| Santa Cruz METRO Grant Funding |
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Santa Cruz METRO relies of several sources of funding for operational and capital support, including customer fares, state and local sales taxes, federal formula funding, and other competitive federal, state and local grants.
At the state level, the "tax swap" measure that passed with the 2010-2011 state budget removed almost all of California's voter-determined Proposition 42 transit funding from sales tax on fuel and imposed other new taxes that could be used for debt service. It is important to note that transit funding, unlike other funding such as high speed rail, pays its own debt service. In November 2010, voters passed Prosition 22 by a measure of 63%, thereby approving a constitutional amendment protecting dedicated transit funding from being pilfered to bolster the state General Fund.
At the same time, however, the passage of Proposition 26, another constitutional amendment requiring that new taxes and fees pass the Legislature by a measure of a 2/3rds vote, will negate all or a portion of what happened earlier in the year. Proposition 26 has a 12-month grace period allowing measures voted on since January 1, 2010 to be re-voted on in order to achieve the necessary majority and will expire in November 2011. For more information on state-wide transit issues and the current legislative agenda, please see the California Transit Association's website. Transit funding is somewhat stable for the first time in years, but if reliable funding streams are not protected and maintained, Santa Cruz METRO and other systems will once again be scrambling for funds.
Due to an increase in sales tax revenues, a retroactive payment for alternative fuel tax credits and other revenue increases, Santa Cruz METRO currently anticipates that the District will be able to restore and revitalize service over the next year.
NEW GRANTS IN 2010 and 2011:Federal Transit Administration (FTA) "State of Good Repair" GrantsIn October 2011, Santa Cruz METRO received $2,814,538 in FTA "State of Good Repair" competitive, discretionary funds for the purchase of 42 mobile data terminals for installation on the ParaCruz vans and the purchase of 4-5 additional clean air buses. With the required local matching funds, total cost for this project is $3,391,010.
In October 2010, Santa Cruz METRO received $4,830,600 from the FTA's "State of Good Repair" competitive grants program for the purchase of 10-12 new natural-gas-fueled fixed-route buses. Santa Cruz METRO anticipates that the buses--which will replace old diesel coaches with clean-fueled buses--will roll out in early 2012.
Sustainable Communities Strategies Sub-AwardsIn 2011, Santa Cruz METRO is partnering with the County of Santa Cruz, the Santa Cruz County Regional Transportation Commission and the Association of Monterey Bay Area Governments in the implementation of Senate Bill 375, which is part of the "greenhouse gas law" that made California famous and was preserved on the November 2010 ballot through Proposition 23. As sub-recipients on these three grants, Santa Cruz METRO will participate as the transit partner on the ongoing strategies to meet the state's emissions reduction goals.
Caltrans' Transportation Planning Grant: Watsonville Transit Planning StudySanta Cruz METRO was awarded a $100,000 Caltrans' Transportation Planning grant for a transit planning study of the Watsonville area in Summer 2010. The study will be completed by March 2012. Santa Cruz METRO estimates that a study of this service area has not been conducted for over 25 years.
Monterey Unified Air Pollution Control District AB2766 Grants
Santa Cruz METRO was awarded a $200,000 AB2766 grant from the Monterey Unified Air Pollution Control District in Summer 2010. The grant will cover part of the cost of installing a second 15,000-gallon natural gas storage tank to Santa Cruz METRO's existing Fueling Station. Additional funds for this project are coming from federal MetroBase designated funding. The project is scheduled to commence in November 2011.
American Recovery and Reinvestment Act ("Recovery Act") of 2009
Other Federally, State and Locally Funded Projects (Non-ARRA Grants)
Due to the current economic crisis and state and federal budget issues, the future of all Santa Cruz METRO federally funded capital projects is uncertain. Though expansion of the downtown Pacific Station project on Pacific Avenue to a mixed-use community hub including transit, commercial and possibly residential space was scheduled for 2010-2012, this project has been delayed due to the lack of reliable funding streams. Santa Cruz METRO has acquired additional property (the Greyhoud site) in the downtown area, and will be re-starting the discussion with stakeholders and the community by early 2012 as to what is the best use of the site.
State Certification
In order to receive ARRA grant funds, the Department of Transportation required certification from grantees that all projects had been properly reviewed and vetted and are an appropriate use of ARRA funds. Certifications could be made by the Governor, the local Mayor, or an appropriate local official and are posted on a website linked to www.Recovery.gov. Transportation and Transit Planning Activities
Santa Cruz METRO participates in a regional, ongoing comprehensive planning process with the Association of Monterey Bay Area Governments (AMBAG), the designated Metropolitan Planning Organization (MPO) for Monterey, San Benito and Santa Cruz counties. Public transit projects receiving federal and state funding are programmed through a coordinated process with other local and regional transportation planning organizations in the region and become part of the Metropolitan Transportation Improvement Program (MTIP). |
