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HomeMy WebLinkAbout1992-09-30 - AGENDA REPORTS - ARROYO SECO ASSOCIATES (2)CITY OF SANTA CLARITA INTEROFFICE MEMORANDUM TO: Honorable Mayor and City Council FROM: Jeff Kolin, Deputy City Manager, Public DATE: September 30, 1992 SUBJECT: ARROYO SECO ASSOCIATES/MUNICIPAL RESOURCE CONSULTANTS EVALUATION OF CITY TRANSIT SERVICES BACKGROUND The City contracted with Arroyo Seco Associates, Inc. and Municipal Resource Consultants (ASA/MRC) to review the City's Transit service and operations. This report summarizes the findings of the consultants and action staff can pursue to improve transit performance. The completed summary report is provided as Attachment A. Local Fixed Route Local Fixed Route service generates few complaints, and experienced a 20% increase in ridership in the past year. The routes are fairly direct and straightforward, a positive aspect that can encourage ridership. However, there has been no marketing of the service (inhibiting ridership), there is excessive layover time on most bus routes (inhibiting productivity) and there is lack of data needed to make many service adjustment decisions. (The data available and used by ASA/MRC does provide an accurate picture of system level performance; but does not provide information at the line segment, bus stop or trip level). Also, due to the newness of the system, there is a dearth of written policies and many grey areas in the contract between Santa Clarita and ATE/Ryder. The following actions are being undertaken by staff to improve local fixed route service. Service changes are being proposed for.October 26, 1992 to serve Metrolink, improve service to Valencia Town Center, reduce excessive layover times and make other service improvements that can be recommended with the limited resources and data available at this time. 2. Begin collecting ridership data by trip based on boardings and alightings at each bus stop. This will be done by sampling each trip several times over a multi -month period. This will provide the critical data needed to determine the productive and unproductive trips, route segments and bus stops and allow us to make further adjustments to service next year to further increase ridership and improve productivity. f. Council Study Session ASA/MRC Evaluation of City Transit Services September 30, 1992 Page 2 3. Develop a marketing plan. In advance of a marketing plan, several actions will be taken immediately to promote and inform the public of transit services. These include a new single timetable for all transit services, distribution of these timetables at more locations, including all promotional activities for Metrolink, and increasing the number of pass sales outlets. Other actions under consideration include providing free ride coupons at Metrolink promotional activities, and developing packets for new residents. 4. Staff will begin meeting with ATE/Ryder to negotiate more specific language covering the "grey" areas in the current contract and to improve adherence to other contract provisions. Regular reports from ATE/Ryder will become mandatory to improve monitoring of service performance. 5. Develop a list of 10-12 peer transit agencies from which operating data will be collected periodically. This information will assist in the development of performance targets for the transit system and provide a yardstick from which system performance can be measured. In addition to the above actions, the following activities will be pursued; however, these will require additional guidance and/or action by the City Council. Establishment of a vision statement and goals and objectives for fixed route service. This would include establishing performance targets for established service and policies for service expansion. 2. Fare adjustments to reduce subsidy requirements. 3. Upon completion of the marketing plan, additional resources may need to be identified or Council action may be needed before some recommendations can be implemented. 4. Staff will continue to seek out all available funding sources and with Council direction, lobby for potential new Federal and State funding sources to allow expansion of the Transit program. Council Study Session ASA/MRC Evaluation of City Transit Services September 30, 1992 Page 3 Commuter Bus Of the three types of transit service provided by Santa Clarita Transit, the commuter bus service has the best operating performance and highest customer satisfaction. Although ridership dipped in April and May, probably due to the civil unrest in Los Angeles, ridership is continuing to grow. Preliminary data for July and August (not available for the ASA/MRC report) shows continued growth in what would normally be low ridership months. A ninth bus was added in July to alleviate standees on some trips and ridership seems to have grown to fill at least half of the added seats. All of the actions relating to local fixed route would also apply to commuter services. In addition, ridership will be closely monitored vis-a-vis the implementation of commuter rail service. Dial -a -Ride Dial -a -Ride (DAR) services has been the focus of considerable attention over the past few months. A majority of the efforts by ASA was reviewing DAR records. While no fraud or illegal activities were uncovered, there are some serious management problems that need to be addressed. Staff is undertaking the following actions to improve DAR service and management. Conducted a customer service training for all Transit employees of ATE/Ryder and the City of Santa Clarita on August 30, 1992. 2. Develop a "no show" and cancellation policy which will allow us to reduce our standing orders or subscription service from 80% to between 50% and 60%creating more capacity for 24-hour call-in reservations. 3. Formalize our curb -to -curb policy and work with the Santa Clarita Valley Senior Center and IEV0I1 M Adult Day Care Center to develop a volunteer escort for the elderly and handicapped. 4. Reduce reservation times to 7:00 a.m. to 12:00 noon to allow more time for scheduling routes and a guaranteed response to reservation requests by 5:00 p.m, of the same day. 5. Work with the Santa Clarita Valley Senior Center to establish a cooperative working relationship which includes coordination of Senior transit needs and grouping of Dial - a -Ride reservations to maximize the efficiency of the system. The specific items are identified in the MOU between the Senior Center and the City. Council Study Session ASA/MRC Evaluation of City Transit Services September 30, 1992 Page 4 6. Continue'to record all complaints on complaint forms and track their resolution. Develop a quarterly report which summarizes the complaints received and categorizes them according to the type of service and complaint. 7. Purchase a telephone recording system which allows for all incoming calls to be recorded between Dial -a -Ride dispatchers and the public. 8. Develop a printed driver's handbook and rule book. 9. Develop a Transit User's guide and Transit User's Tips publication. 10. Work with ATE/Ryder to reduce the current high level (40%) of unproductive driver time. 11. Proposed extensions of fixed route service to Santa Clarity Senior Center and LARC Ranch should allow many DAR customers to begin using fixed route service. 12. ATE to hire additional part time telephone answering staff for 6:00a.m. to 11:00a.m. 13. Establish a cancellation hotline number for reservation cancellations. 14. Complete improvements to Corporate Yard for Transit operations. 15. Establish DAR Improvement Task Force of ATE employees and City Transit staff. In addition, the following actions which have cost and/or service implications are under consideration and will need Council direction. 1. Eliminate General Public Dial -a -Ride service during the daytime hours and restrict General Public Dial -a -Ride service to evening hours when local fixed route service is unavailable. This would increase capacity for senior and disabled users. 2. Expand the number of vans operated by ATE/Ryder and authorize more service hours under the contract. Contract with local taxi and/or shuttle services for a voucher system. Vouchers would be distributed to disabled and elderly who cannot be accommodated by the existing Dial -a -Ride system or for trips which are identified as outside of our service area. Council Study Session ASA/MRC Evaluation of City Transit Services September 30, 1992 Page 5 4. Conduct annual service audits and detailed analysis of trip pick up points and destinations for the Dial -a -Ride transit program, local fixed route and commuter services. Use the data to refine the Transit systems and maximize the revenue received. 5. Increase the fares for use of the Dial -a -Ride system to encourage more ridership on the local fixed route system. 6. Establish a Mission Statement, and goals and objectives for the DAR system that would include minimum passenger loads for start of service. Options Available to the City and Resulting Impacts Should Paratransit Services be Discontinued. Some form of paratransit service will be required to comply with the Americans With Disabilities Act and will be mandated by the Los Angeles County Transportation Commission in order to provide feeder services to the Commuter Rail Station. Existing Dial -a -Ride paratransit programs seem to meet these mandates, therefore any alternative needs to also meet these mandates. 2. Reduced spending on Dial -a -Ride programs could be funnelled into expanded fixed route services. 3. Elimination of the Dial -a -Ride program and the resulting funding could be used to fund a comprehensive voucher program. 4. Contractual obligations to ATE/Ryder provide noticing requirements for discontinuation of all or portions of the contract. 5. It is unlikely that expanded funding of the Dial -a -Ride program would ever be substantial enough to meet the growing demand for door-to-door transportation services by the elderly, disabled and general public. 6. Reductions in school funding of transportation programs for students is likely to result in increased demand on the Dial -a -Ride program particularly for elementary school age children outside the current busing zone. 7. Staff has included grant proposals for increased funding of the Dial -a -Ride program through Proposition C; however, these were not approved int he current funding cycle. Council Study Session ASA/MRC Evaluation of City Transit Services September 30, 1992 Page 6 RECOMMENDATION It is recommended that the City Council request the City Manager work with staff and the Citizen Transportation Committee to develop policies and performance standards for each of; our three transit services and report back to the City Council with a progress report in 90 days and final recommendations in 180 days. ATTACHMENT JK:rk:gmm asamrc,trn September 23,1992 Mr. Jeffrey Kolin Deputy City Manager City of Santa Clarita 23920 Valencia Boulevard Suite 300 Santa Clarita, California 91355 Re: Santa Clarita Transit Study Dear Mr. Kolin: We have completed our review of the City's transit services and operations. This letter summarizes the study's background, scope and objectives, and a summary of our major findings and recommendations. Background Prior to the City of Santa Clarita's incorporation in 1987, Los Angeles County Department of Public Works was responsible for and had contracted with the various organizations for the delivery of transit and related services in the Santa Clarita Valley area. Antelope Valley Transit (AVT) was contracted for the delivery of fixed -route bus transportation systems throughout the valley; Mark IV Transit was under contract to provide commuter services to downtown Los Angeles; and Santa Clarita Senior Center was under contract to provide a Dial -A -Ride service for senior citizens throughout the Valley. Revenues from fare boxes were supplemented by moneys received from the County's portion of Proposition A (voter -approved initiative thta provides a 1/20 sales tax to support transit) to cover the costs of providing transit services. In the years following the City's incorporation, the County transferred responsibility for delivery of these services to the City. As part of a region -wide reorganization of mass transit and related services, and in conjunction with the Los Angeles County Transportation Commission, the City initiated, reorganized; and re -configured transit services within the City and the greater Santa Clarita Valley. In May 1991, the City entered into a Master Lease with Option to Purchase Agreement for $2.1 million to acquire thirteen (24 passenger) buses to provide fixed route transit services. The bonds are anticipated to be repaid over a ten-year period, commencing November 1, 1991. 127 North Madison Avenue, Suite #22 • Pasadena, CA 91101-1750 (818) 564-8700 • Fax: (818) 564-1116 In May 1991, the City, in conjunction with the Los Angeles County Transportation Commission (LACTC) issued another $4.9 million in bonds to acquire eleven (40 seat) buses for use in the commuter service and five (35 seat) buses to expand the fixed -route service discussed above. This second series of bonds was to be repaid over a twelve year period commencing July 1, 1992. The bonds would be repaid from farebox revenues and the City's Proposition A funds. During the same period, the City initiated a request for proposals to contract for Dial -A -Ride service. In October 1991, the City awarded a five-year contract to ATE Transit Services, Long Beach, California. The contract provided for the leasing of ten (15 passenger) vans to provide Dial -A -Ride services for senior and handicapped passengers throughout the valley. In addition to acquiring the Dial -A -Ride equipment, the City contracted with ATE Transit management for delivery of its fixed route and commuter transit services and the operation and maintenance of the City's previously -acquired twenty-nine buses. As shown in Figure 1 below, in the fiscal year ending June 30, 1992, the City spent $2,271,370 million to provide fixed route, Dial -A -Ride, and commuter transit services. Based on the City's current expenditures, it is clear that farebox revenues and estimated Proposition "A" moneys rebated to the City to support transit services will not be sufficient to cover current and projected costs of delivering these services. Thus, as Prop A $2,024,990 Figure 1 1991/92 Transit Revenues government, from Proposition C funds, and from local granting agencies. Should these discretionary grants fail to cover the shortfall, the City Council will need to consider the use of TDA funds, which would otherwise be used for street and highway maintenance, to support public transit services. Due to the City's limited resources and City management's desire to maintain the maximum dollars available for delivery of basic City services and needed capital improvements, the City's management has requested an outside consultant's assistance to review the first six months of the vendor's performance related to the delivery of contracted transit services and make recommendations, where appropriate, to reduce costs and increase effectiveness. Pomp A $1,650,706 v $361,000 Figure 2 1992/93 Transit Revenues shown in Figure 2, in the current and next fiscal year, other moneys will be needed to cover the cost of providing transit services. The City has already applied for discretionary grants available from the Federal Transit Santa Clarita Transit 2 Arroyo Seco Associates, Inc. Scope and Objectives The scope and objectives of our study are to analyze the current organization and operation of the City's transit services (fixed route, .Dial -A -Ride, and commuter), including vendor contract and performance related thereto, and make recommendations to enhance its cost-effectiveness. Methodology In conducting our study, we reviewed the City's current contracts with ATE Transit, collected and analyzed operational data for each service, including, but not limited to vehicle and driver assigned under each of the contracts to determine hours of services, vehicle and service miles, farebox revenue, cost of operations, number of passengers, type of passengers, and, where appropriate, points of destination. In numerous instances, the records maintained by the vendor contained mathematical errors and inconsistencies. In each instance, we noted the change and used the vendor's revised data for purpose of our analysis. In each instance, the vendor's revised data has been reconciled to the invoices paid by the City for services rendered in accordance with the contract. Executive Summary Commuter idt The City anticipates spending $2,271,370 this year on the delivery of its three transit services. Costs of the Fixed Route services were covered by moneys received from e2% Prop A and by farebox revenues. As shown in Dial -A -Ride Figure 3, 52% of this overall cost is used to support 27% IP Fixed Route transportation, 27% for Dial -A -Ride services, and 21% for commuter transit services. By Figure 3 Transit System Share of Costs contrast, cost recovery from farebox revenues ranged from 2% for Dial -A -Ride services, to 8% for fixed route transit, to 62% for the commuter service. The following is a detailed examination of the levels of service and cost trends for these services. Prop A and other Figure 4 FerebeX B% Fixed Route Farebox Revenues Fixed Route Transit The City's fixed route transit service operates on specific routes and schedules, picking up and dropping off passengers at specified stops, throughout the Santa Clarita Valley. Reasons for providing fixed route transit services include linking residential areas with employment; education, medical, recreation and shopping areas and reducing automobile traffic along densely traveled arteries. The City of Santa Clarita currently provides six fixed route transit lines for the Santa Clarita Transit 3 Arroyo Seco Associates, Inc. Greater Santa Clarita Valley. Since the City initiated the service, ridership has increased by 20% while farebox revenues have remained about the same. These six lines carried 463,041 passengers during fiscal 1991/92 — or about 1,500 passengers per day — and brought in farebox revenues of $122,125, or about 8% of the City's $1,508,900 total cost of operations. As shown in Figure 4, the balance (92%) of the City's cost of providing this service — $1,386,775, or about $3 per passenger trip — was paid from available Proposition A funds. ]2,000 10,000 8,000 e m m m 5,-100 3 a 4,000 2,000 City of Santa Clarita Transit Division Analysis of Passenger Iaads by Route Auguet'91 September October Nwember December January 92 February March April'92 ■ Route 10-15 O Raate 2045 M Route sows ®awte,10-45 O Route 50-65 O Hoare sono Figure 5 As shown in Figures 5 and 6, of the six fixed route transit lines, Route 10/15 consistently carried 30% of the fixed route system's passengers and provided farebox cost recovery of 310 per passenger, or about 10% of the overall average cost per passenger trip. The remaining five lines each carried 12%-16% of the passenger load and provided farebox cost recovery of 21¢-280, or about 8% of the average system cost per passenger trip. Route 10/15 appears to be carrying a disproportionate share of passengers, while the other five lines, despite in some cases duplicating large segments of the route of line 10/15, carry about equal shares of the remaining passenger load and provide cost recovery at a rate that varies with their share of passenger load. The large disparity between the ridership on these lines and on line 10/15 suggests the need for the City to reconsider the routing of its fixed route transit lines. The strong ridership and revenue recovery for line 10/15 also demonstrates that an appropriately routed fixed route transit line will be used by the public in Santa Clarita. Furthermore, our review of the fixed route system noted a limited number of complaints were received over the eleven month period. This reflects strong customer satisfaction with the quality and timeliness of the service. Santa Clarita Transit 4 Arroyo Seco Associates, Inc. City of Santa Clarity Transit Division Analysis of Revenue Per Passenger E.60 $_00 September October November December January February March April 92 92 Route 10-15 l] haute 20.25 ® Route 30-35 M Route 4045 0 Route W -M (] Route 60/70 Figure 6 Recommendations: 1. The City should develop a statement of the mission, goals, and objectives of its fixed route services and establish policies regarding system effectiveness (per capita ridership, passengers per hour) and system efficiency (unit costs). Without a clear idea of the reasons for providing the service or the desired levels of service and subsidy, it will be difficult for the City to accomplish potential increases in cost-effectiveness. 2. The City should re-examine the routing of its fixed route transit lines, taking into account current ridership levels, busiest. pick-up and drop-off points, driver down-time between runs, and currently underserved populations. In order to carry out this examination, the City will need stop -specific data, so that line profiles may be accurately drawn. Current levels of data collection are sufficient to alert the City to imbalances in line ridership and revenue recovery. However, it is not currently possible to verify, for instance, that school passengers make up a large part of the difference in passenger load between lines 10-15 and the remaining five lines. Nor is it possible to determine whether that passenger load is evenly distributed between lines 10 and 15 or along the two routes. As a result of this re-examination, the City could make informed decisions about re-routing and rescheduling of the busiest and least used lines, consolidation of less -used routes, elimination or reduction of least used routes, or other options available to increase ridership.and thereby increase the -cost-effectiveness and usefulness of this service. Care should be taken in reconfiguring the routes to provide a transit link with the regional mall, set to open this month, and with Metrolink commuter service, set to begin in October. Appropriate service to these two destinations will not only increase ridership on the lines that travel to them, but also increase local awareness of the fixed route transit service. Santa Ctarita Transit 5 Arroyo Seco Associates, Inc. 3. The City should compare the ridership and routes of its fixed route transit service and its Dial -A -Ride service in order to ascertain where it may be cost-effective to eliminate overlaps or duplication in service. In deciding which routes. or services to eliminate, if any, the City will need to consider the roles and objectives of both the fixed route and the Dial -A -Ride transit services. 4. The City should develop a marketing campaign to inform potential riders of available services. Obviously, given this year's 20% increase in ridership with no marketing campaign, there is a market in the area for fixed route public transit services. Increased public awareness of the fixed route service will improve the likelihood that this transit service can meet the objectives set by the City. 5. The City should develop policies by which decisions about new lines, new transit services, or adjustments to lines, services, and fare structures may be made that will be both cost-effective and in concert with the appropriate goals and objectives of each form of transit service offered by the City. Dial -A -Ride Traditionally, Dial -A -Ride services are provided to those who are unable to use other forms of transportation — private or public — whether because of age, physical handicap, temporary medical conditions, or other barriers to alternate forms of transit. Dial -A - Ride services are provided in a variety of ways, including government-owned vans or buses, taxi or mini -van services reimbursed by the supporting government, and contractor provided vans or autos. Santa Clarita currently provides Dial -A -Ride service through contractor operation of a fleet of ten vans. Service is available Monday through Saturday 6:00 a.m. through 6:00 p.m. and through 10:30 p.m. Monday Figure 7 through Friday. Service should be reserved 24 -hours Dial -A -Ride Revenues in advance and standing orders for regularly scheduled service may be requested. Service is provided to the City by the vendor on an hourly, on -duty basis. The Dial -A -Ride system currently provides free transportation to and from adult day care facilities and charges 500 per ride for elderly or handicapped passengers and $1.00 for the general public. As shown in Figure 7, the City anticipates spending $870,600 to provide Dial -A - Ride services, of which 2% ($24,600) will be. raised from farebox revenues to offset operating costs. Santa Clarita Transit 6 Arroyo Seco Associates, Inc. City otSanta Clarita Dial-A-ffide Service Analysis of Expenditures $90,000.......................... ..... ........................ ............................ $8D1000 .... .......................... ............ .......... i........... -_,I_ $70.000 / $50.000 -----------------------------------_-•_ — j—-�-•_---_._ . $40,= --------- •---_-----._.._..._..._..._---- -111 ---------- $10.000 ......... ................................. .-- •--:r'r•.�::% —.i i l i i i l i Navember'BO Zh dune 91 September 91 Deeember'81 March 92 MAEE".ditura . — x&Hzxpmaaurra _•—Canhined T.WEx,.ditu . Figure 8 As shown in Figure 8, the City's cost for providing the Dial -A -Ride service increased 300% during the last eight months. The increase in operating costs is directly attributable to the expanded service hours provided by the City beginning in November 1991, when the service was taken over from the senior center. The City expanded the hours of operation for Dial -A -Ride and permitted general public ridership during daytime hours in addition to those previously served – senior citizens and the handicapped. As shown in Figure 9, our analysis noted that while monthly ridership has fluctuated significantly during this period, it has, on average, increased 7% from previous levels. The increase in ridership appears to be evenly distributed between general public and elderly & handicapped passengers. Furthermore, our analysis indicates 75% of the riders are going to one of six points of destination. Night ridership continues to be limited. Despite the expanded hours of service, the City has received numerous complaints, particularly from senior citizens regarding reduction in the service levels provided by the contractor. These complaints typically occur during specific times of the day and can be addressed through improved scheduling and driver productivity. Perhaps more important, the City's per passenger cost, which was $9.35 in November 1990, has nearly doubled to $18.08 during this eight month period. This dramatic increase in cost of service is directly related to the increase in the hours of on -duty time specified by the City and billed on an hourly basis by the vendor, regardless of the number of persons requiring service. Our analysis of driver records indicated an average of 60% of on -duty time was spent transporting passengers, with the remainder spent awaiting assignment. It is clear that significant opportunities exist to reduce Dial - A -Ride operating costs by increasing contractor productivity without reducing the level of service previously enjoyed by the senior and handicapped passengers when the service was operated by the Senior Center. Santa Clarita Transit 7 Arroyo Seco Associates, Inc. e'O9 T 6,000 4,000 Z 3,000 2,000 1,000 City of Santa Clarita Dial A Ride Service Analysis of Passenger Growth N..b.c1990 Feb.rr1991 Me,1991 AW1%1 Nm ber1991 Feb, -1992 Mry-1992 �Numbcalpwvpasin Peb.'YY.adoaddveleld efiN 9'mm�bc Rrida�Ym friP eLla —e�Day —.—Total Figure 9 It is important to note that, despite the increase in cost of providing Dial -A -Ride service, client satisfaction with the service provided has apparently decreased. Recommendations: 1. The City should develop a statement of the mission, goals, and objectives for the Dial -A -Ride service. This effort should include determining the size and nature of the population to be served and identification of the specific transit needs of that population. For instance, the City currently provides Dial -A -Ride services for LARC Ranch residents, generally in groups of four or more. Currently, the Ranch is a mile beyond where the closest fixed -route transit line ends, in an area without sidewalks. The City may need to consider whether it would be more cost-effective to provide a regularly scheduled shuttle or to extend one of its fixed route lines to pass closer to the Ranch. The decision will need to be based, in part, on the degree to which the residents' need for mainstream experience is the concern of the City's transit services. In this and many other instances, it will be extremely difficult for the City to determine appropriate service levels, costs, charges, and availability of Dial -A -Ride services without a clear determination of its intended use. 2. The City should examine the routes and destinations of Dial -A -Ride riders to determine where and whether the service overlaps or duplicates other, less costly transit systems. While fixed route service may be inappropriate for the more fragile riders served by the Dial -A -Ride system, there is a fairly large general population ridership using Dial -A -Ride services. Santa Clarita Transit 8 Arroyo Seco Associates, Inc. 3. The City should investigate the effect of 24-hour advance and standing order reservations for service on the costs of Dial -A -Ride services. Our analysis suggests a fairly high rate of cancellation of standing order and advance requests. A habit of passengers and care -givers booking Dial -A -Ride service well in advance, 'just in case;' and then canceling may be having a significant impact on driver down-time and the cost of providing Dial -A -Ride services. 4. The City should investigate alternative delivery systems for the needs served by the Dial -A -Ride system. For example, a large segment of the Dial -A -Ride's ridership is transported to and from Senior Nutrition services. It may be more cost-effective to reimburse private. taxi or mini -van providers on a per ride or per mile basis than to continue to maintain the current on -demand Dial -A -Ride system for them. The City may also wish to consider decentralized nutrition services, to which it may be less costly to transport passengers. Once the goals, objectives, and guiding policies of the system have been determined, cost-effective alternatives will become easier to identify. Commuter Services The City currently provides transit services for F..� commuters between Santa Clarita and downtown Los `n Angeles. The service runs 5:20 - 8:45 a.m. and 3:30 - 8:00 p.m. Monday - Friday. The standard fare is Figure 10 currently $2.25 per passenger and $1.00 for senior Commuter Service Revenue citizens and the disabled: Monthly passes and other reduced fares are available. As shown in Figure 8, the City spent 191,923 on this service: farebox revenues totaled $118,151, representing a 62% cost recovery. As shown in Figure 11, the City has seen significant fluctuation in monthly commuter transit ridership. Our ^� analysis indicates that ridership in June , 1992 was 9% greaterthan in January and 61% greater than in the previous month. �. This fluctuation in ridership has had a negative impact on the vendor's ability to adequately' meet the riders' needs, •^d AMI �^ thereby resulting in a number of Figure 11 complaints about the quality of service. Commuter service Passenger toad The fluctuations in ridership have a deleterious effect on farebox revenues which, despite an increase in ridership, are 14% below that received at the start of the service. The causes of the fluctuations in ridership are not immediately obvious, although the civil disturbances in Los Angeles during the month of May, and the subsequent closing of many businesses for up to a week or more in downtown Los Angeles, may have had a impact on regular ridership levels. Santa Clarita Transit 9 Arroyo Seco Associates, Inc. The City currently recovers about 70% of the cost of operating the system (excluding capital equipment). This is a fairly weak level of cost recovery for a commuter tranist system compared with three other systems, also operated by ATE Transit Management, Figure 12 Comparison of Commuter Line Farebox Recovery as shown in Figure 12. This weak cost recovery may, in fact, be a reflection of the uneven ridership and its effect on overall passenger load and operating efficiency. Figure 13 demonstrates the current relationship between cost of providing.. commuter transit service, the current recovery from fares and passes, and the amount the City would need to collect to reach an industry average of about 88% of the cost per passenger trip (excluding capital expenditures). Recommendations 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 I ___.. Hpni May June t] FWebox Revenue ($) 088%Cwt Recovery ® Expense Figure 13 Comparison of Revenues and Expenses 1. The City Council should establish a statement of the mission, goals, and objectives for the commuter transit Santa Clarita Transit 10 Arroyo Seco Associates, Inc. system, including a goals for system effectiveness (consistent ridership levels) and efficiency (farebox cost recovery). 2. The City should examine the possible causes of the fluctuations in demand for commuter services, including the effect of the May civil disturbances, with an eye to anticipating the changes and planning steps that can be taken to lessen the effect of these changes on the cost of providing commuter services. 3. The City should determine the impact of the new Metrolink transit service (due to start service in October) on its commuter service ridership before deciding on any major changes in service levels or fares. 4. The City should consider raising fares on its commuter route, taking into account the cause of passenger load fluctuations and competition from other transit services. Santa Clarita Transit 11 Arroyo Seco Associates, Inc.