Transit Agency Intergovernmental Agreements: Common Issues and Solutions (2012)

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I. Introduction, 3 II. State Constitutional and Statutory Enabling Authority, 4 A. Types of Enabling Statutes, 4 B. Purpose of Enabling Laws, 5 C. Duration of IGAs, 5 D. Mutuality of Powers Requirement, 5 E. Applicability of Enabling Acts to Transit Agencies, 7 F. Authorization to Act Beyond an Agency’s Geographical Area, 7 G. Administration of an Agreement, 8 H. Authorized or Required Provisions of an Agreement, 8 I. Approval of an Agreement, 9 J. Use for Joint Procurement, 10 K. Use Authorized by the FTA, 11 III. Transit Agencies’ Use of IGAs and MOUs, 12 IV. Judicial Decisions and Attorney General Opinions Interpreting Enabling Acts and IGAs, 13 A. Introduction, 13 B. Issues Addressed by Judicial and Attorney Generals’ Opinions, 14 V. Checklist for Negotiating and Drafting an IGA or MOU, 18 A. Introduction, 18 B. General Provisions, 18 C. Scope of the Agreement, 19 D. Representations and Warranties, 19 E. Administration, 20 F. Transfer or Assignment of Personnel or Assets, 21 G. Financial Relationship, 21 H. Participants’ Responsibilities, 24 I. Transportation Planning, 26 J. Designing Transit Facilities and Improvements, 27 K. Construction and Maintenance, 28 L. Real Property Issues, 29 M. Compliance with Federal and State Laws, 29 N. Transit Pass Programs, 30 O. Technology, 31 P. Claims, Insurance, Indemnity, and Immunity, 31 Q. Termination and Distribution of Property, 31 R. Dispute Resolution, 32 S. Other Common and Concluding Provisions, 32 CONTENTS VI. Discussion of the Transit Agencies’ Other Responses to the Survey, 33 A. Annual Ridership of Transit Agencies Responding to the Survey, 33 B. Benefits Derived by Transit Agencies Using IGAs and MOUs, 33 C. Issues to Avoid or Resolve When Drafting IGAs and MOUs, 34 D. Lessons Learned with the Use of IGAs and MOUs, 35 VII. Conclusion, 35 Appendix A: List of and Links to IGAs, MOUs, and Similar Agreements, 37 Appendix B: Survey, 50 Appendix C: Transit Agencies Responding to the Survey, 53