Submitted By: Tom Duncan
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Presentation By: Tom Duncan
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Department: Growth Management
STAFF RECOMMENDATION (Motion Ready):
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Approve the administrative costs for SunTran’s Fiscal Year 2023-24 budget as required by Section 341.071 of the Florida Statutes
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OCALA’S RELEVANT STRATEGIC GOALS:
Fiscally Sustainable, Operational Excellence
PROOF OF PUBLICATION:
N/A
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BACKGROUND: The Florida Statutes has established new guidelines for reporting administrative costs within transit budgets to ensure transparency and the effective use of federal and state funds. Effective November 1, 2024, each public transit provider, during a publicly noticed meeting, must certify that its budgeted general administrative costs do not exceed 20 percent above the annual state average of administrative costs for its respective tier and present a detailed line-item budget report showing both budgeted and actual general administrative expenses.
SunTran is a Tier 2 public transit provider that operates under specific criteria defined by the Florida Department of Transportation (FDOT) and related federal guidelines. As of State Fiscal Year (SFY) 2025, FDOT has established that the average administrative cost for Tier 2 providers is 20.77 percent of their total operating budgets.
FINDINGS AND CONCLUSIONS: The staff has determined that SunTran's Fiscal Year 2023-24 administrative costs are significantly below the state average, at 10.26 percent of the total operating budget. Attachments include SunTran’s line-item budget for administrative and operating costs and ridership performance measures based on the most recent National Transit Database (NTD) data.
FISCAL IMPACT: The administrative and operating costs were approved for Fiscal Year 2023-24 using a combination of state and federal grants and local matches.
PROCUREMENT REVIEW: N/A
LEGAL REVIEW: N/A
ALTERNATIVE:
• Approve with changes
• Table
• Deny