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Regular   4.
Regular City Council Meeting
Meeting Date:
10/26/2009
TITLE
Public Hearing and Resolution Authorizing Filing of Federal Transit Administration Section 5309 Grant
PRESENTED BY:
Tom Binford
Department:
Presentation:

PROBLEM/ISSUE STATEMENT

The 2009 Omnibus Appropriations Act appropriated funds to the Federal Transit Administration (FTA), Section 5309, Bus and Bus-Related Facilities program.  These funds are issued to eligible sponsors on a discretionary basis and can be used to purchase new and replacement buses.  The City of Billings was able to secure $247,000 of the Section 5309 funds to replace four vans in the MET Special Transit fleet.  These vans have reached, or will soon reach, their useful life and are eligible for replacement in accordance with the City's Equipment Replacement program.  Two of the vans will be replaced in Fiscal Year 2009/10 and two during Fiscal Year 2010/11.

In order to apply for this grant, it is necessary to include with the grant application a resolution formally authorizing the Mayor to execute the grant agreement with the Department of Transportation (DOT). There is also a requirement for a public hearing for this grant application. Public hearing notices were published in the Billings Times on September 24, 2009, and October 8, 2009, advertising a public hearing on October 26, 2009.
 

ALTERNATIVES ANALYZED

The Council may:
  • Approve the filing of a grant application in the amount of $247,000 for the purchase of four paratransit vans to continue the fleet replacement program; or
  • Not approve the filing of the grant application in the amount of $247,000 for the purchase of four paratransit vans to continue the fleet replacement program.

FINANCIAL IMPACT

The grant is funded 80% Federal ($247,000) and 20% local share ($61,750) for the total amount of $308,750. Since the grant funding will cover van replacement purchases in two fiscal years, one-half of the grant and local share amounts will be utilized in FY 2009/10 and the balance of these funds in FY 2010/11.  Local share funding is available in Transit's capital fund.

RECOMMENDATION

Staff recommends that following the required public hearing, Council approve a resolution authorizing the filing of a grant application, and the subsequent execution by the Mayor of a grant agreement with the DOT, FTA, upon receipt of the grant offer provided for under the Omnibus Appropriations Act, 2009.  A copy of the resolution is available for review in the City Clerk's office.

APPROVED BY CITY ADMINISTRATOR

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