Posts Tagged ‘fares’

What’s the “Word” on SelectPass

June 20th, 2016 7 comments

Customers are saying great things about SelectPass, Metro’s new unlimited monthly pass program.

SelectPassWordCloud

Word Cloud representing what SelectPass customers have said about the new pass program. Click for a larger version.

This post was submitted by Metro’s Director of Customer Research.

Metro’s limited time offer SelectPass has early adopters talking. In April, Metro sought to provide new payment methods by introducing SelectPass—a multi-tiered pass option allowing customers to ride as much as they want on Metrorail (and Metrobus).  Currently two price points are available. Read more…

Designing the SelectPass Test Phase

May 4th, 2016 9 comments

The new Metro SelectPass is structured to to maximize pilot participation while minimizing the risks.  Making that happen involves overcommitting to truth in advertising – and we’re fine with that!

The two most likely fare levels for the SelectPass are $2.25 and $3.75.

The two fare levels most likely to be popular for the SelectPass are $2.25 and $3.75.

We are excited about the launch of the new SelectPass pilot.  As we have begun to roll out this new pass product, we are listening to your questions (via twitter, comments posted to articles, etc.) and we hope to address as many of them through the proper venues.  PlanItMetro seems to be the best forum to answer the persistent question, “Is this really only for two fare levels, and why don’t you tell everyone that they can probably save money?”

Testing the capacity of the Fare System

When we roll out new features, we want to eliminate as many risks as possible before committing to them.  In this case, the primary risk Metro faces is that our aging fare technology might not be able to accommodate a very different fare product such as SelectPass.  So we developed a program to test the pass at two individual “levels” as a proof of concept and not push any limits of our fare collection technology. Read more…

Categories: Engage Tags: , , , , ,

SelectPass Pilot: Making it Easier to Plan, Pay, and Ride

March 11th, 2016 31 comments

Customers showed high levels of interest in a customizable monthly pass.

pass_interest

Metro customer interest in a new unlimited monthly pass concept, by market segment.*

Metro is not raising fares this year, and instead is innovating ways to make it easier and more affordable to use the system.  Metro is taking a page from private industry, which has moved away from charging customers for each purchase and towards giving customers the option to “subscribe” to a company in exchange for unlimited access.  A Netflix subscription has replaced a membership at the local video store.  Amazon Prime offers unlimited shipping rather than shipping on each item.  Spotify subscriptions have replaced purchasing individual CDs.  Why not a subscription to use Metro?

Fortunately, we found a way to provide this to our customers and we’re really excited to begin testing it out starting this month.  The idea is to allow customers the ability to customize an unlimited access pass based on their usual travel patterns. Modeled after Seattle’s Puget Pass and frequently discussed on Greater Greater Washington over the past few years, this pass would allow customers to subscribe to a monthly pass, priced based on their typical trip costs, that offers unlimited travel on rail and the option to add on the same flexibility on bus.  We are calling it the Metro SelectPass.

Here’s the basic concept.  Customers tell Metro their usual start points and end points.  We then figure out how much that trip costs and offer you unlimited travel on rail up to that value in exchange for you buying 18 days worth of trips.  For example, if a customer’s “usual” peak trip is $2.25, they can get a pass priced at $81.00 (about $2.25 x 18 x 2) and then all trips valued at $2.25 or less would be free for an entire calendar month.  Extra trips for lunch, a night on the town, doctor’s appointment – it’s all included in one low price.  If you travel on a more expensive trip for any reason, you only pay the difference for that trip.  Most customers may enjoy savings of over 20% off of the pay-as-you-go rate, and they’ll also get the benefit of knowing they can travel as much as they want, whenever they want, all for one price.

For an additional $45 per month, customers can choose to add unlimited bus travel on top of unlimited rail travel.  That’s a huge savings compared to pay-as-you-go!  Read more…

Buses and Trains and Vans, Oh My! – How Metro’s Operating Budget Pays for Service

February 22nd, 2016 Comments off

Ever wondered how much service your transit fares pay for, or how your tax dollars are spent? Read all about the intricacies of Metro’s operating budget!

How to Get Involved

Do you want a say in Metro’s budget? A public comment period on the FY17 budget (both capital and operating) is now open, and it will end 9am on Monday, February 29th. Please submit your feedback the following ways:

  • Take an online survey at wmata.com/budget.
  • Email your written comments at writtentestimony@wmata.com.
  • Attend a formal public hearing at Metro Headquarters, 600 5th St NW, Washington DC, on Monday, February 22. An Open House will begin at 6 p.m. and the Public Hearing will begin at 6:30 p.m.

Additional communications and outreach efforts will continue over the next few weeks, including notification to local stakeholders and community based organizations; signs posted in Metrorail stations, Metrobuses, and MetroAccess vehicles; surveys sent to a statistical sample of registered SmarTrip® cardholders; ads in local English and non-English publications; and other media efforts including advisories, press releases and social media. The online survey and legal notice will also be available in seven languages.

Staff will summarize and present community feedback to the Board in March, and the Board will use that feedback as a vital input in budget negotiations before adopting a final budget in April.

So be on the lookout for opportunities to learn more about next year’s budgets and to have your voice and ideas heard!

Operating Budget Basics

This is the last of three related posts that attempt to simplify the complex world of transit system funding, and to give Metro’s riders and regional residents some tools to engage in budget discussions. The first post focused on the Capital Funding Agreement (CFA, PDF) and the Capital Improvement Program (CIP, PDF), which together establish a six-year framework for funding projects that improve the Metro System’s safety, reliability, and performance. The second post focused on the annual capital budget, and this post discusses the annual operating budget.

If you walk away from this post with nothing else, the graphic below summarizes the most important points about Metro’s operating costs and who ends up paying the bills:

Metro Ops Funding Scale

The capital budget pays for projects where Metro is building something or buying equipment: purchasing new buses and rail cars, building a new station entrance, improving a bus stop, or buying new parts for escalators. The operating budget pays the costs (salaries, fuel, utilities) of running the system on a daily basis, including all the customer services highlighted in the graphic below:

MetroSystem_v2

Metro’s costs of doing business have been rising steadily every year, but unfortunately Metro’s revenues have either grown at a slower pace or been flat. This dynamic tension has created an intense need to fill the gap between costs and revenues, but that need runs up against an opposing pressure not to reduce service levels, increase fares, or impose higher costs on the counties and cities Metro serves (the Compact jurisdictions). Metro staff have developed a draft FY17 budget that appears to balance these conflicting forces, and we are currently running a public engagement process to gather feedback on that recommended budget.

Read more…

Metro Celebrates Permanent Restoration of Transit Benefit

February 1st, 2016 1 comment

After years of analysis, advocacy and lobbying, Congress has restored the transit commuter benefit to match the parking benefit, helping Metro, the region and the nation.

The employer transportation benefit for transit and vanpools has fluctuated a lot in recent years. In February of 2009, it was increased from $120 to $230, matching the parking benefit.  Almost three years later, in January of 2012 it was slashed to $125 only to be raised to $245 the following year.  After only a year, it was slashed again, this time to $130 where it stayed for two full years.  In January of this year, it was raised to $255 to permanently match the parking benefit.  Metro Board of Directors member Tom Bulgeran outspoken advocate for the transit benefit —  played a vital role in ensuring its restoration to match the parking benefit.  Thanks, Tom!

History of Employer Transportation Benefits, Monthly Limits. Data from Wikipedia.

History of Employer Transportation Benefits, Monthly Limits. Data from Wikipedia.

The benefit amount wasn’t the only thing that has been changing.  In 2010, the Metro implemented a series of new IRS rules for how the transit benefit could be used.  For example, on smart media the transit benefit dollars had to be stored in a separate “purse” that could only be use for transit fares and not for parking costs at park-and-ride facilities.  Employers also began asking employees to specify exactly how much transit fare was needed each month, instead of setting one amount and accruing benefits for trips untaken.  Perhaps most importantly, a new rule stated that those unused dollars in this transit-only purse were to be “clawed back” at the end of each month. Read more…

Since Time is Money, Metro Wants a Business Partner to Help Metrobus Go More and Stop Less

September 11th, 2015 3 comments

Metro is exploring opportunities to partner with a private company or investor to pilot off-board SmarTrip® loading to help improve customer travel times and lower our operating costs.

Metrobus speeds have steadily decreased over time as the region grew and traffic worsened. This not only negatively impacts Metro customers, but also increases our operating costs. As traffic congestion erodes bus speeds, we need to deploy more vehicles and operators on the busiest routes in order to maintain service frequencies. We know that behind the statistics stand legions of bus riders who want faster service, as well as counties and cities that want lower bills for that service.

Crowded boarding and long dwell times

Crowded boarding and long dwell times

Off-Board Fare Payment and Transit Prioritization

There is no silver bullet to speed up transit. Instead, agencies can use a combination of technology and on-street treatments to increase bus speeds and move more passengers. One of the few prioritization strategies Metro can undertake on its own is allowing off-board fare loading, moving all SmarTrip® value loading from the farebox to kiosks near bus stops. This would reduce the amount of time it takes for passengers to board buses and pay fares, in turn speeding up bus trips.  We have looked into this in the past and have recently revisited this important concept. Read more…

Discovering the Other Silver Line

September 1st, 2014 5 comments

MBTA’s Silver Line Bus Rapid Transit (BRT) is impressive and efficient, but could be easier to use for visitors.

photo 2

Boston’s Silver Line BRT at one of its Logan Airport stops. Photo by the author.

I recently flew to Boston for the first time in years and had the opportunity to ride their Silver Line BRT  that provides service between Boston Logan Airport and south Boston.  The service features some dedicated right-of-way, real-time arrival signage and a few actual stations.

The Silver Line has real-time arrival screens at Boston Logan, easing the wait time for customers excited to explore a city or return home.  The buses used are dual-power, meaning they run on electricity via overhead wires at some times and on diesel when there are no wires.  The switching between the two takes a few minutes but it really wasn’t very noticeable.

I was very impressed with the stations.  For example, the World Trade Center station is a significant and impressive structure, and felt more like a traditional rail station that a bus stop by far.  It features a multi-story tower topped with the “T” logo.  The station interior features side platforms, escalators and stairs, real-time arrival screens and public art.  A station like this makes a statement that high quality transit service will be operating here for a long time, despite not having rails in the ground. Read more…

Categories: Transit Travelogue Tags: , , ,

FY2015 Budget and Beyond

January 7th, 2014 1 comment

We want to hear from you! Interested Image for MM - Proposed Fiscal Year 2015 Annual Budgetin the FY2015 budget? Answer our survey or participate in an upcoming public meeting. Want to talk more long-term strategy? Connect on MindMixer.

We are seeking feedback from riders and offering multiple ways to comment on the proposed FY2015 budget and fare changes, as well as Metro’s Capital Improvement Program. You can participate in any or all of the following:

  • Survey: The survey includes questions about the fare changes, costs, and the benefits you will see going forward. The survey is open until 5 p.m. on February 11, 2014.
  • Public Hearings: The six public hearings will provide an opportunity for riders to give formal testimony on the docket of proposed budget actions.

Looking to get into the weeds and talk about some long(er)-term opportunities? We have started a new discussion on MindMixer to gather your ideas and thoughts about priorities and potential future changes to the balance of funding between riders and local government, continuing to allow fares to be paid in cash on Metrobus, parking, new fare options, and priorities for a down payment on Metro2025 initiatives.

Read more…

AAA: Despite Fare Increase, Metro Still Cheaper than Driving For Many Trips

December 11th, 2013 1 comment

The American Automobile Association (AAA) highlights that, even with a proposed fare increase, Metro is still a cheaper than driving for many trips in the region.

AAA’s analysis compares the costs of driving and parking between Maryland and Virginia to Metro-accessible locations in and near downtown Washington.  Below is a selection of these trips:

Comparing The Commuting Costs – Driving vs. Riding Metro (Source: AAA Mid-Atlantic)

Obviously, these are just examples and there are other trips where transit isn’t an option or driving may be more cost effective than Metro.  Parking costs, levels of congestion, transit accessibility, travel times and other variables are quite different depending on where a trip begins and ends.  Still, taking the train or bus is often much cheaper than driving, especially utilizing SmartBenefits or transit passes, which further reduce the cost of choosing Metro

Categories: In The News Tags: , ,

Metrorail Fares Are Complicated, For Good

December 6th, 2013 22 comments

Metrorail’s distance-based fare structure is the most equitable.

fare-table-sample

Excerpt of Metrorail distance-based fare table.

Metrorail is one of only three heavy rail systems in the United States with distance-based fares.  (BART and PATCO are the other two.)  And to the best of my knowledge, it’s the only one with peak and off-peak fares.  With 86 stations (soon to be 91) and two fare time-periods (it used to be three), the average rider has a large number of possible fare combinations.

The benefits of Metrorail’s existing fare structure are many-fold, but chief among them are equity, efficiency, and economics.

The fare structure is fair.   Distance-based and time-of-day fares allow transit riders to pay fares in proportion to the level of service they’re using.  Peak period riders pay more and have more frequent service.  Short distance travel is less expensive than long-distance.  With flat fares, those who take short trips subsidize those who take longer trips, and people who ride during times of reduced service subsidize those who ride during the peaks when trains are most frequent.  With zone-based fares, customers taking short trips that cross a zone boundary pay a larger fare than other customers taking longer trips entirely within a zone boundary.

The fare structure is equitable.  A switch from distance-based to flat-fare that was revenue neutral (not losing money) would raise a Title VI equity concern.  Planning staff have done a preliminary analysis, and such a switch would have a disproportionate burden on low-income riders.  A switch to flat fares that was not revenue neutral would result in higher subsidies from Metro’s funding partners

The fare structure promotes economic efficiency. People use resources more efficiently if they’re priced to reflect the value of the resource.  Economists love variably priced roads like the Intercounty Connector (MD-200) and the I-495 Express Lanes, as the per-mile prices are set to keep traffic flowing.  The same concept applies to Metrorail’s distance-based and peak/off-peak fares. Read more…

Categories: Fares and Service Tags: ,