FY 2020 Tentative HART Budget Revenue Overview HART

FY 2020 Tentative HART Budget – Revenue Overview HART Finance and Audit Committee June 17, 2019

Presentation Highlights • Budgetary priorities for FY 2020 • Existing service revenue projections • Sales tax revenue projections • Preliminary expenditure planning • Next Steps

Budgetary Priorities for FY 2020 Stewardship of Sales Tax Revenue Innovative Mobility Solutions Capital Program Development Balanced FY 2020 Budget Service Enhancements Cash Flow and Reserves Increases in Cost of Doing Business

FY 2020 Operating Revenues (without sales tax) • $2, 800, 000 net increase in FY 2020 budget • 9% growth in Ad Valorem - $4, 000 • Modest 3% fare revenue increase - $335, 000 • State grant revenues net decrease: $411, 000 ØLoss of Route 48 funding $293, 000 ØLoss of Route 275 LX funding $1, 093, 000 ØAward of Uptown on-demand service funding $270, 000 ØAward of Downtown on-demand service funding $615, 000 ØIncrease in Block Grant $90, 000 • Local contributions decrease $1, 475, 000 ØLoss of County support for Mission Max routes $2, 300, 000 ØCounty and PPP support of Uptown on-demand service $825, 000 4

FY 2020 Operating Revenues (without sales tax) * net of dropping $3 M+ increase to fund balance *net of $3 M contribution to fund balance $81, 724, 589 5

New Sales Tax Revenue 30 -Year Capacity • Collection initiated in January; HART received first distribution in April • Collections to date: $28 million • Held in reserves until CY 2020 • Total estimated 30 -year sales tax collections (all jurisdictions): • $14. 6 billion • 30 -Year estimated capacity of HART’s 45% allocation: • $6. 5 billion • Average growth rate of 3. 27% annually Note: estimates based HART PRAG analysis and align with earlier MPO LTRP estimates

New Sales Tax Revenue 30 -Year Capacity • 30 -year estimates by Charter allocations: • 45% for Enhancing Bus Service: • $2. 9 billion • 35% for Fixed-Guideway: • $2. 3 billion • 20% for Any Project to Improve Public Transportation: • $1. 3 billion

FY 2020 New Sales Tax Revenue • Sales tax: • Annual State forecast: • $135. 9 million • Currently trending: • $124. 2 million • Estimated Annual Interest earnings: • $2 million • FY 2020 Budget will include FY 2019 full year collections; 9 months of CY 2020 collections due to revenue on a Calendar Year basis Fiscal Year Enhancing Bus Service 45% Expanding Public Transit Options (FG) 35% Remaining Funds – Improvement of Public Transportation 20% Total 2019 $55. 89 M $43. 47 M $24. 84 M $124. 2 M 2020 (9 months) $42. 49 M $33. 82 M $19. 33 M $96. 65 M

FY 2020 New Sales Tax Revenue Total FY 2020 Budgeted Revenue $220, 875, 131 * net of dropping $3 M+ increase to fund balance 9

FY 2020 Preliminary Sales Tax Centric Expenditures • IOC Program of Projects due prior to September, 2019 • Board will consider in August • Basis for budgeting expenditures supported by sales tax revenue in FY 2020 Preliminary Sales Tax Centric Expenditures Operating FY 2018/FY 2019 Hillsborough County Funded Service (7 current routes) FDOT defunded 275 LX Mobility circulator services (Downtowner/Uptowner/Westshore) Advance and support of 5 -year TDP (enhancement of 8 routes; 1, 129, 054 additional miles) Rail corridor and fixed-guideway studies Capital State of Good Repair back-log Facilities/real property acquisition * net of dropping $3 M+ increase to fund balance Fixed-Route CNG buses Proterra electric buses and infrastructure Farebox replacement (to compliment Flamingo deployment) Bus shelter infrastructure Paratransit vans Non-revenue vehicles 10

Next Steps • July 1 st – Final Certification of property values provided by Property Appraiser • July 15 th – Board to consider Tentative FY 2020 millage rate • August 5 th – Board to consider IOC Program of Projects • August 19 th – F&A Committee to consider Preliminary FY 2020 Operating and Capital Budgets • September (TBD) - Public Hearings on Fiscal Year 2020 Millage Rate And Annual Budget