Vanpool Funding from USDOT. What is a commuter vanpool? Volunteer driven Near home & work Long commutes Shared expense Monthly subscription.

Vanpool Funding from USDOT

What is a commuter vanpool?

Volunteer driven Near home & work Long commutes Shared expense Monthly subscription Group determines

schedule and route 10 cars 1 vanpoolA big carpool with rules

and a schedule!

Simple Benefit: Net Vehicle Reduction

1.2 occupants

1.2 occupants

1.2 occupants

1.2 occupants

1.2 occupants 12 occupants

1.2 occupants

1.2 occupants

1.2 occupants

1.2 occupants

1.2 occupants

10 Cars

1 Vanpool

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

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)

FTA Capital Cost of ContractingTurnkey 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/LocalTranslation: 40% Federal, 10% Local and 50% Fares

4 Year Cash Flow – One vanpool

Year 1 Year 2 Year 3 Year 4 Total

Private Expense

Vehicle (At-Risk) $26,000 $0 $0 $0 $26,000

Maintenance 250 750 1,250 1,750 4,000

Interest 900 900 900 900 3,600

Spares 600 600 600 600 2,400

$27,750 $2,250 $2,750 $3,250 $36,000

Public Expense

Federal (Capital) $7,200 $7,200 $7,200 $7,200 $28,800

Local (Capital) 1,800 1,800 1,800 1,800 7,200

$9,000 $9,000 $9,000 $9,000 $36,000

Existing Private Vanpool Operations

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

FTA Section 5307Large UZA (200,000+ population)

– Funds flow to designated recipient– MPO planning process– Formula based on reported NTD statistics

1. Bus/Vanpool Revenue Miles2. Bus/Vanpool Passenger Miles3. Fixed Guideway Revenue Miles (Rail, HOV, Ferry)4. Fixed Guideway Miles (Rail, HOV, Ferry)5. Population6. Population Density

– Capital: 80% Fed / 20% State & Local 90% Federal for ADA and Clean Air Act

– Operating: None

Capital & Operating Expense/Rev-Mile Motor Bus, ADA Paratransit & Vanpool (Texas)

$0

$2

$4

$6

$8

$10

DART MB

FWTA

MB

METRO M

B

Cap M

etro M

B

DART DR

FWTA

DR

METRO D

R

Cap M

etro D

R

FWTA

VP *

METRO V

P *

Cap M

etro V

P

FY2001 National Transit Database Statistics, USDOTReauthorization 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)

Balance CCofC & Formula

CMAQ

CCofCFormulaCCofC

Takes two years to reach formula cycle.

FHWA CMAQ Funding (Billions $)

$8.1

$13.4$9.4

$0

$5

$10

$15

TEA-21 SenateSAFETEA

House TEA-LU

100% Federal for Vanpool projects

FTA Section 5307 Small UZASmall 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

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!

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

FTA Section 5311 & VanpoolsEligible Project Costs at 80% Federal $$$

– CapitalVans, Financing, Maintenance, Delivery Charges

– Non-OperatingProject management and MarketingInsurance premiums & payments to self-insurance

reserveFacilities and equipment rentalStandard overhead ratesDrug and alcohol testing

“Promoting and coordinating ridesharing eligible, if part of coordinated public transportation program.”

Vanpool Pricing ScenarioUrban

FTA 5307Rural

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

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

TroyMt. Clemens

4

2

1

2

2