§462. Reserve of planned public works

(a) Advances for feasibility studies, surveys, designs, plans, etc.

In order (1) to encourage municipalities and other public agencies and Indian tribes to maintain at all times a current and adequate reserve of planned public works the construction of which can rapidly be commenced, particularly when the national or local economic situation makes such action desirable, and (2) to help attain maximum economy and efficiency in the planning and construction of public works, the Secretary is authorized to make advances to public agencies and Indian tribes (notwithstanding the provisions of section 3324(a) and (b) of title 31) to aid in financing the cost of feasibility studies, engineering and architectural surveys, designs, plans, working drawings, specifications, or other action preliminary to and in preparation for the construction of public works, including, in the case of public works to be constructed in connection with the development of a medical center, a general plan for the development of such center: Provided, That the making of advances hereunder shall not in any way commit the Congress to appropriate funds to assist in financing the construction of any public works so planned: And provided further, That advances outstanding to public agencies and Indian tribes in any one State shall at no time exceed 12½ per centum of the aggregate then authorized to be appropriated to the revolving fund established pursuant to subsection (e) of this section.

(b) Requisites for advances

No advance shall be made hereunder with respect to any individual project, including a regional or metropolitan or other area-wide project, unless (1) it is planned to be constructed within or over a reasonable period of time considering the nature of the project, (2) it conforms to an overall State, local, or regional plan approved by a competent State, local, or regional authority, and (3) the public agency or Indian tribe formally contracts with the Federal Government to complete the plan preparation promptly and to repay such advance or part thereof when due.

(c) Repealed. Pub. L. 100–242, title V, §524(1), Feb. 5, 1988, 101 Stat. 1939

(d) Rules and regulations

The Secretary is authorized to prescribe rules and regulations to carry out the purpose of this section.

(e) Revolving fund

In order to provide moneys for advances in accordance with this section, the Secretary is hereby authorized to establish a revolving fund which shall comprise (1) all moneys heretofore or hereafter appropriated pursuant to this section, together with all repayments and other receipts heretofore or hereafter received in connection with advances made under this section, and (2) all repayments and other receipts received after June 30, 1964, and all advances (and claims in connection with advances) outstanding as of such date, under title V of the War Mobilization and Reconversion Act of 1944 (58 Stat. 791) [50 App. U.S.C. 1671] and the Act of October 13, 1949 (63 Stat. 841–2) [40 U.S.C. 451 et seq.]. There are authorized to be appropriated to such revolving fund, in addition to amounts authorized to be appropriated for the purposes of this section prior to September 2, 1964, such sums not to exceed $70,000,000, as may be necessary to carry out the purposes of this section.

(f) Surveys of public works planning

The Secretary is authorized to use during any fiscal year not to exceed $100,000 of the moneys in the revolving fund (established under subsection (e) of this section) to conduct surveys of the status and current volume of State and local public works planning and surveys of estimated requirements for State and local public works: Provided, That the Secretary, in conducting any such survey, may utilize or act through any Federal department or agency with its consent.

(g) Forgiveness of outstanding advances; cancellation of contracts respecting repayment of advances

Effective upon February 5, 1988, and in accordance with such accounting and other procedures as the Secretary may prescribe, each advance made by the Secretary under this section that has any principal amount outstanding shall be forgiven. The terms and conditions of any contract, or any amendment to a contract, for such advance with respect to any promise to repay the advance shall be canceled.

(Aug. 2, 1954, ch. 649, title VII, §702, 68 Stat. 641 ; Aug. 11, 1955, ch. 783, title I, §112, 69 Stat. 641 ; Pub. L. 86–372, title VIII, §801, Sept. 23, 1959, 73 Stat. 686 ; Pub. L. 87–70, title V, §502, June 30, 1961, 75 Stat. 175 ; Pub. L. 87–658, §6, Sept. 14, 1962, 76 Stat. 544 ; Pub. L. 88–560, title VI, §602, Sept. 2, 1964, 78 Stat. 799 ; Pub. L. 89–117, title XI, §1104, Aug. 10, 1965, 79 Stat. 503 ; Pub. L. 90–19, §10(a), May 25, 1967, 81 Stat. 22 ; Pub. L. 90–448, title VI, §607, Aug. 1, 1968, 82 Stat. 534 ; Pub. L. 100–242, title V, §524, Feb. 5, 1988, 101 Stat. 1939 .)

References in Text

The War Mobilization and Reconversion Act of 1944, referred to in subsec. (e), is act Oct. 3, 1944, ch. 480, 58 Stat. 785 , which was classified to section 1651 et seq. of Title 50, Appendix, War and National Defense, and which has been omitted from the Code. Title V of the War Mobilization and Reconversion Act of 1944 was classified to section 1671 of Title 50, Appendix. For complete classification of this Act to the Code, see Tables.

Act of October 13, 1949, referred to in subsec. (e), is act Oct. 13, 1949, ch. 685, 63 Stat. 841 , as amended, which was classified generally to subchapter I (§451 et seq.) of chapter 9 of this title, and which has been omitted from the Code. For complete classification of this Act to the Code, see Tables.

Codification

In subsec. (a), "section 3324(a) and (b) of title 31" substituted for "section 3648 of the Revised Statutes, as amended [31 U.S.C. 529]" on authority of Pub. L. 97–258, §4(b), Sept. 13, 1982, 96 Stat. 1067 , the first section of which enacted Title 31, Money and Finance.

Amendments

1988-Subsec. (c). Pub. L. 100–242, §524(1), struck out subsec. (c) which read as follows: "Advances under this section to any public agency or Indian tribe shall be repaid without interest by such agency or tribe when the construction of the public works is undertaken or started: Provided, That in the event repayment is not made promptly such unpaid sum shall bear interest at the rate of 4 per centum per annum from the date of the Government's demand for repayment to the date of payment thereof by the public agency or Indian tribe."

Subsec. (g). Pub. L. 100–242, §524(2), amended subsec. (g) generally. Prior to amendment, subsec. (g) read as follows: "Notwithstanding any other provision of this section, no advance made under this section for the planning of any public works project shall be required to be repaid if construction of such project is initiated as a result of a grant-in-aid made from an allocation made by the President under the Public Works Acceleration Act."

Subsec. (h). Pub. L. 100–242, §524(1), struck out subsec. (h) which read as follows:

"(1) Notwithstanding any other provision of law, if a public agency or Indian tribe undertakes to construct only a portion of a public work planned with an advance under this section, under title V of the War Mobilization and Reconversion Act of 1944, or under the Act of October 13, 1949, it shall repay only such proportionate amount of the advance relating to the public work as the Secretary determines to be equitable.

"(2) The Secretary is authorized to terminate, upon such terms and conditions as he shall deem equitable, all or a portion of the liability for repayment of any advance made under this section, title V of the War Mobilization and Reconversion Act of 1944, or the Act of October 13, 1949. Whenever the Secretary determines that there is no reasonable likelihood that the public work, or a portion of the public work, planned with such advance will be constructed, he may terminate the agreement for the advance. Such determination shall be conclusive and shall be based on standards prescribed by regulations to be issued by the Secretary."

1968-Subsec. (a). Pub. L. 90–448 authorized advances for feasibility studies.

1967-Pub. L. 90–19 substituted "Secretary" for "Administrator" wherever appearing in subsecs. (a), (d) to (f), and (h)(1), (2) of this section.

1965-Subsec. (e). Pub. L. 89–117 substituted "$70,000,000" for "$20,000,000".

1964-Subsec. (a). Pub. L. 88–560, §602(c)(1), (e), inserted "and Indian tribes" wherever appearing, and authorized, in the case of public works to be constructed in connection with the development of a medical center, aid in financing a general plan for the development of such center.

Subsec. (b)(3). Pub. L. 88–560, §602(c)(2), (f), inserted "or Indian tribe", and struck out requirement that subsequent to approval and prior to disbursement of any Federal funds for advance planning, the applicant had to establish a separate planning account into which all Federal and applicant funds estimated to be required for plan preparation had to be placed.

Subsec. (c). Pub. L. 88–560, §602(c)(3), (4), inserted references to Indian tribes wherever appearing and struck out proviso "That if the public agency undertakes to construct only a portion of a planned public work it shall repay such proportionate amount of the advances relating to the public work as the Administrator determines to be equitable." See subsec. (h) of this section.

Subsec. (e). Pub. L. 88–560, §602(a), provided that repayments and other receipts received after June 30, 1964, and all advances outstanding as of such date, under title V of the War Mobilization and Reconversion Act of 1944, and the Act of October 13, 1949, shall go into the revolving fund, and substituted an authorization of appropriations not to exceed $20,000,000 in addition to amounts authorized prior to Sept. 2, 1964, as may be necessary for the purposes of this section, for an authorization not exceeding $58,000,000 in undisbursed balances in the revolving fund and in advances outstanding for plans with respect to projects which in the determination of the Administrator, could have been undertaken within a reasonable time.

Subsec. (f). Pub. L. 88–560, §602(d), substituted "$100,000" for "$50,000".

Subsec. (h). Pub. L. 88–560, §602(b), added subsec. (h).

1962-Subsec. (g). Pub. L. 87–658 added subsec. (g).

1961-Subsec. (a). Pub. L. 87–70, §502(1), substituted "12½ per centum" for "10 per centum".

Subsec. (b). Pub. L. 87–70, §502(2), included regional or metropolitan or other area-wide projects, and substituted "constructed within or over a reasonable period" for "constructed within a reasonable period".

Subsec. (e). Pub. L. 87–70, §502(3), (4), authorized an appropriation of $10,000,000, which may be made available on or after July 1, 1961, and increased the maximum amount of undisbursed balances from $48,000,000 to $58,000,000.

1959-Subsec. (f). Pub. L. 86–372 added subsec. (f).

1955-Act Aug. 11, 1955, amended section generally, striking out provisions which authorized the Administrator to make advances only during the three years commencing on July 1, 1954, and inserting provisions requiring construction within a reasonable period of time, authorizing repayment of proportionate amounts of advances, and establishing a revolving fund.

Repayment of Certain Planning Grants

Section 1112 of Pub. L. 89–117 provided that: "Notwithstanding any other provision of law, no advance made under section 501 of Public Law 458, Seventy-eighth Congress [section 1671 of Title 50, Appendix, War and National Defense]; Public Law 352, Eighty-first Congress [sections 451 to 458 of this title]; or section 702, Housing Act of 1954, Public Law 560, Eighty-third Congress [this section], for the planning of any public works project shall be required to be repaid if construction of such project has been heretofore or is hereafter initiated as a result of a grant-in-aid made from an allocation made by the President under the Public Works Acceleration Act [see References in Text note set out above]."

Additional Amounts Appropriated for Payment to Revolving Fund

Pub. L. 89–128, title I, Aug. 16, 1965, 79 Stat. 532 -$10,000,000.

Pub. L. 88–507, title I, Aug. 30, 1964, 78 Stat. 656 -$1,000,000.

Pub. L. 88–215, title I, Dec. 19, 1963, 77 Stat. 438 -$2,000,000.

Pub. L. 87–741, title I, Oct. 3, 1962, 76 Stat. 729 -$12,000,000.

Pub. L. 87–545, title I, July 25, 1962, 76 Stat. 212 -$1,000,000.

Pub. L. 87–141, title I, Aug. 17, 1961, 75 Stat. 354 -$7,000,000.

Pub. L. 86–626, title I, July 12, 1960, 74 Stat. 435 -$6,000,000.

Pub. L. 86–255, title I, Sept. 14, 1959, 73 Stat. 508 -$6,000,000.

Pub. L. 85–844, title I, Aug. 28, 1958, 72 Stat. 1070 -$7,000,000.

Pub. L. 85–69, title I, June 29, 1957, 71 Stat. 233 -$5,000,000.

Act June 27, 1956, ch. 452, title I, 70 Stat. 346 -$7,500,000.

Section Referred to in Other Sections

This section is referred to in title 42 section 5153.