Addendum
PREPARED BY : YING SMITH
Transportation and Mobility Manager
Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, Finance Director, and Parks and
Public Works Director
110 E. Main Street Los Gatos, CA 95030 ● 40 8 -354 -68 32
www.losgatosca.gov
TOWN OF LOS GATOS
COUNCIL AGENDA REPORT
MEETING DATE: 06/05 /201 8
ITEM NO: 14
ADDENDUM
D ATE : JUNE 4 , 201 8
TO : MAYOR AND TOWN COUNCIL
FROM: LAUREL PREVETTI, TOWN MANAGER
SUBJECT: AUTHORIZE STAFF TO PROCEED WITH A SCHOOL BUS PILOT PROGRAM
TARGETING A JANUARY 2019 START DATE
REMARKS :
On June 1, 2018, a fter the release of the staff report staff was informed by the Bay Area Air
Quality Management District (BAAQMD) that they have completed the evaluation of the cost
effectiveness of the Town’s School Ride Sharing Pilot grant application. The BAAQMD
evaluation has resulted in a large reduction in the application’s eligible grant amount. The
maximum available grant amount of $12,000 is so minima l that it may not offset Town Staff’s
administrati ve cost associated with the grant . This determination by BAAQMD will also make
Transportation Fund for Clean Air (TFCA) grant funding highly unlikely in future years .
Staff recommends that no TFCA grant funds be included in the revenue projection. The
proposed 2018/19 Capital Improvement Program (CIP) includes funding for each of the first
three years of the program. These funds, as well as all of the program revenue and expenses,
were estimated early i n the program development . Staff was optimistic on the TFCA funding
for the program and therefore included it in the early calculations.
The revised Table 2 below recalculates the program revenue and expenditures utilizing current
information and shows a dditional funding needed to delivery the program.
PAGE 2 OF 2
SUBJECT: AUTHORIZE STAFF TO PROCEED WITH A SCHOOL BUS PILOT PROGRAM
TARGETING A JANUARY 2019 START DATE
JUNE 4, 2018
S:\COUNCIL REPORTS \2018 \06 -05 -18 \14 Bus Feasibility Study \Addendum_School_Bus_V3.docx 6/4/2018 6:02 PM MM
Table 2 – Updated Pilot School Bus Program Revenue and Expenditure
As each step of the funding profile becomes clear, the potential ongoing costs should be
weighed against future funds available in the General Fund five -year forecast and competing
priorities for Town funds. If the Town continues this program past the pil ot, the costs will
become ongoing operating costs to the Town as opposed to CIP costs.
Should the Town Council direct staff to continue with this program, staff anticipates further
revisions to the costs as expenses related to program administration, cont ract costs for bus
services, and other potential expenses are refined from the early estimates.
Pilot School Bus Program Revenue and Expenditure
Draft Budget June 4, 2018
Year 1/2 Year 2 Year 3
Expenses FY18-19 FY19-20 FY20-21
No. of Routes 2 2 4
Total Expenses 110,600 $ 221,200 $ 341,880 $
Revenue FY18-19 FY19-20 FY20-21
Fare Revenue - Projected 23,400 $ 45,500 $ 91,000 $
GFAR - Budgeted 57,200 $ 115,700 $ 220,880 $
TFCA - -$ -$ -$
Measure B -$ -$ -$
Other contributions -$ -$ -$
Total Available Funds (Fare + GFAR)80,600 $ 161,200 $ 311,880 $
Additional Estimated Funding Required
(Expenses - Available Funds)
30,000 $ 60,000 $ 30,000 $