Update on RRTA's Funding Crisis

July 19, 2007

The RRTA Board is pleased to announce that the new transportation bill (House Bill 1590) passed on Tuesday, July 17, 2007. This passage will provide $1.2 Million to RRTA for the current fiscal year. RRTA was facing over a $1 Million shortfall in funding for the current fiscal year.

RRTA will not have to cut any service or raise fares for the current fiscal year. Originally, RRTA was proposing cutting seven bus routes as of January 1, 2008 if a funding resolution was not reached.

Federal Funding Issue Still Unresolved
However, RRTA still faces a federal funding issue that is still not resolved. RRTA will lose $564,000 in federal operating assistance as of July 1, 2008 if federal legislation is not changed. A federal rule that does not allow use of federal funds to operate service due to urbanized areas exceeding 200,000 in population will affect RRTA if the rule is not changed. If the rule is not changed, RRTA will have to determine if some service reductions will be necessary for Fiscal Year 2008-2009.