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Regular Agenda Item 2. B.

Regular BOS Meeting

Meeting Date:	01/22/2019
Submitted For:	Mary Springer	Submitted By:	Mary Springer, Finance Director
Department:	Finance

Information

Request/Subject

Economic Development Grant Agreement No. 121718 for the Town of Miami's Cobre Valley Community Transit System

Background Information

Dating back to 2012, Gila County has been providing an economic development grant to the Town of Miami to assist the Town with the costs to operate its Cobre Valley Community Transit (CVCT) System. This System provides transit to not only Town of Miami residents but to City of Globe residents and those people that reside in unincorporated Gila County. The CVCT System has a fixed route and its "Dial-A-Ride" program has been operational since 1987.

On September 26, 2017, the Board of Supervisors approved Agreement No. 072417 to provide economic development funds to the Town of Miami for its CVCT System in the amount of $61,000 as the Board determined that the CVCT System is for the benefit of the public and it improves or enhances the economic welfare of the inhabitants of Gila County. Granting of these funds was allowed per the requirements outlined in A.R.S. § 11-254.

On June 19, 2018, the Town of Miami Manager, Joseph Heatherly, presented an update of the CVCT System's activities over the last year, July 2017 to June 2018, as required by Agreement No. 072417. At that time, the current local match split was $61,000 being provided by Gila County; $61,000 being provided by the City of Globe; and approximately $73,000 being provided by the Town of Miami. Mr. Heatherly pointed out that the Town provided ridership studies which substantiates its position that the majority of those who utilize the system are not Miami Town residents. The ridership is more heavily weighted toward Globe and unincorporated County residents. Based on actual costs and the ridership, the Town of Miami requested to split the operating costs equally between the three entities as follows: Miami-$73,000; Globe-$73,000; and unincorporated Gila County-$73,000. The Board of Supervisors unanimously voted to provide $73,000 to the Town of Miami for the CVCT System; and it was agreed that an agreement between the County and the Town be presented to the Board for approval at a future Board meeting.

Evaluation

Economic Development Grant Agreement No. 121718 that is between the Town of Miami and Gila County needs to be presented to the Board for approval. The $73,000 has already been distributed to the Town of Miami.

Conclusion

The Board of Supervisors needs to consider authorizing its Chairman to sign the Agreement.

Recommendation

It is recommended that the Board of Supervisors enter into Economic Development Grant Agreement No. 121718 in the amount of $73,000 with the Town of Miami to provide funding for the Town's CVCT System for one year, from June 19, 2018, through June 18, 2019.

Suggested Motion

Information/Discussion/Action to approve Economic Development Grant Agreement No. 121718 between Gila County and the Town of Miami to provide funding in the amount of $73,000 that will be used to fund the Town's Cobre Valley Community Transit System for the period June 19, 2018, through June 18, 2019. (Mary Springer)

Attachments
Economic Development Grant No. 121718