HomeMy WebLinkAbout2026-490-09.08.2026.docDocusign Envelope ID: 1C095CF0-424C-82C3-8327-D94085ECE73C
Prepared by LeAnn M. Even, Deputy City Clerk, City of Waterloo, 715 Mulberry Street,
Waterloo, IA 50703, (319) 291-4323.
RESOLUTION NO. 2026-490
RESOLUTION IN SUPPORT OF GRANT APPLICATIONS AND
CONTINUED DEVELOPMENT OF A PROPOSED THREE-YEAR,
TWO -ZONE CEDAR VALLEY MICRO -TRANSIT PILOT PROGRAM
AT A TOTAL PROGRAM COST NOT TO EXCEED $4,600,000.00.
WHEREAS access to safe, reliable, and affordable transportation is important to the
economic vitality and quality of life of residents throughout the Cedar Valley; and
WHEREAS, microtransit may help address transportation gaps by providing flexible,
demand -responsive transportation to residents, employees, students, seniors, individuals with
disabilities, and others who may have limited access to traditional transportation options; and
WHEREAS, the Cedar Valley Micro Transit Task Force has been evaluating the
feasibility, structure, estimated cost, potential funding sources, and community benefits of
implementing a regional microtransit pilot program; and
WHEREAS, the proposed three-year pilot program would improve access to public
transit; and
WHEREAS, each service zone is anticipated to operate three passenger vans, with two
wheelchair -accessible vehicles and spare vehicles shared between the two zones; and
WHEREAS, the estimated total cost of the three-year pilot program is $4,600,000,
consisting of the one-time upfront costs and three years of estimated operational costs; and
WHEREAS, the total cost of the three-year pilot program shall not exceed $4,600,000, or
$2,300,000 per service zone, without further approval by the applicable governing bodies; and
WHEREAS, the preliminary funding plan identifies potential financial participation from
Waterloo, Cedar Falls, federal and state grant programs, regional entities, nonprofit
organizations, private -sector partners, and other available funding sources; and
WHEREAS, the City Council supports pursuing all available grant funding, partner
contributions, fare revenue, and other outside financial assistance to reduce the amount of local
funding required for the program; and
WHEREAS, the City Council recognizes that City financial participation may be
necessary to implement and operate the three-year pilot program; and
WHEREAS, the pilot program will allow the participating communities to evaluate
ridership, service demand, operational costs, fare revenue, performance, and the program's
potential to become financially self-sustaining.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF
WATERLOO, IOWA,
1. The City Council hereby supports the continued development and proposed
implementation of a three-year Cedar Valley microtransit pilot program consisting of two service
zones: Zone 1 serving Cedar Falls and Zone 2 serving Waterloo.
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Resolution 2026-490
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2. The City Council authorizes the Cedar Valley Micro Transit Task Force, in
coordination with appropriate staff from the participating communities, to identify, prepare, and
submit applications for federal, state, regional, private, nonprofit, and other available grant
funding or financial assistance for the planning, startup, implementation, operation, and
evaluation of the proposed pilot program.
3. The Mayor, City Clerk, Finance Director, and other appropriate City officials are
authorized to execute letters of support, certifications, application documents, and other materials
reasonably necessary to submit eligible grant applications on behalf of the City.
4. The proposed program budget shall not exceed $4,600,000 over the three-year pilot
period without further approval by the City Council. The current estimated program costs shall
be allocated equally between the two service zones as follows:
Annual Operational Costs"
Total 3-Year Cost
(not to exceed)
One -Time
Upfront Costs
Year 1
Year 2
Year 3
Zone 1 (Cedar Falls)
$2,3QQ,QQQ_QD
$67,7QQ_QQ
$67Q,00100
$7130,QQQ_Q0
$T30,Q01Q0
Zone 2 (Waterloo)
$2,3D0,0D0.0D
$67,70Q.00
$670,000.00
$700,DQ0.0O
$73D,1100.Q0
Total All Zones
$4,600,000.00
$135,400.00
$1,340,000.00
$1,400,000.00
$1,460,000.00
5. The preliminary funding plan identifies the following direct financial participation
from Waterloo and Cedar Falls:
Funding Source Year 1 (FY28) Year 2 (FY29) Year 3 (FY30)
Waterloo
$185,000.00
$135,375.00
$135,75100
2% Levy Increase
(Waterloo)
$15,000.00
$15,50100
$16,00100
Cedar Falls
$185,000.00
$135,375.00
$135,75100
2% Levy Increase
(Cedar Falls)
$►5,000.00
$5,50.00
$5,500.00
The preliminary funding plan anticipates grant funding, regional participation, nonprofit
contributions, private -sector support, and other outside funding totaling approximately
$1,085,400 in Year One, $1,108,500 in Year Two, and $1,167,000 in Year Three, for total
anticipated outside funding of $3,360,900 over the three-year pilot period.
6. The funding amounts and sources identified in Sections 5 and 6 constitute a
preliminary working plan only. Inclusion of a potential funding source does not represent
confirmation or acceptance of a grant award, contribution, or other funding commitment.
7. Because grants and other outside funding sources are intended to support the overall
two -zone program, the allocation of those revenues between the Waterloo and Cedar Falls
service zones shall be determined through the applicable grant requirements, award documents,
intergovernmental agreements, or other funding agreements.
8. The City Council expresses its intent to consider providing City financial support for
the Waterloo service zone after applying all available grant proceeds, partner contributions, fare
revenue, and other outside funding to the program's eligible costs.
9. Before the City incurs any financial or contractual obligation, the final program design,
service boundaries, implementation schedule, confirmed funding sources, grant conditions,
projected fare revenue, amount and timing of Waterloo's contribution, and applicable service or
intergovernmental agreements shall be presented to the City Council for approval.
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Resolution 2026-490
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10. Any City funding for the pilot program shall be subject to City Council approval and
appropriation through the applicable annual budget or budget -amendment process. Any
anticipated use of revenues associated with a levy increase shall also remain subject to all
applicable legal, budgetary, and City Council requirements.
11. City staff and the Cedar Valley Micro Transit Task Force shall continue seeking
grants, partner contributions, fare revenue, and other funding throughout the pilot period to
minimize the cost to Waterloo taxpayers and work toward making the program financially self-
sustaining.
12. The pilot program shall include regular financial and operational reporting to the City
Council, including information regarding ridership, service levels, program costs, fare revenue,
grant funding, local contributions, performance measures, and progress toward long-term
financial sustainability.
13. Nothing in this resolution constitutes a commitment to continue the microtransit
program beyond the approved three-year pilot period. Any continuation, expansion, or
permanent implementation of the program shall require further consideration and approval by the
City Council.
PASSED AND ADOPTED this 8tn day of September 2026.
ATTEST:
r Signed by:
KW& F
Kelf y° eGie4,tity Clerk
SEAL
Signed by:
39 s I7BSD34
Davi oesen,I . Mayor