <br />The Minnesota Constitution establishes the Highway User Tax Distribution <br />Fund (HUTDF). Revenue comes from the state motor fuel tax, or gas tax, <br />and vehicle registration fees. Nine percent of the revenue goes to the MSA <br />system, 62 percent to the trunk highway fund, and 29 percent to the CSA <br />highway fund. The state parcels out remaining funds to a number of <br />different transportation programs based on a legislatively determined <br />formula that changes no more than once every six years. Sometimes, but <br />not often, the state appropriates general fund dollars for specific local road <br />and bridge programs. <br />D. Transportation revolving loan fund <br />The state transportation revolving loan fund provides below- market <br />financing to local governments and Mn /DOT for transportation- related <br />projects. Mn /DOT also administers this program in conjunction with the <br />Public Facilities Authority (PFA). PFA may loan money to a city for <br />transportation infrastructure projects even if the city is not eligible for <br />federal or state financing. The loan must be repaid by the city from the <br />proceeds of special assessments, tax increments, or other local taxes, such <br />as sales taxes, lodging taxes, liquor taxes, admissions and recreation taxes, <br />and food and beverage taxes, authorized to be used for purposes of the <br />project. <br />This chapter last revised 12/1/2012 <br />LEAGUE OF MINNESOTA CITIES <br />