MARTA owes $70 million to taxpayers

MARTA’s Midtown station is one of two train stations located walking distance from Tech’s campus. MARTA also has several bus stations around campus for students to use. // Photo courtesy of Tyler Parker Student Publications

A new audit shows that riders have been overcharged for bus and operational services provided by Metropolitan Atlanta Rapid Transit Authority (MARTA) through their expansion program, “More MARTA”. The Atlanta bus and train service now owes Atlanta taxpayers $70 million.  

MARTA’s expansion through “More MARTA” was approved in 2016 in a referendum by voters who agreed to pay a 0.5% sales tax for the additional services that MARTA would provide, according to the Atlanta Journal-Constitution. 

MARTA services 500,000 passengers daily across the metro Atlanta area and has two train stations walkable from Tech’s campus, as well as several bus stations.

In June 2023, the city of Atlanta hired audit firm Mauldin & Jenkins (M&J) to conduct a full probe into alleged overspending from “More MARTA,” which several Atlanta city council members had previously expressed concern over. 

The audit was completed in late August by M&J, and it unveiled that MARTA had been charging more for services than were actually provided, specifically during the first six years of the “More MARTA” program. 

MARTA admitted that there was a $9.9 million overcharge in 2022 and has agreed to repay this amount. However, the agency has disputed the remaining sum of the $70 million that the audit alleges they owe taxpayers. 

“The City should work with MARTA to resolve the disagreement between MARTA’s original More MARTA Atlanta program Operational Programs cost allocation calculations for FY20 and FY21, which still appear in MARTA’s financial reports and MARTA’s revised cost allocation calculations for FY20 and FY21,” the audit from M&J reports.

The audit also listed 10 observations and several recommendations for MARTA and the city of Atlanta to implement, including a recommendation to better the communication lines between MARTA and the city of Atlanta.

“The City has multiple points of contact with MARTA (City Council, Office of the Mayor, Atlanta Department of Transportation (“ATLDOT”), etc.) and does not maintain internal formal processes for ensuring that all relevant parties are updated about relevant communications with MARTA,” the audit states. 

According to a press release from Atlanta mayor Andre Dickens’ office  “… the auditor makes ten recommendations, and the City of Atlanta agrees with all ten.” 

Of these 10 observations, MARTA agrees with most parts of the recommendation but has taken some issue with the calculations made by M&J. 

Despite the disagreement over the money owed by MARTA, M&J finds that “… both organizations are committed to a strong sense of collaboration and transparency and are ready to ‘reset’ the relationship.”

General Manager and Chief Executive Officer of MARTA, Collie Greenwood, issued a memorandum on Aug. 18 claiming that the methodology and results of M&J are flawed.

“​​The method presented by Mauldin & Jenkins appears to have arbitrarily reduced the percentage attributable to More MARTA City of Atlanta in FY 2017 through 2019 by incorrectly applying a COVID-based essential service allocation methodology to pre-COVID service planning and delivery,” Greenwood said in a statement.

The audit from M&J found that More MARTA sometimes dropped to a lower service quality than before its implementation according to the metrics of Vehicle Revenue Hours (VRH) and Vehicle Revenue Miles (VRM). Nevertheless, bus service was collectively enhanced over the seven years following the approval of More MARTA.

“While the More MARTA Atlanta program’s total bus service enhancement levels did drop below the Baseline level for several Markups, the program has consistently met its goal of providing additional service on weekends,” the audit from M&J reports. “MARTA’s current target of providing service at August 2021 levels represents a significant enhancement over the baseline level of service provided prior to the implementation of the More MARTA Atlanta program’s bus service enhancements.”

Atlanta native and first-year ISyE student Vadym Nahornyi feels that MARTA is still doing its job efficiently and that the taxpayer money is worthwhile.

“Though not perfect, public transportation and its improvement should be one of our main goals of improvement for the city of Atlanta,” Nahornyi said.

Matan Avissar, a first-year INTA student who completed an internship on public transit and walkability in Atlanta, feels that the audit points to MARTA’s institutional problems.

“MARTA has failed to keep their transportation services safe and accountable with taxpayer dollars; there is a lack of security and consistency with the train service,” Avissar said. “However, it is still usable when needed.”

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