August 1, 2016

UMA, ABA take opposite stands on new state inspections WASHINGTON — The na- ministration expressing its opposi- which they say would help make and 9- to 15-passenger vans. programs. tion’s two largest trade associa- tion to the proposal, while the the nation’s roads safer. FMSCA encouraged parties UMA, in its comments, noted tions representing the bus and mo- American Bus Association filed FMCSA announced the pro- with knowledge of the industry that the Federal Motor Carrier Safe- torcoach industry have taken comments that generally support posal in the spring and accepted and existing state inspection pro- ty Regulations currently require opposite stands on a federal pro- the proposal. comments through the end of grams to provide information that CMVs, including qualifying posal to require states to establish Motorcoach operators gener- June. The agency said the program about the impact such a rule would passenger vehicles, be inspected at annual inspection programs for ally oppose increased state inspec- for annual inspections would have on current regulations, oper- least once every 12 months. commercial passenger vehicles. tions, arguing that existing federal apply to commercial motor vehi- ating costs, business practices, A motor carrier must either The United Motorcoach Asso- and state inspection requirements cles designed or used to transport safety and any other areas that conduct the inspection using its ciation filed comments with the are sufficient. Safety advocates passengers, including motor- would be affected by a rule requir- own qualified personnel or use a Federal Motor Carrier Safety Ad- support the proposed inspections, coaches, school buses, mini-buses ing states to establish inspection CONTINUED ON PAGE 14 c FMCSA to study removing some crashes from records WASHINGTON — The Feder- cator of future crash risk. al Motor Carrier Safety Adminis- However, industry stakehold- tration plans to begin a two-year ers, including the United Motor- demonstration program to evaluate coach Association, have long con- whether non-preventable crashes tended that including accidents should be removed from a commer- that aren’t preventable or that cial motor carrier’s safety score. aren’t the fault of the carrier re- The program comes in re- sults in faulty safety scores. sponse to industry complaints that Congress passed legislation all accidents currently are record- last year that requires FMCSA to ed on a carrier’s safety score, even overhaul its safety scoring system. if the carrier wasn’t at fault. In its notice announcing the FMCSA’s Compliance, Safety, demonstration program, FMCSA Accountability safety rating pro- said crashes would be considered gram uses crash records to assess a not preventable, and thus removed motor carrier’s future crash risk. from a carrier’s safety record, if a The agency said research has dem- commercial motor vehicle was onstrated that crash involvement, struck by a motorist who was Peoria Charter Coach started out in 1941 as the Spring Bay Lacon Bus Company when Walter Winkler regardless of fault, is a strong indi- CONTINUED ON PAGE 18 c borrowed money from his sister and sold the family car to buy his first bus. See story on Page 17. Feds should outsource more services to private sector WASHINGTON — The feder- petition (BCFC). “Only a handful mony before the Subcommittee on than $517 billion in spending, sub- zens and taxpayers the highest al government could save as much of the 1.1 million commercial po- Government Operations to the sidies and other measures support- possible value for the money they as $35 billion annually by allow- sitions have been studied to deter- House Committee on Oversight ing government agencies and gov- send to Washington and there is no ing private industry to compete for mine whether government em- and Government Reform. ernment-underwritten entities doubt that effective contracting for work now performed by govern- ployees or private sector workers As far back as the Eisenhower duplicate or are otherwise avail- commercially-available services ment employees, a business leader can perform these activities more presidential administration, he able from private, for-profit enti- can save money,” testified Donald testified before a congressional effectively. said, “Each time there has been a ties in the free enterprise system.” F. Kettl, professor of public policy hearing. “Federal employees are en- White House Conference on Small Palatiello was one of four wit- at the University of Maryland. About 43 percent of federal gaged in activities ranging from ar- Business one of the top issues nesses called to discuss policies The U.S. Government Ac- employees work in jobs that are chitecture to zoology” and their ac- identified by American entrepre- for federal government contract- countability Office has found that “commercial in nature,” said John tivities include bus and motorcoach neurs is unfair government-spon- ing. The United Motorcoach Asso- outsourcing can save the govern- M. Palatiello, president of the transportation and travel planning, sored competition with the private ciation is a member of BCFC. ment 4 to 15 percent on the cost of Business Coalition for Fair Com- Palatiello said recently during testi- sector. BCFC estimates that more “The government owes its citi- CONTINUED ON PAGE 16 c Go with an MCI Pre-Owned Pro

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PARTS: 877-427-7278 SERVICE: 844-287-3183 *Subject to applicable terms and conditions. Some exclusions may apply. or visit www.abc-companies.com © 2016 ABC Companies. All rights reserved. Bus & Motorcoach News INDUSTRY NEWS August 1, 2016 3 National Interstate receives revised stock buyout bid RICHFIELD, Ohio — Nation- offering to buy all of the outstanding mon stock not owned by Great mittee whether the revised, per share. As recently as late Feb- al Interstate Corp., parent compa- stock of National Interstate it does American. $32-per-share offer resulted from ruary it was trading at around $22 ny of the namesake motorcoach not own for $32 per share. The special committee labeled negotiations or if Great American per share. industry insurer, has received a re- The special committee said it is that offer as “inadequate” and “not simply took the hint that the com- National Interstate Corp. is a vised buyout offer from its largest evaluating the revised proposal in the best interest of the minority mittee wasn’t interested in the near three-decade-old holding stockholder. with the assistance of its financial shareholders of the company.” $30.75 price. company for a property-casualty A special committee of Na- and legal advisers. The committee said it intended National Interstate was un- insurance group that offers prod- tional Interstate board members “There can be no assurance that to continue to consider the options available for comment. ucts and services to niche markets. announced it had received the re- any agreement will be executed or available to the company, includ- The $32 offering price con- Its products include insurance vised proposal from Great Ameri- that a transaction will be approved ing maintaining National Inter- tained in the latest buyout proposal for motorcoach operators and can Insurance Co., a wholly-owned or consummated,” the special com- state as a public company and ne- is a slight premium over the highest other passenger carriers, truckers, subsidiary of Cincinnati-based mittee said in its statement. gotiating with Great American “to price National Interstate shares have and moving and storage transpor- American Financial Group Inc. The revised offer came roughly seek further improvements to the reached in the past year — $31.77 tation companies; alternative risk Great American owns just over one week after the special commit­ ­ offer that more appropriately re- — but is below its five-year high of transfer, or captive programs for 51 percent of the outstanding tee announced it had unanimously­ flect the special committee’s views $35.68 reached in July 2013. commercial risks; specialty prod- shares of National Interstate. rejected a verbal offer from Great on valuation.” During the past five years, Na- ucts focused primarily on RV own- According to the committee an- American to pay $30.75 per share It is not clear from the latest tional Interstate stock generally ers; and commercial insurance in nouncement, Great American is now for the National Interstate com- statement from the special com- has traded between $21 and $30 Hawaii and Alaska. UMA launches Safe Bus & Motorcoach Driving Awards ALEXANDRIA, Va. — The ance companies are looking for two years of crash- and violation- for both employer and insurer. main goal is to encourage bus and United Motorcoach Association, those special drivers who have a free driving, or one year if a driver “Recognizing exceptional driv- motorcoach­ driving as a profes- which recently launched a driver proven track record,” said Brian has completed a minimum of five er skills and acumen is consistent sional career while providing driv- member program, also is adding a Scott, president of Escot Bus Lines Bus & Motorcoach Academy driv- with our mission to advance the er recognition, appreciation and recognition program for safe and chairman of the UMA Risk er courses. Drivers also must have motorcoach driver position and the mentoring. drivers. Management Committee. avoided claims related to danger, millions of safe miles they provide As an introductory offer, first- The UMA Safe Bus & Motor­ Safe driving awards are avail- risk or injury. the public.” year dues are complimentary for coach Driving Award Program was able to all eligible UMA driver “These are very high standards The announcement of the new drivers employed by UMA opera- created to recognize and reward members who meet the criteria de- that recognize exceptional drivers,” driver recognition program closely tor member companies. After that, UMA driver members for their tailed on the UMA driver member Scott said. “The UMA Safe Bus & follows the launch of the UMA annual dues begin at $39, which safe, accident-free years while op- website, www.umadrivermember. Motorcoach Driving Award Pro- Driver Member Program. reflects a $10 discount for drivers erating a bus and/or motorcoach. org. gram authenticates the driver’s re- Drivers opting to join may at UMA operator member “Employers and their insur- Those criteria include at least cord, allowing instant recognition work for any bus company. UMA’s companies. 4 August 1, 2016 Bus & Motorcoach News

Most motor carrier civil penalties increased by FMCSA WASHINGTON — The Fed- percent to more than 105 percent. cretion of the agency, according to reliably quantified into safety ben- erating a commercial vehicle dur- eral Motor Carrier Safety Admin- The adjusted penalties go into the Federal Civil Penalties Infla- efits, however.” ing the period the driver was istration has issued an interim effect Aug. 1, the agency said. tion Adjustment Act of 2015. The largest increase was for placed out of service to $1,782 final rule increasing — and in a “Congress has stated in the each day a carrier conducts opera- from $3,100. few cases decreasing — its motor Daily fines Adjustment Act that increasing tions after a suspension or revoca- The penalty for serious viola- carrier civil penalties for viola- The rule provides for some of penalties over time will deter vio- tion, which more than doubled to tions of hazardous materials regu- tions of federal regulations. the more serious penalties to be lations,” FMCSA’s rule said. $22,587 from $11,000. lations remained the most costly, In an announcement published assessed on a daily basis if a car- “Therefore, with this deterrence, The penalty for operating in increasing to $179,933 from in the Federal Register, FMCSA rier fails to take corrective action FMCSA infers that there may be violation of an out-of-service $175,000. said several laws require periodic or obey out-of-service or suspen- some safety benefits that occur order jumped 41 percent, to To see the new penalties, go to: “catch-up” adjustments based on sion orders. due to this final rule. $22,587 from $16,000, according https://www.federalregister.gov/ cost-of-living increases. Although most of the penalty “The deterrence effect of in- to the rule. articles/2016/06/27/2016-14973/ Those adjustments result in increases are computed using a creasing penalties, which Con- By contrast, the agency de- federal-civil-penalties-inflation- most penalties jumping from 10 formula, others are left to the dis- gress has recognized, cannot be creased the penalty for a driver op- adjustment-of-2015. Feds extend CDL waiver period for military drivers Border states WASHINGTON — Military Under the exemption, states too short for many of the qualified months in which this exemption veterans who drove commercial will be able to extend an existing veterans to use while re-entering allows them to apply for a waiver receive grants vehicles now have up to a full year waiver that makes it easier for mil- civilian life. of the CDL skills test,” the agency WASHINGTON — The 15 after their departure from the ser- itary drivers to obtain a CDL. State officials argued that a wrote. U.S. states that share a border with vice to be exempt from the com- The old waiver gave CDL ap- longer waiver period would assist “This exemption only extends Mexico or Canada are receiving mercial driver’s license skills test plicants who had been employed in ensuring highway safety by li- the period during which appli­ $32 million in federal grants to en- when applying for a CDL. within the last 90 days as commer- censing qualified veterans seeking cation for the skills test waiver sure foreign commercial carriers Responding to a request from cial motor vehicle operators with employment following discharge. may be made and does not revise are in compliance with U.S. safety laws and regulations. the Missouri Department of Reve- the military to skip the skills test. Upon examining Missouri’s any other provisions of the The Federal Motor Carrier nue, the Federal Motor Carrier The new extension, which took application and reviewing public regulations.” Safety Administration said the Safety Administration has granted effect July 8 and runs through July comments, FMCSA deemed it ap- FMCSA said in a 2015 re- funds would go to the transporta- all state driver-licensing agencies 8, 2018, lengthens the waiver pe- propriate to grant the extension for port that more than 10,000 former tion departments of all the eligi- a limited exemption from CDL riod to one year. all states. military personnel have taken ad- ble states to help authorities make regulations for veterans with expe- Missouri applied for the ex- “FMCSA does not believe that vantage of the 90-day skills test sure all commercial vehicles and rience driving commercial emption earlier this year, contend- the veterans’ driving skills would waiver since it was introduced in drivers are properly licensed and vehicles. ing that the 90-day time frame was decrease during the additional May 2011. insured to operate on U.S. roads. Mexican commercial carri- ers are allowed to operate in the U.S. under a cross-border pro- POT SHOT gram as part of the North Ameri- can Free Trade Agreement, but TRY IT only after proving to federal regu- lators that they can operate in compliance with U.S. transporta- SPECIAL tion safety rules and standards. Canadian safety laws are sim- ilar to those in the U.S., but proof 128 of compliance is still required be- fore commercial vehicles can PREMEASURED drive on U.S. roads. SERVICES The states receiving grants WORKS THE BEST - COSTS LESS and the grant amounts are: • Alaska — $187,503 $37.95 • Arizona — $5.6 million FORMULATED RIGHT THE FIRST TIME!!! • California — $5.3 million • Idaho — $97,923 WHILE OTHERS ARE CONTINUALLY CHANGING FORMULAS, SUPER DELIVERED • Maine — $300,000 STRENGTH POT SHOT’S QUALITY REMAINS UNSURPASSED. 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IN USA AND • Montana — $871,410 POT SHOT IS AVAILABLE IN 2 OZ, 8 OZ, GALLONS, PAILS AND DRUMS TERRITORIES • New Hampshire — $33,319 • New Mexico — $491,215 • New York — $643,240 (800) 879-8648 - (702) 564-6454 - www.unitchemical.com • North Dakota — $256,375 29¢ • Texas — $17.2 million 60 Years Manufacturing Environmentally Safe Products • Vermont — $66,058 PER SERVICE • Washington — $460,826 67819 State Road 15, New Paris, IN 800-296-2105 6 August 1, 2016 THE DOCKET Bus & Motorcoach News 90 bus companies share $3 million in security grants WASHINGTON — Ninety The grant program was started Over the years, roughly 38 per- Although the grant program to companies that operate fixed- bus and motorcoach operators in 2003 and awarded a little more cent of the grant money has gone resumed last year after three years route intercity bus services to from across the U.S. have been than $100 million before the fund- to Greyhound Lines, which has re- of receiving no funding from Con- areas considered at high risk of a awarded fiscal 2016 Inter-City ing dried up after 2011. The grants ceived a total of about $38 gress, there still are questions terrorist attack, and to charter op- Bus Security grants by the Depart- were reinstated in 2015, but the million. about how long it will survive con- erators that make at least 50 trips ment of Homeland Security. amount is significantly smaller Greyhound has gotten its large sidering the federal budget cost- annually to one or more of those A total of $3 million was than in past years. percentage not only because it has cutting mood prevalent in same areas. awarded to operators in 34 states For example, $11.66 million the biggest fleet of line-run coach- Washington. Funding is divided into two that will use the money to upgrade was awarded to 71 operators in fis- es of any private carrier, but also Many sectors of the motor- tiers, with companies that have at company security measures with cal 2009 and $11.5 million was because it travels to the areas be- coach industry have lobbied Con- least 250 buses in one category onboard cameras, communication awarded in fiscal 2010 to 69 lieved to be most vulnerable for a gress and the White House to con- and those with fewer than 250 in equipment, fencing at terminals, operators. terrorism attack — one of the pro- tinue the DHS Inter-City Bus the other. passenger screening gear, driver The amount fell off sharply in gram’s key criteria. Security grant program. A list of grant recipients ap- shields, and global positioning 2011, when 83 operators received This year, Greyhound received Under current funding regula- pears on Page 8 of Bus & Motor- tracking devices. a total of $4.99 million. $254,363. tions, the bus grants are awarded coach News. Traffic fatalities rose by nearly 8 percent in 2015 WASHINGTON — An esti- Foxx said. miles. eled (VMT) in 2015 increased by ago, each death on U.S. roadways mated 35,200 people died in motor “We are analyzing the data to “But that only explains part of about 107.2 billion miles, or about is unacceptable, and, after many vehicle accidents in 2015, an in- determine what factors contribut- the increase,” Rosekind said. a 3.5 percent increase. years of progress, this increase is crease of 7.7 percent over the ed to the increase in fatalities and “Ninety-four percent of crashes The fatality rate per 100 mil- troubling,” said GHSA Executive 32,675 fatalities in 2014, the Na- at the same time, we are aggres- can be tied back to a human choice lion VMT for 2015 increased to Director Jonathan Adkins. tional Highway Traffic Safety Ad- sively testing new safety technolo- or error, so we know we need to 1.12 fatalities per 100 million “The good news is that the solu- ministration projected. gies, new ways to improve driver focus our efforts on improving VMT, up from 1.08 fatalities per tions to reducing traffic deaths aren’t If the projections are realized, behavior, and new ways to analyze human behavior while promoting 100 million VMT in 2014. a mystery. They include strong laws fatalities will be at the highest the data we have, as we work with vehicle technology that not only The Governors Highway Safe- coupled with highly visible law en- level since 2008, when 37,423 the entire road safety community protects people in crashes, but ty Association expressed its con- forcement and robust public educa- traffic deaths were reported. to take this challenge head-on.” helps prevent crashes in the first cern about the increase, calling it tion campaigns. By using these tac- “Every American should be NHTSA Administrator Mark place.” “alarming.” tics, the nation saw a nearly 25 able to drive, ride or walk to their Rosekind said an improved econo- Preliminary data reported by “Although we are still well percent drop in the number of destination safely, every time,” my and lower gas prices have re- the Federal Highway Administra- below the more than 40,000 peo- ­fatalities between 2005 and 2014, Transportation Secretary Anthony sulted in Americans driving more tion shows that vehicle miles trav- ple killed annually just a decade including a record low in 2011.”

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806453_Motor.indd 1 5/6/16 7:46 PM 8 August 1, 2016 THE DOCKET Bus & Motorcoach News Operators in 34 states get Homeland Security grants Alabama Illinois Joseph’s Transportation, Inc . $12,782 Starr Transit, Inc, Trans-Bridge, Inc ...... $16,496 Kelton Tours Unlimited . . . . $20,789 Peoria Charter Coach Co . . .$38,421 Peter Pan Bus Lines, Inc . . $38,609. dba Starr Tours ...... $30,759 Rhode Island Arizona Iowa Michigan Stout’s Charter Service Inc . .$22,761 G Dicostanzo, Inc . Arizona Corp . Coach, LLC . . .$61,416 Burlington Stage Lines LTD Compass Coach Inc . . . . $12,418. Tenney, David A, SR dba dba Flagship Trailways . . . $24,670 Arkansas dba Burlington Trailways . .$17,496 Indian Trails Incorporated . . . $25,632 Triple D Travel ...... $1,600 Tennessee Eventure America Inc dba Windstar Lines Inc . . . . . $26,101 Trinity Coaching, Inc ...... $5,091 New York RLCL Acquisition, LLC Little Rock Tours ...... $9,595 Kansas Minnesota Adirondack Transit Lines, Inc .$64,882 dba Grayline Nashville . . . $12,984 California Village Tours, LLC dba Village Lorenz Bus Service, Inc . . . . $13,988 Birnie Bus Tours, Inc . dba Texas Amador Stage Lines, Inc . dba Charters & Tours . . . . . $62,610 Richfield Bus Co . dba Bloomington Birnie Trailways . . . . . $109,196 Autobuses Ejecutivos LLC dba Allen Transportation Co . . . . $3,692 Kentucky Charter Service ...... $36,889 Coastal Charter Service Corp . Omnibus Express . . . . . $13,642 Americanstar Tours Inc . . . . . $4,763 Miller Transportation Inc . . . . $8,589 Rochester City Line, Co . dba Northfork Express . . . . $2,258 Echo Tours & Charters, LP Fisher Bus Service, Inc . dba Silverado Stages ...... $3,441 Louisiana dba Rochester . . . . . $63,207. dba Echo Transportation . $16,905. Niagara Scenic Tours . . . . $8,983 Storer Transportation Service dba Louisiana Motor Coach Inc . . . $8,580 Voigt’s Bus Service Inc . . . . $15,910 GBJ, Inc . dba Hampton Jitney, Inc . . . . . $38,429 Storer Travel Service . . . . $93,331 New Orleans Tours, Inc . . . . $31,103 Mississippi AFC Transportation . . . . . $82,001 Sureride Charter, Inc . dba Trans Express Inc ...... $12,916 Salter Bus Lines, Inc . dba Coach Ride, LLC . . . . . $22,015. Greyhound Lines, Inc . . . . . $254,363 Sun Diego Charter . . . . . $18,971 West Point Tours Inc . . . . . $6,782 Salter Transportation . . . . $11,916 Missouri Lone Star Coaches, Inc . . $26,243. Via Adventures, Inc ...... $47,808. Yankee Trails, Inc . . . . . $38,509. Maine Huskey Bus & Transportation Roadrunner Charters Inc . . . . $7,775 Connecticut North Carolina Isherwood Énterprises, Inc . Services, Inc ...... $24,465 Star Shuttle, Inc . dba Star DATTCO Tours, Inc . . . . . $43,997 Holiday Tours, Inc ...... $70,908 dba Custom Coach of Nebraska Shuttle & Charter . . . . . $24,440 Nason Partners, LLC WNC Travels LLC ...... $15,545 Portland ...... $13,142 Navigator Motor Coaches Inc $19,528 Vermont dba Kelley Transit . . . . . $35,877 Ohio Maryland Nevada Premier Coach Co ., Inc . . $14,848. Florida Celebrity Coaches of Baron’s Bus, Inc ...... $65,610 Virginia Astro Travel & Tours Inc . . . $26,427. Adventures by Dawn, LLC Precious Cargo Transp . Inc . . $19,325 dba Adventure Tours . . . $76,655. America, Inc ...... $17,964 Blue Ridge Tours Inc . . . .$19,950 ESCOT Bus Lines Inc . . . . $32,637 Pennsylvania D & D Enterprises, Inc . dba Beltway New Hampshire D C Trails Inc ...... $40,881 Treasure Coast Motor Coach, Inc . dba Dartmouth Transportation Co ., Inc . David Thomas Tours . . . . . $50,290 Newton Bus Service, Inc . . . . $12,790 Magic Carpet Ride . . . . . $24,052 Transportation Service . . . $41,451 Frank Martz Coach Co Inc . . . $27,261 Keller Transportation, Inc . . $50,774. dba Dartmouth Coach . . . . $7,516 QT Transport Inc . . . . . $22,280. Georgia Jalbert Leasing, Inc . Fullington Auto Bus Co . . . .$21,000 Venture Tours, Inc ...... $32,284 Daniel’s Charters & Massachusetts dba C&J Trailways . . . . . $5,634 Innovative Coach, LLC . . . . $1,693 Washington Tours LLC ...... $31,096 AA Transportation Corp ., Inc .$62,561 O .D . Anderson, Inc . dba Bloom’s Bus Lines Inc . . . . $16,715 New Jersey GTO LLC dba MTR Western .$92,348 Kelly Tours, Inc ...... $87,150 Academy Express, LLC . . . $140,734 Anderson Coach & Tour . . . $42,783 Cavalier Coach Corp . dba Cavalier Wisconsin Samson Tours, Inc . Classic Cruisers, Inc . . . . . $9,712 Schrock Inc ...... $7,115 Coach Trailways ...... $13,711 Badger Coaches, Inc . . . . $18,703 dba Samson Trailways . . . $11,075 Coach USA, Inc ...... $96,000 Susquehanna Transit Co . . . . $3,756

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10 August 1, 2016 FINANCIAL NEWS Bus & Motorcoach News FY 2016 was tough for megabus/Coach USA/Coach Canada PERTH, Scotland — While it profit was in line with company ex- 2016, down slightly from the $118.2 also saw some decline in revenue “While U.S. ‘at-the-pump’ gas pric- was anticipated, fiscal 2016 turned pectations, the reduction was million recorded in fiscal 2015. on certain scheduled and airport es remain below the prices of a year out to be a troublesome year for “mainly due to lower operating • Sightseeing and tour revenue express services, reflecting compe- ago, the business remains profit- megabus.com and its sister opera- profit from megabus.com, reflect- was $28.6 million for fiscal 2016, tition and reduced visitor numbers. able and we have operational plans tions, Coach USA/Coach Canada. ing the low fuel prices.” down 9.5 percent from fiscal 2015’s • The charter revenue dip for in place and fleet capacity to grow megabus/Coach USA/Coach Virtually every category of ser- $31.6 million. the year partly reflected decreased the business if and when we see Canada, North America’s second vice offered by megabus and Coach The lone bright spot was subsidy volumes from a major customer in revenue recover. largest motorcoach operator (after USA/Coach Canada experienced revenue from government units, ris- Canada. “However, megabus.com reve- Greyhound Lines), reported a near- reduced revenue — on a like-for- ing to $19 million, or 8 percent, from • The slight slippage in contract nue trends are not yet improving to ly 5-percent decline in revenue, like basis — in fiscal 2016. For fiscal 2015 when support from local revenue resulted from marginally the extent we had anticipated and leading to a nearly 20-percent drop example: authorities totaled $17.6 million. profitable transit contracts that we have revised our forecast in operating profit for the year. • Revenue at megabus declined To combat the decline in reve- were not retained. “This loss of 2016/17 North America operating The numbers were reported by more than 7 percent to $206.8 mil- nue, the mileage operated by mega- transit contracts has been offset by profit accordingly. Perth-based Stagecoach Group, the lion from $222.5 million in fiscal bus was cut to better match the re- other new contract work secured,” “We continue to seek to im- parent company of megabus and 2015. The megabus figures now in- duced demand, and a marketing said Stagecoach. prove the profitability of the rest of Coach USA/Coach Canada, as part clude revenue from megabus- campaign was launched aimed at • The sharp fall in sightseeing the North American business by re- of its preliminary financial results branded services in Canada, which highlighting the 10th anniversary and tour revenue reflected weak maining focused on further improv- for the 12 months ended April 30. were formerly operated under dif- of the megabus.com brand in North trends in that market, particularly in ing the customer experience. We Coach USA/Coach Canada and ferent brands. America. The focus of the cam- the highly competitive markets in see opportunities for new contract megabus comprise the North Amer- • Scheduled service commer- paign is on digital channels. which Coach USA/Coach Canada wins but will remain disciplined in ican division of Stagecoach, operat- cial revenue fell by 3 percent to At other units: operate “hop-on, hop-off ” sight- ensuring that our contract bids re- ing roughly 2,300 buses and coach- $157.5 million from $162.3 million • The reduced scheduled-ser- seeing tours. main designed to deliver a satisfac- es. megabus links nearly 130 in fiscal 2015. vice revenue includes the adverse Stagecoach offered a less-than- tory rate of return on capital.” locations in the U.S. and Canada. • Charter service revenue effect on demand for some services enthusiastic appraisal of the short- Stagecoach Group’s Twin For the 12 months ended April dipped 1.9 percent to $125.5 mil- resulting from the strong U.S. dol- term outlook. America joint venture sightseeing 30, megabus/Coach USA/Coach lion in fiscal 2016 from the $127.9 lar impacting the number of Euro- “Oil prices fell sharply towards operation (excluding exceptional Canada rolled up combined reve- million reported in fiscal 2015. pean visitors to the U.S. and spend- the end of 2014 with a consequen- items) continued its financial strug- nue of $647.7 million, down 4.8 • Contract services produced ing by those visitors. tial adverse effect on megabus.com gles in fiscal 2016. percent from the $680.1 million re- revenue of $118.8 million in fiscal • Coach USA/Coach Canada revenue,” the company noted. The operation, which is 60 per- ported for fiscal 2015. cent owned by Stagecoach Group, Like-for-like revenue for fiscal had revenue of $69.8 million, down 2016 was $656.2 million, com- Stagecoach sells megabus Europe unit from $74.7 million in fiscal 2015. pared with $680.1 million for fiscal PERTH, Scotland — Stage- Stagecoach Group had forecast at Plus, it believes “the high-pro- The revenue drop resulted in an 2015, a decline of 3.5 percent. coach Group PLC has sold the re- the start of the year. file terrorist attacks that occurred operating loss for the year of rough- The combined operating profit tail operations of its money-losing Around half of the bigger- in Paris and Brussels during the ly $900,000, versus of profit of for megabus and Coach USA/ megabus Europe business to a than-expected loss was due to year discouraged some travelers $3.4 million in fiscal 2015. Coach Canada in fiscal 2016 was German operator, FlixMobility Stagecoach adding more intercity from visiting major European cit- Stagecoach said operating Twin $28.4 million, down 19.5 percent GmbH, known on the continent as services that were not anticipated ies and therefore had an adverse America remains challenging. from a fiscal 2015 operating profit FlixBus. at the start of the year, principally impact on revenue.” Overhanging the business is a con- of $35.3 million. Only those megabus retail op- in response to deregulation during Stagecoach has a long history tinuing investigation by the U.S. The operating margin for the erations involving mainland Eu- the year of intercity coach services of quickly cutting is losses when it Justice Department. combined North American opera- rope were part of the sale. in France. comes to money-losing operations. The department is investigating tion was 4.4 in fiscal 2016, down The sale announcement came The remainder of the expanded megabus Europe sells intercity “the conduct of Twin America per- 80 basis points from the margin of on the same day Stagecoach loss was due to poorer results than coach trips to customers (primari- sonnel in responding to discovery 5.2 percent in fiscal 2015. Group released preliminary finan- forecast on the services megabus ly through its own websites) and obligations in the investigation and In releasing the numbers, Stage- cial results for fiscal 2016, which Europe planned to operate. operates most of the coach servic- litigation. The Department of Jus- coach said its North American units included an operating loss of Stagecoach noted its European es that provide those trips. tice has not taken any enforcement continue “to be affected by lower roughly $31.3 million (24.1 mil- operations continue to be impact- Others in the market, such as action related to these issues, and fuel prices, which are impacting de- lion British pounds) for the mega- ed by low fuel prices and strong FlixBus, sell the trips and subcon- (Stagecoach) Group is co-operating mand for intercity coach services.” bus Europe unit. competition from other intercity tract the operation of the coach with the investigation,” the com­ While the slide in operating The loss was higher than operators. services. pany said.

ISSUE NO. 312 Jeff Polzien How to contact us Red Carpet Charters Oklahoma City To submit or report news, Letters to To advertise: Interested in placing an ad, Tom Ready the Editor, articles, news releases or and new to Bus & Motorcoach News? Ready Bus Lines LaCrescent, Minn . to report corrections: Call: Jamie Williams at (352) 333-3393 A PUBLICATION OF THE UNITED MOTORCOACH ASSOCIATION E-mail: E-mail: JWilliams@naylor .com Ray Sargoni Gray Lines of San Francisco hmattern@busandmotorcoachnews .com Staff Advisory Board San Francisco Mail: 2250 W . Roper Lane Existing advertisers, or to submit William Allen Larry Hundt Brian Scott Cottonwood, AZ 86326 Editor & Publisher: Victor Parra Amador Trailways Great Canadian Trailways Escot Bus Lines advertising materials: Sacramento, Calif . Kitchner, Ontario Call: (602) 284-6049 Senior Editor: Hal Mattern Largo, Fla . Call: Johnny Steger at (866) 930-8426 Brian Annett Dale Krapf Tim Stout Annett Bus Lines Krapf Coaches To subscribe or inquire about your E-mail: Sales Director: Johnny Steger Stout’s Transportation Sebring, Fla . West Chester, Pa . Ewing, N .J . subscription: jsteger@busandmotorcoachnews .com Industry Editor: Ken Presley Mail: 2200 N . Yarbrough, Suite B James Brown Sr . Joan Libby Dennis Strief E-mail: Magic Carpet Tours Cavalier Coach Trailways Vandalia Bus Lines Box No . 336, El Paso, TX 79925 Associate Editor: Ellen Balm Richmond, Va . Boston, Mass . ebalm@busandmotorcoachnews .com Caseyville, Ill . Fax: (405) 942-6201 Art Director: Mary E . McCarty Dave Dickson Marcia Milton Alan Thrasher To contact the Elite Coach First Priority Trailways Thrasher Brothers Trailways Mail: 3108 NW 54th Street United Motorcoach Association: Editorial Assistant: Ephrata, Pa . District Heights, Md . Birmingham, Ala . Oklahoma City, OK 73112 Maggie Vander Eems Call: (800) 424-8262 Gladys Gillis David Moody Tim Wayland Call: (866) 930-8421 Starline Luxury Coaches Holiday Tours Online: www .uma .org ABC Companies Editorial Assistant: Seattle Randleman, N .C . Faribault, Minn . Meghan O’Brien Bob Greene Michael Neustadt T . Ralph Young ©2016 by the United Motorcoach Association. Reproduction in whole or in part without Accountant: Ted Williford Amaya-Astron Seating Coach Tours Young Transportation written permission is prohibited. Omaha, Neb . Brookfield, Conn . Asheville, N .C . 11Bus &August Motorcoach 1, 2016 News OPINION BusAugust & Motorcoach 1, 2016 News11 Inertia can bounce competitors off the bathroom walls By Dave Millhouser had to ride it out, Paul caught my ride we offer our passengers suf- Hang on tight, I’m gonna try The guy eye. That was because we’d hit a fers. Customers don’t love being and talk technical here. Bouncing who taught me We were deadheading west in a bump that had bounced his for- shoved back in their seats by a up and down vertically on rough to drive used to Scenicruiser when we topped a merly sleeping form up level with 450-horsepower engine, and sud- roads is unpleasant, but fighting say, “Assume pass in Nevada. my (terrified) eyes. den braking tends to fling folks the inertia of acceleration, braking the other guy My co-driver, Paul, was snooz- Back in the day good drivers forward either into the seat in front and leaning into sharp turns is ex- will do the ing in the aisle next to the driver’s (as opposed to — moi) gave a good of them or up the aisle. hausting. When you angle forward, wrong thing and seat when I observed that U.S. 50 deal of consideration to inertia. Technology such as adaptive backward or sideways, your body he’ll rarely dis- stretched in front of us, straight as Buses were underpowered by cruise control is excellent at pre- uses tons of energy trying to keep appoint you.” Dave Millhouser an arrow, for at least 30 miles, first modern standards, brakes were venting accidents, but when driv- your head on straight. Years ago down a steep grade then, 25 or so weak and power steering was still ers depend on it too much passen- That sort of driving tires the while driving a loaded Eagle dem- miles in the distance, back up. an option. gers end up agitated in ways that driver and passengers alike and onstrator to an event at a conven- No cars and no cops. You had to get a run at hills, ac- minimize repeat business and tips. adds an element of danger (and tion, I spotted a competitor walk- Why not kick her into neutral celerating into traffic took careful who says that technological stuff ing down the aisle toward the and see what she could do? After planning and passing on a two- Do you need it? always works?). coach’s lavatory. Waiting for the all, in ye olden days coaches need- lane road was a death-defying act. You might think of modern When I sold Eagles, their tor- door to close, I tapped the coach’s ed to get a run at hills in order to You “set up” turns in cities or technology in the same way you sion-bar suspension was arguably brakes, while weaving side-to- climb at an adequate pace. you’d find yourself “backing and think of your life insurance. It’s better than our competitor’s, par- side, and hoping for a thumping Paul was sleeping and was not filling.” comforting to know it’s there if ticularly at roll resistance. As a re- sound as he bounced off the bath- consulted on this decision. Boiled down, driving an under- you need it, but do you really want sult, it always seemed that you room walls. By the time we were halfway powered coach with a manual to use it? could drive and ride farther in an In real life I didn’t toss him down I had no idea how fast we transmission, minimal braking and Four hundred and fifty horse- Eagle without tiring. about, but was sure tempted, and I were going because the speedom- no power steering was the vehicu- power is a good thing on a long, Inertia can’t be defeated, but it pointed out to him that, for one eter buried at 80, and we’d broken lar equivalent of a chess game. steep grade, or when passing on a can be domesticated by paying at- brief shining moment, I’d had him that barrier several miles back. Modern technology has cer- two-lane road, but racing a BMW tention to what’s in front of you where I wanted him. I had just enough brain cells to tainly made coach driving easier, out of a tollbooth isn’t going make and doing a bit of contingency Inertia CAN be your friend, but realize two things: we were travel- providing plenty of power for ac- passengers love you. planning. Gee whiz, I’m gonna only if you plan ahead. ing way too fast to get the trans- celeration, lots of braking and the They don’t care who wins. have to stop at that tollbooth, why Dave Millhouser is a bus indus- mission back in gear and the ability to make last-second adjust- Using it and super-duper disk not slow down gradually? Is that try marketing consultant and free- brakes would fry if anyone was ments when turning. brakes to weave through traffic car ahead of me going to run the lance writer. Contact him by email silly enough to try them. Unfortunately, if we use all that will not endear you to either the yellow light, or stomp his brake in at [email protected]. About the time I realized we new stuff too much, the quality of public or your employer. my face?

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3 to Choose from $139,000 each/OBO • (2) 28 passenger (1) 52 passenger • All have Galleys and will be available NOW! • The 28 passengers are used for Sports Teams… could be promoted as Sports Team Coaches • One has a rebuilt transmission and they all range from 209,000 to 235,000 original miles since new For more information please call 757-494-1480 or e-mail [email protected] 12 August 1, 2016 INDUSTRY NEWS Bus & Motorcoach News North Carolina to track seatbelt use on school buses RALEIGH, N.C. — Eleven used in the project, said Derek the students riding these buses will help increase driver retention. Last November, the district school districts in North Carolina Graham, North Carolina state be using them,” Graham added. “The required-use policy is a committed to including three-point will begin participating in a proj- pupil transportation director. Most “That’s the goal.” key element in this project that we belts on all its new buses, which ect this fall that will track the use of the buses have already been de- The state covers the cost of the believe to be a real opportunity to has increased the cost of a new of lap-shoulder belts on school livered, and the rest are expected to replacement buses, and the lap- improve student discipline and school bus by about $8,000. buses. arrive this summer. shoulder belts are simply consid- thereby help out our school bus The district’s 1,100-bus fleet The project is being imple- The project builds on results ered an additional option. drivers,” he said. currently includes about 430 with mented by the North Carolina De- from a pilot project that the state Researchers at North Carolina Meanwhile, in Texas, students lap belts and 90 with three-point partment of Public Instruction’s conducted in 2003 to test the tech- State University’s Institute for in the Houston Independent School belts. Transportation Services, which nology using 13 school buses Transportation Research and Edu- District who ride school buses Texas is one of six states that will provide replacement school that were equipped with first-­ cation are providing technical assis- with three-point seatbelts will be have passed legislation requiring buses equipped with lap-shoulder generation lap-shoulder belt seats. tance, contacting districts around required to wear them. either three-point or lap seatbelts belts for the 2016-17 school year The school districts’ local the U.S., and looking at best prac- The updated code of student on school buses. However, Texas’ to the 11 participating school boards of education had to agree to tices and recommendations. conduct approved by the district legislation was contingent on districts. support and enforce the usage of In addition to safety benefits, board also includes language that funding being allocated to pay for A total of 82 buses — a mix of the lap-shoulder belts in order to Graham said that the use of lap- encourages, but doesn’t require, the restraints, which has yet to ma- models from Thomas Built Buses, receive the buses. shoulder belts should improve stu- students to buckle up on buses that terialize, so the mandate has not Blue Bird, and IC Bus — will be “It will be an expectation that dent behavior, which could in turn are equipped with lap-only belts. been enforced. Under-aged limo driver charged in fatal Illinois crash GENEVA, Ill. — A 20-year- people in the limousine into Illi- sued the company. mitted other actions that increased the same driver on at least two old Wisconsin man has been nois from Wisconsin. Nash told Illinois State Police the chance of serious harm to the other occasions in March. charged with illegally driving a Nash was also ticketed for fail- that the sun blinded him just be- motoring public. (See May 1 Bus A federal compliance review limousine involved in a fatal crash ure to reduce speed to avoid an fore the limo struck a wall in a & Motorcoach News.) conducted by FMCSA safety in- on Interstate 90 in Illinois earlier accident. construction zone and rolled over, The limo was driving six people vestigators found the company to this year. The limousine, operated by killing 53-year-old Teri L. Schmidt. from the Madison area to Chicago be in violation of multiple federal Kane County prosecutors al- Edgerton, Wis.-based Lyons Lim- The Federal Motor Carrier O’Hare International Airport. Nash safety regulations and also re- lege in the felony charge that ousine LLC, was involved in a sin- Safety Administration ordered was only 20 years old, while federal vealed that the company did not Aaron T. Nash of Janesville, Wis., gle-vehicle crash in March on I-90 Lyons Limousine to cease opera- regulations require interstate com- possess safety and operating au- violated motor carrier safety laws in Elgin, Ill., resulting in the death tions shortly after the crash on mercial drivers to be at least 21. thority registration or maintain the when, “without authority” and of one passenger and injuries to grounds that it used “unqualified FMCSA’s investigation found required levels of public liability under the age of 21, he drove six several others. Two passengers and underage drivers” and com- that the company had dispatched insurance. Available for Charter with Driver

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Coach Financing and Leasing Specialists 14 August 1, 2016 INDUSTRY NEWS Bus & Motorcoach News State inspections ty hiring, training and retaining grant reciprocity for inspections required to be inspected within a performance.” CONTINUED FROM PAGE 1 qualified personnel to inspect from other states; and states pro- state-mandated program versus the ­increasingly-complex CMVs. grams must have the flexibility to FMCSA annual inspection Enhanced safety qualified third party that maintains “UMA suggests FMCSA re- institute or continue to allow for process. Advocates for Highway and appropriate facilities and employs view this suggested development self-inspections.” Reputable carriers will always Auto Safety supports requiring all inspectors. The annual inspection through further conversations with ABA added that, “FMCSA inspect and repair buses on a regu- states to conduct annual inspec- requirement also can be satisfied state enforcement agencies,” the should seek to promote efficiency lar preventative maintenance pro- tions of passenger-carrying com- through a state or other jurisdic- association said. and uniformity in any inspection gram that far exceeds the periodic mercial vehicles, saying such a tion’s inspection program, provid- “While UMA does not support proposal the agency puts forward, inspection process of any state or program would “undoubtedly en- ed the inspections satisfy regula- a federally mandated expansion of and costs for any such initiative need federal inspection requirement. hance safety.” tory requirements. state inspections, we do recognize to be considered and evaluated.” “Those that do not will wait The group also opposes UMA said FMCSA has deter- the critical importance of com­ Academy Express LLC is until the state inspection is sched- self-inspection. mined that inspection programs in petent field personnel conducting among the motorcoach operators uled before addressing issues.” “The inspections that would 22 states are comparable to, or as and recording accurate that believe current state and fed- Academy also expressed con- be required under the program effective as, the federal periodic inspections.” eral inspection requirements make cern that requiring every state to must be conducted by the state or a inspection requirements. Those in- the proposed new state inspections have annual inspections would be state certified independent third spections may be conducted by ‘Cautious’ support unnecessary. a “significant hardship and logisti- party,” Advocates said in its com- state personnel at state-authorized The American Bus Association Academy and its affiliates op- cal challenge” for companies oper- ments to FMCSA. commercial facilities, or by the offered “cautious” support of es- erate more than 1,000 motorcoach- ating in several states “Allowing entities to perform a motor carrier under the auspices of tablishing a requirement for an an- es from facilities in nine states, “To require interstate operating self-inspection of a vehicle would a state-authorized self-inspection nual safety inspection program for some of which have mandated in- equipment be removed from service allow for potential for fraud which program. each of the 50 states, but ques- spection programs and others that and returned to any specific state for will call into question the credibil- The association said that in fis- tioned how the initiative would be have no state requirement but rec- inspection will restrict interstate ity of the program. cal 2015, state and federal officials funded. ognize the federal annual inspec- commerce and severely restrict the “Establishing a robust and cred- conducted 121,922 inspections of “ABA is supportive of an ini- tion process. ability of interstate carriers that op- ible program requiring all states to passenger carrier vehicles, includ- tiative by FMCSA to establish erate facilities in numerous states to annually inspect passenger carrying ing 31,399 motorcoaches. mandatory state inspection pro- Self-inspection works effectively and efficiently utilize CMVs will not only ensure that all “UMA believes the current re- grams,” the association said. “It is the opinion of Academy (their) resources to best serve the of these vehicles no matter where quirement of an annual inspection “However, we believe that in that the FMCSA annual self-in- public,” Academy said. they are operated are in proper con- in combination with current feder- order for this initiative to be suc- spection program, already in place, “Whatever decision is ulti- dition, it will provide needed guid- al and state inspection activity is cessful, there are key fundamental is an effective process to document mately made, we feel that the cur- ance and certainty to the industry in abundantly sufficient and opposes elements necessary to ensure suc- the inspection and condition of a rent FMCSA annual self-inspec- contrast to the current patchwork of any further burdensome require- cess, namely: state programs must bus/motorcoach at any given time,” tion program should be preserved state requirements.” ments of states or the industry,” the cover all passenger carrying vehi- the company said in its comments. for those carriers that have consis- To read the proposed rule, go association said. cles classified as commercial The company said that based on tently demonstrated an effective to: https://www.federalregister. UMA also said there have been motor vehicles; state inspection roadside data and compliance re- internal preventative maintenance gov/articles/2016/04/27/2016- suggestions that state enforcement and training standards must be view results, “we see no correlation and inspection program, roadside 09846/state-inspection-programs- agencies areFINAL_Safety_Seminar_B&MCN.pdf experiencing difficul- uniform; 1 6/24/16 states 4:14 must PM recognize and to reduced defects when buses are safety data and compliance review for-passenger-carrier-vehicles.

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Essential Topics • Critical Information • Invaluable Knowledge Bus & Motorcoach News INDUSTRY NEWS August 1, 2016 15

Interstate Highway System turnsB:9.5” 60, needs a facelift WASHINGTON — The Inter- condition of the national highway ture D+ and estimates $3.6 trillionT:7.5” Those who oppose increasing come to a reckoning with tolling.” state Highway System turned 60 system. is needed by 2020. S:7”fuel taxes and those opposed to Sen. Barbara Boxer, D-Calif., years old this summer, and some “The challenge of age is not Funding for the interstate sys- widespread tolling know that there questioned whether fuel-tax hikes of it is showing its age. every piece is 60 years old, but tem relies heavily on the 24.4 is not enough funding to cover the are going to fix the problem. The system, launched June 29, parts are aging,” said Brian Pal- cents-per-gallon federal diesel tax costs of the interstate system, said “We need to look at other ways 1956, now includes 46,876 miles lasch of the American Society of and the 18.4 cents-per-gallon fed- Jeff Davis, a senior fellow at the to figure out how to pay for the of pavement throughout the nation, Civil Engineers, whose organiza- eral gasoline tax, which have not Eno Center for Transportation. roads, such as vehicle miles trav- according to the Federal Highway tion graded America’s infrastruc- been raised since 1993. “Eventually, they will have to eled,” Boxer said. Administration. “The interstate system itself represents one of the greatest inno- vations in the nation’s history,” FHWA Administrator Gregory Nadeau said. “A network of uni- formly built roads connecting communities to each other makes us more than a nation — it makes our states united.” Plans for the nationwide road system were hatched in the late 1930s under President Franklin D. Roosevelt, with an initial vision of 26,700 miles of toll road. Fast for- ward to President Dwight Eisen- hower, who signed the Federal-Aid Highway Act in 1956 and autho- rized $25 billion for the initial con- struction of 41,000 miles of inter- state highways to be laid from 1957 to 1969. “He had a good idea then, that had great ramifications in terms of our economy and our defense,” Sen. Jim Inhofe, R-Okla., said of Eisenhower. “It has been a huge Threee heights.s Three lengtgthsh . ThT ree enngig nene choiccese . Transisit hah s ththe mmosts vehehiciclele success, and I am glad I am a part configuru attionsn in its clc asss..* NoN t tot menention besst--in-clal ssss carrgogo heieighght inn thehe higgh-h-ror ofof of it,” said Inhofe, chairman of the Trana sisit.*** No wow ndderer it’t s AmAmererici a’a s beestst-s-selellilingng fulu l-l-sisizeze coommmemercrciaial vavan.n.† Senate Environment and Public Works Committee, which oversees B:11.5” T:10.5” surface transportation policy. S:9.5” “If we hadn’t concentrated on THTHE 20201616 FORORD TRTRAANNSISIT doing what Eisenhower had started /// FORD.COM a long time ago, we would have seri- ous problems in national defense.” The first section of the inter- state system was I-70, which runs from Maryland to Utah. Almost all of the interstate system was com- pleted by 1980, with the rest was added under recent legislation. Last year’s Fixing America’s Surface Transportation Act en- sures that more work will contin- ue. Signed by President Obama on Dec. 4, the FAST Act authorizes $305 billion for work on roads, bridges and railroads. There are 58,495 structurally deficient bridges, according to the 2015 National Bridge Inventory. “If Americans are to continue to enjoy their current level of mo- bility on interstate highways and bridges, the nation will need to make a commitment to providing the public with a 21st-century highway system,” concludes a re- port by non-profit transportation Medium roof shown. Available features and aftermarket equipment shown. group TRIP. *Class is Full-Size Vans based on Ford segmentation. (Based on body type, body length, wheelbase Meanwhile, FHWA’s budget and roof height.) **Class is Full-Size Van based on Ford segmentation. † Based on total U.S.reported request for fiscal 2016 was $51.3 sales (2015 CY). billion to maintain and improve the

240 DENSITY

2016 Transit and Med Duty print File: FCOM00448_FMTN0116000A_CPg_R03_240D.indd Date: 4-12-2016 2:58 PM Rev: 3 Galley: 1 2016 Transit Van page 4/c Inks: Cyan, Magenta, Yellow, Black Client: Ford Division Engraver: None Fonts: TT Slug OTF (Bold), ITC Franklin Gothic Std Links: Park_QC Steps.eps (100%), Bullet.eps (100%), Transit_ResCons_ Ad #: FMTN0116000A Doc Scale: 100% (Medium, Book, Demi Condensed), Franklin Gothic Std 34FrontPass_V1_0105_Page_PPK_240D.psd (CMYK; 300 ppi; 100%), Agency #: 1135466 Output Size: 100% (Condensed) FTRK_15BFT2in_4CHt_R02_PPK_240D.psd (CMYK; 300 ppi; 100%), com Park #: FCOM-00448 Media/Type: Magazine vehicle_Transit_master_sd_PPK_240D.psd (CMYK; 300 ppi; 100%) Live: 7” x 9.5” Trim: 7.5” x 10.5” Bleed: 9.5” x 11.5” Note: This document utilizes the Pantone + color library

Park ADD: S. Duerr Creative Director: B. Hambly Direct Mail Ops: Legal: N. Arton Park Designer: Art Director: Art Producer: J. Grosfield Product Info: J. Pierce Park PM: S. Watz Writer: Account Super: M. McAvoy Copy Editor: Park Prod Artist: M. Kozikowski Print Producer: C. Smith Account Exec: K. Lyons Traffic: S. Mazzola 16 August 1, 2016 INDUSTRY NEWS Bus & Motorcoach News Outsource “There is prejudice that the pri- that it is in the public interest to re- curement policy during the George lems assuming we know the an- CONTINUED FROM PAGE 1 vate sector can always do it better. quire production or performance W. Bush administration. swers to the questions before we That is not necessarily true,” he by government employees, or that “Forty years of experience and start looking at the evidence.” services, Kettl said. said. “We need to not approach there is no private source capable research conclusively prove signifi- McTigue agreed. “It is not just “Reliance on contractors, how- this as a theological issue. We of providing the good or service.” cant cost savings can be achieved about price, it is about how we can ever, is no panacea,” he added. should look at it case-by-case on In his remarks during the hear- through public-private competi- do it better,” he said. “Sometimes “Waste, fraud, abuse and misman- merit. I am always going to look ing, Duncan acknowledged that tion,” she said. “The Freedom from it means the best bid is the one you agement are not the province just askance at anything that smacks of Republicans “generally do favor Government Competition Act have to turn down.” of government. They are the prod- theology on this subject.” the private sector.” would reverse the eight-year uct of organizations that fail to But, he added, “This bill is not drought — the eight years that not a Industry wants a chance manage themselves and their sup- Legislation proposed about contracting to the private single commercial activity per- Government competition is a ply chain well.” Rep. John Duncan Jr., R-Tenn., sector for the sake of contracting formed by the federal government hot topic in the bus and motor- Maurice P. McTigue, vice pres- a member of the subcommittee, is things out. This bill is about get- has faced an iota of scrutiny.” coach industry, said Ken Presley, ident for outreach of the Mercatus sponsoring the Freedom from ting the best service at the lowest Before the government in- vice president of industry relations Center at George Mason Universi- Government Competition Act of cost for taxpayers. This bill is not creases its reliance on outsourced and chief operating officer for the ty, testified about the economics of 2015 in the current session of an attack on federal employees. It goods and services it must im- United Motorcoach Association. government outsourcing. Congress. has been hard enough for small prove its ability to weigh alterna- “Every day across the country “The economic literature here is The bill would require govern- businesses to survive over the past tives, Kettl testified. “The basic hundreds of motorcoach company clear — competition improves pric- ment departments to procure many years and they should not problem is we just don’t have an owners watch motorcoaches, pur- es, captures the best practices, en- goods and services from private have to compete against their own agreed-upon methodology for chased partially with their own courages innovation, improves de- sources unless law requires the government to survive.” making the cost comparisons. federal tax dollars and operated by livery and increases customer goods or services to be produced The federal government has “If the basic point is that who- local transit authorities, accommo- satisfaction,” he said. “Best, howev- by the agency or if government not considered the advantages of ever can do the job best and cheap- date suburban commuters, know- er, doesn’t necessarily mean the provision “is necessary for the na- outsourcing for the past eight est ought to get the work, we need ing they could provide the service cheapest. Any requirement to accept tional defense or homeland securi- years, testified Angela B. Styles, to have some consensus on what under contract to the community the lowest bid in a competition can ty…that the good or service is so chair of Crowell & Moring LLP that looks like. We have gotten safely and competitively — if they be considered counterproductive.” inherently governmental in nature and administrator for federal pro- ourselves into the biggest prob- only had the chance,” Presley said. McTigue also cautioned against “In some areas we are increas- the advocacy of outsourcing as a ingly seeing communities turn to the means to achieve political goals. W. Va. to receive flood-relief funds private sector to help government “If the policy is to privatize WASHINGTON — Flood-rav- In what some meteorologists and Virginia to the northern one budgets. Budgets at every level con- jobs, then have the courage and in- aged West Virginia will receive called a “once in a thousand years” with Pennsylvania. tinue to tighten and new sources of tegrity to call it privatization. $5.7 million in emergency relief storm, roads and bridges in 44 of The $5.7 million is the first in- tax revenue barely keep up. Don’t link it to the introduction of funds for road repair from the Fed- West Virginia’s 56 counties were stallment of what the FHWA esti- “The taxpayer is tapped out and competitive outsourcing.” eral Highway Administration, deluged. The affected area spans mates will be more than $20 mil- governments will need to deliver Rep. Gerald Connolly, D-Va., Transportation Secretary Anthony more than 200 miles from the lion in such funds for West services like commuter transit more 2nd_expo_ad.pdf 1 6/24/16 4:54 PM agreed on that point. Foxx announced. southern borders with Kentucky Virginia. effectively, or perhaps not at all.”

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K Bus & Motorcoach News INDUSTRY NEWS August 1, 2016 17 Peoria Charter Coach: 75 years and four generations PEORIA, Ill. — Seventy-five years ago, In 1978, after working in almost every Walter Winkler had an idea to improve area of the company, including driver, tech- transportation for his friends, family and nician, cleaner and office staff, Walter Win- co-workers. kler stepped down and his sons eventually Some say it came to him in a dream and became partners and second generation some say that his background as a farmer in owners of the business. central Illinois gave him a knack for fixing Stan focused on the office work and any issue that he found. Roger became a hands-on expert in the me- Either way, Winkler saw an opportunity chanical department. To this day, techni- to improve the livelihood of people in the cians still speak of the “magic touch” Roger Lacon-Spring Bay area. had with the buses and his ability to perform During that time, the United States was any repair. battling in World War II. About 40 miles from Winkler’s hometown, Caterpillar Inc. New name and location of Peoria was manufacturing many of the The company soon outgrew the small military machines to help win the war. metal garage in Lacon and the facilities were War rationing for gas began soon after moved to Peoria. The name of the company the U.S. entered the war and everyone began was changed to Peoria Charter Coach riding together and pooling their gas rations Company. to travel to the Caterpillar factories. Roger’s wife, Velda, was instrumental in Winkler envisioned a way to have many the company’s expansion. Her desire to put more than just three or four people ride to- customers first resulted in innovative mar- gether — by bus — which would provide a keting that was not even taught at universi- great service to his community. ties until years later. The only question he had was how to In the 1950s the company added school raise the money for such an expensive piece bus service, and Velda began driving the of equipment. He approached his sister, who buses, becoming the favorite driver of many owned a local egg farm, and asked her for a children. small loan to get started. Velda and Roger also began offering Knowing his brother’s work ethic, she their friends day trips to go see a play or a pulled together as much money as she could, ball game, and the excursions became so but he was still short of the amount he need- popular the company formed a new depart- ed to buy his first bus. ment called Peoria Charter Travel. Winkler decided to take a leap of faith The department grew so large that in and sold his family car to cover the outstand- 1998 the annual “Winkler Trip” required the ing funds and in 1941, the Spring Bay Lacon company’s entire fleet of 25 buses. Bus Company officially began operations. Peoria Charter went through some tough times in the 1980s when Caterpillar, one of 75 years and counting its biggest customers, cut 40 percent of its Today, 75 years later, what is now Peoria employees. With the Peoria bus rental mar- Charter Coach has 64 luxury tour buses and ket demand dwindling from a poor econo- has evolved to be one of the largest charter my, Peoria Charter was thought to only have bus companies in Illinois. It carries more a couple years left to exist. than 500,000 passengers over 4 million But Roger and Stan went back to their miles a year. roots and had an idea similar to the one their “We care about all our people,” Bill father acted on when he started the compa- Winkler, Walter’s grandson and a third-gen- ny. With Peoria being the largest downstate Peoria Charter Coach, which turned 75 this year, got its start when Walter Winkler saw the eration member of the company, said in ex- city in Illinois not connected to rail transpor- need to run buses to the Caterpillar factories in Peoria, Ill. World War II gas rationing meant many workers were unable to drive to the factories. Peoria Charter is now one of the largest plaining Peoria Charter’s long-term tation, they figured a daily shuttle bus be- charter bus companies in Illinois. success. tween Peoria and Chicago would fulfill a “Their work ethic is high and in turn community need. ing weekend shuttle services to the Chicago versity, two of the largest schools in the they treat our customers accordingly. And Government deregulation of the industry area for students. state. we don’t just hire anyone. We believe in made it a viable option, and Roger and Stan In 1999, when Peoria Charter had 100 Today, 70 percent of the company’s busi- seeking those who will treat others with the began a daily line run that would continue employees and 48 motorcoaches, Roger and ness is through charters, with the rest made highest respect.” for another 35 years. Velda sold the majority rights of the com- up of scheduled line runs. Not long after launching the company, The company now operates four daily pany to Bill and his wife, Cindy. Bill Winkler reiterated that the compa- Winkler saw another opportunity to serve buses from Peoria and Bloomington Normal The company saw record growth and ny’s success stems from the same work cul- not just the community, but also his country to Chicago and eight daily buses from profits until the Great Recession hit in 2008, ture created by his grandfather 75 years ago: by transporting U.S. defense workers and Champaign to Chicago with no federal or which was a difficult time for all bus compa- Work hard, put the needs of the community military personnel. He was beginning to state funding. nies. However, through wise financial plan- first, and profits will follow. learn that putting the needs of the commu- ning and conservative decision-making, the And, he added, every employee is treated nity first would result in profitability. Third generation company was able to push through and man- with respect and as “part of the Winkler Around the time that World War II was In 1990, Stan Winkler decided to retire aged to grow, opening a new facility in family.” They respond by treating customers coming to an end, Winkler’s wife, Clarice, from the company and sold his share to Champaign-Urbana, home of the University with equal respect. gave birth to two sons, Roger and Stan. Roger and Velda. At the time, their son Bill of Illinois. “We can always train drivers — that’s The brothers were involved in the bus was entering the working world with a CPA In 2014, Bill and Cindy’s son, Jake, why we have a full-time safety director — operation from day one, heading home from degree and he agreed to join the family busi- joined the company as the fourth generation but we can’t train people’s attitudes,” Bill school to clean and service the buses. By the ness as company comptroller. of the family. His expertise is in social Winkler said. time they graduated high school, they want- The Winklers soon expanded their mar- media marketing and outside sales. Full “Our customers don’t always know who ed nothing more than to join their father and ket share of local university transportation, multi-year contracts were locked up with the I am, but they definitely know our profes- turn the company into a family business. providing buses for sports teams and offer- University of Illinois and Illinois State Uni- sional drivers.” 18 August 1, 2016 INDUSTRY NEWS Bus & Motorcoach News ABC’s Florida location celebrating 40th anniversary WINTER GARDEN, Fla. — container built with a lean-to roof.” shipments are sorted and deployed tion of ABC’s Nationwide Cus­ customer support center, make the Originally opened as a small ser- Now, 40 years later, ABC’s from the Florida location to re- tomerCare Center, which offers facility the busiest of ABC’s loca- vice facility on the edge of an or- Winter Garden facility boasts a plenish ABC parts and service comprehensive warranty support tions nationwide. ange grove, the Florida location of modern sales and service opera- centers around the country. for all OEM Van Hool models and “Four decades later, we are ABC Companies is celebrating its tion that spans 56,000 square feet Winter Garden serves as the re- has three in-house engineers who proud to celebrate Clancy’s vision 40th year in operation. located on 30 acres. The location ceiving center for all OEM Van work in conjunction with ABC and his business legacy,” said Tim The original five-acre facility features a 10,000-square-foot col- Hool equipment. As new coaches sales and field personnel to sup- Wayland, ABC’s president and chief in Winter Garden near Orlando, lision facility, a 10,000-square- arrive at the port in New Bruns- port customers. commercial officer. “His innate started as a hobby during ABC foot paint and graphics operation wick, Ga., ABC’s PDI Group (pre- The facility is home to the sec- ability to recognize a market need founder Clancy Cornell’s “first re- with three paint booths, a delivery and inspection) is respon- ond and third generations of Cor- and fill that demand is a testimony tirement,” became the incubator 3,500-square-foot showroom, and sible for all aspects of approving, nells, who continue to steer the to his business acumen. His exem- for the company’s now nationwide 23 service bays. processing and handling all new family-run business. The strategic plary leadership still motivates the repair and service network. It also includes two individual coach deliveries prior to turning location, combined with a full-ser- ABC staff and management team “Our dad quickly recognized parts warehouses that span 15,000 them over to customers. vice offering of sales, service, today and is the driving force be- that the area’s booming tourism in- square feet and provide on-site ac- Winter Garden also is the loca- parts, warranty support and live hind our ongoing market success.” dustry and its impact on tour and cess to an extensive inventory of charter operations was driving replacement parts for popular Crash records crashes from a carrier’s record not agree with an industry sugges- strong demand for quality equip- equipment makes and models. CONTINUED FROM PAGE 1 would be generated by a request tion that the agency use police re- ment and service,” said Dane Cor- This enables ABC Service to for data review accompanied by ports as the standard of who was nell, chairman and CEO of ABC. provide quick turnaround on rou- ­convicted of driving under the in- “full documentation” of a crash, responsible for a crash. “When he first opened shop in tine parts replacement and service fluence, driving in the wrong di- the agency said. “Previous research by the Winter Garden we were all hands- requests. The parts facility also rection, striking a CMV in the rear “This is an issue that the agen- agency showed that police acci- on with servicing the buses. We serves as the distribution center for or striking a CMV while it was le- cy has worked on for quite some dent reports do not generally pro- would literally drive the buses un- weekly container shipments of Van gally stopped. time,” said Joe DeLorenzo, direc- vide a clear determination as the derneath a makeshift garage my Hool parts. FMCSA also is considering re- tor of FMCSA’s Office of Enforce- preventability of a crash,” the dad constructed from a shipping As they arrive from overseas, moving crashes in which a motor ment and Compliance. agency said in its written carrier struck an animal, a motorist The agency said it would ac- announcement. that struck a CMV was speeding cept comments on the proposal for “Relying on a conviction relat- FOR SALE – 4 MCI E4500 COACHES or attempting to commit suicide, 60 days after publication in the ed to one of the crash scenarios de- and crashes caused by infrastruc- Federal Register, which was ex- scribed ensures the agency will ture failure. pected in mid-July. have a clear record on which to The process of removing DeLorenzo said FMCSA did base its determination.”

– vice chair YORK, Pa. — Steve Gardner People • Brian Kurtz, Elite Coach – has joined American Cooling 2 – 2002 & 2 – 2004 models, 58 passenger, Carrier HVAC, Restroom, Detroit Diesel treasurer Technology as national accounts/ Series 60 engine w/Jake, Allison B500 trans, REI 6-monitor video, very good interiors, HARRISBURG, Pa. — John • David Benedict, David Thomas OEM account manager. paint & body, aluminum wheels, mileage between 600,000 – 800,000. W. Bailey, president of Bailey Trailways – secretary Gardner is Florida buses...NO CORROSION! Priced to sell: 2002’s – $94,900, 2004’s – $134,900 Coach and vice president of Travel Contact Brian Scott for info at (727) 545-2088 or [email protected] • Jonathan Berzas, Fullington based in Arkansas Time, is the new chairman of the Trailways – member assigned to the Pennsylvania Bus Association. • Sandy Borowsky, Starr Tours Southeast territory Bailey, who was elected to the – member and will focus on post during the association’s annual • Amy Brooks, Susquehanna new accounts as meeting this summer, is the second Trailways – member well as national generation in his family’s travel • Bob Chepalonis, Martz Trail- and OEM and transportation businesses. ways – member accounts. Steve Gardner Besides serving on the associa- • Nelson Floyd, Perkiomen Tours He joined ACT with 28 years NEW tion’s board for several years, he is – member of sales experience, most recently LOWER past president of various organiza- • Jim JeBran, Trans Bridge at Navistar International as a na- PRICE! tions, including the Delaware Val- Lines – member tional accounts manager. He has ley Chapter of the American Soci- • Jay Newswanger, R & J an MBA from Illinois Benedictine ety of Travel Agents, the Hanover Transportation – member University and a bachelor’s from Rotary Club, Lafayette Club, Unit- • David Okraska, Bieber Trans- Northern Montana University with ed Cerebral Palsy of South Central portation – member a minor in diesel engines. Pennsylvania, and the Spring • Jim Salinger, Unique Limou- “With his extensive technical Grove Scholarship Foundation. sine – member knowledge and bus background, Excellent Condition…none nicer! Cummins • B500 • 58 pax w/lav Bailey is a current member of • Allison Sherman, Klein Trans- coupled with his industry knowl- Michelin Tires • Alcoa Rims • CD/DVD • Lots more options the board of directors of the York portation – member edge and experience, ACT is very Lower Price: $369k • Partial Financing O.A.C. County Community Foundation. • Gary Shimshock, Budget fortunate to have Steve join ACT Trade for MCI D or DL3 Considered • More available The Pennsylvania Bus Associ- Transportation – member to expand our HVAC application Call or Email today for ation also elected the following of- • Audrey Bialis, Hershey Harris- and customer support capabili- more photos and info! ficers and board members: burg Regional Visitors ties,” said ACT President Dave 808.832.6261 • Tammy Wolf-Baker, Wolf’s Bus Bureau – associate member Oberdorff. [email protected] 17-21 NCMA-VMA-MCASC City, N.J. www.namocoaches.org. Calendar Regional Meeting, Embassy September 2016 Suites Charlotte-Concord Golf August 2016 REPOS FOR SALE Resort & Spa, Concord, N.C. Info: 11-14 American Public •“Bank Repos” across the US • Priced to Sell 8-9 Midwest Bus Association www.scmotorcoach.org. Transportation Assoc. Annual • Variety of Makes & Models Annual Convention and Rodeo, Meeting, JW Marriott Los Angeles 18-21 National Association of 1-877-737-2221 x30716 Holiday Inn & Suites, Carol L.A. Live, Los Angeles, Calif.  Stream, Ill. Info: www.mbmca. Motorcoach Operators Annual Info: www.apta.com. www.Bus-Buys.com — View “Repo Inventory” org/convention. Meeting, Resorts Casino, Atlantic OUR REPUTATION FOR SERVICE IS FUELED BY EXPERIENCE.

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