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TO: |
Board of Trustees |
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THROUGH: |
Jay Fox, Executive Director |
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FROM: |
Mary DeLoretto, Chief Service Development Officer |
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PRESENTER(S): |
Bill Greene, Chief Financial Officer |
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Daniel Hofer, Director Capital Assets and Project Controls |
TITLE:
title
R2023-03-01 - Resolution Approving the First Amendment to the Authority’s 2023 Budget
end
AGENDA ITEM TYPE:
Resolution
RECOMMENDATION:
Approve Resolution R2023-03-01 to amend the 2023 Capital Budget as presented.
BACKGROUND:
In accordance with Board of Trustee Policy Number 2.1, Financial Management, the Board of Trustees may amend or supplement the budget at any time after its adoption.
This proposed $11,000,000 amendment to the 2023 Capital Budget corrects a technical budget development error and recognizes an opportunity to purchase two right of way parcels along the alignment on the Ogden/Weber State (OGX) BRT Project.
This proposal was presented to the Board of Trustees on January 11, 2023 and subsequently to the Local Advisory Committee for their consultation on February 15, 2023 without opposition.
This proposed budget amendment will provide sufficient 2023 budget authority to address remaining construction and other activities needed to finish the project this year.
DISCUSSION:
This project was approved by the FTA with a cost of completion estimated at $120 million. UTA has secured federal grants totaling $93 million or 78 percent of the total estimated project cost. Local funds (including right of way donations) in the amount of $11.7 million were also secured. UTA funds will complete the funding package for this project.
These previously secured funds are sufficient to fund the proposed 2023 budget amendment of $11 million, correct the technical error and purchase two parcels along the alignment.
The effect of this amendment would be to increase the 2023 project budget from $14,785,000 to a new total of $25,785,000. This would raise the overall project budget (not including right of way donations) from $102.5 M to $113.5 M to complete the project delivery in 2023.
ALTERNATIVES:
These funds are necessary to complete the project in 2023 as anticipated. The alternative would result in a delay in the project.
FISCAL IMPACT:
This request can be addressed by incorporating secured federal grant and local partner contributions. This will not have a negative impact on UTA’s fund balance.
ATTACHMENTS:
Resolution R2023-03-01 Approving the First Amendment to the 2023 Budget