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OCTOBER.2013
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T h e m o s t tr u s te d re s o u rce i n t h e b u s a n d m otorco a c h i n d u s tr y
BRT
in America: It takes a village
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inside
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OCTOBER 2013
CONTENTS
16 busride.com
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Cover Story BRT in America: It takes a village
24
The firms that make Bus Rapid Transit happen are creating synergy within six business segments By David Hubbard
Features Interview only the best drivers
16
Scheig Associates’ solutions ensure that only superior applicants make it to the interview phase
VTA delves into Bus Rapid Transit
20
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Three BRT corridors emerge as the most promising for Santa Clara VTA
DEPARTMENTS 8 UPDATE 12 PEOPLE IN THE NEWS
Special Section
14 TOUR BUSINESS
Fare Collection: Part One And the survey says …
28 TRANSIT AUTHORITY 18
34 MARKETPLACE
Accenture determines transit passengers worldwide are willing to pay more for an improved experience
COLUMNS
By David Hubbard
Predicting the future of payment methods By Bassam Estaitieh and Paul Doukas
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FROM THE EDITOR
32 THE INTERNATIONAL REPORT
By Doug Jack
busride.com
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FROM THE EDITOR
PWT wants employees safely home
R
egardless of how well a company manages its affairs, poor conditions due to horrific events and natural disasters are beyond anyone’s control. Nonetheless, a forward-thinking organization has the capability to promote better safety choices that help mitigate risks and lasting aftereffects when disaster strikes. Pacific Western Transportation (PWT), Calgary, AB, Canada, is one such organization. Over the summer, Calgary and its surrounding communities were ravaged by flooding. While the flooding directly affected only a relatively small number of Calgary residents, thousands in other areas are still displaced and suffering from water shortages and power failures. As rivers overflowed, PWT was revisiting its safety initiatives. Ironically, the conditions outside were speaking precisely to the company’s new direction: Safely Home. According to PWT Vice President of Safety Stephan Evans, the company has a responsibility to instill the soundest possible safety philosophy during the workday. PWT wants to ensure everyone returns safely home to their families and friends. “We recognized the need to remind our employees that among their responsibilities at work is to make sure they indeed make it home,” Evans says. “Work is important, but at the end of the day, most everyone is working so that they can look after their families at home.” As PWT thought more about top risk management concerns and the Calgary floods, the company saw where it could help its people. Employees can take additional safety steps at home to prepare for a natural disaster. “First and foremost we want our employees to be properly equipped and prepared to look after themselves, their families and property,” Evans says. “By staying safe, unharmed and healthy at home, they will be in a better position to return and do the work they are hired to perform. In turn, in times like these, we as a company can then better serve our community, helping our passengers reach their destinations and also return safely home.”
David Hubbard Editor BUSRide Magazine
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Publisher / Editor in Chief Steve Kane steve@busride.com Associate Publisher Sali T. Williams swilliams@busride.com Editor David Hubbard david@busride.com Managing Editor Richard Tackett rtackett@busride.com Art Director Stephen Gamble sgamble@theproducersinc.com Production Director Kevin Dixon kdixon@busride.com Accountant Fred Valdez fvaldez@powertrademedia.com Contributing Writers Doug Jack, Matthew A. Daecher, Christopher Ferrone
BUS industry SAFETY council
A publication of:
POSTMASTER: Please send address changes to: BUSRide Magazine 4742 North 24th Street, Suite 340 Phoenix, Arizona 85016 Phone: (602) 265-7600 Fax: (602) 277-7588 busride.com Vol. 49 • No. 10 Subscription Rates: United States: $39 for 1 year, $64 for 2 years, $89 for 3 years. United States via periodicals mail: $42 for 1 year, $69 for 2 years, $98 for 3 years. Canada. Canadian tax (GST) is included. Rest of the world, via air mail: $75 for 1 year, $125 for 2 years, $175 for 3 years. Single copies: $5 for the United States, $6 for Canada and the rest of the world. All prices are in United States Dollars (U.S.D.). Reprints: All articles in BUSRide are copyrighted and may not be reproduced in whole or in part without the express written permission of the publisher. For reprints of 100 or more, contact Sali T. Williams at (602) 265-7600, ext. 209.
busride.com
UPDATE
Meridian Specialty Vehicles to build Sprinter shuttle bus in Las Vegas Launched in 1995, Meridian Specialty Vehicles, Inc., Las Vegas, NV, has expanded its product line to include shuttle and paratransit buses, which the company will produce in its recently established Las Vegas assembly plant. As an approved Mercedes Benz Sprinter upfitter, Meridian will manufacture the buses on the 24-foot Mercedes Benz and Freightliner Sprinter chassis, as well as the new Chrysler/Dodge/Ram ProMaster and full-size Ford Transit chassis. The company says its mission is to fulfill a growing market of bus operators asking for greener, highly efficient,
comfortable, more maneuverable and affordable shuttle and paratransit buses in the 14-20 passenger range. The Meridian bus range encompasses over 20 different standard Sprinter floor plan configurations ranging from basic to luxury, and includes ADA-compliant side- and rear-entrance wheelchair lift models and five different door options, several of which are patent pending. “We see the addition of the new assembly-line production facility and our unique bus products as fantastic enhancements that diversify our product offerings and markets served,” says Meridian President and CEO David Ronson. “If current sales are any indicator, we will reach a production level of over 600 units next year in our new production facility within eight months.”
IMG rebrands with a stronger message Setting the Standard, the new branding and logo for IMG, stands on pillars of performance, excellence and confidence, says the International Motorcoach Group (IMG), Overland Park, KS.
“The new logo represents a respect to the past and a look to the future,” says IMG President Bronwyn Wilson. “It suggests to passengers that the company they are using far exceeds the minimum standards and is the very best available in motorcoach transportation.” Wilson says the slogan Setting the Standard reflects the IMG philosophy that its network is a benchmark for the industry and a well-respected seal of approval for motorcoach companies. It conveys the message that all IMG shareholder members have been vetted and continue to be monitored for maintaining the high level of standards we have set for membership. “IMG is a market leader in safe, dependable, professional transportation,” says Geoff Lynch, chairman of IMG and president of Hampton Jitney, South Hampton, NY. “This unique group of professionals has consistently led the way in motor coaching in the United States and Canada; we are proud to take it to the next step.”
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How a Motorcoach Company Can Dev Implement an Effe elop and Management Prog ctive Risk ram p9
By Robert A. Cresce
nzo
busride.com
busride.com
UPDATE
National Interstate announces preferred services for IMG National Interstate Insurance Company, Richfield, OH, a provider of transportation insurance, recently entered into a preferred partnership with the International Motorcoach Group (IMG) to provide its members with enhanced risk management and claims services. “We are delighted to have National Interstate as one of our preferred insurance carriers,” says IMG President Bronwyn Wilson. “The services and resources they offer IMG companies enhance our continuing commitment to safety and training, while providing tools to help members better understand and improve their businesses.” The affinity program, which became effective in June, will deliver superior service to IMG members purchasing insurance through National Interstate. Program benefits through National Interstate and its affiliate, Safety, Claims and Litigation Services (SCLS), Richfield, OH, include access to a variety of risk management tools and resources. They include an exclusive online customer website and automated event recorder technology. IMG members also enjoy specialized claims management services including accelerated communication, subrogation assistance and personalized file reviews. “As a longstanding charter member of IMG, we are very pleased to take our relationship to the next level through our new affinity agreement,” says Michelle Wiltgen, assistant vice president and national commercial marketing manager for National Interstate. “Our goal is to make the insurance purchase more than just a financial transaction. We want IMG members to have the ability to run the safest operation possible, and our valued added risk management services do just that.”
Rotary Lift specialists achieve ALI certification When the Automotive Lift Institute (ALI) announced its first graduating class of newly certified lift inspectors, 20 were distributor and installer employees of Rotary Lift, Madison, IN. The company says more than 100 more Rotary Lift-affiliated inspectors are currently enrolled in the program and on their way to achieving ALI certification. “Because of our commitment to customer safety and productivity, Rotary Lift has taken a leadership role in supporting the ALI Lift Inspector Certification initiative,” says Ron Lainhart, Rotary Lift parts and service manager and an ALI Factory Designated Trainer. “Our distributors and rotary authorized installers (RAIs) have stepped up and shown that they are committed to the same principles by being among the first to enroll in the program. We congratulate the inspectors who have already completed the certification process. They are available to inspect customer lifts now, providing a trustworthy resource for shop owners across the country.” Rotary Lift says it holds its extensive North American distributor and RAI network to high standards, with requirements for regular factory training, parts availability and insurance coverage. Starting next year, Rotary Lift will also require all RAIs to have at least one Certified Lift Inspector on staff. Twenty Rotary Lift distributors and authorized installer employees are among the first to graduate as Automotive Lift Institute (ALI) Certified Lift Inspectors, now easily identified by their individually numbered certification patches.
busride.com | BUSRIDE
9
UPDATE
Veolia Transportation welcomes 118 drivers to the Million Mile Club Veolia Transportation, Lombard, IL, recently hosted a reception and dinner in Phoenix, AZ to honor nearly 200 employees who have reached significant safety and service milestones. Of these honorees, a staggering 118 bus operators earned recognition for driving a million miles or more without a preventable accident, a milestone that generally takes 12 years to achieve. Veolia honored 94 operators who achieved one-million mile status, while 22 have driven two million miles. At the top of the list, two veteran drivers actually reached the rarified air of three million miles without a preventable accident. To put this in perspective, consider one million miles is comparable to 40 around-the-world trips at the equator. “To honor this many Million Milers in one city is truly remarkable,” said Mark Joseph, CEO of Veolia Transportation. “We congratulate these accomplished bus operators and we thank them for their safe and conscientious driving. It takes skilled and very focused driving to achieve this elite Million Miler status.” In addressing the employees, Veolia Phoenix General Manager Katrina Heineking noted that collectively, the 118 Million Mile recipients have made 4,000 safe trips around the world. ”Heineking acknowledged them by stating, “If you have been with us for 35 years, you have spent 72,800 hours in service to your community.” Several Veolia executives also attended the award reception. Ken Westbrook, President and COO for Veolia’s Transit Division thanked the group for their service and dedication to the company and the community. “Each day Veolia Phoenix employees drive buses 49,000 miles maneuvering through traffic and road obstacles and delivering people safely to their destinations,” he said. “This is quite a challenge, yet you do it each day, contributing to the quality of life for the residents of Phoenix.” The Veolia location in Phoenix holds the record for the most Million Milers, and for the most employees with long-term service to the company. Nearly 45 percent of the Veolia’s Phoenix-based employees have been with the company for 10 years or more.
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busride.com
UPDATE
DCI marches to the beat of Trailways all their transportation,” Ellsworth says. “The joint effort between The Trailways Corporation, Fairfax, VA, recently formalized a DCI and Trailways will help to promote the Trailways brand to the partnership for the first time with Drum Corp International (DCI). education segment. It will also allow us to better utilize our vast DCI is the sanctioning body for student marching music network of 78 operators for all DCI’s transportation needs.” ensembles worldwide. Through their annual Summer Tour In the past, several Trailways affiliates and the more than 35 World have provided transportation for Championships held in 16 North various DCI bus trips, including American cities, DCI provides GottaGo Trailways in Texas; West entertainment to millions. Valley Trailways in California; “With the grueling demands of the Heartland Trailways in Missouri; summer DCI tour, for our performers Excursions Trailways in Indiana and to have safe, reliable and quality Ohio, and Silver State Trailways in transportation such as Trailways is California and Nevada. absolutely imperative,” says Daniel Ellsworth credits Thom Fox, marketing Acheson, CEO of Drum Corps vice president of marketing for International, Inc. “Our experience GottaGo Trailways, Fort Worth, TX, with Trailways has been tremendous for steering the effort to explore a thus far, and we look forward to partnership with DCI and Trailways. expanding our relationship.” She says his goal has been to Gale Ellsworth, president and CEO Excursions Trailways provided transportation for 24 days for The simplify the charter bidding and of the Trailways Corporation, says Taipei Yuehfu Drum and Bugle Corp., competitors in the Drum communications process for DCI the large network of bus companies Corps International Championships staged in Indianapolis, IN. travel planners and to help win more makes Trailways the perfect business for other Trailways operators. transportation partner for band For example, Fox led a contingency of Trailways company leaders, musicians and performers in the DCI organization. owners and headquarters staff in an August visit to the DCI “Many of our individual Trailways operators have worked with Championship in Indianapolis to learn more, show their support Drum Corp clubs in their state, and now we plan to support DCI and discuss marketing opportunities. at the headquarters Charter office with long-range planning for
New website spotlights Prevost coaches in the spotlight Prevost, Sainte-Claire, QC, Canada, recently launched Prevost Spotlight, a new website listing the numerous occasions in which Prevost coaches make media appearances on television and in movies, and at sports and music events. Prevost Spotlight at www.prevostspotlight.com allows visitors to view videos and photos, and read human interest stories associated with Prevost. The introductory edition includes stories about the Dallas Cowboys’ new Prevost Corporate Coach, video of Prevost motorhomes appearing on Destination America’s EPIC television program, and a look at a Prevost passenger coach which had a role in the film “The Ides of March” starring Ryan Gosling and George Clooney. Look for regular updates and new features as Prevost coaches travel in the spotlight.
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11
PEOPLE IN THE NEWS
U.S. Transportation Secretary Anthony Foxx has announced that Sarah Feinberg will be joining the U.S. Department of Transportation as his chief of staff.
ARBOC Specialty Vehicles announced the appointment of Ken Becker as sales manager. “I am very pleased to welcome Ken as the newest member of the ARBOC Sales Team,” said Don Roberts, president and CEO of ARBOC. “He brings many years of sales and management experience and I am confident Ken will meet the needs of our current and future customers.” In his new position, Ken will work at all aspects of sales management including developing new accounts, sales training, customer service and supporting the ARBOC dealer network both domestically and internationally. Ken brings with him a wellrounded 10 year record in the bus industry which includes bus sales, bid management and marketing experience. “Ken’s sales and management experience, as well as his regional and national relationships with bus dealers throughout the country, will be an asset as we continue to grow and build on a strong reputation in the transit industry” said John Walsh, ARBOC vice president of Sales.
Feinberg served in the Obama Administration as a special assistant to the president and senior advisor to White House Chief of Staff Rahm Emanuel, serving as his liaison to the Obama economic team, the national security team, and the press and communications departments. Most recently, Feinberg managed Facebook’s Washington-based outreach and communications as well as the company’s political and crisis communications. Prior to that, she served as Director of Communications and Business Strategy at Bloomberg LP, where she managed Bloomberg’s Washington-based communications. “WTS International would like to congratulate Ms. Feinberg on her new post at the DOT,” said Marcia Ferranto, WTS president and CEO. “Secretary Foxx’s selection of a woman for an executive role illustrates his commitment to an administration led by a gender-diverse team.” WTS International and WTS Foundation, headquartered in Washington, DC, seek to attract, retain, and advance women in transportation.
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TOUR BUSINESS
TCM comes alive on location in New York City On Location Tours, New York, NY, continues to give film buffs and fans ways to connect with the movies and stars they love. The company, the largest of its kind and operating in multiple cities, most recently partnered with Turner Classic Movies (TCM) to create the TCM Classic Film Tour. The tour features stops at some of the most famous movie locations throughout New York City. TCM says this sightseeing bus tour is one of several initiatives it is launching in celebration of its 20th anniversary in April 2014. Launched in August, the three-hour TCM Classic Film Tour runs Tuesdays, Thursdays and Saturdays. Some of the city’s greatest film locations include the Empire State Building (King Kong); Zabar’s market (Manhattan, You’ve Got Mail); Holly Golightly’s brownstone (Breakfast at Tiffany’s); the famed subway grate that blew Marilyn Monroe’s skirt (The Seven-Year Itch); Grand Central Terminal (North by Northwest, Superman) and Central Park. “Over the past two decades, TCM has evolved into a highly respected brand that goes beyond the television screen to provide fans with real-life experiences,” says Dennis Adamovich, senior vice president of digital, affiliate, lifestyle and enterprise commerce for Turner Broadcasting System, Inc. “The TCM
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Classic Film Tour in New York is a terrific opportunity to connect with the TCM brand and share the passion for great films.” The new tour features an experienced and knowledgeable tour guide, extensive trivia about each location, a special video introduction by TCM host and longtime New York resident Robert Osborne, as well as video clips of the sites from older movies filmed in the city. “As a kid growing up in a small town in Washington State, my only exposure to New York City was through the movies,” Osborne says. “The towering skyscrapers, fascinating people and teeming energy absolutely captivated me. Seeing New York in the movies is what made me want to live in Manhattan one day.”
busride.com
Interview
only the best drivers Scheig Associates’ solutions ensure that only superior applicants make it to the interview phase
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busride.com
S
cheig Associates, Gig Harbor, WA, was founded in 1980 by Dr. Richard F. Scheig. Scheig has developed over 80 job-specific hiring systems for companies in North America, the United Kingdom and Australia, serving the transportation, education, distribution, construction, healthcare, insurance, childcare, call center, banking and sales industries. Scheig Associates began developing and marketing preemployment systems in 1991, and that has since become the core of the company’s business. According to Scheig, the company’s assessments identify an applicant’s future performance at an 88 percent accuracy rate. Recently, the United Motorcoach Association (UMA) announced a partnership with Scheig Associates to provide discounted preemployment performance testing to its members. UMA members will save 10 percent on Scheig Associates’ Motor Coach Works© Hiring & Performance System™ designed specifically for the motorcoach industry to identify, select and hire better, safer drivers. Scheig’s the Motor Coach Works Hiring & Performance System is a three-phase system consisting of an online pre-employment assessment, behaviorally based interview questions and a performance evaluation. UMA says it partnered with Scheig upon hearing from several association members of their satisfaction and success with Scheig’s hiring and employee performance solutions. “The Scheig performance testing program has been a tremendous tool in helping Escot find the right employees,” said Brian Scott of Escot Bus Lines, Largo, FL, in a release. “I know it will help other operators be more successful in their hiring processes and I think it’s a great addition to UMA’s member programs.” “We’re really excited to be able to offer a discount on our hiring and performance system to UMA members,” said Leslie Williams, national accounts manager with Scheig Associates, in the same release. “Through our extensive experience and proven track record with the motorcoach industry, we know we will become a valuable tool and asset for all UMA operators.”
Dr. Scheig says his assessments begin with a thorough job analysis of “superior performers.” These are employees (in this case, superior motorcoach drivers) whom companies have identified as the best of the best. Scheig says this ensures that new applicants are measured against the best employees currently doing the job. This ensures that only the best applicants make it to the job interview phase. Reaching out to transit Scheig’s next project in the transportation industry involves creating a test for superior transit drivers. For this, he needs ten superior drivers selected from the nation’s transit agencies. These drivers, coupled with a modest down-payment, will spend a weekend helping Scheig Associates develop an assessment for the transit industry. The companies they represent will make their money back by receiving the product at a reduced price. Dr. Scheig says his company is recognized for the accuracy and predictability of its assessments, stemming from the unique methodology that focuses on specific job behaviors which account for variances in productivity outcomes. With an unprecedented degree of accuracy, Scheig’s hiring and performance systems assist companies to hire, retain and develop the best possible employees. Using innovative software-as a-service (SaaS) technologies, Scheig’s offered solutions include: • Job-specific behaviorally based hiring and performance systems • Human resource consulting • Behavioral job analysis • Selection process design • Entry and professional level assessments & hiring systems Scheig’s employees are Ph.D. level social scientists, business and management consultants, software designers and service professionals collaborating to serve the business needs of the company’s clients. Scheig says they always strive to reflect the highest ethical standards with clients, forging long-term relationships built on appreciation, mutual respect and trust.
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And the survey says… Accenture determines transit passengers worldwide are willing to pay more for an improved experience By David Hubbard
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ccenture recently issued its findings from its Global Transportation Survey that examined the opinions of travelers in Brazil, Korea, Germany, Spain, UK, and the United States about various modes of public transportation and their traveling behavior. On behalf of Accenture, Coleman Parkes Research conducted online interviews in multiple languages with 4,500 respondents over the age of 18 between August and December 2012. From the rising appeal of paperless travel to the increasing use of social media communication with public transport companies, the survey generally reveals that travelers are willing to pay more for better technology on public transport. “Companies need to deal with customers on their terms,” says Mike Wilson, managing director of Accenture Transportation, North America. “They must provide them transit options that meet their needs when, where and how they want. That requires the interaction to be relevant to the situation at that time.” Presented here are key findings from Washington, D.C., Los Angeles and New York survey respondents. Travelers in these cities seem to concur they would be willing to pay more to experience the benefits of time and convenience. Travelers in Los Angeles were the most willing to pay a higher ticket price for an improved travel experience. High expectations Residents in these cities not only want, but expect to be well informed. They want their journey to be simplified, organized and less stressful. Survey respondents are willing to pay more for: > Paperless Journey: Of commuters in Washington, D.C., Los Angeles and New York City, over 80 percent of all respondents agreed that they would be willing to pay more for a totally paperless journey. In Los Angeles, 90 percent of commuters would pay more for transportation; Washington, D.C., 81 percent; and in New York, 89 percent. > Ticket Purchase via Smartphone: Additionally, over 75 percent of all commuters in these cities would be willing to pay more in 18
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exchange for being able to use their smartphone for ticketing. In Los Angeles, 83 percent of would pay more for this update; New York, 76 percent; and Washington, D.C., 80 percent. > Smart Card: Similarly, while 78 percent of public transit users in Los Angeles agreed they would be willing to pay more for a smart card, 77 percent of New York users and 73 percent of Washington, D.C. users would pay more. > Surcharge: The United States reported the fewest number of respondents willing to pay a surcharge for technology. While 77 percent of New Yorkers are willing to pay the surcharge, only 68 percent of Angelenos and 54 percent of D.C. commuters are willing to do so. Changes in consumer behaviors are changing the world. Mobile internet travelers are almost always online consuming services and products, or connecting with peers and strangers. All the same, little has been done to meet the new demands of these travelers. Paperless or all-in-one The majority of surveyed public transit users in Washington, D.C., New York and Los Angeles would welcome paperless travel or an all-inone ticket option because it would make traveling easier. > More than New York and Washington, D.C., 95 percent of Angelenos agreed a paperless option would be appealing. 89 percent of surveyed L.A. commuters would choose an all-in-one ticket. > In New York, 94 percent would choose the paperless option; 79 percent would choose an all-in-one ticket. > In Washington, D.C., 79 percent went with the paperless option; 80 percent would choose an all-in-one ticket. More social media In addition to paperless travel, respondents want transportation providers to use social media as another way to enhance the travel experience. > More than Los Angeles and New York, 49 percent of Washington, D.C., respondents receive information on a weekly basis from public transport companies while 55 percent of commuters follow or intend busride.com
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to follow their public transit provider on Facebook. On Twitter, the number rises to 62 percent. Yet only 22 percent of D.C. commuters report that their transportation company communicates to them via social media on a daily basis. > In Los Angeles, 75 percent of commuters follow or intend to follow their public transit provider on Facebook and 76 percent on Twitter. Only 20 percent of commuters report hearing from having the transportation company via social media on a daily basis. > In New York, 75 percent of commuters follow or intend to follow their public transit provider on Facebook and 68 percent do the same on Twitter. Only 21 percent of commuters report communications from their transportation company via social media on a daily basis. Consumer technology, like smartphones or social media, is heightening the demand for more efficient services. Companies need to deal with customers on their terms – when, where and how they want, and the interaction to be relevant to the situation and consumer needs.
“In the current environment, transit authorities are under pressure to be the traveler’s ‘gateway’ to the city,” Wilson says. “Transit authorities need to ensure they have the necessary technology and apps in place to meet the burgeoning consumer demand for purchasing tickets at their convenience.”
Changes to come Transport operators will have to overcome a number of perceptions and concerns among transit commuters within the next few years when they introduce a paperless travel option. > Despite not yet having this option, 60 percent of Los Angeles; 59 percent of New York; and 36 percent of Washington, D.C., public transit users assume they can use their smartphone to pay for travel. > The overwhelming majority of commuters —79 percent in New York; 73 percent in Washington, D.C.; and 85 percent in Los Angeles — also believe that they will be able to purchase tickets via their smartphone by 2014. > In the future, 76 percent of D.C. commuters, 91 percent of Los Angeles commuters and 87 percent of New York commuters believe they will use a machine on the train to purchase their travel when using public transit.
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Predicting the future of payment methods
By Bassam Estaitieh and Paul Doukas
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ith the emergence of every new payment technology, there’s a chorus declaring that it will revolutionize payment for products and services. This happened when credit cards were introduced as a method of payment for public transit, and it’s happening today with the emergence of NFC as the next exciting payment technology. Despite the excitement, it’s important to examine what’s happened in the evolution of payment systems at public transit stations and try to draw conclusions on what the future might hold. 20
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The point of sale for a public transit service can either be at a booth manned by a human teller, or at an automated paystation. Since the desire of most operators is to phase away the booth in favor of automated methods of payment, we will focus here on the latter. Automated paystations can be a Ticket Vending Machine (TVM), Add Value Machine (AVM), or a farebox, depending on the purpose of the machine and the transit vehicle. For the purpose of this discussion, consider what’s happened at the TVM. First, the preferred payment method was cash-only. Eventually magnetic stripe-based credit and debit cards were forecast to completely displace cash. Internet-based payments, followed by contactless credit cards (at least in some countries), became more and more prominent. Not long ago, we saw the introduction of ticketing using applications on smartphones. Smartphone NFC payments are the newest payment on the block. TVMs today, more often than not, enable all of these payment methods combined. Cash and cashless payments are offered at almost all TVMs. Each time a new payment method is added, the capital and operational costs of Automatic Fare Collection (AFC) systems increase for the operator. Operators are increasingly unable to phase out any existing payment method. There have been instances where some operators wanted to phase cash away from their TVMs, but they did that by enabling their ridership to alternatively purchase tickets with cash at designated retail locations. This simply shifted the payment channel, perhaps at a higher operational cost than if the operator processed cash at its own premises.
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A word about NFC Will payment with smartphone NFC technology change all of this? Will it take over all the other cashless means of payment, and then replace cash entirely? Can the operator afford to not offer NFC payment? This debate has been raging in NFC forums for years. NFC has been successfully and unsuccessfully trialed at various retail outlets some public transit stations. Transit for London, Europe’s biggest transit operator, tried it recently. Different trials in different industries yielded various degrees of success. NFC proponents believe that technical issues will be ironed out and a dominant value chain will emerge, making NFC a seriously viable payment option. Some experts are now formulating a consensus: NFC payment will become a much more prevalent form of payment in the developing world and not as popular a form of payment in the developed world.
Predicting the future So what will the payment-share landscape be in the future? If history is an indication, then cash will maintain a certain (but steady) share, and cashless methods of payment will continue to exchange market share amongst each other. The same predicament that operators face today will exist in the future: the need to support multiple payment methods. Bassam Estaitieh is product manager, Transportation, of Crane Payment Solutions. Paul Doukas serves as director of Business Development, Transportation. Crane designs and manufactures payment solutions for gaming, retail and kiosk, transportation and vending applications worldwide.
busride.com
BRT
in America: it takes a village
By David Hubbard
The firms and professionals that make Bus Rapid Transit happen create the synergy within six business segments to grow an industry
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he benefits of Bus Rapid Transit (BRT) need little explaining. Many transit authorities throughout the U.S. have adapted the BRT concept for its capability to emulate light-rail transit, choosing transit buses for their flexibility and economy to deliver fast, adaptable, cost-effective and comfortable urban transport. Approximately 25 cities throughout the United States are currently operating BRT systems, seven are currently implementing BRT and more are under consideration. No two BRT systems are alike. Each one requires a mix of characteristics uniquely suited to the individual communities it serves. The Federal Transit Administration (FTA) determined that for BRT in the United States to succeed, it would set minimal, flexible standards specific to BRT systems and allow the municipalities to decide on the best fit for their needs. To qualify as a BRT system separate from conventional transit, the FTA mandates these features: •B RT infrastructure through dedicated corridors with segregated right of way • Transit stations with level platform boarding •S pecially branded transit buses upgraded for comfort on longer routes • Transit buses with multiple doors for efficient boarding and egress • ITS tracking technology that monitors vehicle locations, and control departures and arrivals While working definitions of BRT vary slightly from one organization to another, the qualifications the FTA prescribes for federal funding carry the most clout. The business of BRT
Veolia Transportation operates the Metropolitan Area Express (MAX) Bus Rapid Transit for the Regional Transportation Commission of Southern Nevada, which currently runs between the Downtown Transportation Center and North Las Vegas. 24
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Less understood is why and how a BRT system actually comes to fruition, as well as the players who connect all the dots in the process. The Rockefeller Foundation funded an intensive workshop in 2012 at Duke University, Durham, NC, with the intent to form an assertive business constituency to promote and support BRT, similar to the advocates for light rail and high-speed rail development. The aim was to bring together transportation busride.com
specialists actively participating in BRT projects in the United States for a day of intense discussion. Hosted by the Center for Globalization, Governance and Competitiveness (CGGC), the attendees explored this question: How can the many firms and full service professionals that provide the planning, engineering and design, construction, financing, vehicles and operations meld as an industry to further promote BRT? From the work sessions, the CGGC was able to present one of the most comprehensive overviews to date of the business of BRT in the United States. The subsequent study, 10 high-quality BRT features and the firms that provide them, (www.cggc.edu/environment/cleanergy/ brt/index.php) stresses the necessity to understand the scope of the business community that ultimately provides the planning, design and engineering, vehicles and equipment, and technology necessary to implement and operate a BRT system. Its findings identified no less than 390 corporations, firms and full service professionals that serve transit authorities and transportation markets relevant to the planning, construction and implementation of BRT systems. “It is important than ever we map out the roles, identify the key players and find the leverage points that can move an industry forward,” said Marcy Lowe, then senior research analyst at CGGC, who now leads her own private consulting firm, Datu Research, Durham, NC. “BRT is the perfect example of a little understood industry that comes more into focus by creating a clearer picture of the many areas of business involved in the process.”
governmental programs that provide matching state and local funds generated through a host of services that may include general funds, sales and gas taxes, property taxes, fees and assessments. Where a BRT project must meet specific criteria that distinguish the system from a conventional transit bus operation, FTA Small Starts and Very Small Starts make it easier for transit authorities to implement less costly BRT projects. Some projects draw from a variety of funding options and mechanisms available to municipalities. Naming rights are another innovative tack to generate revenue. Fees for the rights to emblazon a corporate identity on a local transportation project worked well for the Cleveland Healthline BRT system. CONSTRUCTION With the plan in place, construction begins on the infrastructure and operating system according to the final design. This phase encompasses initial right-of-way acquisition, utility relocation, BRT corridors and lanes, and boarding platforms and stations that include shelters, lighting and parking facilities. Construction contractors include heavy contractors, electrical, environmental, wrecking and excavating, landscaping and material suppliers. OPERATION Several project delivery and management models direct the approach to BRT operations. A BRT project presents myriad opportunities for public-private partnerships. Transit agencies and management firms often work together providing management and operations relative to BRT, such as route service, fleet maintenance, marketing, customer service, ITS, and safety and security. For example, RTC of Southern Nevada relies on Veolia Transportation to manage its entire fixed-route services, which includes the BRT system in Las Vegas.
BUSRide digs into BRT
Following the Duke University workshop, the World Resources Institute, Washington, D.C., developed a global database of these professional firms and businesses, half of which have already provided The Cleveland HealthLine BRT system gets its moniker through a naming products and services to existing rights partnership with the Cleveland Clinic and University Hospitals — the BRT projects or specifically address two major locations in the Euclid Avenue BRT Corridor. BRT (http://tinyurl.com/7pmzwjj). ITS TECHNOLOGY The CGGC study categorized Intelligent transportation systems (ITS) encompass a range of variety these firms in one or more of six distinct developmental phases technologies to monitor and control the flow of transit systems. Key according to their role, activity and service in a project. BRT technologies include real-time arrival signs, next-stop signs on Through this next year, BUSRide will trace the many steps in the buses, and mobile apps and website tools. interconnected segments that separate fully-functioning BRT systems Automatic Vehicle Location (AVL) and Computer Aided Dispatch from conventional transit, and introduce the firms, professionals and (CAD) manages communications, supports incident management and suppliers at work in each segment of the planning, development, improves on-time performance. Radio networks, wireless, cellular, and implementation and management of BRT systems. other emerging technologies provide the infrastructure to support all The six BRT segments ITS for BRT. PLANNING Transit Signal Priority (TSP) technology enables automatic signal control system at an intersection to give priority to transit vehicles. Planning cuts across every phase of the BRT process, from the first Smart card technology and fare media for dramatically advancing proposal, initial studies, engineering and design, construction to longtransit fare collection and faster boarding through more flexible and term operations. convenient payment methods. The planning phase encompasses the largest and most diverse assortment of national and global full-service professional firms that provide a broad suite of services. They include project management, architecture and engineering, large-scale construction, funding and financial consulting, and legal and government affairs. FINANCE Transit authorities are finding the funding requirements for BRT projects both lenient and flexible enough to custom fit features that are most practical for their community needs in terms of budget, location and geography. Most of the funding for BRT projects come from
MANUFACTURE Transit buses that serve BRT typically feature OEM upgrades and amenities for additional passenger comfort and convenience to support longer routes and faster boarding, as well as distinct branding and graphics to identify and help market the service. In addition to the rolling stock, the manufacturing segment also includes a wide range of firms that supply the technology, equipment and structures unique to BRT projects.
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VTA delves into Bus Rapid Transit Three BRT corridors emerge as the most promising for Santa Clara Valley Transportation Authority (VTA), San Jose, CA
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he Santa Clara Valley Transportation Authority (VTA) in San Jose, CA, is making headway on enhancing transit service along major travel corridors in Santa Clara County following an assessment of new Bus Rapid Transit (BRT) service on six potential corridors. Based on existing transit demand and operating performance, land use, transit competitiveness, market potential and what is physically possible to construct, three emerged as the most promising alignments for near-term implementation - the Santa Clara/Alum Rock being the first, followed by El Camino Real and Stevens Creek Boulevard. Santa Clara/Alum Rock The Santa Clara/Alum Rock BRT project will provide limited-stop service for 7.2 miles, from the Eastridge Transit Center to the Arena Station in downtown San Jose. BRT buses will travel the route in a mixed-flow capacity that features a dedicated bus-only lane in the median separated from traffic on Alum Rock Avenue, and rely on transit signal priority throughout the route to improve travel time. Modern hybrid BRT buses will operate during the peak times with service every 10 minutes to 11 specially enhanced stations. The total cost for the Santa Clara/Alum Rock Bus Rapid Transit Project is $114 million, $90 million of which will come from the State of California’s Proposition 1B funding. The remaining $24 million comes through a dedicated local funding source for VTA capital projects known as the 2000 Measure A Transit Improvements Program. Construction begins this fall. El Camino Real
reliability and travel times for the 15,000 weekday riders that take either the 522 or local Line 22 daily. The El Camino Real BRT runs from the Palo Alto Transit Center to the Eastridge Transit Center through downtown San Jose and serves 26 BRT rail-like stations along the way. At this time, VTA is conducting an environmental analysis for several project alternatives. Once completed in late spring 2014, VTA will release a Draft Environmental Impact Report for public review and input. Following the public review period, VTA’s Board of Directors will consider input from public stakeholders, each of the cities along the corridor and Caltrans, which owns El Camino Real, to select the preferred alternative to pursue. Funding for the selected alternative for El Camino Real BRT would come from local Measure A and FTA’s Small Starts Program, in which VTA received approval in August to enter into the Project Development phase under the funding program. Stevens Creek The Stevens Creek Bus Rapid Transit (BRT) project under consideration would provide rapid transit service for 8.6 miles from DeAnza College to the Transit Mall in downtown San Jose using San Carlos Avenue and Stevens Creek Boulevard. The Stevens Creek BRT project would enhance the newly added Line 523 express service to BRT service, providing faster, more frequent service, with limited stops and enhanced amenities for passengers. The Stevens Creek BRT project is currently in the preliminary planning stage.
The plan for The El Camino Real BRT project is to upgrade the existing Line 522 express service to BRT status, which will improve 26
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Transit
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Strengthening Your Operations, Protecting Your Budget
Elie Dagher, Control Room Coordinator Proudly Serving — York Region Transit, Greater Toronto, Canada
Elie Dagher is one of thousands of Veolia’s diverse team of experts — the kind of guy anyone would like on their side. He understands what’s at stake. Cities face increasing demands for well-managed, cost-effective, and superior quality public transportation. It is with great people and pride, rooted in a culture of safety, that we deliver systems, technologies, and business processes to strengthen transit, paratransit and rail operations in more than 200 cities and communities in the U.S. and Canada.
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THE TRANSIT Authority
YCAT comes of age By John Andoh Transit Director Yuma County Intergovernmental Public Transportation Authority Yuma, AZ
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efore 1998, only private transportation companies operated any type of transit service in Yuma County, with taxis serving the urbanized areas and private van services providing transportation between San Luis and Yuma. Paratransit in Yuma County began in February 1998. When the Saguaro Foundation began operating a public dial-a-ride system funded by YMPO in 1998, YMPO’s fixed-route service began in February 1998 with service between San Luis and Yuma under the name Valley Transit. Public transportation began in the southwestern region of Arizona in 1998 with Yuma Metropolitan Planning Organization (YMPO) receiving funds to provide bus transport from Yuma to San Luis. The service evolved into Yuma County Area Transit (YCAT) in 2002. Funding challenges and concerns expressed by local governments regarding the planning and operation of transit service, as well as the State of Arizona eliminating the Local Transportation Assistance Fund (LTAF) in 2010, nearly brought an end to YCAT. With closure looming, two funding partners, the City of Yuma, which had discontinued its funding as of 2010, and Yuma County, which increased its funding to compensate for some of the loss, initiated the process to create a separate intergovernmental public transportation authority (IPTA), which would assume the operations and administration of YCAT from YMPO. Left without LTAF, the municipalities funding YCAT were facing significant issues as to what services were important to fund and what services needed to be cut. Since each member agency had provided a local matching LTAF II contribution, its elimination placed into question the need for bus service that was not serving the population effectively. With the notion that a separate regional transit authority to be formed by July 2011 or the transit system be shut down, a subcommittee of the YMPO Executive Board and each member agency increased its contribution in a last ditch effort. The prior administrator of YCAT did not have the necessary staff or resources to continue to manage the agency. The creation of YCIPTA The Yuma County Intergovernmental Public Transportation Authority (YCIPTA) formed in 2010 to administer, plan, operate and maintain public transit services throughout Yuma County, and includes political jurisdictional boundaries of the Cities of Yuma, San Luis, Somerton, Town of Wellton, as well as unincorporated areas. By the end of 2011, these cities, Northern Arizona Univeristy, Arizona Western College and the Cocopah Indian Tribe had petitioned and received approval to become YCIPTA members. The Quechan Indian Tribe petitioned YCIPTA in 2012 to become the ninth statutory member agency of YCIPTA.
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THE TRANSIT Authority
Businesses and organizations that include Arizona Western College, Northern Arizona University, University of Arizona Yuma, Yuma Regional Medical Center, Aztec High School and the Yuma Private Industry Council subsidize the system for their particular ridership group, and provide passes for their students, employees, faculty and volunteers. Free rides for their constituency allow for more trips on the transit system. YCAT serves over 35,000 passenger trips per month with an annual operating budget of $3.1 million, which translates as 1,600 average weekday ridership trips. Last year YCIPTA restructured the transit system based on information from the YCAT runs 27 vehicles on 11 routes that include 18 New Flyer and ElDorado transit buses and Yuma Regional Transit Study nine EZ Rider, Aerotech and Chevy cutaway vehicles. and outreach with transit passengers. The new plan restored routes within the City of Yuma, added service to Today, YCIPTA relies on FTA funding (FTA) funding is the Quechan/Fort Yuma Indian Reservation, and provided used to support YCAT and YCAT OnCall, which was the Saturday service to new areas, including the East Cocopah critical component during the transition of the transit Reservation and placed buses on major roadways. YCAT now system from YMPO to YCIPT that allowed YCIPTA to access travels to El Centro, CA, three days a week, in partnership Yuma Urbanized Area funding. With each member agency with the Imperial County Transportation Commission. participated in local match funding.
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THE TRANSIT Authority and how to read and use all the tools available. Participants will receive a 10-Ride pass at the completion of the training session. We have also partnered with Greyhound and Amtrak in offering some local services. Ride and read on YCAT
The YCAT fleet We currently operate a fleet of 18 New Flyer and ElDorado transit buses, as well as nine EZ Rider, Aerotech and Chevy cutaway vehicles, on 11 routes. We also provide service to the Cocopah and Quechan Indian Tribes. We have a hub-and-spoke system that meets five hubs throughout our service area, which is 43 percent rural and 57 percent urban. YCAT innovations On the Orange Route 2/2A, our catTRAX system helps passengers determine the real-time arrival and location of the bus, which helps when a bus is running late. The YCATPass smartcard system launched in September. We have also recently launched the YCAT Workshop, a travel training program. This will allow existing passengers, soon to be passengers, or those that have not used public transportation to get to know YCAT’s system. In the training session we talk about planning your route, locating a bus stop, paying fares, requesting a stop, proper bicycle mounting,
YCAT is partnering with the Yuma County Library District and Friends of the Yuma County Libraries in an effort to promote literacy. Together we have launched Libraries On The Go! an on-board library program. We installed book racks have been installed on all 27 buses, each stocked with books and magazines for passengers to read during their commute. They can read the books or magazines on the bus, take the book or magazine home and return it later to any bus, or donate an old book or magazine for others to read while commuting on YCAT. Best of all, no checkout process or late fees are involved. The goal is to help improve literacy in Yuma County. We also provide the daily newspaper for sale, free WiFi on several buses, and free water bottles when temperatures exceed 115 degrees. Lastly, the YCIPTA is working on its five-year shortrange transit plan in conjunction with YMPO. This plan will set the framework for YCIPTA in a fiscal and constrained manner, especially since the member entities are not able to contribute any more funding to the transit system and there is continued growth in population and transportation demand in Yuma County. The plan will also analyze marketing, capital needs, procurement of a new maintenance facility, development of an intermodal station and options for financing the transit system.
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BUSRIDE | O C T O B E R . 2013
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THE INTERNATIONAL REPORT
UITP invites Americans to join By Doug Jack
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he International Union of Public Transport (UITP), headquartered in Brussels, Belgium, came together in 1885 when 50 representatives of the principal European tramway systems decided to meet and try to work a little closer with one another. While tramways and local railway companies are part of the same industry, they have very few relations with one another. As a result, the diverse member companies have dealt with both administrative and technical questions in very different ways without the expected results. The group expressed the need for engineers and specialists to learn UITP members were in North America on a technical visit in from the experience of colleagues in all San Francisco, CA. tramway administrations. In the earlier years of its existence, Exhibition it organizes every two years. At the 60th UITP was largely a European organization. As meeting in May in Geneva, Switzerland, more than the international network and global advocate for 3,000 delegates attended to discuss a very wide transit and sustainable mobility, its membership range of topics and exchange ideas. A wide variety now stands at more than 3,400 members in more of exhibitors keen to display their latest technology than 90 countries around the world. filled the two large adjacent halls. Many visitors While many of the members of UITP are still are top decision-makers, in charge of multi-million transit authorities, the organization has extended its dollar budgets. reach to include vehicle manufacturers, suppliers, Previous UITP Congresses and Exhibitions were consultants and research institutes involved in the hosted in Dubai, Vienna, Helsinki, Rome, Paris, industry. It has several categories of membership. Stuttgart, and as far afield as Sydney. In 2015, the I have been a personal member for many years and venue will be Milan and I can now say the 2017 find that UITP brings excellent value. The library event will take place May 13 to 17 in Montreal, QB, facilities in Brussels are very comprehensive and Canada. Montreal might seem like a long way off, accessible online for members. but preparations are already underway. The Queen knighted UITP President Sir As a global organization, the official languages Peter Hendy, CBE of Transport for London, for of UITP are English, French, German and masterminding the organization of transport for Spanish, but other languages are used at the London Olympics and the Paralympics in regional events. It provides excellent translation 2012. Public transport played a major and efficient services where required as well as superb multirole in carrying athletes, officials, the media and lingual publications. spectators to all the various venues. More than UITP has collaborative agreements and excellent 1,000 buses were in service every day, in addition working arrangements with APTA, CUTA and to maintaining normal services in the capital. ATUQ. Canada is well represented, with almost all UITP Secretary General Alain Flausch, the large Canadian cities as members. Alain Flausch former CEO of the Brussels transit agency who is keen to increase the membership base in the took his post when Hans Rat retired, worked very United States, and has put Lindsey Mancini in hard to extend the global reach and influence of charge of that challenge. UITP. He’s set up a number of regional divisions She says there are already some members around the world. from the United States, which include New York, UITP is best known for the major Congress and
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THE INTERNATIONAL REPORT
UITP members gathered for a recent technical visit in Tokyo, Japan.
The project first launched with a number Washington DC, Phoenix, Salt Lake City, of highly futuristic artists’ impressions. Long Beach, and the Massachusetts Bay Some were impractical. For instance, Commuter Railroad. Member companies the very limited seating and large areas include Crane, Bombardier, Trapeze, of glass would have never Parsons Brinckerhoff, Clever complied with European Devices, ESRI and TRB. manufacturing regulations. UITP networks feature The manufacturers’ modal divisions. All bus prototypes were much authorities are automatically more practical. The most members of the Bus innovative vehicle came Division, which currently has from Volvo, whose engineers more than 450 members. carefully studied passenger The chairman is David flow in order to minimize Martin, chief executive of downtime. The EBSF project Arriva, a wholly-owned has now moved on to the German Railways operation UITP has charged Lindsey implementation stage. headquartered in the United Mancini with bolstering UITP has mounted its Kingdom. The Bus Division American membership in campaign PTx2 with the organizes regular events in the organization. objective of doubling the use of various locations around the public transport by 2025. It’s world for all members. These hard to get people out of their cover topics like vehicle cars and onto public transport. design, safety, maintenance, It takes courageous politicians training for young managers, to introduce restrictions like passenger security and fare congestion charging, as in payment systems. London and Stockholm. It A seminar on savings in bus also means that bus services maintenance and operations have to be very frequent, with will be held in Bologna, Italy, modern vehicles that have in October. The Light Rail minimal emissions. Committee met in Salt Lake Lindsey Mancini is very City in September and a keen to increase the amount training program for managers of members from the United in New York is set for May 2014. UITP Secretary General Alain Flausch in his office States. She says some joint The eighth International Bus in Brussels, Belgium. initiatives with APTA are under Conference takes place in Rio discussion. She believes that de Janeiro in November 2014. American members will benefit UITP also works closely from all the services and experience that with bus manufacturers and the major UITP can offer. To find out more, contact her component suppliers. It led the European directly at lindsey.mancini@uitp.org. Bus System of the Future (EBSF) to study future transit design, taking into account bus stops, right of way in traffic, ease of Doug Jack is with Transport Resources in the passenger entry and exit, and real-time United Kingdom. information at stops and vehicles. busride.com | BUSRIDE
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