The Plano City Council has unanimously rescinded the withdrawal election from Dallas Area Rapid Transit – locking the city into another six years with the agency.

The Plano council voted 8-0 to cancel the DART withdrawal election scheduled for May 2, backtracking on earlier demands for the people to decide their future with the agency.

Member cities may opt out only once every 6 years, so Plano’s next chance will be in 2032.

“The hard work, my opinion, is over, but the real work still lies ahead of us,” said DART Board Chair Randall Bryant in the meeting. “We’ve come to some great compromises and solutions for governance and funding – obviously services, that third pillar, that we still need to work through.”

In the same meeting, the council unanimously approved resolutions for funding and governance reform – for DART to return sales tax revenue through a new General Mobility Program, and to increase member city representation on the DART Board of Directors. 

Members also approved nearly $28 million for a new “microtransit” plan in Plano, and took back an earlier resolution to cap the city’s DART sales tax contributions.

Mayor John Muns thanked council members, Bryant, and the Regional Transportation Council of the North Central Texas Council of Governments.

“Thank you, DART chairman,” Muns said. “You set a new tone and worked with us to achieve this agreement. You’ve demonstrated yourself to be an honest broker and an agent of reform. Our expectations in the next six years are high, but we look forward to working with you and the agency in this renewed partnership to better serve the mobility needs of Plano.”

Muns previously told The Dallas Express the council would likely cancel the DART withdrawal election, should member cities and the agency reach appropriate agreements for reform. 

DART member cities had been growing increasingly frustrated with the agency’s funding and governance, as The Dallas Express previously reported. 

This led six member cities – Plano, Addison, Farmers Branch, Highland Park, University Park, and Irving – to call DART withdrawal elections on May 2, which would let voters decide whether to keep funding the agency or withdraw to pursue other options. 

The agency has been negotiating with cities ahead of their March 18 deadline to cancel these elections. DART vowed not take on new debt until the November elections, and the agency announced on February 20 that the board approved a new General Mobility Program to unify member cities. 

The Addison City Council is expected to vote on canceling its DART withdrawal election on February 24, and other cities may follow.

Funding Reform

The Plano council approved a new General Mobility Program by an 8-0 vote, under which DART would return an increasing amount of sales tax revenue. 

Under the existing structure, Plano gave $109.6 million to DART but only received back $44.6 million in services, according to a 2023 study obtained by The Dallas Express. Meanwhile, Dallas gave $407.8 million and received $690.5 million in return. This prompted concerns from suburban officials about funding fairness.

But under the new agreement, DART would send back 5% sales tax revenue to Plano in the first year, according to city Director of Policy Andrew Fortune. This would grow until 2031, with a minimum of 10%.

“There’s also language in the interlocal agreement to address new revenue opportunities,” Fortune said. “So shared goals, going to the legislature, and seeking other revenue options would first fill up the buckets for cities, ideally to bring that revenue back to cities for transportation mobility up to 25%.”

In exchange, the cities would agree to stop any legislative efforts that could reduce or impair DART’s 1% sales tax revenue, according to Fortune. As The Dallas Express reported, then-DART Board Chair Gary Slagel offered an earlier GMP to member cities with similar strings attached.

“This term would expire, as I mentioned, in 2031, and at that point it would allow for a future council in any of the DART cities to consider a withdrawal election in 2032, should they wish to at that time,” Fortune said.

The NCTCOG RTC also recently approved nearly $75 million to help DART’s new GMP send funding back to member cities. Fortune compared the old GMP to the new option, which he said was more favorable.

Governance Reform

The Plano council also passed a measure by 8-0 to reform the DART board’s makeup.

DART’s current governance structure dates back to 1983, according to Fortune. As The Dallas Express reported, the board gives Dallas a strong majority, while some member cities share a single seat.

“I believe there’s a shared sentiment among the cities,” Fortune said.

He pointed to Dallas’ recent adoption of a measure to reduce its share on the DART board to just 40-50% and give a seat to every member city. 

“You have to go to the legislature to actually make any true reforms,” Fortune said. “We have a resolution tonight with some shared language thoughtfully worked out among the member cities, including that each DART member city shall have at least one seat on the board.”

The council also voted 8-0 to repeal an earlier resolution on capping Plano’s sales tax contributions to DART. 

Microtransit Options

While Plano officials had initially touted other transit systems as alternatives to DART, they approved funding 7-1 for other “microtransit” systems in addition to the agency.

Specifically, they approved more than $3.95 million for the first six months, and $8 million per year – renewing every year for three years, totaling just shy of $28 million – likely named “Plano Rides.”

“The item before you is a ‘not to exceed’ amount. It means that we can scale that down,” Fortune said. “This all originated with concerns surrounding equity, but also service gaps in service – service areas that could be improved upon.”

Other member cities will soon decide if negotiations with the agency were enough to cancel withdrawals.