                                 CODE OF VIRGINIA

ALLOCATION OF FUNDS TO PROGRAMS (§ 33.2-358)

A. The Board shall allocate each year from all funds made available for highway
purposes such amount as it deems reasonable and necessary for the maintenance of
roads within the Interstate System, the primary state highway system, and the
secondary state highway system and for city and town street maintenance payments
made pursuant to &#xA7; 33.2-319 and payments made to counties that have
withdrawn or elect to withdraw from the secondary state highway system pursuant
to &#xA7; 33.2-366.

B. After funds are set aside for administrative and general expenses and
pursuant to other provisions in this title that provide for the disposition of
funds prior to allocation for construction programs, and after allocation is
made pursuant to subsection A, the Board shall allocate all remaining funds,
including funds apportioned pursuant to 23 U.S.C. § 104, or any successor
programs, as follows:

   1. Thirty percent of the remaining funds to state of good repair purposes as
   set forth in &#xA7; 33.2-369;

   2. Twenty percent of the remaining funds to the high-priority projects program
   established pursuant to &#xA7; 33.2-370;

   3. Twenty percent of the remaining funds to the highway construction district
   grant programs established pursuant to &#xA7; 33.2-371;

   4. Twenty percent of the remaining funds to the Interstate Operations and
   Enhancement Program established pursuant to &#xA7; 33.2-372; and

   5. Ten percent of the remaining funds to the Virginia Highway Safety
   Improvement Program established pursuant to &#xA7; 33.2-373.

C. The funds allocated in subsection B shall not include the following funds:
Congestion Mitigation Air Quality funds apportioned to the state pursuant to 23
U.S.C. &#xA7; 104(b)(4), or any successor program, and any state matching funds;
Surface Transportation Block Grant set-aside for Transportation Alternatives
pursuant to 23 U.S.C. &#xA7; 213, or any successor program, and any state
matching funds; Surface Transportation Block Grant Program funds subject to 23
U.S.C. &#xA7; 133(d)(1)(A)(i), or any successor program, and any state matching
funds; and funds received pursuant to federal programs established by the
federal government after June 30, 2020, with specific rules that include major
restrictions on the types of projects that may be funded, excluding restrictions
on the location of projects with regard to highway functional or administrative
classification or population, provided such funds are under the control of the
Board.

D. In addition, the Board, from funds appropriated for such purpose in the
general appropriation act, shall allocate additional funds to the Cities of
Newport News, Norfolk, and Portsmouth and the County of Warren in such manner
and apportion such funds among such localities as the Board may determine,
unless otherwise provided in the general appropriation act. The localities shall
use such funds to address highway maintenance and repair needs created by or
associated with port operations in those localities.

E. Notwithstanding the provisions of this section, the General Assembly may,
through the general appropriation act, permit the Governor to increase the
amounts to be allocated to highway maintenance, highway construction, either or
both.

HISTORY: 1977, c. 578, § 33.1-23.1; 1979, c. 84; 1985, c. 42; 1986, c. 572;
2006, c.  937; 2007, c. 305; 2012, cc. 729, 733; 2014, cc. 87, 290, 741, 805;
2015, cc. 676, 684; 2020, cc. 1230, 1275.