OC Transpo Fare System Restructuring
1 like10,133 views
This document summarizes proposed changes to OC Transpo's fare system to coordinate with the new O-Train Confederation Line. Key points include: - Removing premium fares for express routes since distinctions will no longer exist. - Recalibrating fares to maintain $190M in annual revenue, including one monthly pass price for adults and students. - Phasing out paper passes and tickets by 2017 as they won't work with new fare gates. - Introducing a multi-day pass and integrating fares with intercity carriers like VIA Rail. - Adjusting fare increase timing to January 1st annually to align with the city budget year. - Establishing rules to annually
OC Transpo Fare System Restructuring
- 1. OC Transpo Fare System Restructuring to Coordinate with the O-Train Confederation Line Multimodal Operations June 7, 2016Technical Briefing
- 2. 2 Premium Fares – Current • OC Transpo currently charges a premium fare on direct-to-downtown “Express” routes, which operate from Kanata/Stittsville, Barrhaven, and Orléans to downtown; • Adult express fare (+23 per cent to +50 per cent surcharge); • Student express fare (+17 per cent surcharge); and • No premium has ever been charged on 90-series rapid transit routes, nor on direct-to-downtown routes from locations inside the greenbelt or from the south.
- 3. 3 Premium Fares: Why is Change Needed? • With the expansion of the Transitway system and improvements to the transit network, “Express” routes are no longer clearly distinct from regular-fare routes; • With the opening of the O-Train Confederation Line, all current “Express” routes will change to Connexion routes; • There will be no difference in service quality between former “Express” routes and other routes connecting to the O-Train Confederation Line; • Charging a premium fare on some routes or trips would be inequitable and would reduce service quality to everyone; and, • It will not be possible nor practical to charge premium fares in the afternoon; doing so would impact service and increase costs.
- 4. 4 The Evolution of the Express Distinction Historical Express Service Characteristic Current Status Transfer-free trips to downtown Also available since the 1980s on Transitway bus routes from all districts Limited-stop trips to downtown Also available on Transitway bus routes from all districts, stopping only at stations Consistently available in suburban areas Some newer suburban areas served only by regular-fare bus routes Seat availability on high-floor buses Entire fleet converted to low-floor buses (reduced seats; some customers stand) Lower-fare customers excluded The adoption of the U-Pass and Community Pass has opened “Express” routes to these customers Higher fares to cover higher operating costs Operating cost of “Express” routes now similar to operating cost of regular-fare bus routes 2018: LRT opens “Express” service no longer provided
- 5. 5 In 2018, the Express distinction will no longer exist Historical Express Characteristic 2018 Status Transfer-free trips to downtown Customers from Kanata, Barrhaven and Orléans on Rapid, Connexion and Local routes will complete their trips on the O- Train Confederation Line Higher fares to cover higher operating cost Operating cost of future Connexion routes will be similar to operating cost of regular- fare bus routes Premium fare charged/checked when customers board Customers will no longer pay/prove their fare when transferring at major transfer stations, and it is not feasible to do so – impacts on service and increases costs • When the O-Train Confederation Line opens, feeder routes will be classified as: Rapid, Frequent, Connexion, or Local • Connexion routes will include current express routes but also other peak- only feeder routes from neighbourhoods to the nearest O-Train station
- 6. 6 Fare Recalibration • $190 million in total fare revenue needs to be maintained to meet the objectives of the long-range financial plan for transit; • With the end of Express service, there will be no more premium fares, reducing fare revenue by $6 million; • Some fare types need to be recalibrated/adjusted: – One monthly pass price for adults; – One monthly pass price for students; – One e-purse fare for adults; and, – One cash fare for adults. • Other fare types remain unchanged.
- 7. 7 Recommendations • The removal of premium fares for express routes; and, • The adoption of a new recalibrated fare structure to compensate for the reduction in fare revenue from the removal of premium fares, as shown in the following tables.
- 8. 8 Recalibrated Monthly Passes Fare type Customers/month July 1 2016 Future Adult express 13,000 $130.50 $112.25 Adult regular 38,000 $105.75 Student express 400 $99.00 $84.75 Student regular 14,000 $84.25 Senior 65+ 7,000 $42.75 $42.75 Community 5,700 $41.75 $41.75 Future fares in this table do not include 2017 inflationary increases. Total fare revenue collected from monthly passes would be unchanged.
- 9. 9 Recalibrated Single-ride Fares Fare type July 1 2016 Presto Future Presto July 1 2016 Ticket No More Tickets July 1 2016 Cash Future Cash Express $4.39 $3.30 $4.95 – $5.15 $3.35 Regular $3.00 $3.30 $3.65 Senior 65+ $2.19 $2.50 – – $2.75 $2.55 Child 6-12 $1.61 $1.65 $1.65 – $1.90 $1.70 Child 0-5 – – – – – – Future fares in this table do not include 2017 inflationary increases. Total fare revenue collected from single-ride fares would be unchanged.
- 10. 10 Automated Fare Control Requires Fares to be Machine-readable • The Rapid Transit Fare Control Strategy – implementing fare vending machines and fare gates at stations on the O-Train Trillium Line and Confederation Line – requires that all passes, transfers, and other fares be machine-readable: – Smartcards; and, – 2D barcodes. • Several fare types will need to be modified to meet this requirement.
- 11. 11 Paper Passes and Tickets • Discontinuation of paper passes and tickets expected since the adoption of the Presto fare payment system: – Deferred to assist customers in the transition to Presto; • Paper pass and ticket usage has declined; • Will not be feasible to use paper passes and tickets at fare gates at O-Train stations; and, • Monthly passes can be purchased using Presto, and single-ride fares can be purchased using Presto e- purse or cash: – No financial impact to customers.
- 12. 12 Paper Passes and Tickets • Paper passes and tickets will be phased out, beginning with the pass types that have the lowest use: – Student monthly passes in October 2016; – Adult monthly passes in June 2017; – Senior monthly and Community passes in August 2017; and, – Tickets in November 2017.
- 13. 13 Other solutions to ensure fares are machine-readable • Free fares for children aged 5 or under and for seniors on Wednesdays: – Staff will put operational processes into place that will allow these customers to continue to ride on all parts of the OC Transpo system once the fare gates are in place at O-Train stations. • Event tickets: – Continue existing service model for which transit fares are included in ticket price, but with barcodes on tickets.
- 14. 14 Other solutions to ensure fares are machine-readable • U-Pass – Working with universities and colleges on solutions to make U-Pass machine-readable and capable of visual inspection, so it can be used at fare gates and when boarding buses; and, – Pilot project with University of Ottawa underway. • Connections with the STO – Fare gates will read and recognize STO’s Multi Card; and, – Working with STO on a solution for customers who start trip on STO and pay using non-smartcard products.
- 15. 15 Para Transpo Top-up • Top-up currently required for customers who do not have express passes, during morning peak period; and • Originally designed to reduce demand during busy morning peak, but effect has lessened. • Recommendation: the removal of the requirement for a morning top-up on Para Transpo service.
- 16. 16 Community Pass and Access Pass • Community Pass currently available to ODSP recipients and/or Para Transpo registrants, who must top-up when travelling on Para Transpo service at all times. • Recommendations: – Community Pass to be offered only to customers on ODSP, and that a top-up is not required for this pass; and, – A new Access Pass for Para Transpo registrants who are not on ODSP. Access Pass would be same price as Community Pass and provide 1/3 discount for single-ride trips made on Para Transpo.
- 17. 17 New Youth Monthly Pass • Student monthly pass currently available to students aged 19 and under: – Must show proof of being registered as a student. • Recommendation: the replacement of the Student Monthly Pass with a new Youth Monthly Pass: – Valid for all people aged 19 and under, and would require proof of age only; – Extending discount to all youth reduces discount level from 24 per cent to 23 per cent; and, – An additional 1,400 youth customers would be included in this redefinition.
- 18. 18 Day Pass • Currently priced at $8.50; • Available on weekdays for use by one customer; and, • Available on weekends and some holidays for use by up to two adults and up to four children aged 12 or under. • Recommendation: Day pass price to be set at 3 times adult single-ride fare – Clarifies the value of the day pass; and, – Based on recommended 2016 fares, price would be $10.00.
- 19. 19 New Multi-Day Pass • Very important for Ottawa’s tourism industry. • Recommendation: the introduction of a new multi-day pass to be made available starting in 2018: – Available for between 2 and 7 days; – Available only at fare vending machines at O-Train stations; – Will be priced to encourage ridership and not to lose fare revenue; and, – Recommended prices to be considered in the 2018 budget.
- 20. 20 Intermodal Integrated Fares • OC Transpo working with VIA Rail Canada to give VIA’s customers the option of including the cost of transit in the train fare; • VIA already partners with other transportation agencies; • Tool is built into VIA’s reservation system; • Tickets would carry barcode and visual print for fare enforcement and inspection; • Pricing would be set at regular fare plus any administrative fee set in contract by VIA; and, • Staff will work with other intercity transportation carriers to provide the same opportunity.
- 21. 21 Fare Distribution Vendor Network • Currently, OC Transpo’s current vendor network sells paper passes and tickets; • With the recommendation to phase out paper passes and tickets, staff will work with vendors to explore other products for them to offer, such as preloaded Presto cards; and, • Future technology improvements may also allow vendors to offer other fare products.
- 22. 22 Social and Other Agencies • Social and other agencies also provide paper tickets for their clients; • With the recommendation to phase out of paper tickets, staff will make available to the agencies other ways to prepay single-ride fares, which may include: – Prepaid Presto cards; – Group sales of Presto cards; or, – Special vouchers for use by the clients of these agencies.
- 23. 23 Fare Adjustment Timelines • The City’s fiscal year is from January to December; and, • Fare prices have historically been in effect from July to June. • Recommendation: a new fare increase date of January 1st of each year, to be consistent with the City’s budget year: – As part of 2017 budget, propose that the fare increase occur on January 1, 2017 instead of July 1, 2017; – By advancing the date of change, the increase in fares can be reduced from 2.5 per cent to 1.25 per cent; – Eases adjustment to new fare structure, while still maintaining the same amount of fare revenue budgeted for 2017; – Excludes U-Pass, which is contractually set to increase in September of each year; and, – U-Pass increase would remain at 2.5 per cent.
- 24. 24 Fare Adjustment Timelines 2015 2016 2017 2018 Jan Apr Jul Oct Jan Apr Jul Oct Jan Apr Jul Oct Jan 6 months 12 months12 months +2.5% Recalibrate +1.25% +2.5%+2.5% Express Service continues until commencement of Revenue Service of the Confederation Line
- 25. 25 Annual Fare Adjustments • Recommended fare table shows a structure of multipliers, discounts, and rounding rules to set all of the future fare types from a base fare; • In future years budgets, staff would calculate the base fare using the recommended percent fare increase, and would then recalculate all of the fare types using this structure; and, • Process avoids imbalances from year to year in the overall fare structure.
- 26. 26 Recommended Fare Table Fare Type Price Multiplier/ discount Base fare $3.30 Adult e-purse fare $3.30 100% of the base fare. Rounded up to the nearest nickel. Seniors’ e-purse fare $2.50 25% discount from the base fare. Rounded up to the nearest nickel. Child e-purse fare $1.65 50% discount from the base fare. Rounded up to the nearest nickel. Adult cash fare $3.35 Adult e-purse fare plus $0.05 Seniors’ cash fare $2.55 Seniors’ e-purse fare plus $0.05 Child cash fare $1.70 Child e-purse fare plus $0.05 Discounted Para Transpo fare with Access Pass $2.20 2/3 of the base fare. Rounded up to the nearest nickel. Rural Para Transpo fare $9.00 2.7 x the base fare. Rounded up to the nearest quarter. Adult monthly pass $112.25 34 x the base fare. Rounded up to the nearest quarter. Youth monthly pass $86.50 23% discount from the adult monthly pass. Rounded up to the nearest quarter. Seniors’ monthly pass $42.75 62% discount from the adult monthly pass. Rounded up to the nearest quarter. Community monthly pass $41.75 63% discount from the adult monthly pass. Rounded up to the nearest quarter. Access monthly pass $41.75 63% discount from the adult monthly pass. Rounded up to the nearest quarter. U-Pass per semester $197.52 Fixed by contract Day pass $10.00 3 x the base fare. Rounded up to the nearest quarter.
- 27. 27 Para Transpo Cash Fares • New ParaPay system is currently being tested by customers; and, • From July 1, 2016, a discrepancy will exist between the approved cash fares for Para Transpo customers and the discounted e-purse fares for conventional transit customers. • Recommendation: – Hold cash fares on Para Transpo at e-Purse fares until December 31, 2016; and, – Reduction in fare revenue to be funded from the capital budget for the Presto smartcard project.
- 28. 28 QUESTIONS?