City Council
259 N. Wilma Avenue
Ripon, CA 95366
MEMO
To: Honorable City Council
From: Kevin Werner, City Administrator
Date: 07/11/2023
Subject: Measure K Renewal Cooperative Agreement - Blossom Express
RECOMMENDATION
Approve and authorize the Mayor to sign the Measure K Renewal Cooperative Agreement (C24-003) with San Joaquin Council of Governments (SJCOG) in order to receive funding to operate the Blossom Express transit service over a four year period from July 1, 2023 through June 30, 2027.
BACKGROUND
The City of Ripon receives Measure K Renewal funds to operate the Blossom Express service.
The Blossom Express operates 2 times a week for 5 hours each day providing stops near Bethany Home, downtown Ripon, Kaiser Hospital in Modesto and the Vintage Faire Mall Food Court.
DISCUSSION
The following table is a summary of the Blossom Express annual expenses and revenue for the last two years and what is projected for fiscal year 2023-24.
Actual Actual Projected
FY 21/22 FY 22/23 FY 23/24
Expenses $56,960 $56,112 $77,165
RTD Driver $15,162 $19,632 $31,980
Administration/Maintenance $41,798 $36,480 $33,664
Contingency - - $11,521
Revenue $56,960 $56,112 $77,165
Fares $862 $815 $1,000
LTF Transit Funds $1,986 $1,185 $20,961
Measure K Renewal $54,112 $54,112 $55,204
The Regional Transit District (RTD) has been providing a driver for the Blossom Express service since 2012. The most recent amendment to the operations agreement included a significant increase in the cost to provide a driver. For FY 23/24, the cost of the RTD driver will increase by $12,348 from the previous fiscal year, representing a 63% annual increase, while providing the same hours of service.
As a result of this increase, the Ripon transit service will no longer be able to only utilize ridership fares and Measure K Renewal transit funds to operate, as the Measure K Renewal transit allocation to Ripon will be exceeded. Therefore, Ripon will need to allocate a portion of the LTF transit revenue1the City receives to operate the Blossom Express. For Fiscal Year 2023-24, the City projects to receive $169,125, of which, $20,961 or 12% would be allocated to the Blossom Express service.
The following table is a summary of the Blossom Express number of riders and the fare box recovery for the last two years and the projection for fiscal year 2023-2024.
FY 21/22 FY 22/23 FY 23/24
Number of Riders 671 690 711
Fare Box Recovery 2.22% 2.26% 2.33%
FISCAL IMPACT
The Blossom Express service is proposed to be continued to be funded through Measure K Renewal transit funds and passenger fares. Due to the increase in RTD Driver costs, LTF funds that are specifically designated for transit purposes will need to be used in order to continue to provide transit service in Ripon.
Attachments:
1. SJCOG Agreement_C-24-003
1 SJCOG changed the policy for FY 21/22 regarding the use of LTF revenue that impacts the City of Ripon. The City must allocate 25% of this revenue to transit related expenses.