Last Updated on October 29, 2024 1:27 pm
ALEIGH – North Carolina municipalities recently received word they would be receiving a share of the state transportation fund primarily used to resurface streets.
Then, they received more good news – the money can be used to cover eligible transportation costs related to Hurricane Helene recovery.
On Sept. 25, the N.C. Department of Transportation distributed half of this year’s $186 million from the State Street Aid to Municipalities, known as Powell Bill funds, to 508 North Carolina municipalities. The other half of the money will be distributed by Jan. 1.
Of this year’s recipients, 134 municipalities are in the areas of Western North Carolina hit hardest by Helene on Sept. 26-27.
“We distribute the Powell Bill funds every year about this time to help cities and towns resurface streets and make other necessary transportation improvements,” said Joey Hopkins, secretary of the N.C. Department of Transportation. “But a lot of folks are surprised to learn they can use the Powell Bill money for road and bridge repairs and other recovery efforts associated with natural disasters like Helene.”
NCDOT staff sent an email earlier this month to inform this year's Powell Bill recipients of the ways the money can be used on Helene-related costs. The email included a link to the Powell Bill expenditure guidance that can be found on the Powell Bill website. In addition to repairing municipal streets impacted by the storm, participating municipalities can use Powell Bill funds to remove Helene-related debris from municipally maintained, qualified Powell Bill program streets, said Molly Stevens, NCDOT Powell Bill Program coordinator.
It’s likely to cost several billion dollars to rebuild transportation infrastructure damaged during Helene, according to the NCDOT’s initial estimates.
Powell Bill funds are used primarily to resurface municipal streets. They can also be used to maintain, repair, construct or widen streets, bridges and drainage areas within the corporate limits. Municipalities can also use the funds to plan, construct and maintain bike paths, greenways or sidewalks. The participating municipalities attest each year that they are qualified to participate in the Powell Bill program.
Funding for the Powell Bill comes from revenues generated by the gas tax and other highway user fees.
The amount each municipality receives is based on a formula set by the N.C. General Assembly, with 75 percent of the funds based on population, and 25 percent based on the number of locally maintained street miles.
The fund is named for Junius K. Powell, a former state senator and mayor of Whiteville. Powell was the primary sponsor of the 1951 bill that helped the state's cities with urban road problems. The first allocation of Powell Bill funds was for $4.5 million and was distributed to 386 cities and towns.
The complete list of towns, villages and cities that qualify for and participate in the Powell Bill program can be found on the NCDOT website.
