1. Vanpool Funding from USDOT

2. What is a commuter vanpool?  Volunteer driven  Near home & work  Long commutes  Shared expense  Monthly subscription  Group determines schedule and route  10 cars  1 vanpool A big carpool with rules and a schedule!

3. Simple Benefit: Net Vehicle Reduction 1.2 occupants 12 occupants 1.2 occupants 10 Cars 1 Vanpool

4. Vanpool Programs for the Commuting Public Private sector initiatives New York, Los Angeles, Washington, San Francisco, Philadelphia, Boston Public sector initiatives Chicago, Seattle Public/Private Partnerships Detroit, Dallas-Fort Worth, Houston- Galveston, Atlanta, Miami-Fort Lauderdale, Phoenix, Minneapolis-St. Paul

5. The Make-Buy Decision Purchase/Lease vans –FTA Capital Grant (80% Federal / 20% State-Local) –At-risk, disposition responsibility –Subject to out-of-service depreciation, insurance, etc. Contract for Service –FTA Capital Cost of Contracting (80% Federal / 20% State/Local) –Never at-risk, no disposition responsibility –Pay only for revenue service, no downtime expense Maintenance –Preventive Maintenance is 80% Federal / 20% State & Local Insurance, Marketing and Management –80% Federal for “Non-Operating Expense” in Rural Areas (5311)

6. FTA Capital Cost of Contracting Turnkey service contract Vehicles Maintenance Service delivery Fare collection Subsidy mechanism Payment terms – Net 30 days FTA Third-Party Contracting Guidelines FTA National Transit Database (NTD) Reporting Audit Provisions 50% of Total Cost at 80% Federal and 20% State/Local Translation: 40% Federal, 10% Local and 50% Fares

7. 4 Year Cash Flow – One vanpool Year 1Year 2Year 3Year 4Total Private Expense Vehicle (At-Risk)$26,000$0 $26,000 Maintenance2507501,2501,7504,000 Interest900 3,600 Spares600 2,400 $27,750$2,250$2,750$3,250$36,000 Public Expense Federal (Capital)$7,200 $28,800 Local (Capital)1,800 7,200 $9,000 $36,000

8. Existing Private Vanpool Operations

9. Federal Funding for Vanpools FTA Section 5307 –Urban Formula Funding FTA Section 5311 –Category “C” FTA Section 3037 –Job Access and Reverse Commute (JARC) FHWA CMAQ –Transfer to FTA @ 100% Flexible Funding –Between sections for unspent monies

10. FTA Section 5307 Large UZA (200,000+ population) –Funds flow to designated recipient –MPO planning process –Formula based on reported NTD statistics 1.Bus/Vanpool Revenue Miles 2.Bus/Vanpool Passenger Miles 3.Fixed Guideway Revenue Miles (Rail, HOV, Ferry) 4.Fixed Guideway Miles (Rail, HOV, Ferry) 5.Population 6.Population Density –Capital: 80% Fed / 20% State & Local 90% Federal for ADA and Clean Air Act –Operating: None

11. Capital & Operating Expense/Rev-Mile Motor Bus, ADA Paratransit & Vanpool (Texas) FY2001 National Transit Database Statistics, USDOT Reauthorization proposal – Increases to ~$0.55/Rev-Mile (1 MM Pop.) and ~$0.60/Rev-Mile (200K->1MM Pop.) Current Formula @ $0.39/Rev-Mile (Large) and $0.52/Rev-Mile (Medium)

12. Balance CCofC & Formula CMAQ CCofC FormulaCCofC Takes two years to reach formula cycle.

13. FHWA CMAQ Funding (Billions $) 100% Federal for Vanpool projects

14. FTA Section 5307 Small UZA Small UZA (50K to 200K population) –Funds flow to Governors or designees –State DOT planning process –Formula: Population & Population Density –Capital: 80% Fed / 20% State & Local 90% Federal for ADA and Clean Air Act –Operating: 50% Fed / 20% State & Local

15. FTA Section 5311 Category A –Projects meet all Federal requirements Category B –Projects in process of meeting Federal requirements Category C – “Program Reserve” –Funds to finance unidentified projects –Not a contingency fund for Category A & B –No more than 10% of total grant can be in “C” –Use it or lose it!

16. FTA Section 5311 Eligibility Areas not currently in UZA are eligible for Sec. 5311 funding, even if they are included in metro area planning boundary (which includes the AQ non-attainment boundary) Projects may include transportation TO and FROM urbanized areas Service area may include destinations CROSSING a state lines

17. FTA Section 5311 & Vanpools Eligible Project Costs at 80% Federal $$$ –Capital Vans, Financing, Maintenance, Delivery Charges –Non-Operating Project management and Marketing Insurance premiums & payments to self-insurance reserve Facilities and equipment rental Standard overhead rates Drug and alcohol testing “Promoting and coordinating ridesharing eligible, if part of coordinated public transportation program.”

18. Vanpool Pricing Scenario Urban FTA 5307 Rural FTA 5311 Federal Capital$ 600$ 868 State and Local Capital $ 150$ 217 Fare Revenue$ 150$ 217 Federal Operating$ 0$ 208 State and Local Operating$ 0$ 208 Fare Revenue$ 750$ 208 Total Fare Revenue$ 900$ 425

19. Job Access & Reverse Commute (JARC) FTA Section 3037 Use of transit/vanpool by workers with non-traditional work schedules Use of transit/vanpool vouchers for welfare and eligible low-income recipients Use of employer-provided transit/vanpool, including the Commuter Choice program Flint Lansing Ann Arbor Detroit Troy Mt. Clemens 4 2 1 2 2