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Regular Agenda Item 4. A.

Regular BOS Meeting

Meeting Date:	08/06/2019
Submitted By:	Marian Sheppard, Clerk of the Board
Department:	Clerk of the Board of Supervisors

Information

Request/Subject

Update on the Town of Miami's Cobre Valley Community Transit System (CVCTS) and consideration of the Town's FY 2020 Economic Development Grant funding request.

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 CVCTS. This program 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 CVCTS has a fixed route and its "Dial-A-Ride" program has been operational since 1987.

On June 19, 2018, a presentation was made by Joseph Heatherly, Town of Miami Manager, on the previous year's activities of the CVCTS and a request was made for continued funding in the amount of $73,000 for FY 2019. The Board of Supervisors approved the funding request with the condition that an Intergovernmental Agreement between the Town of Miami and Gila County be presented to the Board for approval at a future meeting. Some changes were made to the agreement, so Economic Development Grant No. 121718 was approved by the Board at its January 22, 2019, Regular Meeting and it contained a statement that the Town of Miami acknowledged receipt of the funds prior to the execution of the Agreement. The Agreement was dated January 22, 2019 and it includes a 3-year renewal option.

Evaluation

Per the terms of the Agreement, Town of Miami Manager Joseph Heatherly has requested to present an update of the CVCTS activities over the last fiscal year, July 1, 2018 through June 30, 2019. The current local match split is $73,000 being provided by Gila County; $73,000 being provided by the City of Globe; and approximately $73,000 being provided by the Town of Miami. 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.

Granting of these funds is allowed per the requirements outlined in A.R.S. § 11-254 and Board of Supervisors' Policy No. BOS-FIN-016; 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.

Conclusion

The Town of Miami is seeking financial assistance in the amount of $73,000 from Gila County and the City of Globe to continue operating the CVCTS. The Board of Supervisors should consider this funding request with the condition that if grant funds are authorized to be disbursed to the Town of Miami, it is contingent upon the County's FY 2020 Budget being adopted.

Recommendation

It is recommended that the Board of Supervisors receive an update of the CVCTS activities of the past year as required by Economic Development Grant Agreement No. 121718 and consider the Town of Miami's request for an economic development grant in the amount of $73,000 so that the CVCTS may continue to operated. The approval of funding would be contingent upon the FY 2020 County Budget being adopted. (There is an agenda item on this meeting agenda to adopt the FY 2020 Gila County Budget prior to this agenda item.)

Suggested Motion

Information/Discussion/Action to receive an update on the activities of the Town of Miami's Cobre Valley Community Transit System (CVCTS) during the past year, and to approve an economic development grant in the amount of $73,000 for the continuation of the Town of Miami's CVCTS for FY 2020 contingent upon approval of the FY 2020 Gila County Budget. (Joe Heatherly)

Attachments
Economic Development Grant Agreement No. 121718
Slide Presentation CVT