1. Counties Transit Improvement Board: Program of Projects & Transit Investment Framework Workshop 3 Board Workshop October 16, 2013

2. Today’s Presentation Review Goal & CTIB Vision Technical readiness – Phase 1, 2, and 3 Workshop 1 and 2 PoP Investment Strategies Phase 1 with current resources Phase 1 and 2 with expanded resources Proposed revisions to the Transit Investment Framework Page 2

3. Program of Projects (PoP) Goal Accelerate the development and construction of multiple transitways to serve the region Page 3

4. CTIB’s PoP Vision for catalytic transitway development Page 4

5. 2013-2014 Technical Readiness Page 5

6. Phase I Phase 2 Phase 3 Page 6

7. Funding CTIB’s PoP Page 7

8. August workshop Limited resources Phase 2 CTIB 30%/50% 0.25% Phase 1 CTIB 30%/50% Funding Partners’ Challenges Page 8

9. September workshop Options to resolve funding constraints Shrink PoP 0.25% Additional revenue Deliver PoP Increase revenue Shrink PoP - or - Page 9

10. October workshop PoP Investment Strategies Phase 1 within current resources –Phase 1 projects funded at current shares –No expansion of 0.25% sales tax Phase 1 & 2 with expanded resources –Phase 1 and 2 projects funded with greater CTIB share –Sales tax expanded by 0.25% Page 10

11. PoP Investment Strategy: Phase 1 Page 11

12. Projects Funded Southwest at CMC budget level Gateway as exclusive BRT Streetcars (SCAR) not funded by CTIB CTIF Funding for Phase 1: √ Southwest LRT √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT □ Robert St. SCAR/HBRT □ Red Rock HBRT/Com □ Rush Line HBRT/LRT □ Riverview HBRT/LRT CTIF Funding for Phase 1: √ Southwest LRT √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT □ Robert St. SCAR/HBRT □ Red Rock HBRT/Com □ Rush Line HBRT/LRT □ Riverview HBRT/LRT Page 12

13. Funding Assumptions Sales tax at 0.25%, five- county Historic funding levels assumed: –50/30/10/10 Federal/ CTIB/State/Local for capital –50/50 CTIB/State for net operating subsidies Funding shares: √ 50% Federal capital √ 30% CTIB capital √ 10 % State capital √ 10 % Local capital √ 50 % CTIB net op. share √ 50 % State net op. share Funding shares: √ 50% Federal capital √ 30% CTIB capital √ 10 % State capital √ 10 % Local capital √ 50 % CTIB net op. share √ 50 % State net op. share Page 13

14. Phase 1 - 0.25% Tax - Current shares Page 14 CTIB Funding for Phase 1 : √ Southwest LRT √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT □ Robert St. SCAR/HBRT □ Red Rock HBRT/Com □ Rush Line HBRT/LRT □ Riverview HBRT/LRT Funding shares: √ 50% Federal √ 30% CTIB capital √ 10% State capital √ 10% Local capital √ 50% CTIB net op. share √ 50% State net op. share CTIB Funding for Phase 1 : √ Southwest LRT √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT □ Robert St. SCAR/HBRT □ Red Rock HBRT/Com □ Rush Line HBRT/LRT □ Riverview HBRT/LRT Funding shares: √ 50% Federal √ 30% CTIB capital √ 10% State capital √ 10% Local capital √ 50% CTIB net op. share √ 50% State net op. share

15. Alternate Phase 1 - CTIB funds Robert Street streetcar capital Southwest at CMC budget level Gateway as exclusive BRT CTIB participates in Robert Street streetcar capital, but not the operating subsidy CTIB funding for Phase 1: √ Southwest LRT √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT √ Robert St. SCAR (no op.) □ Red Rock HBRT/Com □ Rush Line HBRT/LRT □ Riverview HBRT/LRT CTIB funding for Phase 1: √ Southwest LRT √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT √ Robert St. SCAR (no op.) □ Red Rock HBRT/Com □ Rush Line HBRT/LRT □ Riverview HBRT/LRT Page 15

16. Alternate Phase 1 - 0.25% Tax - Current funding shares* CTIB funding for Phase 1: √ Southwest LRT √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT √ Robert St. SCAR (no op.*) □ Red Rock HBRT/Com □ Rush Line HBRT/LRT □ Riverview HBRT/LRT Funding shares: √ 50% Federal √ 30% CTIB capital √ 10% State capital √ 10% Local capital √ 50% CTIB net op. share* √ 50% State net op. share, but 100% for streetcars CTIB funding for Phase 1: √ Southwest LRT √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT √ Robert St. SCAR (no op.*) □ Red Rock HBRT/Com □ Rush Line HBRT/LRT □ Riverview HBRT/LRT Funding shares: √ 50% Federal √ 30% CTIB capital √ 10% State capital √ 10% Local capital √ 50% CTIB net op. share* √ 50% State net op. share, but 100% for streetcars * CTIB capital share for Robert St. streetcar, but no net operating subsidy Page 16

17. Phase 1 Observations Advantages CTIB can fund its share of Phase 1 Regional balance No new taxes Disadvantages Complete vision is not accomplished Funding partners’ obstacles are not addressed No acceleration Limited/no funding available for other projects or enhancements Page 17

18. PoP Investment Strategy: Phase 1 and Phase 2 Page 18

19. Phase 1 and 2 Projects Funded Southwest at CMC budget level Gateway as exclusive BRT Robert Street illustrated as streetcar, with CTIB funding Remaining projects include 1 LRT and 2 HBRTs CTIB funding for Phase 1 & Phase 2: √ Southwest LRT √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT √ Robert St. SCAR/HBRT √ Red Rock HBRT/Com √ Rush Line HBRT/LRT √ Riverview HBRT/LRT CTIB funding for Phase 1 & Phase 2: √ Southwest LRT √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT √ Robert St. SCAR/HBRT √ Red Rock HBRT/Com √ Rush Line HBRT/LRT √ Riverview HBRT/LRT Page 19

20. Phase 1 and 2 Funding Assumptions Sales tax expanded 0.25%, five-county Funding levels modified to accelerate development: –45/40/5/10 Federal/CTIB/ State/Local for capital –50/50 CTIB/State for operating –¼ of new taxes distributed to counties ( ≈ 0.06% tax rate) Funding shares: √ 45% Federal √ 40% CTIB capital √ 5 % State capital √ 10 % Local capital √ ¼ of new tax County discretionary √ 50 % CTIB net op. share √ 50 % State net op. share Funding shares: √ 45% Federal √ 40% CTIB capital √ 5 % State capital √ 10 % Local capital √ ¼ of new tax County discretionary √ 50 % CTIB net op. share √ 50 % State net op. share Page 20

21. Phases 1 & 2 - Additional 0.25% Tax - Adjusted shares for capital & operating CTIB funding for Phase 1 & Phase 2: √ Southwest LRT ($1.56B) √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT √ Robert St. SCAR/HBRT √ Red Rock HBRT/Com √ Rush Line HBRT/LRT √ Riverview HBRT/LRT Funding shares: √ 45% Federal √ 40% CTIB capital √ 5 % State capital √ 10 % Local capital √ 50 % CTIB net op. share √ 50 % State net op. share √ ¼ of new tax County discretionary CTIB funding for Phase 1 & Phase 2: √ Southwest LRT ($1.56B) √ Bottineau LRT √ I35W S HBRT √ Cedar Ave Stage 2 HBRT √ Gateway EBRT/LRT √ Robert St. SCAR/HBRT √ Red Rock HBRT/Com √ Rush Line HBRT/LRT √ Riverview HBRT/LRT Funding shares: √ 45% Federal √ 40% CTIB capital √ 5 % State capital √ 10 % Local capital √ 50 % CTIB net op. share √ 50 % State net op. share √ ¼ of new tax County discretionary Page 21

22. Observations Phase 1 & 2 Advantages CTIB can fund its share of Phase 1 & Phase 2 Acceleration Funding partners capital shares are addressed Enhances reg. balance Funds for counties for transportation priorities, e.g. –Corridor planning –Local 10% –Roads & bridges Disadvantages Phase 3 is not addressed Requires legislative action May require action by County Boards Requires tax increase State share of net operating subsidy is not addressed Page 22

23. CTIB’s Goal: Resources balanced with PoP needs CTIB’s PoP Sufficient Resources Page 23

24. Implementation Plan for PoP Investment Strategy Page 24

25. Action Steps Select preferred PoP Investment Strategy –Phase 1 only –Phase 1 and 2 If Phase 1 and 2 PoP Investment Strategy is preferred –Adopt State legislative platform including additional sales tax revenues –Develop federal funding strategy –Develop local funding strategy Page 25

26. Action Steps Revise Transit Investment Framework –Address MAP-21 changes –Incorporate preferred PoP Investment Strategy –Update grant solicitation process Re-initiate discretionary capital grant application process for 2014 funding Provide comments to Met Council on TPP and Thrive 2040 consistent with Board’s PoP Investment Strategy Page 26

27. Questions? Page 27

28. Revisions to the Transit Improvement Plan Page 28

29. Schedule for revisions to TIF October 16, 2013 –Part 2: Vision –Part 3: Role of the Board –Part 4: Purpose of Transit Investment Framework –Part 5: Guiding principles and policies November 20, 2013 –Part 6: Funding commitments –Part 7: Financial principles –Part 8: Annual financial review, capacity estimates, reporting December 18, 2013 –Part 9: Process for solicitation, evaluation and award of grants –Part 10: Miscellaneous –Adoption of TIF Page 29

30. Draft Revisions to the Transit Improvement Plan Parts 2-5 (See document) Page 30