RIDESHARING PROGRAM S.B. 1081 (S-1): FLOOR ANALYSIS






Senate Bill 1081 (Substitute S-1 as reported)
Sponsor: Senator Shirley Johnson
Committee: Appropriations

CONTENT
The bill would amend Public Act 283 of 1909, which governs the administration of the State ridesharing program by the Michigan Department of Transportation (MDOT). The bill would eliminate current language that requires MDOT to provide technical assistance to local transportation and planning agencies. Also, the bill would prohibit MDOT from contracting with public organizations to perform ridesharing matching programs, unless a private organization were not available. Under the bill, the Department still would be required to contract with private organizations to perform ridesharing matching programs.


The bill also would strike a current requirement that the Legislature annually appropriate sufficient funds to administer the State ridesharing program.


MCL 225.2

FISCAL IMPACT
The Michigan Department of Transportation administers the Rideshare Program and the MichiVan Program under the authority of Public Act 283 of 1909. In fiscal year (FY) 2003-04, $330,700 is appropriated from the Comprehensive Transportation Fund (CTF) to help fund 12 local rideshare offices (LROs) throughout the State, covering 61 counties. In addition to the State funding, the Rideshare Program receives Federal support in some areas of the State. The Rideshare Program does not require any local match. For the most part, the local rideshare offices are housed within local public transit agencies. By removing MDOT's authority to contract with public organizations to provide ridesharing services, the bill would prevent local public transit agencies from receiving any portion of the $330,700 appropriated for the Rideshare Program.


In fiscal year 2003-04, there is appropriated $195,000 from the CTF for the MichiVan Program. This funding is used to support a private contractor's administration of the MichiVan Program, including administrative costs, marketing activities, and a per rider operational subsidy. It does not appear that the bill would have an impact on this program.


Date Completed: 6-17-04 Fiscal Analyst: Craig Thiel

Analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent. sb1081/0304