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BOOK <br />TO: James Chandler <br />County Administrator <br />THROUGH: Robert M. Keating, AICP 4144 <br />Community Development Director <br />FROM: Jacob Riger 1R <br />MPO Planner <br />DATE: November 19, 1997 <br />SUBJECT: REQUEST FOR AUTHORIZATION TO SUBMIT AN APPLICATION FOR <br />SECTION 9 MASS TRANSIT CAPITAL AND OPERATING FUNDS (49 USC <br />CH. 53, SECTION 5307 GRANT) <br />It is requested that the information presented herein be given formal consideration by the Indian <br />River County Board of County Commissioners at its regular meeting of December 2, 1997. <br />As a result of the 1990 Census, the City of Vero Beach and the densely populated land surrounding <br />the City were designated as an urbanized area. With this designation, several changes occurred. One <br />was the establishment of the Indian River County Metropolitan Planning Organization (MPO). <br />Another change was that local governments within the urbanized area became eligible to apply for <br />and receive grant funds authorized by 49 USC Ch. 53, Section 5307 (formerly and more widely <br />known as Section 9 of the Federal Transit Act). <br />In August 1996, the Board of County Commissioners authorized the filing of a Section 5307 grant <br />application requesting $1,077,336 in federal, state, and local funds. That grant was approved, and <br />those funds were passed through to the Council on Aging to provide funding for the Community <br />- Coach bus system. <br />Section 5307 program grants may be used for the planning, acquisition, construction, improvement, <br />and operating costs of facilities, equipment, and associated capital maintenance items used in mass <br />transportation service. Operating expenses require a 50% non-federal match, while capital expenses <br />require a 20% non-federal match. <br />FY 1997/98 is the second year for which a soft -match, rather than cash match, may be used to <br />provide the required match for the capital expenses portion of the Section 5307 grant. While a match <br />is still required, the use of a soft -match eliminates the need for the county or state to provide a cash <br />share for capital expenses. State and county funds allocated for transit expenses are, however, still <br />used to match operations expenses. The availability of soft -match funds stems from a provision of <br />the Intermodal Surface Transportation Efficiency Act (ISTEA) of 1991 allowing the use of toll <br />revenue credits for federally -required matching funds. A toll credit match may be used only for the <br />capital portion of the Section 5307 grant. <br />The grant application is provided in Attachment 1. Listed on Attachment 1 is the amount of federal <br />cash grant funds, state/local matching cash funds, and state/local matching soft -match funds for <br />capital and operations. Attachment 1 also lists the capital items which the Council on Aging intends <br />to purchase with the grant funds. <br />While only public agencies may be designated recipients and apply for Section 5307 funds, a non- <br />public provider may receive Section 5307 funds through a designated recipient which applies for <br />funds on behalf of the non-public provider. Consistent with this allowance, the Indian River County <br />December 2, 1997 <br />