Urban-Rural Initiative Program (URIP)

Fiscal Year 09 (July1, 2008 thru June 30, 2009)

• Annual Certifications were mailed out July 22 and 23, 2008.
• Due to problems beyond our control, information was not available until the later part of July to calculate FY09 allocation of funds for the program. Certification forms should be returned as soon as possible so neccessary work can be done to process the Sept.1st payment. Make sure both sides of the form are completed, because incomplete forms will be returned.
• At this time, MaineDOT is estimating a supplemental reduction of approximately $1.2 Million to the URIP program as the result of anticipated highway fund revenue reductions and other budget adjustments. If this happens, your 4th quarter URIP payment in June 2009 may be reduced.  Some towns will see no reduction as they are near or at the FY 99 “hold harmless” amount and others will see reductions up to several thousands of dollars.  The actual amount of reduction will not be known until the Legislature finalizes the FY2009 supplemental budget in the Spring. We have made preliminary estimates and if you’re interested in your reduction, if any, please contact us at 1-800-498-9133 or email: fred.hutchinson@maine.gov or peter.coughlan@maine.gov

1. FY-09, FY-08, FY-07 and FY-06 Payments to Municipalities, Counties and Indian Reservations (pdf file)
2. Rates per Lane-mile table.
3. Graphical summary of rates for urban & rural towns  (pdf file).
4. History of Total Payments (pdf file).
5. Law Changes in 2002
6. Municipalities requesting verification of the funds received from the Urban-Rural Initiative Program for Audits should be in writing to, Fred Hutchinson at the Bureau of Planning, Community Services Division, 16 State House Station , Augusta Maine 04333-0016.

New Electronic Fund Transfer is now available for URIP payments

MaineDOT has recently created a new program for processing the Urban-Rural Initiative Program’s quarterly payments. We can now electronically transfer payments to your municipality’s financial intuition instead of receiving a paper check in the mail.
Currently there are 75 municipalities (of 501) taking advantage of this speedy and secure service. With electronic fund transfers (EFT) your quarterly payment is transferred to your account and there is: earlier deposit in your account, no waiting for the mail, no misplaced or lost checks and no trip to the bank to deposit the check.
How to Sign Up
If you are interested in Electronic Fund Transfer, you can contact the Office of the Controller for the State of Maine at 626-8420 or visit their web site at http://inet.state.me.us/osc/accounting/eft.htm. On the web site click on Office Units, then click on Accounting, then Electronic Funds Transfer. Here you can print out the EFT Form Activation. Once the Office of the Controller has received your completed and signed Electronic Fund Agreement, the process will take 5 working days after entry in the system. If a municipality chooses Electronic Fund Transfer of funds all State programs participating in the Electronic Fund Transfer program will have that program’s funds paid electronically also.
If a municipality decides this system does not meet their needs it has the option to deactivate the electronic funds transfer program by completing the Deactivation EFT form on the web site.
Also ask about the Paymode-Link Clareon if more information with the payment is desired then what is furnished by regular EFT.

On July 1, 1999 the Urban-Rural Initiative Program (URIP) replaced the Local Road Assistance Program (LRAP).

This initiative shifted the focus of municipal highway aid toward capital improvements. Prior to 1999 the use of these "local road" funds was only for the "maintenance or improvement of public roads". Now these funds must be used  for capital improvements to local roads and/or rural State Aid/Minor Collector projects under the { Rural Road Initiatve (RRI)}. The Rural Initiative Program provides a voluntary partnership opportunity for the state and municipalities to reconstruct State Aid Minor/Collector highways. The only exception relates to state "State Urban Compact Municipalities as explained below.

Highlights of the"Urban-Rural Initiative Program"

No town will receive any less money than the FY-99 (July 1, 1998 to June 30, 1999) Local Road Assistance Program (LRAP) allocation.

No municipal or state maintenance responsibilities will change, unless specifically required.

All funds received after July 1, 2000 MUST be spent on "capital improvements" to local roads and/or rural State Aid minor collectors. The only exception is that urban compact towns have the option to spend the funds on capital or maintenance needs on any public road within the state Compact area of that municipality.

A "capital improvement" is defined as work on a road or bridge that has a life expectancy of at least 10 years or restores the load-carrying capacity.

All State Aid "minor collector" roads will only be repaired as a capital improvement if the town and the MaineDOT agree to jointly fund the project (1/3 town and 2/3 MaineDOT) as part of an RRI project. Otherwise, any State Aid/minor collector road will receive minimal MaineDOT maintenance. All qualifying Towns were initially mailed a capital improvement package from the ManeDOT commissioner in August 1999 and should have responded to it. The most recent mailing was winter of 2005, two previous mailings were done in early 2002, and again in late 2003.

Base funding rates per lane mile before any administrative adjustments to reflect revenue available.

Rural Towns: 

• $600 per lane-mile for townways
• $600 per lane-mile for State Aid/minor collectors
• $300 per lane-mile for seasonal townways

Urban Compact Municipalities:

1) within urban compact areas

• $2,500 per lane-mile for summer maintenance of State Highway and State Aid highways
• $1,250 per additional lane-mile for summer maintenance of State Highway and State Aid highways
• $1,700 per lane-mile for winter maintenance of State Highways only
• $0 per lane -mile for town ways

2) outside urban compact areas

• same rates as "rural towns"

Beginning in July, 2001, annual funding to municipalities "floats" with the incoming revenues, rather than be a fixed amount. If Highway Fund revenues are up, then the rates-per-mile will increase and vice versa.... but never lower than the FY 99 payments.

Urban-Rural Initiative Program Annual certification forms are sent out by Community Services Division around July 1 and need to be returned by August 1st of each year. The certification form provides an estimate of funds the town is eligible to receive for the fiscal year. No funds can be sent until that completed annual certification form is received by MaineDOT's Community Services Division.

  This page last updated 07/25/08