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Q & A: #1109-2
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Question 1109-2: Under Section 3 of the Surface Transportation Extension Act (STEA, P.L. 105-130) enacted on December 1, 1997, States were allowed to temporarily transfer Highway Bridge Replacement and Rehabilitation Program (HBRRP) funds to other categories. As required by Section 3, transferred funds have been restored to the HBRRP category now that TEA-21 has passed. Does this kind of a transfer affect the ability of the State to receive Bridge Discretionary funds since the transfer was essentially a temporary loan?

Answer: This type of temporary transfer does not affect the ability of a State to receive discretionary bridge funds. According to the November 3, 1992 administrative policy memorandum from Federal Highway Administration's Office of Engineering, State DOTs that have transferred HBRRP funds in the preceding fiscal year are not eligible to request Bridge Discretionary funds during the current year. This policy was intended to address the concern for funds being transferred out of the HBRRP and Interstate System program categories while there were significant identified needs in those program areas. It was not intended to be applied to temporary transfers under Section 3 of STEA. [August 4, 1998]

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