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HomeMy WebLinkAbout25. 12-61 FEBRUARY 14, 2012 12-61 RESOLUTION (CARRIED__7-0____ LOST_______ LAID OVER_______ WITHDRAWN_______) PURPOSE: TO SUPPORT THE WORKFORCE MOBILITY ACT (SB 436), WHICH WOULD RESTORE STATE TRANSIT OPERATING ASSISTANCE TO PREVIOUS LEVELS INITIATED BY: COUNCILOR POESCHL WHEREAS, the City of Oshkosh operates a mass transportation system (the Oshkosh Transit System) which provides reliable, affordable and accessible public transportation options to support our community’s mobility needs, and WHEREAS, the Oshkosh Transit System is able to provide its high level of service through a combination of passenger fares and Federal, state and local funds, and WHEREAS, the 2011-13 budget for the State of Wisconsin reduced by ten percent the amount of state operating assistance provided to mass transit agencies across the state, including the Oshkosh Transit System, and WHEREAS, restoration of this funding would help the Oshkosh Transit System to protect existing service levels in 2012, and reduce the need for service cuts in 2013, when Federal operating assistance will likely decrease, and WHEREAS, state legislators have introduced legislation entitled “The Workforce Mobility Act” (SB 436) which would restore these cuts in state operating assistance, using funding currently available in the state’s transportation fund; NOW, THEREFORE, BE IT RESOLVED BY the Common Council of the City of Oshkosh 1) That the Common Council supports the Workforce Mobility Act. 2) That the Common Council urges its legislative representatives to support the Workforce Mobility Act. 3) The City Manager is hereby directed to send a copy of this Resolution to local legislators and other legislators who are considering this bill. 01-<OfH City of Oshkosh - Transportation Department ON THE WATER 926 Dempsey Trail, Oshkosh, WI 54902 (920) 232-5342 (920) 232-5343 fax MEMORANDUM TO: Honorable Mayor and Members of the Common Council FROM: Christopher Strong, P.E., Director of Transportation DATE: February 9, 2012 RE: RESOLUTION TO SUPPORT WORKFORCE MOBILITY ACT (SB 436) Background This resolution, requested by Councilor Poeschl, supports a piece of legislation submitted to the Wisconsin State Senate by Senator Jessica King and 11 other senators; with 26 co-sponsors from the Wisconsin State Assembly, including Representative Gordon Hintz. As drafted, the legislation would alter the state's 2011-13 budget to increase the amount of state transit operating assistance provided to transit systems across the state. The approved budget reduced state operating assistance by 10 percent from previous funding levels; the legislation, if passed, would restore state operating assistance to previous levels. The funding adjustment would be paid for by funds which currently exist in the state's transportation fund. Analysis If passed, the resolution would communicate to state legislators that the City of Oshkosh supports restoring state operating assistance to previous levels. If the bill is passed, this would lead to increased funding for Oshkosh Transit System operations in 2012. Staff estimates that the reduction in state operating assistance was equivalent to about 3 percent of the Transit Division's budget. With the 2012 budget at $4,454,700, restoring the state operating assistance to previous levels could mean an additional $130,000 to $140,000 for the system this year. The 2012 transit budget adopted by the Common Council preserved fixed route service without an across-the-board fare increase, while absorbing the 10 percent reduction in state operating assistance. To do so, the budget made a number of critical assumptions about future costs in personnel, contractual services and fuel; if these assumptions prove wrong, it may be necessary to consider service reductions later this year. Other transit systems in the state have already seen significant contractions in service and/or fare increases on their bus routes due to the reductions in state operating assistance. The impact of reduced operating assistance is even more significant for 2013. That is the year City of Oshkosh—Department of Transportation 1 Resolution to Support Workforce Mobility Act(SB 436) when 2010 Census data regarding population is expected to be used in Federal funding formulas. Because the Appleton and Green Bay service areas each exceed 200,000 in population, those transit systems will no longer be eligible for Federal operating assistance. Because of the formulas by which the state distributes Federal transit operating assistance, this will likely mean a reduction in Federal operating assistance to other systems in the state, including Oshkosh. Without a restoration of state operating assistance to previous levels and/or changes in Federal legislation, it becomes even more likely that service cuts will be necessary. The bill was submitted based on an analysis from the Legislative Fiscal Bureau which showed that the transportation fund currently has over $30 million, as shown in the attached memo. According to Sen. King's office, the restored funding is approximately $9.6 million. The text of the bill is available at https://docs.legis.wisconsin.gov/2011/related/proposals/sb436. Fiscal Impact Approving the resolution has no direct fiscal impact to the City. Recommendation As current state operating assistance levels jeopardize the City's ability to maintain its current level of transit service in the community, I recommend the Common Council approve this resolution. Respectfully submitted, Approved: 72 h74 //i Strong, P.E. Mark A. Rohloff Director of Transportation City Manager City of Oshkosh—Department of Transportation 2