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.