SUBJECT:
title
Approval of a resolution authorizing the President & CEO, or her designee, to finalize and execute a Memorandum of Understanding with the City of Round Rock authorizing Round Rock to be a Direct Recipient of a suballocation of the Austin Urbanized Area's FY2027 and FY2028 Federal Section 5307 and 5339(a) funds.
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FISCAL IMPACT:
This action has no fiscal impact.
STRATEGIC PLAN:
Strategic Goal Alignment:
? 1. Customer ? 2. Community
? 3. Workforce ? 4. Organizational Effectiveness
EXPLANATION OF STRATEGIC ALIGNMENT: CapMetro coordinates with non-members in the Austin urbanized area to meet transit needs in their communities and build a regional system. These efforts will result in a more robust transit network that can eventually be brought together through regional planning efforts.
BUSINESS CASE: As the Designated Recipient of the Urbanized Area Formula Grants Program (Section 5307) and Formula Grants for Buses and Bus Facilities Program (Section 5339(a)), CapMetro is responsible for administering and apportioning the federal funds within the Austin urbanized area (UZA), which extends beyond CapMetro's service area. CapMetro's goal is to collaborate with non-member communities in the UZA to meet their transit needs now and in the future. By receiving a suballocation of Section 5307 and 5339(a) funding, the City of Round Rock will be able to continue its on-demand service and fixed-route service, plan for future transit needs, and fund its bus and bus facility needs.
COMMITTEE RECOMMENDATION: The item was presented and recommended for approval by the Finance, Audit and Administration Committee on May 6, 2026.
EXECUTIVE SUMMARY: CapMetro is the Designated Recipient of Federal Section 5307 and 5339(a) funds for the Austin urbanized area (UZA). Per Federal Transit Administration (FTA) guidelines, Section 5307 funds can be used for transit capital and operating assistance in urbanized area...
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