70:06:01:01.  Definitions. Terms used in this article have the following meaning:

 

          (1)  "Capital," transit vehicles and related equipment and structures having a useful life expectancy of one or more years;

 

          (2)  "Department," the South Dakota Department of Transportation;

 

          (3)  "Dispatcher," a person who assigns transit drivers and transit vehicles to specific travel routes during specific time periods on specific days;

 

          (4)  "Fixed route," a specific route over which bus service is provided during specific time periods on specific days;

 

          (5)  "FTA," the Federal Transit Administration, United States Department of Transportation;

 

          (6)  "Grant," a written award to an eligible grantee for a specific amount of funds to carry out specific activities for a specific time period;

 

          (7)  "Grant administration performance," an evaluation of a grantee's implementation of and compliance with grant requirements, participation in transit training, and service to transit organizations and associations;

 

          (8)  "Intercity bus service," regularly scheduled bus service for the general public which operates with limited stops over fixed routes connecting two or more municipalities, which has the capacity for transporting baggage carried by passengers, and which makes connections with scheduled intercity bus service to more distant points when such service is available;

 

          (9)  "Local funding," funding eligible to be considered local match in accordance with FTA requirements;

 

          (10)  "Operating expenses," costs related to transit vehicle operations, including drivers' and dispatchers' salaries and fringe benefits, gasoline, oil, engine repairs, and vehicle maintenance expenses;

 

          (11)  "Passenger trip," the point from which the passenger enters the transit vehicle to the destination point where the passenger leaves the transit vehicle;

 

          (12)  "Public transportation," the transporting of persons from one location to another location for a fee in a transit vehicle open to the general public or open to a segment of the general public defined by age, disability, or low income;

 

          (13)  "Rural area," an area encompassing a population of less than 50,000 people that has not been designated in the most recent decennial census as an urbanized area by the Secretary of the United States Department of Commerce;

 

          (14)  "Transit," public transportation;

 

          (15)  "Transit administration expenses," salaries and fringe benefits for administrative, secretarial, building maintenance, and fiscal staffs and costs necessary to acquire and maintain administrative office spaces, insurance policies, and related office equipment and supplies;

 

          (16)  "Urbanized area," an area encompassing a population of not less than 50,000 people that has been defined and designated in the most recent decennial census as an urbanized area by the Secretary of the United States Department of Commerce;

 

          (17)  "User-side subsidies," the partial funding of the price of a transit fare for an individual rider;

 

          (18)  "Vehicle miles driven," the numerical changes in a transit vehicle's odometer over a specific period of time.

 

          Source: 19 SDR 155, effective April 11, 1993; 20 SDR 59, effective November 1, 1993; 45 SDR 158, effective July 1, 2019.

          General Authority: SDCL 1-44-7.3, 1-44-7.4.

          Law Implemented: SDCL 1-44-7.3, 1-44-7.4.

 

          70:06:01:02.  Federal transit grants eligible for state matching funds. Grantees receiving the following federal transit grants are eligible for state matching funds from the state highway fund:

 

          (1)  Urban public transit grants for capital purchases and operating expenses as authorized under 49 U.S.C. § 5307; and

 

          (2)  Rural area transit grants for operating expenses and transit administration expenses as authorized under 49 U.S.C. § 5311.

 

          Source: 19 SDR 155, effective April 11, 1993; 45 SDR 158, effective July 1, 2019.

          General Authority: SDCL 1-44-7.3.

          Law Implemented: SDCL 1-44-7.3.

 

          70:06:01:03.  Eligible grantees. The following entities are eligible to receive a state matching fund grant from the state highway fund if they have first received FTA or department approval for a federal transit grant listed in § 70:06:01:02:

 

          (1)  County government;

          (2)  City government;

          (3)  Indian tribal governments;

          (4)  Private nonprofit corporations; and

          (5)  State agencies.

 

          Source: 19 SDR 155, effective April 11, 1993; 45 SDR 158, effective July 1, 2019.

          General Authority: SDCL 1-44-7.3.

          Law Implemented: SDCL 1-44-7.3.

 

          70:06:02:01.  Award and administration of federal transit grants. The department may award and shall administer federal transit grants in accordance with federal requirements. Before receiving a federal transit grant administered by the department, the grantee shall execute a grant agreement with the department in a form satisfactory to the department.

 

          Source: 45 SDR 158, effective July 1, 2019.

          General Authority: SDCL 1-44-7.3.

          Law Implemented: SDCL 1-44-7.3.

 

          70:06:02:02.  Criteria used to award state matching funds. The department shall use the following criteria to award state matching funds to the eligible grantees listed in § 70:06:01 :03:

 

          (1)  A grantee receiving a grant authorized by 49 U.S.C. § 5307 may be awarded a state matching grant based on the grantee's share of the total urbanized area population within South Dakota as determined by the most recent United States census;

 

          (2)  Grantees receiving grants authorized by 49 U.S.C. § 5311 may be awarded a state matching fund grant based on factors including number of passenger trips provided, vehicle miles driven, transit administration expenses, operating expenses, grant administration performance, and level of local funding. At least annually, the department shall obtain commission approval of objective scoring procedures for determining grant awards pursuant to this subsection.

 

          Source: 19 SDR 155, effective April 11, 1993; 45 SDR 158, effective July 1, 2019 (Renumbered from 70:06:02:01).

          General Authority: SDCL 1-44-7.3.

          Law Implemented: SDCL 1-44-7.3.

 

          70:06:02:03.  State matching fund grant applications and department approvals. A grantee who receives a federal transit grant identified in § 70:06:02:01 may receive a state matching grant in conjunction with the federal grant. Grant applications must be made on forms approved by the department. The department may establish deadlines for application submission. The department shall approve in whole or in part or deny a request within 45 days after the department's receipt of a completed request form.

 

          Source: 19 SDR 155, effective April 11, 1993; 45 SDR 158, effective July 1, 2019 (Renumbered from 70:06:02:02).

          General Authority: SDCL 1-44-7.3.

          Law Implemented: SDCL 1-44-7.3.

 

          70:06:02:04.  State matching fund disbursements to grantees. State matching grants shall be disbursed after a grant agreement has been executed and funding requests have been approved by the department.

 

          Source: 19 SDR 155, effective April 11, 1993; 45 SDR 158, effective July 1, 2019 (Renumbered from 70:06:02:03).

          General Authority: SDCL 1-44-7.3.

          Law Implemented: SDCL 1-44-7.3.

 

          70:06:03:01.  Performance and fiscal reports. If requested in writing by the department, federal transit grantees receiving state matching grants shall send copies of federally mandated transit performance and fiscal reports to the department for departmental review, information collection, and reimbursement purposes.

 

          Source: 19 SDR 155, effective April 11, 1993; 45 SDR 158, effective July 1, 2019.

          General Authority: SDCL 1-44-7.3.

          Law Implemented: SDCL 1-44-7.3.

 

          70:06:04:01.  Eligible grant purposes. The following intercity bus service activities are eligible for funding under federal transit grants as authorized by 49 U.S.C. § 5311(f):

 

          (1)  Planning and marketing for intercity bus transportation;

          (2)  Capital grants for intercity bus shelters, joint-use structures, depots, and transit vehicles;

          (3)  Operating grants for intercity bus transportation;

          (4)  Coordination of rural area connections between small transit operators and intercity bus operators; and

          (5)  User-side subsidies.

 

          Source: 20 SDR 59, effective November 1, 1993; 45 SDR 158, effective July 1, 2019.

          General Authority: SDCL 1-44-7.4.

          Law Implemented: SDCL 1-44-7.4.

 

          70:06:04:02.  Criteria used to award grants. The department shall use the following criteria to award grants to providers of intercity bus services:

 

          (1)  The total number of vehicle miles driven and passengers served during the last operating year on regularly scheduled fixed routes by bus services which are open to the general public and operated by the grant applicant within South Dakota. No charter or tour mileages may be included;

 

          (2)  Annual operating losses on regularly scheduled, fixed-route intercity bus services within South Dakota, documented by a complete description of the intercity services provided and verification by an independent certified public accountant of the grant applicant's most recent financial statement;

 

          (3)  The provider's proposed budget for operating expenses and transit administration expenses in the upcoming federal fiscal year; and

 

          (4)  Circular FTA C 9040.1G, Chapter VIII, dated November 24, 2014, issued by FTA to implement 49 U.S.C. § 5311(f).

 

          The department may award additional funds to projects which expand intercity bus service to currently unserved areas of South Dakota or which support intercity bus services routes in immediate danger of abandonment.

 

          Source: 20 SDR 59, effective November 1, 1993; 45 SDR 158, effective July 1, 2019.

          General Authority: SDCL 1-44-7.4.

          Law Implemented: SDCL 1-44-7.4.

 

          70:06:04:03.  Grant applications. Grant applications must be made on forms approved by the department. The department may establish deadlines for application submission. The department may approve an application in whole or in part or may deny the application pursuant to § 70:06:04:02.

 

          Source: 20 SDR 59, effective November 1, 1993; 45 SDR 158, effective July 1, 2019.

          General Authority: SDCL 1-44-7.4.

          Law Implemented: SDCL 1-44-7.4.

 

          70:06:04:04.  Grant disbursements and audits. Before receiving federal funds for intercity bus services, the grantee shall execute a grant agreement with the department in a form satisfactory to the department. The department shall disburse intercity bus service grants to grantees through periodic reimbursement of prior expenditures by grantees. Grantees must provide the department with federal performance and fiscal reports as required by 49 C.F.R. Part 18, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments, Subpart C, Post-Award Requirements, § 18.20. Grantees must permit auditors of the department to obtain and review all expenditure records related to intercity bus service grants.

 

          Source: 20 SDR 59, effective November 1, 1993; 45 SDR 158, effective July 1, 2019.

          General Authority: SDCL 1-44-7.4.

          Law Implemented: SDCL 1-44-7.4.