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Transportation Grant Application - FY2026 Combined Capital Grant
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INFORMATION CONTACT:
Theresa Torres, Human Services Agency, Transportation Director, 704-283-3598
ACTION REQUESTED:
1) Approve submission of the Combined Capital Grant Application, 2) adopt the FY2026 Public Transportation Program Resolution authorizing the County Manager to submit the grant applications for federal and state funding, make all necessary assurances and certifications, and enter into agreements with the NCDOT to provide rural, small urban, and urban public transportation services, 3) upon award, authorize the County Manager to negotiate and execute an agreement substantially consistent with this Agenda Item, and 4) upon receipt of the grant award, recognize, receive, and appropriate the funding to the Human Service Agency’s Transportation budget.
PRIOR BOARD ACTIONS:
September 3, 2024, Regular Meeting, Agenda Item # 24-585 - Conducted Public Hearing - FY2026 Combined Capital Transportation Grant Application
BACKGROUND:
The annual Combined Capital program grant is intended to provide financial assistance for the support of public transportation services, which are open to the general public on a regular and continuing basis. Combined Capital funding will provide reimbursement for replacement vehicles that have met NCDOT's useful life of 100,000 miles for conversion and lift vans, minivans, and Light Transit Vehicles. Additionally, it will reimburse other capital needs, such as lettering of vehicles (NCDOT required), radio equipment, and the conversion to bi-fuel, etc.
The Combined Capital application utilizes funds from the 5311, 5307, 5339 federal programs, which allows Community Transportation (CT) systems, like Union County Transportation, the opportunity to apply for funding for capital projects on a single application, and provides NCDOT Integrated Mobility Division (IMD) the flexibility to fund the approved projects with the type of funds which best suit the projects and manage the funds in the most efficient and effective manner. The Combined Capital application will be reviewed by our NCDOT Mobility Specialist, who will then provide a recommendation to the NC Board of Transportation, who is responsible for determining the final award amounts.
The federal share for eligible capital costs may not exceed 80 percent of the net cost of the project. The State and local share of eligible capital costs are 10 percent each, however, State funding is subject to State appropriations and availability of funds. Historically State funds have been made available, but starting in FY2021, NCDOT has directed local governments to be prepared to cover the full 20 percent share, with the assumption that State funds may not be available.
The County's Combined Capital funding request for FY26 will cover replacement of five (5) 20’ LTV vehicle(s) with wheelchair lift(s) for a total request of $688,205, which includes 80 % Federal funding ($550,564) and County funds of a maximum 20% ($137,641). If State funding is awarded at the expected 10% ($68,820), then the local share would be reduced to 10% ($68,821).
The FY2026 application for Combined Capital funds is due October 6, 2024 and will cover a one-year period of performance from July 1, 2025, to June 30, 2026. Vehicles funded by this grant and authorized in the FY2026 budget will be purchased utilizing a North Carolina State contract. If vehicles are unable to be purchased utilizing a North Carolina state contract, they will be purchased pursuant to applicable law and policy.
FINANCIAL IMPACT:
A total of $688,205 in Capital grant funding (if approved as submitted) which includes a Federal Share of 80% ($550,564), and Local share a maximum of 20% ($137,641) if the State portion is not covered.