The Money Issue: Financing and Funding Tribal Transit. Community Transportation EXPO Tampa, Florida June 3, 2015

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1 The Money Issue: Financing and Funding Tribal Transit Community Transportation EXPO Tampa, Florida June 3, 2015

2 Diversified Funding Not Putting All Of Your Eggs In One Basket

3 Diversification= Flexibility= Sustainability

4 Funding categories Capital Operating - Vehicles - Facilities - Equipment Fuel Drivers Salaries Insurance Maintenance Parts 4

5 Federal Transit Administration (FTA) Tribal Transit Program Core Funding 5

6 FTA Tribal Transit Created in 2006 through SAFETEA-LU. Continued/extended through MAP-21. FY $8 million. FY $30 million. For Federally Recognized Tribes. Tribes are direct recipients from FTA. 6

7 FTA Tribal Transit Discretionary FY $5 million. Priority for Planning and Capital. 90% Federal share. Limited for Operating. New Starts. Formula FY $25 million. 100% Federal Share. Planning, Capital, Operating, Job Access & Reverse Commute eligible. Three Tiers. 7

8 Discretionary Program Evaluation Criteria Operating & Capital Planning and Local Prioritization. Project Readiness. Demonstration of Need. Demonstration of Benefits. Financial Commitment and Operating Capacity. Planning Need and General Scope of Proposed Study. What is the Long Term Commitment to Tribal Transit? How Will the Proposed Study Implement and/or Further Tribal Transit? 8

9 Formula Program Tiers Tier 1: $12.5 million. Tier 2: $6.25 million. Tier 3: $6.25 million. 9

10 Formula Basis Information reported to National Transit Database (NTD). Urban and rural FTA recipients must report information to the NTD. Data from existing tribal transit services should be reported. 10

11 NTD Reporting -- Total annual revenue. Sources of revenue. Total annual operating costs. Total annual capital costs. Fleet size and type, and related facilities. Revenue vehicle miles. Ridership. 11

12 Tier 1 Based upon vehicle revenue miles. Vehicle revenue miles reported to the (NTD) annually. FY 2014 Grants range from $186 to $1,406,

13 Vehicle Revenue Miles Vehicles are scheduled to or actually travel while in revenue service. 13

14 Tier 2 Indian Tribes providing at least 200,000 vehicle revenue miles. Vehicle revenue miles reported to the NTD. 28 recipients in FY Equal awards of $223,

15 Tier 3 Tribes with more than 1,000 low income residents. Income data from U. S. Census. Tribes receive funding proportionate to their share of all low income individuals among Tier 3 tribes. Maximum award $300,

16 FTA provides on line mechanism for NTD reporting 16

17 FTA Section 5311 Rural Transit Program 17

18 FTA Section 5311 Grants to non-urbanized areas. States administer Program.* States receive allocation based upon rural land area, population and vehicle revenue miles. Can support capital, operating, planning, job access and reverse commute projects. 18

19 * Tribes can become direct recipients. Tribe is responsible for compliance and reporting otherwise performed by State. 19

20 Section 5311 Match Requirements Capital Projects: 80%* Operating Assistance: 50% ADA Paratransit Service: 80%* * Federal shares higher in States with significant Federal land area. 20

21 Section 5311 Capital Vehicles. Communications equipment. Signs/Shelters. Facilities States may limit Section 5311 for capital. 21

22 Section 5311 Operating Federal share = 50% of net operating deficit. Net operating deficit is operating loss fare revenue. Contract revenue can be used as match. 22

23 Conventional Federal Funding FTA Section FTA Section DOT TIGER grants. FHWA Tribal Transportation Program. Federal Lands Highways Program.

24 FTA Section 5339 Bus and Bus Facilities Program. Capital only. Recipients must be public bodies. Tribes could be subrecipients. 80%+ Federal share (90% for Clean Air or ADA equipment). 24

25 FTA Section 5310 Capital assistance for elderly persons and persons with disabilities. (Purchase of service option) State administered. Tribal agencies could be subrecipient. 80%+ Federal share. Coordination requirement.

26 TIGER grants Transportation Investment Generating Economic Recovery 26

27 TIGER Grants Competitive Program. Capital. FY 2015 $500 million. 27

28 FHWA Tribal Transportation Program Primarily roads program. Can be used for transit. 28

29 Federal Lands Highways Program Can finance transit vehicles and facilities. Must serve Federal or Indian lands.

30 Other Federal Funding Sources 30

31 USDA Rural Community Advancement Program Grant and loan programs for rural areas (<50,000 population). Applications are submitted to state USDA offices. Facilities and vehicles are eligible. Set asides for priority areas, e.g., Alaska Native Villages, Miss. Delta, severe economic distress areas, etc.

32 Older Americans Act Title III-B funds supportive services, including transportation. Can be used for coordinated services.

33 General Services Administration Source of used equipment, including vehicles. GSA may sell, loan or donate surplus equipment

34 Medicaid Transportation to medical services for low income persons. States determine guidelines and mechanisms. Can be significant funding source for coordinated transportation systems. Transportation is guaranteed benefit. Enrollment will increase by 25 million through health care reform.

35 CTAA Loan Funding Community Development Transportation Lending Services (CDTLS). Loans for facilities, operating capital and local match. Information: or

36 More Information Charlie Rutkowski

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