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Show Matching Funds Lacking In Utah For Road Jobs Utah Highway Department officials told the Utah State Road Commission, meeting in Salt Lake City today, that recently released impounded highway funds will be "up for grabs" by states on a first-come, first-served basis, and Utah is prepared to grab substantial portion of the money. Howard Leatham, the Utah Highway Department's engineer for planning and programming, told the commission that before President Ford released some $2 billion in impounded federal highway funds, Utah had about $19 million left of its fiscal 1975 "obligational authority" which would have been available for new projects through June 30, 1975. He said the president's action took away the state's assurance of receiving its remaining funds, and placed Utah in line with other states for a chance to share in the remaining 1975 obligational authority and from the $2 billion impounded "pop." He said the advantage will go to those states which have projects ready for bidding and can obligate the funds the fastest. "This same situation occured in Oct. of 1971, and Utah was able to pick up an additional $20 million," he said. Leatham emphasized that the impounded money is not "new money," but only money which Congress appropriated to Utah and was consequently impounded by the federal administration. State Highway Director Blaine Kay told the commission that the big problem Utah will have in getting a good share of the impounded money will be coming up with the necessary state matching funds. "With our highway user revenue down two percent below last year, and with our current rate of inflation, we won't have the matching money available," he said. He told the commission that the Utah Legislature will have to share the problem and find a way to match the funds, because they will have to be obligated to projects by July 1. State Highway Engineer C. V. Anderson said the Utah Highway Department has (GO million worth of projects ready to bid by July 1, and he said that with a little effort the department could come up with $20 million more. "It looks like we could Increase the funding level of our construction program for the rest of the fiscal year by $40 million or more," he said. However, Anderson pointed out that it would require that the state come up with an additional $4 million in state matching funds. Reporting on the recent decision by the Federal District Court of Washington D.C. releasing alt of the impounded highway funds of Utah and 11 other states, Utah Aisiitant Attorney General Mark Madsen advised the commission to prepare for a future increase In i highway spending, even though the state's suit against the Federal Administration may be tied up with appeals for another two vears. "Even if the decision is appealed," he said, "I'm confident we'll win it." However, Madsen pointed out that there is a prospect that the Federal Administration will choose not to appeal the court ruling, because of the depressed economic climate. "In any case, it's time to gear up!" he said. "We should assume that we are going to have more federal money to spend on highways in the future than we have had for the past eight years." Madsen pointed out that the court decision not only releases currently impounded funds, but it also prevents the impounding of any future appropriations of Highway Trust Funds. Utah Highway officials estimate the state currently has some $100 million in federal highway funds which have been impounded. Last October, the Federal Court allowed Utah to join Louisiana and ten other states in a suit seeking the release of some $10 billion in impounded highway funds. |