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Home My Public Portal About05c2 Transit IGAFrom:Drew Nelson To:"Jeff Durbin" Cc:Michael Koch Subject:RE: Transit IGA Date:Monday, October 10, 2016 1:28:00 PM Jeff – I know the feeling. It’s been a mad rush around here lately too (which is always best in budget season)… To your questions: · Allocating Black, Night, and Link costs to unincorporated areas doesn’t work because they did not receive any services from those routes over the course of our operations (for example, Meadowridge was served by the Night Purple). This is just an allocation for the time period from last winter to present day. This also doesn’t include a projection for the remainder of the year (other than below); I’m just trying to get us caught up to present. · Allocation for the Summer route to unincorporated areas does make sense, but I’m not sure how to do that as part of allocating our current (i.e. to-date) costs. Since we’ve already been under contracts with HOAs from Meadowridge and Beavers (and have received revenue associated with those contracts), it could easily be argued that both of those areas have provided their fair share for service to-date. Again, I’m focused on just trying to get caught up to today. · As far as sharing our operational grant revenues, some sort of proportional share makes sense, but I’m not sure what. The grant was approved to offset our year-round operations, which basically included the Black, Night Lift, Link, Paratransit and Summer. Our total cost to-date for those routes is $763,727.90. Our operating grant was for $100,000. I have some philosophical challenges with a 60%/40% split since Winter Park has done the administrative work on this in-house, along with prior Winter Park expenditures ($50,000) for consultant services that helped us get the grant in the first place. Again, I’m not opposed to sharing, but it has to be fair. · For the Granby route, I’m not sure that we can characterize specific beneficiaries when we’re operating public transit on a regional route, even if it is only seasonal (a case could be made for some other local lines, like the Yellow). There are no restrictions as to who can ride or anything like that, so having access to the route is as good of an indicator as I can come up with (no different than the time allocation). At some point I hope to get Granby on board, but as I’ve stated before, I have no leverage that would convince them to participate financially. The best hope we have is to convince social service operators to help in putting pressure on their board, but that will only go so far. I think a question that both of our boards, as well as the TAC, should ask themselves is whether their constituents have access to this transit line. If the answer is yes, then a fair share should be paid. That bus route makes four stops in Fraser (including at the Gorensen stop), so there’s definitely capacity provided to Fraser residents and guests to be able to move around (both from Winter Park and from Granby). · Our projection only goes to mid-November, as that’s the end of last year’s proposal that we got from First Transit. However, that projection was prior to us purchasing transit buses that have dropped our fixed costs, along with a reallocation of costs for fuel, so it’s my hope that the monthly invoices will be less than this projection. Here’s the monthly breakdown: SUMMER ROUTE Hours Cost Winter Park (60%) Fraser (40%) September 752.00 $51,061.74 $30,637.04 $20,424.70 October 764.00 $51,453.90 $30,872.34 $20,581.56 November (1/2 month) 412.00 $39,950.54 $23,970.33 $15,980.21 Total 1,928.00 $142,466.18 $85,479.71 $56,986.47 Applying the administrative fee as noted below would bring the remaining projection to mid- November up to $59,835.79. Once we have pricing (specifically the fixed fee) for this winter, we’ll put a projection together for you to look at. Also, I want to continue to state that this cost allocation model does not include a lot of the extra costs that Winter Park has incurred this year, including marketing, bus purchases/painting/repairs, or personnel costs, and we’re about to spend a lot more money on bus wraps and new signage for our stops. I don’t expect those costs to be included in an overall funding discussion right now – I’m just trying to indicate that there’s a lot more behind all of this than just the First Transit invoices that I’ve been quoting in these two messages. Let us know if you have any other thoughts or questions. Thanks, Drew. ___________________________________ Drew Nelson, Town Manager Town of Winter Park P.O. Box 3327 / 50 Vasquez Road Winter Park, CO 80482 970.726.8081 (p) 970.726.8084 (f) www.wpgov.com From: Jeff Durbin [mailto:jdurbin@town.fraser.co.us] Sent: Friday, October 07, 2016 4:53 PM To: Drew Nelson <dnelson@wpgov.com> Cc: Michael Koch <mkoch@wpgov.com> Subject: RE: Transit IGA Sorry for the delay, still digging out from the week. Just a couple questions… Should some of the Summer, Black, Night, and Link cost be attributed to unincorp folks? Should Fraser costs receive some benefit from the operational grant revenues? Fraser TB won’t be super keen on paying for so much of the Granby route while its greatest beneficiary (I think?) is the Resort and Granby pays nada, but I understand your logic and the importance of the route to all businesses. Any way to project this approach forward to a year end estimate? I’d like to get this done asap too. Jeff Durbin Town Manager Town of Fraser From: Drew Nelson [mailto:dnelson@wpgov.com] Sent: Wednesday, October 05, 2016 4:24 PM To: Jeff Durbin <jdurbin@town.fraser.co.us> Cc: Michael Koch <mkoch@wpgov.com> Subject: Transit IGA Jeff – We need to circle back around about the Transit IGA matter to at least get us caught up for the 2015/2016 season to-date. As we’ve noted before, Winter Park is about $400,000 in the hole currently on this between revenues and expenses (without even including trails), and looking at an even deeper hole in the near future with some of our costs coming due. Here are the routes that have served Fraser beginning in November until the end of August, along with their hours and costs: Route Hours Riders Cost Black 4,010.75 65,654 $257,016.42 Night Lift 1,624.25 38,457 $104,085.00 Purple 2,750.75 56,660 $176,273.24 Night Purple 964.5 11,214 $61,806.98 Granby 1,510.5 15,448 $96,795.69 Link CNR 1,816.5 36,924 $116,404.74 Paratransit 1,520 3,440 $97,404.46 Summer 2,946.5 29,303 $188,817.27 Total 17,143.75 257,100 $1,098,603.81 We really need to hone in on how we’re going to apportion these costs. Here are just a few of our thoughts: · The minutes-per-hour for the Summer route apportion out to 40% Fraser/60% Winter Park. I would posit that this could be extended to the Black and the Night Lift, and possibly the Link. · The Purple day route was essentially split evenly between Meadowridge, Fraser and Winter Park. We could easily apportion a third to each party. · The Night Purple ran like the future Fraser Cirque, and does not enter into Winter Park. In my mind, that could be split 50/50 between Meadowridge and Fraser. · Paratransit is an essential service that I have trouble apportioning to any particular entity. It only serves Winter Park, Fraser, and parts of unincorporated Grand County. Logically, it’s split 3 ways as well. · The Granby route is even tougher to figure out where to allocate costs, but it does serve Fraser (four stop locations). There are 27 total stops on the route, and to me it might make sense to apportion via the number of stops, which would calculate out as follows: Winter Park – 10 stops (37%), Fraser – 4 stops (14.8%), Granby – 6 stops (22.2%), Grand County – 7 stops (30%). Taking the to-date numbers above and applying the allocations from our thoughts, it would balance out as follows: Route Hours Riders Cost Winter Park Grand County Fraser Black 4,010.75 65,654 $257,016.42 $154,209.85 $102,806.57 Night Lift 1,624.25 38,457 $104,085.00 $62,451.00 $41,634.00 Purple 2,750.75 56,660 $176,273.24 $58,757.75 $58,757.75 $58,757.75 Night Purple 964.5 11,214 $61,806.98 $30,903.49 $30,903.49 Granby 1,510.5 15,448 $96,795.69 $35,814.40 $29,038.71 $14,325.76 Link CNR 1,816.5 36,924 $116,404.74 $69,842.85 $46,561.90 Paratransit 1,520 3,440 $97,404.46 $32,468.15 $32,468.15 $32,468.15 Summer 2,946.5 29,303 $188,817.27 $113,290.36 $75,526.91 Total 17,143.75 257,100 $1,098,603.81 $526,834.37 $151,168.10 $402,984.53 I want to note that none of this includes any administrative time, capital improvements, or other expenses (like marketing); these costs are only for the First Transit contract portion of our expenses to-date. I need to include some administrative costs in for managing the system, which I would propose at 5%. That would bring the to-date cost of service to the Town of Fraser to $423,133.75. Let me know if you have any questions and would like to discuss this further. The Town Council is getting a little antsy about this, so we need to come to a solution soon. Thanks, Drew. ___________________________________ Drew Nelson, Town Manager Town of Winter Park P.O. Box 3327 / 50 Vasquez Road Winter Park, CO 80482 970.726.8081 (p) 970.726.8084 (f) www.wpgov.com