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Home My WebLink About09/04/1990, C-6 (B) - A RESOLUTION AUTHORIZING THE APPLICATION FOR AN UMTA SECTION 18 DISCRETIONARY GRANT TO PURCHASE TWO �ul,�{I - - MEETING DATE: II ��u11ill1uj city of san Luis oBispo 9- -gro 48) WRIMN COUNCIL AGENDA REPORT ITEM NUMBER / FROM: Ren Hampian, Assistant City Ad#nistrative Officer Prepared by: Harry Watson, Transit Manager SUBJECT: A Resolution authorizing the Application for an UMTA Section 18 Discretionary Grant to purchase two transit coaches. CAO RECOMMENDATION: Adopt a resolution authorizing staff to apply for a new UMTA Section 18 Discretionary Grant to purchase two transit coaches. DISCUSSION: Background Three of our existing six bus fleet were purchased in 1982 as used equipment, using UMTA funds. The expected useful life of a Transit vehicle is 10 years. One bus that .we use for the Cal Poly tandem is a 13 year old vehicle that we lease from Laidlaw Transit, Inc. at a cost of $1,150.00 per month.. This grant application is to fund the replacement of our leased bus and provide for one additional bus. The future, starting next year is questionable as to the availability of grants to assist transit operators. At this time the funding of the entire Urban Mass Transit Act is the subject of discussion in Congress. The current funding cycle that this grant application would fall into was funded through a previous budget . authorization. It is a matter of speculation as to whether any future UMTA grants will be available to both large and small transit operators. For this very reason, it is timely that we make application at this time for any discretionary funds that might be available in the current cycle of UMTA funding. Discretionary grant applications are awarded by CalTrans based on the percentage of Transportation Development Act, monies that each applicant uses in providing its public transit. After that criteria has been met, the grant applications become a competition based on perceived need, the amount of service offered, and the level of match. The percentage of matching funds that a .local agency is willing to participate with in the grant process is weighed heavily. The percentage of match is the equivalent of a self-help county when looking for highway dollars. Recent history has shown that a 25% match is the minimal amount to be considered in the grant application process with those participating at a higher percentage being rated above those who do not. CalTrans has moved the deadline for Discretionary Grants up by several months to the end of September. The due date has traditionally been in mid-December. C:'fi QN111111ifX1111 city or San tui s OBISPO COUNCIL AGENDA REPORT Council Agenda Report Page Two SIGNIFICANT IMPACTS: The availability of new, reliable equipment would relieve the City from the burden of the monthly lease costs that we currently pay to Laidlaw Transit, Inc. for the use of the tandem bus. This tandem bus is necessary to transport the peak ridership of the Cal Poly student population currently using this system. The existing four routes that San Luis Obispo Transit operates is the same basic system that has been in operation for the past 7 years. With the growth of the City in the past 7 years, it is an ongoing and compounding problem to attempt to stay on schedule with our four routes as they are laid out today. Lack of adhering to schedule has been the number one complaint voiced by the public to the Mass Transit Committee and the numbers of complaints are growing. Overshadowing the complaints are the numbers of people who no longer use the system due to our consistently running late. The addition of one unit to our rolling stock would give us the option to restructure our routing schedule, and to once again be able to maintain headways that could be relied on by the transit- using public. CONCURRENCES: A first step in any UMTA grant application process is to have the proposed project spelled out in the PROGRAM OF PROJECTS as formulated by the local transportation fund. In San Luis Obispo's case this is administered by the San Luis Obispo Coordinating Council. Attached to this Agenda item is a letter of intent submitted by the San Luis Obispo Area Coordinating Council, spelling out its intent to include our grant application in its program of projects for fiscal year 1990-91. FISCAL IMPACTS: The amount of the grant application for the purchase of two 3511 , lift equipped, kneeling transit coaches is in the amount of $340,000. To be considered in the grant application process, San Luis Obispo should be willing to participate at a minimum rate of 26%. SLO's contribution from its Transportation Development Act (TDA) Enterprise Fund would have to be increased by $88,400.00, which is 26% of the grant amount. The match would be necessary during the last quarter of Fiscal Year 1990-91 or the first quarter of Fiscal Year 1991-92, depending on the manufacturers delivery period. �-G •e2 d,��u��►IIIII�II�� ►��I�U city of san Luis osispo COUNCIL AGENDA REPORT Council Agenda Report Page Three Sufficient funds exist in the 1989-91 Transit Fund, fund balance, end of year projection which is $201,900.00. If we are successful with the grant application, we would be able to effect a savings annually in the amount of $13,800, which is what we are currently spending to lease the one tandem bus from Laidlaw Transit, Inc. Over the ten year expected life of the bus, that would amount to a savings of $138,000. FINAL APPLICATION: The grant application, when completed, will be available for review in the City Clerk's office. Given the accelerated application deadline, however, the application will not be completed until the first or second week in September. . Through this staff report, staff is requesting authorization to pursue grant funding so that the application can be submitted as soon as possible after completion. ALTERNATIVES: 1. Do not submit the application. The city will continue to lease the transit coach from the contractor as we do now. No adjustment of current routing would be considered to rectify our running late as we are now. 2. Submit the application. This is the recommended alternative. If the grant is approved, the City would purchase. two transit coaches during Fiscal Year 1990-91 and discontinue leasing the tandem bus from Laidlaw Transit, Inc. ATTACHMENTS: 1) Resolution 2) Letter of intent from the Area Coordinating Council capendarep RESOLUTION NO. (1990 SERIES) C A RESOLUTION OF THE COUNCIL OF THE CITY OF SAN LUIS OBISPO AUTHORIZING AN APPLICATION FOR AN UMTA SECTION 18 DISCRETIONARY GRANT TO PURCHASE TWO TRANSIT COACHES BE IT RESOLVED by the Council of. the City of San Luis Obispo; Section 1: To authorize the application for as UMTA Section 18 Grant to purchase two transit coaches. Section 2: To authorize the City Administrative Officer or his designee to sign all documents pertinent to the application. , Section 3: To appoint the City Administrative officer or his designee as the agent of the City of San Luis Obispo to conduct all negotiations, execute and submit all documents pursuant to the City's Purchasing Manual. All original documents including, but not limited to, the applications, agreements and amendments are to be retained in the office of the City Clerk. Section 4: The City Clerk is hereby directed to furnish an executed copy of this resolution for attachment to approved C application and other supporting materials as may be required for forwarding to: Cal Trans, Department of Transportation District 5, 50 Higuera Street San Luis Obispo, CA 93403 Cal Trans, Division of Mass Transportation 1120 N Street Sacramento, CA .95811 NOW, THEREFORE BE IT RESOLVED that authorizing an application for an UMTA Section 18 Discretionary Grant to purchase two transit coaches is hereby approved. On motion of seconded by and on the following roll call vote: AYES: NOES: ABSENT: �1 Resolution No. (1990 Series) ' Page Two Upon motion of seconded by and on the following roll call vote: AYES: NOES: ABSENT: the foregoing resolution was adopted this day of 1990. Mayor Ron bunin ATTEST: Pam Voges, City Clerk APPROVED: ityrinistrative Officer tai me hw\umta San Luis Obispo--Area Coordinating council Arroyo GAtaran Grover City Morro Bay and Regional Transportation Planning Agency Paso Robles Pismo Beach San Luis Obispo San Luis Obispo County August 6, 1990 Hairy Watson San Luis Obispo Transit P.O. Box 8100 San Luis Obispo CA 93403 Dear Mr. Watson: We spoke about the current UMI'A Section 18 grant application you are currently Ping, and I wish to record my support for the bus p z&Aase Project. Miere is no possibility at this time of recording the relative Priority of your project and others in the region, as the program of Projects has not been reviewed as of this date, but projects such as yours fall into the first priority, according to San Luis Obispo Area Coordinating Council policy. We will be working with you to see that needed buses are acquired. It may be useful to note that the PY 1990/91 Transportation Development Act Claim Resolution, adopted by the Area Council on July 11, 1990, shows that San Luis Obispo is using 100% of their jurisdictional allocation for transit. Priority is given to projects for Mich other funds are not available. Please call me at 549-5711 if there is anything I can do to assist further. Sincerely, Ronald L. De Carli Dan Herron Transportation Planner County Government Center, San Luis Obispo, CA 93408 (805) 549-5710