AGENDA #4e

MEMORANDUM

TO:                  Mayor and Town Council

FROM:            W. Calvin Horton, Town Manager

SUBJECT:       Project Ordinance for a FY2000-2001 Transportation Capital and Planning Grant

DATE:             October 22, 2001

The attached ordinance would establish a project budget for a transit capital and planning grant for which we received final approval on June 7, 2001.  The grant will be used to pay the rent for land leased by the Town for a park and ride lot facility, to maintain surveillance equipment at park and ride lots, for bus shelter purchase and shelter improvements, to purchase associated capital maintenance items, and for transit planning activities.

BACKGROUND

On May 8, 2000 the Council authorized the filing of applications for federal and State transit grants for capital and planning funds as part of the FY2001 budget.

Urbanized Area Formula Program (Section 5307) Funding - Federal Transit Administration’s funding is distributed by formula to Urbanized Areas and is available for funding capital and planning needs.

A Federal Transit Administration grant for these funds was requested for 80% ($198,280) of the total transit capital and planning project expenses of $247,850.

After the federal application is approved the Town of Chapel Hill will submit an application to the N.C. Public Transportation Division to request $12,523 of the eligible capital and planning project costs.  The State no longer provides a match for small capital projects and therefore only 10% of eligible project costs are requested.

The Town of Chapel Hill will provide a local match of $37,047 for this project.  The Town’s matching share is available in the Transportation Fund.

DISCUSSION

Urbanized Area Formula Program (Section 5307) - Capital

The Federal Transit Administration Section 5307 capital funds ($58,836) will be used to purchase associated capital maintenance items including engine/transmission rebuild units, air conditioning compressors, and bus tires.  The federal guidelines also require that recipients of Section 5307 funds establish a minimum annual expenditure of 1% for transit projects that would enhance mass transit service or use.  These funds will be used to rehabilitate and improve bus stops within the Town’s service area.  The Federal Transit Administration will provide 80% ($11,260) of the total transit enhancement expenses requested of $14,075.

Urbanized Area Formula Program (Section 5307) - Planning

Planning funds totaling $110,030 will be used to cover staff costs in transportation planning activities.  These funds will be used to evaluate transit facilities and local land use plans, collect traffic count data, evaluate compliance with the Americans with Disabilities Act, develop the 2025 regional plan, develop a bike/pedestrian plan, and develop the annual Transportation Improvement Plan and the Unified Planning Work Program.

RECOMMENDATION

That the Council adopt the following project ordinance.


AN ORDINANCE ESTABLISHING A PROJECT BUDGET FOR A TRANSPORTATION GRANT (2001-10-22/O-2)

BE IT ORDAINED by the Council of the Town of Chapel Hill that, pursuant to Section 13.2 of Chapter 159 of the General Statutes of North Carolina, the following grant projects are hereby established:

SECTION I

The Urban Area Formula Program (Section 5307) funds are from 2000 federal funds from an agreement with the Federal Transit Administration.

SECTION II

The Manager of the Town of Chapel Hill is hereby directed to proceed with the implementation of the project within the terms of the grant agreements executed with the Federal Transit Administration and the North Carolina Department of Transportation within the funds appropriated herein.

SECTION III 

The following revenue is anticipated to be available to the Town to complete activities as outlined in the project application.

Urbanized Area Formula Program (Section 5307)

            Federal Transit Administration (FTA)                            $198,280

            NC Department of Transportation (NCDOT)                               12,523

            Town of Chapel Hill (local match)                                                 37,040

                                                                        TOTAL                        $247,850

SECTION IV

The following amounts are appropriated for the FY2000 Section 5307 project:

Salaries - Full Time                                                                   $  90,029

Fringe Benefits                                                                  13,145

FICA                                                                                             6,856

M & R Vehicles                                                                           13,547

Supplies – Fleet                                                                            60,000

Miscellaneous Contracted Services                                               64,273

                                                                        TOTAL                        $247,850

SECTION V

The Manager is directed to report annually on the financial status of the project in an informational section to be included in the Annual Report.  He shall also keep the Council informed of any unusual occurrences.

SECTION VI

Copies of this project ordinance shall be entered into the Minutes of the Council and copies shall be filed within 5 days of adoption with the Manager, Finance Director and Town Clerk.

This the 22nd day of October 2001.