Transportation Plan - 2009, amended

Appendices

A ppendix H. F ixed R oute T ransit C ase S tudy , cont ’ d

sit system during each fiscal year. Examples of operational expenses include salaries and benefits for transit-related Town employees; vehicle maintenance and cleaning; vehicle fuel; advertising; training; and contractor fees. Operational expenditures are eligible for up to a 50 percent reimbursement from federal grant programs after fare box revenues have been accounted for. North Carolina’s State Maintenance Assistance Program (SMAP) provides for an allocation of up to 25 percent of the operational costs as well. This results in as little as 25 percent of the yearly operating expenses being borne by the Town’s operating budget. Figure H.4 provides a typical operational budget for the transit system.

Town Operational Costs include salary and benefits for the Town’s Transit Director as well as portions of other Town staff providing ser- vices in support of the transit sys- tem. Contracted Services include the cost associated with a con- tractor providing day-to-day tran- sit operations after transit revenue operations have begun. Contrac- tor startup costs are associated with a one-time expense that typi- cally covers the costs of the con- tractor prior to revenue operations commencing. This may include localized staff training, route famil-

Figure H.2 Summary of Capital Expenditures for Fixed Route Transit Case Study Capital Budget Number Unit Cost Total Federal

State

Local

Vehicles

3 1

$125,000 $36,000 $15,500

$375,000 $311,250

$30,000 $2,880 $15,500 $25,000

$33,750 $3,240 $15,500 $25,000

ADA Vehicle

$36,000

$29,880

Shelters

10 50

$155,000 $124,000 $250,000 $200,000

Transit Stop Amenities (incl. sign, bench, trash can, solar lighting, and ADA upgrades)

$5,000

Office Equipment

1 1

$10,000 $250,000

$10,000

$8,000

$1,000 $25,000 $99,380

$1,000 $25,000 $103,490

Maintenance Facility Equipment

$250,000 $200,000

Totals

-

- $1,076,000

$873,130

Figure H.3 Summary of Fixed Route Transit Case Study Budget Years 1-5 Summary Budget Year 1 Year 2 Year 3 Year 4

iarization, and establishment of oversight and com- munication protocols with Town staff. Additional operational expenses for public information include transit system advertising, website creation and maintenance, and organizational branding efforts. Fixed-Route Case Study Example Summary. Using the assumptions in this example, the Town of Mor- risville can anticipate an average annual transit ex- pense of approximately $98,000 (Figure H.3). Ma- jor capital expenses for startup vehicle acquisition and facility improvements in Year One would cost the Town $208,500 (in 2008 dollars). In addition to operating expenses, Year Four expenditures include replacement revenue vehicles for a total expendi-

Year 5

Capital Expenditures Operating Expenditures Total Expenditures Farebox Revenue Capital Assistance Operating Assistance

$1,076,000

-

-

$411,000

-

$435,000 $391,000 $397,000 $1,511,000 $391,000 $397,000

$403,000 $409,000 $814,000 $409,000

$15,000 $972,510

$16,500

$18,150

$19,965 $374,010

$21,962

-

-

-

$315,000 $280,875 $284,138

$287,276 $290,279

Local Funds Total Revenue

$208,490

$93,625

$94,713

$132,749

$96,760

$1,511,000 $391,000 $397,000

$814,000 $409,000

Figure H.4 Summary of Operational Expenditures for Transit Case Study Operations Budget Total Federal State Local Town Operational Costs $100,000 $50,000 $25,000 $25,000 Fuel $60,000 $30,000 $15,000 $15,000 Contracted Services $200,000 $100,000 $50,000 $50,000 Contractor Start Up $50,000 $25,000 $12,500 $12,500 Public Information $25,000 $12,500 $6,250 $6,250 Totals $435,000 $ 210,000 $105,000 $105,000

ture of approximately $132,500. Federal and State grant funding provide the majority of transit system funding after farebox revenue subtracts from the total yearly operating expense.

H-2

H Transit Case Study