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HomeMy WebLinkAbout08/07/1990, C-8 - FEDERAL BUDGET CUT - TRANSIT °�""� �i�Hlllliffli'' ll�lll city of San suis OBIspo "'j'^?gtTE: COUNCIL AGENDA REPORT �"NUMBER FROM: Ken Hampian, Assistant City Administrative Officer Prepared by: Harry Watson, Transit Manager SUBJECT: Federal Budget Cut - Transit CAO RECOMMENDATION: Approve and authorize the Mayor to sign a letter on behalf of the Council to Senators Cranston and Wilson and Congressman Panetta asking for enhanced Federal support for public transit at the local level. DISCUSSION: Background President Bush has announced his support of a tax increase to deal with the massive Federal deficit. As a part of the process, Congressional leaders are currently discussing the specific mix of tax increases and spending reductions that they will propose to deal with the deficit situation. The Federal Transit Program of which San Luis Obispo has relied on in the past for the purchase of its rolling stock and to a lesser degree small operation assistance grants, is currently in the hands of the budget negotiators. Two points need to be made to our elected officials. 1. Further cuts in transit funding must not be made. Transit funding has been cut 50% - in real terms in the past nine years. With the potential for increase costs with the impending Clean-Air Act and the Americans with Disabilities Act, more Federal funding, not less would be appropriate. Now more than ever Transit is playing an increasing role in both cleaning up our environment and lessening the impact on our streets and roads of increasing numbers of automobiles. Further cuts in funding will make these goals more unattainable. 2. Gas tax increases should not be used for deficit reduction. The very funding source for assistance historically given to transit systems throughout the nation has come from the Federal gas tax. Using the gas tax as a budget balancing mechanism would seriously cripple the ability of most rural systems and many urban systems to maintain even their existing level of service, let alone keeping up with any growth rate that might take place. Q" "111PRl���jl city of San'TUIS o81Spo Mrso COUNCIL AGENDA REPORT Council Agenda Report Page Two FISCAL IMPACT: If the Urban Mass Transportation Act (UMTA) is no longer funded, San Luis Obispo would be required to use all of its enterprise Transportation Development Act (TDA) funds, and supplement with other funds if it is to continue its transit commitment. Currently TDA is used for the operation of the transit activity with any unused TDA monies going for streets and roads maintenance. UMTA funds have traditionally been used to purchase our buses along with minor operating grants. ATTACMUMTS: Recommended letters to our Senators and Congressman are attached for your consideration. HW\bugcut Attachments: Letter to Senators Letter to Congressman Leon Panetta r July 19, 1990 The Honorable Senator United States Senate Senate Office Building Washington, DC 20510 Dear Senator I am writing to express my support for enhancing and expanding the role of public transit in San Luis Obispo County and in towns and cities across the nation. SLO Transit provides jobs,transports employees to jobs, helps reduce air pollutibn,increases mobility choices and affords greater independence for handicapped and elderly persons, low income individuals and persons living in San Luis Obispo. In 1991, Congress will .re-write and reauthorize the federal transit program. In the reauthorization process, bask your support for a clear statement of national purpose to: I. expand the availability, use and investment in public transit; and 2. a commitment to expand federal transit investment to reverse the ten-year 50% federal "decline in.transit funding that has taken place. Only an expanded federal program and clear federal goals can ensure the continued mobility and economic growth of our community. As you consider the Surface Transportation Assistance Act, please keep in mind transit's importance to San Luis Obispo and to the cities across America. Sincerely, Ron Dunin Mayor C \senate c-�-3 July 19, 1990 The Honorable Congressman Leon Panetta United States House of Representatives House of Representatives Washington, DC 20515 Dear Congressman Panetta: I am writing to expre"ss my support for enhancing and expanding the role of public transit in San Luis Obispo County and in towns and cities across the;nation. SLO Transit provides jobs,transports employees to jobs, helps reduce air pollution, increases mobility choices and affords greater independence for handicapped and elderly persons, low income individuals and persons living in San Luis Obispo. In 1991, Congress will re-write and reauthorize the federal transit program. In the reauthorization process, I ask your support for a clear statement of national purpose to: i 1. expand the availability, use and investment in public transit; and 2. a commitment to expand federal transit investment to reverse the ten-year 50% federal decline in transit funding that has taken place. Only an expanded federal program and clear federal goals can ensure the continued mobility and economic growth of our community. As you consider the Surface Transportation Assistance Act, please keep in mind transit's importance to San Luis Obispo and to the cities across America. Sincerely, Ron Dunin Mayor \panetta � c-�- y