PLANNING

PLANNING & PROGRAMMING COMMITTEE

April 18, 2002

SUBJECT: LOS ANGELES COUNTY’S FIRST REGIONAL PASS PROGRAM

ACTION: APPROVAL

RECOMMENDATIONS

A. Authorize the Metro participation in a multi-agency Regional Pass Program, as described in Attachments A & B.

B. Allocate $2 million in fiscal year 2003 from the current Prop A & C /TDA administrative funds to implement this program.

ISSUE

Metro and the twelve Los Angeles County municipal operators have been working closely together to establish the first Regional Pass in the Los Angeles region. Metro Board approval is required prior to its implementation. The recommended actions will not change the present Metro bus or rail fare structure, but will add a regional pass option for the Metro and all municipal transit operators in Los Angeles County.

POLICY IMPLICATIONS

Development of this program is consistent with Metro’s regional planning role to provide a coordinated transit system. The Regional Pass, the first of its kind in Los Angeles, is an important step toward making transit more customer friendly and inviting for our transit customers. This is also an initial step as we move forward with the Universal Fare System (UFS) implementation. The Regional Pass program is designed such that it can be easily integrated into the UFS system.

OPTIONS

The primary alternative is not to implement this program until the Universal Fare system is ready. This alternative is not recommended, as the Regional Pass Program has been coordinated and is consistent with the implementation of UFS. Moreover, the Regional Pass Program lays the framework for UFS and will be continued and integrated into the UFS.

The cost of the program is estimated at approximately $2 million for fiscal year 2003. Funds are available in the Proposition A and C/TDA administration fund balance. TDA law specifically requires Metro as the regional planning entity to provide a coordinated transit system.

Los Angeles County is a large area where transit services are provided by 16 municipal operators, Metrolink, and numerous cities. Operators offer a variety of fares and different pass options. This is extremely confusing and inconvenient for transit riders who use more than one system or transfer from bus to rail to complete a trip. The multiplicity of fare instruments discourages new riders from sampling transit as a means of completing local travel needs. A Regional Pass, allowing riders to transfer from one system to another without worrying about transfer payments and fare differentials will be a significant step in providing a seamless transit trip to our transit customers in Los Angeles County.

Work effort towards such a pass started in November 2001. A multi-operator task force, the general managers of the Transit Systems and Metro staff have been working closely to develop the Regional Pass program. The Bus Operations Subcommittee (BOS) has approved the program in concept, with the understanding that staff will work with them to develop the administrative details.

§ Phase 2: invite participation from local systems, Metrolink and other counties

§ Elderly and disabled pass - $29 (meets Federal requirements for a half-fare option for elderly and disabled);

C. Distribution and Sales: All operators will sell the pass from their current outlets and transit stores. All operators will market the pass from their current marketing programs and joint marketing efforts.

D. Revenue Sharing: Each operator is reimbursed at the rate of its current average fare per boarding times the operator’s Regional Pass boardings. This methodology results in no revenue loss to the operators.

E. Cost of the Program: The cost is estimated at $2 million, to be funded from TDA/Prop A and C “off the top” administrative funds. Metro is responsible for the printing and distribution cost of the pass. The program is described in detail in Attachments A and B.

· Develop MOU Agreements with the transit operators (April 27, 2002 to June 27, 2002)