- Boone County approved $778,493 in state road aid funding for FY2027, down from $949,000 last year
- Funds support construction, maintenance and repair of local roads, with 3% set aside for emergencies
- Officials cite inflation and motor fuels tax fluctuations as drivers of long-term funding decline
Boone County has renewed its agreement with the Kentucky Transportation Cabinet to receive its share of funding from the state’s county road aid program, although the amount is lower than last year.
On Tuesday, the Boone County Fiscal Court approved a resolution authorizing the reception of $778,493.91 in County Road Aid funds, which are distributed by KYTC’s Department of Rural and Municipal Road Aid.
The road aid is used to help counties, incorporated cities and unincorporated urban areas with the construction, reconstruction and maintenance of county roads and city streets. Specifically, the funding can be used to cover the necessary materials, labor and equipment required to complete infrastructure projects within the recipient government’s jurisdiction.
KYTC’s County Road Aid Program is funded annually through collecting 18.3% of the receipts from Kentucky’s motor fuels tax.
Participation in the program requires a cooperative agreement between the county and the state of Kentucky, which enrolls the local government into a funding arrangement for the upcoming fiscal year that begins on July 1.
Boone County Engineer Franxman said the county’s allotment is determined by the state of Kentucky’s ‘fifth’s formula.’ Under this structure, one-fifth of the funds is divided equally among all counties, while another fifth is allocated based on rural population. A third fifth is distributed according to the number of rural road miles in each county, and the remaining two-fifths, the largest share, are apportioned based on rural land area.
As part of the agreement, Boone County will also set aside 3% of its road aid for a shared emergency account to fund unexpected road projects. These funds can be used to cover urgent repairs to county roads and bridges resulting from events such as floods, landslides or structural failures.
Road aid will be distributed in two installments, with around 60% of the funds coming in August 2026 and the remaining 40% coming in 2027
Franxman noted that Boone County’s aid allotment declined nearly 18% from the previous fiscal year, when the county received $949,000. Over the years, Boone County’s road aid has oscillated, with the highest amount, around $1.167 million, received in 2014. Typically, Boone County allotment has ranged between $780,000 and $950,000.
“It continues to erode – 25% lower than our peak, but that’s a state issue,” Boone County Judge/Executive Gary Moore said.
Kayla Smith of the Kentucky Association of Counties reported last October that the decline in the value of road aid funding results from inflation and funding not keeping pace with rising fuel prices. Moreover, road maintenance costs have soared, as the National Highway Construction Cost Index shows a roughly 90% increase over the past decade. This means the price of maintaining statewide roads has nearly doubled.
“Kentucky’s motor fuels tax is adjusted annually based on the average wholesale price (AWP) of gasoline,” she wrote. “When gas prices rise, the tax rate increases, and when prices fall, the rate decreases.”
