TO: Mayor and Members of City Council
THRU: Jay Reinstein, Assistant City Manager
FROM: Randy Hume, Transit Director
Tracey Broyles, Budget and Evaluation Director
DATE: February 26, 2018
RE:
Title
Budget Ordinance Amendment 2018-16 to Update the Fee Schedule to Add Bus Pass Discounts for the Cumberland County NCWorks Career Center and to Set Rental Rates for the Community Room at the Transit Center
end
COUNCIL DISTRICT(S):
Council District(s)
All
b
Relationship To Strategic Plan:
Goal IV: Fayetteville will be a highly desirable place to live, work and recreate with thriving neighborhoods and a high quality of life for all residents.
Objective D: To develop and maintain public transportation investments with high quality transit and airport services.
Executive Summary:
Council is asked to adopt Budget Ordinance Amendment (BOA) 2018-16 to authorize two updates of the fee schedule which is set with the annual operating budget ordinance.
• The first update would add authority for deeply discounted passes for the Cumberland County NCWorks Career Center. The proposed One Day Pass fee of $1 would provide a $2 discount from the regular fee. The proposed Rolling 30 Day Pass fee of $20 would provide a $20 discount from the regular fee.
• The second update would establish rental fees for use of the community room in the new downtown Transit Center. The proposed rental fees are consistent with currently approved fees for use of multipurpose rooms in recreation centers.
Background:
Annually with the adoption of the operating budget ordinance, the Council adopts the schedule which establishes fees for various city services, including transit fares. The current fee schedule for Transit is attached for reference purposes.
Council has currently authorized deep discounts on pass sales for the Fayetteville Police Department Homeless Prevention Project and Cumberland County Courts programs. These specific programs may purchase One Day Passes at $0.25 and Rolling 30 Day Passes at $20. Other groups are eligible for bulk pass sale discounts ranging from 10% to 25% for minimum pass purchases ranging from 100 to 1,000 or more.
Cumberland County has requested a deeper discount for their NCWorks Career Center for the purchase of bus passes to assist unemployed veterans. Previously, this program and a few other organizations received some passes through the Police Homeless Prevention project. The pass-through arrangement changed and now the Center is purchasing passes directly at the full price.
The requested discount for the Cumberland County NCWorks Career Center is as follows:
• One Day Pass, with minimum 100 pass purchase $1 per pass
• Rolling 30 Day Pass, with minimum 50 pass purchase $20 per pass
Staff is reviewing options for broader discount offerings for non-profit agencies affiliated with local or state governments in conjunction with the FY 2019 Budget.
The FAST Transit Center opened in November 2017. Interest has been received from both public and private organizations to use the center’s community room for events. Federal Transit Administration (FTA) grant provisions allow such use providing that any income must be used to support transit activities. Revenues generated from the room rentals would reduce the need for General Fund subsidies. The rental fees proposed by staff mirror current fees authorized for use of multipurpose rooms in recreation centers. The City Manager, or his designee, would be authorized to waive fees for use by city sponsored or affiliated agencies.
Issues/Analysis:
The impact to expand this program to other local and state affiliated agencies is being evaluated as part of the overall FY 2019 Budget.
Budget Impact:
Discounts to be offered for pass sales to the NCWorks Career Center would have a minimal negative impact on transit fare revenues.
Any revenues to be generated from rentals of the community room would provide opportunities to offset General Fund subsidies for Transit operations.
Options:
Adopt BOA 2018-16 to update the fee schedule as proposed.
Do not adopt BOA 2018-16 to update the fee schedule.
Recommended Action:
Staff recommends that Council move to approve Budget Ordinance Amendment 2018-16 to modify the fee schedule as proposed.
Attachments:
Budget Ordinance Amendment 2018-16
Current FY 2018 Transit Fee Schedule