Title
Agreement Amendment with Regional Public Transportation Authority for Purchase of Fixed Route Transit Service for Fiscal Year 2022 (Ordinance S-47585)
Description
Request to authorize the City Manager, or his designee, to execute an amendment to Agreement 143071 with the Regional Public Transportation Authority to provide additional funding to pay for bus transit service operated within Phoenix. Further request to authorize the City Controller to disburse all funds related to this item. The additional funding for Fiscal Year 2022 will not exceed $7,750,546.
Report
Summary
Transit services are customarily purchased and sold between regional transit agencies where adding service or continuing an existing bus route is most economical. Each Fiscal Year, the City determines the level of service to be operated within its boundaries and executes an amendment to its Service Agreement with Regional Public Transportation Authority (RPTA) to authorize funding for that year’s service. In Fiscal Year 2022, RPTA will provide the following fixed route bus service within Phoenix: Routes 30 (University Drive); 45 (Broadway Road); 56 (Priest Drive); 61 (Southern Avenue); 77 (Baseline Road); 108 (Elliot Road/48th Street); 140 (Ray Road); and 156 (Chandler Boulevard). The City also sells service to RPTA on various routes.
At the end of each fiscal year, the City and RPTA assess the actual miles operated, gross costs incurred, federal funds credited (for preventative maintenance), and fare revenues collected. The City and RPTA then reconcile the difference between the original estimates and actual costs through a credit memo or billing, as applicable.
Financial Impact
The anticipated number of annual fixed-route miles for Fiscal Year 2022 is 1,457,190 miles at an estimated cost of $10,756,109. The total estimated farebox revenue is $372,932 and the total estimated preventive maintenance credit is $794,985. In addition, the City is estimated to receive a $1,837,646 Coronavirus Response and Relief Supplemental Appropriations Act (CRRSSA) funding credit for services RPTA provides within Phoenix. The total estimated net cost for RPTA's billing to the City is $7,750,546.
Funding is available in the Public Transit Department operating budget using Transportation 2050 funds.
Concurrence/Previous Council Action
The City Council approved Service Agreement 143071 with RPTA (Ordinance S-42474) on April 20, 2016.
Department
Responsible Department
This item is submitted by Deputy City Manager Mario Paniagua and the Public Transit Department.