CENTRE AREA TRANSPORTATION AUTHORITY

REGULAR BOARD MEETING MINUTES

March 26, 2001

4:00 p.m.

STATE COLLEGE BOROUGH COUNCIL CHAMBERS

I. CALL TO ORDER

Chairman Spychalski called the meeting to order at 4:04 p.m.

II. PUBLIC COMMENT

Chairman Spychalski called for comments or input from the general public. No public comments were presented.

 

III. OLD BUSINESS

A. Approval of Minutes of February 26, 2001 Board Meeting

Mr. Davidson moved that the Board approve the minutes of the February 26, 2001 Board meeting. Mr. Powers seconded the motion. There being no further discussion, Chairman Spychalski called for a vote and the motion passed unanimously.

B. Receipt of the February 2001 Finance Reports

Mr. Sherman moved that the Board receive the February Finance Reports. Mr. Powers seconded the motion.

Ms. Minor reported that utilities were unusually high because of the extremely cold weather during the past month and the high cost of natural gas used to heat the facility. Electricity was also high for February.

In response to Mr. Powers, Ms. Minor noted that both revenue and service vehicle maintenance have continued to be high and the new budget projects the higher costs.

Ms. Minor also noted that the bank balances show a negative in general checking. This is the result of a check written on February 28 for payment of the New Flyer buses; however, the payment to cover this check was not received until the next day, March 1. Since the cutoff date for the February report was the 28^th, it reflected a negative balance.

There being no further discussion, Chairman Spychalski called for a vote and the motion passed unanimously.

 

C. FY 2001/02 DRAFT Budget

Ms. Minor reviewed the FY 2001/02 DRAFT Budget Assumptions, noting the changes made since the preliminary DRAFT Budget was reviewed and discussed by the Board at the recent Board Work Session. There were changes made in service levels and obviously these will be reflected in drivers’ wages, drivers’ benefits, tires, and maintenance. However, the fuel budget did not go down. Since this year’s budget was too low, next year’s amount has been increased to a more realistic number. Ms. Minor noted that there was further budget trimming in building and equipment maintenance, maintenance training, safety & training, professional services, advertising, marketing support, and travel and meetings.

Ms. Minor also noted that the rest of the memo addresses the changes from the current budget that are significant. Insurance premiums have increased due to the fleet value, claims history, etc. All items relating to paratransit have increased as a result of the increased ridership on Centre Ride. Staff will be submitting an application for a fare increase on Centre Ride which should help with these costs.

The local share will remain the same as this year; however, any grant increases could impact the minimum required local share. In response to Chairman Spychalski, Ms. Minor noted that there is a 50/50 chance that higher than expected state assistance will require an increase in local share.

Chairman Spychalski asked about the reduction in safety and training and if the savings is worth the loss of the benefits to employees. Ms. Minor explained the annual safety, stress and sensitivity training for employees and the costs of holding these sessions, noting that this is not a required training, but simply an extra benefit offered to employees the past several years. In response to Mr. Davidson, Mr. Gilbert noted that several years ago the insurance carrier conducted a seminar and it was, in his estimation, one of the poorest sessions he has ever attended. In response to Mr. Sherman, Mr. Gilbert noted that there have been about 15 new drivers hired since the last training session. Mr. Gilbert added that many of the older drivers feel this is one of the things that could be cut to reduce expenses, since much of the training is repeated each year. All new drivers do receive safety and sensitivity training during their initial instruction.

In response to Mr. Powers, Mr. Gilbert also noted that the Safety Committee has not met regularly because there are few safety issues to discuss. Any safety issues that arise are addressed quickly. Mr. Gilbert also added that even the state safety conferences do not relate to bus drivers and transit issues.

Chairman Spychalski suggested having training seminars for at least the new employees. Mr. Mose noted that he supports the training sessions, but agrees that setting aside this training for all employees for one year would not be a problem.

In response to Mr. Sherman, Mr. Mose noted that he is concerned that there is nothing set aside in the budget to support the American Public Transit Association’s (APTA) initiatives to promote a public awareness campaign, nor to support the upcoming transportation reauthorization bill.

Ms. Minor stated that she simply does not know where the cost of natural gas is going, and although she has locked into a good price right now, she has no idea where it may go from here. If prices come down again, she hopes to lock into a low price for the length of the contract.

In response to Mr. Davidson, Ms. Minor noted that the full budget document has to be delivered to the COG office on April 6. Following review by the COG Finance Commitee, the document goes out to the Board, the municipalities and other stakeholders. Mr. Mose also reviewed the timetable for the municipalities’ and General Forum approval process.

In response to Mr. McCarl, Mr. Mose noted that he does not see any significant impact on local shares resulting from the service adjustments. There was further discussion on the Miller Formula and the COG Formula.

Chairman Spychalski, responding to Mr. Sherman, noted that there has been one other time that a mid-year fare adjustment was implemented. If the Board should find it necessary, a fare increase could be considered.

In response to Mr. Powers, Ms. Minor explained that state supplemental funding is used during the year it is received. The only carry-over funding is federal operating assistance.

Mr. Davidson moved that the Board adopt the FY 2001/02 DRAFT Budget and authorize its distribution by staff. Mr. Powers seconded the motion. There being no further discussion, Chairman Spychalski called for a vote and the motion passed unanimously.

Mr. Mose reviewed the Capital Improvement Program, noting that since the municipalities have requested that the capital local share request be included in the annual budget, there is no formal way to separately present the capital program to the Board. Mr. Mose emphasized that some of the items listed would only be purchased if special funding is secured.

Chairman Spychalski expressed the Board’s support of the General Manager’s pursuit of a joint venture with the Schlow Library to establish a proper transit facility at that location.

Mr. Davidson moved that the Board authorize the General Manager to investigate all possibilities of a joint venture with the Schlow Library. Mr. Sherman seconded that motion. There being no further discussion, Chairman Spychalski called for a vote and the motion passed unanimously.

Mr. Mose also reviewed several other capital expenditures which may or may not materialize or may be covered under special grants.

In response to Mr. McCarl, Mr. Mose reviewed the Projections of Capital Revenues and Expenses spreadsheet distributed at the meeting, adding that this should replace the spreadsheet included in the Board packets. Staff feels this will address the municipalities’ request that the Authority look ahead and project the capital expenditures over a five year period. Mr. Mose emphasized that the estimated spreadsheet is based on the best of all possible scenarios, including earmarks and grants for many of the capital projects. There was further discussion on the projects and local share expectations. Ms. Minor also reviewed the process and how the local share calculations relate to earmarks.

D. Fall Service Changes

Referring to the Fall Service Adjustments memo included in the Board packets, Mr. Mose noted that the proposed service adjustments actually place the level of service back to the level anticipated in last year’s budget and should also improve operations.

Mr. Mose stated that this plan will probably represent a service cutback for some riders, such as those who are used to a departure from downtown every 15 minutes on Sundays, but he feels 30 minute departures are not a bad level of service, especially based on weekend ridership numbers. Staff feels that use of trippers will enable the Authority to provide as good a level of service as is offered now. He also feels this will enable staff to address the University’s concern about bus congestion on campus, since many of the trippers will turn around instead of going across campus. Mr. Mose continued reviewing each of the areas and routes to be adjusted and how the ridership history and service requests warrant the changes being proposed by staff.

Mr. Mose also added that staff continues to look at possible ways to combine the F and CS Routes so as to eliminate the CS Route; however, so far there is no clear cut way to do so without taking service away from some of the regular riders.

In response to Mr. Sherman, Mr. Mose noted that there may be a limited loss in revenue; however, the revenue loss will be minuscule compared to the savings.

E. Agreement with State College Borough

Mr. Mose briefly reviewed the draft agreement between CATA and the State College Borough. This agreement will offer Borough employees free-fare access to Centre Line and the Park-and-Ride program in exchange for which the Borough will consider all costs associated with the construction of the original park-and-ride lot to have been reimbursed.

Mr. Sherman moved that the Board authorize the General Manager to execute an agreement with the Borough of State College that will allow the Borough to offer its employees free-fare access to Centre Line and the Park-and-Ride program, and provide free bus service for downtown employees who park in the Sparks Street parking lot, in exchange for which the Borough will consider all costs associated with the construction of the original Park-and-Ride lot to have been reimbursed. Mr. Powers seconded the motion.

In response to Mr. Sherman, Mr. Mose confirmed that this agreement would run through 2003, after which time the Authority may consider some further agreement for discounted passes for Borough employees.

There being no further discussion, Chairman Spychalski called for a vote and the motion passed unanimously.

 

IV. OTHER BUSINESS

A. General Manager's Report

Mr. Mose noted that Mr. Gilbert continues working with Pierce Transit to "piggy back" on their purchase order of New Flyer buses. In response to Mr. Davidson, Mr. Gilbert added that he expects CATA to be allowed to use the change order process to get Detroit Diesel engines, rather than the Cummins that Pierce Transit has ordered, or make any other changes necessary to keep the new buses consistent with CATA’s bus fleet.

Last Thursday, there were over 200 riders using the free-fare zone. Mr. Gilbert reported that there have been no reports of anyone trying to abuse the system by riding outside the zone for free. Mr. Davidson asked that the dash cards be displayed a little better. Mr. Gilbert noted that there are holders on the dash of each bus, but the drivers may not be using them in order to be able to reach the dash cards as they change routes.

B. Service Development Report

Mr. Bernier noted that there has been much coverage of the free-fare zone in the CDT, Daily Collegian and several TV stations. A copy of the Daily Collegian article was distributed to the Board.

Mr. Sherman noted that there was an article regarding the free-fare zone posted on one of the bus shelters near the Natatorium.

Mr. Tobin announced that there will be a public meeting held in the Borough Council Chambers on April 25, 4:00 - 7:00 p.m., to discuss the Intermodal Transportation Center. The public will have the opportunity to review the consultant’s recommended site, as well as the other alternative sites which have been considered.

 

V. ADJOURNMENT

There being no further business, Chairman Spychalski adjourned the meeting at 5:08 p.m.