Commissioners look for savings in funding program fees

County commissioners are scratching their heads about how to pay for the replacement of two bridges deemed structurally critical, as well as how to save money while participating in the state’s Federal Funds Exchange Program.

The discussion took place Tuesday when Public Works Director Jim Harris presented commissioners with a contract with Schwab Eaton, an engineering firm that has conducted the county’s bridge inspections for several years, and the agreement to participate in the Federal Funds Program.

Federal Funds Exchange revenue

Discussion on an increase for administrative fees for Federal Funds Exchange dollars led to the commissioners asking if money could be saved by having another entity manage those funds.

The money is federal funds administered through the Kansas Department of Transportation and distributed to participating entities for transportation-related projects.

Harris said KDOT has increased its administration fees for the funds from 15 percent to 25 percent in 2018. In 2017, the county received $167,000 before the administration fee was deducted, Harris said.

Harris said the funds can be spent in any manner the county wants for road-related projects, but there is criteria to be followed. Harris said he keeps track of how much and where gravel is laid on county roads as part of his 90-day report submitted to the state. The cost of blasting to obtain that rock can also qualify for federal funds, Harris said.

Commission Chairman Lynne Oharah said he understands from a state legislator’s email, who he did not name, “this is just a service they (KDOT) will provide to us and they really don’t have to do it.”

Oharah later said the county was notified in the fall of the increase in administrative fees.

“This is just my feeling, if you turned all of these entities loose in the state to call the federal exchange, it would be a nightmare.”

Oharah said he would like County Counselor Justin Meeks to contact the Kansas Association of Counties to see if the funds could be administered through that association.