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Commission approves purchase of four low-floor buses; officials outline plan to transfer assets to transit authority
Summary
The commission approved a $1.124 million contract for four low-floor transit buses and discussed transferring grant-funded assets to the new transit authority, with staff saying most assets are grant-funded and transfers are likely by Oct. 1.
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The City Commission voted Feb. 18 to authorize a contract not to exceed $1,124,348 for four low-floor transit buses and discussed how vehicles and other grant-funded assets will move to the newly formed transit authority.
Resolution 78 authorizes the city manager to contract with Transportation Equipment Sales Corporation for four low-floor buses at a not-to-exceed price of $1,124,348. The resolution passed on a recorded motion; the meeting transcript records the approval but does not include a roll-call tally.
Commissioner Chris Simmons questioned whether the purchase and other transit-related obligations remain the city's responsibility while the transit authority (TAC) completes its paperwork and becomes the designated recipient of federal funds. "This purchase... is 100% grant money, is my understanding," Commissioner Simmons said, and asked whether the city remains the fiduciary while the authority organizes.
Interim City Manager Ted and a TAC representative, Mallory, said the city is the current grantee and that a process exists to transfer assets once the authority is fully established. Mallory said most assets were acquired with federal grants and retain a federal interest for their useful life; for assets still within their useful life, the authority would receive them without charge once transfer steps are complete. "I think the important thing to remember about, probably 90% of our assets is that they were 100% grant funded," Mallory said.
Staff said the target for transferring assets to TAC is Oct. 1, 2025, though interim operating agreements and logistical details (designated recipient status, insurance, employee operations) still need resolution. "Assets are the easy thing to transfer, but the TAC needs to get some stuff in order first," Mallory said, noting designated recipient status and liability insurance as prerequisites.
Commissioners also sought a clearer timeline and asked staff to share meeting minutes and reports from TAC so the commission and public can track the transition. Commissioner Simmons and others requested that staff provide updates as logistics are finalized.

