Mower County's subsidy of its public transit system is expected to drop dramatically this year.

That subsidy -- actually the shortfall between revenues and expenditures -- was $104,625 in 2001.

Although final figures are incomplete for 2002, the shortfall dropped to $66,445.

Next year, that figure is expected to be $15,674.

Bruce Henricks, the director of Mower County Department of Human Services, updated the county board of commissioners on the Mower County Transit program Tuesday.

A year ago, the county awarded administration of the public transit program to the Freeborn County Community Action Program. It was done, in part, as a result of anticipated "huge expenses" if the MCT employees were to become county employees and, therefore, covered by the county's group health insurance program.

According to Henricks' report to the county commissioners, the public transit service is dependent, in large part, upon the grant monies it receives.

Submitting another application for renewal of a Minnesota Department of Transportation grant was the reason he sought the county board's approval Tuesday.

The program's revenues were $509,207 in 2001 and an estimated $550,742 in 2002. "In 2003, we project them to be $611,242," Henricks said.

MCT expects to earn $209,500 from fares and system revenues, plus another $62,500 from Apex Austin in route guarantees for workers at Hormel Foods Corporation and Quality Pork Processors, Inc.

Jefferson Lines will pay MCT $11,000 to rent office space at the program's headquarters and bus terminal in the former Austin School Administration building along 4th Avenue N.E.

Another $50,259 in property tax aid will help the program's revenues to grow further.

However, a state MnDOT grant in the amount of $266,466 and a federal grant in the amount of $11,515 will provide nearly 50 percent of the total anticipated revenues.

According to Henricks, expenditures were $613,832 in 2001 and rose to $617,187 in 2002.

This year, they will grow to $626,916.

Henricks reported passenger trips continue their decline from 75,798 in 2001 to 66,166 in 2002, but are anticipated at 66,424 in 2003.

"The switch to a route system had something to do with that last year," he said.

System hours of operation have increased from 15,331 in 2001 to 21,500 in 2002 to an anticipated 22,400 in 2003.

Freeborn Mower Community Action Program will be paid $36,250 this year to administer the program.

The commissioners unanimously approved Henricks' request to submit another application for continued grant money from MnDOT.

There was no discussion of the county's application for grant money to purchase the Usem's Inc. building in downtown Austin.

The grant application remains "active" after the county board's year-ending endorsement of the request.

Previously, the county commissioners had announced plans to locate the MCT's administrative headquarters in the Usem's facility, where a garage with mechanical shop and other support facilities would also be located.

In addition, the county has considered moving offices, who transact a lot of their daily business at the Mower County government center. That could include the DHS's child protection services among others.

Lee Bonorden can be contacted at 434-2232 or by e-mail at

lee.bonorden@austindailyherald.com