TABLE OF CONTENTS. Section I Introduction... 1 Overview of the Transit System Section II Operator Compliance Requirements...
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- Gerard Leon Daniel
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1 JUNE 2014
2 TABLE OF CONTENTS Section I... 1 Introduction... 1 Overview of the Transit System... 1 Section II Operator Compliance Requirements Section III Prior Triennial Performance Recommendations Section IV TDA Performance Indicators Section V Review of Operator Functions Operations Maintenance Planning Marketing General Administration and Management Section VI Findings Recommendations... 40
3 Section I Introduction California s Transportation Development Act (TDA) requires that a triennial performance audit be conducted of public transit entities that receive TDA revenues. The performance audit serves to ensure accountability in the use of public transportation revenue. The Tulare County Association of Governments (TCAG) engaged PMC to conduct the Transportation Development Act (TDA) triennial performance audit of the public transit operators under its jurisdiction in Tulare County. This performance audit is conducted for Visalia Transit covering the most recent triennial period, fiscal years through The purpose of the performance audit is to evaluate the City s effectiveness and efficiency in its use of TDA funds to provide public transportation in its service area. This evaluation is required as a condition for continued receipt of these funds for public transportation purposes. In addition, the audit evaluates the City s compliance with the conditions specified in the California Public Utilities Code (PUC). This task involves ascertaining whether Visalia is meeting the PUC s reporting requirements. Moreover, the audit includes calculations of transit service performance indicators and a detailed review of the transit administrative functions. From the analysis that has been undertaken, a set of recommendations has been made which is intended to improve the performance of transit operations. In summary, this TDA audit affords the opportunity for an independent, constructive and objective evaluation of the organization and its operations that otherwise might not be available. The methodology for the audit included in-person interviews with management, collection and review of agency documents, data analysis, and on-site observations. The Performance Audit Guidebook for Transit Operators and Regional Transportation Planning Entities published by the California Department of Transportation (Caltrans) was used to guide in the development and conduct of the audit. Overview of the Transit System The City of Visalia has been providing transit service since July The City s transit system operates under the name of Visalia Transit, which consists of a variety of public transit modes including fixed route, demand response, downtown and recreational circulators and a seasonal shuttle service to the Sequoia National Park. Visalia Transit is administered by the City s Transit Division and operated under contract by MV Transportation. The city of Visalia is the county seat and largest city in Tulare County. Based on the 2010 U.S. Census, Visalia s population is 124,442 which grew 31 percent since the 2000 U.S. Census due to a combination of annexation of adjacent unincorporated areas and migration. The senior citizen population, comprised of residents aged 65 and over, is percent. The 2014 population for PMC - 1
4 Visalia is estimated to be 129,582 as reported by the State Department of Finance. The city covers a square mile area. A demographic snapshot of the cities and communities located in the Visalia Transit service area is presented below in Table I-1: Table I-1 Visalia Transit Service Area Demographics City/Jurisdiction 2010 US Census Population Change from 2000 US Census Population 65 years & older Land area (in square miles) Exeter 10, % 11.50% 2.46 Farmersville 10, % 6.57% 2.26 Goshen 3, % 6.79% 1.77 Tulare 59, % 9.01% Visalia 124, % 10.35% Source: 2010 U.S. Census Main highways serving Visalia include State Routes (SR)-63, 99, 198 and 216. SR-63 (Mooney Boulevard/Dinuba Boulevard) runs in a north-south direction and connects Visalia with Tulare to the south and the communities of Cutler and Orosi to the north. SR-99 also runs in a northsouth direction along the western edge of Visalia near the airport and the junction with SR-198. SR-198 runs in an east-west direction through the center of town as a controlled access freeway and connects Visalia with SR-99 and Hanford to the west and Sequoia National Park to the east. SR-216 runs in a northeasterly direction toward Ivanhoe and Woodlake. Major arterial streets traversing Visalia include Akers Street, Ben Maddox Way, Caldwell Avenue, Demaree Street, Dinuba Boulevard, Goshen Avenue, Houston Avenue, Lovers Lane, Mooney Boulevard, Tulare Avenue, and Walnut Avenue. The city boasts a diverse economy characterized by agricultural processing, customer service call centers, distribution, education, government, medical services and regional retail. As a major regional retail and commercial hub, Visalia draws residents from communities across Tulare County as well as neighboring Kings County and southern Fresno County. Visalia is also known as the gateway to the Sequoia National Park, which is located 30 miles to the east. System Characteristics The Visalia Transit Center, located at 425 East Oak Street in downtown Visalia, serves as the main hub for the City s transit services as well as for connecting inter-city services such as Tulare County Area Transit (TCaT), Tulare InterModal Express (TIME), Kings Area Rural Transit (KART), Orange Belt Stages, Amtrak Connection, and Greyhound. Fixed route and demand response services operate Monday through Friday between 6:00 a.m. and 9:30 p.m.; and Saturday and Sunday between 8:00 a.m. and 6:30 p.m. Service is not provided on New Year s Day, Easter, Memorial Day, Independence Day, Thanksgiving Day or Christmas Day. On President s Day and Labor Day service operates on the Sunday schedule. On PMC - 2
5 Christmas Eve and New Year s Eve service operates between 6:00 a.m. and 6:30 p.m. Specialized services include the Visalia Towne Trolley, the Loop Route and the Sequoia Shuttle. Fixed Route Visalia Transit operates 12 fixed routes (including three bi-directional routes) serving the Visalia Urbanized Area, including an express service to Tulare. With the exception of Route 12, all of the routes originate from and terminate at the Visalia Transit Center. Timed connections between routes are provided at the Transit Center and at super stops located at strategic nodes within the system, such as the College of the Sequoias, Visalia Mall and the Sequoia Mall. Frequencies vary from 15 to 20 minutes on highly traveled corridors to 90 minutes on routes to outlying communities such as Exeter and Farmersville. A summary of Visalia Transit s fixed route service during the triennial audit period is presented in Table I-2: Table I-2 Visalia Transit Fixed Route Services Route Number Description Frequency/Operation Destinations/Timepoints 1A/1B Downtown TCaT Transfer 2 Downtown-Court- Sequoia Mall-VMC 4 Downtown-Tulare Avenue-Visalia Medical Clinic 5 Downtown Visalia Mall- Visalia Medical Clinic Every minutes (Monday through Friday from 6:00 a.m. to 9:56 p.m.) Every minutes (Saturday from 9:00 a.m. to 7:08 p.m.) Every 60 minutes (Sunday from 8:00 a.m. to 6:58 p.m.) Every 25 minutes (Monday through Friday from 6:00 a.m. to 10:00 p.m.) Every 25 minutes (Saturday from 8:50 a.m. to 7:30 p.m.) Every minutes (Sunday from 8:00 a.m. to 7:00 p.m.) Every 30 minutes (Monday through Friday from 6:00 a.m. to 9:57 p.m.) Every 30 minutes (Saturday from 9:06 a.m. to 6:52 p.m.) Every 60 minutes (Sunday from 8:00 a.m. to 6:55 p.m.) Every minutes (Monday through Friday from 6:00 a.m. to 10:33 p.m.) Every minutes (Saturday from 8:50 a.m. to 6:43 p.m.) Every 45 minutes (Sunday from 8:00 a.m. to 7:05 p.m.) Visalia Transit Center Recreation Park City Hall COS Visalia Mall Sequoia Mall TCaT Transfer Government Plaza Visalia Transit Center Court & Caldwell Orchard & Mooney Whitendale & Akers Visalia Medical Clinic Visalia Transit Center Tulare & Conyer Tulare & Mooney Campus & Petticoat Visalia Medical Clinic Visalia Transit Center Santa Fe & Houston Houston & Lovers Lane Main & Ben Maddox Noble Walnut & Court Visalia Mall Akers & Walnut PMC - 3
6 Route Number Description Frequency/Operation Destinations/Timepoints Visalia Medical Clinic 6 Downtown Goshen (via Goshen Avenue) 7A/7B Downtown North Visalia Loop (Clockwise/Counter Clockwise) 8A/8B St. John s Parkway Downtown (Clockwise/Counter Clockwise) 9 Downtown Farmersville - Exeter Every 65 minutes (Monday through Friday from 7:00 a.m. to 6:25 p.m. & in conjunction with Route 10 from 7:00 p.m. to 9:55 p.m.) Every 65 minutes (Saturday from 9:15 a.m. to 6:25 p.m.) Every 60 minutes (Sunday from 8:00 a.m. to 6:55 p.m. in conjunction with Route 10) Every minutes (Monday through Friday from 6:00 a.m. to 10:05 p.m.) Every minutes (Saturday from 9:00 a.m. to 7:05 p.m.) Every 60 minutes Route 7A (Sunday from 8:00 a.m. to 6:50 p.m.) Every 40 minutes (Monday through Friday from 6:00 a.m. to 9:25 p.m.) Every 40 minutes (Saturday from 9:25 a.m. to 6:55 p.m.) Every 30 minutes Route 8A (Sunday from 8:00 a.m. to 6:25 p.m.) Every 90 minutes (Monday through Friday from 6:00 a.m. to 10:17 p.m.) Every 90 minutes (Saturday from 9:00 a.m. to 7:17 p.m.) Every 90 minutes (Sunday from 8:00 a.m. to 6:17 p.m.) 10 Downtown Goshen Every minutes (Monday through Friday from 6:35 a.m. to 6:48 p.m.) Every minutes (Saturday from 9:45 a.m. to 6:48 p.m.) Every 90 minutes (Sunday from 8:00 a.m. to 6:55 p.m. in Visalia Transit Center Goshen & Divisidero Goshen & Akers Doe & Shirk Jostens & SJVC Road 78 & Avenue 308 Visalia Transit Center Lincoln Oval Ferguson & Court Ferguson & County Center Target & Shannon Ranch Riggin & Demaree Mooney & Houston Locust & NW 2nd Visalia Transit Center Santa Fe & Tulare Walmart/Noble Avenue Lovers Lane & Mineral King Valley Oak Middle School Ben Maddox & Houston Visalia Transit Center Walnut & Ben Maddox McAuliff & Tulare Road 156 & Walnut Farmersville Blvd. & Visalia Road Visalia Road & Belmont Palm & Kaweah Visalia Transit Center Mineral King & Mooney Visalia Medical Clinic Visalia Airport (Upon Request) Effie & Elder PMC - 4
7 Route Number Description Frequency/Operation Destinations/Timepoints conjunction with Route 6) Greyhound Bus Terminal Noble & Mooney 11x Visalia Tulare Every 60 minutes (Monday through Friday from 6:30 a.m. to 6:30 p.m.) Every 60 minutes (Saturday from 9:30 a.m. to 6:30 p.m.) Visalia Transit Center Noble & Mooney Mineral King & Mooney Tulare Transit Center 12 Caldwell Farmersville - Exeter Source: City of Visalia Visalia Towne Trolley Every 60 minutes (Monday through Friday from 6:03 a.m. to 9:45 p.m.) Every 60 minutes (Saturday from 8:57 a.m. to 6:45 p.m.) Every 60 minutes (Sunday from 7:48 a.m. to 6:34 p.m.) Mooney & Orchard Caldwell & Court Caldwell & Ben Maddox Farmersville City Hall Visalia Road & Belmont Palm & Kaweah The Visalia Towne Trolley is a downtown circulator comprised of three routes utilizing replica trolley vehicles. It operates on the major east-west corridors through downtown transporting passengers from the County Civic Center, parking facilities and the Transit Center to the area s many dining and entertainment venues. Peak service times are during the weekday lunch hours and weekend evenings. Since its inception, rides on the Towne Trolley were free of charge until September 2009 when the City implemented a 25-cent fare. A monthly pass is also available for $5.00. A summary of the Visalia Towne Trolley routes is presented in Table I-3: Table I-3 Visalia Towne Trolley Routes Route Name Frequency/Operation Destinations/Timepoints Blue Gold Every 15 minutes (Monday through Friday from 10:00 a.m. to 2:00 p.m.) Every 30 minutes (Monday through Friday from 7:30 a.m. to 10:00 a.m. & from 2:00 p.m. to 5:30 p.m.) Every 30 minutes (Friday & Saturday Evenings from 5:30 p.m. to 11:00 p.m.) Every 30 minutes (Saturday from 9:30 a.m. to 11:00 p.m.) Visalia Transit Center Acequia & Church Acequia & Court Acequia & Willis County Civic Center Main & Giddings Main & Encina Main & Bridge Visalia Transit Center Acequia & Church Acequia & Court Acequia & Locust Main & West Main & Encina Main & Garden PMC - 5
8 Route Name Frequency/Operation Destinations/Timepoints Red (Friday & Saturday Evenings from 6:30 p.m. to 7:30 p.m. & 9:00 p.m. to 10:30 p.m. or until the end of the game) Visalia Transit Center Various stops Rawhide Recreation Ball Park Source: City of Visalia The Loop Visalia Transit provides a free shuttle during the summer and fall months for school-aged youth that connects parks, community and recreation centers in central Visalia. The shuttle operates every 30 minutes on the weekdays between 12:00 p.m. and 8:00 p.m. during the summer and between 3:00 p.m. and 7:00 p.m. during the autumn. Parents are required to complete a consent form in order for their child(ren) to ride. A list of bus pick-up and drop-off locations is summarized in Table I-4: Sequoia Shuttle Table I-4 The Loop Pick-Up/Drop-Off Locations Destinations/Timepoints Fairview Elementary Manual Hernandez Community Center Wittman Center Anthony Community Center Boys & Girls Club Conyer Elementary Green Acres School Houston Elementary Source: City of Visalia Operated in partnership with the National Park Service, the Sequoia Shuttle provides alternative transportation within as well as to and from Sequoia National Park. The service operates on a seasonal basis from Memorial Day weekend through Labor Day weekend seven days a week. This service transports park visitors from several locations in Visalia en route to the Foothills Visitors Center and the Giant Forest Museum in Sequoia. There are four outbound morning trips and four inbound afternoon trips. Advanced reservations are required and the fare is $15.00 round trip per person. Within Sequoia, there are three color-coded shuttle routes that are free to park visitors. The shuttle is operated with 16 passenger vehicles featuring comfortable seating, small luggage racks, two bike racks and an interpretive video about Giant Forest. A summary of the Sequoia Shuttle routes is presented in Table I-5: PMC - 6
9 Table I-5 Sequoia Shuttle Routes Route Name Frequency/Operation Destinations/Timepoints Visalia/Sequoia Park Route 1: Giant Forest Route 2: Moro Rock/Crescent Meadow Daily Four morning inbound trips/four afternoon return trips. Daily 15 minute headways Daily 15 minute headways Holiday Inn Fairfield Inn La Quinta Inn Hampton Inn Lamp Liter Inn Marriott/Comfort Suites/Convention Center Visalia Transit Center The Barn (Exeter) Three Rivers Comfort Inn Three Rivers Veterans Memorial Building Foothills Visitor Center Giant Forest Museum Giant Forest Museum Sherman Tree Sherman Tree Trail & Parking Lodgepole Market & Visitor Center Lodgepole Campground Giant Forest Museum Moro Rock Crescent Meadow Route 3: Lodgepole/Wuksachi Source: City of Visalia Dial-a-Ride Daily 30 minute headways Lodgepole Campground Lodgepole Market & Visitor Center Wuksachi Lodge Visalia Transit provides general public demand responsive service between and within the city limits of Visalia and Farmersville as well as the community of Goshen. Service is also provided between Exeter and Visalia while supplemental service is provided to Exeter Dial-a-Ride. Reservations for ADA-certified persons are accepted up to two weeks in advance. General public and senior/non-ada passengers are limited to same day trips and are scheduled on a space available basis. All ADA-certified passengers must undergo recertification every three years. PMC - 7
10 Fares Visalia Transit s fares are structured according service type, passenger category and fare media. The fare structure is shown in Table I-6: Fleet Table I-6 Visalia Transit Fare Schedule Fixed Route Fare General $1.25 Seniors (Age 60 & older)/disabled/medicare card holders $1.00 Seniors/Disabled/Medicare card holders (Hours Weekdays: 10:00 a.m. to 2:00 p.m./6:00 p.m. to 10:00 p.m. & Weekends) $0.25 Children (Age 6 & younger first two) Free Each Additional Child $1.25 General Day Pass $2.50 Seniors/Disabled/Medicare card holders Day Pass $ Day Pass $30.00 Regional T-Pass $45.00 Dial-a-Ride Fare General $3.25 Seniors/Disabled/Medicare card holders $2.25 Children (Age 6 & younger first two) Free Each Additional Child $2.25 ADA Discount $1.75 Monthly Fast Pass $60.00 ADA Monthly Fast Pass $ Ride Punch Pass $22.50 ADA 10-Ride Punch Pass $17.50 Towne Trolley Fare General $0.25 Monthly Pass $5.00 Sequoia Shuttle Fare To/From Sequoia National Park (Round Trip) $15.00 Source: City of Visalia Visalia Transit operated 68 vehicles for its various service modes. Vehicles are powered by compressed natural gas (CNG), diesel, hybrid diesel and unleaded gasoline fuels. All Visalia Transit vehicles are wheelchair accessible in compliance with the Americans with Disabilities Act of 1990 as well as equipped with bike racks. Table I-7 shows the vehicle fleet information. PMC - 8
11 Table I-7 Visalia Transit Fleet Year Make/Model Quantity Fuel type Seating Capacity Service Mode 1996 Gillig S Diesel 37 Fixed-Route 1996 Gillig S Diesel 37 Sequoia Shuttle 2002 E-Bus Hybrid Electric Trolley 2 Hybrid 22 Towne Trolley 2002 El Dorado National Aerotech 1 CNG 14 Dial-a-Ride 2004 Gillig S Diesel 36 Fixed-Route 2004 Gillig S Diesel 37 Fixed-Route 2006 Orion S CNG 36 Fixed-Route 2007 Ford Starcraft Allstar 7 Gasoline 30 Sequoia Shuttle 2008 Freightliner Startrans 3 CNG 22 Towne Trolley 2008 Ford Type III, E450, Starcraft Allstar 6 CNG 18 Dial-a-Ride 2008 Orion S CNG 36 Fixed-Route 2008 Ford Type III, E450, Starcraft Allstar 2 Gasoline 17 Sequoia Shuttle 2009 Ford Type III, E450, Starcraft Allstar 2 Gasoline 17 Sequoia Shuttle 2009 Orion S CNG 34 Fixed-Route 2009 Orion S CNG 41 Fixed-Route 2011 Elkhart Coach/EC II 6 CNG 18 Dial-a-Ride 2012 Gillig 29-foot Hybrid 2 Hybrid Diesel 26 Sequoia Shuttle 2012 Gillig 35-foot Hybrid 4 Hybrid Diesel 31 Sequoia Shuttle Total 68 Source: 2012 National Transit Database; 2013 Short-Range Transit Plan PMC - 9
12 Section II Operator Compliance Requirements This section of the audit report contains the analysis of the City of Visalia s ability to comply with state requirements for continued receipt of TDA funds. The evaluation uses the guidebook, Performance Audit Guidebook for Transit Operators and Regional Transportation Planning Agencies, September 2008 (third edition), which was developed by the Department of Transportation (Caltrans) to assess transit operators. The guidebook contains a checklist of eleven measures taken from relevant sections of the Public Utilities Code and the California Code of Regulations. Each of these requirements is discussed in the table below, including a description of the system s efforts to comply with the requirements. In addition, the findings from the compliance review are described in the text following the table. Table II-1 Operator Compliance Requirements Matrix Operator Compliance Reference Compliance Efforts Requirements The transit operator submitted annual reports to the RTPA based upon the Uniform System of Accounts and Records established by the State Controller. Report is due 90 days after end of fiscal year (Sept. 28/29), or 110 days (Oct. 19/20) if filed electronically (Internet). Public Utilities Code, Section Completion/submittal dates: FY 2010: October 18, 2010 FY 2011: October 18, 2011 FY 2012: October 26, 2012 The FY 2012 Transit Operator Financial Transactions Report was submitted a few days after the Internet filing deadline to ensure accurate reporting of data. Conclusion: Compliance. The operator has submitted annual fiscal and compliance audits to the RTPA and to the State Controller within 180 days following the end of the fiscal year (Dec. 27), or has received the appropriate 90- day extension by the RTPA allowed by law. Public Utilities Code, Section Completion/submittal dates: FY 2010: March 16, 2011 FY 2011: February 3, 2012 FY 2012: May 16, 2013 The annual fiscal and compliance audit for FY 2012 was submitted after the 90-day extension by the RTPA as allowed by law. PMC - 10
13 Table II-1 Operator Compliance Requirements Matrix Operator Compliance Requirements Reference Compliance Efforts Conclusion: Partial Compliance. The CHP has, within the 13 months prior to each TDA claim submitted by an operator, certified the operator s compliance with Vehicle Code Section following a CHP inspection of the operator s terminal. The operator s claim for TDA funds is submitted in compliance with rules and regulations adopted by the RTPA for such claims. If an operator serves urbanized and non-urbanized areas, it has maintained a ratio of fare revenues to Public Utilities Code, Section B Public Utilities Code, Section Public Utilities Code, Section The City of Visalia, through its contract operator, participates in the CHP Transit Operator Compliance Program in which the CHP has conducted inspections within the 13 months prior to each TDA claim. Inspections were conducted at the City s maintenance facility located at 525 North Cain Street, Visalia. Transit Operator Compliance Certificates and inspections applicable to the audit period were July 14-15, 2009; June 15-17, 2010; June 21-23, 2011; and June 19-21, Inspections were found to be satisfactory. Conclusion: Complied. As a condition of approval, the City of Visalia s annual claims for Local Transportation Funds and State Transit Assistance are submitted in compliance with the rules and regulations adopted by TCAG. Conclusion: Complied. The City of Visalia s transit system only serves urbanized areas and is not subject to this requirement. PMC - 11
14 Table II-1 Operator Compliance Requirements Matrix Operator Compliance Reference Compliance Efforts Requirements operating costs at least equal to the ratio determined by the rules and regulations adopted by the RTPA. Conclusion: Not Applicable. The operator s operating budget has not increased by more than 15% over the preceding year, nor is there a substantial increase or decrease in the scope of operations or capital budget provisions for major new fixed facilities unless the operator has reasonably supported and substantiated the change(s). The operator s definitions of performance measures are consistent with Public Utilities Code Section 99247, including (a) operating cost, (b) operating cost per passenger, (c) operating cost per vehicle service hour, (d) passengers per vehicle service hour, (e) passengers per vehicle service mile, (f) total passengers, (g) transit vehicle, (h) vehicle service hours, (i) vehicle service miles, and (j) vehicle service hours per employee. Public Utilities Code, Section Public Utilities Code, Section Percentage increase in the City of Visalia s transit operating budget: FY 2010: +11.5% FY 2011: +2.4% FY 2012: +9.6% The increases in the operating budget are attributed to salaries and benefits, but remained under 15 percent. Source: City of Visalia Transit Budget Summaries for FY Conclusion: Complied. The City of Visalia s definition of performance is consistent with Public Utilities Code, Section Conclusion: Complied PMC - 12
15 Table II-1 Operator Compliance Requirements Matrix Operator Compliance Reference Compliance Efforts Requirements If the operator serves an urbanized area, it has maintained a ratio of fare revenues to operating costs at least equal to one-fifth (20 percent), unless it is in a county with a population of less than 500,000, in which case it must maintain a ratio of fare revenues to operating costs of at least equal to three-twentieths (15 percent), if so determined by the RTPA. Public Utilities Code, Sections , , , The system s farebox recovery ratios based on audited data (inclusive of local Measure R support and in-park Sequoia Shuttle grant funds) are as follows: FY 2010: 26.71% FY 2011: 35.09% FY 2012: 27.70% Source: Annual Fiscal and Compliance Audits Conclusion: Complied according to audited data. If the operator serves a rural area, or provides exclusive services to elderly and disabled persons, it has maintained a ratio of fare revenues to operating costs at least equal to one-tenth (10 percent). The current cost of the operator s retirement system is fully funded with respect to the officers and employees of its public transportation system, or the operator is implementing a plan approved by the RTPA which will fully fund the retirement system within 40 years. Public Utilities Code, Sections , , Public Utilities Code, Section This requirement is not applicable, as Visalia Transit does not serve a rural area and is subject to the urbanized area requirement. Conclusion: Not Applicable The City contracts with a private provider for operations, while the City contributes to its staff s retirement through the California Public Employees Retirement System (CalPERS) under the 2% at 62 Plan. In addition, there is an employee contribution of up to 12% paid by the employee. Conclusion: Complied. If the operator receives state California Code of As a recipient of State Transit PMC - 13
16 Table II-1 Operator Compliance Requirements Matrix Operator Compliance Reference Compliance Efforts Requirements transit assistance funds, the operator makes full use of funds available to it under the Urban Mass Transportation Act of 1964 before TDA claims are granted. Regulations, Section 6754(a)(3) Assistance Funds, the City of Visalia is making full use of funds available to it under the Urban Mass Transportation Act of FY 2010: Operations ($3,070,461) Capital ($4,480,119) FY 2011: Operations ($4,494,345) Capital ($2,744,538) FY 2012: Operations ($2,805,220) Capital ($2,863,153) Source: National Transit Database Conclusion: Complied. PMC - 14
17 Findings and Observations from Operator Compliance Requirements Matrix 1. Of the nine compliance requirements pertaining to Visalia, the operator fully complied with eight requirements. The City was partially compliant with regard to the timely submittals of the annual fiscal and compliance audit (FY 2012 was submitted late). Two additional compliance requirements did not apply to the City (e.g., rural and blended farebox recovery ratios). 2. According to audited data, Visalia s farebox recovery ratio remained above the required 20 percent standard for an urbanized area operator. The farebox recovery ratio was percent in FY 2010, percent in FY 2011; and percent in FY 2012 which include local Measure R support ranging from $92,000 to $120,000. The average systemwide farebox recovery ratio was 29.8 percent during the triennial review period. As indicated by transit staff, the audited fare revenues are also inclusive of federal grant revenue to operate free in-park shuttle service within Sequoia national park. The federal grant for inpark service is not considered fare revenue for purposes of calculating farebox recovery and should be excluded. 3. Visalia Transit, through its contract operator, participates in the CHP Transit Operator Compliance Program and received vehicle inspections within the 13 months prior to each TDA claim. Satisfactory ratings were made for all inspections conducted during the audit period. 4. The operating budget exhibited modest fluctuations during the period, yet did not exceed 15 percent. The budget increased 11.5 percent in FY 2010, 2.4 percent in FY 2011 and 9.6 percent in FY The budgetary increases were attributed to higher salary and benefit costs. PMC - 15
18 Section III Prior Triennial Performance Recommendations The City of Visalia s efforts to implement the recommendations made in the prior triennial audit are examined in this section of the report. For this purpose, each prior recommendation for the agency is described, followed by a discussion of the City s efforts to implement the recommendation. Conclusions concerning the extent to which the recommendations have been adopted by the agency are then presented. Prior Recommendation 1 Include operations data such as accidents, road calls, and complaints by service mode on the operations summary. Actions taken by the City of Visalia This recommendation was prompted by an observation that the Transit Division s operations summary spreadsheet did not include accidents, road calls, and complaints by mode. The contract operator prepares a monthly Manager s Report that includes key service performance indicators, such as safety, accidents, pending improvements/actions, on time performance monitoring and customer service. It was suggested that this data be included in the City s operations summary for reports submitted to the City Council and Transit Advisory Committee. The City s Transit Manager has noted that the data are compiled on the monthly report that the Transit Division provides in the City Council agenda packet. In addition, the operations summary spreadsheet and report have been modified to include operations data such as accidents, road calls, and complaints by service mode commencing in FY Conclusion This recommendation has been implemented. Prior Recommendation 2 Implement the dial-a-ride no-show and cancellation policy. Actions taken by the City of Visalia The prior audit noted that transit staff s intent to implement Visalia Transit s no-show policy would be supported by new dispatching and scheduling software. The software would be utilized to enhance specific operational data required to verify DAR no-shows including the identity of the passenger. It was suggested that upon implementation of a policy that includes PMC - 16
19 providing warning letters and potential suspensions, the City should continue to track the rate of no-shows and report the data in the contractor s monthly Manager s Report as well as the operations summary reports submitted to the City Council and Transit Advisory Committee. In response, the City s Transit Division staff and the contract operator have refined the no-show data collection process in the Trapeze/NOVUS reservation system. The process has been revised and clearly communicates upon demand the exact number of no-shows each customer has accumulated. The policy was implemented in January At the end of January, letters were sent out to all Dial-a-Ride customers notifying them of the no-show policy. The City reports that there have been no violations identified since the policy was implemented. Conclusion This recommendation has been implemented. Prior Recommendation 3 Substantiate annual budget cost increases over 15 percent in the TDA claims submittal. Actions taken by the City of Visalia The prior audit found that the TDA claims submitted by the City to TCAG did not include justification for total budget expenditures exceeding 15 percent from the prior year. Form D of the Standard Assurances in the claim requires documented explanation for the budget expenditures. It was suggested that future claims should include written expenditure justification. In response to this recommendation, the City transit staff is committed to substantiate budget increases exceeding 15 percent in all future TDA claims. The City contends that the increases in the Visalia Transit operating budget cited in the prior audit were attributed to new routes, increased service frequencies and the addition of a new call center implemented with federal grant funds. That explanation was inadvertently omitted from the TDA claim form. Visalia Transit has not had any annual cost increases over 15 percent since then. Conclusion This recommendation has been implemented. Prior Recommendation 4 Properly exclude both fare revenue and operating costs from exempt services. PMC - 17
20 Actions taken by the City of Visalia During the prior audit, Visalia transit staff indicated that when new or extended services are exempted from the farebox recovery calculation, only the operating costs are exempted while the fare revenues from the new services are still included. Caltrans has determined that exempting an eligible new service is optional, given that new or extended services could be productive from a farebox perspective and the operator may choose to keep the service in the calculations. However, if the operator chooses to exempt the new or extended service for up to two full fiscal years, then both fare revenues and operating costs are excluded to minimize influence or impact on the overall transit system farebox calculation. In response, Visalia Transit has started excluding both fare revenue and operating costs for exempt services in its farebox recovery calculation. The City acknowledges its misinterpretation of the exempt services provision of the TDA, which had been followed by the Transit Division through prior TDA triennial performance audit cycles. Conclusion This recommendation has been implemented. Prior Recommendation 5 Assure Annual Fiscal Audits are submitted on time. Actions taken by the City of Visalia Pursuant to the Public Utilities Code, Section 99245, the City is required to submit annual fiscal and compliance audits to the TCAG and to the State Controller within 180 days following the end of the fiscal year or request a 90 day extension by TCAG as allowed by law. Even though the fiscal audits are commissioned by TCAG, it was suggested that the City s finance staff work closely with TCAG as part of enhanced oversight procedures to ensure that the annual fiscal audit of the City s Transit Division is submitted within the 180 day timeframe. During the audit period, the FY 2010 and 2011 annual fiscal and compliance audits were submitted within the 90-day extension period pursuant to TDA. However, the FY 2012 fiscal audit was submitted after the 90-day extension as allowed by law. It is suggested that the City s finance and transit staffs continue their coordination efforts with TCAG and oversight to ensure that TDA fiscal audits are submitted within the statutory timeframes. Conclusion This recommendation has been partially implemented. PMC - 18
21 Section IV TDA Performance Indicators This section reviews Visalia Transit s performance in providing transit service to the community in an efficient and effective manner. TDA requires that at least five specific performance indicators be reported, which are contained in the following tables. Farebox recovery ratio is not one of the five specific indicators but is a requirement for continued TDA funding. Therefore, farebox calculation is also included. Two additional performance indicators, operating cost per mile and average fare per passenger, are included as well. Findings from the analysis are contained in the section following the tables. Tables IV-1 through IV-3 provide the performance indicators for Visalia Transit systemwide, fixed route and Dial-a-Ride. Charts are also provided to depict the trends in the indicators. It is noted that the systemwide operating costs and fare revenues are based on audited figures, while fixed route and dial-a-ride costs and fare revenues are unaudited. The annual fiscal audits do not provide a modal breakdown. PMC - 19
22 Table IV-1 Visalia Transit TDA Performance Indicators Systemwide Audit Period Performance Data and Indicators FY 2009 FY 2010 FY 2011 FY 2012 % Change FY Operating Cost $7,174,874 $7,868,280 $7,335,296 $8,223, % Total Passengers 1,584,429 1,596,565 1,638,480 1,820, % Vehicle Service Hours 109, , , , % Vehicle Service Miles 1,525,776 1,637,140 1,738,326 1,755, % Employee FTE's % Passenger Fares $1,925,527 $2,009,273 $2,454,279 $2,157, % Local Measure R Support $92,000 $92,000 $120,000 $120, % Total Fare Revenue & Measure R Support $2,017,527 $2,101,273 $2,574,279 $2,277, % Operating Cost per Passenger $4.53 $4.93 $4.48 $ % Operating Cost per Vehicle Service Hour $65.42 $64.00 $55.81 $ % Operating Cost per Vehicle Service Mile $4.70 $4.81 $4.22 $ % Passengers per Vehicle Service Hour % Passengers per Vehicle Service Mile % Vehicle Service Hours per Employee 1, , , , % Average Fare per Passenger $1.22 $1.26 $1.50 $ % Fare Recovery Ratio With Measure R Support 28.12% 26.71% 35.09% 27.70% -1.5% Source: Annual Fiscal & Compliance Audit; National Transit Database; State Controller's Reports PMC - 20
23 Table IV-2 Visalia Transit TDA Performance Indicators Fixed Route (Including Towne Trolley) Audit Period Performance Data and Indicators FY 2009 FY 2010 FY 2011 FY 2012 % Change FY Operating Cost $5,298,007 $6,685,780 $6,806,741 $6,839, % Total Passengers 1,553,415 1,563,415 1,602,416 1,779, % Vehicle Service Hours 100, , , , % Vehicle Service Miles 1,382,919 1,489,936 1,603,853 1,603, % Employee FTE's % Passenger Fares $894,913 $986,383 $1,012,832 $1,069, % Operating Cost per Passenger $3.41 $4.28 $4.25 $ % Operating Cost per Vehicle Service Hour $52.97 $59.48 $56.45 $ % Operating Cost per Vehicle Service Mile $3.83 $4.49 $4.24 $ % Passengers per Vehicle Service Hour % Passengers per Vehicle Service Mile % Vehicle Service Hours per Employee 1, , , , % Average Fare per Passenger $0.58 $0.63 $0.63 $ % Fare Recovery Ratio 16.89% 14.75% 14.88% 15.64% -7.4% Source: Visalia Transit Annual Statistical Reports; State Controller's Reports PMC - 21
24 Table IV-3 Visalia Transit TDA Performance Indicators Dial-a-Ride Audit Period Performance Data and Indicators FY 2009 FY 2010 FY 2011 FY 2012 % Change FY Operating Cost $578,380 $684,768 $706,505 $749, % Total Passengers 31,014 33,150 36,064 40, % Vehicle Service Hours 9,640 10,534 10,869 11, % Vehicle Service Miles 142, , , , % Employee FTE's % Passenger Fares $48,260 $53,918 $52,502 $55, % Operating Cost per Passenger $18.65 $20.66 $19.59 $ % Operating Cost per Vehicle Service Hour $60.00 $65.01 $65.00 $ % Operating Cost per Vehicle Service Mile $4.05 $4.65 $5.25 $ % Passengers per Vehicle Service Hour % Passengers per Vehicle Service Mile % Vehicle Service Hours per Employee 1, , , , % Average Fare per Passenger $1.56 $1.63 $1.46 $ % Fare Recovery Ratio 8.34% 7.87% 7.43% 7.37% -11.6% Source: Visalia Transit Annual Statistical Reports; State Controller's Reports PMC - 22
25 Graph IV-1 Operating Costs Systemwide, Fixed Route & Dial-a-Ride Graph IV-2 Ridership Systemwide, Fixed Route & Dial-a-Ride PMC - 23
26 Graph IV-3 Operating Cost Per Passenger Systemwide, Fixed Route & Dial-a-Ride Graph IV-4 Operating Cost Per Vehicle Service Hour Systemwide, Fixed Route & Dial-a-Ride PMC - 24
27 Graph IV-5 Passengers Per Vehicle Service Hour Systemwide, Fixed Route & Dial-a-Ride Graph IV-6 Fare Recovery Ratio Systemwide, Fixed Route & Dial-a-Ride Note: Systemwide farebox ratios are from audited financial statements and include local Measure R support plus federal grant funds for in-park Sequoia Shuttle. Modal farebox include fare revenues only. PMC - 25
28 Findings from Verification of TDA Performance Indicators 1. Operating cost per vehicle service hour, an indicator of cost efficiency, increased 1.2 percent systemwide from $65.42 in FY 2009 to $66.18 in FY Fixed route operating costs per hour increase of 14.6 percent during the period, while Dial-a-Ride operations exhibited increase of 8.3 percent from $60.00 to $ Operating costs increased 14.6 percent systemwide (based on audited data) over the same period with operating hours experiencing an increase of 13.3 percent. 2. Operating cost per passenger, an indicator of cost effectiveness, decreased 0.3 percent systemwide from $4.53 in FY 2009 to $4.52 in FY Fixed route services exhibited an increase of 12.7 percent from $3.41 in FY 2009 to $3.84 in FY Demand response services decreased during the period 1.7 percent from $18.65 in FY 2009 to $18.32 in FY Ridership systemwide increased by 14.9 percent during the period from 1,584,429 passengers in FY 2009 to 1,820,572 passengers in FY Passengers per vehicle service hour, which measures the effectiveness of the service delivered, increased 1.4 percent between FY 2009 and FY 2012 systemwide from 14.4 passengers per hour to 14.7 passengers per hour. Fixed route operations were consistent with this trend with a rate of increase of 1.7 percent over the same period from 15.5 to 15.8 passengers per hour. Demand response operations exhibited a higher rate of increase of 10.3 percent from 3.2 to 3.5 passengers per hour. The trend in this indicator reflects increased ridership and increased hours on fixed-route and Dial-a-Ride services. 4. Passengers per vehicle service mile, another indicator of service effectiveness, remained steady at 1.04 passengers per mile between FY 2009 and FY For fixed route operations, the number of passengers per service mile decreased moderately by 1.2 percent from 1.12 to Demand response services increased passengers per service mile by 24 percent during the triennial period, from 0.22 in FY 2009 to 0.27 in FY From the FY 2009 base year to FY 2012, total vehicle service miles increased 15.1 percent systemwide. 5. Vehicle service hours per employee increased 13.3 percent systemwide between FY 2009 and FY This increase was associated with increased vehicle service hours on fixed route and demand response services, while the number of employees in both service modes remained the same. This measure is based on the number of employee Full-Time Equivalents (FTE) using employee pay hours from the State Controller s Report and dividing by 2,000 hours per employee. 6. Farebox recovery, using modal fare revenues, exhibited a decrease of 7.4 percent for fixed route and a decrease of 11.6 percent for Dial-A-Ride between FYs 2009 and Although passenger fare revenue increased for both modes that reflect increased ridership, growth in modal operating costs exceeded the growth rate for fare revenue. PMC - 26
29 Conclusion from the Verification of TDA Performance Indicators The City of Visalia s performance indicators reflect the increases in service frequencies and ridership of both its fixed route and demand response services. Both fixed route and dial-a-ride operating costs grew by 29 percent during the triennial period. Most of the costs are attributed in direct response to the increased service hours and miles to match increased ridership demand. Passenger fare revenues also reflect these trends. The increase in ridership was 14.4 percent for fixed route and 31.9 percent for dial-a-ride. PMC - 27
30 Section V Review of Operator Functions This section provides an in-depth review of various functions within Visalia Transit. The review highlights accomplishments, issues and/or challenges that were determined during the audit period. The following functions were reviewed at the City of Visalia, Transit Division: Operations Maintenance Planning Marketing General Administration and Management Within some departments are sub-functions that require review as well, such as Grants Administration that falls under General Administration. Operations Visalia Transit has continued to expand and optimize in the midst of a challenging economic and fiscal climate. The City has managed to avoid service cutbacks by leveraging local, state and federal funding sources while upgrading transit infrastructure and amenities. The focus has been on sustaining the core ridership on the busiest trunk routes. As a result of this strategy, headways on Route 1 are now 10 minutes and Routes 7 and 8 are now bi-directional with increased headways. In order to maintain the 15 minute headways, an extra bus was added. Sunday service was expanded by three additional hours to 6:30 p.m. Demand on Route 1 has increased with the introduction of the College of the Sequoias (COS) student pass. The COS Board of Trustees approved a mandatory and non-waivable transportation fee to encourage public transportation use. In September 2010, the Associated Student Body of COS held an election approving the Board s implementation of the fee, which provides students with unlimited access on participating transit services in Tulare County including Visalia Transit. The fee for students taking six or more units is $5.00 and for students taking fewer than six units, the fee is $4.00. Visalia Transit has subsequently added several express runs along Route 1 that make a minimal number of stops en route. These limited runs are branded as Route 1 Express. The City is exploring the potential for Bus Rapid Transit (BRT) along the Route 1 alignment which includes Mooney Boulevard, the City s busiest commercial corridor. The widening of Mooney Boulevard from four to six lanes between SR 198 and Caldwell Avenue could make BRT a viable alternative. The proposed BRT project is part of a long-range regional transit planning effort. PMC - 28
31 Route 11X, operated jointly with the Tulare Inter Modal Express (TIME), has continued to perform well as an express route between Visalia and Tulare. Route 11X operates 30 minute headways between the Tulare and Visalia Transit Centers along the SR-99 and SR-198 corridors with an intermediate stop serving COS and the Tulare County Civic Center in Visalia. Each agency runs alternating buses every hour, which results in the 30 minute headways. With the recent designation of Tulare into the Visalia Urbanized Area, further transit coordination between the two agencies is anticipated. On the other hand, the Towne Trolley performance has been more challenging. The trolley s ridership decreased by more than 70 percent between FY 2009 and FY Given the declining ridership on the Towne Trolley, the City has reduced its hours to lunch time, the Thursday night Farmers Market and to special events such as the Visalia Rawhide baseball games held at Recreation Park. After breaking ground in the summer of 2009, the City completed its expansion of the Transit Center in October The 31,371 square foot expansion consists of 12 new bus bays located to the south of the existing building along Center Street between Bridge Street and Santa Fe Avenue. In addition to the bus bays, the expansion included solar voltaic panels to power the outdoor lighting, a public plaza, a water feature, storm drainage cleansing at the bus lanes as well as ground water recharging for the pedestrian areas. The Transit Center first opened in February All of Visalia s fixed-routes (except for Route 12) as well as the Sequoia Shuttle and Towne Trolley connect at the Transit Center. The Transit Center has become a regional transit hub allowing for convenient timed connections between most routes and other transit agencies and commercial inter-city bus lines such as Tulare County Area Transit (TCaT), Kings Area Rural Transit (KART), TIME, Greyhound, Orange Belt Stages and the Amtrak Connection buses. Visalia Transit has made a commitment to improve passenger amenities. The system has 650 stops and 200 bus shelters. Newer bus shelters feature schedule holders and system maps. The City has purchased 15 bus shelters annually with an emphasis on solar lighting technology. About 30 to 40 solar-powered shelters have been installed. Staff at the Green Line call center track operational statistics including missed stops and runs. The City submits a quarterly report to the contract operator, MV Transportation. In turn, the contract operator provides the City with monthly Manager s Report detailing key service performance indicators, such as safety, accidents, pending improvements/actions, on time performance monitoring and customer service. Customer service reporting is categorized according to mechanical issues, driver attitude issues, dispatch/phone experience, air conditioning, safety, scheduling/route issues, compliments, and other. Driver remediation is documented for all accidents, injuries and customer service complaints. Customer complaints are summarized in Table V-1 below: PMC - 29
32 Table V-1 Customer Complaints FY 2010 FY 2011 FY 2012 Customer Complaints Source: Visalia Transit There was a slight increase in the number of complaints received during the period. Most of the complaints are attributed to on-time performance, particularly along the Mooney Boulevard corridor. The City has found that the Route 1 Express is not working out as anticipated, which may be discontinued in August Another measure to improve on-time performance would be to increase running times along Route 1 as well as add time at each end of the route. Visalia Transit s Automated Vehicle Locator (AVL) system is used to measure on-time performance at all timepoints. Manual spot checks are also performed by the road supervisors and transit staff. The AVL system also has the capability to track missed trips. Another application of the AVL system is related to NextBus technology that would allow for real time tracking of buses by riders. The City reports that once modem issues have been resolved, it will consider introducing this feature along with a mobile app. In regard to vehicle safety, Visalia Transit tracks the number of accidents, which are categorized as preventable or non-preventable. According to the Federal Motor Carrier Safety Administration, a preventable accident is one which occurs because the driver fails to act in a reasonably expected manner to prevent it. A non-preventable accident is the result of a collision or incident while the driver was lawfully operating the vehicle. Table V-2 provides a summary of accidents recorded during the audit period. Table V-2 Accidents FY 2010 FY 2011 FY 2012 Preventable Non-Preventable Total Source: Visalia Transit There was a slight increase in the total number of accidents reported, which rose from 35 in FY 2010 to 39 in FY The number of preventable and non-preventable accidents decreased to 10 in FY 2011, respectively before rising in FY Retraining is conducted after each incident. Dispatching functions are performed from the City s corporation yard. Dial-a-Ride reservations are pre-batched up to 14 days in advance with a hard copy available for back up. General public riders are not allowed to make advanced reservations; only same-day reservations. A manifest is printed out daily. PMC - 30
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