A new bus maintenance yard is to replace one on Jackson Street in the city of Napa. Transportation officials say the present yard is too small and won’t allow such upgrades as moving to a zero-emissions bus fleet.
“The maintenance facility is the operational backbone of the Vine Transit System,” an agency report said.
The NVTA plans to take out a 35-year, $19.9 million federal loan and 10-year, $5 million Bank of Marin loan. Paying off both loans would with principal and interest combined would cost $32.7 million. Annual debt payments would reach about $963,000, the report said.
Repayment money is to come from local transportation funds and, if needed, fare box money. Local transportation funds received annually from the state are more than 10 times the amount needed to cover the loans, said a Napa County report analyzing the borrowing.
“From staff’s point of view, the risk of default is extremely low,” Onorato told the NVTA Board of Directors on July 21.
One possibility is that $20 million in Regional Measure 3 toll money could come to the NVTA, if a court case challenging the toll hike fails. That would allow the agency to reduce its borrowing by the same amount.
The loans came with more than 250 pages of paperwork for board members to review.