Pinellas Suncoast Transit AuthorityBoard of Directors Meeting

June 27, 2012

1

TODAY

TODAY

TODAY

Revenues

• 10% Increase in Fare Revenue– $500K more Due to Record Overall Ridership– $100K more Due to Under Budgeted TD Bus

Pass Revenue– $500K more Due to Former TD & Medicaid

Discounts converting to full price.

• Advertising Revenue Up 80%– New Ads on Trolleys very successful.

5

0

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

30,000,000

35,000,000

40,000,000

2007 2008 2009 2010 2011 2012 2013 2014

Ad Valorem Revenue

Ad Valorem Revenue

$41.8 Million

Property Tax Loss Since FY 2007

* Projected

* **

6

Ad Valorem Revenue Change Assumptions

7

  FY2013 FY2014 FY2015 FY2016

Adopted -3.0% 0% +3.0% +3.0%New PSTA Projection

-2.2% -2.2% +2.0% +4.0%

County Projection

-4.0% -2.0% +2.0% +4.0%

TODAY

FY2012 Expenses Below Budget

9

No. Line Item FY2012 Projected Savings

Recurring Savings?

1 Delay in Implementing North County Flex Routes -$700,000 No

2 Competitive DART Contracts -$500,000 Yes

3 Health Insurance & FRS Benefits – Vacancies -$444,000 No

4 Insurance Recovery Claims -$414,000 Partly

5 Lower TD Cab & Van Expenses -$110,000 Yes

6 Bus Parts -$ 93,000 Yes

5 TOTAL FY2012 Savings -$2,161,000

TODAY

11

No. Line Item FY2013 Increased Costs

Cumulative Percent

1 TD Pass-Through to Non-Profits $654,000 11%

2 Health Insurance Broker $150,000 2%

3 Entry-Level Planners (2) – Grant Funded $125,000 2%

4 No Net Costs/Pass-Throughs Subtotal $929,000 15%

5 North County Flex Routes $700,000 13%

6 Mid-County Terminal Operating Costs $200,000 3%

7 Improved Oversight (4.5 FTE Positions) $180,000 2%

8 New/Improved Services Subtotal $1,080,000 18%

9 Fuel $1,470,000 25%

10 Health Insurance (Net of Employee Share) $700,000 12%

11 Insurance (Assuming No Claim Recoveries) $432,000 9%

12 Inflation Items that May Be Further Reduced $2,602,000 46%

13 1% Salary Raises & Union Step Increases $445,000 8%

14 Maintenance Expenses Back to Trend $350,000 6%

15 Other $419,000 7%

16 Other Inflation Items $1,214,000 21%

FY2013 DRAFT BUDGET VS. FY2012 PROJECTED ACTUAL

12

FY2013 Operating Budget Strategies

• No Service Cuts – Service Enhancements:• North County Flex Services Implementation• Mid-County Terminal Implementation• Improved Trash/Shelter Cleaning at Lower Cost• Complete Comprehensive Bus Study

• No Fare Increases• No Millage Rate Increase• Be Responsible to Staff, 1% Salary Increases Pending FRS Decision &

Labor Agreements• Employees Pay 50% of any Increase in Health Insurance. • Defer Capital & Use Federal Funds for Operating at Lower Rate• Use of Reserve Funds to Balance Budget through Up to FY2015

Overtime Reduction Strategy

• Current budgeted bus operator positions – 357o 311 operators work 40 hour shifts (bid)o 46 operators work the “Extra Board”

• Extra Board operators are used to cover open work due to the absence of an operator who works a bid shift

• Types of absences include:– Vacation, sick leave, personal leave, birthdays, military leave, union business, jury duty,

Family Medical Leave, funeral leave, no-pay excused and miss-outs

• Average Daily Absences 42 – 46• Average Extra Board Operators available each weekday – 37

(factor in two days off per week)

14

Maintain Fares

System Cash Fare Day Pass 31-Day

Tallahassee $1.25 $3.00 $38

Sarasota $1.25 $4.00 $50

Pasco $1.50 $3.75 $37.50

Jacksonville $1.50 $4.00 $50

Palm Beach $1.50 $4.00 $60

Broward $1.75 $4.00 $58

Miami-Dade $2.00 $5.00 $100

HART*- 11/2012 $2.00 $4.00 $65

Orlando $2.00 $4.50 $50

PSTA $2.00 $4.50 $65*Red - Highest

15

IMPROVED TRANSIT AMENITY UPKEEP PROPOSAL

• PSTA spent $499,543.88 toward an annual Contractor Service provided by Spectrum

• 900 trash cans serviced weekly• 2,300 bus-shelters pressure washed annually

BACKGROUND INFORMATION

• Currently, PSTA is annually spending $291,000.00 on Gulfstar Contract [proposed to be $280,000 in FY2013]

• 687 trash-cans serviced weekly [proposed to be 987 in FY2013]• 1,600 bus-shelters pressure washed annually [1800+ in FY2013]• Improved Oversight with Amenity Coordinator Position

Staffing Changes

16

CEO Department Marketing Department.5 Administrative Assistant (Improved Oversight) 3 Customer Service Representatives (Mid-County Terminal)

Finance Department Transportation Department1 Accounting Specialist - Records Retention (Improved Oversight) 6 Bus Operators (Overtime Reduction)1.5 Part-Time Revenue Room Clerks (Improved Oversight) 7.5 Part-Time Bus Operators (Flex)

1 Flex / Paratransit Analyst (Flex)1 Flex / Paratransit Coordinator (Flex)

Planning Department 1 Transportation Supervisor (Flex)2 Planners (Grant Funded)

N. County Flex Route 11.5Maintenance Department Overtime Reduction Operators 6

.5 Amenity Coordinator (Improved Oversight) Improved Oversite 4.51 Mechanic (Flex) Mid-County Terminal 31 Maintenance Supervisor (Improved Oversight) Grant Funded Planners 2

Total FTE 27

PSTA Staff Level History

17

PSTA Reserves

18

1 Adopted FY2012 YE Reserves to Balance 3 Years $5,042,009

2 Additional FY2012 Revenues +$1,020,866

3 FY2012 Operating Budget Savings +$2,334,072

4 Concrete Rehab Project Savings +$2,033,160

5 Revised FY2012 YE Reserves $10,430,107

Additional PSTA Reserves

1 2 Months Equivalent Operating Reserves $10,199,409

2 Required Insurance Reserves +$4,008,000

Plan for Reserve Use

• Extend Use Of Reserves to FY2015 To Provide Flexibility in Considering Sales Tax Measure: $5.6M

• Reduce Use of Federal Grant Funds for Operations: $5.5M– Fund $5.5M Additional in Bus Replacement– Allows for 15 vs. 8 of needed 40 buses to be

replaced.

19

Program of Projects History

20

Pinellas Suncoast Transit AuthorityBoard of Directors Meeting

PSTA 5-YEAR CAPITAL IMPROVEMENT PROGRAM

June 27, 2012

21

Funding for the PSTA CIP

Funding Type Description 5-Yr. Total Pct.

Future Federal FTA Formula (5307)

$11.7M Annually Based on Formula

$57,520,132 87%

5307 Dedicated to Operating Asst. $44,630,489 68%

Prior Year FTA Formula (5307)

Funds remaining from sweep of completed projects

$1,711,153 3%

2006 Alternatives Analysis Earmark

$1,000,000 2%

Concrete Settlement $5,668,606 8%

FDOT Park & Ride Grant

$200,000 0%

SUBTOTAL 5-YEAR CIP $66,099,891

PROP. FY2013-2017 REDUCED FED OPERATING ASST. +$5,579,788 8%

22

Need for Bus ReplacementsPSTA Fleet Useful Life Quantity Replace

Goal/ YearCost Per

Bus

Large Heavy Duty 12 Yrs/500K miles 174 14.5 $695K

Small Heavy Duty 10 Yrs/350K miles 9 .9 $625K

Future Flex Shuttles 5 Yrs/150K miles 6 1.2 $170K

TOTAL 189 16.6

5-Year CIP Fully Funded Targets: 83 $54.22M

Actual Constrained CIP Budget: 16 $8.43M

PROPOSED ADDITIONAL USE OF FED FUNDS +8 +$5.5M

23

24

CIP Summary

5-Year Total

Vehicles $11,871,051

Operating Assistance $44,630,489

Passenger Amenities $2,781,900

Technology $3,076,200

Facilities $1,308,181

Planning Studies $1,950,000

Contingency $796,070

TOTAL $66,099,891

W/Proposed Additional $71,679,679

25

Deferred or Unfunded Projects

26

5-Year Total Deferred/Unfunded

Replacement Buses $11,871,051 $29,791,631

Expansion Buses $0 $118,304,108

Bus Surveillance Cameras Not Until 2020 $1,800,000

Smartcard Enhanced Fareboxes Not Until 2019 $4,500,000

Shelters & ADA Access $2,000,000 $1,080,000

WiFi on Buses $0 $160,000

St. Pete Multi-Modal Terminal TIGER $30,000,000

Clearwater Terminal TIGER $25,000,000

Solar Lights on Shelters $0 $364,800

Board Room/PSTA Audio/Visual $0 $300,000

New Financial Management Software Not Until 2020 $3,780,000

Total Unfunded or Deferred $220,080,539