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Phoenix transit figures incorrect for 6 years

• Arizona Republic

The Phoenix Public Transit Department misreported to the federal government the administrative costs of managing transit service for six consecutive years, a review of records by The Arizona Republic found.

In fiscal year 2009-10, for example, Phoenix reported its administrative overhead at $45 million, or 26 percent of its total operations costs of $174 million. The Republic examined budgets, payroll forms, contracts, audits and federal forms and determined the actual administrative cost was $27 million, or 16 percent of operations costs. The Phoenix Public Transit Department confirmed the amount, saying it had miscategorized some costs for that year and the five previous ones because of a clerical error.


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