Committee delays action on VW settlement grant and 2025 budget modification for purchase of 10 buses; staff awaiting manufacturer quote

The Wausau Finance Committee on Aug. 12 postponed action on accepting a Volkswagen settlement grant and a related 2025 budget modification to purchase 10 buses for Wausau Metro Ride, saying staff is waiting for the bus manufacturer’s firm price and a contract requiring state signature.

Staff presented the grant and said the estimated cost of the buses was $640,000 and that accepting the grant would require the city to forgo $128,000 per year for the next 10 years in shared revenues as the city’s portion of the contract. “Estimated cost of the buses is, what, dollars 640,000. And, in order to accept the grant, we will have to forego a $128,000 per year for the next 10 years of shared revenues,” said a staff member.

Staff also said the state contract with the bus manufacturer Gillig sets a maximum amount for the procurement but the city must await Gillig’s quote for the buses. “We cannot sign the contract… and I can't sign it until I see what that price is. So we're waiting for that,” said Mary Anne, a staff member. Staff said there is an 9-to-24-month lead time for buses and that Wausau should be early in the queue but the firm quote — and therefore the exact city share — was still pending.

Given the pending quote and that staff cannot finalize purchase orders or sign the grant contract until the price is known, the committee agreed to set the item aside and take it up at a future Finance Committee meeting, likely the Aug. 20 meeting if scheduling allows. No grant acceptance or budget modification was approved at the Aug. 12 meeting.

Speakers on this item included Mary Anne and other city staff; no motion to accept the grant was made and the item was set aside for a future meeting.