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The city's mayor had wanted a June 2017 deadline, after the upcoming election and legislative session. He has also suggested shortening the route to stay within budget.
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The agency will keep its operating budget essentially flat and reduce spending on construction projects by $416 million. The agency plans to spend $2.111 billion on operations in fiscal year 2017, which is $4.5 million less than this year.
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A major initiative for the budget includes an effort to increase bus ridership through implementation of OC Bus 360°, a program aimed at improving bus service and increasing the efficiency of bus travel throughout the county.
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In the last week, RT staff has worked closely with RT’s funding agencies and has identified a $1 million potential operating fund source.
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Henry Li, who was tapped to lead the agency on Thursday, said the agency needs a major "culture change" immediately to improve its service and regain finanical footing.
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Under current proposals, it would cost $12 to ride the entire 43-mile route from north Santa Rosa to downtown San Rafael. SMART staff said the fare structure would meet the target of generating $5 million annually in fare revenue.
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The agency opened its $44 million Green Line only four years ago; however, the line currently averages only 440 boardings a day with limited service, and costs RT $330,000 annually to operate.
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City officials already predict that the $6.5 billion dollar rail project could run an additional $300 to $800 million over budget, however, the audit, which has not publicly released because it's in draft form, has found that HART’s financial plans are not reliable and project costs lack supporting documentation.
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The revised program now totals $251 million in projected spending. Metra will receive an $11.3 million increase in federal funds due to the recently passed Fixing America's Surface Transportation Act.
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Effective this July, the move is in response to a $2.7 million budget deficit projected for Fiscal Year 2016.
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