Written by: Joe B Kent

Where is the MATA money? The Memphis City Council has canceled the MATA budget hearing twice. So, what is up? Before we beat up exclusively on the Memphis Area Transit Authority (MATA) administration, a whole bunch of other folks need to also answer questions regarding public money.

Hopefully, the Mauldin MATA administration will be overtly transparent, for their own benefit. And the good news is that is starting to happen, as was the case with the production of monthly financials at the MATA Board of Commissioners meeting on 5/21/24 (MATA Board).

Pictured above is Memphis Mayor Paul Young, Congressman Steve Cohen, Butch Eley, Deputy Governor and TN Department of Transportation Commissioner, Michael Hooks, CEO of Allworld and Michael Fulton Chair of the MATA Board of Commissioners and. Fulton worked for 10 years in Congressman Steve Cohen's office and now Director of Government Affairs at Memphis International Airport. The airport has no problems pulling down federal funds. So why should MATA?

Again, the central question is where is the MATA money? All the announced MATA public money is not hitting MATA books. And this revenue shortfall coincides with a MATA approved $5.9M Allworld consulting contract.

Where is the money? MATA's non-operating revenue has precipitously fallen since 2021 from $77M in 2021 to $33M YTD in 2024. Cumulatively, from 2021, that is down $78M in a majority black Memphis community in need, coupled with a challenged public transit system. MATA's financials state, "MATA is economically dependent upon federal, state and local government grants, subsidies and capital contributions to finance its operations and its capital expenditures." So where is the money (Comptroller)?

Where is the money from the endless listing of Congressman Steve Cohen's multi-million-dollar MATA post COVID funding announcements over the past few years? Seems like if Cohen can't tell us, MATA's Board Chair, Michael Fulton, who formerly worked for Cohen could find where the money is.

Or perhaps Michael Hooks might know where the money is, given Allworld's $5.9M MATA consulting gig from 2021. Then there is TDOT Commissioner Butch Eley. Eley might know where any forthcoming state funding might reside.  

And finally, then there is Mayor Paul Young. Where is the $20M MATA City loan funding? $20M in MATA loan funding was City Council approved on 11/21/23 but hasn't hit MATA books as of 3/31/24. So where is the money ?

Questions for MATA Administration

The below questions are meant to educate and inform the public. The questions are not punitive against the MATA administration, as MATA performance in large part, beyond funding announcements, is linked to the actual receipt of public funds.

1. Cancellation of $5.8M Ticket Vending Contract

First, thank you MATA CEO Bacarra Mauldin for cancelling the $5.8M ticket vending contract. Based on press accounts, you just became aware of MATA's financial condition. On 2/27/24, without any financial visibility, what were the drivers behind any consideration of a $3.4M addition to an Allworld consulting and a new $5.8M Flowbird ticket vending contract?

2. Schedule of Federal and State Funding

Ms. Mauldin, can you please produce an exhaustive schedule of the Federal MATA award amounts, funding amount received, dates of and funding amounts to be received and the same for State of TN funds?

3. City Loan Proceeds

Ms. Mauldin, has MATA received the $20M in loan proceeds from the City and if so, when were the proceeds received and when will the loan be paid back?

4. Average Unlinked Passenger Trip Costs

Ms. Mauldin, this question goes to network efficiency. Can you please provide your average unlinked passenger trip costs for each of your individual fixed bus routes?

5. Federal Triennial Audit Review

Ms. Mauldin, when will the Federal Triennial audit review be available to the public?

6. Bus Rapid Transit Routes

Ms. Mauldin, when will each of the Bus Rapid Transit routes be operational?

7. Fixed Route Operator Salaries

Ms. Mauldin, before you took the helm, do you have any idea or know anyone who does have thoughts on how the FY24 budget was developed for fixed route operator salaries? There does not appear to be any relationship between operator actual and budget, with actual expenditures 2x of budget throughout FY24.

Knowing where the public money is fundamental to supporting public transit. Hopefully, the City Council will see it fit to have these questions publicly answered to help further public transit. Besides, if MATA is transparent, run efficiently and scheduled funding is received, it's likely that public transit won't cost $30M more locally per year as previously believed

Comptroller. MATA FY21 Financials

Comptroller. MATA FY22 Financials

Cohen, Steve. Press Releases

Congressman Steve Cohen. Congressman Cohen Applauds Naming Fulton Chairman of MATA Board, 2/20/24

MATA Board of Commissioners. 5/21/24 Meeting Agenda Packet