APPROVE FISCAL YEAR 2012 TRANSIT FUND ALLOCATIONS AND RELATED ACTIONS

Transcription

1 Los Angei,es eunly One Gateway Plaza ZT~.CJ~Z.ZOO MetropolJtan Tmnspwtation Los Angeles, CA metro.net PLANNING AND PROGRAMMING COMMIlTEE May 18,201 1 SUBJECT: FISCAL YEAR 2012 TRANSIT FUND ALLOCATIONS ACTION: APPROVE FISCAL YEAR 2012 TRANSIT FUND ALLOCATIONS AND RELATED ACTIONS RECOMMENDATIONS A. Approve $1.474 billion in FY 2012 Transit Fund Allocations for Los Angeles County jurisdictions, transit operators and Metro operations as shown in Attachments A, B and C and are further described in Attachment D. These allocations comply with federal and state regulations and MTA Board policies and guidelines. 1. $56.5 million in Planning and Administrative allocations of Transportation Development Act, Proposition A, Proposition C and Measure R as shown in Attachment A. 2. $1.028 billion in Bus Transit Subsidies as shown in Attachment B. 3. $0.389 billion in Population Based Allocations and Proposition A Incentive Programs as shown in Attachment C. B. Authorize the Chief Executive Officer to adjust FY2012 Federal Section 5307 allocations upon receipt of final apportionment from the Federal Transit Authority. C. Approve fund exchange of Santa Monica's Blue Bus for FY2012 Federal Section 5307 formula share allocation with Metro's TDA Article 4 revenues. The estimated amount is $8.9M annually which will be disbursed in FY2013. D. Approve $600K fund exchange of Long Beach Transit's FY Federal Section 5307 allocation for Southern California Regional Transit Training Consortium (SCRTTC) training program with Metro's TDA Article 4 revenues. E. Adopt a resolution designating TDA and STA fund allocation compliance to the terms and conditions of the allocation (Attachment E); and F. Upon approval, authorize the Chief Executive Officer to negotiate and execute all necessary agreements to implement the above funding programs.

2 ISSUES Each year, transit operating and capital funds consisting of federal, state and local revenues are allocated to Los Angeles County jurisdictions, transit operators, and LACMTA Operations for programs, projects and services according to federal guidelines, state laws and established funding policies and procedures. The Board of Directors must approve allocations for FY 2012 before funds can be disbursed. Santa Monica's Big blue Bus (BBB) is requesting a fund exchange of its Federal Section 5307 FY2012 formula allocation with Metro's non-federal funds in order to pay capital projects that require local funds such as mid-life bus rebuilds, yard improvements, farebox upgrades, facility improvements and advanced technology projects. BBB operates charter services and FTA guidelines prohibit the use of federal funds for transit activities, facilities and equipment that support charter services. The Bus Operators Sub-committee (BOS) has recommended that $600K from the Federal Section 5307 funds be allocated to the Southern California Regional Transit Training Consortium (SCRTTC) to develop and train highly skilled transit workers in Los Angeles County. Exchanging this with fund Metro's TDA revenues will facilitate payment to SCRTTC. This fund will be disbursed through Long Beach Transit. POLICY IMPLICATIONS The, as the Regional Transportation Planning Entity for Los Angeles County, is responsible for planning, programming and allocating transportation funding to Los Angeles County jurisdictions, transit operators, and LACMTA Operations. The Board approval will allow the continued funding of transportation projects, programs and services in Los Angeles There is no alternative to approving the FY2012 Transit Fund Allocations because federal, state and local requirements, as well as prior MTA Board policies and guidelines require us to annually allocate funding to Los Angeles County jurisdictions, transit operators, and LACMTA Operations for programs, projects and services. Allocation methodologies and assumptions comply with federal, state and local requirements, as well as policies and guidelines previously approved by MTA Board. FY2012 Transit Fund Allocation Page 2

3 FINANCIAL IMPACT The FY Transit Fund Allocations are included in the FY Budget in multiple cost centers and multiple projects. Approval of these recommendations authorizes LACMTA to disburse these funds to the Los Angeles County jurisdictions and transit operators. BACKGROUND We developed the recommended FY Transit Fund Allocations according to federal, state and local requirements, as well as policies and guidelines previously approved by MTA Board. Details of significant information, methodologies and assumptions are described in Attachment D. We have reviewed the recommended allocations and its methodologies and assumptions with Los Angeles County jurisdictions, transit operators, and LACMTA Operations through the Technical Advisory Committee (TAC), the Bus Operators Subcommittee (BOS) and the Local Transit Systems Subcommittee (LTSS). At their previous meetings, the TAC, the BOS and the LTSS all formally adopted the recommended FY2012 Transit Fund Allocations. NEXT STEPS After the Board of Directors approves the recommended allocations and adopts the resolution, we will work with Los Angeles County jurisdictions, transit operators, and LACMTA Operations to ensure the proper disbursement of funds. ATTACHMENTS: A Revenue Estimates B Summary of Bus Transit Subsidies 8.1 Proposition C 40% Discretionary Detail B.2 Federal Section 5307 Allocations C Population Based Allocations and Proposition A lncentive Programs 6.1 Proposition A lncentive Programs Detail D Summary of Significant Information, Methodologies and Assumptions E TDA and STA Resolution Prepared by: Carlos Vendiola / Susan Richan Transportation Planning Managers FY2012 Transit Fund Allocation Page 3

4 Interim Executive Officer, 0 Y!P UR T. LEAHY Executive Officer k- FY2012 Transit Fund Allocation Page 4

5 Funding Estimates ATTACHMENT A Page 1 of 2 Trans~ortation Develo~ment Act: Planning & Administration: 1 Planning Metro 2 Planning - SCAG 3 Administration - Metro 4 Sub-total 5 Article 3 Pedestrian & Bikeways 6 Article 4 Bus Transit 270,828,632 7 Article 8 Streets & Highways % e 8 Total a Pro~osition A: 9 Administration % 30,255, Local Return /0 143,711, Rail Development % 201,195,750 Bus Transit: % 12 95% of 40% Capped at CPI (139%) 21 2,359, % of 40% Over CPI 14 Sub-total d 15 5% of 40% Incentive 16 Total a Pro~osition C: 17 Administration 18 RaiIlBus Security 19 Commuter Rail 20 Local Return c 21 Freeways and Highways 22 Discretionary 23 Total a FYI2 Transit Fund Allocations

6 Funding Estimates Page 2 of 2 State Transit Assistance: 24 BUS (PUC Rev Base Share) 25 Rail (PUC Population share) 26 Total Measure R: * 27 Administration 28 Transit Capital - "New Rail" 29 Transit Capital - Metrolink 30 Transit Capital - Metro Rail 31 Highway Capital 32 Operations "New Rail" 33 Operations Bus 34 ~ocal Return 35 Total % 36 Total Funds Available $2,214,064,856 1 $ 80,479,246 l~otal Planning and Administrative I Note : a) Revenue estimate is 2.594% over FY budget based on several economic forecasts. b) CPI of 1.99% based on UCLA forecast published in the summer of 2010 and applied to Prop A discretionary allocated to included operators. c) Proposition A, Proposition C and Measure R Local Return do not show carryover balances. This is because these funds are distributed as they are actually received. d) Proposition A 95% of 40% Bus Transit carry-over is $ -18.4M. This amount is not shown as a deduction from available funds since it has been mitigated with Proposition A and Proposition C Interests (March 2010 Board Report.) e) TDA and Measure R 20% Bus Operations carry-over include funding marks adjustment made in March, FYI2 Transit Fund Allocations

7 Summary of Bus Transit Subsidies FY 2012 ATTACHMENT B 1 Metro Bus Ops. Included Operators: 2 Arcadia 3 Claremmt 4 Commerce s Culver City 709,166 2,886,504 7,347, 6 Foothill Transit 3,295,652 13,414,216 34,143, 7 Gardena 707,063 2,877,942 7,325, 8 La Mirada 9 Long Beach 17,563,692 3,206,830 13,052,684 33,823, lo Montebello 6,072,364 1,147,924 4,672,371 11,892, 11 Norwalk 12 Redondo Beach 13 Santa Mmica 14 Torrance 15 Sub-Total Fliaible O~erator~ 18 Antelope Valley 17 LADOT is Santa Clarita 19 Foothill BSCP 20 Sub-Total Tier 2 Omtors: 21 LADOT Canmunity Dash 22 Glendale 23 Pasadena 24 Burbank 25 Sub-Total 28 Lynwood Trdley 27 Total Excluding Metro 28 Grand Total Note Federal Section 5307 allocation is an estimate. This allocation will be adjusted upon receipt os final apportionment. FYI2 Transit Fund Allocations

8 ATTACHMENT B.1 Proposition C 40% Discretionary Programs FISCAL YEAR Transit Expansion Base Restruct. BSlP Overcrowding Relief TOTAL Claremont Commerce Culver City Foothill Gardena La Mirada Long Beach Montebello Norwal k Redondo Beach DR Redondo Beach MB Santa Monica Torrance Subtotal Included ELIGIBLE OPERATORS Antelope Valley % % 921,868 20,385 Santa Clarita % % 936,970 20,719 LADOT Local % % 1,262, ,574 LADOT Express % % 723, ,692 Foothill BSCP Subtotal Eligible City of Lynwood Trolley Total Municipal Operato Metro Bus Ops. FYI2 Transit Fund Allocations

9 ATTACHMENT 8.2 Federal Section 5307 Capital Allocation FISCAL YEAR % 1% ENHANCEMENT ALLOCATION I 15% DISCRETIONARY ALLOCATION LEASE FORMULA FORMULA I I PAYMENT Irstac&ent L..^^^ w an. f"ei powered NORWALK Note This allocation is an estimate and will be adjusted upon receipt d final apportionment. 85% Formula Allocation 192,850,500 15% Discretionary Ailocation 34,033,500 $ 226,890,000 FYl2 Transit Fund Allocations

10 1 Population Based Allocations and Proposition A Incentive Programs FY ATTACH MENT C Page 1 of 2 LOCAL JURISDICTION I Agoura Hills 2 Alhambra 3 Antelope Valley TA 4 Arcadia 65b Avalon j ~ park ~ n 9 Bell 12 Beverly Hills 13 Bradbury 14 Burbank 16 "- Carson 17 Cerritas 18 Claremont 1s Commerce 22 Cudahy 23 Culver City 24 Diamond Bar 27 El Monte 28 El Squndo as Gardena 30 Glendale 31 Glendora 32 Hawaiian Gardens 33 Hawthome 34 Hermasa Beach 35 Hidden Hills 36 Huntington Park n Industry 38 lnglewood 39 lrwindale 40 La Canada-Flintridge 41 La Habra Heights 42 L a k h 43 La Mirada 44 Lancaster La Verne 242, , ,773 8,503 6,440 6,44(] 48,986 40,633 30,475 5, , , , , , ,347 23,716 42,531 42,531 1,123, , ,755 39, , , , , ,808 18,738 1,064, , ,003 37, , , ,466 22,655 71,701 71, , , ,177 17,466 33,967 33,967 13,255 10,994 8,246 5,000 1,492,970 1,238, ,793 52,248 90,263 90, , , ,691 11,478 1,349,521 1,119, ,552 47, , , , , ,489 26, , , , , ,028 18, , , ,291 6,564 1,373,223 1,139, ,297 48,059 59,885 59, , , ,901 23,916 21,897 21, , , ,880 12,557 22,449 22, , , ,692 19, , , , , ,490 29,403 1,565,176 1,298, ,713 54, , , , , ,005 11,159 37,564 37,564 1,740,653 1,443,826 1,082,879 60, , , , , ,986 8, , , ,265 29, , ,202 2,861,568 2,373,595 1,780, , , , , , , ,370 25,460 36,456 36, , , ,011 7,673 1,240,758 1,029, ,889 43, , , ,821 9,462 27,872 23,119 17,340 5, , , ,891 30, ,436 92, ,783 11,053 9,168 6,876 1,638,648 1,359,215 1,019,421 57, , ,138 23,633 19,603 14,702 5, , , ,053 10,262 84,800 70,339 52,755 5,000 1,151, , ,154 40, , , ,266 24,105 2,007,827 1,665,439 1,249,091 70,257 4,152, , , ,238 20, , , ,570 16, , , ,059 16,222 34,679 34,679 1 Grand Total FY12 Transit Fund Allocations

11 Population Based Allocations and Proposition A Incentive Programs FY Local Return I Transportation Dev Act I Proposition A lncen Ive (Attachment 81) Measure I Sub-Regional Voluntaly NTD I Propositlon A I Proposltion C I R I Article3 1 Article 8 1 Paratransit I Reporting 289, , , ,143 1 I ATTACHMENT C Page20f2 Special Demo Sub-Total Grand Total - 719,266 16,931, ,290, ,700, ,000 1,238,531 43,217,522 65,758 2,574,313 21, ,570 16,041 1,274,627 20,550 1,048, ,698 1,518,180 2,251, ,253 2,411,835 3,758,525 I 70 Rolling Hills 71 Rolling Hills Estates 72 Rosemead 73 San Dimas 74 San Fernando 77 Santa Clarita 78 Santa Fe Springs 79 Santa Monica sa Sierra Madre 81 Signal Hill 82 South El Monte 83 South Gate w South Pasadena ss Temple City 86 Torrance 87 Vernon 88 Walnut as West Covina - 91 w Westlake Village FYI2 Transit Fund Allocations

12 Proposition A 40% Discretionary lncentive Programs (In Order of Priority) FY ATTACHMENT C.l Prioritv I: Existina Sub-Reaional Paratransit Proiects: Antelope Valley, Elderly & Disabled Beverly Hills Taxj & Lift Van Culver City Community Transit and LA County Gardena, Hawthome and LA County Glendale Paratransit and La Canada Flintridge Huntington Park, Bell, South Gate and LA County lnglewood Transit and LA County City of Carson (MB and kc4 mcher) City of Cerritos (MB and DR) LA County (Whittier et al) City of Compton (MB) 59,885 59,885 LA County (Willowbrmk) City of Covina (DR) 21,897 21,897 Los Angeles Taxj & Lift Van, City Ride City of Cudahy (MB and DR) 22,449 22,449 Los Angeles Dial-a-Ride, City Ride City of Downey (MB and DR) 106, ,627 Monrovia D.A.R. and LA County City of Duarte (MB) 37,564 37,564 Palos Verdes PTA D.A.R. City of El Monte (MB and DR) 157, ,613 Palos Verdes PTA - PV Transit City of Glendora (DR) 36,456 36,456 Pasadena Community Transit, San Marino and LA County City of Glendale (MB)* 386,644 72, ,095 Pomona Valley TA - E&D (Get About) City of Huntington Park (MB) 92,347 92,347 Pomona Valley TA General Public (VC) City of Los Angels -- Community DASH* 2,100, ,215 1,706,714 Redondo Beach Community Transit and Hermosa Beach City of Lawndale 34,679 34,679 City of Lynwood (MB) 65,758 65,758 City of Malibu (DR) 21,436 21,436 City of Manhattan Beach (DR) 16,041 16,041 City of Maywood (DR) 20,550 20,550 City of Monterey Park (MB) 186, ,253 LA County Dept. of Public Works -- Avocado Heights 16,143 16,143 LA County Dept. of Public Works -- East LA (MB and DR) 47,598 47,598 LA County Dept of Public Works -- South Whittier (MB) 52,080 52,080 LA County Dept. of Public Works -- Hahn's Trdley (MB) 57,594 57,594 City of Pasadena (MB)" 312,027 58, ,479 City of Pico Rivera (DR) 46,517 46,517 City of Rosemead (MB and DR) 34,222 34,222 8,066 8,066 89,904 89,904 I Priority N: approved new expanded paratransit s dces Rioritv VI: sllecial demonstration ~roiects Avalon Ferry Subsidy Avalon Transit Services (Jitney and Dial-a-Ride) Hollywood Bowl Shuffle Service (Summer 2007) 6th Priority SUBTOTAL 1,697,000 rity - locally funded systems which vduntarily reported NTD data for '09 report year. Exact amounts TBD and higher, based upon actual FY 12 FTA 5307 apportionment unit values. TOTAL EXPENDITURES Proposition A Disc. Incentive (5% of 40%) Revenue Surplus (Shortfall) FYI2 Transit Fund Allocations

13 ATTACHMENT D (Page 1 of 4) Summary of Significant Information, Methodologies and Assumptions Used in FY Transit Fund Allocations Summarv of Sianificant Information 0 Revenue estimate is 2.594% over FY budget based on several economic forecasts. CPI of 1.99% is based on UCLA forecast published in the summer of and is applied to increase Proposition A Discretionary, TSE, BSlP and Discretionary Base restructuring. MOSlP receives 3% increase from FY allocation. TDA and Measure R 20% Bus Operations carry-over include funding adjustment made in March, No bridge funding for Proposition 1 B is allocated pending the release of Proposition 1 B funds. a Federal Section 5307 is an estimate and will be adjusted upon receipt of final apportionment. 0 Proposition A 95% of 40% Discretionary (PA40) allocated to municipal operators include $23M to be transferred from Proposition C 40% Discretionary as a result of shorlfall in PA40 revenue. a Allocations also include fund exchanges of Federal Section 5307 allocations for Santa Monica's formula share and Long Beach's SCRTTC training allocation with Metro's TDA share. Metro's planning and administrative allocation from Transportation Development Act (TDA) is increased from $6 million to $8.5 million due to increase in Southern California Association of Governments (SCAG) increase in planning funds.

14 ATTACHMENT D (Page 2 of 4) Summary of Significant Information, Methodologies and Assumptions Used in FY Transit Fund Allocations Formula Allocation Procedure Attachment B: Bus Transit Subsidies Allocations of transit subsidy funds (STA, TDA Article 4, and Proposition A 95% of 40% Discretionary) are based on the Formula Allocation Procedure (FAP) that was adopted by the (LACMTA) Board Directors and legislated through SB 1755 (Calderon ). Los Angeles County included and eligible operators, including Metro Bus Operations submitted their FY2010 Transit Performance Measures data for the FY FAP calculations. These data were validated and used in the calculations. The FAP as applied uses 50% of operators' vehicle service miles and 50% of operators' fare units. (Fare units are defined as operators' passenger revenues divided by operators' base cash fare). In November 2008, the Board approved Funding Stability Policy where operators who increase their fares will have their fare units frozen at their level prior to the fare increase until such time that fare unit calculation based on the new higher fare becomes greater than the frozen level. Tier 2 Operators Funding Program was approved by the Board in April as operating assistance to LADOT Community Dash program and Glendale, Pasadena and Burbank's fixed route transit programs. Allocation is calculated by the same methodology as in the FAP and does not negatively impact the existing included and eligible operators. This program is funded for $6 million each year for the next three years beginning FY2011 from the $1 8 million GO1 funds that was set aside by the Board in FY2008. Measure R Measure R which the voters approved in November 2008, provides that 20% of the revenues be allocated to bus service operations, maintenance and expansion. The 20% bus operations share is allocated according to FAP calculation methodology. In addition, Measure R ordinance also provides a lump sum allocation of $1 50M over the life of the ordinance for clean fuel and bus facilities. This fund is allocated to LA County municipal operators at $1 OM every two years. Proposition C 5% Security 90% of Proposition C 5% Security fund is allocated to Los Angeles County transit operators and Metro Operations for security services. State law requires that each operator's share of funds be based on its share of unlinked boardings to total Los Angeles County unlinked boardings. The unlinked boardings used for allocating these funds are derived from the operators' and our National Transit Database (NTD) reports.

15 ATTACHMENT D (Page 3 of 4) Summary of Significant Information, Methodologies and Assumptions Used in FY Transit Fund Allocations Proposition C 40% Discretionary Programs (Attachment B.l) Municipal Operators Service lmprovement Program (MOSIP). MOSIP was adopted by the Board in April The program as continued is intended to provide bus service improvements to the transit dependent in Los Angeles County by reducing overcrowding and expanding services. Funding is increased by 3% from previous year's funding level. All municipal operators participate in this program, and funds are allocated according to FAP calculation methodology. Zero-Fare Compensation. Commerce is allocated with an amount equivalent to its FAP share as compensation for having zero fare revenues. e Foothill Mitigation. This fund is allocated to operators to mitigate the impact of Foothill becoming an included operator. Foothill Mitigation Program is calculated similarly as TDA and STA portion of the normal FAP, except that Foothill's data are frozen at its pre-inclusion level. The result of this calculation is then deducted from the TDA and STA portion of the normal FAP to arrive at the Foothill Mitigation funding level. This methodology was adopted by the Bus Operator Sub-committee (BOS) in November a Transit Service Expansion Program. The TSE Program continues for five municipal operators for expansion or introduction of fixed route bus service in congested corridors. Metro Operations does not participate in this program. Base re-structuring Program. The BSRP continues for four municipal operators who added service before These four municipal operators were given additional funding from both Proposition A 40% Discretionary and Proposition C 40% Discretionary. e Bus Service lmprovement Program. The BSlP also continues to address service improvements on overcrowded non-metro bus lines used primarily by the transit dependent. LACMTA Operations and all other Los Angeles County transit operators, except Claremont, La Mirada and Commerce, participate in this program. Federal Section 5307 Formula Fund (Attachment 8.2) Based on federal revenue estimates for FY 201 2, $230 million in Federal Section 5307 Urban Formula funds are allocated to Los Angeles County transit operators and LACMTA Operations. Eighty-five percent (85%) of these funds have been allocated based on a capital allocation formula consisting of total vehicle miles, number of vehicles, unlinked boardings, passenger revenue and base fare. Fifteen percent (1 5%) capital discretionary fund and the 1 % Transit Enhancement Act fund have been allocated on a discretionary basis with Bus Operations Subcommittee's review and concurrence.

16 ATTACHMENT D (Page 4 of 4) Summary of Significant Information, Methodologies and Assumptions Used in FY Transit Fund Allocations Attachment C: Population Based Allocations and Prop A Incentive Proarams Proposition A 25% Local Return, Proposition C 20% Local Return and Measure R 15% Local Return funds estimates are apportioned to all Los Angeles County cities and the County of Los Angeles based on population shares according to state statutes and Proposition A, Proposition C and Measure R ordinances. TDA Article 3 funds are divided 85% for all jurisdictions and 15% for maintenance of regionally significant Class I bike paths as determined by LACMTA policy and in current TDA Article 3 Guidelines. The 85% is allocated to all Los Angeles County cities and the County of Los Angeles based on population shares. The remaining 15% is split at a ratio of 30% to 70% to City of Los Angeles and County of Los Angeles, respectively. TDA Article 3 funds in the amount of $32,042 have been reallocated to cities receiving less than $5,000. The Street and Freeway Subcommittee and the Technical Advisory Committee have approved this redistribution methodology in prior years, and it remains unchanged. TDA Article 8 funds are allocated to areas within Los Angeles County, but outside the Metro service area. These are Avalon, Lancaster, Palmdale, Santa Clarita and portion of unincorporated areas of Los Angeles County. The amount of TDA funds for Article 8 allocation is calculated in the proportion of population of these areas to the total population of Los Angeles County. In lieu of TDA Article 4.5, five percent (5%) of Proposition A 40% Discretionary funds have been allocated to local transit operators through Board-adopted Incentive Program guidelines. Programs include the Sub-Regional Paratransit Program, the Voluntary NTD Reporting Program and the Sub-Regional Grant Projects. Under the Voluntary NTD Reporting Program, local transit operators report operating data through our Consolidated NTD Report for entitlement to the Federal FTA Section 5307 funds. Operators participating in the Voluntary NTD Reporting Program and who are not receiving Sub-Regional Paratransit funds are allocated an amount equal to the Federal FTA Section 5307 funds they generate for the region. Under the Sub-Regional Grant Projects, Avalon's Ferry, which provides a lifeline service to its residents who commute between Avalon and the mainland will continue to receive $600,000 in subsidy. Avalon's Transit Services and the Hollywood Bowl Shuttles will also continue to receive $250,000 and $847,000 subsidies, respectively.

17 ATTACHMENT E Page 1 of 3 RESOLUTION OF THE LOS ANGELES COUNTY METROPOLITAN TRANSPORTATION AUTHORITY FOR FISCAL YEAR FOR LOCAL TRANSPORTATION, TRANSPORTATION DEVELOPMENT ACT, AND STATE TRANSIT ASSISTANCE FUND ALLOCATIONS WHEREAS, the Los Angeles County Metropolitan Transportation Authority (LACMTA) is the designated Transportation Planning agency for the County of Los Angeles and is, therefore, responsible for the administration of the Transportation Development Act (TDA), Public Utilities Code Section et seq.; and WHEREAS, under Chapter 2.5, Article 5, the State Transit Assistance Fund (STA) Section 6753, allocations to claimants shall be made and take effect by resolution and shall designate: 1) the fiscal year for which the allocation is made; 2) the amount allocated to the claimant for each of the purposes defined in Sections 6730 and 6731 ; and 3) any other terms and conditions of the allocation; and WHEREAS, Section 6659 requires that allocation instructions be conveyed each year to the county auditor by written memorandum of its executive director and accompanied by a certified copy of the authorizing resolution; and WHEREAS, the resolution shall also specify conditions of payment and may call for a single payment, for payments as moneys become available, or for payment by installments monthly, quarterly, or otherwise; and WHEREAS, the amount of a regional entity's allocation for a fiscal year that is not allocated to claimants for that fiscal year shall be available to the regional entity for allocation in the following fiscal year; and WHEREAS, Section 6754 requires that the regional entity may allocate funds to an operator or a transit service claimant only if, in the resolution allocating the funds, it finds all of the following: a.1 The claimant's proposed expenditures are in conformity with the Regional Transportation Plan. a.2 The level of passenger fares and charges is sufficient to enable the operator or transit service claimant to meet the fare revenue requirements of PUC section , , , , and , as they may be applicable to the claimant. a.3 The claimant is making full use of federal funds available under the Urban Mass Transportation Act of 1964, as amended.

18 ATTACHMENT E Page 2 of 3 a.4 The sum of the claimant's allocations from the state transit assistance fund and from the local transportation fund does not exceed the amount the claimant is eligible to receive during the fiscal year. a.5 Priority consideration has been given to claims to offset reductions on federal operating assistance and the unanticipated increase in the cost of fuel, to enhance existing public transportation services, and to meet high priority regional, countywide, or area wide public transportation needs. WHEREAS, the regional entity may allocate funds to an operator for the purposes specified in Section 6730 only if, in the resolution allocating the funds, it finds all of the following: b.1 The operator has made a reasonable effort to implement the productivity improvements recommended pursuant to PUC Section b.2 A certification by the Department of the California Highway Patrol verifying that the operator is in compliance with section of the Vehicle code, as required in PUC Section The certification shall have been completed within the last 13 month, prior to filing claims. b.3 The operator is in compliance with the eligibility requirements of PUC Section or WHEREAS, the regional entity may allocate funds to an operator to exchange funds pursuant to PUC Section (b) only if, in the resolution allocating the funds made available pursuant to PUC Section 99231, it find that the operator is eligible to receive State Transit Assistance funds; and WHEREAS, LACMTA staff in consultation with the Transit Operators and Cities has developed allocations in accordance with the Transportation Development Act as previously specified. NOW THEREFORE, 1.0 The LACMTA Board of Directors approves the allocation of TDA and STA for the Fiscal Year to each claimant for each of the purposes as specified in Attachment A. 2.0 The Board of Directors hereby finds that a claimant's proposed expenditures are in conformity with the Regional Transportation Plan.; the level of passenger fares and charges is sufficient to enable the operator or transit service claimant to meet the fare revenue requirements; the claimant is making full use of federal funds available under the Urban Mass Transportation Act of 1964; the sum of the claimant's allocations from the State Transit Assistance fund and from the Local Transportation Fund do

19 ATTACHMENT E Page 3 of 3 not exceed the amount the claimant is eligible to receive during the fiscal year; and that priority consideration has been given to claims to offset reductions on federal operating assistance and the unanticipated increase in the cost of fuel, to enhance existing public transportation services, and to meet high priority regional, countywide, or area wide public transportation needs. 3.0 The Board of Directors hereby finds that, for the purposes specified in Section 6730, the operators eligible for funding have made reasonable efforts to implement the productivity improvements recommended pursuant to PUC Section A certification by the Department of the California Highway Patrol verifying that the operator is in compliance with Section of the Vehicle Code, has been remitted. The operator is in compliance with the eligibility requirements of PUC Section or The Board of Directors hereby authorizes that the operators listed in Attachment A are eligible to receive State Transit Assistance funds. 5.0 The Board of Directors hereby authorizes that the operators may receive payments upon meeting the requirements of the STA eligibility test and submittal of TDA and STA claims. CERTIFICATION The undersigned, duly qualified and acting as the Board Secretary of the, certifies that the foregoing is a true and correct representation of the Resolution adopted at a legally convened meeting of the Board of Directors of the Los Angeles County Metropolitan Transportation Authority held on May,