Provision of Alternative Services by Transit Agencies: The Intersection of Regulation and Program (2023) / Chapter Skim
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User-Side Subsidy Design Indicate if the alternative service will have a user-side subsidy, and if so, what initial fare amount will the customer pay (Figure 6-7) : • If user-side subsidy: type "x" in the cell to indicate that the customer will pay an initial fare or subsequent charge beyond a mileage limit for each trip taken.
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ASET Data Tool 6-7 Figure 6-6. Sample trip mileage subsidy limit. Figure 6-7. Sample user-side subsidy design.
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minus initial fare amount for a user-side subsidy program, if applicable • Customer alternative service net fare cost: initial fare amount plus charge per mile above limit multiplied by average trip miles minus mileage limit • Customer cost difference (net customer benefit) : subsidy level per trip plus paratransit fare minus customer alternative service net fare cost Planning Calculator Outputs Based on the current paratransit service data and the planning parameters for the future alter native service, the planning calculator (Figure 6-9)
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The results for all three fields in this section are automatically calculated: • Total cost difference: set at $0 • Alternative service trips: target of alternative service trips for the agency to break even • Alternative service per trip customer cost difference: target of customer cost difference for the agency to break even Cost Savings Target The cost savings target finds the number of trips and level of customer cost difference needed for the total cost output to be less than the total operational cost of current paratransit service according to a set target. • Target cost savings (optional)
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. • Total alternative service trips: enter the total trips for your alternative service over the last annual fiscal year period or the last twelve months of service (the same period you used for paratransit inputs data)
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. • Paratransit: total operational cost divided by total paratransit trips • Alternative Service: equal to average subsidy per trip • Difference: paratransit minus alternative service per-trip costs Figure 6-12. Sample weighted-average variable per-trip costs.
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. • Total trips: total paratransit trips plus total alternative service trips • Induced trips: total trips minus growth rate estimated trips • Mode shift: total alternative service trips minus induced trips • Mode-shift cost savings: mode shift trips multiplied by difference in per-trip costs • Additional subsidy: induced trips multiplied by alternative service per-trip cost • Total cost: total paratransit trips multiplied by paratransit per-trip cost plus estimated total alternative service trips multiplied by alternative service per-trip cost • Baseline cost: growth rate estimated trips multiplied by paratransit per-trip cost • Net cost change: additional subsidy minus mode-shift cost savings; equal to baseline cost minus total cost • Net cost change %: net cost change divided by total cost Checklist □ Determine the parameters of your prospective alternative service, including whether it will use a provider- or user-side subsidy model, any imposed trip mileage limits, and the subsidy levels.
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The final case study selection is: • Boston, MA: MBTA's On-Demand/The RIDE Flex • Broward County, FL: BCT's Rider's Choice • Flagstaff, AZ: Mountain Line's Paratransit Taxi Program • Richmond, VA: GRTC's CARE On-Demand • San Antonio, TX: VIA's taxi subsidy program The case studies were conducted from November 2021 through January 2022. The continuing pandemic complicated on-site visits, so the case studies were conducted virtually.
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