Atlanta

Audit Suggests MARTA May Have Overbilled Atlanta by $70 Million, Discrepancies Disputed

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Published on August 20, 2024
Audit Suggests MARTA May Have Overbilled Atlanta by $70 Million, Discrepancies DisputedSource: Wikipedia/R32s on the E Train, CC BY-SA 4.0, via Wikimedia Commons

An independent audit has unearthed financial discrepancies involving the Metropolitan Atlanta Rapid Transit Authority (MARTA), suggesting the agency may have overcharged the City of Atlanta by as much as $70 million for bus and other services under the "More MARTA" expansion program. FOX 5 Atlanta reported that the audit, led by firm Mauldin & Jenkins, revealed the overcharges occurred between 2017 and 2022, a period during which MARTA provided expanded bus and train services following a voter-approved sales tax increase.

Details uncovered by the audit indicate that MARTA has acknowledged "errors" resulting in over $20 million in overcharges, yet disputes the larger sum of $40 million claimed for the years 2017 through 2019. Responding to these assertions, a MARTA spokesperson stated, "Mauldin & Jenkins’ calculations are wrong," according to FOX 5. They cited a flawed methodology of applying a "COVID-based formula" to pre-pandemic service years, leading to alleged inaccuracies.

Meanwhile, the Atlanta Journal-Constitution reported further details on the audit's findings, highlighting the discrepancies in bus service levels charged for versus those actually provided. The AJC's investigation revealed that while the transit service did increase bus hours and frequency, it did not align with the levels for which MARTA charged the city. Another point of contention lies in documentation or the lack thereof; the auditors could not find evidence supporting that MARTA repaid the overstatements totaling $10.6 million, and less clarity is present around the remaining unaccounted $44.1 million from the initial overcharge period.

Amidst the financial back and forth, Atlanta Mayor Andre Dickens emphasized taxpayers' entitlement to proper fiscal management, telling the AJC, "I want to make sure that we get everything that the City of Atlanta taxpayers deserve." In addition, Council President Doug Shipman expressed concerns about MARTA's record-keeping and the overall integrity of the expansion program's implementation.

The findings have prompted calls for improved transparency and accountability within MARTA's operations, as well as revision and formal approval of the project list initial drafted for the More MARTA program. The audit recommended that deliberations proceed to reconcile the financial mismatches and to clarify the sequence and scope of capital projects moving forward. Despite the ongoing dispute over the sum owed, both the city and MARTA officials recognize the need to restore public confidence and are scheduled to meet to align on a path forward that ensures the integrity of the More MARTA Atlanta Program.

Atlanta-Transportation & Infrastructure