PURPOSE: This rule contains procedures and provisions to provide financial assistance for eligible nonhighway transportation projects to any political subdivision of the state or to any other person or entity involved in transportation projects serving a public purpose.

1. (1) Definitions.

   1. (A) Commission. The Missouri Highways and Transportation Commission.
   2. (B) Department. The Missouri Department of Transportation.

2. (2) Eligibility.

   1. (A) Applicability. This rule applies to any political subdivision of Missouri or to any public or private not-for-profit organization or entity involved in transportation projects serving a public purpose other than highways as described in subsection (1)(B) of this rule.

   2. (B) Projects. The funds are to be allocated for the following:

      1. 1. Facilities for transportation by air,

water, rail or mass transit;

1. 2. Vehicles for the transportation of

elderly or handicapped persons; or

1. 3. Rolling stock for transit purposes.

2. (C) Costs.

   1. 1. Eligible costs. Applicants can

request monetary assistance in the planning, acquisition, development and construction of the projects described in subsection (1)(B) of this rule.

1. 2. Ineligible costs. No funds provided

by this section shall be used for the payment of the operating expenses of such transportation facilities or for the construction or maintenance of state highways.

1. (3) Financial Assistance Amounts. The total amount of funds available for eligible projects under this rule will be determined annually by the commission, subsequent to appropriations by the state legislature.

2. (4) Application Requirements for Financial Assistance.

   1. (A) An applicant shall submit completed applications on forms provided by the commission, including the required fee. Applications can be acquired from Missouri Department of Transportation, P.O. Box 270, Jefferson City, MO 65102.

   2. (B) Selection of projects for financial assistance requires both a pre-application and a final application.

      1. 1. The pre-application will serve as a

working document that permits department staff and the applicant to review and negotiate project scope and details prior to submission of a final application.

1. 2. The final application will request

precise project details and funding information that will be incorporated into the loan agreement.

1. (C) Pre-Application Cycle.

   1. 1. Pre-applications can be submitted at

any time, but must be initiated on a schedule that will permit the review process to be completed and a formal application submitted by the application closing date appropriate for the project time line.

1. 2. There is no fee for submission of a

pre-application.

1. 3. Acceptance, rejection, positive or

negative comments on a pre-application do not constitute formal rejection or approval of a final application by the commission.

1. (D) Final Application Cycle. Final applications shall be provided by the deadline established by the department to be eligible for evaluation and funding during the period to which the deadline applies.

2. (E) Unfunded Applications.

   1. 1. Refunds of application fees. Applica-

tion fees charged on applications that are not approved for funding will be retained by the commission. There are no refunds of application fees.

1. 2. Resubmittal of unfunded applica-

tions.

1. A. Applicants may resubmit an appli-

cation or a revised application during any subsequent application cycle.

1. B. There will be no fee for resubmis-

sion of an unrevised application.

1. C. Adjustments for inflation in pro-

ject costs/financing is not considered a revision.

1. (5) Application Review and Evaluation.

   1. (A) The department shall evaluate each proposal that is determined to be eligible and complete, using a department-established evaluation method. The department shall submit the applications in rank order to the Missouri Highways and Transportation Commission, up to the amount of funds available to finance applications.

   2. (B) The evaluation criteria shall include the following criteria:

      1. 1. Public benefit
      2. 2. Transportation need
      3. 3. Economic benefit
      4. 4. Financial feasibility 7 CSR 10-20
      5. 5. Noncommission financial contribu-

tion

1. 6. Timeliness of repayment.

1. (6) Loan Awards. All applicants will be notified of the outcome of the review process. Funded applications shall receive a letter of loan commitment, followed by a loan agreement upon loan closing. The loan agreement must be approved by the commission.
2. (7) Accountability. Upon approval of financial assistance through this rule, the following items will be addressed in the loan agreement: accounting practices; insurance; and inspections.

AUTHORITY: section 226.191, RSMo (Cum. Supp. 1996).* Emergency rule filed July 14, 1997, effective July 24, 1997, expired Feb. 26, 1998. Original rule filed July 14, 1997, effective Jan. 30, 1998. *Original authority 1996.