Innovations in Transit Planning and Financing

1. Innovations in Transit Planning and Financing Presentation to the 2003 MPO Conference, Muncie IN October 16, 2003

2. 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!

3. Introduction • AND bus service with four fixed routes, using left-equipped buses, daily and Saturday • HOW did this happen?

4. 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

5. Only a small annual apportionment Insufficient state and local matching dollars to start-up and sustain a bus system Transit Barriers - 1985

6. 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

7. User Side Subsidy vs Fixed Route • User-side subsidy format and contract with cab operators provided a ready-made fleet using a private sector community resource. • The service format addressed the broadest service timeframe – 24 hours 7 days per week.

8. FTA and state funding for these smaller cities was not sufficient to establish a bus systemUser 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

9. 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.

10. 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

11. 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

12. 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.

13. 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

14. Heart City Rider began in 1986 Serves the City of Elkhart Also makes Inter-City trips to Goshen Goshen Transit Service began in 1989 Serves City of Goshen Makes Inter City trips to Elkhart What was Implemented?

15. 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 Demand Response Fleet

16. 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 Registration Process

17. 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. Administrative Process

18. 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

19. 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.

20. 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

21. 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

22. HCR/GTS Ridership1986-1996

23. 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

24. Funding Demand Response • Revenue Sources • FTA Section 5307 • INDOT PMTF • City of Elkhart • City of Goshen • Passenger Fares 44% fare recovery rate !

25. 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

26. 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

27. 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

28. 2002 Fixed Route Revenue Sources

29. Fixed Route Ridership

30. 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

31. Current Bus Routes

32. 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?

33. 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