Consent 1.E.
Regular City Council Meeting
- Meeting Date:
- 01/28/2019
- TITLE
- Submittal and Acceptance of Grant Application to the Montana Department of Transportation or the Federal Transit Administration for Capital
- PRESENTED BY:
- Kevin Ploehn
- Department:
- Transit
Presentation:
No
PROBLEM/ISSUE STATEMENT
Each year the City of Billings MET Transit Division (MET) applies for various types of grants with the Transit Planning Division of the State of Montana Department of Transportation (MDT) and/or to the Federal Transit Administration (FTA). These grant funds may be available for planning, capital, training, demonstration, or operating assistance.
Under the current Transportation Bill, FAST-ACT, Section 5310 provides funding that has been allocated to the State of Montana's three larger urban systems (Missoula, Great Falls, and Billings) for capital assistance. This program will be administered by MDT, and MET can apply for Section 5310 funding for the purchase of Paratransit vans. This grant funding will provide 80% of the cost of the vans with a local match contribution of 20%. These vans will be included in the MET capital budget and City Equipment Replacement Program (ERP).
Additionally, Section 5339 funding can become available for capital funding to replace, rehabilitate, purchase buses and related equipment, and to construct or modify bus related facilities. Should capital grant funds become available under the Section 5339 program, MET would like to apply for these funds as well. The Section 5339 grant funding is also an 80% grant, 20% local share program and will be used for buses, bus equipment replacements, and/or facility modifications.
In order to apply with MDT or FTA for these grants, it is necessary to include with the grant application a City Council approved Resolution formally authorizing the City of Billings' Director of Aviation and Transit to submit the on-line grant applications, the annual Certifications and Assurances, and any other documents required to secure grant funding from MDT and/or FTA, and for the Mayor to execute any subsequent grant agreements with MDT and/or FTA.
Under the current Transportation Bill, FAST-ACT, Section 5310 provides funding that has been allocated to the State of Montana's three larger urban systems (Missoula, Great Falls, and Billings) for capital assistance. This program will be administered by MDT, and MET can apply for Section 5310 funding for the purchase of Paratransit vans. This grant funding will provide 80% of the cost of the vans with a local match contribution of 20%. These vans will be included in the MET capital budget and City Equipment Replacement Program (ERP).
Additionally, Section 5339 funding can become available for capital funding to replace, rehabilitate, purchase buses and related equipment, and to construct or modify bus related facilities. Should capital grant funds become available under the Section 5339 program, MET would like to apply for these funds as well. The Section 5339 grant funding is also an 80% grant, 20% local share program and will be used for buses, bus equipment replacements, and/or facility modifications.
In order to apply with MDT or FTA for these grants, it is necessary to include with the grant application a City Council approved Resolution formally authorizing the City of Billings' Director of Aviation and Transit to submit the on-line grant applications, the annual Certifications and Assurances, and any other documents required to secure grant funding from MDT and/or FTA, and for the Mayor to execute any subsequent grant agreements with MDT and/or FTA.
ALTERNATIVES ANALYZED
City Council may:
- Approve the Resolution for the City of Billings to apply for and execute grant agreements administered by MDT or FTA to purchase vehicles or provide other capital assistance; or
- Disapprove the Resolution and advise staff on how to proceed.
FINANCIAL IMPACT
Through the 5310 grants, the MET will be able to replace Paratransit vans should the funding be available. For each van, the cost would be approximately $70,000. Federal share (80%) would be $56,000, local share (20%) would be $14,000. The 5339 grant could provide funding for buses and bus facilities. A new bus is approximately $430,000 with 80% ($344,000) paid with Federal funds and $86,000 in local share match (20%); additionally, facility improvements can be made.
RECOMMENDATION
Staff recommends that the City Council approve the Resolution authorizing the City of Billings MET Transit to apply for any Section 5310, 5339, or any other available capital grants, and allow the Mayor to execute any subsequently awarded grant agreement(s) awarded to the City of Billings.