Federal stimulus plan has $60M for MARTA

More than $60 million in federal stimulus money could soon flow to the depleted coffers of the Metropolitan Atlanta Rapid Transit Authority, which could help the system make up for cratering revenues.

But, MARTA general manager and CEO Beverly Scott warned Wednesday, there’s little chance the money will lead to an expansion of services. Instead, she said, MARTA will do its best to maintain what’s already there.

Speaking to reporters Wednesday on a national transportation conference call, Scott said the Atlanta system could see $60 million to $70 million from the stimulus package that became law Tuesday.

The overall package includes more than $6.9 billion for transit systems nationwide, with Georgia getting more than an estimated $110 million for urban transit capital programs. That money, which includes the $60 million to $70 million for MARTA, will be distributed through existing formulas within the next three weeks.

But the big prize remaining for mass transit is an additional $8 billion for high-speed rail and intercity passenger rail. That money will distributed directly by the U.S. transportation secretary.

However, it could be two to four months before transit systems know what criteria will be used to judge grant approvals for that pot of stimulus money.

Still, Scott said she does not see the new federal money leading to an expansion of MARTA’s rail or bus service. Instead, she said, her “absolute focus” would be on repairs and “system preservation projects.”

“Quite candidly, what it will give us is an opportunity to do some, and I emphasize only limited, backfill for the loss of what we’re seeing in terms of the dramatic downturn in sales tax revenue,” said Scott, who was on the conference call in her dual roles as head of MARTA and chairwoman of the American Public Transportation Association.

Estimates in January had MARTA’s revenues from sales tax collections down $39 million and had Scott and the system contemplating fare hikes, service reductions and employee layoffs.

It’s far from certain that those consequences won’t still occur, as the stimulus money has limited uses. It cannot, for instance, be used for general operating expenses, something Scott said she and other transit system leaders were seriously hoping for.

“We fought like dogs, to tell you the honest-to-God’s truth, that transit operating assistance is critical,” Scott said. “We were not successful this go-around. It’s going to be quite a challenge at the state, local and federal level.”

Georgia Rep. Jill Chambers (R-Dunwoody), chairwoman of a MARTA legislative oversight committee, said that’s her concern as well.

“When and if it [stimulus money] actually gets here, it’s going to have so many strings attached,” Chambers said.

Meanwhile, as more details on the $787 billion stimulus bill emerge, Gov. Sonny Perdue has identified a point person to lead Georgia’s efforts to follow the myriad rules and land the federal dollars.

Celeste Osborn, a veteran state financial executive, will be the state’s liaison and coordinator of stimulus funds, Perdue announced. Osborn is currently the state’s deputy chief financial officer and has 28 years of financial, management and executive experience in state government and the private sector.

She has served in the Office of Education Accountability and the Office of School Readiness and was vice president for financial management of the Georgia Lottery Corp.

Osborn will have her work cut out for her. For example, to access the $931 million in highway infrastructure money in the bill for Georgia, the governor must send the U.S. Department of Transportation a certified statement showing how much money Georgia already planned to spend on transportation infrastructure between now and Sept. 30, 2010 — and the state must spend what it planned.

That’s not just a recommendation, said Molly Ramsdell, senior committee director for the National Conference of State Legislatures, an advocacy group for state governments.

“If a state is unable to maintain that certified level, they basically risk losing their [federal] highway funds for fiscal year 2011,” Ramsdell said.

There are also key dates that Osborn and the state must hit. Again using the transportation money as an example, the state must obligate at least half its money by June 17, and all of it within one year.