The City of Billings MET Transit Division receives Federal grant operating assistance available through the State of Montana, Section 5316 JARC (Job Access Reverse Commute) program, established to help supplement operating expenses for paratransit service to the low income disabled citizens of Billings.  On June 22, 2009, City Council accepted this grant in the amount of $120,096.50.  The City of Billings MET Transit Division was recently advised by the Montana Department of Transportation - Transit Section, of the availability of additional funds for FY 2010. If the amended contract is accepted by the City, the contract amount would increase from $120,096.50 to $206,850.50 and will provide reimbursement for an additional $86,754.00 of operating expenses (like/kind local contribution) to the MET on a 50% grant, 50% local basis.  Sufficient eligible operating expenses will be expended from the FY 10 budget to meet the required match amount.   These additional funds were referenced in the Transportation Improvement Program (TIP) Amendment, which was brought before the City Council at the March 8, 2010, City Council meeting.

The City Council may:

• Approve the contract as amended in the amount of $206,850.50; or
• Not approve the contract as amended in the amount of $206,850.50.

This contract will allow the MET to access an additional $86,754.00 in grant revenue to offset FY 10 paratransit operating expenses incurred transporting the disabled low income citizens of Billings.

Staff recommends that the City Council approve and the Mayor execute the attached Amendment One (1) Contract with the Montana Department of Transportation for paratransit operating assistance funded through the Federal Transit Administration JARC program.