Title
Ordinance in the Amount of $1,400,000 Amending FY 13-14 GTA Budget for Addendum to Contract with Veolia Transportation Services, Inc. (Contract #2012-5327) for Management and Operation of GTA Services
Body
Department: Transportation
Council District: Citywide
Public Hearing: NA
Advertising Date/By: NA
Contact 1 and Phone: Adam Fischer 373-2861
Contact 2 and Phone: Libby James 373-2820
PURPOSE:
GTA contracts with Veolia Transportation Services, Inc. for the management and operation of transit services. A contract addendum totaling $1.4 million is required in order to pay Veolia for providing these services through June 30, 2014. A budget ordinance needs to be approved to fund the addendum.
BACKGROUND:
On March 20, 2013 the Greensboro Urban Area Metropolitan Planning Organization (GUAMPO) took action to allocate $1.4 million in Surface Transportation Program-Direct Apportionment (STP-DA) funds to be used for contacted transportation expenses for GTA. These funds were not budgeted as part of the FY 13-14 budget process because GTA did not have the necessary notification from the State for it to be included in the budget. Therefore, the contract with Veolia was left $1.4 million less than anticipated expenditures with the intent that an addendum would be completed once the funds became available.
Due to the timing of the Federal Fiscal Year budget cycle, STP-DA funds still have not been released. As a result, fund balance needs to be appropriated from the GTA fund and City Council approve the contract addendum in order to reimburse Veolia Transportation for eligible contracted transportation services.
The additional contract expenses are as follows:
Evening Service Expansion $ 1,100,310
Overcrowding (Extra Vehicle Usage) $ 151,658
Personnel Costs $ 73,032
SCAT ADA Para-transit Service $ 75,000
Total Additional Costs $ 1,400,000
BUDGET IMPACT:
This addendum will increase the FY 13-14 GTA budget as follows:
564-4531-02.5423 $ 1,325,000
564-4531-03.5423 $ 75,000
$1,400,000
Staff intends to use STP-DA funds to cover these expenses. However, as these funds have not yet been made available from the State, GTA fund balance must be appropriated in order to fund the addendum. Once STP-DA funds are made available, the eligible expenses will be charged to that grant allowing these funds to revert back to fund balance.
RECOMMENDATION / ACTION REQUESTED:
Staff recommends and requests the approval of the attached budget ordinance for the contract addendum with Veolia Transportation, Inc.