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Transit staff warns agency shift to MTM could shrink inclusive-program trips and revenue
Summary
Dunn County Transit staff said a regional agency's move to MTM Transportation could push agency‑paid riders off county service, potentially cutting inclusive‑program revenue by about 10–20%; staff outlined outreach and short‑term fleet steps.
Transit staff told the committee on March 11 that changes by an agency-contracted provider could reduce Dunn County Transit’s inclusive‑program trips — the county provided 785 such trips this reporting period — and that a shift to MTM Transportation as the agency’s exclusive contractor could reduce county revenue by an estimated 10–20% depending on whether riders move to MTM or pay the county's cash rates.
"If these people moved over to MTM Transportation ... we'd lose about 20% of this year," the staff member said, describing the potential worst‑case migration if the agency does not subcontract with the county. Staff noted agency reimbursement rates at the meeting as $10 in town and $15 out of town, and said the county’s published cash rates (discussed as $4 in town and $7 out of town in staff remarks) would leave a financial shortfall even if passengers stayed with Dunn County Transit.
Staff characterized the payment process from agencies as difficult at times, citing mismatched authorization dates and billing cycles that complicate timely payment. To reduce rider disruption and retain trips, staff said the county is sending letters (some being hand‑delivered) informing riders of their options and that the county has applied to be a subcontractor or provider for MTM where possible.
The committee discussed the broader operational context, including fleet spare‑ratio guidance: staff cited Federal Transit Administration guidance recommending a 20% spare‑ratio for transit fleets and noted Dunn County Transit operates leaner than that in some cases and is awaiting titles on two buses that affect spare counts. Staff also described an interim used‑bus purchase (a 2009 Gillig bought locally for $5,800) to address capacity and reliability issues while the county finalizes disposals and titles.
Staff said the department will return with route‑by‑route ridership data at the next quarterly meeting and more detail at the April meeting after agency deadlines pass. The committee did not take separate formal action on the agency/provider issue at this meeting.
