Implementation Guidelines - Federal Transit Administration - U.S. ...

consideration. Thus, the more diverse
the needs of the consortium members,
the more difficult this model will be to
implement effectively.
If you believe the separate entity
model is best, you can either create a
new one, or join an existing one. If you
join an existing consortium, remember
that other transportation modes subject
to their own USDOT regulations may
have regulatory requirements that differ
from those of the transit industry. You
must ensure that the consortium will
always comply with the FTA regulations
in all respects. In addition, if the
existing consortium does not provide all
required services, you must make
separate arrangements for those services.
Your system might provide them
internally or purchase them elsewhere.
Forming a new consortium may be
best to ensure that the consortium will be
fully compliant with FTA regulations. If
you pursue this model, you will need to
identify other transit agencies interested
in participating. Your personal network,
state transit association, or state
department of transportation may be
useful in identifying other interested
transit agencies, just as they might be
useful in helping you identify existing
consortia that you might choose to join.
In most cases, establishing a
consortium will require forming a legal
entity. The consortium would probably
operate as a nonprofit corporation. The
consortium would have power to
conduct business, enter into contracts,
and legally represent members according
to a charter and bylaws. A governing
board of the members would be
responsible for supervising the
consortium.
Managing Partner. In a managing
partner model, typically smaller transit
agencies contract for services with a
larger organization that is also subject to
USDOT testing regulations. This could
be a city or county, transit agency, or
school district. The larger organization
utilizes its staff and resources to manage
its own testing program, and
simultaneously provides staff time to the
other entities in administering their
testing programs. This is typically done
on a fee basis, thereby providing an
economic benefit to both the managing
partner and the other member entities.
The larger organization becomes the
managing partner with the responsibility
of ensuring the testing needs of its
smaller partners are met. The managing
partner model could be an option for an
agency that cannot afford their own
professional management of the drug
and alcohol testing program. However,
the smaller agency must be willing to
give up control and may become
overdependent on the managing
partner’s knowledge and expertise.
If you are a small transit operator
with a neighboring large transit system,
the managing partner model may be an
attractive choice. Contact the large
transit operator to determine how that
operator is meeting the drug and alcohol
regulations. Many large agencies have
had their own program for many years,
and they may be able to accommodate
your needs without a lot of effort or
expense.
Chapter 11. Joining a Consortium 11-9 August 2002