Local Assistance Division

Urban Construction Initiative (First Cities)

Urban Construction Initative Fiscal Year 2008 Annual Report
Urban Construction Initative Fiscal Year 2007 Annual Report
Urban Construction Initative Fiscal Year 2006 Annual Report
What is the Urban Construction Initiative?
What are the benefits and realities of joining the initiative?
How does a municipality join the initiative
How is funding provided to the municipality?
What procedures/resources are in place to assist municipalities that participate in the initiative?
Our local partners perspective: what does it really means to be part of this initiative?
Related links
Urban Construction Initiative FY 2005 Annual Report

What is the Urban Construction Initiative?

The Urban Construction Initiative (also known as the First Cities Initiative) was established as the result of a modification to the Code of Virginia in 2003. Traditionally, cities identified construction projects, which VDOT would construct and the locality would then maintain. Over the past several years, increasing emphasis has been placed on local administration of construction projects. The Urban Construction Initiative moves local administration from the project level to the program level, providing municipalities with the opportunity to manage their entire construction program.

Three municipalities joined the initiative in the first year of the program (FY05): City of Hampton, City of Richmond, and City of Virginia Beach. The City of Charlottesville joined the initiative in FY06. The City of Harrisonburg and Town of Bridgewater joined the initiative in FY07. The City of Lynchburg joined the initiative in FY08. The Towns of Blacksburg and Dumfries joined the initiative in FY09. The Town of Leesburg and City of Colonial Heights have expressed intent to join in FY10.

What are the benefits and realities of joining the initiative?

The initiative places greater responsibility and control of the urban construction program in the hands of the local government. However, this includes the responsibility for meeting all federal and state legal/regulatory requirements, and CTB policy.

A summary of the benefits and realities of participating in the initiative has been prepared to help local governments evaluate their potential participation in the initiative.

Adobe Reader Benefits and realties of participation [ 87kb ]

How does a municipality join the initiative?

Section 33.1-23.3 of the Code of Virginia provides that a municipality may decide to assume the responsibility for their construction program by notifying the Commonwealth Transportation Board (CTB) by July 1, for implementation the following fiscal year. Municipalities should submit a letter of intent accompanied by a resolution adopted by their governing body to notify of their intent to join the initiative.

Adobe Reader Sample resolution of intent to join the initiative [ 41kb ]

Over the course of the year between submittal of the letter of intent and actual execution of the agreement, VDOT works with the municipalities to prepare them for taking over the construction program. This preparation includes training on federal and state requirements and the establishment of a “Local Project Team” to assist the locality as they move forward under the initiative.

The expression of intent does not bind the jurisdiction to join the initiative. A municipality formally assumes responsibility for their construction program by entering into a program-level administration agreement with the department. This agreement spells out the terms for a municipality to take advantage of this program. The agreement must be executed by July 1 of the fiscal year in which the municipality wishes to join the initiative.

Adobe Reader Sample program administration agreement [ 81kb ]

How is funding provided to the municipality?

Urban program allocations to the municipality are calculated and provided in the form of a quarterly payment. These payments are made no later than the 30th day of September, December, March and June and shall be reduced by the amount of federal-aid construction funds that are forecasted to be available for each municipality.

The quarterly payments are further reduced by the amount of funds forecasted to be expended by VDOT or the Department of Rail and Public Transportation (DRPT) for any prior projects requested by a municipality and administered by the Department(s). The federal funds are made available as a qualifying project is implemented. The projected amount of a municipality’s allocation that is federally funded is determined on a yearly basis.

The quarterly payments may be deposited in an interest bearing account by the municipality if they are not immediately needed for project expenses. Any interest accrued belongs to the municipality but must be used for transportation improvement purposes and has to be accounted for in the same manner as the quarterly payments.

What procedures/resources are in place to assist municipalities that participate in the initiative?

In coordination with participating municipalities, VDOT has developed guidelines to establish a common expectation and understanding of the program. The guidelines provide background information, direction, and requirements to those municipalities participating in this program. The guidelines are a “living document” that is revised on an annual basis and agreed upon by VDOT and participating municipalities. They have been developed by the Local Assistance Division, who should be contacted with program level questions or comments.

Adobe Reader Program Administration Guide [ 794kb ]

The Local Assistance Division also provides on-going program level support and coordination to the municipalities participating in the initiative. LAD coordinates quarterly meetings of the municipalities participating in the initiative. These meetings are generally conducted in July, October, January, and April. LAD also plans and prepares special workshops and training opportunities periodically throughout the year. Additional information regarding program events is available on our Events page.

VDOT’s Construction Districts are the primary contact for project implementation questions. Each district with municipalities participating in the initiative has established a local project team to provide support, technical assistance, and oversight of the project implementation process.

Our local partners perspective: what does it really means to be part of this initiative?

The following article was written by Fred Whitley, City Engineer for Hampton. It was published in the June 2006 edition of the APWA Reporter, the national publication of the American Public Works Association.

Adobe Reader Virginia's First Cities Initiative