Proposal to the Manitou Springs City Council

As a member of the Pikes Peak Rural Transportation Authority (PPRTA), the City of Manitou Springs has experienced a cumulative financial deficit, where the PPRTA sales tax revenue generated within the City is less than the amount Manitou Springs has directly received from the PPRTA for capital projects and maintenance over the first 18 years of the PPRTA’s existence. To address this situation, the PPRTA Board of Directors, via informal individual conversations, is proposing the following elements (subject to formal approval by the Board):

1. A one-time payment of Capital funds from the PPRTA’s Capital reserve account in the amount of $600,000 to address the cumulative financial deficit and to be spent on Manitou’s eligible PPRTA-2 Capital projects, especially Hiawatha Garden’s transit center.
2. A commitment by the Board to study options for revising a) Board practice or b) the 5th Amended and Restated Intergovernmental Agreement between the member entities to address the annual situations when the City of Manitou Springs experiences a financial deficit.
3. There is no need to revisit the voting structure on the Board of Directors, as there have only been three or so close votes on the Board in the PPRTA’s 18 years of existence.

Board Secretary

/s/

Rick Sonnenburg
June 8, 2023