On the June 28 assembly of the Capital Metropolitan Transportation Authority Board of Administrators, members fielded budgetary updates for the 2022 fiscal yr. Deputy CFO Kevin Conlan offered the broad budgetary developments, essential assumptions as they relate to funds, bills, service priorities, and main income and price drivers.
Notable prices included Broadmoor rail growth, electrical bus purchases, bus cease enhancements, know-how enhancements, and Demand Response van replacements and fleet growth.
“We’ll proceed to reinforce our bus stops by means of shading and photo voltaic lighting,” Conlan mentioned, noting that electrical bus purchases and infrastructure development will represent a big portion of the funds. Capital Metro additionally acquired intra-company departmental requests concerning funds allocation in April.
Whereas the transit company’s sales-tax income noticed a steep lower at first of the pandemic final yr, progress has since risen to pre-pandemic ranges.
“The encouraging factor is the road is beginning to transfer up with our March and April gross sales tax receipts,” Conlan instructed the board. “Our year-to-date gross sales tax in April has really elevated 5 % in comparison with the final fiscal yr interval in 2020.” The explanation for this, he defined, was due to the sharp decline in gross sales tax in March and April of 2020.
Conlan additionally offered a graph overlay of job progress within the Austin-Spherical Rock space and Capital Metro gross sales tax progress, demonstrating a transparent correlation between the 2. (The truth that Austin-Spherical Rock job progress elevated by 11.8 % this April augurs properly for the company’s gross sales tax income, Conlan noticed.)
“We’re not going to have a fare enhance for subsequent yr, which is nice information for our prospects,” Conlan famous, as he moved on to protecting grant cash.
In federal grants, Capital Metro has acquired $33.7 million in components funds for Part 5307. Sixty-six million in federal funding has additionally been awarded “however not drawn,” he mentioned. And in March, Capital Metro acquired $128 million in American Rescue Plan Act funding. “We’re heading in the right direction for our 2021 funds.”
Conlan estimated $1.90 shall be spent per gallon of Capital Metro gasoline. “Gas costs for subsequent yr are going to stay secure,” he famous. Nevertheless, working prices will barely enhance relating to staff as Capital Metro is implementing a 3 % on common annualized pay enhance for workers based mostly on efficiency.
Capital Metro has been reviewing the funds with numerous planning teams, together with the Buyer Satisfaction Advisory Committee and the Entry Advisory Committee. The corporate will meet with these teams once more in August, along with starting its public outreach and suggestions course of.
The 2022 fiscal yr begins October 2021 and ends September 2022.
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