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MARTOC 2018.Pdf MARTOC REPort FISCAL YEAR 2018 August 31, 2018 The Honorable Tom Taylor Chair, Metropolitan Atlanta Rapid Transit Overview Committee 614-A Coverdell Legislative Office Building Atlanta, GA 30334 Dear Chairman Taylor: MARTA is pleased to present our annual Report to the Metropolitan Atlanta Rapid Transit Overview Committee (MARTOC), prepared in accordance with the requirements established by Section 14A and 17G of the MARTA Act. This report contains information pertaining to the 2018 Fiscal Year, which covers the period from July 1, 2017 to June 30, 2018. MARTA continues our positive momentum in FY2018, completing a 61h consecutive year with a balanced budget while adding to our reserve fund. In addition, the Authority has worked hard with the Atlanta Mayor's office, Atlanta City Council, and other city-wide stakeholders to advance project prioritization for the new revenue generated by the City's half-penny tax increase approved in November of 2016. During the 2018 Session of the Georgia General Assembly, MARTA continued to educate legislators across the state about the importance of transit to the region's continued economic vitality. MARTA was a key partner in the adoption of H.B. 930 and its creation of The ATL. As the largest transit provider in the region, MARTA looks forward to working closely with this new regional transit authority and leveraging the opportunities now available. The thoughtful deliberation of the bill resulted in two key provisions specific to MARTA: 1) the Authority preserves autonomy in its existing footprint and 2) the Authority maintains its independence in pursuing federal funding for MARTA expansion projects. These provisions allow MARTA to continue expanding and improving service in the jurisdictions it has served for more than 40 years while partnering with The ATL to improve service throughout the region. Additionally, H.B. 930 also provided options for expanding the existing system beyond its current four jurisdictions. As of the transmittal of this letter, Gwinnett County has approved a contract with MARTA and has called for a voter referendum in March 2019. MARTA has also agreed to work with Fulton County on expanding high-capacity options north of its current rail terminus at North Springs Station. Per our agreement, should Fulton County successfully raise additional funds for bus rapid-transit infrastructure along the GA- 400 N corridor, MARTA will operate and maintain such a system out of the existing one penny sales tax already collected in Fulton County. Per H.B. 930, Fulton County has a referendum option that could raise up to an additional twenty per cent of a penny to fund the required capital costs. Finally, MARTA successfully preserved its collection of tax revenue on the sale of motor vehicles by correcting an unintended consequence of an earlier amendment to H.B. 329 (formerly H.B. 327). The final version of the bill passed on the eve of Sine Die with that revenue stream intact. The recently adopted MARTA FY2019 budget, as with last year's, contains no fare increases for our customers - this for the 5th consecutive year - and continues increased service levels on both bus and rail. The FY2019 budget also concentrates effort around major capital projects that include new rail car procurement, new bus procurement, tunnel ventilation, escalator rehabilitation, and major track renovations, among others. The long term maintenance and safety of the system remains of paramount importance to the Authority. As required by the MARTA Act, verified copies of this report will be filed with MARTOC, the presiding officers of the State Senate and State House of Representatives, and the State Auditor, as well as the governing authorities of each county and the largest municipality in the area served by MARTA. It will be properly advertised, will be available at MARTA's principal office for public inspection, and will be posted on the Authority's website. As Chair of the Board and General Manager/Chief Executive Officer of MARTA, we verify the contents of this report to be as accurate and complete as reasonably possible and in compliance with our understanding of the requirements of the above mentioned legislation. We have made every attempt to provide comprehensive information within this document. Should any additional information or clarification be required, please do not hesitate to contact us at 404-848-5313. 1(eLUY- Robert L. Ashe, Ill r , ' rker Chair, Board of Directors I Manager/CEO cc: Members, Metropolitan Atlanta Rapid Transit Overview Committee Governor, State of Georgia Lieutenant Governor, State of Georgia Speaker, Georgia House of Representatives Auditor, State of Georgia Mayor, City of Atlanta Members, Atlanta City Council Chair, Clayton County Board of Commissioners Members, Clayton County Board of Commissioners CEO, DeKalb County Members, DeKalb County Board of Commissioners Chair, Fulton County Board of Commissioners Members, Fulton County Board of Commissioners REPORT VERIFICATION Personally appeared before me, the undersigned authority duly authorized to administer oaths, MR. ROBERT L. ASHE, Ill, Chair, Board of Directors of the Metropolitan Atlanta Rapid Transit Authority, and JEFFREY A. PARKER, General Manager/Chief Executive Officer, each of whom on oath individually deposes and says that the information set forth in the foregoing attached statement submitted pursuant to the requirements of Section 14A and 17G of the MARTA Act, as amended, is true and correct to the best of their knowledge and belief. .--• As to MR. ROBERT L. ASHE, Ill: L t,-...__ Mr. Robert L. Ashe, Ill Chair, Board of Directors Metropolitan Atlanta Rapid Transit Authority rt?y~mm~ssion Expires Septemoer 18, 2018 As t9 ~Ef,fR.EY A. PARKER: Jeffrey Gen;/a~anager/CEO Metr6politan Atlanta Rapid Transit Authority rnIBW<county,. My Commissien Expires September.'18, 2018 / METROPOLITAN ATLANTA RAPID TRANSIT AUTHORITY FINANCIAL STATEMENTS OPERATING AND CAPITAL CONSOLIDATED FINANCIAL STATEMENT This report reflects a consolidated summary of the Statement of Operating Revenues and Expenses and the Statement of Capital Sources and Expenditures. This report is unaudited. Please see the following page for details on the referenced statements. STATEMENT OF OPERATING REVENUES AND EXPENSES This report includes all revenue and expenses that are considered operating items per the MARTA ACT. This report does not include any year-end reclassifications or adjustments that are routine to any year-end close-out. In addition, this report does not include any possible recommended adjustments from the external auditors; it is unaudited. This report is not meant to serve as MARTA’s official financial statements. MARTA financial statements are prepared in accordance to Generally Accepted Accounting Principles. The referenced financial statements will be audited by and independent accounting firm and will be available in hard copy by December 2018. STATEMENT OF CAPITAL SOURCES AND EXPENDITURES This report reflects all sources of funds available to cover capital expenditures for FY 2018. It also details all capital expenditures, bond debt and related bond costs covered under the sources of funds. This report does not include any year-end reclassifications or adjustments that are routine to any year-end close-out. In addition, this report does not include any possible recommended adjustments from the external auditors; it is unaudited. This report is not meant to serve as MARTA’s official financial statements. MARTA financial statements are prepared in accordance to Generally Accepted Accounting Principles. The referenced financial statements will be audited by and independent accounting firm and will be available in hard copy by December 2018. Metropolitan Atlanta Rapid Transit Authority Operating and Capital Consolidated Financial Statement June 30, 2018 (Unaudited) Operating Revenue$ 487,813,000 Capital Funding 409,870,000 Total Operating Revenue and Capital Funding $ 897,683,000 Operating Expenses$ 458,904,000 Capital Expenditures 360,567,000 Total Operating Expenses and Capital Expenditures $ 819,471,000 Metropolitan Atlanta Rapid Transit Authority Statement of Operating Revenues and Expenses June 30, 2018 (Unaudited) Revenues: Operating Sales Tax$ 231,820,000 Passenger Revenue 135,383,000 Ad Valorem Tax 29,814,000 Station Parking 2,871,000 Lease Income 11,693,000 Federal Assistance 66,000,000 Other Operating Revenue 10,231,000 Total Operating Revenues $ 487,812,000 Expenses: Salaries$ 258,849,000 Benefits 114,487,000 Contractual Services 69,079,000 Materials & Supplies 38,097,000 Other Operating Expenses 14,836,000 Casualty & Liability 18,581,000 Other Non-Operating/ Misc 2,986,000 Inventory Adjustments 1,674,000 Expense Allocated to Capital Projects (59,685,000) Total Operating Expenses $ 458,904,000 Metropolitan Atlanta Rapid Transit Authority Statement of Capital Sources and Expenditures June 30, 2018 (Unaudited) Capital Sources: FY18 Beginning Capital Balance$ 157,061,000 Sales Tax 215,056,000 Financing Baseline Program - Investment & Other Income 1,550,000 Federal Capital Assistance 36,203,000 State Capital Grants - Total Capital Sources $ 409,870,000 Capital Expenditures: Capital Programs Vehicles 69,625,000 Facilities & Stations 26,165,000 Maintenance of Way 5,011,000 Systems 111,995,000 Non-Asset 23,971,000 Total Capital Programs $ 236,767,000 Bond Debt and Other Bond Costs$ 123,801,000 Total Expenditures $ 360,568,000 METROPOLITAN ATLANTA RAPID TRANSIT AUTHORITY INCREASES OF EXISTING BOARD APPROVED CONTRACTS There
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