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SB1140 Performance Based Operating Funding AllocationPhase 3 – 2016 and Beyond

Virginia Department of Rail and Public Transportation

Transit Funding

CTB Transit Formulas• New capital and operating formulas adopted in December 2013• Performance metrics based on:

• Net cost per rider (50%)• Customers per revenue hour (25%)• Customers per revenue mile (25%)

• Systems are sized equally based on ridership and operating costs – sized relative to all transit operators eligible for state assistance

• Capital allocations based on set percentages for asset categories

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Overview

Transit Service Delivery Advisory Committee (TSDAC), Phase III Implementation Plan

• Data Collection Practices • Sizing Measures• Exceptional Performance Measures• Other Possible Performance Measures

o Congestion Mitigation o Fulfillment of Transit Dependent Outcomes

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Data Process and Standards Needed

Understanding Data Definitions

Collecting Data

Processing and Tracking Data

Verifying Data to be Reported

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Data Collection

Set of uniform standards for all of the core measures will ensure accurate and consistent data are reported to DRPT for funding allocation

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Summary of Recommended Standards

Data Collection

• Electronic Methods- ERF- AVL system- Scheduling software- Mobile data terminal- Accounting/pay roll

systems

• Manual Methods- Cash fares (or fare boxes)- Manual count of

riders- Scheduling software

• Calculated to create monthly ridership figures and annual figures for all measures

• Tracked and formatted using electronic database

• Data uploaded/ transcribed daily or

weekly by route or driver

• Verified using 2 or more methods

• If applicable, variance identified, then corrected or explained; explanation mandatory if variance is:- 5% for op expense- 10% for others

• Contract document signed by agency senior staff

• Certified that agency has followed DRPT standards, data tied to funding

• Documented collection and verification methodologies

Accountability Policy Certified &

Reported to DRPT Processed Data

Collected Data Data Verified

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Data Standards MatrixC

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Data Collection

Large City/College Town Small/Rural

Data Definitions Existing DRPT data definitions; DRPT to clearly document and publish definitions

Collection Methods Fixed Route:

ERF, AVL system, scheduling software, accounting/payroll systems

Demand Response:

Mobile data terminals, scheduling software

Fixed Route:

Manual: cash fareboxes, manual ridership count including free fares, scheduling softwareAgencies to move to simple electronic systems in 3 years

Demand Response:

Mobile data terminals, scheduling software

Processing Methods

Electronic database (e.g., Microsoft Excel, Access)DRPT to create spreadsheet templates to institute uniform calculations

Verification Methods

Staff review for anomalies (variance with past year data); cross check 2 or more sources of dataDRPT to incorporate automatic variance flags into OLGA

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Data CollectionAccountability Policy Recommendations

• Annual certification with OLGA reporting formatted as a contract between transit agency and DRPT with documented list of collection and verification methodologies for all core measures in allocation formulao Certified by local agency senior staff

• Understanding that accuracy of reported data is tied to funding• Understanding that agency senior staff have responsibility to assure that

agency follows DRPT data standardso Penalties enforced if state reviews reveal consistently inaccurate

data reporting, or if reports are consistently delayed • Rescind partial awarded funding or penalties for future grants

Data Collection

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Data CollectionState Technical Assistance Recommendations

• Additional state assistance should complement data standards by providing resources for agencies to implement and maintain recommendations o Support development of a pilot program for agencies to

acquire and assess the value of using more advanced technologies (equipment and/or software)

o Host annual meeting for industry best practices/required policies, regional data summits, information exchanges

Data Collection

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Sizing of Transit SystemsFindings and Recommendation

• Finding: No other measure(s) were better indicators of system size than current measures (ridership and cost)

• The Working Group recommends to TSDAC that the current Size-Weight portion applied to allocate new operating formula funding remain unchangedo This shall not preclude DRPT from reconsidering sizing formula

factors should future needs arise, particularly in response to changes in operating funding allocation goals

o Formulas to be reconsidered every 3 years by law

Sizing

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Exceptional PerformanceFindings and Recommendation

• Finding: The analysis required to determine exceptional performance would be either too high-level, requiring simplifying assumptions, rendering the results questionable, or too data-intensive, involving complex qualitative assumptions making it difficult to implement.

• The Working Group advised against implementing this measure at this timeo DRPT may re-evaluate this or other measures in the future along

with any potential updates to the operating assistance funding formula, or if new funding to support transit programs becomes available

Exceptional Performance

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Congestion Mitigation Discretionary Pilot Program Key Features

• Recommendation: Pilot through existing Demonstration Project Assistance program o Provides a maximum State match of 80% to support transit

enhancement over a 2-year periodo Allows state to learn from pilot before attempting to integrate into

primary operating funding formulao Applicants would be required to detail congested conditions and

describe proposed solutionso Ranking would be based on extent of congestion relief,

completeness and quality of proposal, CapEx and OpEX estimates, project readiness and local commitment to support after state funding expires

o Selection based upon available funding for top ranked proposals

Congestion Mitigation

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Congestion MitigationDiscretionary Pilot Program Key Features

• Pilot Program Monitoringo Annual documentation of ridership, other performance measures

to gauge success of the program• Apply applicable transit congestion measures to track performance

o Extent of local funding support o Track for two years beyond completion of program

• Provides baseline for consideration of continuation of pilot

Congestion Mitigation

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Transit Dependent OutcomesDefinition of Transit Dependent Persons

• Transit dependent persons are reliant on transit for their mobility and may identify with the following characteristics:o Zero-vehicle householdo Disabilityo Below 50 percent of median family income levelo Elderly (over 65 years of age) and youth (below driving age)

• Consider impacts on Title VI protected classes, which prohibits discrimination on the basis of o Raceo Coloro National Origin

Transit Dependent Outcomes

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Funding Options Demonstration Project Assistance Program

• Recommendation: Use Demonstration Program to administer Congestion Mitigation and Transit Dependent Objectives pilot discretionary grant programs

• Flexible program that invests in projects to:o Improve the efficiency of public transportation providers in all

functional areas o Offer creative approaches to identify and access public

transportation marketso Increase private sector involvement in all areas of public

transportationo Raise the utilization and productivity of existing public

transportation serviceso Supports safety and security investments

Funding Options

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Transit and TDM Planning

Transit Planning• Review of FY15 Tiered Capital Allocation• Develop a Transit Capital and Operating Resource Allocation Plan• Implementation of the Data Collection Pilot Program• Vtrans 2040• Statewide Multimodal Plan• Continue implementation of the DRPT Multimodal System Design

Guidelines

TDM Planning• Continue development of TDM performance measures• Conducting State of Travel Survey • Continue advancing recommendations for a new statewide ride

matching system

Virginia Department of Rail and Public Transportation

Capital and Operating Assistance Planning and Programming

DRPT Statewide Transit Capital and Operating Resource Allocation Plan

Tie 2014 Transit and TDM Plan Needs Assessment for transit and TDM service, SGR and major capital

projects with available resources

Conduct a financial analysis to determine the Commonwealth’s level of capital and operating

assistance

Make recommendations on levels of resources required to maintain the Commonwealth’s historic

share of capital and operating assistance

Statewide Transit and TDM PlanTDPs are reflected in the first six years of the Statewide Transit and TDM Plan

Provides high-level information on existing public transportation and

provides a blueprint for addressing the needs for the future in the Commonwealth of Virginia

Provides guidelines for future transit and TDM levels of service, which allow clearer definition of transit and TDM

needs and associated long-term public investment

Provides Long Range Needs Assessment for Transit Service, State of Good Repair

(SGR), Transportation Demand Management (TDM) and Major Capital

Projects

Transit Development Plan (TDP)Basis for DRPT Capital Assistance Grant Application

TDPs are the basis for the first six years of the 2040 Statewide Transit Plan

Major Capital Projects (i.e. fixed guideway projects and facilities) must be identified in the fiscally

constrained or unconstrained portion of the TDP

TDP Annual Update Must be Fiscally Constrained and Reflect Actual Capital Assistance Grant Application

Virginia Department of Rail and Public Transportation

Transit Development Plan (TDP)• Annual TDP update due December 1, 2014• Must be fiscally constrained and reflect agency

Capital Improvement Program• Major TDP six-year update cycle will begin next fiscal year• TDP requirement document will be updated to focus on performance based planning, incorporate operating costs, and greater emphasis on technology