EP 1165-2-1
30 Jul 99
Economic separability refers to the criterion requiring the separable
element to have net NED benefits as the next construction element. In
the programming of project construction, separable elements may be
identified so as to avoid a commitment to work beyond that which has
been planned in detail or to which full approval has not been granted
within the Executive Branch. When construction funding for a project
is programmed initially and supported by a local cooperation agreement
with the project sponsor, authorized elements beyond this scope are
implemented as separable elements.
c. Consistent Application. Cost sharing reforms embodied in
WRDA 1986 represent a long-sought compromise between the
Administration and Congress. Consistent application of the new cost
sharing policy is essential, and special treatment in the form of
exemption and/or exception is to be avoided.
d.
Cost Sharing Exceptions and Limits.
(1) Exceptions. Title I cost sharing does not apply to the
Yazoo Basin, Mississippi, Demonstration Erosion Control Program,
authorized by Public Law 98-8 or to the Harlan, Kentucky, and
Barbourville, Kentucky, elements of the project authorized by Section
202 of Public Law 96-367, in accordance with Section 103(e)(2) of WRDA
1986.
(2) Cost Sharing Waiver for the Territories (Section 1156 of
WRDA 1986). Local cost sharing requirements for all studies and
projects in American Somoa, Guam, the Northern Mariana Islands, the
Virgin Islands, and the Trust Territories of the Pacific Islands, will
be reduced, up to 0,000 for each study and project. Cost sharing
for each study and for each project will be established using the
general cost sharing criteria. The non-Federal cost for each study
and/or project will then be reduced by 0,000, or to zero if the
non-Federal share is less than 0,000. Waivers for studies and
projects are considered separately. If the waiver for a study is less
than the 0,000 maximum, there is no "balance" remaining for
transfer to a project waiver.
(3) Small Project Authorization Limits (Section 915(i) of WRDA
1986). The amendments increasing small project cost limits (Section
915) do not apply to any project under contract for construction on 17
November 1986.
(4) Ability-to-Pay (Section 103(m) of WRDA 1986, as amended by
Section 202(b) of WRDA 1996). Cost sharing agreements for flood
control or agricultural water supply are subject to the ability of a
non-Federal interest to pay, as discussed in paragraphs 6-5.f and 6-8.
6-4.
Navigation.
a. Commercial Harbors, and Inland Harbors (Section 101 of WRDA
1986, as amended by Section 201 of WRDA 1996).
(1) Non-Federal sponsors must pay during the period of
construction, a portion of the costs associated with the general
navigation features (GNF) of the project. GNF include navigation
channels, anchorages, turning basins, jetties, breakwaters, and land-
based and aquatic dredged material disposal areas.
The non-Federal
share is based upon the project depth: 10 percent of that portion of
the total cost of construction of the GNF assigned to dredging to a
depth not in excess of 20 feet and any overdepth dredging associated
6-3
Previous Page
