CHAPTER 55

NEWPORT PLAN FOR STREET IMPROVEMENT

AN ACT TO AMEND TITLE 30, DELAWARE CODE BY PROVIDING FOR A STATE MUNICIPAL STREET AID FUND FROM THE PROCEEDS OF THE STATE MOTOR FUEL TAX; DISTRIBUTION OF SUCH FUND TO INCORPORATED CITIES AND TOWNS FOR STREET PURPOSES.

Be it enacted by the General Assembly of the State of Delaware (three-fourths of the Members elected to each Branch concurring therein):

Section 1. Chapter 51, Title 30 of the Delaware Code is amended by adding at the end thereof a new subchapter as follows:

SUBCHAPTER IV

STATE AID TO MUNICIPALITIES FOR STREETS

§ 5161. Definitions

As used in this subchapter--

"Municipality" means any incorporated city or town charged with any duty connected with the construction or maintenance of streets, and having been in existence for a period of one year.

"Streets" includes streets, highways, avenues, boulevards, bridges, tunnels, alleys, or other public ways dedicated to public use and maintained for general public travel lying within a municipality's corporate boundary, except that this term does not include State or federal highways within municipalities maintained by the State Highway Department.

"Street improvements" means construction, reconstruction, repair and maintenance of streets, including paving, repaving, grading and drainage, repairs, acquisition of rights-of-way, extension and widening of existing streets, elimination of railroad grade crossings, acquisition of trucks and other equipment necessary in the construction and maintenance of streets, and administration and other necessary expenses in connection with such street improvements and the expenses of law enforcement for policing the streets.

"Municipal Street Aid Fund" means the funds set up hereunder from money received by the provisions of this subchapter.

§ 5162. Appropriations paid through the State Treasurer from funds collected by State Highway Department

There is annually appropriated to municipalities within the State from the proceeds of the motor fuel tax imposed by this chapter, a sum equal to one cent per gallon of State motor fuel tax collected on motor fuel sold within the State, but in no event shall a sum in excess of $1,200,000 be appropriated in any one fiscal year hereunder. The sum so appropriated shall be transferred to the State Municipal Street Aid Fund by the State Treasurer, and distributed to municipalities as provided herein.

§ 5163. Time and method of computation

(a) The State Highway Department shall compute annually on June 30th of each year or at the end of the State fiscal year the monies due each participating municipality from the State Municipal Street Aid Fund. Such computation shall be based upon the share of the proceeds of the motor fuel tax imposed by this chapter and appropriated by this subchapter.

(b) Each annual computation by the State Highway Department shall be made as follows:

1. 40% of the State Municipal Street Aid Fund shall be distributed in the proportion that the population of each municipality bears to the total population of all participating municipalities.

2. 60% of the State Municipal Street Aid Fund shall be distributed in the proportion that the mileage of usable streets not maintained by the State in each municipality bears to the total mileage of said streets in all municipalities.

(c) No municipality shall be entitled to participate hereunder unless it has been in existence for a period of at least one year prior to any distribution; fractions of a year shall not be taken into consideration when distribution is made.

§ 5164. Certification of the State Treasurer; time for payment

The State Highway Department shall forward to the State Treasurer within twenty days after each annual computation a certification as to the sum of money due each municipality from the State Municipal Street Aid Fund. Such certification shall be used by the State Treasurer in distributing the monies as provided herein not later than 30 days from the date of receiving the certification.

§ 5165. Expenditures of funds by municipalities; records; audits and regulations of municipalities

(a) Each municipality shall keep all funds received from the State Municipal Street Aid Fund in a separate fund, designated as "Municipal Street Aid Fund" and may expend such funds as follows:

1. The funds available under Section 5163 (b) (1) shall be used for the following purposes:

(i)Street improvements, including expenses for maintaining and lighting of the streets, and acquisition of cars and other equipment for law enforcement.

(ii)The purchase of rights of way for new streets and for improvement and maintenance thereof.

2. Funds available under Section 5163 (b) (2) shall be used for:

(iii)Street improvements, including expenses for maintaining the streets.

(iv)Payment of principal and interest on any bonds issued for street improvements.

(iii) Purchase and repair of street construction and maintenance equipment.

(b) Each municipality shall:

1. Furnish evidence annually to the State Treasurer that the municipal treasurer is bonded;

2. Submit annual report to the State Treasurer showing the expenditures of the Municipal Street Aid Fund;

0. Award contracts for street improvements which shall conform to State Highway Department specifications.

4. Before June 15 of each year, file with the State Highway Department and the State Treasurer an affidavit signed by the Mayor, City Manager, or President of the Council of the municipality setting forth the population of the municipality and the length of usable streets therein. In the absence of the affidavit, provided for above, the State Highway Department and the State Treasurer may annually use for the purpose of this subchapter the most recent, accurate and acceptable figures as to population of any municipality and length of its usable streets.

§ 5166. Unauthorized expenditures; liability

No municipal official or employee shall authorize, direct or permit the expenditure of money from any Municipal Street Aid Fund for any purpose except those specifically authorized by this subchapter. Any municipal official or employee who violates the provisions of this section shall be personally liable to the extent of the unauthorized expenditure.

Section 2. This Act shall in no way affect, change, nullify or render void any existing contracts or agreements between the State Highway Department and any municipality. All streets presently maintained by the State Highway Department within municipalities shall continue to be maintained by the said Department after the passage of this subchapter. Additional agreements may be made from time to time between the State Highway Department and any municipality in which the maintenance responsibility of any streets may be amended or changed. Such agreements will then be considered in the future distribution of funds.

Section 3. This Act shall apply to the fiscal year ending June 30, 1957 and each fiscal year thereafter. The first distribution hereunder shall be made after the close of the fiscal year ending June 30, 1957.

Section 4. This Act is a supplementary appropriation and the money shall be paid by the State Treasurer out of the General Fund of the State of Delaware.

Approved April 24, 1957.