PILLAR: Sustainable
AGENDA DATE: March 25, 2026
COUNCIL DISTRICT(S): N/A
DEPARTMENT: Department of Transportation and Public Works
PRIORITY: Transportation
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SUBJECT
Title
Authorize (1) an Interlocal Agreement with Dallas Area Rapid Transit (DART) to establish a six-year General Mobility Program to allow the City of Dallas to receive and utilize funding equivalent to up to 10 percent of DART sales tax revenues for eligible projects that enhance DART’s Public Transportation System or provide Complementary Transportation Services within the City of Dallas; and (2) the receipt and deposit of funds in an estimated amount of $211,061,217.00 in the DART General Mobility Program Fund - Estimated Revenue: DART General Mobility Program Fund $211,061,217.00
Body
BACKGROUND
In early 2026, DART and its thirteen member cities engaged in regional discussions regarding governance, funding allocations, and service delivery. As part of those discussions, DART and its member cities negotiated the terms of an Interlocal Agreement (ILA) establishing a six-year General Mobility Program.
Under the proposed ILA, the City of Dallas is projected to receive approximately $211,061,217.00 over Fiscal Years 2026 through 2031. Fiscal Year 2026 and Fiscal Year 2027 allocations are based on actual sales tax receipts for Fiscal Years 2024 and 2025, respectively. Fiscal Years 2028 through 2031 reflect projections assuming 3.8 percent annual growth.
Eligible projects may include, but are not limited to:
• Planning, engineering, and design
• Construction and right-of-way acquisition
• Street and pedestrian corridor improvements
• Parking and access improvements
• Contracting for complementary transportation services
• Operating costs of DART services within the City
Projects must be submitted to and approved by the DART Board prior to reimbursement. No reimbursement is permitted for expenditures incurred prior to approval.
The City is responsible for project design, construction, maintenance, reporting, and compliance with the terms of the ILA. Semi-annual progress reports are required. Projects must reach substantial completion within 24 months of initial disbursement.
DART General Mobility Program Fund
The ILA includes provisions requiring participating cities to refrain from legislative actions that would impair or reduce the one-cent DART sales tax.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
The City Council was briefed by memorandum regarding this matter on February 20, 2026 <https://dallascityhall.com/government/citymanager/Documents/FY25-26%20Memos/Update%20on%20DART%20Member%20City%20Negotiations_02202026.pdf>.
The Transportation and Infrastructure Committee was briefed by memorandum on this item on March 23, 2026. <https://cityofdallas.legistar.com/View.ashx?M=F&ID=15322628&GUID=225F267D-969A-47A1-B5EE-D677DD79876E>
FISCAL INFORMATION
Estimated Revenue: DART General Mobility Program Fund $211,061,217.00