TO: Mayor and City Commission
FROM: Douglas E. Smith, City Manager
DATE: February 17, 2016
Title
MOTION - AUTHORIZATION TO ADVERTISE AN ORDINANCE AMENDING THE CODE OF THE CITY OF MARGATE, FLORIDA, CHAPTER 21. MARGATE INNER-CITY MINIBUSES; SECTION 1. FEES ESTABLISHED; PROVIDING FOR THE ELIMINATION OF FARES FOR THE CITY OF MARGATE INNER-CITY MINIBUS TRANSIT SYSTEM; PROVIDING FOR REPEAL; PROVIDING FOR SEVERABILITY; PROVIDING FOR CODIFICATION; PROVIDING FOR AN EFFECTIVE DATE
BACKGROUND: The Ordinance being presented is to eliminate fares for the Margate Inner-City Minibus System in order to increase ridership. This is to prevent losing funding from Broward County and to make transit a more viable option. Broward County requires community bus operators to maintain 7.1 riders per hour to receive a $15.00 per hour subsidy. Ridership numbers have fallen below 7.1 riders per hour and it is the opinion of the City of Margate and Broward County Transit staff that eliminating the fare will increase ridership. The following cities do not charge a fare for bus service: Deerfield Beach, Coconut Creek, Lauderdale-by-the-Sea, Hillsboro Beach, Hallandale Beach, Pembroke Pines, Miramar, West Park, Pompano Beach, and Lauderdale Lakes.
RECOMMENDATION: To eliminate bus fares.
FISCAL IMPACT: Eliminating the fares will result in a reduction of revenues in the amount of approximately $35,000. Losing the subsidy from Broward County for one route equals $34,425.
CONTACT PERSON: Sam May, Public Works Director