On the other hand, the RTA law requires AATA, SMART and DDOT to get permission for any grant applications made to the Federal Transit Administration (FTA). Thus, AATA could lose out on some discretionary funds, such as the kind it received for the new Blake Center, if the RTA refused to approve a particular grant application. Federal operating assistance should be unaffected.

I have not heard anything about merging DDOT and SMART. The RTA law does not expressly provide for such merger. The law allows the RTA to absorb other transit agencies, but with strict limits regarding liabilities (such as pension plans). The new RTA will act as the funding pass through agency for federal and state transit funds. It will also “coordinate” services provided by those transit providers. It should be noted that under the prior law that formed SMART, the coordination of services was to be handled by the RTCC (which is also the pass through agency now). The RTCC has been particularly ineffective in coordinating services.

The long term plan may be to use the RTA entity to effectuate the merger of SMART and DDOT. At this point, the RTA law does not provide any funding to replace the Detroit general revenue support of DDOT. Without a means to replace the many millions of dollars Detroit devotes to its transit service, it is unlikely that DDOT can separate from the City into a merged regional system.

I am also hearing that by this time next year DDOt and SMART will be merged under the control of the RTA. That said, AATA stands to get a smaller piece of the pie should they decide to remain independent. This scenario is similar to what had happened in the Cleveland area as the last holdouts (North Olmsted and Maple Heights) finally were absorbed into the RTA several years ago due to reduced funding by the RTA.

On the other hand, appointing David Nacht, a member of the AATA Board, would provide Mr. Nacht a face saving way to remove himself from the disastrous failure of the Countywide transit plan. While the RTA law does not disqualify a member of the AATA Board from serving on the RTA Board, those positions would likely be found to violate the incompatible offices law. This was the case in the similar relationship between the AATA and the Countywide transit authority boards. [link]