Allocation of appropriation to cities
(1) Except as provided in subsection (2) of this section, the appropriation specified in ORS 366.800 (Appropriation from highway fund for cities) shall be allocated to the cities as provided in this subsection. The moneys subject to allocation under this subsection shall be distributed by the Department of Transportation according to the following:
(a) The moneys shall be distributed to all the cities.
(b) Each city shall receive such share of the moneys as its population bears to the total population of the cities.
(2) Each year, the sum of $500,000 shall be withdrawn from the appropriation specified in ORS 366.800 (Appropriation from highway fund for cities) and $500,000 shall be withdrawn from moneys available to the Department of Transportation from the State Highway Fund and set up in a separate account to be administered by the Department of Transportation. The following apply to the account described in this subsection:
(a) Money from the account shall only be used upon streets:
(A) That are not a part of the state highway system;
(B) That are within cities with populations of 5,000 or fewer persons; and
(C) That are inadequate for the capacity they serve or are in a condition detrimental to safety.
(b) All moneys in the account shall be allotted each year.
(c) Subject to paragraph (d) of this subsection, the department shall determine the distribution of the expenditures after considering applications made to it therefor from the cities.
(d) The department may enter into agreements with cities upon the advice and counsel of organizations representing cities to establish:
(A) The method of allotting moneys from the account; or
(B) The method of considering applications from cities and determining distribution based on the applications. [Amended by 1959 c.170 §1; 1985 c.123 §§1,2; 1989 c.865 §6; 1991 c.355 §1]
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