TO: AC Transit Board of Directors
FROM: Michael A. Hursh, General Manager/Chief Executive Officer
SUBJECT: Proposed FY 2023-24 Operating and Capital Budgets
BRIEFING ITEM
AGENDA PLANNING REQUEST: ?
RECOMMENDED ACTION(S):
Title
Consider receiving a report on the Proposed FY 2023-24 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
Presenting a Proposed Budget to the Board allows staff opportunity to receive and incorporate feedback from the Board in preparation of a Recommended Budget for the coming fiscal year.
BUDGETARY/FISCAL IMPACT:
The Proposed FY 2023-24 Operating Budget is balanced and includes a projected operating revenue and subsidy budget of $545.9 million and an operating expense budget of $545.9 million. These figures are outlined in Attachment 1.
The Proposed FY 2023-24 Capital Budget includes a projected spending plan of $114.8 million, composed of $95.8 million in grant funds, $18.9 million in District Capital funds. The Proposed Capital Budget is shown in Attachment 2.
BACKGROUND/RATIONALE:
Overview
The Proposed Operating Budget changes slightly from the Draft budget presented to the Board on May 10, 2023. Revenue and expenses increase by $282,000. This increase reflects an increase of $360,000 in Labor, which is offset by a decrease of $78,000 in Non-Labor.
The Proposed FY2023-24 Capital Budget includes a projected spending plan of $114.8 million, composed of $95.8 million in grant funds and $18.9 million in District Capital funds, resulting in an increase of $4.3 million over the Draft budget.
The District's priority for the FY 2023-24 budget is to maintain or, if financially and operationally possible, increase service levels. To do this an increase in the rate of recruiting and training will be required as well as the ability to maintain financial sta...
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