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TO: |
Local Advisory Council |
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THROUGH: |
Jay Fox, Executive Director |
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FROM: |
Viola Miller, Chief Financial Officer |
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PRESENTER(S): |
Jay Fox, Executive Director |
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Viola Miller, Chief Financial Officer |
TITLE:
title
Consultation on Agency’s Tentative 2025 Budget
end
AGENDA ITEM TYPE:
LAC - Consultation
RECOMMENDATION:
Review the UTA Tentative 2025 Budget and provide advice to the Board of Trustees.
BACKGROUND:
Each year, in compliance with State of Utah Code 17B-2a-808.1, the Board of Trustees adopts a tentative budget for the next year and sets a public hearing at which interested parties may comment on the tentative budget.
The Board of Trustees conducted six budget work sessions in August. On September 11, 2024 the Board of Trustees received a presentation on the 2025 Tentative Budget. Subsequently, at their September 25, 2024 Board meeting, the Board approved a resolution adopting the 2025 Tentative Budget and conducted a public hearing on October 10, 2024.
The 2025 Tentative Budget was sent to the Governor’s office, Legislature, mayors, commissioners, metropolitan planning organizations, and others. It has also been made available to the public on UTA’s website and will be open for comment throughout the public comment period. The 30-day public comment period will conclude on November 6, 2024 with all comments provided to the Trustees.
On November 6, 2024 the Local Advisory Council will be given the opportunity to review the 2025 Tentative Budget and provide their advice and input to the Board of Trustees.
The 2025 Final Budget will be reviewed at the November 13, 2024 Board of Trustees meeting with adoption scheduled for the December 4, 2024 Board of Trustees meeting.
The detail of the 2025 Tentative Budget is attached.
DISCUSSION:
At UTA, we prepare our annual budget as part of a long-term financial strategy for responsible, accountable stewardship of public funds. Investments in transit today, including replacement and major repair of infrastructure, align with Utah’s Unified Transportation Plan developed in collaboration between UTA, the Utah Department of Transportation, our regional planning partners, and the communities we serve.
Our budget is fiscally responsible, strategic, and responsive to changing needs and emerging demands. On a local level, Utah’s growth creates opportunities and challenges for mobility and connectivity. Traffic congestion, commute time, housing accessibility, and air quality area few of the issues that transit seeks to address. On a regional and state level, economic development and major events like the 2034 Olympics present significant transit opportunities to benefit Utah’s future. Our 2025 proposed budget allocates funds in the most efficient manner possible, recognizing that the growing demand for transit service exceeds available resources.
The UTA 2025 budget includes $462 million in operating expenses and $330 million in capital investment to fund the provision of safe, convenient, and reliable public transportation service and key investments in Utah’s mobility infrastructure. The budget includes federal, state, and local contributions from our partners.
The 2025 Tentative Budget was developed with an emphasis on creating value. This will be accomplished by:
• Prioritizing efficiency within the organization
• Enhancing service delivery
• Investing in UTA culture
The 2025 Operating Budget:
• Increases funding for On Demand service
• Provides continued support to the TRAX Ambassador program
• Includes a service strategy that supports continued efforts to improve Operator working conditions
• Provides additional resources for Maintenance training
• Enhances effectiveness and organizational compliance by increasing grants management services
• Focuses on increased information systems development, security and support
• Includes additional development of organizational policies
ALTERNATIVES:
The Advisory Council is encouraged to provide their feedback to the Board of Trustees on this tentative budget and any additional considerations that should be discussed.
FISCAL IMPACT:
The 2025 Tentative Budget includes $462 million in operating expenses and $330 million of capital investment to fund the provision of safe, convenient, reliable service and targeted investments in our infrastructure. The budget includes federal and local contributions from our partners.
ATTACHMENTS:
• 2025 Budget Summary to Stakeholders
• 2025 Tentative Budget Document