1. Monday, May 13 Radisson Hotel Bismarck 1

2. ► Challenges ► Federal Funding ► State Funding – Legislative Session ► Historic Construction Program ► County and Township Safety Program 2

3.  Increases in traffic:  Increased traffic volumes (particularly heavy trucks), accelerated the deterioration of county, township, tribal roads and state highways in the oil impact areas.  From 2010-2012 North Dakota saw a 22% increase in traffic statewide, and a 53% increase in traffic in western N.D. on all state highways.  I-94 near Fargo averaged 68,000 vehicles a day in 2012.  US 85 west of Watford City averaged 11,051 vehicles a day in 2012 compared to 2,322 in 2006. 3 Interstate 94 Traffic near Fargo

4. 4 ND Highway 1806 on September 2, 2010 ND Highway 1806 on April 28, 2011-After 7 months of traffic

5. Map 21 is a two-year bill signed into law July 6, 2012. The bill states North Dakota has an apportionment of:  $240.5 million in 2012 and 2013.  $242.5 million in 2014. We were notified in April that North Dakota will receive approximately $229.3 million in obligational authority for 2013. Over the past five years, DOT received an average of approximately $245 million in obligational authority a year. 5

6. Historical o $23.4 million (Includes bridges) Map 21-2013 o $19.83 Million (Includes bridges) 6

7. Uncertainty of Federal Funding 7

8. The State Legislature recently appropriated about $2.3 billion to rebuild and repair state highways, city, county and township roads, bypass routes and other infrastructure upgrades in every region of the state. The funding includes: About $1.64 billion for highway improvement projects throughout the state. $617 million for city, county and township roads. 8

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11. The passage of SB 2176, made some of the funding contained in SB 2012 available early. $620 million for state highway projects. $100 million was appropriated to 39 non-oil producing counties for transportation projects. 11

12. Funding West Region ($ Millions) Central and East Regions ($ Millions) Total ($ Millions) State Funds for State Highways - SB 2012/SB 2176 $1,161.6 M---$1,161.6 M STIP (2013 -2014) - SB 2012 (Fed funds, state & local match) $148.8 M$450.0 M$598.8 M ER Carryover (from 2011-2013 biennium) – SB 2012 $31.1 M$77.0 M$108.1 M State Funds Non-Oil Producing Counties - SB 2176 $100.0 M State Funds Non-Oil Producing Counties - HB 1358 $120.0 M State Funds Oil Producing Counties - HB 1358 $160.0 M---$160.0 M State Funds Oil Impact Township Roads - HB 1358 $8.8 M---$8.8 M Total 2013- 2015 Biennium $1,510.3 M$747.0 M$2,257.3 M NDDOT Funding for 2013 – 2015 BIENNIUM (SB 2012, SB 2176, HB 1358) Eastern and western roadway investments using state and federal funding. Includes construction, right of way, engineering and utilities costs. 12

13. 13 SECTION 5. APPROPRIATION: $160 million to the counties identified which received $5,000,000 or more of allocations from section 57-51-15 in state fiscal year ending June 2013. It appears this funding will be for 9 counties. Funding allocations to counties are to be made by DOT based on data supplied by the Upper Great Plains Transportation Institute (UGPTI). These funds are available July 1, 2013. SECTION 6. APPROPRIATION: $120 million to the DOT for the counties that did not receive $5 million or more of allocations from section 57-51-15 in state fiscal year ending June 2013. We anticipate 44 counties being eligible for this funding. Distribution to counties must be based on the miles of roads defined as county major collector roadways in each county. These funds are not available until Feb 1, 2014.

14. 14 Must be used to on projects rehabilitate or reconstruct county paved and unpaved roads and bridges needed to support economic activity in North Dakota. Use data supplied by the upper great plains transportation institute in determining the projects to receive funding. Criteria will be developed by the DOT. Projects must comply with the American Association of State Highway Transportation Officials (AASHTO) pavement design procedures and DOT local government requirements. Upon completion of major reconstruction projects, the roadway segment must be posted at a legal load limit of 105,500 pounds. Funds may not be used for routine maintenance.

15. 15 The funding appropriated in this section may be used for: Ninety percent of the cost of the approved projects not to exceed the funding available for that county. Funding may be used for construction, engineering, and plan development costs. Upon approval of the plan, the DOT shall transfer the approved funding to the county for engineering and plan development costs. Upon execution of a construction contract by the county, the DOT shall transfer to the county the approved funding to be distributed for county and township rehabilitation and reconstruction projects. Recipient counties shall report to the DOT upon awarding of each contract and upon completion of each project in a manner prescribed by the department. Funding may be applied to engineering, design, and construction costs incurred on related projects as of January 1, 2013.

16. 16 SECTION 7. APPROPRIATION $8.8 million may be necessary, to the state treasurer for distribution to counties for allocation to or for the benefit of townships in oil-producing counties, for the biennium beginning July 1, 2013, and ending June 30, 2015. The funding must be distributed in equal amounts in July 2013 and May 2014. County treasurer shall allocate the funds through a distribution of $15,000 each year to each organized township and a distribution of $15,000 each year for each unorganized township to the county in which the unorganized township is located. A township is not eligible for an allocation of funds under this section if the township does not maintain any township roads. For the purposes of this section, an "oil-producing county” means a county that received an allocation of funding of more than $500,000 but less than $5 million in the state fiscal year ending June 30, 2013.

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18. 18 NDDOT will define regions within ND to effectively work with all counties. The Regions are based on known pre-existing working relationships. NDDOT may hold meetings with more than one region at a time. They are identified as follows: o North Oil Region – Bottineau, Burke, Divide, McHenry, McLean, Mountrail, Renville, Ward, & Williams o South Oil Region – Billings, Bowman, Dunn, Golden Valley, McKenzie, Mercer, Slope, & Stark o NE Region – Benson, Cavalier, Eddy, Nelson, Pierce, Pembina, Ramsey, Rolette, Towner, & Walsh

19. 19 o SE Region – Dickey, LaMoure, Ransom, Richland, & Sargent o East Central Region – Barnes, Cass, Grand Forks, Griggs, Steele, Stutsman, & Traill o Central Dakota Region – Emmons, Foster, Kidder, Logan, McIntosh, & Wells o SW Central Region – Adams, Burleigh, Grant, Hettinger, Oliver, Morton, Sheridan, & Sioux

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21. $249 M $275 M $319 M $410 M $590 M $550 M $878 M Working with our partners – county, city, township and tribal agencies - the Department will deliver the largest road construction program in state history, over $878 million in projects during 2013. Historic Road Program launched to meet state transportation needs 21

22. 22 2013 Construction Projects bid through April 2013 Construction Program (All total costs in thousands) All Projects Federal Funded Projects State Funded Projects Bid OpeningTotal Cost # of ProjectsTotal Cost # of ProjectsTotal Cost # of Projects 11/16/2012$109,28857$109,28857$00 2/15/2013$72,27650$42,44042$29,8368 3/15/2013$76,03542$39,96440$36,0702 3/22/2013$107,5384$00$107,5384 4/5/2013$49,56421$10,45011$39,11410 4/19/2013$95,32448$48,31844$47,0064 4/26/2013$28,3995$4,1073$30,4802 TOTALS$538,423227$254,567197$283,85630 None of the projects identified or bid in February – June could have been bid if it weren’t for SB 2176 being passed early in the session. A portion of the funding is utilized for engineering and purchasing right of way for projects.

23. 2013 Construction Projects 23

24. Legislation on truck sizes and weight ► SB 2025 – Overweight fines go to jurisdiction that oversees the roadway. ► HB 1124 - allows permits to be accepted in both printed or electronic format. 24

25. The NDDOT is concerned about safety on all roadways including state highways, county and local roadways. The North Dakota Department of Transportation (NDDOT) launched a new safety program for county and township roads. This new program will enable us to provide additional safety measures on rural roads. Fifty-two percent of the state’s traffic fatalities occurred in western North Dakota last year (2012) and of that amount nearly 40% of the traffic fatalities occurred on county and local roadways. 25

26. 26 In 2012 there were 170 fatalities, compared to 148 in 2011 Rate so far this year:  *32 Fatalities as of April 28, 2013 (*reported so far this year)  40 Fatalities as of April 28, 2012 ► Traffic fatalities in 2012:  50% alcohol related  66% unrestrained (no seat belts)  29% speed related

27. 27 Upper Great Plains Transportation Institute has detailed information on county traffic crashes. A report for each county can be found on their website: http://www.ugpti.org/rtssc/resources/crash_facts/

28. Questions? 28