Appendix D:TIP Financial Plan.



The joint FTA/FHWA Planning regulations identify three primary purposes of the financial plan for Transportation Improvement Programs:

To demonstrate how the TIP, if approved, will be implemented;

To identify resources from public & private sources that are reasonably expected to be made available to carry out the TIP; and

To recommend additional financing strategies to carry out needed projects and programs.

To demonstrate is to show or to prove by illustration and explanation. This financial plan represents an attempt to identify and document the full cost of operating, maintaining, and improving the entire transportation system in the three counties encompassing northwest Indiana.

Summary. The transportation network in the three-county area consists of approximately 5,900 miles of roadways of all classifications, 10 public transit systems, and many bicycle and pedestrian facilities. Local funding is the primary source of funding for the routine operation and maintenance of the system. With the exception of transit, where federal funds are used to offset some of the operating costs, federal funds are used almost exclusively for transportation system improvements only.

Between the years 2016 and 2019, taxpayers will provide, and INDOT and local units of government will spend about $1.57 billion to maintain and improve the region's surface transportation system. We estimate that of this total, about 33% ($514 million) will be spent on (non-federal) maintenance and operations activities. The remaining 67% ($1.06 billion) will be spent on capital improvements of all types, including highway/transit preservation and maintenance projects, and highway capacity expansion.


Projected Transportation Investments: 2016-2019 Type


$ 33,907,111

$ 135,628,444





22 ,028,385


Total Operations & Maintenance

$ 128,514,797

$ 514,059,188

Capital lnvest ments--Federal & Non-Federal Funds










Total Capital Investments

$ 264,289,479

$ 1,057,157,917



IGrand Total I s 392,804,276 Is 1,511,211,105 I

Local Data Sources. The source of the financial data for Local Public Agencies (LPA's) is from annual financial reports filed with and maintained by the Indiana State Board of Accounts (SBOA). These data were accessed using Indiana's Gateway for Government Units (Gateway), located at http://www. rces/repo rts/a udit/.

Adequacy of Funding for the Existing Transportation Network. The region's public transit operators appear to possess adequate financial capacity to successfully deliver service over the next four years. The routine maintenance of existing local highway infrastructure is typically funded with revenues from those state and local sources permitted by the Indiana General Assembly. These funds are considered to be marginally adequate for maintaining the local highway infrastructure in its current condition with funding for local highway reconstruction, rehabilitation and expansion historically provided from limited state and federal sources. The maintenance of designated Interstate, national and state highways is the jurisdiction of the Indiana Department ofTransportation (INDOT).

State Sources of Revenue

Operations & Maintenance. Resources for operations and maintenance costs for the existing INDOT highway network were most recently quantified in their new 2014-2017 Statewide Transportation Improvement Program (STIP). The Indiana General Assembly appropriates funds into four expense categories for routine operations and maintenance in the state's biennial budget. Projected expenses for this four-year period and an annual average are shown following:

Projected INDOT Investments for Highway Operations and Maintenance 2016-2019


2016-2019 Tota I


Average Per Yea r (Statewide)

Average per Vea r (Region)

2016-2019 Tota I


Total Highway Operations & Maintenance

$ 1,654,005,407

$ 413,501,352

$ 33,907,111

$ 135,628,443

The portion of INDOT's operations and maintenance expense attributable to Northwest Indiana are estimated. These estimates are based on the percentage of INDOT system miles that are located in Lake, Porter, and LaPorte Counties. Our most recent data (from 2005) indicates that about 8.2% of all INDOT road miles are within the region.

Actual projected highway construction and reconstruction project costs for the four year period from the 2016-2019 STIP are shown following:


Projected INDOT Investments for Highway Construction 2016-2019

Average Per Yea r INDOT Projects in Average Per Yea r

Fund 2016-2019 Total

(Statewide) TIP (Region)

Highway Construction--State Funds $ 3,034,050,000 $ 758,512,500 $ 71,980,397 $ 17,995,099

Highway Construction--Federal Funds $ 2,808,000,000 $ 702,000,000 $ 363,090,538 $ 90,772,635

Subtotal Highway Construction $ 5,842,050,000 $ 1,460,512,500 $ 435,070,935 $ 108,767,734

Local Sources of Revenue- Highways

Routine maintenance, operations and improvements of existing local road and highway infrastructure is typically funded with revenues from local sources. Under Indiana law, the following accounts serve as the basic local sources of revenue for highway, road and street work:

Actual revenue and expense data for the region's 44 Local Public Agencies for calendar year 2013 were downloaded from Indiana State Board of Account's Gateway website and is displayed in the following table. Indiana requires all funds to balance out at the end of each calendar year-in instances where expenses in a fund exceeded revenue, revenue from other (un-named) funds was transferred into the fund (as an "Expense Transfer"). For purposes of the TIP, revenues and expenses have been flat-lined at 2013 levels. The principal source of funds for local road and street construction and maintenance operations comes from the Motor Vehicle Highway (MVH) and Local Road and Street (LRS) Accounts.

Motor Vehicle Highway (MVH}

This accounts for the construction and maintenance of streets, alleys and the operations of street maintenance activities of the public works department. Resources are derived from state motor vehicle (gasoline tax) distributions. It also includes the purchase of materials, labor and/or equipment required in the maintenance and construction of roads and bridges.

Local Road and Street (LRS}

This accounts for the operation and maintenance of the local and county road and street systems. Resources are derived from state gasoline tax distributions. These funds are used for engineering, construction or reconstruction of roads, streets or bridges.

Cumulative Capital Improvement Funds (CCI)

The money from this fund may be used for road construction or improvement, acquisition of land or right-of-way for streets, roads, alleys, sidewalks, thoroughfares and maintenance. This fund is collected from the state cigarette tax.

Cumulative Capital Development Funds (CCD)

This fund provides money for any purpose for which property taxes may be imposed.

Cumulative Bridge Fund (Cum Bridge)

This source of revenue provides funds for the cost of construction, maintenance, and repair of county highway bridges, approaches, and grade separations. County Commissioners may levy a tax in compliance with IC 6-1.1-41 in assessed valuation of all taxable personal and real property within the county. LaPorte County also maintains a "High Cost" Bridge fund.

Expense Transfers from General Fund and Other Sources

Indiana law requires all funds to be balanced at the end of the year. When over-spending has occurred in one or more accounts, a transfer of funds from another account is made so that the account will balance (i.e., expenses will equal revenues).

Local Financial Summary. The 2013 data shows revenue at about $81 million for the year versus $72.6 million in expenses. For the period of the TIP {2016-2019), we project revenue of about $324 million and expenses of about $290 million. From this we can only conclude that there will likely be sufficient local

financial resources to maintain the current rate of expenditure. The table below and on the following page show the baseline 2013 data.


Highway Operations and Maintenance: Baseline Annual Financial Data by Fund for Counties and Municipalities Base Year: 2013

MVH IHighway) LR5 CCI CCD Cum Bridge Expense

(For 20121 R<>el!ipt DisbutsHJTIIMl t Recei pt Recei pl DLlb1>r$1lf11ent R&•IPl Disbursement Recei pl Disbursement Tra nsfers

Lake Count y $ 4,999,855 s 4,941,171 $ 810,130 $ 762,641 _$


$ 9,483,240 $ 8,327,811 s J,002,973 s I,54:?.82S $

Ceda r La ke '138,523 309,514 125,715 104,380 30,661 35,181 181,993 2°89,707 61,890

Crown Point 2.495,320 2,096,123 363,629 357,587 76,041 163,359 716,174 1,624,885 . 590,790

Dyer 4'37 ,357 3S2.35 A 158,293 158,355 60,135 - 344,928 559,891 99,887

!",E C 818,242- 8. 24 i.70. 73 300.749 7_8,7.J.?

.9. .1,34 . . 46 925

Ga ry 2,403,M I l,1&'3,087 976,258 1,391,271 213,300 242,183 358,972 73,367 J7,937

Griffith 759,GSl 757,128 163,463 125,061 52,036 16,203 . - -

Hammond 2,olZ,lBB 3,471,251 781.255 991,633 214,382 399,469 218,629 12,562 l.O Mo l

Highla nd %0,418 92-1,BS 294,961 358,204 71,474 68,102 623,060 362,819 - -

Hoba rt l2_lJ,092_ _ 1 5,_4_'!3_ 317,529


77,071 825,232 l,139,899 - - -

L;i ke Station 731,304 65 1,23 8 147,575 258,538 33,34 5 74,951 . - 72,5

Lowel l 952,482 1165,283 88,Ml 61,035 24,603 26,217 141,373 . - -

Merri l lvil le 915,507 88,029 3G9,!22 379,686 4 38,482 369,939 647,565 188,194

Munster 2,?53,, 3_24 '6A,G6S 251,231 67,751 121,888 283,2.51 252,7'4S. -

New Chicago 58,759 72,272 25,SBS 6;497 5,398 12,705 - 1,732

5LJohn GOS,144 S 0,294 166,691 llS,S09 39,387 17,467 157,605 261,883

Schererville 1,2&8, 53 1,064,690 7.83,097· 218,858 77,559 69,318 700,441 761,080 .

Schneider 22,324 15137 1 !i,175 31144 735 2,433 - . . . .

Whiti ng 136,727 75,397 45,490 59,162 13,254 .

Wi nfield 348 582 298,232 58,782 27,865 11,625 11,571 125,056 93,535

Total $23,835, }D1401 12 .i..2.J l8,232 $ 5,934,406 $ 1,586,006 $ 1,730,120 $ 14,807,519 $ 13,948,381 $ 3,002,973 $ 1,545,825 $ 1,940,125

- MVH (Highway) LR5 CCI CCD Cum llrldBe Expense

(For 2012) Rocel pt Disbursement Recei pt Disbursement Receipt Disbursement Recei pt Disbursement Receipt Disbursement Tra nsfers

Porter Count v $ 3,476,776 $ 4,130,821 $ 963,166 $ 562,317 $ $ - $ 1,706,527 $ 2,129,918 $ 640,789 $ 1,106,752 IJ__]_,

si:verl'(Sh s -

106,041 91,801 l!>,683 27,588 1,626 614 10,574 -


Burns Harbor 152,420 48,995 15,960 1,600 3,066 - 32,438 84,810

. .

Chesterton 861,508 942,542 Bl,350 70,775 34,670 Z70,731 1!16,887

Dune Acres 5,934 36,470 5_605 8,594 615 1,012 9,840 11,406 35,488

Hebron 99,715 96,918 35,419 43,568 9,877 15,256 25,345 32,331 17,707

Kouts 89,647 76,082 1.9,665 20,227 4,984 3,088 5,779 8,953

Ogden Dunes 198,591 178,888 18,283. 18,304 2,944 1,665

Portage 2,947,799 3,002,930 353.,379 480,880 694,677 597,000 429,944 470,823 . 125,834

Porter 539,227 606,862 59,145 5,712 12,885 - 100,651 79,502 - - -

Town of Pines 31,581 20,611 11,379 13,410 1,878 2,630 - - - -

Valparaiso 1,412,266 1,562,136 345,217 610,690 84,156 281196 258,400 - - 308,391

Tota l $ 9,921,505 $10,795,056 s 1,984,261. $ 1,863,665 $ 851,378 $ 621,265 $ 2,873,025 $ 3,266,238 $ 640,789 $ 1,106,752 $ 1,629,970

LaPorte Counr s 3,447,902 $ 3,060,659 $ 740,934 $ 635,001 $ - $ $ 4 .,,626 $98_ $_ 893,869 $ 1,184,990 $ .

Ki ngsbury 6,466 i,103 3,000 642 197 - - - - -

Ki ngsford IJel 40,204 33,02G 17,195 14,125 3,956 20,000 2,906

- - - 2.

La Crosse 15,075 14 ,610 7,839' 3,151 1,462 - 1,175 .

LaPorte 1,037,388 ss. 71 7.05 938 142,526 490 6,503 436,036 222,032 .

Long Beach 485,790 376,385 16,364 15,347 40,816 . .

Michia na Shor :t),184 15,619 17,808 8,830 3,148 - -

Mi chiga n City 2,089,591 1,943,950 299,556 291,904 83,590 102,576 909,014 789,123 .

Potta watta mie

Pa rk 7,469 3,000 5,934 .

Trai I Creek 92,700 107,771 31,541 49,981 2,878 14,297 10,907 60,000 94,023

Wa na ta h 2921951 110,532 11,427 2,780


14,650 1,714

-- --

Westvi l le 149,156 172,626 44,743 46,868 15,524 15,000 19,045 6,026

-Total $ 7,675 876 $ 6,676,130 $ 1,399,87.3 $ 1,104,36 $ 193499 s 1S8,573 s l, Sl!2.J.Q._S 1,183 667 s 893,869 s 1,184,990 s 102,939

- - -- -- ---




Esti mated 2016- Total Expense Adjusted Total 2019 Revenue

MVH LRS CCI Ceo Cum [3ridge Other Revenues ltsnif<'r• Revenues Projection

lilke S2l,lll5,59.3 s,na,u2

.l.B6,006 S! 4,801,s19 s l,002.973 $ - _s.. •8 -50 23 s_ /! lli $ S0,890,448 $ 203,561,791.96 -

Porter 9,921,505 1,984,261 851,378 2,873,025 640,789 16,270,958 1,629,970 17,900,928 71,603,711

La porte 7,675,876 1,399,823 193,499 1,882,323 12,045,390 102,939 12,148,329 48.'19l,31l>

TOTAL $41,432,974 $ 9,102,316 $ 2,630,883 $19,562,867 $ 4,537,631 s - $ 77,266,671 $ 3,673,034 $ 80,939 ,705 s H3,7S8,82D


Esti ma ted 2016-

2019 Costs

Total Costs




CC_I _


Cum Bridge




La ke $23,407,612

s 7, 158,029

$ 3,061,050

$ 7,386,014

$ 2,812,369

$ $


S 11S,'JOO,l9S.0.0

Porter 10,795,056







La porte 6 676,130



11a3 667

1,184 990

10,4 07,7.24


TOTAL $40,878,798


$ 3,840,888


$ 5,797,638

s $


$ 290,)17,203

Please note that these data does not include revenue for improvements in highway infrastructure made by municipal water and sewer agencies, improvements made with federal funds from either the U.S. Department of Housing and Urban Development (HUD), the U.S. Department of Transportation, U.S. Economic Development Administration (EDA), local Tax Increment Finance (TIF) Districts or other governmental bonding entities.

Sources of Revenue- Public Transit Operations

Public transit in Indiana is financed through a variety of funding mechanisms that varies in accordance with the transit operator's organizational structure . Northwest Indiana has five (5) municipal transit operators that are departments of a unit of government, one (1) that is organized under Indiana's Public Transportation Corporation statute, three (3) that are not-for-profit corporations, and (1) one commuter rail operator . Each is governed differently and have different revenue streams .

Public transit service is financed through a combination of multiple sources of funding-some of which subsidizes the service itself and some of which subsidizes the service user. The following table shows projected new public transit operating revenues over the period of the TIP.

Projected Pu blic Transit Operating Revenue by Type 2016-2019

Tra nsi t Opera tor

Fa rebox



Loca l Assista nce (2013)

Sta te Assista nce (2013)

Federa I Assi sta nce


Tota l An n ua l


Tota l Reven ue (2016-2019)

East Chi ca go Tra nsi t






290,3 19







Ga ry Publ i c Tra nsportation Corporati on









Michiga n Ci ty Tra nsi t









Va l pa ra iso V-Li ne









Ci ty of La Porte (Tra ns Porte)








2 ,265,668

NI R PC Su breci pi ents*









NI R PC Su breci pi ent Oversi ght








NI CTD Commuter Ra i l









La Porte Cou nty Commuter Bus (Tri a n gl e)**





















* I ncl udes North Townshi p Govern men t (La ke Cou nty). Opportu ni ty Enterpri ses, I nc., Porter Cou nty Agi ng & Commu ni ty Servi ces, I nc., a nd South La ke Cou nty Commu ni ty Servi ces, I nc ..

•• New servi ce sta rted i n Ja n ua ry 2015 .

Carryover funds from prior fiscal years and funds used for capital projects are not shown above.

Reasonably Expected Federal Aid for Local Projects

NIRPC anticipates that funding in all federal aid categories will be flat-lined for the foreseeable future. For MPO-selected projects, SFY 2015 funding level in each program has been multiplied by four to calculate the amounts reasonably expected in 2016-2019.

NIRPC reasonably expects to receive about $48 million per year in new federal aid over the life of the TIP. About 60% of these funds will come from FTA and 40% from FHWA. Roughly 90% of these funds will be received in the Chicago Urbanized Area and 10% within the Michigan City-LaPorte Urbanized Area.

In addition, INDOT has allocated Prior Year Balance (PYB) funds to each urbanized area. These funds represent the unused balance of highway funds apportioned to MPO's at the close of SFY 2014. These balances [$23.4 million (Chicago UZA) and $2.6 million (Michigan City-LaPorte UZA)] are programmed in this TIP. INDOT will fund these projects with its own federal funds.

The following table shows reasonably expected new federal funds for the period of the TIP. These amounts do not include any unexpended earmarks or carryover FTA funds.

MPO-Allocated Federal Funds 2016-2019

Annual Allocations by Urbanized Area and Type (2015 Base Year)


Chicago UZA

Michigan City-

LaPorte UZA


FHWA Surface Tra ns portation Program







FHWA Highway Safety Improvement

2,75 2,256



FHWA Conges tion Mitigation/Air Qua lity




FHWA Trans portation Alterna tives




Subtotal FHWA







FTA Sec 5307 Urba n Area Formula Gra nts




FTA Sec 5337 State of Good Repair




FTA Sec 5310 Seniors & Pers ons with Disabilities




FTA Sec 5339 Bus Capita l




Subtotal FTA















INDOT Prior Year Balance (PYB) Funds* 23,431,537 2,603,847 26,035,384


* Non-Recurring--One Time Only.

MPO-Controlled Federal Funds: U.S. Federal Highway Administration (FHWA)

Surface Transportation Program (STP) Group I and Group II

STP are apportioned to states by a formula embedded in federal law by Congress. This formula also allocates funds to each state's urbanized areas.

Portions of Lake and Porter Counties lie within the Chicago Urbanized Area, which is the third most populous urbanized area in the nation. We anticipate approximately $10.5 million in STP Group I funds per year over the life of the TIP-or a total of $42.0 million.

STP Group II funds are also allocated by INDOT to the Michigan City/LaPorte Urbanized Area. We anticipate receiving about $1.0 million per year, for a four-year total of about $4.0 million.

Congestion Mitigation/ Air Quality {CMAQ) Program

Congestion Mitigation and Air Quality (CMAQ) funds provide a flexible funding source to state and local transportation agencies for transportation projects and programs that contribute to improved air quality. Eligible activities include (among others) traffic signal, signal interconnect, intersection improvements and other direct traffic congestion relief projects, new public transit services, alternative fuels, bicycle and pedestrian facilities, and diesel retrofit and repower projects.

CMAQ funding is only available for use in areas that are identified as non- attainment for failing to achieve the National Ambient Air Quality Standards (NAAQS), as well as former nonattainment areas that are now in compliance (maintenance areas). Currently Lake and Porter Counties are classified as non-attainment; LaPorte County was found to be in attainment.

INDOT makes separate allocations of CMAQ funds to each qualifying non-attainment area. We anticipate CMAQ apportionments of about $3.3 million per year in the Lake-Porter County Non­ Attainment Area and about $0.6 million per year in LaPorte County. Over the life of the TIP we anticipate new funding of about $13.4 million in the Lake-Porter Area and $2.3 million in LaPorte County. (This TIP assumes that LaPorte County will continue to be allocated CMAQ funds after State Fiscal Year 2015.)

Highway Safety Improvement Program (HSIP}

This program provides federal funds on an annual basis for highway safety-related projects. Fundable projects are those that are likely to reduce vehicle crashes. The Lake-Porter County area is allocated about $2.7 million per year and LaPorte County receives about $0.3 million per year. We anticipate that, over the life of the TIP, new HSIP funding for Lake and Porter Counties to be about $11.0 million and

$1.2 million for LaPorte County.

STP Transportation Enhancement (TE) and Transportation Alternatives Program (TAP}

Prior to October 1, 2012, Congress mandated that ten percent (10%) of Indiana's statewide STP allocation be expended on transportation "enhancement "activities. These activities encompassed a broad range of activities, including bicycle/pedestrian recreational trails, streetscaping projects, historic preservation, and similar projects. This TIP has several legacy TE projects-which are set for FHWA fund obligation prior to October 1, 2015.

Since SFY 2013, each MPO has been allocated a pool of TAP funds for use on TAP-eligible projects. These projects are selected by the MPO. The Chicago Urbanized area is allocated about $1.0 million per year and the Michigan City-LaPorte Urbanized area receives about $0.1 million per year. We anticipate that,

over the life of the TIP, new TAP funding for Lake and Porter Counties will be about $4.0 million and LaPorte County's share will be about $0.4 million.

INDOT-Controlled Funds: U.S. Federal Highway Administration (FHWA)

National Highway Performance Program

NHPP Interstate: The State of Indiana has about 135 miles of Interstate highways located in the three­ county metropolitan planning area. INDOT will spend federal NHPP funds on these facilities at a rate of 90% federal/10% state funds.

NHPP Other: In addition to 135 miles of Interstate highway, there are 103 miles of other expressways and principle arterial highways that comprise the National Highway System (NHS) in northwest Indiana. INDOT will spend federal NHPP funds on these facilities at a rate of 80% federal/20% state funds. NHPP­ Other funds can also be used for Bridge rehabilitation or replacement projects.

Surface Transportation Program (STP)

STP funds provide states and local agencies with flexible funding that may be used for projects on any Federal-aid highway facility, including the NHS. INDOT allocates some STP funds to Indiana's urbanized areas (for use on local projects). It utilizes the balance for its own projects. A wide variety of projects are eligible for STP funding, but INDOT uses these funds primarily for roadway maintenance, bridge rehabilitation and replacement, and safety improvement projects.

INDOT-Selected local STP Projects

STP Group Ill funds are apportioned for use in all incorporated areas in Indiana with a population between 5,000 and 49,999 . STP Group Ill funds are not available to cities and towns in the STP Group I and II fund categories (i.e., those within the urbanized areas). STP Group Ill funds are administered by INDOT and made available to qualifying municipalities on competitive basis. In Northwest Indiana, only the Towns of Lowell and Westville qualify for STP Group Ill funding.

STP Group IV funds are apportioned for projects in areas where the population does not exceed 5,000 or in unincorporated areas. STP Group IV projects are competitively selected (like those under the Group Ill program) by INDOT. In Northwest Indiana, Lake County, LaPorte County and Porter County are eligible for STP Group IV funds in addition to incorporated rural communities of Hebron, Kingsbury, Kingsford Heights, Kouts, Lacrosse, Schneider and Wanatah. The TIP has several STP Group IV projects.

INDOT-Selected local Bridge Projects

Prior to October 1, 2012, Congress had authorized funding for a stand-alone Bridge funding program. The MAP-21 legislation consolidated this program with other programs and there are a number of legacy (pre-2013) Bridge Program projects listed in the TIP.

INDOT has continued to select local bridge projects with its new federal funds.

INDOT-Selected Local TAP Projects

With its share of the TAP program resources, INDOT selects TAP-funded projects statewide. Most projects selected are located outside of Indiana's urbanized areas. This TIP contains one INDOT-selected TAP project.

MPO-Controlled Funds: U.S. Federal Transit Administration (FTA)

Urban Area Formula Grants-Sections 5307/5340 Growing States

The FTA Section 5307/5340 formula grant program provides subsidies for public transit service provided within an urbanized area having a population of 50,000 or more. FTA makes grant awards directly to the eligible recipients for each UZA as designated by the Governor. Funds may be used for any eligible mass transportation project contained in Part 53 of Title 49, United States Code. FTA distributes Section 5307 funds to large urbanized areas (i.e., those with a population greater than 200,000) in accordance with a formula that considers population, population density and service statistics reported by transit operators. FTA distributes Section 5307 funds to small UZAs on the basis of population and population density only. Funds are apportioned to individual urbanized areas and not to specific transit providers. Thus, FTA makes separate apportionments to the Chicago urbanized area and the Michigan City urbanized area .

Chicago Urbanized Area . NIRPC, the Regional Transportation Authority of Northeast Illinois (RTA) and the Chicago Metropolitan Agency for Planning (CMAP) maintain a written Letter of Understanding which governs the manner in which the Section 5307/5340 funds allocated to the Chicago urbanized area are divided between Northwest Indiana and Northeast Illinois. The most recent Letter, which lapsed at the end of Federal Fiscal Year 2014, has been extended through Federal Fiscal Year 2015, allocates these funds on the same basis that FTA uses in allocating them across the nation. It is likely that, when new Letters are executed, this same distribution mechanism will be retained.

There are three (3) FTA Section 5307/5340 grantees in the Indiana portion of the Chicago UZA. These are the Gary Public Transportation Corporation {GPTC), Northern Indiana Commuter Transportation District (NICTD) and NIRPC. NIRPC provides Section 5307 assistance, on a pass-through basis to seven (7) other eligible transit operators : City of East Chicago, the Regional Bus Authority, Opportunity Enterprises, Inc., the Trustee of Lake County's North Township, South Lake County Community Services, Inc., Porter County Aging & Community Services, Inc.,and the City of Valparaiso.

In 2015, the Indiana portion of the Chicago Urbanized Area was sub-allocated about $11.5 million in Section 5307/5340 funds . We anticipate a similar apportionment over the period 2016-2019. We do have a significant amount of carryover (about $7 .3 million) that may be spent during this time period

Michigan City Urbanized Area. The Michigan City urbanized area is under 200,000 in population-­ therefore, the Section 5307/5340 funds allocated there are apportioned to the Governor, who has designated the City of Michigan City and NIRPC (on behalf of the City of LaPorte) to administer grants for the two transit operators . The urbanized area's two public transit operators desire to maximize their use of their annual apportionment for operating assistance and to seek alternative means of funding capital equipment.

In 2015, the Michigan City urbanized area received about $900,000 in Section 5307/5340 funds. The four year total is about $3.6 million.

FTA Section 5337 State of Good Repair {SOGR} Grants-(formerly Section 5309 Rail Modernization)

SOGR funding is intended to support the modernization of urban commuter rail systems throughout the country. By definition, these systems include only facilities that are at least seven years of age. SOGR funds are apportioned to each UZA with a qualifying commuter rail system.

Chicago Urbanized Area. Like the FTA Section 5307/5340 program within the Chicago UZA, there is a Letter of Understanding between NIRPC and the Regional Transportation Authority of Northeast Illinois (RTA) that governs the distribution of rail modernization funds. Like the Letter regarding Section 5307/5340 funds, the most recent Letter, which lapsed at the end of Federal Fiscal Year 2014, has been extended through Federal Fiscal Year 2015. It allocates 6.29% of the entire Chicago urbanized area's rail modernization apportionment to northwest Indiana. Each preceding Letter (beginning with the first one issued in 1992) has featured this same percentage split. It is thus reasonable to expect that this same distribution formula will be utilized indefinitely and that NW Indiana will receive an average of $13.9 million per year from the Chicago UZA, for a total of $43.2 over the life of the TIP.

South Bend Urbanized Area. The Northern Indiana Commuter Transportation District is also the sole recipient of FTA Section 5337 SOGR funds apportioned to the South Bend urbanized area. Funds from the two urbanized areas are co-mingled into a single FTA grant each year. In FFY 2015, the apportionment to the South Bend UZA was $1.2 million. At this rate of apportionment, about $4.8 million is expected to be received over the 2016-2019 period.

Section 5310 Grants for Seniors and Persons with Disabilities {Section 5310}

FTA Section 5310 funds are directly apportioned only to the Chicago Urbanized Area. This grant program provides transit service subsidies and capital assistance for transit service to senior citizens and persons with disabilities. FTA makes grant awards directly to designated recipients in each large UZA. These funds may be used for either operating, capital, or planning assistance.

The Indiana portion of the Chicago UZA is allocated about $0.43 million per year. Over the life of the TIP we expect to receive $1.7 million.

Section 5339 Bus Capital Program {Section 5339}

FTA Section 5339 funds are also apportioned to the Chicago Urbanized Area and to INDOT for other portions of the three-county area. This grant program provides capital assistance to operators of fixed route bus service. Currently the only eligible entities to receive this funding are the City of East Chicago, City of Valparaiso, and the Gary Public Transportation Corporation. FTA makes grant awards directly to designated recipients in each large UZA.

The Indiana portion of the Chicago UZA is allocated about $0.45 million per year. Over the life of the TIP we expect to receive $1.8 million.