The Bloomington city council’s approval of a local income tax increase earlier this year, which is supposed to earmark about $4 million a year to support public transit, is already reflected in the first draft of Bloomington Transit’s 2023 budget.
Bloomington Transit board members reviewed the draft budget at their regular meeting on Tuesday.
The $34 million that is proposed to be spent in 2023 is more than double the $15 million approved for this year’s budget.
Most of the increase is due to the capital cost of buying 18 new buses—four replacements, eight for expanded service, and six for increased frequency. All of those buses would be battery-electric vehicles.
Some of the increase is due to factors that are not unique to Bloomington. The line item for fuel, in the supplies category, will be increasing from $877,500 to $1,472,500. Right now, diesel fuel costs $4.30 per gallon. That stacks up against the 2022 budgeted amount of $2.75 per gallon. So given the market uncertainty, the draft 2023 budget has allowed $5.25 per gallon for diesel fuel.
Two key questions came from BT board member Kent McDaniel, who on Wednesday was re-appointed to the board by the Bloomington city council: How will BT pay for all those buses, and where will they be stored? Continue reading “Booming Bloomington Transit budget in 2023: Will more than double, from $15M to $34M”