Transcript Innovations in Transit Planning and Financing

Innovations in
Transit Planning
and Financing
Presentation to the
2003 MPO Conference,
Muncie IN
October 16, 2003
Introduction

In 1985 there was no public transit
service in Elkhart or Goshen

TODAY, Elkhart and Goshen have
demand response service, which
operates 7 days a week, 24 hours a day
and is open to the general public and is
ADA accessible!
Introduction

AND bus service with four fixed routes,
using left-equipped buses, daily and
Saturday

HOW did this happen?
Transit Barriers - 1985

No pre-existing transit agency for public
buyout

No municipal tax base for transit

No source of federal, state, local funds
for start up capital purchases
Transit Barriers - 1985

Only a small annual apportionment

Insufficient state and local matching dollars
to start-up and sustain a bus system
What Did We Do?

Evaluated the need for transit

Enlisted the aid of Mayors and an Advisory
Committee

Evaluated methods of delivery

Decided to implement a demand-response
User-Side Subsidy program
User Side Subsidy vs Fixed
Route
 User-side subsidy format and contract
with cab operators provided a readymade fleet using a private sector
community resource.
 The service format addressed the
broadest service timeframe – 24 hours
7 days per week.
User Side Subsidy vs Fixed
Route
 The user side subsidy format only cost
the system when a rider actually took a
ride, thereby extending the systems
efficiency
 Low administrative costs
User Side Subsidy vs Fixed
Route
 The service was immediately available
for the general public and ADA riders
with virtually no start up cost.
 Program costs controlled with
established rate for fares and subsidies.
Available Resources
Experienced Taxi Cab companies in
Elkhart
 Social Service Agencies providing client
transit services
 Cooperative Mayors to commit local
funds
 FTA and INDOT funding

User-Side Subsidy Format

Request for operators is conducted
annually

Up to six operators may be contracted
to participate in providing service to
registered riders
User-Side Subsidy Format

All riders must register at one of 8
locations in Elkhart and Goshen

Riders must present a picture ID and a
voucher punch card when riding in
order to receive the ½ off discount.
User-Side Subsidy Format

The rider pays half of the fare to the
cab operator and the other half is
reimbursed via a billing process by
MACOG to the cab company
What was Implemented?
Heart City Rider
began in 1986
 Serves the City of
Elkhart
 Also makes InterCity trips to
Goshen

Goshen Transit
Service began
in 1989
 Serves City of
Goshen
 Makes Inter City
trips to Elkhart

Demand Response Fleet
Taxis
 39 taxis owned
by service
provider
 ADA Accessible
 7 accessible
minivans


Service available
to the general
public
 24 hours per
day
 7 days a week
 All Holidays
Registration Process

Persons register at one of eight sites (located
at cooperating social service agencies)

Must show picture ID, then issued a
numbered user card, good for 20 trips

A matching registration card is forwarded to
MACOG
Administrative Process

Each user id and rider information is input
into a computer database

Each ride results in a voucher that enables
MACOG to track 100% of ridership for FTA
National Transit Database

Monthly reports and annual reports
generated from the same database.
Fare Structure
Heart City Rider / Goshen Transit Service

Ambulatory: $3.00 first mile, $2.40
each additional mile


Program pays ½ the cost of cab fare
up to $3.00 per one way trip
Persons using Wheelchairs: $12 first
three miles, $1.40 each additional mile

Up to $9.60 of fare paid by the
program
Fare Structure
Heart City Rider / Goshen Transit Service
Ride Share and split the fare:
 Second adult(or child) free
 Additional adults 40 each
 Additional child 20 each
 Example:
If 4 people share a trip with
total fare of $5.00, each can pay only
$1.25.
Serves a Broad Range of Needs

Service 24 hours per day 7days per
week, accommodates all shifts and
weekends
• Addresses welfare to work problems
with daycare and job site proximity
• Three minute wait rule
• Driver assists with up to two packages
Serves a Broad Range of Needs
•Accessible to disabled and
general public in one service
•Half the cost of cab fare
•Requirement to ride
•Ride Sharing incentives
•Curb to curb service
HCR/GTS Ridership
1986-1996
200,000
180,000
160,000
140,000
120,000
100,000
80,000
60,000
40,000
20,000
0
1986 1998 1990 1992 1994 1996 1998 2000 2002
HCR/GTS 2003 Ridership
HCR marked over 2 million passenger trips
 GTS ridership surpassed the 300,000
passenger trip mark


HCR Productivity Measures:



Avg. passenger trip is 2.5 miles
Avg. cost to the rider per trip is $2.65
Avg. cost to HCR program per passenger
trip is $2.93, for a total trip cost of $5.58
Funding Demand Response

Revenue Sources





FTA Section 5307
INDOT PMTF
City of Elkhart
City of Goshen
Passenger Fares
44% fare recovery
rate !
2002 Funding
Sources
FTA
PMTF
Cities
Fares
Other
Fixed Route Comes on Board

In response to demand for more transit
service, a fixed route bus system was
established in Elkhart and Goshen in 1999

After more than 20 years of service, now
HCR and GTS not only fulfill the general
public and paratransit need for ADA but also
provide the required complementary service
to fixed route bus system
Innovative Financing:
Fixed routes in a small urban area

Trustee local funds paid for one
route from 1986 thru present

Cooperative Agreement with
Concord Township Trustee,
leveraging local funds as a
match to FTA funding

RFP and contract with
established private bus
operator

Federal, State and local
partners
The BUS

Two route system began October
1999


The existing Concord Township route
serves the west side of Elkhart and
has since 1986 – funded 100% local
The MACOG route added an intercity
route between Elkhart and Goshen
2002 Fixed Route
Revenue Sources
Fares
FTA
PMTF
Concord
Cities
Fixed Route Ridership
90,000
80,000
70,000
60,000
50,000
40,000
30,000
20,000
10,000
0
1999
2000
2001
2002
Route Expansion add two
more routes – May 2003

$300,000 in CMAQ
funds flexed from
highway to transit to
support expansion


Added cross town
route in Elkhart
Added cross town
route in Goshen,
using vintage trolley
Current Bus Routes
How Can this Work for You?
 Identify
your private sector
and community resources:
Who has vehicles? Develop a fleet
inventory for your community
 Look for contracting opportunities
 Are there existing partners that can be
used to leverage funds?

How Can this Work for You?

Replace or enhance costly late night fixed
routes with a user-side subsidy format

Consider the impending mobility needs of
a growing elderly population NOW!

Work with Trustees, Commissioners,
Mayors and others to identify alternative
funding