SR-091107-8A (2)City Council Meeting: September 11, 2007
Agenda Item:
To: Mayor and City Council
From: Carol Swindell. Director of Finance
Subject: Recommendation to Appropriate the Big Blue Bus Capital Budget and
Operating Enhancements, Approve Interim Positions during Campus
Expansion Construction and Increase Passenger Revenue from the Mini
Blue Program
Recommended Action
This staff report recommends the following changes to the Big Blue Bus FY2007-08
budget:
1. appropriate $390,800 increase to Salary and Wage budgets,
2. authorize personnel increases of 7.0 permanent full-time equivalent (FTE) and
6.0 limited-term FTE staff,
3. appropriate a capital improvement program budget of $16,423,166, and
4. increase in passenger revenue in the amount of $414,427.
Executive Summary
During the Budget Study session on May 22, 2007 and subsequent adoption on June
12, 2007, it was conveyed to Council that staff would come back for recommended
budget actions for Big Blue Bus (BBB) FY2007-08 proposed Capital Improvement
Program (CIP) budget and operating budget enhancements when the final funding
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marks were received from the Los Angeles County Metropolitan Transportation
Authority (Metro). The final draft was approved and released on July 26, 2007.
The Proposed Capital Improvement Program covers Fiscal Years 2008 to 2010.
Although the program spans three years, staff requests only the first year be
appropriated for a total of $16.4 million. The appropriation will provide funds for .bus
replacement, bus components, bus stop amenities, facility upgrades and renovation,
yard improvements, service vehicles, transit mall maintenance, and technology and
telecommunications equipment, all of which are essential to day-to-day bus operations
and infrastructure and equipment replacement and maintenance.
Ongoing operating budget enhancements include 6.0 FTE Motor Coach Operator
positions for the Mini Blue operations and 1.0 FTE Motor Coach Operator Supervisor
position for vacation relief and dispatch operation restructuring. These positions are
required for the new Mini Blue program and the overall bus operations.
An additional 6.0 FTE limited-term positions are requested to assist in the off-site
operations during the construction of the BBB Maintenance Facility, where 15 to 30
buses will need to operate from a remote facility. As these positions are created
exclusively for the construction of the Campus Expansion project, they will be funded by
the capital improvement budget.
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In FY2007-08, the BBB will receive fare reimbursement payments from Santa Monica
College (SMC) in the amount of $414,427 as a result of the transit partnership between
the two agencies. On all routes supported through the SMC Partnership, SMC ID
cardholders board for free by showing their identification card to the driver. All the
services supported by SMC are open to the public paying the appropriate fare.
Discussion
In developing its CIP budget for FY2007-08, the BBB used the final funding marks made
available by the Los Angeles County Metropolitan Transit Authority (Metro), where
federal, state and local subsidies are allocated to fund ongoing and one-time projects. A
listing of CIP projects with sources of funding is presented as an attachment to this staff
report.
The BBB selectively added positions to meet critical needs. Council recently approved
BBB service modifications to implement the new Mini Blue Service Plan designed to
respond to Council and community requests for environmentally friendly transit
alternatives within Santa Monica. The Mini Blue system, consisting of the Crosstown
Ride, the Tide Ride, the Pico and Downtown Market Rides, and the Sunset Ride
operate at frequent intervals using small transit buses. Staff has identified operational
efficiencies which allow the Mini Blue service to be largely absorbed within the budget,
except for the 6.0 FTE Motor Coach Operator positions, which will be funded by the fare
reimbursement payments from the SMC.
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The BBB reorganized its communications and on-street operations supervision as part
of its Advanced Fleet Management System implementation. The reorganization
necessitated 1.0 additional FTE Motor Coach Supervisor position. This position will be
responsible for monitoring quality control for the on-street service using the new
dispatch system with advanced technology communications. It will also provide
vacation relief and additional supervisory support in dispatch to handle absences, bus
assignments, regulation adherence and other operator issues requiring supervisory
authority.
The construction of the BBB Maintenance Facility will begin in September 2007 and is
projected to be completed in the first half of 2010. During this period, daily operations
will continue at the bus yard. However, 15 to 30 buses will be diverted to a remote
parking facility to accommodate the construction activities at the bus yard. The
implementation of the remote site operations requires 6.0 FTE limited term positions
including 1.0 FTE. Mechanic, 2.0 FTE Yardmaster and 3.0 Motor Coach FTE Cleaner
positions. These limited term positions expire June 30, 2010.
Budget/Financial Impact
Appropriations are required for the proposed FY2007-08 BBB Capital Improvements
Program and the operating enhancements of 6.0 FTE Motor Coach Operator and 1.0
FTE Motor Coach Operator Supervisor positions as listed below:
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Capital Improvements Program:
Account Project Description Amount
C410006 Telecommunication Services $ 43,340
C410006 Bus Components 3,686,906
C410107 Yard Improvements 320,000
C410113 Technology Equipment 1,287,960
C410114 Bus Stop Amenities 3,297,000
C410115 Service Vehicles 330,000
C410458 Transit Mall 322,500
C410519 Bus Replacement 5,822,960
C410709 Shop Equipment 60,000
C410826 Facility Upgrades and Renovations 500,000
C410749 Transit Center 677,500
C410099 Farebox 75,000
Total: $ 16;423,166
For details see the attachment.
Funding for the capital improvement program comes from federal, state and local
agencies through the annual funding allocations administered by MTA. Revenues are
recorded when payments are received on reimbursement of actual expenditures.
Revenues are budgeted at capital grant accounts in the year the reimbursements are
projected to be received. The capital revenue budget adopted in June for FY2007-08
reflects revenue from reimbursements for capital projects approved in prior years. No
additional budget adjustments are needed.
Operating enhancements:
Division Description Amount ($)
Transit Services 6.0 FTE Motor Coach Operator positions 307,100
Transit Services 1.0 FTE Motor Coach Supervisor position 83,700
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The 6.0 FTE Motor Coach Operator positions ($307,100) can be fully funded by the Mini
Blue revenue increases ($414,427), while the 1.0 FTE Motor Coach Supervisor position
($83,700) will be funded by the MTA funding allocations.
The 6.0 FTE limited term positions ($443,400) for the remote site operations will be
funded by the Campus Expansion CIP (account C410104.589100), which has sufficient
funds in FY2007-08 to cover these positions. Future appropriations will be evaluated in
the annual CIP budget process and included in the Proposed Budget for Council's
review and adoption.
Passenger Revenue account (41642.402000) will be increased by the receipt of
$414,427 from the SMC for the Mini Blue program.
Prepared by:
Janet Shelton -Budget Manager
Approved:
Forwarded to Council:
Carol SwinBellV
Director of Finance
Manager
Attachment: CIP Program Funding Request-FY2007-08
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CAPITAL IMPROVEMENT PROGRAM FUNDING REQUEST - FY2007-OS
FUNDED ONGOING PROJECT (maintenance & replacement)
Fund Proi. # Proiect Title
BIG BLUE BUS (41)
Internal Service Project (IS)
41 0006 Telecommunication Services
Capital Project (C)
41 0106 Bus Components
41 0107 Yard Improvements
41 0113 Technology Equipment
41 0114 Bus Stop Amenities
41 0115 Service Vehicles
41 0458 Transit Mall
41 0519 Bus Replacement
41 0709 Shop Equipment
41 0826 Facility Upgrades & Renovations
41 0749 Transit Center
41 0099 Farebox
Source
Quality
Prop A 40% Disc Prop A: Proposition A 40% Discretionary
Prop C 40% Disc Prop C 40%Discretionary
Sec 5307 .Sec 5307: Federal Section 5307
FY2007-06 FY2008-09 FY2009-10 Fundinp*
43,340 50,000 50,000 Prop C 40% Disc
3,686,906 2,630,000 2,550,000 Prop C 40% Disc/ SCAQMD
320,000 320,000 200,000 Prop C 40% Disc
1,287,960 345,064 101,117 PropA40%Discretionary
3,297,000 1,330,000 1,080,000 Prop C 40% Disc/ Sec 5307
330,000 125,000 0 Prop C 40% Disc
322,500 0 0 Prop C 40%Disc
5,822,960 6,160,098 0 Prop C 40% DisGSec 5307/ MTOC
60,000 60,000 60,000 Prop C 40% Disc
500,000 300,000 300,000 Prop C 40% Disc
677,500 0 168,000 Prop A/Sec 5307
75,000 3,575,000 75,000 Prop C 40% Disc
16,423,166 14,895,162 4,584,117
A state grant that will be used to retrofit (67) diesel buses with particulate traps
to reduce NOX emissions and particulate matter.
This funding is generated from a 1/2 cent sales tax in LA County.
This funding is generated from an additional 1/2 cent sales tax in LA County.
Federal Transit Administration Urbanized Area Formula Program (Sec 5307) funds
allocated by Congress to Metropolitan Areas using population-based formulas.
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F:Wdministration\Share\Staff Reports\SR BBB Appropriations - CIPAttachment 08/27/07