Title
Bylaw 2022-06 - Public Transportation Utility
Proposed Motions
1. That the 2021 $18,894 transit program surplus is withdrawn from the Long-Term Sustainability Restricted Surplus to offset the 2022 transit program costs.
2. That Bylaw 2022-06 receive first reading.
3. That Bylaw 2022-06 receive second reading.
4. That Bylaw 2022-06 be presented for third reading at this meeting.
5. That Bylaw 2022-06 receive third and final reading.
Body
Administration Recommendation
1. Administration supports the proposed motions, as presented.
Purpose
To set the 2022 Utility Charge rate to recover 50% of the net costs to deliver transit service to Acheson Industrial Area.
Summary
The Public Transportation Utility Bylaw 2022-06 collects Utility Charges from services lots in Acheson Industrial Area. Following Council's decision made on June 12, 2018, that Parkland County will share the Public Transportation utility costs by 50%, the Utility Charge in this bylaw is set to collect 50% of the net costs to deliver transit service. The transit service includes one commuter route from Edmonton and an on-demand shuttle service within Acheson.
The estimated total cost for transit service in 2022 is $520,900. The estimated revenue from ticket sales is $34,500, leaving the estimated net cost to deliver the service in 2022 at $486,400. This value accounts for ticket sales projections. In 2021 based on the estimated budget, the Public Transportation Utility Charge and general taxation over collected by $18,894 when compared to actual year end expenses. The 2022 Public Transportation utility net cost of $486,400 should be adjusted by reducing this amount by the $18,894 surplus, resulting in the 2022 Public Transportation utility net adjusted cost being reduced to $467,506. Therefore, the total 2022 50% cost share value is $233,753 (50% of $467,506). This sets the Utility Charge rate at $0.09258 for each $1,000 of assessed value. Under the 2022 Bylaw, 445 businesses will be sent a Transportation Utility bill.
The remaining 50% or $233,753 net cost for transit service in 2022 will be funded through taxation to support the commuter and Acheson transit services.
Strategic Plan/Policy/Legal/Staff Implications:
Parkland County Strategic Plan: Pillar 1 - Complete Communities - We recognize the diversity of Parkland's communities, while fostering a united and shared vision for Parkland as a whole.
Guiding Principle 1.2 - We are a region of connected communities, through infrastructure, transit, recreation facilities, trails and technology.
Broad Objective - Investing in, owning, and maintaining infrastructure that supports access to technology, improving quality of life and business viability.
Parkland County Strategic Plan: Pillar 2 - Strategic Economic Diversification - We support the continuation and evolution of traditional economic activities, while pursuing new opportunities for diversified and sustainable growth.
Guiding Principle 2.3 - We effectively pursue and manage new opportunities to stimulate economic growth, increase investment, and diversify our long-term economic bases.
Broad Objective - Developing the road and infrastructure network to ensure the safe and efficient movement of traffic, goods, and services through Parkland County.
Broad Objective - Maintaining a business-friendly environment, ensuring economic development opportunities, providing industry supports, and treating our stakeholders as partners.
Parkland County Strategic Plan: Pillar 4 - Responsible Leadership - We maintain the public's trust through transparent and fair decision-making, superior service delivery, and effective communication.
Guiding Principle 4.2 - We are an organization that values, proactively builds, and continues to maintain strong relationships with key stakeholders.
Broad Objective - Developing and implementing a long-term strategy to support collaboration with neighbouring municipal partners, strengthening regional competitiveness and supporting the cost-effective provision of services.
Financial Impact:
Cost: $520,900
Source of Funding:
-Public Transportation Utility Charge (50%): $233,753
-Taxation (50%): $233,753
-Ticket Sales: $34,500
-2021 Surplus: $18,894 (50% tax, 50% utility charge)
Other: