Centre Area Transportation Authority Hugh Mose, General Manager

1. Centre Area Transportation Authority Hugh Mose, General Manager LouwanaOliva, Assistant General Manager Judi Minor, Director of Administration Kimberly Fragola, Assistant Director of Administration Greg Kausch, Senior Transportation Planner (CRPA)

2. Who We Are • CATABUS • Community Service and Campus Service • CATARIDE • Shared Ride and ADA Paratransit • CATACOMMUTE • Carpools, Vanpools, Guaranteed Ride Home

3. Transit Agency StatusFY 2011-12 • Current Financial Position • Current Operations • Service Statistics/Trends • Funding Statistics/Trends • Other Information/Assumptions • Capital Status Review

4. Current Financial Position: • CATA has no state funding in reserve. • Unused federal formula funding is annually carried forward as a type of “reserve.” • Increased expenses for fuel, health insurance, and paratransit service lead to our anticipating no unused federal formula from FY 2011-12 to be carried forward to FY 2012-13.

5. Current Financial Position: • Level of Short-Term Debt/Loans—Identify each line of credit (excludes long-term bond financing)

6. Current Financial Position: • Accounts Payable – Past due 90 days and over • Accounts Receivable – Past due 90 days and over

7. Current Operations: • Staffing Level • Contract Provisions • Healthcare • Retirement Plan – 401(a) • Fuel • Fares • Other major factors producing cost increases above inflation • Cost Savings Initiatives

8. Staffing Level/Org Chart

9. Contract Provisions • Union contract expired 10/31/2011 and is currently being renegotiated.

10. Important Contract Provisions • Use of part-time employees • No part-time bargaining unit positions • Number/percent of “split shift” drivers • Approximately 43% of drivers (50 bids are not, 33 bids are – average 10 of 18 on-call drivers as “split shift” per day) • Overtime • 15,511.10 hours in FY 2010-11, or $145,649.23 • 5% service reduction this year will mean lower figures for FY 2011-12 • Outsourcing • ADA Paratransit and Shared Ride – Handy Delivery, Inc. • Paid breaks between 20 minutes to one hour

11. Healthcare • Management attempted to implement a less expensive health insurance plan last year, but the bargaining union voted down the proposal. • Management again proposed changing to a less expensive health insurance plan during the current labor contract negotiations, but the union appears to be more interested in maintaining the current health care coverage than they are in increased wages. • Beginning 1/1/2012, non-represented employees will be covered by a less expensive health insurance plan. The exact cost savings associated with this change are not yet known.

12. Retirement Plan – 401(a)

13. Retirement Plan – 401(a) • CATA offers a deferred compensation plan to which both the employer and employee make contributions. No additional funding is required for this type of plan. • There are no current plans for changing the 401(a) employee retirement plan.

14. Fuel: • Current Cost per Mcf of CNG • Average for October: $5.97/Mcf – equivalent of $0.80/gallon for diesel fuel • The gas tax credit, which is applicable through 12/31/2011, further drives this cost down to an equivalent of $0.26/gallon for diesel fuel • Projected Cost per Mcf and Basis for Projection • CNG has already been purchased for 11/1/2011 to 6/30/2012 at an average cost per Mcf of $6.00 – equivalent of $0.80/gallon for diesel fuel. (The gas tax credit will be applicable to the November and December purchases only, making the price for those months the equivalent of $0.26/gallon for diesel fuel.) • The current contract with GasMark ends 9/30/2012. • An RFP for a new CNG contract is to be issued over the summer of 2012.

15. Fixed Route Fares: • Average fare: $0.79 • CATA’s goal is to achieve a 50% “farebox recovery ratio.” • Contracted rates for service are renegotiated annually with Penn State and apartment complexes regardless of whether or not the cash fare rate is raised.

16. ADA Paratransit, Shared Ride, and Vanpool Fares: • ADA paratransit fares: • $3 (double the current cash fare rate) • Shared ride fares: • $2 (15% of the general public fare of $13.35) The per-passenger contract rate paid for ADA paratransit and shared ride service has increased considerably since July 2011, with an additional increase coming in March 2012. As a result, we are considering the possibility of applying for a shared ride fare increase sometime this fiscal year. • Vanpool fares: • Operating cost from miles traveled (gas and maintenance), plus a base cost to cover insurance, parking, and depreciation. • Divided among the passengers for each vanpool. • Re-calculated and adjusted quarterly to reflect changes in costs. • Sponsorship arrangements: • None for ADA paratransit and shared ride services. • Penn State provides financial support for vanpool service.

17. Other Major Factors Producing Cost Increases Beyond Inflation: * The uncertainty of future funding at both the state and federal levels hinders CATA’s ability to mitigate cost increases even at inflation, let alone these examples of cost increases beyond inflation.

18. Cost Savings Initiatives:

19. Fixed Route Funding

20. 5 Year Projection – Federal and State Subsidies Status Quo

21. 5 Year Projection – State Subsidy Status Quo, 30% Federal Subsidy Decrease

22. 5 Year Projection –20% State Subsidy Increase, Federal Subsidy Status Quo

23. 5 Year Projection – 20% State Subsidy Increase, 30% Federal Subsidy Decrease

24. Fixed Route Service Statistics/Trends: • All calculations assume current funding levels, which will necessitate a service cut of at least 5% per year.

25. Shared Ride Funding • Calculations assume a 5% per year increase in Passenger Revenue and Lottery, with a 10% per year increase in Operating Expense. The ADA portion of this service is not included in the figures above. For FY 2010-11, ADA Operating Expense was $247,799. ADA Passenger Revenue was $44,121, leaving a balance of $203,678 as the cost to CATA. ADA & Shared Ride ridership together are slightly declining. The process for a Paratransit RFP is currently underway.

26. Shared Ride Statistics/Trends • All calculations assume current funding levels and a 5% increase in ridership (also reflected in Revenues), with a 10% increase in Expenditures.

27. CATACOMMUTE Funding • Calculations assume 10% growth in the CATACommute program (reflected in Passenger Revenue), with a 15% increase in Operating Expense.

28. CATACOMMUTE Statistics/Trends • Penn State provides annual financial support for the CATACOMMUTE program. • Calculations assume 10% growth in the CATACommute program (reflected in Passenger Revenue), with a 15% increase in Operating Expense.

29. Other Information/Assumptions: • Fixed-Route • We have demand that we can’t meet because subsidies are constrained, and therefore, we’ll need to cut service. • CATA’s service area includes enormous student housing corridors that must be served. In order to serve these areas, resources must be taken from commuter and commercial corridors. • We can only hang on so long . . . • Shared Ride & ADA • Overall demand for combined service to our Shared Ride and ADA ridership is deceasing slightly, but the associated expenses are increasing at a much faster rate. • Vanpool • Vans are added to the program as demand increases. The vanpool program runs at a fairly small deficit.

30. Capital Status Review

31. Partnership with Penn State • LOOP/LINK • Free-fare Zone • Ride-for-Five • RideShare Support • Local Shares

32. Innovations • Apartment Complex Pass Program • Site Plan Review Process • Natural Gas Buses • Trip-by-trip Service Planning

33. Use of Technology • APTS • Service Planning • Fleet Management • Customer Information • Transit Signal Priority • iPhone and Android Apps

34. Relationships • Elected Officials • Federal, State, Local • Local Government Staffs • CCMPO (Centre County Metropolitan Planning Organization) and CRCOG (Centre Region Council of Governments) • CCOT (Centre County Office of Transportation) • CBICC (Chamber of Business and Industry

35. Involvement in the Industry • Hugh in APTA, APTF, PPTA, TCRP, Eno • Louwana in APTA, esp. Leadership APTA • Jackie and Eric in APTA, TCRP, APTF • Terri in ACT, PPTA • Julie in SHRM, CRIC, PPTA • Greg in ITS-PA, APA, APA-PA