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A recently awarded $7.2 million federal grant for River Valley Transit will go toward operating expenses over the next three years, making up for revenue lost due to the COVID-19 pandemic, which continues, city officials said.
The grant was part of the federal COVID-19 pandemic response funding awarded through the Federal Transit Administration, said Skip Cochran, River Valley Transit marketing director.
The city was awarded its full apportionment of $7,237,626, Cochran said.
That means it's 100 percent federal share, without any matching funds needed, he said.
Normally, River Valley Transit received half that apportionment, he said.
The grant will provide operating assistance until June 30, 2023, Cochran said.
"We applied for operating assistance only, not capital expenses," he said.
River Valley Transit has been running free to riders since March 21, he said.
It isn't expected to go back to regular fare schedules until July 6, he said.
The operating costs were widespread, including the precautions taken to prevent the virus from spreading.
The losses include salaries, personal protective equipment, professional cleaning service, sanitization barriers for staff, fuel and items having limited shelf life.
The grant also will cover administrative leave for operations employees who are affected due to service reduction or potential exposure to an individual infected with COVID-19 who needs to quarantine, Cochran said.
In addition, River Valley Transit anticipates receiving its state funds of $4.6 million, with a local match needed of $426,204, Cochran said.
Mayor Derek Slaughter reiterated Friday his appreciation for River Valley Transit's workers and for U.S. Sens. Bob Casey, D-Scranton, and Pat Toomey, R-Zionsville, for their assistance in the city obtaining the federal grant.