Fiscal Note
The proposed resolution amends Metro Transit’s 2025 Operating Budget to appropriate revenues and costs associated with contracted service to the City of Verona and to appropriate additional federal funds.
Annual revenues from the Verona contract are $587,268 with a partial year amount in 2025 of $295,740. To implement the service, the proposed resolution would increase Metro’s authorized position count by 5.5 FTE and provide an increase to other non-personnel costs including parts, fuel, and contracted paratransit service. The annual cost of these changes is $586,000 with an expected 2025 cost of $287,187. The net increase of 5.5 FTE comes from both the creation of new positions and removing an existing Data Analyst position and two LTE Marketing positions.
The resolution also appropriates Federal Transit Administration section 5304 funds to conduct long range transit planning activities. The total award is $640,000. This resolution appropriates $320,000 of that amount in the 2025 budget.
In total, the proposed resolution increases Metro’s 2025 budgeted revenues by $615,740 and increase budgeted expenses by $607,187. Any revenues in excess of expenses would go to Metro fund balance.
Title
Amending the Metro Transit Operating Budget to provide additional contracted service for the City of Verona and incorporation of federal planning funds.
Body
WHEREAS, the City of Verona has approved a budget to increase their contracted transit service with the City of Madison at an additional annual cost of $587,268 ($295,740 partial year 2025); and
WHEREAS, the Wisconsin Department of Transportation has awarded Metro a total of $640,000 ($320,000 in 2025 and $320,000 in 2026) in Federal Transit Administration section 5304 transit funds to conduct long range transit planning activities; and
WHEREAS, Metro Transit can access funding through the City of Verona and the 5304 funds to fund necessary positions and expenses related to this additional service and planning work; and
WHEREAS, Metro Transit would like to amend the 2025 operating budget to change positions, supplies, and purchased services to reflect a mid-year implementation of Verona services as follows:
• Partner Revenue: +$295,740
• Federal Revenue: +$320,000
• Consulting Services Expense: +$320,000
• Parts Expense: +$10,000
• Fuel Expense: +$10,000
• Contracted Paratransit Service Expense: +$90,000
• Benefits for position changes below: +$69,000
• Add four (4) Transit Operators (CG41, R05A), assumed to be hired after July 1, 2025: +$113,382
• Positions assumed to be hired on or after March 1, 2025:
o Delete part time Transit Service Worker in position #2708 (currently vacant) and recreate the position as a full time Transit Service Worker - part time (CG41, R3): +$23,413
o Add one (1) additional Transit Service Worker (CG41, R3): +$46,829
o Add one (1) Transit Garage Dispatcher (CG41, R5): +$47,906
o Add one (1) Transit Utility Worker (CG41, R4): +$48,226
o Add one (1) Transit Parts Specialist (CG42, R10): +$42,945
• Remove one (1) Transit Data Analyst 3, position #5037 (currently vacant) (CG44, R8): savings of $76,879
• Remove two (2) Transit Marketing Specialist 2 positions (CG44, R6). These positions are LTE. One (position #4979) is now vacant, and one (position #5052) will be ending in March as Metro’s Bus Rapid Transit implementation and fare media changes wind down. Savings of $137,636.
WHEREAS, the revenue increase for this change in 2025 ($615,740) is greater than the estimated expenses Metro will incur ($607,187), resulting in no additional funding from the City of Madison, and full year increased investment from the City of Verona will continue to cover the costs in future budgets;
NOW, THEREFORE, BE IT RESOLVED, that the Common Council of the City of Madison approves amending the Metro Transit 2025 Operating Budget to accept these additional funds and increase the budgeted expenditures as described herein.