CITY COUNCIL COMMUNICATION

Date: 3-25-02	SUBJECT: FINAL READING OF ORDINANCE # 2002-O-053 AUTHORIZING THE CITY MANAGER TO ACCEPT AND EXECUTE THE FEDERAL TRANSIT ADMINISTRATION GRANT, SECTION 5307, IN THE AMOUNT OF $3,511,128.00 FOR FISCAL YEAR 2001-02; AND AMEND THE TRANSIT SYSTEMS OPERATING BUDGET BY INCREASING THE FEDERAL TRANSIT ADMINISTRATION OPERATING GRANT CONTRIBUTION FROM $3,500,000.00 TO 3,511,128.00 AND DECREASING THE SALES TAX MATCH FOR OPERATING EXPENSES FROM $2,733,648.00 TO $2,722,520.00 AND PROVIDING FOR GRANT FUNDS TO BE DEPOSITED IN THE CITY OF LAREDO TRANSIT FUND.
INITIATED BY: Larry Dovalina, City Manager		STAFF SOURCE: Jose A. Guerra, Interim General Manager
PREVIOUS BOARD ACTION:
BACKGROUND: The Urbanized Area Formula Program makes Federal resources available to urbanized areas and to the Governors for transit capital and operating assistance in urbanized areas and transportation-related planning. For areas with less than 200,000 in population, the funds are apportioned by the Governor of each state for distribution. In Texas, the governor has delegated the distribution authority to the Texas Department of Transportation (TxDOT). A few urbanized areas with less than 200,000 in population have been designated as transportation management areas and are mandated to receive the apportionment indicated in the federal register. Under this formula program, TxDOT’s Public Transportation Division (PTN) works with the transit system to allocate program resources among recipients in an urbanized area.
FINANCIAL: Please see the attached proposed financial worksheet.
LMI BOARD OF DIRECTORS: Item was approved at the LMI BOD meeting on February 28, 2002.		STAFF RECOMMENDATION: Staff recommends introduction of this ordinance.

ORDINANCE NO. 2002-O-053

AUTHORIZING THE CITY MANAGER TO ACCEPT AND EXECUTE THE FEDERAL TRANSIT ADMINISTRATION GRANT, SECTION 5307, IN THE AMOUNT OF $3,511,128.00 FOR FISCAL YEAR 2001-02; AND AMEND THE TRANSIT SYSTEMS OPERATING BUDGET BY INCREASING THE FEDERAL TRANSIT ADMINISTRATION OPERATING GRANT CONTRIBUTION FROM $3,500,000.00 TO 3,511,128.00 AND DECREASING THE SALES TAX MATCH FOR OPERATING EXPENSES FROM $2,733,648.00 TO $2,722,520.00 AND PROVIDING FOR GRANT FUNDS TO BE DEPOSITED IN THE CITY OF LAREDO TRANSIT FUND.

WHEREAS, the City Council previously approved the Laredo Transit System budget on September 26, 2001; and

WHEREAS, the Federal Transit Administration through the Texas Department of Transportation is prepared to award a grant to the City of Laredo, as authorized by 49 U.S.C. 5307, in the maximum amount of $3,511,128.

WHEREAS, The City Council finds it to be in the best interests of the City of Laredo, Texas, to accept the said grant in the amount of $3,511,128 and the funds be allocated to the transit accounts.

NOW THEREFORE, BE IT ORDAINED BY CITY COUNCIL OF THE CITY OF LAREDO THAT:

Section 1. the City Manager is authorized to accept the Federal Transit Administration Grant of Section 5307 funds in the amount of $3,511,128.00; and

Section 2. the City Manager is authorized to execute all necessary documents relating the said Grant; and

Section 3. the City’s Federal Transit Administration Grant contribution is increased from $3,500,000.00 to $3,511,128.00;

Section 4. the City’s sales tax match for transit operating expenses is reduced from $2,733,648.00 to $2,722,520.00; and

Section 5. the grant funds shall be deposition in the City of Laredo Transit Fund.

PASSED BY THE CITY COUNCIL AND APPROVED BY THE MAYOR ON THIS THE _________ DAY OF _________, 2002.

_________________________

ELIZABETH G. FLORES

MAYOR

ATTEST:

_________________________

GUSTAVO GUEVARA, JR.

CITY SECRETARY

APPROVED AS TO FORM:

BY ______________________

JAIME L. FLORES

CITY ATTORNEY