R2010-129 AMENDING THE APPLICATION FOR AN FY-2010 OPERATING ASSISTANCE GRANT

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� Mass Transit Memorandum No. 053110-1 May 31, 2010 TO: Honorable Mayor McElroy and City Council Members FROM: Ryan McCrady, City Manager Paul McChancy, Mass Transit Administrator SUBJECT: Amendment to FTA Operating Assistance Grant Application for FFY-2010 SUMMARY Staff recommends that Council approve a Resolution to amend RECOMMENDATION: the application for federal operating assistance for FFY-2010 to $981,055. BACKGROUND: The Federal Transit Administration (FTA) has just announced revised FFY-2010 apportionments of grant funds for each metro- politan transit system. These funds can be used for operating expenses and for capital acquisitions. Decatur's apportionment was increased from $591,826 to $1,428,684. City Council has already authorized, and staff has filed an FTA grant application for $591,826 in FY-2010 operating assistance. Staff recommends that this application be increased to $981,055. In November, 2009, City Council approved using the remaining $218,945 from Decatur's FFY-2009 apportionment to offset operating expenses in the first quarter of FY-2010. That grant was awarded and the funds have already been drawn down. That grant of$218,945 plus the proposed grant of$981,055 would total $1,200,000 in FTA operating assistance for FY-2010. The remainder of the FFY-2010 apportionment- $447,629—can be used for capital projects and for FY-2011 operating assistance. Since the FTA is continuing to announce "stimulus" grants for capital projects, staff recommends that the balance of the apportionment be held until after these grants have been awarded. POTENTIAL There are no known or expected objections to this grant OBJECTION: application. INPUT FROM Richard Foiles, General Manager, DPTS OTHERSOURCES: STAFF REFERENCE: Paul McChancy, Mass Transit Administrator