Presentation to MBTA Caucus

Transcription

1 Presentation to MBTA Caucus Financial Status of the MBTA February 24,

2 Projected Sales Tax v. Actual Amount Received $1, $1, $ $ $ $ $ $ $ About $1.11 Billion difference between total projected sales tax revenue and actual amount received $ $ $ $ $ $0 $87.63 $62.73 $49.57 $48.10 $46.32 $32.21 $31.74 $10.89 $10.65 Projected Sales Tax Actual Amount Received $

3 Fuel & Utilities Expenses Source: D Alessandro, David F., et. al, MBTA Review, 11/01/2009 3

4 MBTA Debt (as of June 30, 2014) $1.3 Billion $2.5 Billion Prior Obligation Debt (prior to 2000) Big Dig Transit Commitments Capital Improvement Debt (since 2000) $1.7 Billion 4

5 Peer Agency Comparison: Debt as Percentage of Operating Budget City Washington, D.C. Transit Authority Total Opera3ng Budget for FY15 Debt Percentage (%) Washington Metropolitan Area Transit Authority (WMATA) $3 billion $21.2 million 0.71 San Francisco San Francisco Municipal Transportation Agency (SFMTA) $943.2 million $12 million 1.3 Philadelphia Southeastern Pennsylvania Transportation Authority (SEPTA) $1.327 billion $ million 1.5 Chicago Chicago Transit Authority (CTA) $1.443 billion $137 million 9.5 New York City NYC Metropolitan Transit Authority (MTA) $ billion $2.481 billion 17 Massachusetts Bay Transportation Authority Boston (MBTA) $1.933 billion $423.9 million 22 5

6 Fare Increases ( ) Subway Fares Bus Fares Fare Increase Fare Increase $0.45 $0.25 $0.15 $0.85 $1.00 $1.25 $0.30 $1.70 $0.35 $0.15 $0.15 $0.60 $0.75 $0.90 $0.25 $ * * 2012 *The CharlieCard was introduced in Fares listed here are based on CharlieCard fare prices. 6

7 SGR Project Funding Requests Source: D Alessandro, David F., et. al, MBTA Review, 11/01/2009 7

8 MBTA Rail Fleet Line/Mode Fleet Qty. Service Date Age (yrs) Heavy Rail Useful Life Red No.1 Fleet No.2 Fleet No.3 Fleet Blue No.5 Fleet Orange No.12 Fleet Heavy Rail Total Number of Heavy Rail Cars 446 Green No.7 Fleet No. 7 Fleet , No.7 Fleet No. 8 Fleet Total Number of Light Rail Cars 168 8

9 SGR Backlog Source: D Alessandro, David F., et. al, MBTA Review, 11/01/2009 9

10 Transit Improvements Resulting from Big Dig (Completed) New Blue Line trains Rehabilitation of 11 existing subway stations South Station access to Red Line North Station high platforms/new tracks Park and Ride spaces (21,000) Silver Line to Airport Bus Terminals: Lynn and South Station Lynn Central Square Station and Parking Garage Commuter Rail Improvements: Newburyport, Framingham, Old Colony, South Station Track 12, Fairmount "Blue Line 700 cars at Airport" by Derek Yu via Wikimedia Commons 10

11 MBTA Funding in 5-Year CIP MBTA Funding Only (in millions) $2,376, 77.8% $387, 12.7% Infrastructure Accesibility System Enhancement System Expansion Stimulus Bill Projects $45, 1.4% $24, 0.8% $221, 7.2% 11

12 Transportation Finance Act Capital Projects in CIP Green Line Extension (50% federal funding) South Station Postal Site Acquisition South Coast Rail (early action items) DMU Implementation Silver Line to Chelsea 12

13 Peer Agency Comparison: Pension as Percentage of Operating Budget City Boston Washington, D.C. Philadelphia Transit Authority Total Opera3ng Budget for FY15 Pension Budget Percentage (%) Massachusetts Bay Transportation Authority (MBTA) $1.933 billion $76,874,710 4 Washington Metropolitan Area Transit Authority (WMATA) $3 billion $177,652, Southeastern Pennsylvania Transportation Authority (SEPTA) $1.327 billion $90,800, Chicago Chicago Transit Authority (CTA) $1.443 billion $122,354, San Francisco Municipal Transportation Agency San Francisco (SFMTA) $943.2 million $86,748, New York City NYC Metropolitan Transit Authority (MTA) $ billion $1.35 billion

14 Peer Agency Comparison: Health Benefits as Percentage of Operating Budget Transit Agency Opera3ons Budget Health Care Benefits Percentage MBTA (Boston) $1.933 billion $110 million 5.7 WMATA (D.C.) $3 billion $202 million 6.7 MTA (NY) $ billion $1.066 billion 7.4 SFMTA (S.F.) $943.2 million $107 million 11.3 SEPTA (Phil.) $1.327 billion $197 million* 14.9 CTA (Chicago) $1.443 billion n/a n/a * Includes Life Insurance 14

15 Operating budget gaps prior to 2013 Fiscal Year Deficit (budget formation) Solutions FY13 $185 million One-time infusion of state funds, fare increase FY12 $127 million Parking garage lease, parking revenue securitization, debt restructuring FY11 $73 million Debt restructuring FY10 $160 million State contract assistance 15

16 Funding MBTA receives from Transportation Finance Act of 2013 Year FY14 FY15 FY16 FY17 FY18 Amount $115M $135M $202M $261M $357M 16

17 Anticipated Changes in Revenues and Costs Revenue Cost New MBTA Fares New Commuter Rail Contract New Paratransit Contracts New MBTA Janitorial Contracts MBTA Labor Arbitra3on Awards Increased Revenue or Cost Savings/ Addi$onal Cost $18- $24.5 million per year $93 million per year $21 million per year $3.1- $10.5 million per year $19 million per year Source: Keeping on Track, Transportation for Massachusetts,

18 MassDOT: Significant Additional Costs and Revenues for FY14 Revenue/Cost Source Increased Revenue or Cost Savings/ Addi$onal Cost compared to Projec$ons for FY14 Motor Vehicles Sales Tax Snow and Ice Removal $32 million $ 90 million 18

19 Indexing of the Gas Tax (Lost Revenue) Year FY15 FY16 FY17 FY18 Amount $9M $27M $44M $62M 19

20 FY 2016 Revenue Overview State and Local Funding = $1.35 Billion Total Revenue = $2.03 Billion State Assistance $ % Fare Revenues $ % Non-fare Revenues Local $70.8 Assessments 4% $ % Dedicated State Sales Tax Revenue $ % State Contribution $ Amount % of Revenue $1.2 Billion 58% Photo Credit: Massachusetts Office of Travel and Tourism/Flickr 20

21 FY 2016 Operating Expenses Total Operating Expenses $1.606 Billion Purchased Local Service Expenses $ % Financial Services $6.5 0% Casualty & Liability $16.8 1% Commuter Rail Services $ % Materials, Supplies & Services $ % Wages and Benefits $ % 21

22 Daily Weekday Ridership Year (Projected) Ridership 1.1 M 1.3 M M 22

23 Population Growth Percent growth Since 2000 Boston 9.65% Boston, Cambridge, Quincy, Somerville 8.12% % growth Since 2000 Massachusetts 5.41% 0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 23

24 Percent of MA Residents without Driver s Licenses Percent of MA residents (of driving age) without licenses 13.20% 13.41% 12.54% 12.59% 8.67% 9.57% 10.89% Source: U.S. Department of Transportation. Federal Highway Administration. Office of Highway Policy Information Highway Statistic Series: Travelers (or System Users) Licensed drivers Ratio of licensed drivers to population. 24

25 Thank You! Rafael Mares Senior Attorney CLF Massachusetts 62 Summer Street Boston, MA P: E: For a thriving New England 25