The budget for the 2014 fiscal year has been amended for the Ann Arbor Area Transportation Authority – to increase total expenses by $41,597 – from $34,073,795 to $34,115,392. Revenues have been adjusted to incorporate proceeds from the new millage, approved by voters on May 6, 2014. Of that additional $4,543,695 in local millage revenues, $3,850,000 is being put toward next year’s FY 2015 budget.
The AAATA fiscal year runs from Oct. 1 through Sept 30. It’s not uncommon for public bodies to make adjustments to the budget toward the end of the fiscal year. Board action came at its July 24, 2014 meeting.
The AAATA’s amended budget reflects a number of changes related to the new millage and the service expansion that it will pay for. Among those changes are the hiring and training of 11 new bus drivers, bringing the total to 138 drivers. An operations supervisor, two new vehicle mechanics, an additional service crew member, and a human resources administrative assistant will also be added. [.pdf of detail on FY 2014 budget amendment]
The fares collected under the AAATA’s agreement with the University of Michigan are under budget, because the proportion of the $1-per-ride fare booked as cash has decreased. A federal grant – which is recorded as federal operating assistance – has increased.
In the report to the board treasurer, AAATA controller Phil Webb reported an $81,254 surplus. But the report also noted an unrestricted net asset reserve amount of 2.64 months. The board’s reserve policy is to maintain at least the equivalent of a 3-month operating reserve.
This brief was filed from the downtown location of the Ann Arbor District Library at 343 S. Fifth Ave., where the AAATA board holds its meetings.