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ARF- 3827

Regular Agenda Item 3. C.

Regular BOS Meeting

Meeting Date:	07/05/2016
Submitted By:	Don McDaniel Jr., County Manager
Department:	County Manager

Information

Request/Subject

Town of Miami's FY 2016-2017 Economic Development Grant Request (Intergovernmental Agreement No. 061716) for the Cobre Valley Community Transit System

Background Information

On August 20, 2012, the Board of Supervisors (BOS) approved an Intergovernmental Agreement (IGA)-Economic Development Grant with the Town of Miami in the amount of $74,700 so that the Town of Miami could purchase the Cobre Valley Community Transit (CVCT) building located in Miami, AZ.

On November 13, 2012, the BOS approved the issuance of a one-time economic development grant in the amount of $25,000 to the Town of Miami for the continued operation and expansion of its CVCT System, in particular its Dial-A-Ride Program, providing that an IGA was presented to the BOS for signature at a future BOS meeting. Granting of these funds was allowed per the requirements outlined in A.R.S. § 11-254.

On February 5, 2013, the BOS and the Town of Miami entered into an IGA in order to release a $25,000 economic development grant to the Town of Miami for its CVCT System.

On June 24, 2014, the BOS and the Town of Miami entered into an IGA in order to release a $31,500 economic development grant to the Town of Miami for its CVCT System.

On September 15, 2015 the BOS and the Town of Miami entered into an IGA in order to release a $31,500 economic development grant to the Town for its CVCT System.

Evaluation

The Town of Miami is requesting the Board of Supervisors' approval of an Intergovernmental Agreement between both entities in order to provide the Town with an economic development grant in the amount of $61,000 to assist with the continued operation of its CVCT System. The Town has provided ridership studies which substantiate 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. Miami has proposed to split the operating costs equally between the three entities as follows: Miami-$61,000; Globe-$61,000; and, Unincorporated Gila County-$61,000. The Globe City Council approved the expenditure of their $61,000 subject to the County approving the expenditure of its portion too.

Conclusion

According to the Town of Miami, without continued and increased financial support from Gila County and the City of Globe, the Cobre Valley Community Transit System will be forced to discontinue operation.

Recommendation

It is recommended that the Board of Supervisors approve the request and an Intergovernmental Agreement for increased economic development funds in the amount of $61,000 to assist with the continuation of the CVCT System, and that the Town provide the Board of Supervisors with an annual update on the activities of the CVCT System per the requirements in the IGA.

Suggested Motion

Information/Discussion/Action to approve Intergovernmental Agreement No. 061716 (Economic Development Grant) between Gila County and the Town of Miami in the amount of $61,000 in order to assist the Town of Miami with its Cobre Valley Community Transit System; and further, the Board determines this is for the benefit of the public and will improve or enhance the economic welfare of the inhabitants of Gila County. (Don McDaniel)

Attachments
Intergovernmental Agreement No. 061716 with Town of Miami Cobre Valley Community Transit System
County Attorney's Comment
Cobre Valley Transit Presentation