Jule Transit System Proposed Fare IncreaseTHE CITY OF
Dui
Masterpiece on the Mississippi
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Transit Fare Increase
DATE: February 25, 2014
Dubuque
band
AI -America City
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2007 • 2012 • 2013
In the past five years, with the support of the Transit Advisory Board and the City
Council, The Jule has applied for and received multi-year grants to expand the service
areas and increase the frequency of transit service to high demand locations in the City
of Dubuque. The Smarter Travel Project in combination with The Jule's Intelligent
Transportation System (ITS) provided Jule staff with the information needed to
restructure the routes for increased efficiency. The goal of this restructure and
providing additional transit services was and continues to be focused on improving
access to employment, education and recreation opportunities for the citizens of
Dubuque.
These system -wide changes were funded by grants from the Iowa Clean Air Attainment
Program (ICAAP) which has a limit of three years of funding for each route. The
improvements that have been made due to the addition of these grant -funded routes
(Shopping Circulator, Nightrider, Express and Grey Loop) have been system -wide and
the removal of even one of these routes would have negative system -wide impacts.
These negative impacts include increased trip length (return to most trips taking 60
minutes or more), removal of entire service areas, and reduced frequency of service to
most service areas.
In the case of the Nightrider, $34,086 is being paid for by the college partnership (Loras,
Clarke, and University of Dubuque). It is expected that this partnership will continue.
In order to maintain the current improved level of service funded through grant
programs for the last several years, a fare increase is proposed.
The Jule has one of the lowest fares in the state and a review of historical council
documents shows the last approved fixed -route fare increase in 1986. A fare increase
was proposed for paratransit (minibus) service in 2005 and was approved.
Over the past five years, the quality and quantity of transit service in the City of
Dubuque has increased with measures of these improvements being miles and hours of
service provided and total ridership. Miles of service provided have increase by 25%,
hours of service provided have increased by 46% and ridership has increased by 22%.
In FY13, the cost per ride for delivery of minibus service was $15.26; the cost per ride
for provision of fixed -route service was $4.85.
The proposed fare increase would occur over two years with most changes occurring in
FY15. K-12 Students would continue to ride free. The standard fixed -route adult fare
would increase from $1.00 to $1.50, half -fare (Medicare cardholders and 65+) would
increase from $0.50 to $0.75. In FY15, Paratransit (Minibus) fares would increase from
$2.00 to $3.00 for 65+ riders and from $1.00 to $2.00 for disabled riders. In FY16,
Paratransit (Minibus) fares would increase from $2.00 to $3.00 for disabled riders.
The fare increase proposal was presented to the Transit Advisory Board for their
recommendation on February 13, 2014. They recommended the fare increase, but
requested that the 10 ride pass become an 11 ride for the price of 10 to incentivize
passengers to purchase the pass.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
Mic ael C. Van Milligen
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
Candace Eudaley, Director of Transit Operations
Maurice Jones, Economic Development Director
2
THE CITY OF
DUB
Masterpiece on the Mississippi
TO: Michael Van Milligen, City Manager
FROM: Candace Eudaley, Director of Transit Operations
SUBJECT: Transit Fare Increase
DATE: February 20, 2014
PURPOSE
This memo is being provided to outline the proposed fare increases scheduled to take effect July 1, 2014 in
order to maintain The Jule's present quality of service.
BACKGROUND
In the past 5 years, with the support of the Transit Advisory Board and the City Council, The Jule has applied
for and received multi-year grants to expand the service areas and increase the frequency of transit service to
high demand locations in the City of Dubuque. The Smarter Travel Project in combination with The Jule's
Intelligent Transportation System (ITS) provided Jule staff with the information needed to restructure the routes
for increased efficiency. The goal of this restructure and providing additional transit services was and continues
to be focused on improving access to employment, education and recreation opportunities for the citizens of
Dubuque.
These system -wide changes were funded by grants from the Iowa Clean Air Attainment Program (ICAAP)
which has a limit of three years of funding for each route. After three years of funding, the Iowa Department of
Transportation (DOT) expects the city to support the route through maintenance level budgeting. The
improvements that have been made due to the addition of these grant -funded routes (Shopping Circulator,
Nightrider, Express and Grey Loop) have been system -wide and the removal of even one of these routes
would have negative system -wide impacts. These negative impacts include increased trip length (return to
most trips taking 60 minutes or more), removal of entire service areas, and reduced frequency of service to
most service areas.
As each grant ends, the cost to provide the service is passed on to the city. The schedule of the end of grant
funding and the additional costs to the city in FY15, FY16, FY17 and FY18 if each service is to continue is
provided below:
Route
End of Grant Funding
FY16
FY16
FY17
FY18
Shopping Circulator
FY15 Q1
$97,221
$129,628
$133,517
$137,522
Nightrider
FY16 Q1
$73,832
$98,442
$101,395
Express and Grey Loop
FY17 Q2
$260,910
$537,474
Total Estimated Annual Cost
$97,221
$203,460
$492,869
$776,392
Additional estimated property tax support needed
if fare proposal is approved
$0
$0
$261,140
$662,620
Total estimated property tax support
$1,080,000
$1,112,400
$1,396,912
$1,742,666
Match funding that is required for the grants and is budgeted and paid by the city is not included in the table. In
the case of the Nightrider, local match of $34,086 has been paid for by the college partnership (Loras, Clarke,
and University of Dubuque). It is expected that this partnership will continue.
Page 1 of 3
Expenses and property tax support assume a 3% annual increase in fuel, maintenance and staff costs.
Third year funding for the Express and Grey Loop will be applied for in fall 2014. The table above assumes the
grant is received. The projected costs for the Express and Grey Loop shown in the table are based on
requested grant funds, not actual operating costs. Costs into FY17 and 18 are likely to be lower, but only when
the routes have been operating for 6 months will we have a better picture of the true costs, ridership, and
passenger revenue. As of the date of this memo, the new routes have only been operating 45 days, during the
coldest time of the year, which is historically a period of lower ridership and higher operating costs.
It is difficult to estimate what ridership, state and federal subsidy and true costs of operation will be in FY17
and 18 since the current restructured routes have only been active for 45 days. Ridership could increase above
the rate of recent trends with the new routes and 2 solid years of consistent service. If this is the case, state
and federal subsidies will increase and the need for additional tax support will be reduced.
The purpose of the Smarter Travel Project is to use the ITS data, bus stops information and route data to
evaluate the routes. Prior to deciding to continue into FY17, all routes, not only those funded by the grants,
need to be evaluated for efficiency and ridership demand.
The following additional revenue streams would also be evaluated during the FY17 budget process: premium
fare for Express service, returning to a K-12 student fare, expanding the college partnership to include
additional colleges or increasing the share paid by the current partners.
DISCUSSION
In order to maintain the current improved level of service funded through grant programs for the last several
years, a fare increase is proposed.
An evaluation of fares of Iowa's urban transit systems is below. The Jule has one of the lowest fares in the
state and a review of historical council documents shows the last approved fixed -route fare increase in 1986. A
fare increase was proposed for paratransit (minibus) service in 2005 and was approved.
Over the past 5 years, the quality and quantity of transit service in the City of Dubuque has increased with
measures of these improvements being miles and hours of service provided and total ridership. Miles of
service provided have increase by 25%, hours of service provided have increased by 46% and ridership has
increased by 22%.
In FY13, the cost per ride for delivery of minibus service was $15.26; the cost per ride for provision of fixed -
route service was $4.85. The Jule is considered to be a large urban system in the state of Iowa, so a half -fare
option for elderly and disabled residents is required. The Jule is allowed to charge twice the regular fixed -route
fare for minibus service. The proposed fare change follows the recommendation of the LSC Transit study
conducted in 2009.
Page 2 of 3
Full Fare
Express
1/2 Fare
K-12 Student
Transfer
Sioux City
$1.80
n/a
$0.90
$1.55
$ -
DART/Des Moines
$1.75
$2.00
$0.60
$0.75
$ -
Waterloo
$1.50
n/a
$0.75
$0.75
$ -
Cedar Rapids
$1.50
n/a
$0.75
$0.75
$ -
CyRide/Ames
$1.25
n/a
$0.60
$0.60
$ -
Council Bluffs
$1.25
$1.50
$0.60
$1.00
$0.25
Iowa City
$1.00
n/a
$0.75
$0.75
$ -
Davenport
$1.00
n/a
$0.50
$ -
$ -
The Jule/Dubuque
$1.00
n/a
$0.50
$ -
$ -
Over the past 5 years, the quality and quantity of transit service in the City of Dubuque has increased with
measures of these improvements being miles and hours of service provided and total ridership. Miles of
service provided have increase by 25%, hours of service provided have increased by 46% and ridership has
increased by 22%.
In FY13, the cost per ride for delivery of minibus service was $15.26; the cost per ride for provision of fixed -
route service was $4.85. The Jule is considered to be a large urban system in the state of Iowa, so a half -fare
option for elderly and disabled residents is required. The Jule is allowed to charge twice the regular fixed -route
fare for minibus service. The proposed fare change follows the recommendation of the LSC Transit study
conducted in 2009.
Page 2 of 3
The proposed fare increase would occur over 2 years with most changes occurring in FY15. K-12 Students
would continue to ride free. The standard fixed -route adult fare would increase from $1.00 to $1.50, half -fare
(Medicare cardholders and 65+) would increase from $0.50 to $0.75. In FY15, Paratransit (Minibus) fares
would increase from $2.00 to $3.00 for 65+ riders and from $1.00 to $2.00 for disabled riders. In FY16,
Paratransit (Minibus) fares would increase from $2.00 to $3.00 for disabled riders.
The proposed fare change would increase farebox revenue, and over the course of the 2 years, it would
simplify the fare structure. There are currently multiple rates for minibus and 90% of passengers are paying the
$1 fare. This proposal will equalize the cost of the ride for all minibus trips over the two years. In this proposal,
A Medicare Card or State Issued ID showing the passenger's age would serve as their ID for reduced fare
fixed -route services. The Jule currently requires that passengers travel to 2401 Central Ave to purchase an ID.
This removes the financial and travel barrier for those who need the half -fare. There is currently no unlimited
ride monthly pass for individuals qualifying for a half -fare. This pass type would be added and would provide an
additional discount option for individuals qualifying for half -fare.
The following fare increase proposal was presented to the Transit Advisory Board for their recommendation on
February 13, 2014. They recommended the fare increase, but requested that the 10 ride pass become an 11
ride for the price of 10 to incentivize passengers to purchase the pass.
Fare and Pass Types
FY14
FY15
FY16
Fare
Revenue
Fare
Revenue
Fare
Revenue
Adult (18-64)
$1.00
$91,576
$1.50
$137,364
$1.50
$141,484
Half -Fare
$0.50
$25,585
$0.75
$38,377
$0.75
$39,528
Student (K-12)
Free
$0
Free
$0
Free
$0
Minibus 65+
$2.00
$13,103
$3.00
$19,655
$3.00
$19,655
Minibus Disabled
$1.00
$58,966
$2.00
$117,932
$3.00
$176,898
Fixed -Route 11 Ride Card
$9.00
$19,017
$15.00
$31,695
$15.00
$31,695
Fixed -Route 11 Ride Card (Half -Fare)
N/A
$7.50
New pass type
$7.50
New pass type
Fixed -Route Unlimited Monthly Pass
$35.00
$2,030
$45.00
$2,610
$45.00
$2,610
Fixed -Route Unlimited Monthly Pass (Half -Fare)
N/A
$22.50
New pass type
$22.50
New pass type
Minibus 65+ 10 Ride Card
Included in Minibus 65+
$30.00
New pass type
$30.00
New pass type
Minibus Disabled 10 Ride Card
Included in Minibus Disabled
$20.00
New pass type
$30.00
New pass type
Total Fare Revenue
$210,277
$347,634
$411,872
Total Prepaid Revenue
$34,086
$34,086
$34,086
Total Fare Related Revenue
$244,363
$381,720
$445,958
Change in Revenue from FY14
+ $137,356*
+ $201,594*
Calculations for FY15 are based on FY14 pro'ected ridership. Calculations for FY16 are based on FY14
projected ridership +3%.
*$97,221 used in FY15. Remaining funds will be carried into FY16 and 17 to cover additional costs.
RECOMMENDATION
In concurrence with the Transit Advisory Board recommendation, I recommend that City Council approve the
fare increase as presented.
cc: Jennifer Larson, Budget Director
Maurice Jones, Economic Development Director
Kelley Deutmeyer, Executive Director ECIA
Page 3 of 3
Page 1 of 1
Kevin Firnstahl - Transit Fare Increase - Citizen Comment Received
From: Candace Eudaley <ceudaley@ecia.org>
To: "Kevin Firnstahl (Kfirnsta@cityofdubuque.org)" <Kfirnsta@cityofdubuque.org>
Date: 3/3/2014 12:19 PM
Subject: Transit Fare Increase - Citizen Comment Received
I received a voicemail from a citizen who will not be able to attend the public hearing. She didn't leave her phone
number or last name, so I could not call her back to get more details, but thought it should be entered into whatever
record is kept for this purpose.
Tami, age 49
Disabled passenger who uses paratransit/minibus in the winter and fixed -route in the spring, summer and fall.
Question:
"Why is the minibus fare increasing by double ($1 to $2) when the fixed -route fare is only going up by $0.50 and the half
fare for fixed -route is only going up by $0.25."
Answer:
The full fixed -route fare is what determines the other fares. Providing a half -fare option for fixed -route is required by the
FTA to be available to disabled and elderly passengers and should be set at half of the full fare.
The paratransit service fare can be set at twice the fare of a comparable trip on the fixed route system. When the fixed
route fare goes up by $0.50, the paratransit fare will go up by twice that amount, $1.00.
Candace Eudaley
Director of Transit Operations
The Jule Public Transit
2401 Central Avenue
Dubuque, IA 52001
563.589.4341
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file:///C:/Users/kfirnsta/AppData/Local/Temp/XPgrpwise/531473 6BDBQ_D... 3/3/2014
• RESOLUTION NO. 66-14
SETTING RATES FOR TRANSIT FIXED -ROUTE AND PARATRANSIT SERVICES
Whereas, the City of Dubuque provides fixed -route and paratransit services for the
citizens of Dubuque; and
Whereas, the scope services provided to the public have increased; and
Whereas, the cost to provide said services have continued to increase; and
Whereas, The City of Dubuque desires to continue to provide fixed -route and
paratransit services to its citizens; and
Whereas, the proposed fare increase will impact all transit riders and fare types; and
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
DUBUQUE, IOWA:
Fixed -route and paratransit fares are as follows effective July 1, 2014:
Fixed Route Fare Increases
$1.50
Full Fare
$0.75
Half -Fare
Free
Student (K-12)
$15.00
11 Ride Card
$7.50
11 Ride Card (Half -Fare)
$45.00
Monthly Unlimited Pass
$22.50 •
Monthly Unlimited Pass (Half -Fare)
ire Increases
$3.00
Elderly(65+)
$2.00 effective July 1, 2014
Disabled'
$3.00 effective July 1, 2015
Disabled
$30.00
Elderly (65+) 10 Ride Card
$20.00 effective July 1, 2014
Disabled 10 Ride Card
$30.00 effective July 1, 2015
Disabled 10 Ride Card
Passed, approved and adopted this 5th day of March, 2014.
Attest:
ativ
Ke n . Firnstahl, CM ity Clerk
Roy D. Buol, Mayor
CITY OF DUBUQUE,
IOWA
OFFICIAL NOTICE
NOTICE IS HEREBY
GIVEN that the Dubu-
que City Council will
conduct a public hear-
ing at a meeting to
commence at 6:30 p.m.
on March 5, 2014, in the
Historic Federal Build-
ing, 350 West 6th
Street, to consider a
proposed Fiscal Year
2015 fixed -route and
paratransit fare in-
crease to the Jule
Transit System.
Written comments re-
garding the above pub-
lic hearings may be
submitted to the City
Clerk's Office on or be-
fore said time of public
hearing. At said time
and place of public
hearings all interested
citizens and parties
will be given an oppor-
tunity to be heard for
or against said actions.
Copies of supporting
documents for the pub-
lic hearings are on file'
in the City Clerk's Of
fice and may be
viewed during normal
working hours.
Any visual or hearing
impaired persons
needing special assis-
tance or persons with
special accessibility
needs should contact
the City Clerk's Office
at (563) 589-4100 or
TTY (563) 690-6678 at
least 48 hours prior to
the meeting.
Kevin S. Firnstahl,
CMC, City Clerk
It 2/20
STATE OF IOWA {SS:
DUBUQUE COUNTY
CERTIFICATION OF PUBLICATION
I, Suzanne Pike, a Billing Clerk for Woodward Communications, Inc., an Iowa
corporation, publisher of the Telegraph Herald,a newspaper of general circulation
published in the City of Dubuque, County of Dubuque and State of Iowa; hereby
certify that the attached notice was published in said newspaper on the following
dates: February 20, 2014, and for which the charge is $14.87.
Subscribed to before me, a Notary Public in and for Dubuque County, Iowa,
this del day o , 20
Notary Public in and for Dubuque County, Iowa.
MARY K. WESTERMEYER
Commission Number 154885
My Comm. Exp. FEB. 1, 2017