FY2020 Tentative HART Budget – Revenue Overview HART Finance and Audit Committee June 17, 2019

Presentation Highlights Budgetary priorities for FY2020 Existing service revenue projections Sales tax revenue projections Preliminary expenditure planning Next Steps

Budgetary Priorities for FY2020 Balanced FY2020 Budget Stewardship of Sales Tax Revenue Capital Program Development Cash Flow and Reserves Increases in Cost of Doing Business Service Enhancements Innovative Mobility Solutions

FY2020 Operating Revenues (without sales tax) $2,800,000 net increase in FY2020 budget 9% growth in Ad Valorem - $4,000,000 Modest 3% fare revenue increase - $335,000 State grant revenues net decrease: $411,000 Loss of Route 48 funding $293,000 Loss of Route 275LX funding $1,093,000 Award of Uptown on-demand service funding $270,000 Award of Downtown on-demand service funding $615,000 Increase in Block Grant $90,000 Local contributions decrease $1,475,000 Loss of County support for Mission Max routes $2,300,000 County and PPP support of Uptown on-demand service $825,000

FY2020 Operating Revenues (without sales tax) * net of dropping $3M+ increase to fund balance *net of $3M contribution to fund balance $81,724,589

New Sales Tax Revenue 30-Year Capacity Collection initiated in January; HART received first distribution in April Collections to date: $28 million Held in reserves until CY2020 Total estimated 30-year sales tax collections (all jurisdictions): $14.6 billion 30-Year estimated capacity of HART’s 45% allocation: $6.5 billion Average growth rate of 3.27% annually Note: estimates based HART PRAG analysis and align with earlier MPO LTRP estimates

New Sales Tax Revenue 30-Year Capacity 30-year estimates by Charter allocations: 45% for Enhancing Bus Service: $2.9 billion 35% for Fixed-Guideway: $2.3 billion 20% for Any Project to Improve Public Transportation: $1.3 billion

FY2020 New Sales Tax Revenue Annual State forecast: $135.9 million Currently trending: $124.2 million Estimated Annual Interest earnings: $2 million FY2020 Budget will include FY2019 full year collections; 9 months of CY2020 collections due to revenue on a Calendar Year basis Fiscal Year Enhancing Bus Service 45% Expanding Public Transit Options (FG) 35% Remaining Funds – Improvement of Public Transportation 20% Total 2019 $55.89M $43.47M $24.84M $124.2M 2020 (9 months) $42.49M $33.82M $19.33M $96.65M

FY2020 New Sales Tax Revenue Total FY2020 Budgeted Revenue $220,875,131 * net of dropping $3M+ increase to fund balance

FY2020 Preliminary Sales Tax Centric Expenditures IOC Program of Projects due prior to September, 2019 Board will consider in August Basis for budgeting expenditures supported by sales tax revenue in FY2020 Preliminary Sales Tax Centric Expenditures Operating FY2018/FY2019 Hillsborough County Funded Service (7 current routes) FDOT defunded 275LX Mobility circulator services (Downtowner/Uptowner/Westshore) Advance and support of 5-year TDP (enhancement of 8 routes; 1,129,054 additional miles) Rail corridor and fixed-guideway studies Capital State of Good Repair back-log Facilities/real property acquisition Fixed-Route CNG buses Proterra electric buses and infrastructure Farebox replacement (to compliment Flamingo deployment) Bus shelter infrastructure Paratransit vans Non-revenue vehicles * net of dropping $3M+ increase to fund balance

Next Steps July 1st – Final Certification of property values provided by Property Appraiser July 15th – Board to consider Tentative FY2020 millage rate August 5th – Board to consider IOC Program of Projects August 19th – F&A Committee to consider Preliminary FY2020 Operating and Capital Budgets September (TBD) - Public Hearings on Fiscal Year 2020 Millage Rate And Annual Budget