TO: AC Transit Board of Directors
FROM: Michael A. Hursh, General Manager/Chief Executive Officer
SUBJECT: FY 2022-23 Mid-Year Operating and Capital Budget Review
ACTION ITEM
AGENDA PLANNING REQUEST: ?
RECOMMENDED ACTION(S):
Title
Consider receiving the FY 2022-23 Mid-Year Budget review and ridership analysis, and adopt Resolution No. 23-004 amending the FY 2022-23 Annual Operating and Capital Budgets.
Staff Contact:
Chris Andrichak, Chief Financial Officer
Body
STRATEGIC IMPORTANCE:
Goal - Financial Stability and Resiliency
Initiative - Financial Efficiency and Revenue Maximization
Amending the Annual Operating and Capital Budgets benefits staff and Board Members in understanding revisions needed for the remainder of the fiscal year to better align the District budget with projected revenues and expenses.
BUDGETARY/FISCAL IMPACT:
Approving the proposed budget changes will reduce the Operating Revenue and Expense budgets by $2.2 million each, resulting in a balanced budget. There is no change to the total capital budget amount.
Four new positions are proposed to be added with the Mid-Year Budget amendment.
BACKGROUND/RATIONALE:
Overview
The proposed Mid-Year budget amendment for FY 2022-23 reduces the District's total operating revenues and expenses by $2.2 million (0.4%). The reduction in revenues is composed of an increase in operations revenue of $1.9 million and a decrease in subsidies of $4.1 million. Total expenses are composed of a $6.4 million reduction for Labor and $4.2 million increase for Non-Labor. There is no change to the total amount of capital budget or the projects included.
Attachment 2 provides a summary of proposed changes to the District's Total Operating Revenues and Expenses.
Operating Revenues & Subsidies
The following revenue budget adjustments are proposed:
* An increase of $1.6 million to Operations Revenues due to increased Easy Pass revenues.
* An increase of $2.5 million in Property Tax.
* An increase of $...
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