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Minot council approves $107,000 paratransit agreement; federal funds and state match cover local share

3847276 · June 17, 2025
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Summary

The City of Minot approved a paratransit service agreement and associated budget amendment for $107,000. City officials said 80% will be covered by federal grant funding and the 20% local match will be paid from state Senate Bill 2254 allocations, with no direct general-fund impact this fiscal year.

The Minot City Council unanimously approved a paratransit service agreement with Service Based Transit and a related budget amendment that adds $107,000 in funding for paratransit operations.

City transit staff explained the request is tied to the city's change from a rural to an urban transit designation and new federal reporting and service requirements. Transit staff said the $107,000 request will be 80% funded by federal Section 5307-type grants and the remaining 20% will be covered by the state's Senate Bill 22-54 biennial allocation to the city; staff said that structure results in no direct city general-fund cost for the item this year.

At the meeting, council members asked for clarity about the portion of transit service supported and the city's ongoing role. Transit staff said the city has historically provided and maintained three Americans with Disabilities Act (ADA)-accessible vans used in paratransit service, including fuel, maintenance and insurance; those vans remain city assets and are not part of this $107,000 request. Replacement of those vans in future years would typically use an 85% federal/15% local funding split, staff said.

Council discussion also covered new federal reporting expectations tied to the urban designation. Staff said contract terms will require Service Based Transit to provide monthly and periodic operational metrics, including paratransit boardings by revenue hour, revenue hours per month, and total miles driven, so the city can separate paratransit ridership from demand-response services for federal compliance.

Alderman Blessum, who pulled the item for discussion, pressed staff on cost escalation and long-term transit planning. Staff responded that the Transit Development Plan (TDP) currently in progress is intended to produce a sustainable service model and that the city would need to evaluate ongoing costs as TDP recommendations come forward.

Alderman Pittner moved approval; Alderman Olsen seconded. The council voted unanimously to approve the agreement and budget amendment.