TITLE
Recommendation to authorize City Manager to execute an agreement between the City of Long Beach and the Long Beach Public Transportation Company for a one-year term, beginning July 1, 2015 through June 30, 2016, for disbursement of Proposition A local return funds, in an amount not to exceed $5,190,603. (Citywide)
DISCUSSION
Prop A was approved by the Los Angeles County voters in November 1980, authorizing a sales tax increase of one-half cent for public transit purposes. Collection of this tax began in July 1982, and the funds are administered and disbursed by the Los Angeles County Metropolitan Transportation Authority (Metro) to cities on a per capita basis.
On August 10, 1982, the City Council approved a joint report by the Director of Public Works and the Executive Director and General Manager of the Long Beach Transit, relative to the disbursement of Prop A Local Return funds. Both the City and Long Beach Transit use these funds for various public transit-related capital and operating expenditures. In accordance with the report, the City and Long Beach Transit entered into an Agreement outlining fund allocation procedures. This Agreement has since been extended by the City Council numerous times.
Metro estimates the City will receive approximately $8.5 million in Prop A funds in Fiscal Year 2016. This agreement is contingent on the City’s continued receipt of Prop A funds from Metro. Staff recommends allocating a not-to-exceed amount of $5,190,603 to Long Beach Transit, for actual annual costs. The actual disbursement from the City will depend on reporting and supporting documentation of costs from Long Beach Transit. This amount includes continuing the previous allocation of $4,500,000 for Long Beach Transit’s operational needs and $690,603 for Law Enforcement Services. Over the next year, the City and Long Beach Transit will discuss potential changes to future allocation formulas. Under a separate Agreement for Law Enforcement Services, Long...
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