P.O. Box 1234
Montpelier, Vermont
05601

802.279.7545

info@vtbikeped.org

A SHORT GUIDE TO
BICYCLE & PEDESTRIAN FUNDING
IN VERMONT

Bicycle & Pedestrian funding in perspective:

  • Bicycle & Pedestrian funding represents approximately 2.2% of Vermont’s transportation spending.
  • Vermont leads the nation; we are second in bicycle & pedestrian funding, per-capita.
  • According to the U.S. Census, nearly 6% of Vermonters commute to work by walking or bicycling.
  • Bicyclists & pedestrians typically account for between 7-10% of Vermont’s traffic fatalities each year.
  • According to the 2002 VTrans Long Range Transportation Plan, 27% of Vermonters drive 1-10 miles per day. Some of these short distance trips could potentially be converted to bicycle or walking trips.
  • The VTrans Long Range Transportation Plan also indicated that 78% of Vermonters support spending the same or greater share of funds on Bicycle & Pedestrian Paths compared to past expenditures.

In summary, Bicycle & Pedestrian funding in Vermont is better than other parts of the country, but still does not reflect its popularity or its practice.

Federal Funds usually pay 80% of transportation projects:

Federal funds are administered by the VT Agency of Transportation (aka VTrans), and is matched usually by 10% state funds and 10% local/municipal funds. Federal bill names change every 6 years. You've probably heard of ISTEA or TEA-21, which both included significant bike/ped funding:

1991-1997: ISTEA = Intermodal Surface Transportation Efficiency Act
1998-2003: TEA-21 = Transportation Equity Act for the 21st Century

currently being considered by Congress

2004-2009: TEA-3 (current name; a new bill name may emerge soon)

Three programs are particularly relevant to bike/ped:

  1. Transportation Enhancements program is a dedicated fund equivalent to at least 10% of the Surface Transportation Program (STP), over the life of the 6-year federal funding bill. Vermont has already spent the 10% required under TEA-21. Governor Douglas put this program under a moratorium in 2003 but was restored in 2004, thanks to the support of Vermont state Senators.
  2. Bike/Ped Program in Vermont uses additional STP funds for dedicated bike/ped projects. Funds are used for both construction and feasibility/engineering. This is not federally-mandated, but represents Vermont’s long-standing commitment. Goernor Douglas put this program under a moratorium in 2003 & 2004, but was restored in FY 2005, thanks to the support of Vermont state Senators.
  3. Planning money (80% federal, 20% state) pays for project such as bicycle/pedestrian planning, the new bike/ped design manual, and personnel costs, including federally-mandated bike/ped coordinator.

Process and decisions for transportation funding:

The funding for each of the matching sources has a slightly different decision-making process.

FEDERAL FUNDS:

  1. Congress authorizes the federal funds every 6 years (TEA-bills as above). This includes a funding formula that adjusts as the revenues from federal gas tax go up and down.
  2. Each year, the state develops a 3-year transportation budget, called the State Transportation Improvement Plan (STIP). This is developed by the Regional Planning Commissions and Chittenden Co. Metropolitan Planning Organization submitting specific projects for funding. It is administratively consolidated by VTrans, and then submitted to Federal Highway for approval.
  3. Our Congressional delegation periodically obtains extra funds called "earmarks" for transportation and other projects – these are over and above the regular funding.

STATE FUNDS:

  1. VTrans develops recommendations for the Governor's budget, which then goes to the legislature. This is 10-20% state match for federal funds.
  2. Legislature must modify and pass the Transportation budget. Most revenue is from state gas taxes. Transportation is approx. 7% of Vermont's total budget, approx. $160 m per year in state funds.
  3. State appropriations include specific project lists for major projects, and funds programs to be administered by VTrans. Bike/Ped and Enhancements are both included as lump sums to be administered through a VTrans grant program. Other categories, like paving, are also passed as lump-sum programs.

LOCAL FUNDS:

  1. Your local selectboard, town/city council, or aldermen approve local funds to be expended as part of state match, usually on a project-specific basis.
  2. Town roads may be maintained and built with town funds, only, or may apply to state for assistance. This is also true with bicycle/pedestrian projects. The Stowe Bike Path was built with town funds (pre-ISTEA), and some towns build sidewalks with town funds, only. However, many towns apply to Bike/Ped or Enhancements in order to put federal funds toward such projects.

Here's a list of Enhancements Projects that the Agency of Transportation
solicited last fall for a competitive grant process. The projects have been
reviewed, but no projects have been selected for funding.

2003 Enhancement Applications