Highway Use Tax Evasion – Intergovernmental Efforts | FHWA HUTE 2018 01

Opportunity Information: Apply for FHWA HUTE 2018 01

The Highway Use Tax Evasion - Intergovernmental Efforts grant is a discretionary Federal Highway Administration (FHWA) funding opportunity under the U.S. Department of Transportation, created to support projects that improve compliance with motor fuel and highway use tax laws and, in particular, reduce fuel tax evasion through coordinated enforcement. The program is authorized by the Fixing America's Surface Transportation (FAST) Act, which sets aside dedicated funding each year for intergovernmental enforcement activities aimed at identifying and cutting down on fuel tax evasion. For this specific round, FHWA combined Fiscal Year 2017 and Fiscal Year 2018 program funds to create a total funding pool of $4,000,000 available for awards, with the Federal share payable at 100 percent, meaning approved project costs can be fully covered by Federal funds (subject to allowable cost rules).

Eligible applicants are state governments, and the core emphasis is on multi-agency collaboration. Applicants are encouraged to propose innovative approaches that bring together multiple public agencies, and proposals that involve more than one public agency receive priority consideration. Collaboration can include coordination among state partners and also with federal agencies, reflecting the program's focus on intergovernmental enforcement rather than single-agency efforts. In addition to direct enforcement and compliance activities, the announcement also makes clear that research and training proposals are eligible, so long as they support the overall goal of reducing fuel tax evasion and improving tax compliance outcomes. Even when several agencies participate, each funded project must designate one state as the lead entity responsible for managing the grant-funded effort.

Funding amounts are structured to support smaller targeted initiatives as well as more substantial, coordinated projects. The minimum funding per project is $10,000, while the maximum funding per project is capped at $250,000 per year. Projects also face a firm time limit: no project may be funded for more than two years. The opportunity anticipated making about 20 awards, based on the expected awards figure provided in the source data, though actual awards would depend on the quality and number of proposals and the available funding.

On administration and oversight, all funds must be used in line with the cost principles in 2 CFR 200 Subpart E (Cost Principles), which governs whether costs are allowable, reasonable, and properly allocated under Federal awards. After the application deadline, an interagency review group is established to evaluate submitted proposals. FHWA and the Internal Revenue Service (IRS) jointly recommend and approve projects for funding, underscoring the compliance and tax enforcement nature of the program. States selected for funding enter into negotiations with FHWA, and the designated lead state must execute a formal project agreement with FHWA that sets the terms, scope, and reporting expectations. Funded projects must submit annual reports, with the specific reporting requirements laid out in the project agreement.

Key administrative details from the posted opportunity include the Funding Opportunity Number FHWA HUTE 2018 01, CFDA 20.240, and a closing date of April 30, 2018 (original closing date). The award ceiling is $250,000, consistent with the maximum per-year per-project limit described. Overall, the grant is designed to help states and their partner agencies share information, coordinate enforcement strategies, strengthen compliance programs, and develop practical tools, training, or research that measurably reduces motor fuel and highway use tax evasion.

• The Department of Transportation, DOT Federal Highway Administration in the other (see text field entitled explanation of other category of funding activity for clarification), transportation sector is offering a public funding opportunity titled "Highway Use Tax Evasion – Intergovernmental Efforts" and is now available to receive applicants.
• Interested and eligible applicants and submit their applications by referencing the CFDA number(s): 20.240.
• This funding opportunity was created on Mar 01, 2018.
• Applicants must submit their applications by Apr 30, 2018. (Agency may still review applications by suitable applicants for the remaining/unused allocated funding in 2026.)
• Each selected applicant is eligible to receive up to $250,000.00 in funding.
• The number of recipients for this funding is limited to 20 candidate(s).
• Eligible applicants include: State governments.

Apply for FHWA HUTE 2018 01

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