CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
title
Adopt the resolution authorizing dissolution of the West Suburban Mass Transit District
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DEPARTMENT: Transportation, Engineering and Development
SUBMITTED BY: Jennifer Louden, Deputy Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
The West Suburban Mass Transit District was formed in the early 1970s, under the provisions of the Illinois Mass Transit District Act, by ten of the municipalities with commuter service along the Burlington Northern Santa Fe Railroad: Berwyn, Riverside, Brookfield, LaGrange, Western Springs, Hinsdale, Clarendon Hills, Westmont, Lisle and Naperville. For most of the life of the district, commuter rail service has been provided by the BNSF through a purchase of service agreement with Metra.
While the district has never been responsible for the operation of the commuter service, it has been instrumental in contributing to the quality of service. The district obtained federal and state grants that were used to purchase locomotive and rolling stock used along the BNSF and applied to improvements at the member community stations. For example, the City of Naperville has used funding from the district to make station improvements, expand vehicle parking and construct bicycle parking shelters.
DISCUSSION:
The West Suburban Mass Transit District no longer owns any equipment; all pieces were sold as the equipment aged to avoid maintenance and storage costs. All funds obtained by the district through grants and sale of equipment have been substantially exhausted through improvements at member community stations. As the district is not responsible for providing commuter service, and the funds have been exhausted, the Board of Trustees has determined that the district should be terminated. The Board unanimously approved a resolution authorizing dissolution on October 21, 2020.
The Illinois Mass Transit District Act requires the member communities to authorize the dissolution of the district. The Board of Trustees has requested that the member communities take the necessary action such that the business of the district can be concluded by December 31, 2020 to limit any other costs incurred by operating the district. A resolution authorizing dissolution of the West Suburban Mass Transit District is attached.
FISCAL IMPACT:
The district is providing each member community a grant of $6,500 to be used for capital expenses. In addition, the member communities will receive a disbursement of any district funds remaining following payment of the district’s debts and settlements of all obligations. The City of Naperville’s disbursement is estimated to be less than $4,000. All funds received will be deposited into the Commuter Fund.