Passenger Bus, Rail and Motorcoach Industry News

The moderate annualized decrease in industry revenue of 1.7% masks the sharp demand declines experienced during the recession. However, locomotives and railcars are built when ordered, which causes order backlogs that can last an average of three years.

The agency began its budget process three months ahead of schedule to begin developing options to respond to a projected $12 million to $17 million shortfall. The agency's FY12 operating budget is $444 million.

After nine months of negotiations, the agency and unions representing more than 800 of its employees failed to reach agreements. Agency’s loss in revenue from local property taxes, farebox proceeds, and state and federal funding also prompted the cuts.

The economic recession has only provided a temporary respite from the growing congestion problem, according to a new study. When the economic growth returns, the average commuter is estimated to see an additional three hours of delay by 2015 and 7 hours by 2020.

Besides nation's unemployment rate, other factors contributing to the ridership decline are service cuts and fare increases. Meanwhile, demand response (paratransit) services grow.

GCRTA has already reduced salaried positions by 5 percent, frozen wages for all salaried employees, instituted a partial hiring freeze, restricted travel, received supplemental funding from the NOACA and reduced overtime.

If agency's other unions, representing everyone from bus drivers to transit police, make a similar concession, it stands to save about $17.3 million in the FY 2010 budget, according to authority officials.

Impacts include making operations leaner; delaying bus purchases; and transportation fees aren't keeping up with costs.

Washington Post reports that the final amount of spending for highway, bridge and rail construction projects may be $49.6 billion, which is higher than what was originally proposed by both the House and Senate.