Imperatives

1. Imperatives How to best … • Reduce traffic congestion? • Move non-drivers? • Attract new jobs? Note to reader: these slides follow the six pages of narrative titled “TF Testimony”

2. Three Concerns • 60-year old business model under-performs • Massive annual losses divert scarce tax dollars from other needs • More government vs. home rule

3. "We have a business model that is failing. You can't continue to run red ink and not make changes.” US Postmaster General Patrick Donahoe, Dec, 2011

4. A Tale of Two CitiesMaking It Work: More Transit, or Increased Regional Density Provide More Transit Must Condemn 57% of 1990 built-up area for Residentialuse thru 2040 to achieve pop. density For 60% of ‘02 pop. to be within .4 mi. of a station

5. 3% Train + 2% Bus = 5% transit

6. Operating Expenses = 5 x Revenue 2007 2006 . (382,942) (348,297) Non-Operating revenue includes Fulton & DeKalb sales tax, use of capital funds, and federal grants MARTA 2010 Comprehensive Annual Financial Report, p. 5

7. MARTA BoardingsUnlinked + 20% + 10% 0 - 10% - 20% 10-County Population Train, -6% Bus, -17% 2001 2005 2010 Ref: MARTA 2010 Comprehensive Annual Financial Report, p 71 U.S. Census data

9. Funding Sources HIGHWAY 19% User1 81% Non-User1 95%+ User Non User Fuel & Vehicle Taxes1 53% Tolls 5% Investment Income 5% General Fund 16% Bond Proceeds 11% Other 6% Property Taxes 5% Operating Revenue Gen’l Sales & Use taxes and Grants 1 MARTA Annual Report, June 20, 2010, page 5 1 15% Diverted from Highway Use http://www.fhwa.dot.gov/policy/ohim/hs06/finance.htm

10. Air QualityDays of Non-Attainment Car & Truck Registrations Cherokee, 51% 2000 – 2010 Population Growth Gwinnett, 37% Cobb, Fulton, 13% Poor Air Quality Data Source: http://www.gaepd.org/air/amp/ http://quickfacts.census.gov/qfd/states/13/13067.html

11. Project Costs What’s the Ultimate Cost? 1/2% Bike/Avn Total Cost 52% Transit 2032 –∞ 48% Highway 55% MARTA heavy rail 17% MARTA maint21% Streetcar 6% Bus 2022 – 2032 2012 – 2022 Source: RTR, Oct 15, 2011 Final Constrained List, http://www.atlantaregionalroundtable.com/

12. TIA-AT-004/007 • Atlanta Beltline and Atlanta Streetcar • Project Cost = $601,892,477 = $106,530per rider • Riders (11,300 boardings1 / 2) 5,650 • Operating & Maintenance • 2010 Operating Loss2 = $508,000,000 = $ 2,540 per rider • 2010 Riders3200,000 • x 5,650 riders • = Annualtaxpayer costfor riders $14,351,000 1 ARC Project Fact Sheet, Approved Oct 15, 2011 2 MARTA 2010 Comprehensive Annual Report, p. 5 3 MARTA 2010 Comprehensive Annual Report Economic Impact of MARTA, Carl Vinson Inst. of Government, GSU, p. 5

13. A Carpooling Alternative $ 426,120 Project cost for four riders @ $106,530 ea. - $ 55,000 Chauffeur, 9 years’ experience - $ 320,000 Rolls Royce Phantom = $ 51,120 x 1,412 cars = $72.2m Savings to Taxpayers! Bonus: Employs 1,412 people (30% of MARTA’s 2010 workforce)

14. Transportation Authorities “The Act gives GRTA the power to build and operate, or force local governments to operate, public transportation systems. Further, it gives GRTA the power to cut off transportation funds to developments of regional impact of which it does not approve.” http://digitalarchive.gsu.edu/gsulr/vol16/iss1/7/

15. RecommendationsPrinciples • Explain the law’s purpose • Directly linked to GA Constitution • Representation thru general elections • “Gen’l Welfare” benefits apply to all • Transparent

16. RecommendationsStrategic • Develop the Atlanta solution • Repeal para 13(c), ‘91 Fed Transit Act • Explain:- Why current gov’t cannot do what a new Transit Authority will do- What offices a new Transit Authority will eliminate • Move transit costs to beneficiaries

17. RecommendationsOperational Level • Limit expenditures to projects on the Unconstrained Investment List • Provide for publicly elected Transit Authority officers • Develop & present best practices for telecommuter management

18. RecommendationsOperational Level Require that measures of effectiveness, their factors, and valuesbe published in the annual report, to include: • Goals for traffic mitigation and accomplishments, by project • Number of new passengers forecast & realized • Cost per passenger-mile for rail and bus transit • Fare box recovery ratio for train and bus transit • Taxpayer subsidy cost per passenger • Quantified comparison of taxpayer subsidies to benefits

19. RecommendationsExclusions Provide counties that operate transit wholly within their counties the option to exclude themselves from a regional transit authority Specifically exclude authority to: • Exercise eminent domain • Require jurisdictions to accept/operate transit they do not approve • Override local jurisdictions’ land use planning and zoning authority, or invoke penalties on them for their planning & zoning decisions

20. RecommendationsAdministration Provide: • Governor’s executive order that establishes the TF • Meeting dates, times, locations, and agendas • Current draft of the transit authority act under development • Contact info for Transit Governance TF members • Meeting minutes; record by-name votes on questions that are not unanimous • Provision to sign up on-line for updates from the TF • Public comment at every meeting Solicit public involvement and testimony by taxpayer groups; solicit an equal period of their testimony as is provided by MARTA, GRTA, ACCG, GTA, etc.