Wisconsin Administrative Code › Department of Transportation › Chapter Trans 4 - Urban Mass Transit Operating Assistance Program › Section Trans 4.04 - Project costs

Current through June 24, 2024
(1) Eligible project costs are limited to the
			 operating expenses of an urban mass transit system, including labor, fringe
			 benefits, materials and supplies, utilities, insurance, purchased
			 transportation services, license fees and lease expenses. For publicly owned
			 mass transit systems, the only wages and fringe benefits that shall be
			 considered eligible project costs are those of employees whose activities are
			 related to the day-to-day operation of the system. For employees who do not
			 work full time on transit system operations, only expenses related to that
			 portion of their time spent on transit shall be considered eligible project
			 costs. For urban mass transit services provided by a private provider operating
			 under contract with an eligible applicant, eligible project costs may include
			 profit, return on investment, interest on short term debt obligation, and
			 depreciation of facilities and capital equipment used directly for the
			 provision of urban mass transit services, provided that the facilities and
			 equipment were acquired without benefit of public financial assistance. If a
			 facility is a joint-use facility, depreciation of only that portion of the
			 facility used in the provision of urban mass transit services is an eligible
			 project cost. For shared-ride taxicab services provided by private providers
			 operating under contract with an eligible applicant, eligible project costs may
			 include administrative fees that the eligible applicant incurs in the course of
			 satisfying state and federal requirements.
(2) Eligible project costs may include the
			 costs of user-side subsidies provided to individuals with disabilities. User
			 contributions to the user-side subsidy service are considered eligible project
			 costs in accordance with s.
			 85.20(3m)
			 (b), Stats.
(3) If an eligible applicant contracts for
			 mass transit service with a private provider, it shall execute a formal written
			 contract with the provider. Only costs incurred under a properly executed
			 written contract shall be considered eligible project costs.
(4)
(a) If
			 an eligible applicant contracts with a private provider to operate an urban
			 mass transit system on its behalf, it shall do so using the competitive
			 proposal process set forth in par. (b), and eligible project costs are limited
			 to those costs associated with the proposal accepted by the eligible
			 applicant.
(b) Eligible applicants
			 shall use the following competitive bid process:
1. An eligible applicant shall prepare a
			 "request for proposal" document. The document shall request expressions of
			 interest from providers, and describe essential provider qualifications and
			 criteria for evaluating those qualifications. The eligible applicant shall post
			 the document, along with any ancillary documents, on the department of
			 administration's statewide goods and services electronic purchasing system
			 website. The eligible applicant shall also cause an appropriate notice of the
			 request for proposal to be published in a local newspaper of general
			 circulation.
2. If only one
			 qualified provider expresses interest in providing the urban mass transit
			 service, the eligible applicant may negotiate a contract with that provider.
			 The negotiated contract shall be subject to the department's
			 approval.
3. If 2 or more qualified
			 providers express interest in providing the urban mass transit service, the
			 eligible applicant shall rank each provider on the criteria set forth in the
			 request for proposal.
4. When a
			 publicly owned mass transit system responds to a request for proposal issued by
			 a local public body under subd. 3., the cost proposal shall include an analysis
			 of fully allocated costs if so required by the request for proposal. The
			 analysis shall include all of the system's costs measured in accordance with
			 generally accepted accounting principles, regardless of whether these costs are
			 otherwise paid for through other public financial assistance, including
			 operating subsidies and capital grants. When the public body which owns the
			 mass transit system has prepared a cost allocation plan in accordance with 2
			 CFR 200, costs of the mass transit system shall be allocated in accordance with
			 that plan. When the mass transit system has not prepared a cost allocation plan
			 in accordance with 2 CFR 200, costs which are allocable to the mass transit
			 system shall be determined using the principles outlined in 2 CFR 200. Expenses
			 of the mass transit system shall be allocated to segments of service considered
			 using the following categories:
a. Costs that
			 depend on the number of vehicle hours operated, including particular operators'
			 salaries and fringe benefits.
b.
			 Costs that depend on the number of vehicle miles traveled, including fuel
			 costs, maintenance costs and maintenance personnel salaries and fringe
			 benefits.
c. Costs that depend on
			 the maximum number of vehicles that are in service during the day, including
			 administrative and capital costs.
6. The proposed costs in an awarded bid shall
			 be reduced by an allowance for operating and capital costs subsidized through
			 other state and federal grants.
7.
			 An eligible applicant shall establish an appropriate procedure for resolving
			 bid proposal complaints and conflicts, and shall include the procedure in its
			 request for proposal.
(c) If a local public body contracts for
			 urban mass transit service with a private provider on the basis of negotiated
			 procurement, eligible project costs may include depreciation of facilities and
			 capital equipment used directly for the provision of urban mass transit
			 services, provided that the facilities and equipment were acquired without
			 benefit of public financial assistance. If a facility is a joint-use facility,
			 depreciation only of that portion of the facility used in the provision of
			 urban mass transit services is an eligible project cost.