Operations & Finance Committee Meeting Agenda

Transcription

1 Operations & Finance Committee Meeting Agenda Nashville MTA Committee Meetings Music City Central Meeting Room 400 Charlotte Ave., Nashville, TN Thursday, February 22, 2018 The Operations & Finance Committee will begin at 1:30 p.m. Operations & Finance Committee Walter Searcy, Chair Hannah Paramore Breen 1. Call to Order 2. Discussion Items a. Monthly Financial Report Compared to Budget Ed Oliphant, CFO b. Monthly Operating Statistics India Birdsong, COO 4. Other Business 5. Adjourn OF-D OF-D

2 NASHVILLE METROPOLITAN TRANSIT AUTHORITY OF NASHVILLE AND DAVIDSON COUNTY, TENNESSEE COMMITTEE DISCUSSION ITEM Item Number: OF-D Meeting Date: 02/22/18 Item Title: MONTHLY FINANCIAL REPORT COMPARED TO BUDGET Attached is a statement of operations for the month of December 2017 compared to the budget and a balance sheet as of December 31, CURRENT STATUS Chief Financial Officer Ed Oliphant will review the statements at the committee meeting. Approved: Chief Financial Officer February 16, 2018 Date 1

3 Metropolitan Transit Authority Statement of Operations Compared to Budget For the Period Ending December 31, 2017 UNAUDITED Actual Month Month End F / Prior Year Actual Budget Y-T-D F / Original Month Budget Variance U Y-T-D Y-T-D Y-T-D Variance U Budget Revenue form Operations: Passenger Fares $445,817 $575,500 ($129,683) U $5,015,794 $3,781,253 $3,713,900 $67,353 F $7,217,000 Access Ride 51,836 70,500 (18,664) U 431, , ,050 (23,426) U 864,900 Contract Revenues 206, ,815 (6,128) U 1,245,341 1,260,265 1,276,900 (16,635) U 2,553,800 Advertising 96,147 95,000 1,147 F 531, , ,000 34,338 F 1,100,000 Other Non-Trans Revenue 90,112 89, F 593, , ,075 28,294 F 1,062,450 Total Operating Revenue 890,599 1,043,495 (152,896) U 7,816,952 6,578,849 6,488,925 89,924 F 12,798,150 Federal/State/Local Income: Local Assistance 5,250,000 5,250,000 0 F 31,250,000 32,250,000 32,250,000 0 F 48,635,900 State Assistance F 4,653,700 4,723,500 4,723,500 0 F 4,723,500 Federal Assistance - CMAQ 159, , F 955, , ,750 8,636 F 1,900,000 Federal Assistance - JARC/New Free 107, ,610 (51) U 200, , ,660 (1,661) U 1,291,320 Total Assistance Income 5,516,586 5,516, F 37,058,885 38,575,885 38,568,910 6,975 F 56,550,720 Capital Revenue: Capital Operating Reimbursement F F 9,563,300 Capital ADA Reimbursement F F 2,750,000 Total Capital Income F F 12,313,300 Total Revenue $6,407,185 $6,559,605 ($152,420) U $44,875,837 $45,154,734 $45,057,835 $96,899 F $81,662,170 Expenses from Operations: Labor and Fringes $4,711,589 $4,715,877 $4,288 F $26,824,780 $28,554,174 $29,151,205 $597,031 F $57,850,140 Services 665, ,944 (2,660) U 3,678,940 4,049,159 3,973,491 (75,668) U 7,970,200 Fuel 369, ,164 36,867 F 1,816,455 2,164,183 2,510, ,706 F 5,142,785 Parts, Materials and Supplies 345, , ,680 F 2,375,666 2,978,426 3,176, ,507 F 6,357,220 Utilities 111, ,235 20,434 F 621, , , ,420 F 1,430,850 Casualty and Liability 171, ,817 5,136 F 1,109,154 1,083,947 1,060,902 (23,045) U 2,121,800 Other 34,270 57,537 23,267 F 308, , , ,843 F 789,175 Total Operating Expenses 6,409,997 6,702, ,012 F 36,734,957 39,764,650 41,063,444 1,298,794 F 81,662,170 Surplus / (Deficit) before GASB 33 ($2,812) ($142,404) $139,592 F $8,140,880 $5,390,084 $3,994,391 $1,395,693 F $0 Capital Grant Revenue 3,958,081 3,958,081 F 1,669,872 8,192,903 8,192,903 F 0 Rental income - MCC Amortization 49,167 49,167 F 295, , ,002 F Gain/(Loss) on Sale of Property (1,019) (1,019) U 0 (25,720) (25,720) U Comp Op Analysis & Traincaster (1,666) (1,666) U 0 (68,654) (68,654) U Depreciation (1,271,807) (1,271,807) U (8,210,965) (7,435,699) (7,435,699) U 0 Surplus / (Deficit) $2,729,944 ($142,404) $2,872,348 F $1,894,789 $6,347,916 $3,994,391 $2,353,525 F $0 2

4 Metropolitan Transit Authority Comparative Balance Sheets Month Ended Month Ended December 31, 2017 June 30, 2017 (unaudited) (unaudited) CURRENT ASSETS Cash and cash equivalents $7,426,540 $2,254,719 Receivables from federal, state and local government 1,720,878 5,028,295 Accounts receivable 1,360,959 1,744,529 Materials and supplies 3,194,195 3,096,646 Prepaid expense and other 1,335, ,835 Pension Deferred Outflow 6,412,991 6,412,991 Total Current Assets 21,451,461 19,292,015 PROPERTY AND EQUIPMENT Land 14,733,025 14,733,025 Building, shelter and benches 96,033,130 93,878,816 Revenue equipment and parts 127,397, ,291,561 Office furniture and equipment 4,177,295 4,098,720 Other 8,236,400 8,540, ,577, ,542,477 Less: Accumulated Depreciation (121,519,743) (115,814,900) Total Property and equipment, net 129,057, ,727,577 OTHER ASSETS Cash and investments for self-insurance and other 9,702,278 13,664,028 TOTAL ASSETS $160,211,348 $159,683,620 LIABILITIES AND NET ASSETS CURRENT LIABILITIES Accounts payable $2,433,648 $3,277,698 Accrued expenses 7,608,087 6,089,065 Deferred revenue 46,617 46,466 Note Payable 0 2,850,000 Total Current Liabilities 10,088,352 12,263,229 NON-CURRENT LIABILITIES Deferred Revenue 8,852,463 9,147,465 Refundable Grants 1,235,641 5,185,951 Net Pension Liability 16,972,784 16,972,784 Pension Deferred Inflow 1,262,057 1,262,057 Net other postemployment benefits obligations 42,936,147 42,936,147 NET ASSETS Invested in capital assets 120,205, ,730,112 Reserve for capital purchases 9,352,278 13,314,038 Unrestricted (57,041,436) (46,502,782) Current Year Surplus / (deficit) 6,347,916 (9,625,381) Total Net Assets 78,863,904 71,915,987 TOTAL LIABILITIES AND NET ASSETS $160,211,348 $159,683,620 Current Ratio Quick Ratio Working Capital 4,950, ,795 3

5 NASHVILLE METROPOLITAN TRANSIT AUTHORITY OF NASHVILLE AND DAVIDSON COUNTY, TENNESSEE COMMITTEE DISCUSSION ITEM Item Number: OF-D Meeting Date: 02/22/18 Item Title: MONTHLY OPERATING STATISTICS BACKGROUND Attached are monthly operating statistics through December CURRENT STATUS Chief Operating Officer India Birdsong will review the statistics at the committee meeting. Approved: Chief Operating Officer February 16, 2018 Date 4

6 MTA Operations Dashboard Report December 2017 December 2016 Pct. Change Average Monthly Goals Ridership Total Passengers Bus 711, , % AccessRide (MTA) 25,205 25, % AccessRide (Overflow/Taxi) 10,502 11, % AccessRide Total 35,707 36, % Total 746, , % 850,000 Passengers per Revenue Hour Bus % 20 AccessRide % 2.15 Total Scheduled Revenue Hours 56,258 54, % Total Cost Per Scheduled Revenue Hour of Service $ $ % Safety Miles Between Total Accidents 41,687 71, % 40,000 Miles Between Preventable Accidents 236, , % 325,000 Preventable Accidents % Non-Preventable Accidents % Internal Accidents % External Accidents % Service Quality Bus Trip Completion Percentage 99.61% 99.69% -0.1% 99.9% AccessRide Trip Denials % 0.0% Miles Between Road Calls 2,823 5, % 7,000 On-Time Performance Bus 87.65% 87.07% 0.6% 90.0% AccessRide 83.12% 85.63% -2.5% 90.0% Customer Care Passengers Carried Per Complaint Bus 7,566 7, % 8,000 AccessRide % 950 Total Calls Received 25,870 25, % Percent of Calls Answered 93.66% 96.09% -2.5% 95.0% 5

7 MTA Operations Dashboard Report FY 2018 December FY 2017 December Pct. Change Average Monthly Goals Ridership Total Passengers Bus 4,695,629 4,751, % AccessRide (MTA) 158, , % AccessRide (Overflow/Taxi) 69,993 77, % AccessRide Total 228, , % Total 4,924,511 4,978, % 5,100,000 Passengers per Revenue Hour Bus % 20 AccessRide % 2.15 Total Scheduled Revenue Hours 338, , % Total Cost Per Scheduled Revenue Hour of Service $ $ % Safety Miles Between Total Accidents 38,122 36, % 40,000 Miles Between Preventable Accidents 269, , % 325,000 Preventable Accidents % Non-Preventable Accidents % Internal Accidents % External Accidents % Service Quality Bus Trip Completion Percentage 99.57% 99.69% -0.1% 99.9% AccessRide Trip Denials % 0.0% Miles Between Road Calls 2,500 5, % 7,000 On-Time Performance Bus 85.31% 83.99% 1.3% 90.0% AccessRide 84.94% 85.58% -0.6% 90.0% Customer Care Passengers Carried Per Complaint Bus 7,723 7, % 8,000 AccessRide % 950 Total Calls Received 166, , % Percent of Calls Answered 92.62% 96.04% -3.4% 95.0% 6

8 MTA Operations Dashboard Glossary Metric Ridership Total Passengers Bus AccessRide (MTA) AccessRide (Overflow/Taxi) AccessRide Total Passengers per Revenue Hour Bus AccessRide Total Scheduled Revenue Hours Definitons Total fixed route passenger boardings on all MTA operated services Total paratransit passenger boardings on MTA vans Total paratransit passenger boardings on 3rd party service providers Total paratransit boardings (MTA vans and 3rd party service providers) Total fixed route passenger boardings divided by total scheduled fixed route revenue vehicle hours. Total paratransit boardings on MTA vans divided by total scheduled paratransit revenue vehicle hours. Total fixed route and paratransit scheduled revenue vehicle hours. Note: Revenue vehicle hours are total vehicle in-service hours excluding vehicle travel from the garage to the first timepoint (or pickup for paratransit) and from the last timepoint (or pickup) to the garage. Total Cost Per Scheduled Revenue Hour of Service Total fully allocated cost to deliver service divided by the total scheduled revenue hours. Safety Miles Between Total Accidents Miles Between Preventable Accidents Preventable Accidents Non-Preventable Accidents Internal Accidents External Accidents Total number of miles travelled by all MTA revenue vehicles (fixed route and paratransit) divided by the total number of accidents. Total number of miles travelled by all MTA revenue vehicles (fixed route and paratransit) divided by the total number of preventable accidents. A motor vehicle collision, in which the Operator did not do everything reasonable to avoid a collision, committed an error or failed to react to the errors of others. A motor vehicle collision in which the Operator committed no driving error and reacted reasonably to the errors of others. A motor vehicle collision that occurs on Nestor or Myatt yard. A motor vehicle collision that occurs outside of Nestor or Myatt yard. Service Quality Bus Trip Completion Percentage Percentage of one-way fixed route revenue trips completed versus scheduled. 7

9 MTA Operations Dashboard Glossary Metric Definitons AccessRide Trip Denials Miles Between Road Calls Total number of paratransit trips that cannot be scheduled within one hour before or after the customer's requested pick-up time. Any mechanical failure, excluding farebox and accidents. Bus and AccessRide metrics will be reported separately. Bus On-Time Performance Percentage of total scheduled fixed route timepoint departures occurring between 59 seconds early and 5 minutes 59 seconds late. Customer Care Passengers Carried Per Complaint Bus AccessRide Total fixed route passengers divided by total fixed route customer complaints. Total paratransit (MTA and 3rd Party service providers) passengers divided by total paratransit customer complaints. Total Calls Received Percent of Calls Answered Percentage of calls received that were answered. Unanswered calls are calls that are lost for any reason once in the customer call phone queue. 8

10 New Initiatives & Community Engagement Committee Meeting Agenda Nashville MTA Committee Meetings Music City Central Meeting Room 400 Charlotte Ave., Nashville, TN Thursday, February 22, 2018 Committees begin meeting at 1:30 p.m. The NICE Committee will immediately follow the Operations & Finance Committee. NICE Committee Janet Miller, Chair Glenn Farner 1. Call to Order 2. Discussion Items a. FY2019 Baseline Budget with Let s Move Nashville Recommendations Ed Oliphant, CFO 3. Action Items b. Music City Central Renovation Trey Walker, Director of Engineering & Project Management c. Mobility on Demand, AccessRide Same-Day Premium Service Pilot Dan Freudberg, Director of Service Quality NICE-D NICE-A NICE-A Other Business 5. Adjourn

11 NASHVILLE METROPOLITAN TRANSIT AUTHORITY OF NASHVILLE AND DAVIDSON COUNTY, TENNESSEE COMMITTEE DISCUSSION ITEM Item Number: NICE-D Meeting Date: 02/22/18 Item Title: FY2019 BASELINE BUDGET WITH LET S MOVE NASHVILLE RECOMMENDATIONS BACKGROUND In January 2018, we discussed with the New Initiatives & Community Engagement Committee how the Nashville Metropolitan Transit Authority (Nashville MTA) proposed baseline operating budget for FY2019 would be impacted assuming we continue with existing services. The purpose of the baseline budget is to examine financial impacts of conditions impacting current operations. The Metro Office of Management and Budget had given us preliminary guidance to assume no increase in our subsidy for FY2019. With our proposed baseline budget in our first pass-through showing a deficit of approximately $2.9 million, the Committee and Board recommended looking for efficiencies to reduce the deficit, but ultimately directed us to have some increases in the Metro subsidy for reasonable inflationary increases and projects where Nashville MTA only received partial funding in FY2018. The office of Management and Budget has since released its official guidance and is asking for submissions to include budget modifications required to meet any contractual increases as well as funding for projects which were partially funded in the previous year. The deadline for submissions is February 20, The highlights of the changes we want to propose in our budget as it relates to this guidance include: 1. Full funding for free transfers $250,000 Free transfers were implemented in August 2017 with an estimated reduction in bus fares of approximately $2,750,000. This represents the balance of the impact for the one month not included in last year s budget request. 2. Full funding for Mobility-on-Demand (MOD) projects $591,000 We had included approximately $640,000 for MOD projects in last year s budget which was to go into effect during our October 2017 service changes. Ultimately, Metro cut approximately $378,000 from our subsidy request for FY2018 which we applied toward the MOD project resulting in a delay of implementation until Spring Full funding for extending the circuit and improvements to routes 19 and 22 $450,000 With the Fall 2017 service changes, Nashville MTA implemented approximately 15,000 hours of service that included the extension of the Music City Blue Circuit to Tennessee State University along with improvements to routes 19 Herman and 22 Bordeaux. The additional 5,000 hours allows us to maintain the improvements for the whole year. 4. Contractual increases for fuel hedging $225,200 Our fuel hedging contracts increased from $1.64 to $1.82 for diesel and from $1.59 to $1.70 for gasoline. 1

12 5. Contractual increases anticipated in our union negotiations $976,200 We will be entering into negotiation this spring for a new three-year contract with the Amalgamated Transit Union. The current contract is due to expire on June 30, This represent a 2% anticipated increase in wages related to our collective bargaining agreement as well as the impact this increase would have on pension and FICA expenses. 6. Contractual increases related to security contracts with Metro Police $71,200 Metro Police instituted an increase in the rates charged for our extra police officers that became effective July 1, We did not have this increase in the FY2018 budget and have made up the difference with other savings. However, we need to include the increase for the FY2019 request. These impacts total to a proposed increase of approximately $2.6 million in our Metro subsidy. This would be an increase of 5.3% on our current subsidy of $48.6 million. We are planning on following a budget submission similar to last year in terms of submitting a baseline of what it will take to operate existing service and layer in the options for expanded service related to Let s Move Nashville. Beyond the baseline budget, there are three other areas for consideration and discussion prior to the preparation and submission of our FY2019 Budget Request to Metro Finance as they relate to Let s Move Nashville. 1. Bus Service Increases These would not fundamentally alter our service mix, but would increase the span of service hours from 4:15 a.m. to 1:15 a.m. Monday through Saturday and 6:15 a.m. to 11:15 p.m. on Sundays. 2. ADA Paratransit Service Increases These would fund additional AccessRide services mainly to match the service hour expansion for the complimentary paratransit on the fixed route. It could also include some expansion in Mobility on Demand given that we would not have yet expanded our fleet capacity. 3. Rapid Bus Corridor Increases This would be funding to expand the hours of service for all our high-capacity corridors to be consistent with the regular fixed service hours of operation. The baseline budget, before implementation of any Let s Move Nashville initiatives, reflects an increased ask from Metro Government of approximately $2.6 million for a total subsidy request of $51.2 million (an increase of 5.3%). The Let s Move Nashville initiatives amount to a total increase of approximately $6.7 million that would need to be added to Metro Government s subsidy for a total request of just over $57.9 million, an increase of 19.1%. The initiatives have been costed out separately for discussion and consideration by the Committee. CURRENT STATUS Chief Financial Officer Ed Oliphant and Chief Executive Officer Steve Bland will discuss the baseline budget and Let s Move Nashville initiatives with the New Initiatives & Community Engagement Committee and Nashville MTA Board to get input and direction as to what our final FY2019 budget submission will look like and what amount will be asked of Metro Government in the form of a subsidy request. 2

13 Broadly, we will discuss information relative to the following: 1. Baseline budget changes as described above. 2. Bus service increases totaling approximately $2.3 million. Increasing the span of service hours could be implemented in FY2019 since this could be achieved without expanding the existing fleet. This initiative would extend the service day on up to 14 key routes from 4:30 a.m. to 1:30 a.m. 3. ADA paratransit service increases totaling approximately $1.9 million. The main increase for AccessRide service hours would be to mirror the expanded hours on the fixed-route service as required by the Federal Transit Administration for complimentary paratransit to be available while fixed-route service is operating. This service could also include additional Mobility on Demand type services should the demand for service outpace our capabilities based upon the size of our paratransit fleet. 4. Rapid bus corridor increases totaling approximately $2.5 million. Increasing the span of service hours for our rapid bus corridors to coincide with the extended hours for our regular fixed route services from 4:30 a.m. to 1:30 a.m. Approved: Chief Financial Officer February 16, 2018 Date 3

14 NASHVILLE METROPOLITAN TRANSIT AUTHORITY OF NASHVILLE AND DAVIDSON COUNTY, TENNESSEE COMMITTEE ACTION ITEM Item Number: NICE-A Meeting Date: 02/22/18 Item Title: MUSIC CITY CENTRAL RENOVATION BACKGROUND Music City Central, the operations terminal for the Nashville Metropolitan Transit Authority (Nashville MTA), opened in October Approaching the 10-year anniversary of the building, Nashville MTA compiled a bid package for the first major renovation to the facility. The renovation design package includes: Demolition and reconstruction of the public restroom facilities. In addition to the current restrooms, the renovated spaces will incorporate a single-stall family restroom which was suggested by the Board during the October 2017 meeting. The new restrooms incorporate vandal-resistant fixtures such as sinks, toilets, trashcans, and paper-towel dispensers to limit potential damage. Renovation of the current customer care area and adjacent office space. The new customer care window will incorporate four transaction windows, lost and found storage, safe storage, and lockers for employees. Upon completion, the renovated space will allow for up to 10 work stations beyond the ticketing area. An extensive waterproofing program throughout the structure. The waterproofing program includes resealing and reconstructing expansion joints, concrete crack repair, resurfacing of bus bays on both levels, resealing and landscaping of exterior planters, and sealing overhead concrete decks on each level. The renovation was designed by Gresham, Smith, and Partners, MTA s on-call engineering and architecture firm. As part of the design scope, Gresham, Smith and Partners provided an opinion of probable cost for the project totaling $4,601,412 excluding contingency. Bid package solicitation was originally scheduled for approximately five weeks, but was extended four weeks according to bidders request for more time. Solicitation of the bid package yielded one qualified bidder, Batten and Shaw Construction, with a base bid amount of $4,823,000. The base bid received from Batten and Shaw is within 5% of the engineer s cost estimate. The solicitation likely yielded one bid due to market circumstances in the region along with the logistical complexities of the project. While construction activity is peaking in Nashville and the surrounding areas, this project offers a modest top-line value while incorporating the difficulties of construction in a fully operational facility. Funding Source: Funding for the renovations would primarily be from the proceeds from the sale of the Clement Landport, supplemented with Section 5339 and 5307 funds that have a state and local match. 4

15 STAFF RECOMMENDATION We request the New Initiatives and Community Engagement Committee recommend the Board provide the Chief Executive Officer the authority to enter into a construction contract with Batten and Shaw Construction for a base amount of $4,823,000. Due to the nature of the project, specifically the waterproofing scope, we also recommend the Board authorize a project contingency of 30%, resulting in an authorized not-to-exceed project total of $6,269,900. Approved: Chief Development Officer 5 February 16, 2018 Date

16 NASHVILLE METROPOLITAN TRANSIT AUTHORITY OF NASHVILLE AND DAVIDSON COUNTY, TENNESSEE COMMITTEE ACTION ITEM Item Number: NICE-A Meeting Date: 02/22/18 Item Title: MOBILITY ON DEMAND, ACCESSRIDE SAME-DAY PREMIUM SERVICE PILOT BACKGROUND In June of 2017, the Nashville Metropolitan Transit Authority (Nashville MTA) Board approved contracts with DemandTrans and TransLoc to develop and implement mobility-on-demand pilot projects. In addition to developing demand-responsive, first/last mile connections to fixed-route services, one of the focuses of DemandTrans has been on enhancing services for AccessRideeligible customers through the use of third-party service providers, including the implementation of a same-day, premium service option. DemandTrans has been successful in working with Nashville MTA staff to develop a service model with multiple transportation partners to provide this service. However, the actual provisioning of these services was not included in the base contract value. Because the Nashville MTA contract is with DemandTrans and not these third-party providers (subcontractors to DemandTrans), funding is needed on the DemandTrans contract to support these services for a full six-month pilot period. The source of these funds represent a reallocation of existing AccessRide operating funds, as trips taken on this service will largely be offset by trips not taken on traditional AccessRide paratransit. Director of Service Quality Dan Freudberg will provide a status update on the Access-on-Demand premium service pilot for AccessRide-eligible customers. STAFF RECOMMENDATION The current contract value for DemandTrans is $575,000, which does not include the actual provision of transportation services. In order to provide these services, we request the New Initiatives and Community Engagement Committee recommend to the Board approval for an increase of $500,000 to the contract value for a total contract value of $1.075 million. The source of these funds are existing AccessRide operating funds in the Nashville MTA operating budget. Approved: Chief Development Officer 6 February 16, 2018 Date