Fiscal Note
Adoption of this resolution, because it is advisory only, has no direct budgetary or fiscal impact.
Title
SUBSTITUTE - Whereby the Common Council advises the Transit and Parking Commission of its general preferences and direction related to the 2006 Madison Metro budget and how that budget might affect fare increases.
Body
PREAMBLE
Madison Metro generally enacts changes to fares, if any, during the summer months, usually no later than the end of August. Occasionally fares are changed in January. The process for changing fares requires a great deal of lead time. Federal requirements for public hearings and the logistical necessities associated with printing Ride Guides and schedules require advance notice to accomplish. Enactments are timed for school years or semesters. The City's budget development process occurs in August and September, culminating in the issuance of the Executive Budget at the beginning of October. Looking at these two processes together makes it necessary for the Transit and Parking Commission to act far in advance of the Council's actual consideration of the budget if revenue from fare increases must be applied during the current year. Since Madison Metro faces budget challenges in 2005 and 2006, the Transit and Parking Commission must either raise fares or know of the Mayor's and Common Council's commitment to supply tax support for operations now, well before the budget process is concluded.
WHEREAS, Madison Metro is faced with a $400,000 deficit for the remainder of 2005 and a projected deficit of $1.4 million in 2006; and
WHEREAS, preliminary budget instructions from the Mayor have been for Madison Metro to procure at least $200,000 of revenue in 2005 and $500,000 in 2006; and
WHEREAS, in order to accomplish that, the Transit and Parking Commission will have to act in an accelerated manner during July and August to adopt a fare increase, the amount of which has yet to be determined; and
WHEREAS, p...
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