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B-168722 1 (1970-03-17)

handle is hein.gao/gaobabksx0001 and id is 1 raw text is: 
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-               by      !o ,'tce al Legisstlive Llaisou, a record of which is kept
                by the zst bution Section, Publications Branch, OAS


 B-168722                          RELEASED      MAR 17 1970


 Dear Mr. Moss

      This is in further response to your request of February 2, 1970,
 that we review and comment on correspondence between you and a
 constituent and on an article by Columnist Jack Anderson concerning a
 Federal grant of $182,000 for building a road to Gerald L. K. Smith's
 Christ of the Ozarks project near Eureka Springs, Arkansas.

      Our inquiry showed that the funds in question had been pro-
 grammed for the improvement of a 2.5-mile Federal-aid secondary
 road which connects Arkansas Highway 23, a Federal-aid secondary
 route, with U.S. Highway 62, a Federal-aid primary route in Carroll
 County, Arkansas, near the community of Eureka Springs. Located
 near Eureka Springs is a tourism complex operated by the Elna M.
 Smith Foundation, a nonprofit corporation. The Christ of the Ozarks
 project is a part of the tourism complex. Although this road serves as
 a connection between two other highways, it also provides tourists with
 general access to the tourism complex.

      The total estimated cost of the proposed improvement of the road
 is $227,500. The primary Federal grantoi is the Federal Highway Ad-
 ministration, Department of Transportation--through the Arkansas
 State Highway Department--under its Federal-aid secondary road pro-
 gram The Administration has programmed $113,750 for this project
 from funds apportioned to the State for its secondary road program.
 This amount represents the normal share (50 percent) of the total
 project cost. Under the Administration's procedures, funds are nor-
 mally paid to the State in reimbursement of its costs as construction
 work progresses.

      In addition to the Federal-aid highway funds of $113,750 approved
 by the Administration for the secondary road, a supplementary grant
 of $68,250, or 30 percent of the estimated construction cost, has been
 approved by the Ozarks Regional Commission under authority of sec-
 tion 509 of the Public Works and Economic Development Act of 1965,
 as amended. Supplementary grants are approved by the Commission



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