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Transportation to deploy CNG buses, pursue electronic fares after Section 5307 grant; ridership climbing

3145598 · April 14, 2025
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Summary

Transportation staff said the borough's new compressed-natural-gas (CNG) buses will enter regular service soon, that the department expects to finalize Section 5307 grant apportionment details, and that staff plan a separate electronic-fare project funded in part by transit grants.

Transportation Director Michelle Denton and managers reported progress on bus fleet, facility and grant items and described plans to modernize rider payment.

CNG buses and facility: Denton told the committee the department has moved into the new, grant-funded operations facility at 1770 Tesoro Avenue and that the first CNG transit buses for the state will enter regular service in the coming weeks. Staff said investments include enhanced radio equipment at the Tesoro facility (a one-time budget transfer paid for radio improvements so buses and dispatch can communicate reliably inside the new building).

Grants and Section 5307: Transportation said it expects to come back to the assembly with an ordinance to accept the borough's Section 5307 urbanized-area grant apportionment (the department did not publish an exact dollar figure in the work session presentation). Transit staff said they included partial grant offsets in the recommended budget but will complete award detail and bring a full acceptance ordinance to the assembly when federal apportionment paperwork is finalized.

Electronic fares and scheduling: Transit and Van Tran managers said they plan to implement an electronic fare-payment system and a modern scheduling platform (for paratransit/Van Tran). Staff reported grant funding is identified and the department will issue an RFP once federal grant details are finalized; a fully scoped project and precise cost estimate were not finalized at the work session. Denton said the electronic-fare option is intended to augment existing token and cash options, not remove them.

Ridership and operating numbers: Managers reported ridership recovering; transit ridership for the budgeting period is projected to increase toward about 250,000 annual rides (up from roughly 188,000 in last year's budget figure and in line with recent actuals). Transit staff said they expect to pursue federal capital funds and local matching as part of the FY26 program, including funds to support CNG fueling and related costs.

Why it matters: New CNG vehicles and a payment modernization project will affect operations and maintenance budgets, fuel contracts, and the passenger experience. The Section 5307 federal grant is a central operating and capital funding source for urban transit service.

Ending: Transportation will return to the assembly with a Section 5307 ordinance and with more detailed scopes and cost estimates for the electronic-fares and scheduling projects; no binding acceptance of those projects occurred at the work session.