[Code of Federal Regulations]
[Title 23, Volume 1]
[Revised as of April 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 23CFR710.507]

[Page 344]
 
                           TITLE 23--HIGHWAYS
 
 CHAPTER I--FEDERAL HIGHWAY ADMINISTRATION, DEPARTMENT OF TRANSPORTATION
 
PART 710--RIGHT-OF-WAY AND REAL ESTATE--Table of Contents
 
              Subpart E--Property Acquisition Alternatives
 
Sec. 710.507  State and local contributions.

    (a) General. Real property owned by State and local governments 
incorporated within a federally funded project can be used as a credit 
toward the State matching share of total project cost. A credit cannot 
exceed the State's matching share required by the project agreement.
    (b) Effective date. Credits can be applied to projects where the 
initial project agreement is executed after June 9, 1998.
    (c) Exemptions. Credits are not available for lands acquired with 
any form of Federal financial assistance, or for lands already 
incorporated and used for transportation purposes.
    (d) State contributions. Real property acquired with State funds and 
required for federally-assisted projects may support a credit toward the 
non-Federal share of project costs. The STD must prepare documentation 
supporting all credits including:
    (1) A certification that the acquisition satisfied the conditions in 
23 CFR 710.501(b); and
    (2) Justification of the value of credit applied. Acquisition costs 
incurred by the State to acquire title can be used as justification for 
the value of the real property.
    (e) Credit for local government contributions. A contribution by a 
unit of local government of real property which is offered for credit, 
in connection with a project eligible for assistance under this title, 
shall be credited against the State share of the project at fair market 
value of the real property. Property may also be presented for project 
use with the understanding that no credit for its use is sought. The STD 
shall assure that the acquisition satisfied the conditions in 23 CFR 
710.501(b), and that documentation justifies the amount of the credit.