TAMPA HISTORIC STREETCAR BOARD
Wednesday, February 17, 2021, 2:30 PM Hybrid Format of Participation - In Person at HART Administrative Office, 1201 East 7th Ave, Florida Conference Room, Tampa, FL 33605 and Via Communication Media Technology
Information not viewable is available upon request through the Clerk of the Board phone: 813-384- 6552 or e-mail: [email protected]
AGENDA
1. CALL TO ORDER AND PLEDGE OF ALLEGIANCE
2. APPROVAL OF MINUTES
a. Board of Directors Virtual Meeting ~ October 21, 2020 Board of Directors Virtual Meeting Minutes ~ October 21, 2020
b. Board of Directors Hybrid Meeting ~ January 20, 2021 Board of Directors Hybrid Meeting Minutes ~ January 20, 2021
3. PUBLIC INPUT (3 MINUTES PER SPEAKER)
4. STREETCAR SYSTEM PERFORMANCE REPORT
January 2021 Brian Allan, HART Director of Streetcar Operations Report
5. ACTION ITEM
Resolution #R2021-03-01 ~ Ratifying Inclusion of the THS Contract with Vector Media Transit LLC for the Provision of Traditional On-Vehicle Transit Advertising Services to the HART Contract No. VC-000546 with Vector Media; and Extension of the Expiration Date of the contract to December 31, 2021 John Edmondson, Director of Procurement & Contracts Administration
Overview: HART is the current contract operator for the TECO Streetcar Line. On-vehicle advertising for streetcar vehicles is currently provided via a contract agreement between the City of
1 Tampa and Vector Media. Vector Media is also the contract vendor for HART on-vehicle advertising services. This modification has been made to revise the work scope of the HART contract to include the streetcar vehicles; thus creating a single vendor contract to manage. Board Action Item with Attachment
6. PRESENTATION
CSX Insurance Policy Grant Mehlich, GCM Insurance & Risk Management
Overview: Mr. Mehlich will provide an update on the CSX Insurance Policy for the upcoming year.
7. LEGAL AND LEGISLATIVE REPORTS David Smolker, THS General Counsel
8. CHAIR'S REPORT Michael English, THS President/Chair
9. HART CHIEF EXECUTIVE OFFICER'S REPORT Adelee Marie Le Grand, AICP, HART Chief Executive Officer
10. VECTOR MEDIA SALES ACTIVITY UPDATE
Sales Activity Update for January 2021 Tyler Rowland, HART Manager of Communications and Creative Services
11. COMPLIANCE REPORTS (REVIEW AND FILE)
a. Marketing Report for December 2020 Jacqueline Halldow, HART Chief of Communications & Marketing Officer Report
b. City of Tampa Financial Statements for the month ending December 30, 2020 Nancy Harper, City of Tampa Accountant
Discussion City of Tampa has provided Financial Statements for the month ending December 30, 2020.
Recommendation Receive and file as an information item. Attachment I - City of Tampa letter dated February 10, 2021 Attachment II - Financial Statements for the month ending December 30, 2020
c. City of Tampa Basic Financial Statements and Other Reports as of and for the Year ended September 30, 2020 Nancy Harper, City of Tampa Accountant
Discussion City of Tampa has provided DRAFT Basic Financial Statements and Other Reports as of and
2 for the Year ended September 30, 2020.
Recommendation Review and provide input if any. DRAFT Basic Financial Statements and Other Reports as of and for the Year ended September 30, 2020
12. OLD BUSINESS
13. NEW BUSINESS
14. ADJOURNMENT
3 THS, Inc. Board of Directors Regular Virtual Meeting Minutes October 21, 2020
Board Members Present- via phone ……..…(5) HART - Staff Members Present Michael English, President Brian Allan Abbey Dohring Ahern, Vice President Danielle Arthur Adam Harden, Secretary/Treasurer Sylvia Berrien Calvin “Cal” Hardie Greg Brackin David Mechanik Ruthie Reyes Burckard Joanne Caceres Board Members Absent……………….……..(1) Lynda Crescentini Commissioner Pat Kemp Ronald Giroux Jacqueline Halldow Lena Petit Tyler Rowland Cyndy Stiglich Frank Wyszynski
Others Present David Smolker, THS General Counsel Nancy Harper, City of Tampa Milton Martinez, City of Tampa
This meeting location was changed from in-person at the HART Administrative Office to a virtual meeting pursuant to Executive Order Number 20-69, extending Executive Order 20-69 as extended by Executive Orders 20-112, 20-123, 20-139, 20-150 and amended by Executive Orders 20-179 and 20-193; by the Governor of the State of Florida on September 30, 2020. Due to social distancing, the Board room in the Ybor Administrative Office was only accessible for personnel facilitating the meeting.
CALL TO ORDER AND PLEDGE OF ALLEGIANCE President English called the meeting to order at 2:37 p.m.
APPROVAL OF MINUTES Director Dohring Ahern moved and Director Mechanik seconded approval of the August 19, 2020, regular Board of Director meeting minutes. All Board members present voted aye. The motion carried unanimously.
PUBLIC INPUT (3 MINUTES PER SPEAKER) No one pre-registered to provide public comment.
PRESENTATION InVision: Tampa Streetcar Project Briefing
Milton Martinez, Chief Transportation Engineer at City of Tampa, provided an update on the Streetcar Extension Project goals, status, and development.
4 THS, Inc. Board of Directors Regular Virtual Meeting Minutes October 21, 2020
Director Harden joined the meeting at 2:45pm
President English commended the City of Tampa and HART for pushing this project forward.
STREETCAR PERFORMANCE REPORT Mr. Brian Allan, HART Director of Streetcar Operations, presented the Streetcar Performance Report for September 2020. He reported that there were 27 missed trips as a result of the CSX interlocking, a shortage of streetcar motormen, mechanical issues and a power outage. Mr. Allan stated that there were 15 reported late departures and no extra service. He announced that there were no accidents or incidents.
LEGAL AND LEGISLATIVE REPORT Resolution #R2020-10-07 ~ Execution of First Amendment to Station Sponsorship Agreement Between Publix Super Markets, Inc., Tampa Historic Streetcar, Inc., the City of Tampa and the Hillsborough Area Regional Transit Authority to Extend the Term of the Station Sponsorship Agreement Allowing Publix to Sponsor the Streetcar System by Naming a Station Stop and to Provide for Modification of the Station Signage
Mr. David Smolker, THS General Counsel, presented that Counsels from THS, the City of Tampa and the Hillsborough Transit Authority (HART) negotiated and agreed to, pending the necessary Board approvals, the First Amendment to Station Sponsorship Agreement with Publix Super Markets, Inc. to extend the Station Sponsorship Agreement previously entered into between the parties on July 27, 2019 allowing Publix to sponsor the Streetcar System by naming a Station Stop. He provided background and further information to the Board for their consideration.
Director Hardie moved and Director Harden seconded approval of Resolution #R2020-10-07 ~ Execution of First Amendment to Station Sponsorship Agreement Between Publix Super Markets, Inc., Tampa Historic Streetcar, Inc., the City of Tampa and the Hillsborough Area Regional Transit Authority to Extend the Term of the Station Sponsorship Agreement Allowing Publix to Sponsor the Streetcar System by Naming a Station Stop and to Provide for Modification of the Station Signage. All Board members present voted aye. The motion carried unanimously.
President English asked for an update on the CSX tracks title search requested by Director Harden at a previous meeting.
Mr. Smolker stated that he has contacted the title agent and provided all the relevant property information. He added that he expects information be available by the next Board meeting. Mr. Smolker noted that he believes that there are additional crossings included in the expansion and stated that he does not know if the project team is reviewing those with regards to any additional issues that may arise.
5 THS, Inc. Board of Directors Regular Virtual Meeting Minutes October 21, 2020
Director Harden stated his understanding that the project team has already researched the Cass Street crossing included in the expansion, but it would be a good idea to include those in the title search.
Mr. Smolker stated that he will add the additional crossing to the title search and asked for authorization for any additional expenditures, if needed.
Director Hardie moved and Director Harden seconded a motion to authorize the THS President the ability to approve an additional reasonable expenditure for additional title searches. All Board members present voted aye. The motion carried unanimously.
CHAIR’S REPORT President English reported that the Downtown Partnership has chosen not to operate the Winter Express for 2020 due to social distancing guidelines during the pandemic.
HART INTERIM CHIEF EXECUTIVE OFFICER’S REPORT Ms. Ruthie Reyes Burckard, HART Interim CEO, provided a report focused on the rebuilding of streetcars 428 and 432, an update on the insurance settlement for car 429, return of regular service hours on Friday and Saturday and the ridership for 2020.
VECTOR MEDIA SALES ACTIVITY UPDATE The Vector Media Sales Activity Update was included in the packet.
COMPLIANCE REPORTS (REVIEW AND FILE) The following reports were presented to the Board: Marketing Report for August and September 2020, submitted by Ms. Jacqueline Halldow, HART Chief of Communications & Marketing Officer Financial Statements for the month ending August 30, 2020 submitted by Ms. Nancy Harper, City of Tampa Accountant
OLD BUSINESS There was no old business.
NEW BUSINESS Director Dohring Ahern referenced an article that detailed the agreement between the City of Tampa and the Port about pedestrian traffic in the Channel district and the possible solution of making sidewalks one way. She asked if either entity has contacted staff to discuss remote parking using the streetcar to travel to work areas.
President English stated that he is not aware of any conversations and provided his opinion on the pedestrian traffic situation.
6 THS, Inc. Board of Directors Regular Virtual Meeting Minutes October 21, 2020
Director Hardie noted that he is unaware of any remote parking solutions, but the City of Tampa staff has been coordinating with HART about individual crossings.
Ms. Reyes Burckard expressed that HART staff has not been approached to assist with remote parking, but the additional crossings have been discussed. She added that staff is confident that the solution will not impact the streetcar service.
Director Hardie stated that he will bring the idea of remote parking to the design staff at the City of Tampa.
Director Dohring Ahern inquired if there has been an issue with urban campers and if the decrease in ridership has increased the number of campers along the service.
Ms. Reyes Burckard stated that staff has not noticed any issues at this time.
Director Dohring Ahern noted that she knows it is a current priority for the City and she wanted to ensure that it is not an issue for the streetcar service.
ADJOURNMENT Director Dohring Ahern moved and Director Hardie seconded a motion to adjourn the meeting. All Board members present voted aye. The motion carried unanimously.
The meeting adjourned at 3:20 p.m.
Michael English, President ATTEST: THS Board of Directors
Secretary-Treasurer THS Board of Directors
David Smolker, Esquire THS Board General Counsel
7 THS, Inc. Board of Directors Board of Directors Hybrid Meeting January 20, 2021
Board Members Physically Present (3) HART - Staff Members Present Abbey Dohring Ahern, Vice President Brian Allan Calvin “Cal” Hardie Danielle Arthur Eric Johnson Sylvia Berrien Ruthie Reyes Burckard Board Members Present via CMT ……..…(4) John Edmondson Michael English, President Jacqueline Halldow Tyler Hudson Adelee Le Grand Councilmember Luis Viera Rose Noel Melanie Williams Lena Petit Tyler Rowland Board Members Absent……………….……..(0) Cyndy Stiglich Frank Wyszynski
Others Present David Smolker, THS General Counsel Nancy Harper, City of Tampa
The January 20, 2021, THS Board of Directors meeting was held in a hybrid format with members physically present at the HART Administrative Office, 1201 East 7th Avenue, Florida Conference Room, and the rest of the Board members participating via Communication Media Technology (CMT).
CALL TO ORDER President Michael English called the meeting to order at 2:30 p.m. He noted that there was no physical quorum present to conduct business.
WELCOME NEW BOARD MEMBERS – HART APPOINTEES President English welcomed the following new Board members that were appointed by the HART Board: HART Board Directors Eric Johnson, Councilmember Luis Viera, Melanie Williams, Tyler Hudson, and Richard McClain. President English also welcomed Ms. Adelee Le Grand, the new HART Chief Executive Officer.
ELECTION OF SECRETARY/TREASURER Election of the Secretary/Treasurer was deferred due to lack of quorum.
APPROVAL OF MINUTES The approval of the October 21, 2020, regular Board of Director meeting minutes was deferred due to lack of quorum.
PUBLIC INPUT (3 MINUTES PER SPEAKER) No one pre-registered to provide public comment.
8 THS, Inc. Board of Directors Board of Directors Hybrid Meeting January 20, 2021
STREETCAR PERFORMANCE REPORT Mr. Brian Allan, HART Director of Streetcar Operations, presented the Streetcar Performance Report for December 2020. He reported that there were 30.25 missed trips as a result of mechanical issues, the CSX interlock, a shortage of streetcar motormen, and a car stuck on the tracks. Mr. Allan stated that the on-time performance was 99.80% with eight reported late departures and four hours of extra service. He announced that there were no accidents or incidents. Mr. Allan mentioned that there are two Motormen in training expected to be complete training in January 2021. He reported on the rehabilitation of the streetcars, Streetcar 429, and the extension of service for the Super Bowl.
President English asked for a consensus to allow staff to run additional service for the Super Bowl.
Director Dohring Ahern stated that she supported the additional service.
President English noted that there appears to be a consensus to allow for additional service to be ran for the Super Bowl and asked staff if any further information is needed.
Ms. Ruthie Reyes Burckard, HART Deputy Chief of Transportation, stated that staff will accommodate the request as it serves HART and the community well for transportation to be available.
LEGAL AND LEGISLATIVE REPORT a. Update on CSX Tracks Title Search Mr. David Smolker, THS General Counsel, stated that he has not moved forward on a title search for the CSX tracks title search. He noted that the original intent of this request was to reduce insurance coverage amount for the crossing and the hope was that the title search would show information that could assist in that venture. Mr. Smolker explained that Mr. Grant Mehlich, GCM Insurance and Risk Management, who is the insurance agent for THS, has contacted CSX, under the direction of President English, to discuss lowering the $100 million insurance threshold to $50 million. He mentioned that while nothing is official, the discussions have been positive so it did not seem wise to use funds on the title search. b. Notice of Intent to Start Negotiations on the Streetcar Operators Agreement Between HART and THS, Inc. Mr. Smolker reported that under the terms of the Operating Agreement by HART and THS, it is a periodic requirement to explore the possibility of amending the agreement and indicated that HART does have a desire to propose changes. He explained that this is the notification to the Board that President English and himself will be setting a meeting to discuss possible changes to the agreement with HART to become effective this year.
9 THS, Inc. Board of Directors Board of Directors Hybrid Meeting January 20, 2021 c. Information Item- Contract with Vector Media Transit LLC. Mr. Smolker stated that, historically THS has entered into an agreement with Vector Media, the vendor who provides advertising services for both HART and THS, separate from HART. He continued that with THS requiring a small amount of advertising, and HART being the Operator of the system which includes advertising to an extent, it does not make sense to continue in the previous direction of separate agreements. Mr. Smolker stated that the HART Board approved Resolution #R2021-01-01 at their January 4, 2021 Board of Directors meeting which will modify their current Vector Media contract to include vehicles currently utilized for streetcar services and extend the expiration date of the contract to December 31, 2021. He expressed that President English and himself are comfortable with this decision and stated that this is the notification to the rest of the Board.
All for Transportation Referendum Update Mr. Smolker reminded the Board that the referendum was successfully challenged and is currently awaiting a verdict from the Florida Supreme Court since February 2020. He noted that while the Florida Supreme Court still has not ruled, one of the appellate lawyers that is involved has indicted that a ruling is expected very soon since the Florida Supreme Court attempts to rule within a year. Mr. Smolker mentioned that one of the projects slated for that funding is the Streetcar Extension project which is why he provided an update.
President English reported that the previous Vector Media contract was set to expire on December 31, 2020, so it did not seem like THS had any other option than the one that was offered. He noted that at the next meeting with a quorum, there should an official vote to affirm that decision.
Mr. Smolker stated that the appropriate action would be a vote to ratify the decision.
CHAIR’S REPORT President English indicated that Mr. Smolker and himself are impressed by Mr. Mehlich who has taken on the task of contacting CSX to get the insurance lowered for the crossing. He restated that the discussions appear to be positive and explained that the next step will be to get the City of Tampa staff involved in the discussions. President English encouraged HART legal staff to reach out to Mr. Smolker if they are interested in the discussions.
HART CHIEF EXECUTIVE OFFICER’S REPORT Ms. Adelee Le Grand, HART CEO, introduced herself and spoke about her great conversation with President English. She stated that she is looking forward to further engagement with the THS Board and moving the streetcar service forward in Tampa.
VECTOR MEDIA SALES ACTIVITY UPDATE Mr. Tyler Rowland, HART Manager of Communications and Creative Services, reported that there was a new sponsorship with Anheuser-Busch relating to the Super Bowl © for a total revenue of $28,000. He noted that the total revenue for the year thus far is $81,982.
10 THS, Inc. Board of Directors Board of Directors Hybrid Meeting January 20, 2021
COMPLIANCE REPORTS (REVIEW AND FILE) The following reports were presented to the Board: Marketing Report for December 2020, submitted by Ms. Jacqueline Halldow, HART Chief of Communications & Marketing Officer Financial Statements for FY2020 Year-end financial reports will be audited by the City of Tampa external auditors. They will be submitted to the THS Board of Directors for final approval in Spring 2021.
OLD BUSINESS There was no old business.
NEW BUSINESS There was no new
ADJOURNMENT The meeting adjourned at 2:47 p.m.
Michael English, President ATTEST: THS Board of Directors
Secretary-Treasurer THS Board of Directors
David Smolker, Esquire THS Board General Counsel
11 Tampa Historic Streetcar, Inc. Board of Directors Hybrid Meeting February 17, 2021
STREETCAR SYSTEM PERFORMANCE REPORT FOR JANUARY 2021
MISSED TRIPS The TECO Line Streetcar System delivered 99.94% of the contracted 4224 trips for January with 2.25 reported missed trips. The missed trips were caused by mechanical issues (1.5 trips) and the accident on January 27 (.75 trips).
ON-TIME DEPARTURES In January there were six reported late departures; OTP was 99.85%.
ACCIDENTS/INCIDENTS There were four crossing accidents in January.
On January 2, 2021, Streetcar 433 struck a car on Florida Avenue as it departed Dick Greco Plaza. There were no injuries and Streetcar 433 only received minor cosmetic damage. The vehicle was damaged and the driver was cited for the accident.
On January 23, 2021, Streetcar 430 struck a car that made a U-turn in front of the streetcar as it crossed Adamo Drive southbound. There were no injuries and the Streetcar 430 received only minor cosmetic damage. The vehicle was damaged and the driver was cited for an improper turn.
On January 27, 2021, Streetcar 434 was traveling south on Channelside Drive crossing Beneficial Drive when a silver Toyota Corolla was making a right turn onto Beneficial Drive and made contact with the step of the streetcar. The driver of the Corolla left the scene before Tampa Police could respond to the accident. No one was injured in this accident. The edge of the step on Streetcar 434 had minor paint damage.
On January 31, 2021, Streetcar 436 was heading northbound across 2nd Avenue when a Toyota Avalon turned into the path of Streetcar 436. There were no injuries and Streetcar 436 only received some paint scratches. The driver of the Toyota was cited for the accident.
SPECIAL SERVICE The Streetcar provided 11 hours of extra service in January for a charter and the NFL Experience.
COMPONENT PERFORMANCE Ridership for January: 2020 APC 2021 APC 97,718 51,427 Right of way and Interlocking Report – all track inspections/maintenance were completed as scheduled. The right of way and CSX Interlocking are inspected every morning by HART personnel.
12 Tampa Historic Streetcar, Inc. Board of Directors Hybrid Meeting February 17, 2021
Overhead Catenary System Report – All inspections were completed as scheduled. ADA Bridge Mechanism – There were 39 wheelchair boardings with no reported problems. Substations – All monthly service was completed as scheduled.
VEHICLE MAINTENANCE All maintenance on the streetcars is current. Two road calls were needed in January.
SYSTEM CHANGES Currently accepting applications for a Streetcar Facilities Technician.
INFRASTRUCTURE Gomaco is making good progress with Streetcars 428 and 432; the current schedule has Streetcar 428 returning to Tampa on February 11, and Streetcar 432 returning in late spring of 2021. Service Performed in January A 23 B 3 C 0 E 1
Prepared by: Brian Allan, HART Director of Streetcar Operations Reviewed by: Ruthie Reyes Burckard, HART Deputy Chief of Transportation Approved by: Adalee Marie Le Grand, AICP, HART Chief Executive Officer
13 Tampa Historic Streetcar, Inc. Board of Directors Hybrid Meeting February 17, 2021
ACTION ITEM Resolution #R2021-03-01 ~ Ratifying Inclusion of the THS Contract with Vector Media Transit LLC for the Provision of Traditional On-Vehicle Transit Advertising Services to the HART Contract No. VC-000546 with Vector Media; and Extension of the Expiration Date of the contract to December 31, 2021
OVERVIEW HART is the current contract operator for the TECO Streetcar Line. On-vehicle advertising for streetcar vehicles is currently provided via a contract agreement between the City of Tampa and Vector Media. Vector Media is also the contract vendor for HART on-vehicle advertising services. This modification has been made to revise the work scope of the HART contract to include the streetcar vehicles; thus creating a single vendor contract to manage.
FINANCIAL IMPACT No Financial impact on THS, inc. As a result of this modification, all net revenue generated by advertising sales on Streetcar vehicles, approximately $115,000 per year, will be shared with HART and credited to streetcar operating expenses invoiced to the City.
BACKGROUND The HART Board of Directors approved Resolution #R2021-01-01 at their January 4, 2021 Board of Directors meeting which modified their current Vector Media contract to include vehicles currently utilized for streetcar services and extend the expiration date of the contract to December 31, 2021. HART staff manages all activities related to the contract, including review and approval of all advertising content and scheduling installation of all printed materials (bus wraps, tail wraps, interior placards, etc.). The net revenue (sales minus vendor expenses) generated through advertising sales is shared with the vendor, with HART receiving 63% of all revenue exceeding the minimum guarantee. The City of Tampa held a similar on-vehicle advertising contract with Vector Media. HART staff also managed all contracting activities related to the City contract, including review and approval of all advertising content and scheduling of all printed materials. The net revenue generated through advertising sales is shared with the City of Tampa and used to fund streetcar operating expenses incurred by HART. As a result of this modification, all net revenue generated by advertising sales on Streetcar vehicles will be shared with HART and credited to streetcar operating expenses invoiced to the City.
NEXT STEPS Create an official record of the ratification of the THS Chair and General’s Counsel’s authorization.
Prepared by: John Edmondson, Director of Procurement & Contracts Administration Reviewed by: Jacqueline Halldow, Chief of Marketing & Communications Approved by: Adelee Marie Le Grand, AICP, Chief Executive Officer
Attachment: Proposed Resolution #R2021-01-01 14 ATTACHMENT
RESOLUTION NO#R2021-03-01
A RESOLUTION RATIFYING INCLUSION OF THE THS CONTRACT WITH VECTOR MEDIA TRANSIT LLC FOR THE PROVISION OF TRADITIONAL ON-VEHICLE TRANSIT ADVERTISING SERVICES TO THE HART CONTRACT NO. VC-000546 WITH VECTOR MEDIA; AND EXTENSION OF THE EXPIRATION DATE OF THE CONTRACT TO DECEMBER 31, 2021
WHEREAS, exterior and interior advertising on bus and streetcar vehicles is a major source of revenue for THS; and
WHEREAS, HART currently manages one contract for the City and one contract for HART, each providing the same service; and
WHEREAS, the vendor currently performing services under the terms of Contract No. VC-000546, Vector Media Transit LLC, is engaged in providing on-vehicle advertising services to both the City and HART;
NOW THEREFORE, BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE TAMPA HISTORIC STREETCAR, INC. THAT:
Section 1. The Board of Directors ratifies Inclusion of the THS Contract with Vector Media Transit LLC for the Provision of Traditional On-Vehicle Transit Advertising Services to the HART Contract No. VC-000546 with Vector Media; and Extension of the Expiration Date of the contract to December 31, 2021.
Section 2. The Officers of the Corporation are authorized to undertake such actions and sign such contracts and other documents (with such changes as are deemed necessary or appropriate) to carry out the intent and accomplish the purposes of the foregoing resolution.
Section 3. This Resolution shall take effect immediately upon its adoption.
PASSED AND ADOPTED BY THE BOARD OF DIRECTORS OF THE TAMPA HISTORIC STREETCAR, INC. ON FEBRUARY 17, 2021.
Michael English, Chairperson ATTEST: President/Chair, THS Board of Directors
Secretary-Treasurer THS Board of Directors
David Smolker, Esquire THS General Counsel
15 Tampa Historic Streetcar, Inc. Board of Directors Hybrid Meeting February 17, 2021
COMPLIANCE REPORT
THS Marketing Services Report for January 2021 Free Streetcar Service (As of) FY2021 FY2021 Ridership October 425,384 November 379,662 December 428,900 January 422,433 February March April May June July August September
Total YTD 1,656,379
THS Marketing Collateral and Graphic Support – January 2021 There was no THS marketing collateral or graphic support that was needed/created for the month of January.
Streetcar Events TECO Line Streetcar System Returns to Regular Service Following the lifting of COVID restrictions and as part of the next phase of HART service restoration, the TECO Line Streetcar System returned to regular service with the following hours of operation:
Monday – Thursday: 7:00 AM – 11:00 PM Friday: 7:00 AM – 2:00 AM Saturday: 8:30 AM – 2:00 AM Sunday: 8:30 AM – 11:00 PM
Face coverings and social distancing are still required while onboard.
16 Tampa Historic Streetcar, Inc. Board of Directors Hybrid Meeting February 17, 2021
February will have extended Super Bowl LV streetcar service.
Streetcar #430 was wrapped for Super Bowl LV and has been a big part of the community imagery used to promote Tampa Bay and Super Bowl LV.
Media Coverage Friday, January 15, 2021: Univision Network crew from Miami shot on Streetcar with Motorman Alex Acevedo. Univision Network airs the Super Bowl in Mexico on Game Day. Univision: https://www.tudn.com/nfl/ybor-city-el-palpitante-corazon-latino-de-la-ciudad-de- tampa-bay-video
Thursday, January 21, 2021: NFL Network crew (local) shot on Streetcar with Motorman Jim Eardley. The video will be used as Tampa beauty video for a cold open that will run repeatedly on NFL Network on Game Day starting with “Good Morning Football.” NFL Network Super Bowl video: https://www.facebook.com/nflnetwork/videos/418898825889485
The TECO Line Streetcar was also featured in a Super Bowl edition “Things to Do” piece by Conde Nast Traveler: https://www.cntraveler.com/story/what-to-do-in-tampa- bay?utm_source=twitter&utm_brand=cnt&utm_social type=owned&utm_medium=social&mbid=social_twitter
Prepared by: Martha Ocasio, Marketing Administrative Assistant Reviewed by: Jacqueline Halldow, Chief of Communications & Marketing Officer Approved by: Adelee Marie Le Grand, AICP, Chief Executive Officer
17 ATTACHMENT I CITY OF TAMPA Jane Castor, Mayor
Revenue and Finance
Accounting
February 10, 2021
TO: Tampa Historic Streetcar, Inc.
FROM: Nancy Harper, Accountant
SUBJECT: December 30, 2020 Financial Statements
Attached are the financial statements for the month ended December 30, 2020.
Special assessment receipts are down by 3.2%. Net advertising revenues are up by 71.7%. HART operating expenses are up 7.39% and CSX costs are up 110.2%. Some revenue and expense highlights are as follows:
FY 21 FY 20 $ Difference % Change Special Assessments $ 846,699 $ 875,020 $ (28,321) -3.2% Net Advertising Revenues $ 56,350 $ 32,811 $ 23,539 71.7%
HART Expenses $ 676,614 $ 630,054 $ 46,560 7.4% Insurance (CSX, general liability) $ 184,037 $ 87,560 $ 96,477 110.2%
The cash and cash equivalents began the fiscal year with $452,082 and reflects a balance of $1,127,955 as of December 30, 2020. Interest earnings were $1,204, or an approximate APR of .15%.
306 E. Jackson Street, 8N • Tampa, Florida 33602 • (813) 274-7171 • FAX: (813) 274-8127 18 ATTACHMENT II
TAMPA HISTORIC STREETCAR - OPERATIONS Dec-20 Dec-19 STATEMENT OF NET ASSETS OPERATIONS OPERATIONS POOLED CASH $ 1,127,955 $ 1,692,109 RECEIVABLE 158,204 60,006 PREPAID ITEMS 68,246 35,187 TOTAL ASSETS$ 1,354,405 $ 1,787,301
PAYABLES$ 266,990 $ 145,659 DEFERRED REVENUE$ 77,544 $ 58,912 TOTAL LIABILITIES$ 344,534 $ 204,571
NET POSITION$ 1,009,871 $ 1,582,730
THIS YEAR THIS YEAR Oct-19 Oct-20 Oct-19 Dec-20 Dec-20 Dec-20 Dec-19 ND0164101 ACTUAL BUDGET ACTUAL ACTUAL HARTLINE-FTA $ 186,946 $ 50,000 $ 186,946 $ - HARTLINE-FDOT - 247,500 - 371,079 HARTLINE-FDOT - CITY TIF CONTRIBUTION 112,500 112,500 112,500 112,500 FAREBOX - - - - CAR LEASING - - - - ADVERTISING 56,350 36,575 56,350 32,811 OTHER CONTRIBUTIONS 6,250 750 6,250 7,500 CONTRIBUTION FR HART - - - - CONTRIBUTION FR COT 50,000 50,000 50,000 50,000 USE OF FUND BALANCE - - - - PORT AUTHORITY - - - - INTEREST 1,204 - 1,204 4,062 MISC REVENUES 110,012 - 110,012 650 SPECIAL ASSMT - - - - Inbkind Contributions - - - - Non-Ad Valorem District Assessment 846,699 532,603 846,699 875,020 USE OF FUND BALANCE - - - - TOTAL REVENUES 1,369,961 1,029,928 1,369,961 1,369,961 1,453,622
PROFESSIONAL SVCS 1,522 1,500 1,522 855 ACCOUNTING - 6,250 - - CONTRACTS 22,540 14,130 22,540 13,124 POSTAGE-OUTSIDE - 125 - - RENTALS AND LEASES - - - - PRINTING - - - - ADVERTISING - - - - PROMOTIONAL ------24,062 22,005 24,062 13,979
INSURANCE 184,037 183,750 184,037 87,560 EXTRA SERVICE 186,945 75,000 186,945 - HARTline- Operations 489,669 557,500 489,669 630,054 Other Uses Budget Reserve - - - 860,651 816,250 860,651 717,615
TOTAL EXPENSES 884,713 838,255 884,713 731,594
REVENUES LESS EXPENSES 485,248 485,248 722,028
BEGINNING NET ASSETS 524,623 860,702.00
ENDING NET ASSETS $ 1,009,871 $ 1,582,730
19 ATTACHMENT
Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa)
Basic Financial Statements and Other Reports As of and for the Year Ended September 30, 2020
(With Reports of Independent Auditor)
DRAFT
20 21 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa)
Basic Financial Statements and Other Reports
As of and for the Year Ended September 30, 2020
Contents
Independent Auditor’s Report ……………………………………….…………...... 1
Management’s Discussion and Analysis (Unaudited) ………………………..………….…………….. 3
Basic Financial Statements:
Statement of Net Position ……………………………………………………...……………….………. 7 Statement of Revenues, Expenses, and Changes in Net Position ……………...………………….……. 9 Statement of Cash Flows ……………………………………………………..………………………… 11 Notes to Financial Statements ……………..………………………………………………………….... 13
Other Reports:
Independent Auditor’s Report on Internal Controls Over Financial Reporting and on Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance With Government Auditing Standards…………...... 19
DRAFT
22 23 RSM
Independent Auditor’s Report
Place Holder DRAFT
24 RSM
Independent Auditor’s Report
Place Holder DRAFT
25 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa)
Management’s Discussion and Analysis (Unaudited)
September 30, 2020
This discussion and analysis of the Tampa Historic Streetcar, Inc.’s (the Streetcar) financial performance provides an overview of the financial activities for the fiscal year ended September 30, 2020. Please review in conjunction with the audited financial statements which begin on page 7.
Required Financial Statements
The financial statements of the Streetcar report information about the activity for the Streetcar using accounting methods similar to those used by private sector companies. These statements offer short and long-term financial information about its activities. The Statement of Net Position includes all of the Streetcar’s assets and liabilities and provides information about the nature and amounts of investments in resources (assets) and the obligations to the Streetcar’s creditors (liabilities). The assets and liabilities are presented in a classified format, which distinguishes between current and long-term assets and liabilities, and deferred outflows and inflows of resources. It also provides the basis for assessing the liquidity and financial flexibility of the Streetcar. All of the current year's revenues and expenses are accounted for in the Statement of Revenues, Expenses and Changes in Net Position. This statement measures the success of the Streetcar’s operations over the past year and can be used to determine whether the Streetcar has successfully recovered all of its costs through its activities, as well as its profitability and credit worthiness. The final required financial statement is the Statement of Cash Flows. The primary purpose of this statement is to provide information about the Streetcar’s cash receipts and cash payments during the reporting period. The statement reports cash receipts, cash payments and net changes in cash resulting from operating, investing and financing activities and provides answers to such questions as, “Where did cash come from? What was cash used for? What was the change in the cash balance during the reporting period?”
Financial Analysis of the Streetcar
Our analysis of the Streetcar begins with the Statement of Net Position. One of the most important questions asked about the Streetcar’s finances is, "Is the Streetcar as a whole better off or worse off as a result of the year's activities?" The Statement of Net Position and the Statement of Revenues, Expenses and Changes in Net Position report information about the Streetcar’s activities in a way that will help answer this question. TheseDRAFT two statements report the net financial position of the Streetcar and the changes in net position.
3 26 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa)
Management’s Discussion and Analysis (continued) (Unaudited)
September 30, 2020
Net Position
To begin our analysis, a summary of the Streetcar’s Statement of Net Position is presented in Table A-1.
TABLE A-1 Summary Statements of Net Position
Dollar Percent 2020 2019 Change Change
Total Assets $ 786,678 $ 1,065,651 $ (278,973) (26.18)% Total Liabilities (262,055) (204,949) (57,106) 27.86% Net Position, Unrestricted $ 524,623 $ 860,702 $ (336,079) (39.05)%
Total net position decreased by ($336,079) to a total of $524,623. Consistent with public transportation trends, operational losses ($3,065,664 in FY 2020 and $2,480,076 in FY 2019) are offset against non- operating revenues ($2,729,585 in FY 2020 and $2,627,064 in FY 2019). Non-ad valorem assessments increased to $974,767, from $870,055 in the prior year, curbing the decrease in net position. The $576,344 increase in operating expenses in FY2020 is due mainly to the increase in the cost of CSX insurance and HART operating costs.
Capital Assets
The Streetcar does not own any capital assets. All of the capital assets used in the Streetcar operation are owned either by the HillsboroughDRAFT Area Regional Transit Authority (HART) or the City of Tampa.
Debt Administration
The Streetcar does not have any debt.
4 27 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa)
Management’s Discussion and Analysis (continued) (Unaudited)
September 30, 2020
TABLE A-2
Condensed Statement of Revenues, Expenses, and Changes in Net Position
2020 2019
Operating Revenues $ 194,185 $ 203,429 Operating Expenses 3,259,849 2,683,505 Operating Loss (3,065,664) (2,480,076) Non-Operating Revenues 2,729,585 2,627,064 Change in Net Position (336,079) 146,988 Beginning Net Position 860,702 713,714 Ending Net Position $ 524,623 $ 860,702
Operating Revenues
In FY2020, there were 553,469 riders compared to 850,788 during FY2019, the decrease is a result of the COVID-19 pandemic’s impact on ridership. Operating revenues in FY2020 include $157,467 from advertising revenues, $1,500 from the leasing of cars for special events, $29,167 for a naming sponsorship and $3,451 for amortization of naming rights. During FY2019, operating revenues included $192,082 from adverting revenues, $1,200 collected from the leasing of cars, $5,000 for a naming sponsorship and $3,451 for amortization of naming rights. Naming rights payments received in prior years which will be recognized as revenue in future periods, total $58,794. As of September 30, 2020, there are 11 years remaining on certain naming right agreements.
Operating Expenses
The Streetcar’s most significant operating expense is reimbursement to HART for the cost of operating the Streetcar system. HARTDRAFT currently has 33 full time employees dedicated to operating the system. Expenses incurred to HART totaled $2,558,532 in 2020 as compared to $2,242,875 in 2019. Other significant expenses during fiscals 2020 and 2019 were $597,612 and $337,693, respectively, for excess liability insurance related to the CSX railroad crossing.
5 28 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa)
Management’s Discussion and Analysis (continued) (Unaudited)
September 30, 2020
Non-Operating Revenues
In 2009, the Board transferred its endowment funds to the City to invest in the City’s Pooled Cash account. Interest earnings in FY2020 were $14,818, as opposed to $17,009 in FY2019. The average interest rate was 1.09% and 1.89% for FY2020 and FY2019, respectively.
Non-Ad Valorem tax assessments increased from $870,055 in FY2019 to $974,767 in FY2020 as a result of higher property values. Non-operating revenues were boosted by incremental tax revenue received by the Streetcar from the City’s Community Redevelopment Agency (CRA), in the amount of $450,000 in FY2020 and $450,000 in FY2019 respectively, resulting in total non-ad valorem and increment tax assessments revenue of $1,424,767 in FY2020 compared to $1,320,055 in FY2019, a 7.9% increase.
In FY2020, local government revenues consist of a $200,000 State Block Operating Assistance Grant passed through HART, $890,000 in matching grant from the FDOT, and a $200,000 contribution from the City, for a total of $1,290,000. In FY2019, local government revenues consist of a $200,000 State Block Operating Assistance Grant passed through HART, $890,000 in matching grant from the FDOT, and a $200,000 contribution from the City, for a total of $1,290,000.
Fiscal 2021 Outlook
Ridership is budgeted at 786,479 riders in FY2021, which will be the third year of a three-year grant from the FDOT. The $890,000 annual allotment requires a 50% local match and allows the Streetcar to offer free fare service, which will increase its visibility and relevance to local commuters and tourists alike. In addition, the Streetcar is anticipating the receipt of $750,000 in grants and contributions as follows: $200,000 State Block Operating Assistance Grant passed through HART, $100,000 in Federal Transit Authority grant funds pass through HART and $450,000 from the CRA.
Consistent with the Operating Agreement, the City is responsible for any operating deficit of the Streetcar. In FY2021, the City will be expected to contribute $200,000 to the operations of the Streetcar.
In December 2020, the Streetcar was awarded $67.3 million in dedicated funding from the Florida Department of TransportationDRAFT for its Extension and Modernization Project. This project will transition the current streetcar system to faster modern vehicles and platforms, and will serve as a convenient and reliable commuter option to residents, workers, and visitors to the Tampa’s greater downtown area.
Requests for Information
This financial report is designed to provide a general overview of the Tampa Historic Streetcar, Inc.’s finances. Questions concerning any of the information provided in this report or requests for additional information should be addressed to Chief Accountant, City of Tampa, 306 E. Jackson St., 7N, Tampa, FL 33602.
6 29 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa) Statement of Net Position September 30, 2020
ASSETS Current Assets: Cash and Cash Equivalents $ 452,082 Accounts Receivable 92,663 Prepaids and Other Assets 241,933 Total Assets 786,678
LIABILITIES Current Liabilities: Accounts Payable 203,261 Unearned Revenue 24,284 Total Current Liabilities 227,545
Long-Term Liabilities: Unearned Revenue 34,510
Total Liabilities 262,055
NET POSITION Unrestricted 524,623 Total Net Position $ 524,623 The notes to the financialDRAFT statements are an integral part of this statement.
7 30 8 31 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa) Statement of Revenues, Expenses, and Changes in Net Position For the Fiscal Year Ended September 30, 2020
Operating Revenues: Charges for Sales and Services $ 194,185
Operating Expenses: Contract Services to Streetcar Operator 2,558,532 Insurance 606,612 Professional Services 93,055 Other Services and Charges 1,650 Total Operating Expenses 3,259,849 Operating Loss (3,065,664)
Nonoperating Revenues: Interest Income 14,818 Non-Ad Valorem and Increment Tax Assessments 1,424,767 State and Local Government 1,290,000 Total Nonoperating Revenues 2,729,585 Change in Net Position (336,079)
Total Net Position - October 1 860,702
Total Net Position - September 30 $ 524,623 The notes to theDRAFT financial statements are an integral part of this statement.
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9 10 33 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa) Statement of Cash Flows For the fiscal year ended September 30, 2020
Cash Flows from Operating Activities: Receipts from Customers and Users $ 165,300 Payments to Streetcar Operator (2,493,808) Payments to Other Suppliers (829,503) Net Cash Used by Operating Activities (3,158,011)
Cash Flows from Noncapital Financing Activities: Non Ad Valorem Assessments Received 1,424,767 State and Local Grants Received 1,290,000 Net Cash Provided by Noncapital Financing Activities 2,714,767
Cash Flows from Investing Activities: Interest on Cash and Cash Equivalents 14,818 Net Cash Provided by Investing Activities 14,818 Net Decrease in Cash and Cash Equivalents (428,426)
Beginning Cash and Cash Equivalents 880,508 Ending Cash and Cash Equivalents $ 452,082
Reconciliation of Operating Loss to Net Cash Used by Operating Activities: Operating Loss $ (3,065,664) Adjustments to Reconcile Operating Loss to Net Cash DRAFTUsed by Operating Activities: Changes in Assets and Liabilities: Change in Prepaids and Other Assets (128,186) Change in Accounts Receivable (28,885) Change in Accounts Payable 64,724 Total Adjustments (92,347) Net Cash Used by Operating Activities $ (3,158,011)
The notes to the financial statements are an integral part of this statement.
34 11 12 35 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa) Notes to Financial Statements September 30, 2020
1. Organization
Tampa Historic Streetcar, Inc. (the Streetcar) was incorporated November 20, 1998, in the State of Florida, as a not-for-profit organization. The City of Tampa (the City) completed construction of an electric streetcar rail line and in conjunction with the Hillsborough Area Regional Transit Authority (HART) and the Streetcar, renewed an Operation Agreement on October 1, 2011 for a period of five (5) years. The agreement is automatically renewed for a period of one year, and will expire on September 30, 2021. Operation of the Streetcar began in October 2002. The Operation Agreement defines the rights and obligations of the City, HART, and the Streetcar. Under the Operation Agreement, after the City has approved the Streetcar’s annual budget, the City is responsible for reimbursing the Streetcar for any deficiency of revenues and support received under expenses incurred, if the expenses were included in the annual budget approved by the City. The City approved the Streetcar’s annual plan for the years ending September 30, 2020 and 2021.
The Streetcar is reported as a discretely presented component unit in the City's basic financial statements. As such, the Streetcar’s financial statements are presented in accordance with the provisions of the Governmental Accounting Standards Board (GASB) as an enterprise fund, as they are considered a special purpose government engaged solely in business-type activities. The Board of Directors (Board) is made up of five City appointees, and three HART appointees. Since a controlling majority of the members of the Board are appointed by a local government, the Streetcar reports using governmental guidelines.
The Streetcar’s mission is to provide a 2.7 mile light rail transportation system linking Downtown Tampa within the Community Redevelopment Areas (CRA) of Channelside and Ybor City entertainment districts, thereby reducing traffic congestion and encouraging economic development in the area.
2. Significant Accounting Policies
Basis of Accounting
The financial statements of the Streetcar are accounted by using the flow of economic resources measurement focus, and the accrual basis of accounting is used, whereby revenues are recognized when earned and expenses are recognized when incurred. The accounting and reporting policies of the Streetcar conform to theDRAFT accounting guidance established by GASB. The Streetcar applies all applicable GASB pronouncements.
In the Statement of Revenues, Expenses, and Changes in Net Position, revenues and expenses are distinguished between operating and non-operating items. Operating revenues and expenses generally result from providing services in connection with the Streetcar’s ongoing operations. Operating expenses include the costs of providing services, including operation and maintenance. All revenues and expenses not meeting this definition are reported as non-operating revenues and expenses. When both restricted and unrestricted resources are available for use, it is the Streetcar’s policy to use restricted resources first, then unrestricted resources as they are needed.
13 36 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa) Notes to Financial Statements (continued) September 30, 2020
GASB Statement 34, Basic Financial Statements-and Management’s Discussion and Analysis-for State and Local Governments, as amended by GASB Statement No. 63, Financial Reporting of Deferred Outflows of Resources, Deferred Inflows of Resources, and Net Position, also requires the classification of net position into three components – net investment in capital assets, restricted, and unrestricted. The Streetcar has no capital assets nor restricted net position. The relevant classifications are defined as follows:
Net Investment in Capital Assets
The net investment in capital assets component of net position consists of capital assets, net of accumulated depreciation and reduced by the outstanding balances of any bonds, mortgages, notes or other borrowings that are attributable to the acquisition, construction or improvement of those assets. If there are significant unspent related debt proceeds at year-end, the portion of the debt attributable to the unspent proceeds is not included in the calculation of investment in capital assets, net of related debt. Rather, that portion of the debt is included in the same net position component as the unspent proceeds. The Streetcar has no capital assets or related debt and therefore, no investment in capital assets.
Restricted
The restricted component of net position consists of constraints placed on net position use through external factors imposed by creditors (such as through debt covenants), grantors, contributors, or laws or regulations of other governments. The Streetcar has no restricted net position.
Unrestricted Net Position
The unrestricted component of net position consists of assets net of liabilities that do not meet the definition of "restricted" or "net investment in capital assets".
Cash and Cash Equivalents
Cash and cash equivalents represent cash held in the City’s pooled cash account and are considered available for immediate use. For purposes of the statement of cash flows, the Streetcar considers all highly liquid debt instruments with original maturities of three months or less, if any, to be cash equivalents. DRAFT Receivables, Payables and Unearned Revenue
Accounts receivable balances area shown at gross. It is the opinion of management that all receivables are fully collectible and therefore, no allowance has been established. Accounts payable are accrued when services are rendered and a liability is incurred. Unearned revenues represent amounts received which have not yet been earned.
14 37 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa) Notes to Financial Statements (continued) September 30, 2020
Capital Assets
The Streetcar owns no capital assets; all capital assets used in the Streetcar operations are owned either by the City or HART.
Assessments, Farebox Revenues, Contributions and Grants
Non-Ad Valorem assessments and CRA incremental tax revenues are recorded in the period they are levied. Farebox revenues are recognized in the period they are collected. Unrestricted contributions are recognized at fair value when received. Grant revenues are recognized when all eligibility requirements have been met.
Tax Status
The Streetcar has received a favorable determination letter from the Internal Revenue Service, and is exempt from federal income taxes under Internal Revenue Code (IRC) Section 501 (a) as an organization described in Section 501(c)(3).
Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, deferred outflows and inflows of resources, and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
3. Cash and Cash Equivalents
By agreement, the Streetcar transferred its funds to the City to invest in the City’s Pooled Cash account. The custodial agreement between the Streetcar and the City allows the relationship to be canceled on thirty (30) days notice, so while the Streetcar participates in the City's Pooled Cash account, the funds are considered liquid and have therefore been classified as Cash and Cash Equivalents in the financial statements.
Interest earned from Pooled Cash is allocated to the Streetcar based on the Streetcar’s average equity balance. Total interest earnedDRAFT for the year ending September 30, 2020 was $14,818, at an average rate of 1.09%. Disclosures relating to interest rate risk, credit risk, custodian risk, concentration of credit risk, and fair value disclosures, can be found in the City’s Comprehensive Annual Financial Report.
4. Accounts Receivable-Net
Accounts receivable consist of $54,167 from HART for operating revenues and grants, $25,000 in advertising revenues, and $7,827 from the Property Appraiser for excess fee distribution and $5,669 in advertising revenues for a total of $92,663.
15 38 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa) Notes to Financial Statements (continued) September 30, 2020
5. Prepaids and Other Assets
Prepaids and Other Assets consist of $241,933 in prepaid excess liability and general liability insurance premiums.
6. Accounts Payable
Accounts payable consist of $201,873 to HART for operating expenses, and $1,388 for legal expenses, for a total of $203,261.
7. Unearned Revenue
Unearned revenues consist of $58,794 ($24,284 current and $34,510 long term) received in advance on certain naming right agreements which are recognized in future periods. Revenue is recognized in the Statement of Revenues, Expenses and Changes in Net Position over the life of the agreement as a component of charges for sales and services.
8. Lease Revenue
Operating revenues include $1,500 collected from the leasing of cars to third parties for special events. The arrangements associated with these leases are designed for a short term (i.e., one to two days) and are typically paid in full at the lease commencement date. Any amounts paid prior to the lease commencement date are reflected as Unearned Revenue, as resources received in advance of an exchange transaction do not qualify as deferred inflows of resources.
9.Risk Management
Liabilities of the Streetcar are reported when it is probable that a loss has occurred and the amount of the loss can be estimated. The Streetcar has purchased four commercial insurance policies which provide $100,000,000 of general liability coverage for CSX should an accident occur at the location where the streetcar line and the CSX line intersect. In addition, the Streetcar carries general liability insurance. For the past three years, losses have not exceeded coverage.
10. Related Party Disclosures The Streetcar has a five (5)DRAFT year operating agreement with HART that was renewed on October 1, 2011 and expired on September 30, 2016. Under this agreement, Hart manages the Streetcar for the City, and is reimbursed for operating costs. The agreement is automatically renewed annually for a period of one year, and will expire on September 30, 2021.
The City has $22,485,330 recorded for the value of assets related to the installation of the Streetcar line, with a net book value of $14,688,837. HART has $50,781,969 recorded for its investment in Streetcar assets, with a net book value of $30,001,909. No rent is charged for their uses, and the Streetcar does not bear the cost of repair and maintenance of those assets.
16 39 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa) Notes to Financial Statements (continued) September 30, 2020
In FY2020, the Streetcar paid $2,558,532 to HART for the operations of the Streetcar. The amount represents approximately 78% of the Streetcar’s expenses, however only 38% of the Board is appointed by HART. The Streetcar Board of Trustees consists of five City appointees and three HART appointees. In accordance with the terms of the Operating Agreement, the City is responsible for any operating deficit of the Streetcar. In FY2020, the City contributed $200,000 toward the operations of the Streetcar.
11. Long-Term Outlook
Thanks to the revitalization of downtown Tampa, the Streetcar remains a viable transportation mode for commuters and tourists alike. In fiscal year 2021, the Streetcar will receive the third installment of a 3-year grant from the Department of Transportation to provide fare free rides on the Streetcar, which will increase its ridership and visibility. Operating subsidies from the City began in FY2015 in the amount of $148,000, and the City will contribute $200,000 to the operations of the Streetcar in fiscal year 2021.
12. Budgetary Control
The Streetcar operates in accordance with an annual operating budget that is approved by the Streetcar Board, HART Board, and ratified by the City Council. Appropriations lapse at the end of the fiscal year.
13. Property Taxes
Calendar of Property Tax Events
January 1 Property taxes are based on assessed property value at this date as determined by the Hillsborough County Property Appraiser.
July 1 Assessment roll approved by the state.
September 30 Millage resolution approved by the City Council.
October 1 Beginning of fiscal year for which taxes have been levied. November 1 PropertyDRAFT taxes due and payable. November 30 Last day for 4% maximum discount.
April 1 Unpaid property taxes become delinquent.
May 15 Tax certificates are sold by the Hillsborough County Tax Collector. This is the first lien date on the properties.
17 40 Tampa Historic Streetcar, Inc. (A Component Unit of the City of Tampa) Notes to Financial Statements (continued) September 30, 2020
Tax Collection
Property tax collections are governed by Chapter 197, Florida Statutes. The Hillsborough County Tax Collector bills and collects all property taxes levied within the County. Discounts are allowed for early payment of 4% in November, 3% in December, 2% in January, and 1% in February. If property taxes are not paid by April 1, the County adds a 3% penalty on real estate, and 1.5% on personal property.
The Tax Collector advertises and sells tax certificates on all real property for delinquent taxes. Certificates not sold revert back to the County. The Tax Collector must receive payment before the certificates are issued. Any person owning land on which a tax certificate has been sold may redeem the land by paying the Tax Collector the face amount of the tax certificate plus interest and other costs. The owner of a tax certificate may at any time after taxes have been delinquent for two years, file an application for tax deed sale. The County, as a certificate owner, may exercise similar procedures two years after taxes have been delinquent. Tax deeds are issued to the highest bidder for the property which is sold at public auction.
The Tax Collector remits current taxes collected through four distributions to the City in the first two months of the tax year and at least one distribution each month thereafter. The Streetcar recognizes property tax revenue in the period in which they are levied.
Tax Limitations
For the fiscal year ended September 30, 2020, the approved operating millage for the Streetcar was .33 mills. In addition to non-ad valorem tax assessments, the Streetcar also receives support from the CRA in the form of incremental tax revenues. DRAFT
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