AGENDA ITEM EXECUTIVE SUMMARY
ITEM TITLE*
title
Miscellaneous Budget Amendment- Transit Fund
presenter
RESPONSIBLE STAFF, TITLE, DEPARTMENT*
Brian Litchfield, Director, Transit Department
Amy Oland, Director, Business Management Department
STAFF RECOMMENDATION*
That the Council:
• Enact the attached budget ordinance amendment to adjust the Transit Fund for the purchase of two transit vehicles; and
• Enact the attached project ordinance amendment to adjust the Transit Capital Grants Fund for receiving NCDOT IMD FY 26 Grants.
body
ACTION/DECISION POINTS*
By enacting the budget ordinance amendment, the Council adjusts the budget for the Transit Fund. By enacting the project ordinance amendment, the Council adjusts the budget for the Transit Capital Grants Fund.
BACKGROUND AND CONTEXT*
Transit Fund:
Demand Response Fleet - Enactment of the attached budget ordinance amendment allocates an additional $201,544 in addition to carrying the original $500,000 appropriation from Transit fund balance for the purchase of two vans for the demand response fleet.
NCDOT Apprentice Intern Program - Enactment of the attached budget ordinance amendment recognizes $18,991 in funding from NCDOT with a local match of $2,111 in existing funds for the NCDOT Apprentice Intern Program in the amount of $21,102.
Transit Capital Grants Fund:
Advanced Technology Grant - Enactment of the attached project ordinance amendment recognizes NCDOT funds in the amount of $225,000 and transfer of $25,000 from the Transit Fund for the local match and allocates $250,000 for the purchase of LCD information screens and a digital content management system.
Urban State Match Grant - Enactment of the attached project ordinance amendment recognizes $62,382 in funding from NCDOT and reduces the transfer from the Transit Fund by the same amount.
FINANCIAL IMPACT
1. Transit Fund Balance Appropriation
An additional fund balance appropriation of $201,544 from the Transit Fund is requested to support the purchase of two vans ordered in FY 2024 for the Demand Response fleet. An initial transfer of $500,000 from the Transit Fund fund balance was made in FY 2024 and carried forward into FY 2025. These funds were not carried into FY 2026, and a fund balance appropriation of $500,000 from the Transit Fund will be needed to ensure sufficient funding is in place to complete the procurement.
2. Advanced Technology Grant
Chapel Hill Transit received $250,000 in funding to implement onboard LCD information screens and a digital content management system. These screens will enhance the rider experience by displaying real-time information on upcoming stops, transfer connections, local news, weather updates, community service announcements, and advertising. The project is eligible for reimbursement of up to $225,000, covering 90% of the total cost through NCDOT’s Advanced Technology program.
3. FY 2026 Apprentice Intern Program
NCDOT’s Integrated Mobility Division (IMD) has also awarded funding to support two intern positions at Chapel Hill Transit, with a total grant amount of $21,102. The program is designed to provide hands-on experience in transit planning and operations. IMD will reimburse up to $18,991, or 90% of eligible project costs.
4. Urban State Match Grant - Demand Response Vehicle Replacement
Chapel Hill Transit was awarded $623,820 through a partnership with IMD and the Federal Transit Administration (FTA) to support the purchase of three (3) Light Transit Vehicles (LTVs) for the Demand Response (EZ Rider) fleet. These vehicles will replace three existing vehicles that have exceeded their useful life. The original project budget was set up for the Town to be reimbursed up to $499,055 (80%) by FTA and $124,765 as local match. The Town received notification that we will receive up to $62,382 (10%) from NCDOT IMD. We need to reduce the local share accordingly.
ATTACHMENTS
Budget Ordinance
Project Ordinance
FY26 NCDOT IMD Grant Award_13775 Agreement 26-AT-117.pdf
FY26 NCDOT IMD Grant Award_13805 Agreement 26-DG-117.pdf
FY26 NCDOT IMD Grant Award_13958 Agreement 26-UM-117.pdf