Proposed FY2017 Budget Overview and Revenue Growth 

DiscussionHART Finance and Audit Committee Meeting 

August 15, 2016

Proposed Budget Overview

The FY2017 Proposed Operating and Capital Budget is balanced at $97,940,548

• $13,280,733 higher, or 15.7% more than the FY2016 Budget• Operating Budget is $72,715,366:  $4,689,887 higher, or 6.89% more than the FY2016 Budget

• Represents over $7.7 million of additional investment

• Capital Budget is $25,225,182: $8,590,846 higher, or 51.65% more than the FY2016 Budget

FY2017 Budget DevelopmentKey Drivers, Assumptions, and Goals

• Incremental growth in operating revenue • Ad valorem growth of 7.543% for FY17 • Bus ridership growth of 1% estimated in FY17 due to enhanced service• Expansion of “innovative programs” like First/Last Mile and Taxi Program• Limited enhancements to routes during non‐peak service, based on TDP• Continued stagnate growth in capital/federal funding • Slowing of community focused capital projects• ATU bargaining negotiations on‐going (budget amendment in Fall 2016)• Shift to performance based compensation for NB employees

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Continued Revenue Growth  Investment

Fiscal Year Ad Valorem Revenue Growth

Cost of Additional Enhanced Service

Service Increase Cost as % of Ad Valorem Growth

2014 $2,224,748 $1,759,936 79.11%

2015 $2,227,097 $580,471 26.06%

2016 $2,740,625 $944,834 34.48%

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Continued Revenue Growth  Investment

Fiscal Year Ad Valorem Revenue Growth

Cost of Additional Enhanced Service

Service Increase Cost as % of Ad Valorem Growth

2014 $2,224,748 $1,759,936 79.11%

2015 $2,227,097 $580,471 26.06%

2016 $2,740,625 $944,834 34.48%

2017 $1,790,069 $1,100,612 61.48%

Total $7,513,628 $5,547,207 73.83%

Total increase over FY2016 of $4,689,887 of all operating revenue growth and $8,590,846 of new Capital funding invested across Community, Employees and the Organization 

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Continued Revenue Growth  Investment – FY2017

Capital$8,590,846

65%

Operating$4,689,887

35%

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Continued Revenue Growth  Investment – FY2017

Investment in Community

48%

Investment in Employees

24%

Investment in Organization

28%

Total investment: $13,280,733

Drivers for revenue growth investment strategy:

* Annual budget development* Transit Development Plan* Five‐Year Look Ahead

FY2017 Budget InvestmentIncreased revenue strategic investments in Community, Employees and 

Organization

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Investment in Community• 5.2% increase in service in fixed‐route and flex

• $1.1 million of enhanced/new service (61.48% as part of ad valorem growth)• 18,500 additional revenue miles• FDOT partnership – funding operating/capital for New Tampa Flex; premium transit study

• Taxi Voucher program• First Mile/Last Mile initiative• Major Updates to Strategic Development Plans

• Transit Development Plan (TDP)• Comprehensive Operations Analysis (COA) • Shelter infrastructure study• Future Van Maintenance Facility study

• Smartcard implementation throughout fleet• Voice of the Customer surveys to measure patron satisfaction• Expansion of wireless infrastructure to all HART vehicles and transfer centers• Security enhancements – surveillance cameras to monitor at all HART facilities• CNG vehicles for diesel Fleet fixed‐rate replacement• Additional Demand Response vehicles• Renovation of transit center restrooms

Route 8 – 30 minute frequency on SaturdayRoute 36 – 30 minute frequency on Saturday/extend to 10:00 p.m. weekdaysRoute 37 – 30 minute frequency on SaturdayRoute 46 – Extend to 10:00 p.m. weekdaysRoute 57 – Sunday serviceRoute 572 – Northdale Flex – 30 minute service weekdaysRoute 575 – New Tampa Flex – Commence service – Weekday and Saturday

Investment in employees

• Expansion of on‐line training for skill enhancement, certifications, professional growth

• Second round of USF Capstone training program to train the “future of HART leadership”

• IT certifications to enhance skill sets of employees responsible for technology expansion

• Environmental regulatory training to ensure continued compliance with ISO 14001• “Roadeo” to improve operator performance • Pay for Performance for non‐bargaining employees• Bargaining agreement for the Teamsters (ATU will be brought back to the Board for 

funding)• Breakrooms at transfer centers for our Operators• Renovations to MTC Customer Service, Procurement Trailer and the Heavy 

Maintenance building• Roof repairs on two major HART facilities

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FY2017 Budget InvestmentIncreased revenue strategic investments in Community, Employees and 

Organization

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FY2017 Budget InvestmentIncreased revenue strategic investments in Community, Employees and 

Organization

Investment in the organization

• Addition of 20.5 FTEs for service enhancements and organizational support• Environmental remediation to ensure continued compliance with local and federal 

agencies• IT Modernization/software enhancements• Strategic Marketing Plan development• Increased budget for vehicle preventative maintenance• Project Management Office (PMO) and Project Management Institute 

training/certifications• Assessment of 21st Avenue Maintenance Facility stormwater improvements• Study to analyze the effect of the FTA mandated Asset Management System

Position Breakdown

Positions by UnitFY2017 Proposed FY2016

Increase over FY16

ATU 654.5 639 15.5Teamsters 49 49 ‐

Non‐bargaining 137.81 132.81 5Total Positions 841.31 820.81 20.5

ATU ‐ 654.50 (78%) Teamsters ‐ 49.00 

(6%)

Non‐bargaining ‐ 137.81 (16%)

ATU: Bus and Van Operators, Customer Service Reps, Mechanics, and Inventory Specialists

Teamsters:Maintenance and Transportation Supervisors and Dispatchers

Non‐Bargaining: CEO,Executive Leadership Team, Management, Professional staff and Administrative support

FY2017 Proposed Operating Revenues$72,715,366

Ad Valorem$34,788,573 

48%

Passenger Fares$17,331,740 

24%

Formula Grant$12,342,000 

17%

State and Local Grants$6,936,133 

9%

Other Revenues$1,316,920 

2%

FY2017 Proposed Operating Expenses

* Net of $1,430,000 employee contribution

$72,715,366

Employee costs$43,260,110 

59%

Health care *, $3,985,414 , 5%

Parts and Supplies, $4,734,515 , 7%

Fuel and Fluids$5,430,760 

7%

Legal fees, claims, premiums$3,407,174 

5%

Contract/Professional Services$6,276,632 

9%

Taxes/Utilities/Fees$2,642,440 

4%Other$2,978,321 

4%

FY2017 Proposed Capital Budget$25,225,182

FTA Formula$9,654,110

38%

FTA Discretionary, $4,099,019, 16%

FTA/FHWA STP, $7,372,160, 29%

FDOT$1,715,761

7%

MPO$100,000

1%

Ad Valorem$2,284,132

9%

Bus Replacement Acquisitions $7,851,388 HM Building $4,099,019 Regional Fare Collection $2,831,024 21st Avenue HM Roof Construction $1,657,488 Streetcar Capital Maintenance $1,346,500 IT Modernization $1,250,000 Engine and Transmissions $1,019,624 DR Vehicles ‐ 13 MV1's $869,851 Wireless Ph2 ‐ Facilities, SC, Para, Flex $700,000 Security Projects  $696,029 Premium Transit/Commuter Study $500,000 Operational Planning Studies $475,000 21st Ave. Stormwater Improvements $255,480 Bus Wash $254,415 21st Avenue Admin Bldg Roof  $250,000 Procurement Facility Renovation $212,000 Basic Transit Infrastructure $156,306 Facility Assessment Study $155,000 Customer Service MTC ‐ Remodel $151,500 Transit Center Restroom Renovations $138,731 Van Maintenance Facility Study $100,000 Operator Breakrooms $100,000 TVM Upgrade $85,225 TAMS study $70,602

Next Steps• Sept 12, 2016 at 5:30 pm – First Public Hearing for millage and 

FY2017 budget adoption• Sept 26, 2016 at 5:30 pm – Final Public Hearing for millage 

and FY2017 budget adoption

• New Tampa Flex ‐ 6 Flex Operators (ATU)• Service enhancements– 2.5 Flex Operators (ATU)• Service enhancements – 6 Bus Operators (ATU)• Streetcar Master Paint and Body Technician (ATU)• Materials Management Manager• Network VOIP Administrator• Talent Acquisition & Organizational Development Coordinator

• Labor Relations Coordinator• Operation’s Data Analyst 

Proposed FY2017 Additional FTE’s