Bus

CTA implements further management efficiencies

Posted on September 15, 2010

As the Chicago Transit Authority (CTA) prepares its 2011 Budget, CTA President Richard L. Rodriguez identified $53.6 million in management efficiencies designed to help the agency weather the continued economic challenges without adversely impacting the current level and quality of service provided to customers.

Rodriguez directed CTA's departments to streamline costs while maintaining CTA's core mission of providing on-time, clean, safe, courteous and efficient service.

Approximately $36 million of cost savings will be a result of personnel efficiencies. CTA will save approximately $7.2 million in salaries and benefits by eliminating more than 70 positions — including more than a dozen at manager level. A savings of $13.7 million in salaries and benefits will be achieved by delaying hiring for open positions that are deemed necessary, but are not safety related or directly impact service.

Continuing to manage and control overtime is expected to save an additional $5.5 million in next year's budget. In 2011, non-union employees will again forgo wage increases and will be required to take up to 18 unpaid days for an additional savings of $9.7 million.

In addition, CTA will save approximately $17.5 million as departments continue to aggressively streamline operations and reduce expenditures such as fuel, power, materials and contracts in 2011.

CTA also continues to realize savings through the reduction of fuel consumption by its bus fleet. By retiring older buses from its fleet and replacing them with more fuel efficient buses, most recently hybrids, CTA saves approximately $7 million per year in maintenance, parts, and labor costs, including more than $900,000 annually in fuel costs.

By using a long-term, layered fuel hedging strategy, the CTA is now spending $30 million for fuel versus a budgeted amount of $36.5 for the first seven months — resulting in a savings of $6.5 million to date.

"The financial challenges we're experiencing are not exclusive to the CTA," added Rodriguez. "Just like other businesses around the nation, we continue to strive for ways to be fiscally responsible and maintain operations until the economy recovers."

 

 

View comments or post a comment on this story. (0 Comments)

More News

Port Authority to realign gates at NYC bus terminal

The changes are aimed at improving bus operations and reducing congestion in the terminal that can stretch back out into the inbound Lincoln Tunnel and beyond.

Mich. BRT plan on track, set for possible 2018 launch

The 8.3-mile route, with a proposed 27 stops, would replace the Capital Area Transportation Authority’s current Route 1 from downtown Lansing to the Meridian Mall. Results from the plan’s environmental assessment study are expected to be shared at a public hearing this fall.

Kiel Seats part of largest refurbished electric fleet in North America

Left on purpose without upholstery option, each double seat weighs only 45 lbs. yet provides an optimum of comfort for riders through its ergonomically formed design. The slim contour of the seat’s back offers a maximum of legroom for passengers and enhanced accessibility getting in and out of the seat.

NJ TRANSIT to add 772 MCI Commuter Coaches

The latest equipment purchase in a 33-year relationship, the $395 million order for clean diesel, cruiser-style coaches will offer NJ TRANSIT riders three-point seatbelts and comfortable forward-facing seating for 57 passengers.

 

Calif.'s OCTA to add 218 New Flyer CNGs

The agency has a growing fleet of environmentally friendly New Flyer CNG buses and with these awards will increase their active New Flyer fleet to 556 vehicles.

See More News

Post a Comment

Post Comment

Comments (0)

More From The World's Largest Fleet Publisher

Automotive Fleet

The Car and truck fleet and leasing management magazine

Business Fleet

managing 10-50 company vehicles

Fleet Financials

Executive vehicle management

Government Fleet

managing public sector vehicles & equipment

TruckingInfo.com

THE COMMERCIAL TRUCK INDUSTRY’S MOST IN-DEPTH INFORMATION SOURCE

Work Truck Magazine

The resource for managers of class 1-7 truck Fleets

Schoolbus Fleet

Serving school transportation professionals in the U.S. and Canada

LCT Magazine

Global Resource For Limousine and Bus Transportation

Please sign in or register to .    Close