R2012-195 AUTHORIZING THE FILING OF AN APPLICATION AND THE EXECUTION OF A GRANT WITH THE FEDERAL TRANSIT ADMINISTRATION

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Mass Transit Memorandum No. 112612-1 November 26, 2012 TO: Honorable Mayor McElroy and City Council Members FROM: Ryan McCrady, City Manager Paul McChancy, Mass Transit Administrator SUBJECT: FTA Operating Assistance Grant for FY-2013 SUMMARY Staff recommends that Council approve a Resolution to authorize the RECOMMENDATION: filing of an application and the execution of a grant for Federal Transit Administration(FTA) operating assistance for FY-2013 in the amount of$1,012,500. BACKGROUND: Every year the Federal Transit Administration(FTA) apportions grant funds to each metropolitan transit system for operating assistance and for capital projects. Decatur currently has an unobligated balance of $486,482 remaining from the FY-2012 apportionment. This amount was reserved for future operating and capital projects. FTA recently published partial year apportionments for FY-2013, showing that Decatur will receive $859,293. (Please note that this apportionment is about one-half of the funds that Decatur will receive when the full budget is finally approved by Congress.) Therefore Decatur now has a total of$1,345,775 in FTA funds available for FY-2013. A total of$1,350,000 in FTA operating funds has been budgeted in the current City budget for the fiscal year. Staff wishes to apply for an FTA grant for$1,012,500 to offset part of the Transit System's operating deficit for the first three quarters of the state fiscal year. An additional $337,500 will be applied for at a later date for fourth quarter operating assistance. POTENTIAL A public hearing was held to discuss this grant application. No OBJECTION: comments were received. There are no known or expected objections to this grant application. INPUT FROM Richard Foiles, General Manager, DPTS OTHER SOURCES: STAFF REFERENCE: Paul McChancy, Mass Transit Administrator BUDGET/TIME The proposed FTA operating assistance grant requires a 50/50 match. IMPLICATIONS: The local match would be made up of state operating funds already awarded to Decatur. No additional local funds will be required.