Transit Action Network (TAN)

1. Michael Graham, Director of Finance, presented financial data for 2010 and key performance statistics. The service reduction and fare increase in 2009 affected 2010 results.

KEY PERFORMANCE STATISTICS

Scheduled miles operated in 2010 were 9.7 million compared to 10.3 million in 2009.

Passenger revenue for the Metro decreased to $10,933,000 for 2010 which is $276,409, or 2.5% under 2009.  Average weekday ridership for the year decreased 2.3% to 50,007 compared to the previous year’s average of 51,156.

The average ridership for Saturday and Sunday decreased 3.0% and 9.8% respectively.

Total operating expenses for 2010 are $68,941,469, coming in $2,466,032 or 3.5% under budget.

KCATA is starting to see an increase in ridership as gasoline prices are rising.

2 Michael Graham updated the Board on the current fuel market and potential budget impacts. He was assisted by David Zarfoss, the representative from Mansfield Oil.

Diesel fuel prices have increased dramatically over the past month.

KCATA has approximately 50% of the 2011 diesel fuel requirement locked in at an average price of $2.38 per gallon.

The fixed price contracts cover fuel through June and most of July.  The remaining 50% of diesel fuel that is not locked in at fixed prices is budgeted at $2.50 per gallon.  The daily market price on March 10 was $3.21 and rising.

Michael and David discussed the factors affecting diesel prices. Purchasing factors have changed recently.

David commented that although diesel prices are rising, the refineries are in the process of making massive increases to capacity, which should calm the market and help bring the prices down.

Since KCATA has fixed price contracts though part of July it is not purchasing new contracts at these prices but is waiting to see what happens. KCATA has plans for a fuel surcharge of 25¢ when their diesel prices exceed $3.

The next meeting is April 27.