Title
Resolution to Amend the Cost Allocation Agreement Between the Cities of Chesapeake, Hampton, Newport News, Norfolk, Portsmouth, Virginia Beach, and the Transportation District Commission of Hampton Roads
Purpose
PURPOSE/BACKGROUND:
Similar to Transit Agencies across the country, HRT has faced a decline in ridership due to the Covid-19 Pandemic. This decline is impacting bus fare revenues. The Federal government has provided relief funds to assist transit agencies with revenue losses and costs related to the Pandemic. In order to allocate these Federal funds and available State funds to mitigate the loss of revenue from the decline in ridership, the HRT cost allocation agreement needs to be temporarily amended. All HRT member cities are being asked to approve a modification to that agreement for it to be put into effect. Member cities adopted a one year amendment to the formula each of the last three years to address this issue. Given the enduring impacts the Pandemic has had on ridership that are projected to continue in FY24, HRT has asked its local member cities to again temporarily amend the cost allocation formula so they can use the Federal relief funds and State funds to offset revenue losses. This action will minimize the impact the low ridership will have on our local contribution to HRT.
The City enacted similar resolutions for three (3) prior years, effective in each of the fiscal years sending June 30, 2021, June 30, 2022, and June 30, 2023.
Discussion:
See Purpose/Background above.
Impact:
See Purpose/Background above.
Recommendation:
Rec
Approve the Resolution.
Body
WHEREAS, the Cities of Chesapeake, Hampton, Newport News, Norfolk, Portsmouth and Virginia Beach (collectively, the "Participating Cities") and the Transportation District Commission of Hampton Roads ("HRT") are parties to the Cost Allocation Agreement, effectively dated October 1, 1999 ("Allocation Agreement");
WHEREAS, the Allocation Agreement, among its o...
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