Fourth Quarter Cent Sales Tax Presented by Andrew K. Jackson, AICP - PowerPoint PPT Presentation

Fourth Quarter Cent Sales Tax Presented by Andrew K. Jackson, AICP CTP December 6th, 2018

8 options to get to 4 quarters + a twentieth Brief Description ( bold adopted in Utah County) Title 59-12 of the Utah Code Annotated 1 st Quarter 1 st Quarter OR 2213 (County, City or Town) .25 100% UTA transit 2215 (City or Town) .30 100% transit 2 nd Quarter 2 nd Quarter 2216 (County) .30 87% Frontrunner, 5% BRT, 8% 2214 (County, City or Town) .25 100% transit unless SLC 80% OR roads transit, 20% roads. State Legislature authorizes funding in UCA (1/4 of 1/4) 3 rd Quarter 3 rd Quarter 2217 (County) .25 Weighted priority process approved by 2218 (County, City or Town) .25 Roads, transit, OR State Legislature, COG recommends list to County once a year airport, trails. MPO recommends projects 4 th Quarter 4 th Quarter 2219 (County) 40% UTA transit, 40% cities, towns, 2219 (City or Town) 50% UTA transit, 50% cities, towns, if OR county, 20% county, must be adopted by June 30, county doesn’t adopt by June 30, 2020 2022 5 th Twentieth 2220 (County) 100% to County for transit, must be adopted by June 30, 2022 and only after the other 4 are adopted

Local Option Sales Tax for Transportation $71.5M/Year 1st 2nd 3rd 4th 100% 87% 100% 100% TRANSIT TAX RAIL / HWYS / BRT HWYS/TRANSIT/TRAILS/AIRPORT 8% 5% .30 Cent ¼ Cent ¼ Cent Adopted 2006 Adopted 1984-2011 Adopted 2008 Voter Approved Voter Approved No Citizen Vote $26.6M Annually $22.2M Annually Commission Action 100% UTA 87% Rail $22.2M Annually 5% BRT/Bus Operates Bus System 100% MPO/County 8% Regional Roads Built multiple HWYs Built/operates rail Can go to airports Built multiple HWYs

¼ Cent Sales tax = 1¢ on a $3.99 Purchase ¼ Cent Sales tax = 25¢ on a $100 Purchase

How much does a quarter cent cost? $22,200,000 Total Population = 606,425 $37 per person/year Households = 172,791 $128 per household/year

Utah County Transportation Sales Taxes 3 rd ¼ CENT 1 st ¼ CENT 2 nd 3 CENT 10 Commission Adopted 2008 Voters approved 2006 Voters approved between 1984-2011 Public Transit System, Highways, Airports Funds Rail, BRT/Bus, Roads, Highways Funds Public Transit System REVENUE: REVENUE: REVENUE: $22.2M per year $26.6M per year $22.2M per year Payments to 100% 2009 Road Bond 87% Utah UTA BRT Debt Service, Transit Authority Commuter Rail O&M Payments 5% Funds MAG TIP BRT Road Projects 8% 2009 Utah County Borrowed & Bonded to Pay Back (Road Bond)

2014 Utah County and UTA Interlocal Agreement 3 rd ¼ CENT 1 st ¼ CENT EXPENSE REVENUE: REVENUE: $22.2M per year $22.2M per year UVX BRT Bond 2028 @ Utah County 100% 100% Bond $47M Utah Payments to 2009 Road Bond $67M Transit Authority 2028 Bus Service Funds MAG TIP Projects $3M per year O&M

Existing 3rd ¼ CENT REVENUE: $22.2M per year Payments to 2009 EXPENSE 2009 Road Bond EXPENSE Road Bond UVX BRT Bond and O & M $6M per year after 2019 BRT Debt Service, $65M O&M Payments MAG TIP Road Year Bond O & M Total $6M EXPENSE Funds MAG TIP Projects Road Projects per 2014 $2.8M $0 $2.8M year 2017 $3.3M $0 $3.3M after Proposed 4th ¼ CENT 2019 2018 $4.4M $1M $5.4M REVENUE: $22.2M per year 2019 $5.9M $2.5M $8.4M 40% $2.8M per year after 2019 Total $16.5M $3.5M $20M Transit After the UVX BRT Bond is paid off and 40% 3rd ¼ Cent is paid back then 40% of the 4th ¼ Cent goes into a yearly service Cities agreement between Utah County and UTA. 20% County

If the 4 th Quarter is enacted, UTA will receive about $8.8M per year. Utah $8.8 County and UTA have an agreement on how the funding will be spent: Current and future Bond Current and Payments future $3.3M/y Operation & Pay back Maintenance past bond $2.5M/y Pay back principal & past O&M interest Pay back and design $10M Total interest on costs past O&M $6.3M Total Reserve and design account to New UTA costs pay off service level $4.2M Total bond early. agreement with COG and Utah County

UTA Service Level Agreement 1. UTA, in cooperation with County, will coordinate the planning of all new public transportation improvements 2. UTA transit service level is anticipated to continue in its current mode, routing, and levels of frequency and span until new funding for increases in service levels becomes available 3. Minor changes to current service levels may be made in consultation with the County 4. The process which UTA will consider changes in service levels includes consultation with local governments, Mountainland Association of Governments, and other stakeholders 5. Final routing and implementation of the UTA transit service within Utah County shall be determined in accordance with all applicable laws, regulations and policies regarding transit service planning (including, without limitation, Title VI of the Civil Rights Act) and operational considerations shall be addressed in consultation with the County

How will it be spent? TIP Projects could move forward Project Current Year # Project Name Total Cost Funded Lindon Geneva Rd/200 S Intersection 4 Improvements $613,913 2021 9 Orem 1600 N/400 E Roundabout $1,391,304 2022 Pleasant Grove 1800 N/100 E Intersection 10 Improvements $330,435 2021 Spanish Fork 800 N/800 E Intersection 12 Improvements $2,434,783 2021 14 Spanish Fork US-6/Center St Undercrossing $1,790,435 2021 29 Eagle Mountain Pony Express Pkwy Phase 3 $1,443,439 2022 37 Lindon Heritage Trail Phase 5 $1,257,153 2022 50 Provo Lakeview Pkwy Phase 4 $4,260,870 2022 57 Saratoga Springs Pony Express Pkwy Phase 2 $3,880,870 2021 Springville 1200 W - 1600 S to Canyon Creek 63 Pkwy Phase 3 $2,067,826 2021 64 Springville 1200 W - 400 S to 550 N Phase 2 $2,320,000 2022 80 UC 8000 South $1,656,522 2022

How will it be spent? TIP Projects could move forward Project Current Year Potential Year # Project Name Total Cost Funded Funded Lindon Geneva Rd/200 S Intersection 4 Improvements $613,913 2021 2019 9 Orem 1600 N/400 E Roundabout $1,391,304 2022 2020 Pleasant Grove 1800 N/100 E Intersection 10 Improvements $330,435 2021 2019 Spanish Fork 800 N/800 E Intersection 12 Improvements $2,434,783 2021 2019 14 Spanish Fork US-6/Center St Undercrossing $1,790,435 2021 2019 29 Eagle Mountain Pony Express Pkwy Phase 3 $1,443,439 2022 2020 37 Lindon Heritage Trail Phase 5 $1,257,153 2022 2020 50 Provo Lakeview Pkwy Phase 4 $4,260,870 2022 2020 57 Saratoga Springs Pony Express Pkwy Phase 2 $3,880,870 2019 2021 Springville 1200 W - 1600 S to Canyon Creek 63 Pkwy Phase 3 $2,067,826 2021 2019 64 Springville 1200 W - 400 S to 550 N Phase 2 $2,320,000 2022 2020 80 UC 8000 South $1,656,522 2022 2020

How will it be spent? Unfunded local projects from the Regional Transportation Plan could be funded