virginia department of rail and public transportation grantee fall webinar terry brown amy inman...
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Virginia Department of Rail and Public Transportation
Grantee Fall Webinar
Terry BrownAmy Inman
Jamie MotleySteve Pittard
Virginia Department of Rail and Public Transportation
Capital Applications
• FTA is asking for a much higher level of detail in applications– VINs and mileage for vehicles being replaced– Spare ratio / peak fleet for any vehicle purchase– Warranty information for repairs on facilities– Useful life for any and all assets – Please include information in your application
Virginia Department of Rail and Public Transportation
Capital Applications
• Please include a title for any generic applications– If you select the code for Construction of Rail Related Facilities,
please include a title in the comments section to tell the reviewer the location of the facility
• For large purchases, include a time line for the project– This should also be reflected in realistic milestones– Milestones should be achievable and realistic.
• Contracts are written using the milestones you enter in your application.
Virginia Department of Rail and Public Transportation
Capital Applications
• When applying for a vehicle, please include the cost for the vehicle to be “road ready”– Include the cost of the radio, security camera, farebox and tablet
that must be installed prior to putting rolling stock into service– Don’t forget to include milestones for installation of equipment,
so the end date of the vehicle will be set appropriately– All items necessary for the safe and secure operation of rolling
stock qualify for Tier 1 funding
Virginia Department of Rail and Public Transportation
Capital Application
• Based on the 2014 FTA State Management Review, DRPT will need 5311 and 5310 grantees to attach Preventive Maintenance schedules and plans to capital applications
• Contact your Project Manager for technical assistance on development or maintenance of plans
Virginia Department of Rail and Public Transportation
Five Year Capital Budget
• Data should agree to your TDP• Project titles should contain sufficient detail to
allow DRPT to determine a tier for the project– E.g., “radios” could be a Tier 1 (if they are being
bought for new buses coming in) or a Tier 3 (if you are purchasing several to replace broken radios throughout the fleet, thus making it a maintenance item)
• Good information is vital to DRPT calculating the future matches that should be available
Virginia Department of Rail and Public Transportation 8
Operating Applications
• Total Operating Expenses ideally should agree to CAFR (audited financial statements)
• In cases where Total Operating Expenses do not agree to CAFR, you should have supporting documentation of how you came up with the total• Crosswalk of expenses that must be subtracted from either the
application or the CAFR to make the figures agree• Appropriate pages of your General Ledger • An Excel spreadsheet is NOT the same as a G/L
• CAFRs are due to your Program Manager 90 days after the end of your fiscal year. Electronic copies please.
Virginia Department of Rail and Public Transportation 9
Intercity Bus• Working with consultant to develop an Intercity Bus
Program, as required by FTA 5311 Program• State required to expend at least 15 percent of its Section
5311 apportionment for an intercity bus program, unless “the chief executive officer of the State certifies to the Secretary of Transportation, after consultation with affected intercity bus service providers, that the intercity bus service needs of the State are being met adequately.”
Virginia Department of Rail and Public Transportation 10
Intercity Bus Eligible Projects• Support the connection between both rural and
nonurbanized areas and the larger regional or national system of intercity bus service.
• Support services to meet the intercity travel needs of residents in nonurbanized areas.
• Support the infrastructure of the intercity bus network through planning and marketing assistance and capital investment in facilities.
Virginia Department of Rail and Public Transportation
State Transit Revenues
Recent Trend: Declining
• Estimated FY 2015 state revenues – down 10% overall since HB2313 (June 2013) enacted
• Estimated FY 2015 state revenues – down 7% from SYIP approval (June 2014) to August ($16.5 M)
• Actual FY 2014 state revenue collections - $14.2 M shortfall
• Uncertainty concerning federal revenues
Virginia Department of Rail and Public Transportation
State Transit Revenues
MFA Not Approved
• January 1, 2015 alternative implemented of 1.6% increase to gasoline tax
• Projected funding for transit will decline by approximately 80%
• With MFA, projected revenues of $25 M per year compared to about $5 M per year without MFA
Virginia Department of Rail and Public Transportation
Transit RevenuesReduction – HB2313 to August, 2014
Fund Source June 2013 August 2014 Difference %
1986 Special Session (14.7%) 143.3$ 122.7$ (20.6)$ (14%)Recordation Tax - Operating 27.0 28.7 1.7 6%HB 2313 Retail SUT 75.3 70.3 (5.0) (7%) Total Transit 245.6 221.7 (23.9) (10%)
FY 2014 Revenue Shortfall (14.2)
TOTAL 245.6$ (38.1)$ (16%)
FY 2015 Revenue Projections
Virginia Department of Rail and Public Transportation
Transit RevenuesReduction Since Approved SYIP, June 2014
Fund Source June 2014 August 2014 Difference %
1986 Special Session (14.7%) 133.3$ 122.7$ (10.6)$ (8%)Recordation Tax - Operating 34.0 28.7 (5.3) (16%)HB 2313 Retail SUT 70.9 70.3 (0.6) (1%) Total Transit 238.2 221.7 (16.5) (7%)
FY 2014 Revenue Shortfall (14.2)
TOTAL 238.2$ (30.7)$ (13%)
FY 2015 Revenue Projections
Virginia Department of Rail and Public Transportation
Revenue ReductionsImpact on SYIP Programs
ProgramAmount
(millions)
Transit Operating $ 12.3
Transit Capital 2.5
Transit Special 0.3
Transit Reserve 0.8
Project Mgmt / Admin. 0.6
Total $ 16.5
• Rail, Transit Capital, and Transit Special programs reductions addressed with unobligated balances
• Transit Operating and Capital reserve set-aside reduced for FY 2015
Virginia Department of Rail and Public Transportation
Summary of Actions to Address Revenue Reductions
ProgramAmount
(millions)
Capital – Operating Transfer $ 11.6
Unobligated Balances - Transit 3.5
Transit Reserve Reduction 0.8
Project Mgmt / Admin. Reduction 0.6
Total $ 16.5
Virginia Department of Rail and Public Transportation
Transit Operating SYIP Impact
Mitigating Strategies• Deobligated balances of $1.6 M from April through July
• Requesting that CTB recognize a special need as authorized under §58.1-638.A.4.b.• Transfer of funds from funding categories in subdivisions 4 b (2) (c) [Capital] and
4 b (2) (d) [Special] to 4 b (2) (b) [Operating] shall be considered by the Commonwealth Transportation Board in times of statewide economic distress or statewide special need.
• Total of $11.6 M of Mass Transit Trust Fund (MTTF) capital proposed for transfer
• The MTTF capital funding will be replaced using unobligated CPR bonds
Virginia Department of Rail and Public Transportation
FY 2015 DRPT Operating Budget
Reductions
• Project management, project compliance, and administration budget cut by 6% or $613 K• Reduced / delayed agency initiatives• Eliminated bonus funding; language
removed from the final Appropriation Act approved June 23rd
• Plan for additional 2% reduction for FY 2016
Virginia Department of Rail and Public Transportation
Detailed Information on Various State Sources of
Transit Funding
Virginia Department of Rail and Public Transportation
State Transit Revenues
Primary Sources
• Transportation Trust Fund – 1986 Session• Recordation Taxes – 2007 Session• Tax on Insurance Premiums – 2007 Session• Retail Sales and Use Tax (SUT) – 2013 Session • Various Federal Transit Administration (FTA)
programs
Virginia Department of Rail and Public Transportation
$122.7
$28.7 $110.0
$70.3
$58.0
TRANSIT REVENUES$ in millions
TTF - 1986
Recordation - 2007
Insurance Premiums (Bonds) - 2007
Retail SUT - 2013
Federal
Virginia Department of Rail and Public Transportation
32%
7%28%
18%
15%
TRANSIT REVENUESPercentage of Total
TTF - 1986
Recordation - 2007
Insurance Premiums (Bonds) - 2007
Retail SUT - 2013
Federal
Virginia Department of Rail and Public Transportation
Transportation Trust Fund 1986 Session
Major Underlying Revenue Sources
• Motor vehicle fuel tax• Motor vehicle sales and use tax• Motor vehicle license fees• Retail sales and use tax
Virginia Department of Rail and Public Transportation
Transportation Trust Fund 1986 Session
Other Information
• 14.7% to the Mass Transit Trust Fund (MTTF) - §58.1-638.A.4.
• Minimum of 72% to transit operations• Up to 3% for transit special programs• 25% for transit capital projects
Virginia Department of Rail and Public Transportation
Recordation Taxes2007 Session
Information
• Tax on recording real estate transactions• $0.02 of the state recordation tax to the MTTF
[$0.25 per $100 of value is the total recordation tax]
• Dedicated to transit operating assistance• §58.1-815.4.
Virginia Department of Rail and Public Transportation
Transportation Capital Projects Revenue (CPR) Bonds – 2007 Session
Information• Total bond authorization $3.0 billion• 1/3 of gross insurance premiums tax (2.25%) deposited into the Priority
Transportation Fund to provide a revenue stream for the CPR bonds - §58.1-2531
• A minimum of 20% of the bond proceeds for transit capital consistent with subdivision A 4 c of §58.1-638 - the Mass Transit Capital Fund
• DRPT/CTB elected to receive this funding over ten years -$60 million per year• Other uses of the bonds include: rail (4.3%), match to federal funds, revenue
sharing funding, statewide or regional projects• $50 million a year for 10 years to match WMATA PRIIA federal funds• Dulles Metrorail also received bond funds from regional projects category
Virginia Department of Rail and Public Transportation
Retail Sales and Use Tax2013 Session
Information
• 0.075% of the general retail sales and use tax to the MTTF
• Minimum of 72% to transit operations• Up to 3% for transit special programs• 25% for transit capital projects• §58.1-638.3.
Virginia Department of Rail and Public Transportation
FTA Revenue Sources
Information
• Approximately $24 million a year of flexible STP funds (CTB discretion)
• Approximately $34 million a year from the various FTA programs• FTA 5311 program for rural providers and the
FTA 5307 Governor’s Apportionment program for small urban providers
Virginia Department of Rail and Public Transportation
Transportation Improvement Program (TIP)
• Mandated by 49 U.S.C. 5303(j).• Project and funding must be in the TIP.• The TIP is managed by the MPO and it is the
responsibility of the grantee and the MPO to ensure projects and funding are properly reflected in the TIP.
• The TIP must be financially constrained.
Virginia Department of Rail and Public Transportation 32
Statewide Transportation Improvement Program (STIP)
• Mandated by 49 U.S.C 5304(g).• STIP includes highway and transit projects. VDOT is
responsible for highway portion and DRPT is responsible for transit portion.
• Projects/funding in TIP are included in STIP.• MPOs and DRPT must work together to make sure
TIP and STIP are in agreement.
Virginia Department of Rail and Public Transportation
State and Federal Approval
• The Secretary of Transportation or his designee must approve the STIP.
• Projects and funding must be properly included in an approved STIP before FTA or FHWA will obligate federal funds.
• Go the DRPT website at www.drpt.virginia.gov and select About DRPT/Finance to see the current STIP.
Virginia Department of Rail and Public Transportation 34
Procurement Contracts Available
DRPT has set up various vehicle and nonprofessionalservices contracts that can be used by grantees.
Vehicle Contracts• Various Sizes of Ford Gas Passenger Vans• Low Floor Transit Buses (30’, 35’, and 40’)• Procurement for various Chevrolet Gas Passenger
Vans is currently out for bid.
Virginia Department of Rail and Public Transportation 35
Procurement Contracts Available, continued
Nonprofessional Services• General Planning Consultant Services for Transit• General Financial Consultant Services • General Communications and Marketing Services
Go the DRPT website at www.drpt.virginia.gov andselect About DRPT/Procurement/Contracts. You canview the contracts and other important information.
Virginia Department of Rail and Public Transportation 36
Compliance Reviews
• Maintain support for the methodology used and amounts calculated for passenger trips, revenue hours, and revenue miles.
• Operating Expenses Sizing - Most recent audited operating cost available, net of depreciation, projects funded in other DRPT programs, and non-transit related expenses.
• Net Operating Expenses Performance - Total operating costs less depreciation and any operating income derived from a source other than taxpayers.
Virginia Department of Rail and Public Transportation
Compliance Reviews
• DRPT’s asset inventory system in OLGA must be updated by July 15th of each year.
• DRPT recommends you update OLGA when you change your own internal system.
• Travel costs requested for reimbursement must be in accordance with State travel regulations.
Virginia Department of Rail and Public Transportation
Extension Requests
• DRPT has gotten stricter on the requirements for these requests– Must be requested at least 30 days prior to the end date in
effect– Please include meaningful information on the reason the project
has fallen behind, including updated milestones– Even more importantly, provide information on why an
additional period of time will make a difference– If you find that the project is not moving forward at this time,
work with your project manager to deobligate the funding. You can reapply at a future date when the project is ready to go
Virginia Department of Rail and Public Transportation
Contracts and Milestones
• When you receive a contract for approval, please check to make sure the description is what you expected and that the end date is appropriate– It is much easier to change the date before the contract is signed than it is
after
• If the end date on the contract seems incorrect, you will be asked to go into OLGA and correct your milestones
Virginia Department of Rail and Public Transportation
Billing Regularly
• Please bill at least quarterly if you have activity on the project– Longer periods between bills result in large amounts of
supporting documentation which can be challenging for your program manager to review in a timely manner
– Providers who do not bill for long periods can raise concerns about financial well being
Virginia Department of Rail and Public Transportation
Multi-Year Funding Agreements
• To address larger capital projects with expenditures over several years, DRPT is now – Include the cost of the radio, security camera and tablet that
must be installed prior to putting rolling stock into service– Don’t forget to include milestones for installation of equipment,
so the end date of the vehicle will be set appropriately– All items necessary for the safe and secure operation of rolling
stock qualify for Tier 1 funding
Virginia Department of Rail and Public Transportation
Ridership Due Dates• For grantees with fiscal year ending June 30,
Ridership is required by October 31 of each year• For grantees with fiscal year ending September
30, Ridership is required by December 31 of each year– Any change to this calendar must be communicated to
your program manager– Keep your support for your calculation of your entry– You will be asked to briefly explain changes of +/- 10%
over last year
Virginia Department of Rail and Public Transportation
Future Reporting Structure
• DRPT will begin requesting Ridership, Revenue Miles and Revenue Hours on a monthly basis– Annual Report no longer necessary
• At the end of each quarter, the monthly reporting within that quarter will be closed. Changes can still be made, but they will require an amendment to the current data– Amendment will capture original entry, corrected entry, employee
making the change and the date on which the change was made– You can do more than one amendment but each will be captured– Maintain your supporting documentation on the calculations to come
up with the data entered
Virginia Department of Rail and Public Transportation
Six Year Improvement Program
• The draft Six Year Improvement Program is presented to the Commonwealth Transportation Board on the third Wednesday in April– It is posted on the DRPT website at that time
• The final Six Year Improvement Program is approved by the CTB on the third Wednesday in June.– It is posted on the DRPT website at that time.
• After the draft is posted, please access the SYIP on DRPT’s website and review the grants that are listed for you. While DRPT makes EVERY effort to issue a correct draft, we review hundreds of line items each year. You know what your grants should look like. If you see something that may be an error on either your or DRPT’s side, bring it to your Program Manager’s attention immediately.