1. What is the purpose of this Notice? This Notice transmits the revised certificate of apportionment of Equity Bonus Program funds authorized for FY 2008 pursuant to Section 105(a) of Title 23, United States Code (U.S.C.). The apportionment is effective immediately.

2. Does this Notice cancel FHWA Notice 4510.661? Yes, this Notice cancels FHWA Notice 4510.661, Apportionment of Fiscal Year (FY) 2008 Equity Bonus Program Funds, dated October 1, 2007. The revisions to the apportionment are required pursuant to the terms of Division K, Title I of the Consolidated Appropriations Act, 2008, Pub. L. No. 110-161, which eliminate the percentage takedown from the amount authorized for the Equity Bonus Program to fund a portion of the contract authority for the National Highway Traffic Safety Administration Operations and Research Program. In addition, the revisions to the apportionment are required to reflect the correction of an error in the estimates of FY 2006 Highway Trust Fund contributions (the most current data upon which FY 2008 apportionments are based). United States Comptroller General Decision B-275490 (December 5, 1996) requires that incorrect apportionments be appropriately adjusted to ensure compliance with the statutory formula for apportioning Federal highway funds enacted by Congress. See also 41 Comp. Gen. 16 (1961).

3. What is the availability of these funds?

   1. The Equity Bonus Program funds resulting from this apportionment are available for obligation until September 30, 2011. Any amounts not obligated by the State on or before September 30, 2011, shall lapse.

   2. The funds resulting from this apportionment are subject to obligation controls in force at the time of obligation. Special obligation limitation will be provided with these funds. In addition, an amount of Equity Bonus Program funds is provided which is exempt from obligation controls.

   3. The Federal share for the funds programmatically distributed to other programs has the same Federal share as those programs. For the remainder of the funds ($2,639 million per year), the Federal share is determined under Section 120 of Title 23, U.S.C.; that is, the Federal share is generally 80 percent, subject to the sliding scale adjustment. When the funds are used for Interstate projects to add high occupancy vehicle or auxiliary lanes, but not other lanes, the Federal share shall be 90 percent, also subject to the sliding scale adjustment.

   4. Funds will be transferred from the apportionment (Table 1) to the State's 402 Safety Program from the programmatically distribution portion of the Equity Bonus Program which adjusts to the National Highway System, Surface Transportation, Interstate Maintenance and Congestion Mitigation and Air Quality Improvement programs for those States that failed to meet the provisions of Section 154 of Title 23, U.S.C., the Open Container Requirements (3 percent), and Section 164 of Title 23, U.S.C., the Minimum Penalties for Repeat Offenders (3 percent). Tables 2 and 3 illustrate the amounts to be transferred subject to a determination by the State under Sections 154(c)(5) and 164(b)(5), which allow the States to designate the funds to be transferred.

   5. Supplementary tables providing sub-allocation, appropriation codes, etc., will be issued in a separate Notice.

4. What action is required? Division Administrators should ensure that copies of this Notice are provided to the State departments of transportation.

J. Richard Capka Administrator

Attachments

CERTIFICATE OF APPORTIONMENT FROM
THE SUM OF $9,235,351,312
FOR THE EQUITY BONUS PROGRAM
FOR THE FISCAL YEAR ENDING SEPTEMBER 30, 2008

TO--

The Secretary of the Treasury of the United States and the State departments of transportation:

Pursuant to Section 9503 of the Internal Revenue Code of 1986, the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users, Title 23, United States Code, and the delegation of authority from the Secretary of Transportation to the Federal Highway Administrator in Section 1.48, Title 49, Code of Federal Regulations, I certify--

First, that the Secretary of the Treasury has made the estimate required by Section 9503(d) of the Internal Revenue Code of 1986, and based on that estimate, I have determined that the amount that can be apportioned for the Equity Bonus Program for the fiscal year ending September 30, 2008, pursuant to Section 1104 of the Safe, Accountable, Flexible, Efficient Transportation Equity Act: A Legacy for Users, is $9,235,351,312, which is 100 percent of the amount authorized to be made available from the Highway Trust Fund.

Second, that in compliance with Section 154 of Title 23, United States Code, the Open Container Requirements, 3 percent of the amount required to be apportioned to the States of Alaska, Arkansas, Connecticut, Delaware, Louisiana, Mississippi, Missouri, Tennessee, Virginia, West Virginia, and Wyoming will be transferred to the State's 402 Safety Program.

Third, that in compliance with Section 164 of Title 23, United States Code, the Minimum Penalties for Repeat Offenders for Driving While Intoxicated or Driving Under the Influence, 3 percent of the amount required to be apportioned to the States of Alaska, California, Louisiana, Minnesota, New Mexico, Ohio, Oregon, Rhode Island, South Dakota, Vermont, and Wyoming will be transferred to the State's 402 Safety Program.

Fourth, that after making the transfers, I have computed the apportionment to each State of the amount authorized to be appropriated for the Equity Bonus Program in the manner provided by law in accordance with the formula set forth.

Fifth, the sums that are hereby apportioned to each State effective immediately, are respectively as follows: