FTA to Release Nearly $600,000 in Funding

POUGHKEEPSIE – After the City of Poughkeepsie Common Council voted to lease its bus assets to Dutchess County in accordance with the terms of a consolidation agreement overseen by the Federal Transit Administration (FTA), Representative Sean Patrick Maloney (NY-18) sent a letter to the FTA requesting that they immediately unfreeze $595,000 in funds owed to the city by the FTA for its operation of bus service in 2015-2016. The FTA had previously frozen these funds because the City missed a deadline to transfer the buses to Dutchess County.

“The Common Council has voted to resolve this issue, and now the FTA needs to free up the money they owe the city,” said Rep. Maloney, a member of the House Committee on Transportation and Infrastructure. “We obviously appreciate the fact that FTA has worked with the City on this, and now we just want to make sure everything ends up the right way and that the City gets the money its owed.”

“We’re not out of the woods yet, but we’re all working together to make sure we get this taken care of to protect Poughkeepsie taxpayers from a massive fine,” said Poughkeepsie Mayor Rob Rolison. “We appreciate the fact that Rep. Maloney is nudging the FTA in the right direction and we’re confident this solution makes sense for everyone.”

Maloney wrote: I’m writing today to inform you that the City of Poughkeepsie Common Council voted on Monday, December 5th to lease its bus assets to Dutchess County as required by the conditions of consolidation set by the Federal Transit Administration (FTA). I appreciate your willingness to postpone the initial deadline, and your cooperation to ensure this issue is resolved swiftly without saddling the taxpayers of the City with a $1.6 million penalty.

In light of Monday’s Common Council vote on this issue, I request that you release the nearly $600,000 in frozen reimbursement funds owed to the city for its operation of the bus system in 2015-2016. I also believe this should protect the city from incurring the $1.6 million penalty.

I appreciate your immediate attention to this issue, and offer my services if you require additional clarification or assistance.