AGENDA #4f

MEMORANDUM

TO:	Roger L. Stancil, Town Manager
FROM:	J.B. Culpepper, Planning Director
SUBJECT:	Long Range Transit Plan Budget Amendment
DATE:	February 12, 2007

The attached budget ordinance would establish a budget of $522,000 for the Long-Range Transit Plan and would allocate $134,486 of General Fund balance for the Town’s share of the Plan.  

BACKGROUND

On January 8, 2007, the Council authorized the Town Manager to execute memorandum of agreements with Carrboro and the University to fund the Long Range Transit Plan (Attachment 1).  The Plan is proposed to be jointly funded by Chapel Hill, Carrboro and the University of North Carolina at Chapel Hill.

DISCUSSION

The Long Range Transit Plan is anticipated to cost $522,000. The proposed funding is to be provided by several different sources.

• Funding of $160,000 in federal transportation funds allocated by the Durham-Chapel Hill-Carrboro Transportation Advisory Committee. These federal funds require a 20 percent local match. The 20 percent ($40,000) match has been split between Chapel Hill, Carrboro and the University consistent with the population percentages used for the transit system budget. Chapel Hill is responsible for 45.8 percent of the transit budget for a Town match of $18,320.
• The University agreed to provide 60 percent of the funding for the next $200,000 of expense, representing $120,000. The remaining $80,000 was split between Chapel Hill and Carrboro based on the agreed population formula, with Chapel Hill assuming approximately 75 percent ($60,289) of the cost.
• The remaining $122,000 was allocated between Chapel Hill, Carrboro and the University based on the population percentages used in the transit system budget making Chapel Hill responsible for an additional $55,876.

The table below summarized the total funding by source.

Chapel Hill	$134,486
Carrboro	45,306
University of North Carolina	182,208
Durham-Chapel Hill-Carrboro
Metropolitan Planning Organization	160,000
Total	$522,000

The proposed allocations from each participant includes a share of the $40,000 match for the $160,000 federal funds allocated from the Durham-Chapel Hill-Carrboro Metropolitan Planning Organization. The $40,000 match has been allocated to each partner as shown below.

Chapel Hill	$18,320
Carrboro	$  6,320
University of North Carolina	$15,360
Total	$40,000

We propose to allocate $134,500 from General Fund balance.

RECOMMENDATION

That the Council adopt the attached resolution accepting the federal grant funding allocated by the Durham-Chapel Hill-Carrboro Advisory Committee and enact the budget amendment ordinance for the Long Range Transit Plan budget.

ATTACHMENTS

1. January 8, 2007 Council Memorandum (begin new page 1).