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Ohio DOT

Ohio DOT. Greyhound Lines, Inc. Intercity Bus Consultation. February 8, 2008. Rural Feeder Service. Greyhound has a strong interest in creating/maintaining successful interline relationships with coordinated rural feeder services. This is demonstrated by our having:

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Ohio DOT

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  1. Ohio DOT Greyhound Lines, Inc. Intercity Bus Consultation February 8, 2008

  2. Rural Feeder Service Greyhound has a strong interest in creating/maintaining successful interline relationships with coordinated rural feeder services. This is demonstrated by our having: • Helped clarify & lower FMCSA insurance levels for rural transportation agencies; • Create a special NBTA “sponsored transit category” with minimal costs & hassles; • Create a special local match option for rural feeder services; & • Effectively worked one-on-one to help establish feeder services February 8, 2007

  3. Rural Feeder Service SAFETEA-LU creates new incentives for rural feeder service under state administered 5311(f) program, including: • States now plan and consult with ICB industry • Feeder service must make meaningful connections • New local match option creates financial incentives for feeder services February 8, 2007

  4. Rural Feeder Service Coordinated feeder services connections must be meaningful for the traveling public: • Rural feeder services should be fixed schedule • Proper operating authority & insurance • Operated 7 days/week (minimum 5 days/week) • Must not duplicate existing ICB service • Proper ticketing & package express service • Be included in TRIPS database February 8, 2007

  5. Rural Feeder Service • By FFY09, SAFETEA-LU funding will be approximately $76 million for the support of rural intercity bus service • Ohio DOT has $2.84 mm in FFY09 funding • SAFETEA-LU funding is now sufficient to create & implement new scheduled feeder bus services in areas of sufficient population density • MAX and greyhound.com market and ticket the service nationwide to/from rural origins February 8, 2007

  6. Walla Walla-Pasco-Yakima • WashDOT sponsored & funded • Private-for-profit feeder service operator was secured through RFP (likely to be negotiated for other projects) • Greyhound supplies local in-kind match • Stops @ existing intermodal (and other) facilities • Serves additional market segments (e.g., airport, local service, etc.) February 8, 2007

  7. Walla Walla-Pasco-Yakima February 8, 2007

  8. Walla Walla-Pasco-Yakima • Greyhound provided $400,000 in-kind match • Feeder service operates 3 daily roundtrip schedules connecting with 3 daily Greyhound schedules • Local & nationwide ticketing: Greyhound provided internet ticketing software (MAX), printer and keyboard (credit card swipe capability) & feeder provided computer for local sales; feeder can accept interline & telephone sales • Ticket agent available at primary feeder service stops • Feeder service is the agent in 1-2 locations and will receive a commission from Greyhound for tickets and package express sales in addition to their fares February 8, 2007

  9. Charleston-Cincinnati-Toledo • For Ohio example, I combined elements of GLI’s and Lakefront’s suggestions • Lakefront would operate from Charleston (WV)-Cincinnati • Greyhound would maintain Cincinnati-Toledo service • Greyhound would supply in-kind match • Stops would use existing and new stations February 8, 2007

  10. Charleston-Cincinnati-Toledo February 8, 2007

  11. Charleston-Cincinnati-Toledo • Greyhound could provide up to $621,960 in-kind match • Lakefront feeder service would run 1 daily roundtrip with meaningful schedule connections in both Cincinnati and Charleston (such a connection on east and west would likely improve farebox revenue) • Lakefront already familiar with Greyhound MAX ticketing system • New or existing ticket agents at all primary stops February 8, 2007

  12. Charleston-Cincinnati-Toledo • Charleston-Cincinnati (Lakefront= Point A to Point B service) • 215 miles (1-way) x 2 (1 daily RT) = 430 miles/day • 430 miles/day x 365 days/year = 156,950 miles/year • 156,930 miles/year x $3.00/mile = $470,850/year • Farebox revenue - $45,000 • Net Deficit = $425,850 • Cincinnati-Toledo (Greyhound= Point B to Point C service) • 200 miles (1-way) x 4 (2 daily RT) = 800 miles/day • 800 miles/day x 365 days/year = 292,000 miles/year • 292,000 miles/year x $2.13/mile (50% of $4.25/mile) = $621,960/year • Charleston-Toledo (Project=Point A to B to C service) • Total Project Cost = $986,700 • Less farebox revenue = $45,000 (conservative estimate) • Net deficit = $941,700 • 5311(f) = $470,850 (50% of net deficit) • In-kind match = $470,850 (50% of net deficit) February 8, 2007

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