Memphis Council moves $15.3 million into restricted transit reserve, demands audit and plan before releasing more funds

The Memphis City Council voted Wednesday to place $15,335,000 of proposed fiscal 2026 funding for the Memphis Area Transit Authority into a restricted reserve and to require MATA to present a full financial audit and a budget and operational plan before that tranche would be released.

Councilwoman Green, who moved the amendment, said the change is intended to add accountability. "We cannot continue to spend money and throw millions at a system that frankly is failing our ridership," she said during debate. "We have got to make sure that they are spending our dollars appropriately." The motion passed on a roll call with Cooper Sutton and others voting yes and Easter Thomas voting no.

The action amends the council's operating budget by moving $15,335,000 from a grants-and-subsidies line for MATA into reserved funding labeled "restricted funds for public transportation," with a council requirement that the funds be…