Title
Request Authorization to Apply for and Accept FTA Section 5339 Buses and Bus Facilities Infrastructure Investment Grant Funds (Ordinance S-46457)
Description
Request to authorize the City Manager, or his designee, to apply for the Federal Transit Administration (FTA) Section 5339 Bus and Bus Facilities Discretionary Grant for an amount not to exceed $6,948,750, and to enter into an agreement with the FTA for the purpose of accepting awarded grants. Further request to authorize the City Treasurer to receive and the City Controller to disburse all funds related to this item.
Report
Summary
The Section 5339 Bus and Bus Facilities Competitive Grant Program provides funds to state and local governmental authorities for capital projects to: replace, rehabilitate, purchase, or lease buses and related equipment; and rehabilitate, purchase, construct, or lease bus-related facilities. The purpose of this program is to improve the condition of the nation's public transportation bus fleet; expand transportation access to employment, educational, and healthcare facilities; and improve mobility options in rural and urban areas throughout the country. The Public Transit Department will seek to utilize a combination of the Section 5339 Grant and local matching funds to purchase up to 15 buses to replace aging buses that have been utilized beyond the end of their useful life. The new buses will replace aging buses used to operate daily transit service and provide transportation for a large number of passengers to reach employment and employment-related services.
Financial Impact
Applications for the FTA Section 5339 Grant require a minimum 15 percent nonfederal cost share. The total cost of this purchase is estimated to be $8,175,000, with the City's portion not to exceed $1,226,250.The local match will come from Regional Public Transportation Funds (Prop. 400) for the nonfederal share.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Public Transit Department.