September 1, 2003

THE NEWS RESOURCE FOR THE AND MOTORCOACH INDUSTRY BLACKOUT: save the day and night Where were the buses when the Southeast Canada just before the strictly load and go for us,” reported and we sold tickets right on the passengers go to about 120 different lights went out? evening rush hour on Aug. 14. Paul Provost, vice president of line,” he added. destinations and it was very diffi- On the road, of course. And They helped rescue millions Adirondack, Pine Hill and New Shortline/ USA in cult putting them on the right many stayed there and stayed the who were caught in City, York Trailways in Kingston, N.Y. Mahwah, N.J., which carries thou- buses,” explained George Grieve, course during the largest blackout , , Toronto and He said the company, which sands of commuters in and out of president and manager. in North American history. many other major cities as subways makes daily runs from every day, worked The Green Bus Line, which Motorcoach and and trains came to a halt and air to Upstate New York and Canada, throughout the night, picking up operates transit service in New operators were up to the challenge conditioners, telephones and traffic pressed all available buses and driv- regulars and others from a tempo- York City, juggled its operations so when the blackout struck a big signals quit. ers into action to help meet the rary staging area at the it could get as many buses as possi- chunk of the upper Midwest and “People were really anxious to unprecedented demand. “We took Meadowlands in . “It ble on its busy Manhattan line to

Northeast and get out of New York City, so it was anybody who was heading north, was really challenging because our CONTINUED ON PAGE 13 FMCSA issues rules to improve safety of big vans WASHINGTON —It took nearly 30 years but the federal government finally issued rules that bring commercially operated 15-passenger vans under Federal Motor Carrier Safety Regulations. The new rules become effective in 10 days and

R affected motor carriers must be in compliance no E K

R later than Nov. 10. A P

N Essentially, the rules mean operators of com- A D mercial 15-passenger vans must comply with the Y B

O same rules that operators of 55-passenger motor- T O

H coaches. The only exceptions are the CDL P won three Transportation Security Administration grants totaling more than $9 million. requirement and controlled-substance and alco- hol regulations. The rules apply to all van operators who are Operators capture security grants directly compensated for their services and who operate their vehicles beyond a 75-air-mile radius WASHINGTON — Motorcoach That’s because the grants awarded to “We cannot afford to ignore any aspect from where the driver normally reports for work. operators in 24 states, plus the industry’s the United Motorcoach Association and of our nation’s travel infrastructure,” says The Federal Motor Carrier Safety Administra- two leading associations, are getting $20 the American Bus Association will be TSA Administrator James M. Loy. “We tion, which developed the rules and is in charge of million in federal grants to improve indus- used to assess the industry’s overall securi- have made significant investments in avi- enforcing them, said it revised its distance thresh- try security. ty needs, come up with recommendations ation and port security, and now we are old to focus on the distance the driver operates The grants are coming from the U.S. for meeting those needs, and develop investing in security for those who travel the vehilcle, as opposed to the distance the pas- Department of Homeland Security’s training programs for responding to terror- by bus,” adds Admiral Loy. sengers are transported. Transportation Security Administration. ist threats or criminal attacks aimed at A total of 57 motorcoach companies, The new rule implements section 212 of the Although 92 percent of the grant money over-the-road buses. (See related story on plus New Jersey Transit, UMA and ABA Motor Carrier Safety Improvement Act of 1999, is going to individual operators, the entire Page 7.) were awarded bus security grants that which specifically required the FMCSA to make motorcoach industry in the U.S. likely TSA says the security of millions of range in size from $9,900 to more than $5 the regulations applicable to commercial vans will be touched in one way or another by Americans who travel long distance by million. As might be expected, many of operated along the border with Mexico. Such the homeland security program. bus will be improved by the grants. CONTINUED ON PAGE 6 CONTINUED ON PAGE 9

TheThe Drive Drunk, Go To … And the Winners... DOCKETDOCKET Feds force more states to adopt UMA and ABA win big bus lower blood-alcohol standard. security grants. Page 7 The Moving Money Pit Page 4 The annual Amtrak funding Not so Fast debate promises to be more live- More Driver Training Hopes appear dim for quick ly than usual. A Bush Inexperienced drivers will need approval of new highway and Administration proposal faces additional training under a pro- public transportation legisla- tough opposition. Page 4 posed new rule. Page 5 tion. Page 8 22- to 27-Passenger Heavy-Duty Midsize Buses • Cummins 205 HP • Large Forward Visibility • Allison 2400 • Advanced Design • ADA Availability • Ready for Immediate Delivery • 10 Year/350,000 Altoona Tested 5-Year or 100,000 Mile Warranty*

Reg. $109,507 Reg. $109,696 Reg. $110,972 Reg. $129,010 SALE SALE SALE SALE $98,507 $98,696 $99,995 $109,990 13108 13112 13109 13111 – 22 PAX – 27 PAX – 25 PAX – 27 PAX – Freedman Mid-Hi Rigid – Amaya Rigid Seats – Amaya Rigid Seats – Freedman Recliner Seats Perimeter Seats – KR4 A/C – Rear Luggage w/fixed wall – Carrier 112,000 A/C – Interior Luggage Rack – – Heater 65,000 BTU – Dropped Floor Luggage – 220,000 BTU heat 60X24X58 – KR4 A/C – Cummins 3 year/150,000 – Cummins 3 year/150,000 – Heater 65,000 BTU mile extended coverage mile extended coverage – Tambour Door – Ricon Lift w/2 Q-Straint – KR4 A/C tie-downs – Heater 65,000 BTU – Auxiliary 12 volt power – Grab rails – Grab Rails – Fog lamps Call 1-800-222-2871 ext. 7250 – Touch tape w/sign Take Advantage of this One Time Sale! (Offer expires 9/31/03)

WWW.abc-companies.com *Structural Warranty BUS & MOTORCOACH NEWS — September 1, 2003 — 3 OPERATOR NEWS New Orleans coach operation becomes center of family fight NEW ORLEANS —Mention the son of Reuther’s brother-in-law The community talk became so Hospitality Enterprises to the home and former business partner, Jim pronounced that New Orleans’ folks here in New Orleans and Smith Sr. major daily, the Times-Picayune, ran they’re likely to respond with: big The two have been going at it in a 3,200-word article —substantial business, big-time family and out of federal and state courts by newspaper standards —about feud. ever since the younger Smith took the family. The Times-Picayune The company not only has a over as president of Hospitality article was more than three times major stake in local tourism with a Enterprises four years ago and oust- the length of this one. stable of motorcoaches, shuttle ed Reuther as chairman and chief The basis of the quarrel is what buses, riverboats, swamp boats, executive two years later. some observers say was the loose hotels and magazines, but it’s also Since then, the feud has become business style practiced by Reuther. Reuther began the business He later hooked up with his sis- the center of a family fight that has public fodder, with local tourism When he was running Hospitality with a RV park in the 1960s and ter’s husband, Jim Smith Sr., and become the talk of the town. officials and company employees Enterprises he reportedly wasn’t big expanded into the motorcoach the business grew to include three At the heart of the battle is weighing in with concerns and on structure, didn’t care much for business—now called New Orleans major downtown hotels, a Warren Reuther Jr., who created worries about the business that has the grind of day-to-day operations, Tours—when park campers wanted Mississippi River excursion busi- the business more than 40 years long been a powerhouse in the and controls were something you to get around the city and see the ness and swamp tours. The partners ago, and his nephew, Jim Smith Jr., city’s vital tourism industry. found in airplane cockpits. sights. CONTINUED ON PAGE 12

On-Highway Diesel Fuel Prices Prices of diesel fuel Cents per Gallon California Bus Assn. 185

move sharply higher 170 Diesel fuel prices all across the U.S. have taken appeals FTA ruling a nasty turn in recent weeks but especially on the 155

West Coast. 140 Y G R E

The average U.S. price of diesel fuel is more than N on service takeover E

125 F 6 cents a gallon higher than it was a month ago and O . . T P

nearly 17 cents a gallon higher than it was a year E SACRAMENTO, Calif. —The $1.98 million, virtually identical to 110 D . S ago. The average price near the end of August was . California Bus Association has the contract previously held by Sep Dec Mar Jun Sep U : E

almost $1.50 a gallon. Last year at this time, the C quickly appealed a decision by a Amador Stage Lines. However, R

2001-02 2002-03 U O

price was just over $1.33 a gallon. S regional office of the Federal since Regional Transit took over On the West Coast, the picture is even worse. Transit Administration that the contract, most of the service In California, the average price of diesel is more allowed Sacramento Regional has been reduced by almost half. than $1.74 a gallon, which is up 10 cents a gallon in Diesel Fuel Prices Transit Authority to unilaterally The basis of the dispute is CBA’s the past month and nearly a quarter a gallon higher Cents per Gallon Change from take over a shuttle service operated contention that Regional Transit than it was a year ago. It’s also 24 cents a gallon Price Week Ago Year Ago by Amador Stage Lines of violated several federal transit laws

higher than the U.S. average. ® Sacramento. and rules when it instituted a serv- U.S. 149.8 0.6 ® 16.5 Up and down the West Coast, the average price The CBA says the decision by ice in Sacramento last April called ® East Coast 148.4 0.2 ® 15.5 of diesel fuel is $1.69 a gallon, which is almost 20 the FTA office in San Francisco the Downtown Circulator. The cir- ® cents a gallon higher than the average U.S. price. New England 158.2 1.1 ® 16.6 sets a precedent that—if left to culator replaced a shuttle service ® Gasoline prices are also soaring. The average Central Atlantic 157.4® 0.1 16.0 stand—will allow public transit that had been provided by Amador retail price for regular gasoline has risen six times in systems to freely violate federal Stage Lines and other private ® Lower Atlantic 143.6 0.2® 15.1 the past seven weeks, reaching 162.7 cents per gal- statutes that call for private enter- Sacramento bus companies for 25

Midwest 147.4 0.0® 15.8 lon, which is 23.5 cents per gallon higher than a prise participation in public years. ® year ago. Gasoline prices have risen 14 cents a gal- Gulf Coast 144.8 0.1 ® 15.8 transportation. Amador held a competitive-bid ® lon on average nationally since June 30. Rocky Mountain 152.2 1.7 ® 16.4 In no-holds-barred language, contract with the State of On the West Coast, there was an enormous one- the CBA appeal contends that at California to provide the service, ® West Coast 169.0 4.2 ® 23.1 week gasoline price increase of 17.3 cents per every opportunity Sacramento which was for shuttling state work- ® California 174.1 ® 2.6 23.2 gallon, sending gas to 188.7 cents per gallon. Regional Transit went out of its ers back and forth from their offices The sharp price increases are the result of a In the U.S., the mid-August blackout in the way to “thwart all statutory man- in the capital complex to parking whole series of factors. Midwest and Northeast caused a momentary jolt to dates and contract provisions” of its lots across town. No. 1, the world and domestic petroleum mar- the market as many refineries were forced to shut- master agreement with the Federal Regional Transit coveted the kets were hit by a number of jolts in August that, down. In California, refinery problems that have Transit Administration. contract because it had plans to combined with strengthening demand, put pressure restricted supplies for more than a month contin- Twice in the eight-page appeal, buy a bunch of new CNG buses on prices. ued. the CBA outright challenges with more than $2.4 million in fed- World crude oil prices also have moved higher Elsewhere, diesel fuel prices are rising in every Regional Transit to a head-to-head, eral tax money and use them to because of below-normal inventories and the con- corner of the U.S. public-private competition over operate the shuttle service. The tinuing violence in Iraq, including the oil pipeline The Lower Atlantic states have the cheapest the contested bus service, saying it CBA contends RT made its plans attack earlier this month and the bomb explosions diesel fuel prices at 1.44 a gallon but even that is up wants “to ensure a return to cost- in secret, failing to tell private in Baghdad. a nickel a gallon from a month ago. effective service.” operators in Sacramento it intend- Particularly harmful to the U.S. has been a Diesel in New England, the Central Atlantic There is little doubt who would ed to acquire the buses and use renewed oil production fall-off in Venezuela. The states and the Rocky Mountains remain above the win such a competition. them for the state shuttle. A tidy U.S. gets 14 percent of its oil from Venezuela. U.S. average. The fixed-price contract that deal but certainly a clear violation Regional Transit usurped was for CONTINUED ON PAGE 10

POSTMASTER: Return postage guaranteed for return of undeliverable copies of Bus&MotorcoachNEWS. Return to 717 W. Pierson, #260, Phoenix, AZ 85013 4 – September 1, 2003 — BUS & MOTORCOACH NEWS TheTThehe DOCKETDDOCKETOCKET More states adopt lower blood-alcohol limit WASHINGTON — Ten more enough to convince all but six Forty-four states, plus the Safety Administration put tough The rules published in the states have succumbed to pressure states to toe the line. District of Columbia and Puerto new rules into effect a year ago Federal Register allow the with- from the federal government to The holdouts are Colorado, Rico, now have 0.08 percent that can disqualify a bus or truck holding of 2 percent of the federal adopt DWI laws with a blood- Delaware, Minnesota, New Jersey, blood-alcohol laws and all of them driver from operating a commer- highway dollars that would nor- alcohol limit of 0.08 percent. and West . have gone into effect except those cial vehicle if he or she has been mally go to the states, starting in The states acted this spring and These states have failed, so far, to in Louisiana, Michigan, New convicted of committing alcohol- the fiscal year that begins Oct. 1. summer after the National enact what the federal bureaucrats York, Wisconsin and, of course, or drug-related offenses while driv- The percentage increases to 4 per- Highway Traffic Safety Admini- call “conforming 0.08 blood-alco- North Dakota. The Louisiana, ing a personal vehicle. cent next year, 6 percent in 2006, stration and the Federal Highway hol laws.” Michigan and Wisconsin laws go Late last month, the National and 8 percent in succeeding years. Administration announced last One state, which adopted the into effect Sept. 30, and the New Highway Traffic Safety Admini- A copy of the rules can be February they planned to start 0.08 standard this spring, has put York requirement kicks in Nov. 1. stration and the Federal Highway found in the Federal Register at withholding federal highway its new provision on hold. North The lowered blood-alcohol Administration published the most public libraries. See Vol. 68, money from states that haven’t Dakota’s lowered blood-alcohol standards have significant impli- final rules that allow them to start No. 163, pages 50703-50710. Or, adopted the 0.08 percent stan- law was to go into effect Aug. 1, cations for holders of CDLs if they withholding federal highway by tracking down the Federal dard. (See March 1 Bus & but submission of referendum peti- are caught driving while intoxi- money from the six states that Register on the Internet. The rule Motorcoach News.) tions has cast doubt on the future cated or under the influence. don’t have the 0.08 blood-alcohol can be viewed after searching at The strong-arm tactic was of the requirement. The Federal Motor Carrier standard. http://dms.dot.gov/. Fight over Amtrak takes center stage; national stepchild?

WASHINGTON —With would become three companies Congress fresh from its August over six years: a private passenger recess, one of the most raucous rail company that runs trains battles during the next several under contract to states, a compa- weeks and months likely will be ny that operates and maintains over the future of Amtrak. the Northeast Corridor, and a The Bush Administration has government corporation that decided that the federal govern- retains Amtrak’s rights to use ment should get out of the freight railroad tracks and its cor- passenger rail business, while a porate name. money loser operated by Amtrak. Maine would give Amtrak $2 bil- Independent Agencies adopted a powerful group of Senate Repub- USDOT officials say the Bush The train, which operates from lion in annual operating subsidies budget bill that cuts Amtrak’s fis- licans is pushing a multi-year Administration is only willing to Orlando to Los Angeles with four and underwrite $48 billion in cal 2004 request. capital and operating plan for give the railroad $900 million for stops in Arizona, lost $413.62 per bonds to create a national passen- Given these and other compet- Amtrak that would give the rail- fiscal 2004 if it’s restructured. passenger last year. ger rail system from Amtrak’s ing bills and funding levels, and road even more money than its Amtrak says it needs twice that McCain also doesn’t like the current routes. the backlog of appropriations managers have requested. amount to keep its trains running. fact Amtrak has gobbled up $26 Hutchison, Lott and their col- measures with an Oct. 1 deadline, There are, in fact, so many The administration plan, say billion in federal subsidies since leagues have ridiculed Bush’s plan, it’s uncertain any Amtrak reau- Amtrak spending plans floating critics, would force states to pick 1971. with Lott saying that “if after 2-1/2 thorization legislation will move around Congress that an Access up more of Amtrak’s costs and Significantly, McCain’s antipa- years that’s all they can come up this year. Short-term extensions of database and Excel spreadsheet ignore short-term problems that thy for Amtrak puts him at odds with they ought to be ashamed. Amtrak in its current form, the are needed to keep track them. could shut down the railroad. with other powerful Republican It’s a total nonstarter and for the usual solution, seem likely. Just before Congress left for its Republican Sen. John McCain senators on the Senate most part will get almost no con- Big picture: There is little evi- summer respite, President Bush of Arizona appears to be the de Commerce, Science and Trans- sideration in the Senate, which is dence Congress will actually be sent along a bill that calls for facto point man for the Senate portation Committee, which what it richly deserves.” able to break from its patten of largely dismantling Amtrak and version of the president’s plan (S McCain happens to chair. Hutchison says the president’s keeping Amtrak alive on starva- selling the passenger rail service 1501). While McCain and the Just days before the president idea of “turning (Amtrak) over to tion rations. to private bidders. president are often pointed in dif- dropped his Amtrak plan on the states … will doom it to fail- Meanwhile, Hutchison la- It would force states that want ferent directions on domestic Congress, four of McCain’s ure.” ments that the 30-year-old passenger rail service to help sub- legislation, they appear to be on Republican colleagues announced On the other side of the Amtrak continues to be treated as sidize it, thereby reducing federal the same track as far as Amtrak is a six-year, $60 billion bailout for Capitol, the House Transportation the “stepchild in the national subsidies; end Amtrak’s monopoly concerned. McCain is no fan of Amtrak. and Infrastructure Committee has transportation system.” on intercity passenger rail service, the railroad even though a couple The plan by Sens. Kay Bailey approved $2 billion annually for Someone needs to inform the and promote competition among Amtrak lines traverse Arizona. Hutchison of Texas, Trent Lott of Amtrak, while the House woman that she has it wrong. railroad operators. One of those routes, the Mississippi, Conrad Burns of Appropriations Subcommittee on That distinction clearly belongs to Under the plan, Amtrak Sunset Limited, is the biggest Montana and Olympia Snowe of Transportation, Treasury and the nation’s bus industry. BUS & MOTORCOACH NEWS — September 1, 2003 — 5 THE DOCKET

Employers would have to issue a Or, by tracking down the SW, Washington, DC 20590-0001. ‘Employers would More training Certificate of Grandfathering to Federal Register on the Internet. Or fax comments to (202) 493- those drivers whos experience and Conduct a search at http://dms.dot. 2251. have 90 days to driving records qualify them to skip gov/. Comments also may be submit- assure all currently proposed for the training. Comments on the rule must be ted via the Internet by going to employed A copy of the proposed rule can submitted by Oct. 14, to the: http//dms.dot.gov. be found in the Federal Register at USDOT Docket Facility, Attn: Or go to the federal entry-level drivers entry-level most public libraries. See Vol. 68, Docket No. FMCSA-97-2199, eRulemaking Portal: http://www. receive the coach drivers No. 158, pages 48863-48875. Room PL-401, 400 Seventh St., regulations.gov. training.’

WASHINGTON — The Federal Motor Carrier Safety Administration has proposed that training requirements for entry-level commercial bus and truck drivers be significantly expanded. The proposed new rules would apply to all bus and truck drivers who hold a CDL and have less than two year’s experi- ence operating a commercial vehicle. The only exceptions would be for transit vehicle driv- ers. In a notice of proposed rule- making issued last month, the FMCSA said new-driver train- ing needs to be beefed up in four areas: driver qualifications, hours-of-service limitations, driver wellness and whistle- blower protection. The FMCSA said increased driver knowledge in these areas is critical to large bus and truck safety. “These training requirements will reduce crashes caused by entry-level drivers of large trucks, school buses and motor- coaches,” said FMCSA Admini- strator Annette M. Sandberg. The proposed new federal training requirement would be a “minimum” standard that entry- level drivers must meet before they climb behind the steering wheel and operate a big bus or truck on public roads. Although the proposal does not specify a required number of hours for the new training, the agency estimates it will take roughly 10-1/2 hours for motor- coach and large truck drivers and 4-1/2 hours for school bus driv- ers. Under the proposal, employ- ers would have 90 days to assure that all currently employed entry-level drivers receive the required training. Evidence that a driver has gotten the training would have to be maintained in the driver’s qualification file. Drivers already having a CDL and one to two year’s experience operating a commercial vehicle and a good driving record could be grandfathered and not required to take the training. 6 – September 1, 2003 — BUS & MOTORCOACH NEWS TheTThehe DOCKETDDOCKETOCKET

ly granted less than they request- Transportation Security Administration Security grants ed, oftentimes a lot less. One CONTINUED FROM PAGE 1 company reported getting only 6 Bus Grant Recipients the industry’s biggest players col- percent of what it requested. The American Explorer Motorcoach K-T Contract Services (CoachUSA) lected most of the money. amount will not even be enough Gilbert, AZ ...... $99,950 North Las Vegas, NV ...... $95,868 Greyhound Lines captured to pay the consultant that was to Antelope Valley Bus Chenango Valley Bus (CoachUSA) not only the $5 million grant, the help it implement its proposal. Long Beach, CA ...... $25,473 Birmingham, NY ...... $12,908 largest single award, but ended up Generally, the grants will go to Storer Transportation Service Sunrise Coach Lines getting nearly half of all the pay for improvements to security Modesto, CA ...... $44,434 Greenport, NY ...... $15,000 money doled out by the TSA. systems and equipment for over- Grovesnor Bus Lines (CoachUSA) J&R Tours San Francisco ...... $76,004 Mt. Vernon, NY ...... $38,809 The three grants won by the-road coaches. For example, Orange Belt Stages J&R Tours Greyhound total more than the money will be used for driver Visalia, CA ...... $31,205 Mt. Vernon, NY ...... $57,508 $9.07 million. protection, tracking and commu- American Bus Association Three subsidiaries of nications with buses while they’re Washington, DC ...... $773,614 Southampton, NY ...... $37,737 Greyhound, Carolina Coach Co., on the road, passenger and bag- P & S Transportation (CoachUSA) Hampton Jitney Valley Transit and Vermont gage screening, security assess- Orlando ...... $141,580 Southampton, NY ...... $10,168 Transit, also received grants. ments and/or development of American Coach Lines Brewster Charters And, as would be expected, security plans, and training for Norcross, GA ...... $265,003 Martinsburg, OH ...... $33,158 the other big win- personnel to recog- Windstar Lines September Winds Motor Coach Carroll, IA ...... $53,457 Toledo, OH ...... $11,250 ners were line-haul nize and respond to Burlington Trailways Blue Star Charters & Tours and commuter ‘One criminal attacks West Burlington, IA ...... $172,815 Portland, OR ...... $9,900 operators. They and terrorist Keeshin Charter Service (CoachUSA) Anderson Coach & Travel include: company threats. ...... $51,278 Greenville, PA ...... $161,792 • New Jersey got only Grants also will Tri-State Coach Lines (CoachUSA) Capitol Trailways Transit, Newark: pay for physical Gary, IN ...... $37,000 Harrisburg, PA ...... $120,738 $1.34 million. 6 percent security enhance- Turner Coaches Martz Trailways • Peter Pan Bus ments such as Terre Haute, IN ...... $76,813 Wilkes-Barre, PA ...... $60,235 of what it Lines, Springfield, fencing, lighting Lancaster Tours requested.’ Springfield, MA ...... $1,173,875 Lancaster, SC ...... $22,423 Mass.: $1.17 mil- and surveillance Eyre Bus Service Capitol Bus Tours lion equipment at loca- Glenelg, MD ...... $202,532 West Columbia, SC ...... $12,840 • Kerrville Bus Co., San tions where buses are parked and Dillon's Bus Service (CoachUSA) American Tours (CoachUSA) Antonio, Texas: $593,659. maintained. Millersville, MD ...... $135,950 Memphis, TN ...... $123,375 • Academy Express in The companies that applied Jefferson Lines Coach USA Fun Time Tours Hoboken, N.J.: $582,386. for the grants were required to Minneapolis, MN ...... $335,102 Corpus Christi, TX ...... $29,863 • Jefferson Lines in Minnea- detail specific vulnerabilities and Southern Coach Company (CoachUSA) Greyhound Lines polis: $335,102. the costs associated with securing Durham, NC ...... $324,860 Dallas ...... $5,017,257 Twenty-six subsidiaries of against them. The operators Carolina Trailways Greyhound Lines Raleigh, NC ...... $121,126 Dallas ...... $2,627,446 Coach USA won grants totaling receiving the money are to be Carolina Trailways Greyhound Lines $2.9 million. reimbursed throughout the year Raleigh, NC ...... $120,605 Dallas ...... $1,429,652 A half-dozen Trailways’ opera- for projects stipulated in their Concord Coach Lines Valley Transit Company tors also were grant recipients. applications. Concord, NH ...... $73,182 Harlingen, TX ...... $152,226 Twelve operators in New During this time, TSA grant El Expresso (CoachUSA) Jersey received grants, the most officers and program mangers will Dover, NJ ...... $185,406 Houston ...... $146,540 in any state, while eight Texas monitor recipients’ projects to (CoachUSA) Gulf Coast Transportation (CoachUSA) companies got grants. assure they stay within budgetary Elizabeth, NJ ...... $33,032 Houston ...... $378,315 The TSA also appears to have and operational guidelines, says Academy Express TNM&O Coaches Hoboken, NJ ...... $582,386 Lubbock, TX ...... $191,019 been paying some attention to the TSA. Grant recipients that International Bus Service (CoachUSA) TNM&O Coaches Sen. Harry Reid, D-Nev., who do not meet the standards may be Hoboken, NJ ...... $22,319 Lubbock, TX ...... $189,164 has been pushing a provision that denied reimbursement. Red & Tan Tours (CoachUSA) Kerrville Bus (CoachUSA) would require the agency to Those organizations getting Jersey City, NJ ...... $40,155 San Antonio, TX ...... $593,659 include tourist populations in its less than they applied for will Hudson Transit (CoachUSA) United Motorcoach Association funding formulas. receive instructions from the Mahwah, NJ ...... $56,026 Alexandria, VA ...... $841,330 The two largest operators in TSA for submitting a scaled Corp. (CoachUSA) Vermont Transit Company Nevada received grant money. down version of their original New Brunswick, NJ ...... $77,589 Burlington ...... $102,243 The TSA declined to say how proposal. That means, of course, New Jersey Transit Vermont Transit Company Newark, NJ ...... $1,342,223 Burlington ...... $115,299 many companies applied for they have more bureaucratic and Leisure Line (CoachUSA) Wickkiser International Companies grants and, like any good securi- paperwork hoops to jump Paramus, NJ ...... $42,572 Ferndale, WA ...... $10,659 ty-minded agency, its policies through before they see any (CoachUSA) Northwestern Stage Lines prohibit it from divulging its money. Paramus, NJ ...... $15,891 Spokane, WA ...... $15,748 selection criteria. It also would In July, TSA announced $228 Cape Transit Corp. (CoachUSA) Van Galder Bus (CoachUSA) not reveal the actual amounts million in programs to secure Pleasantville, NJ ...... $27,164 Janesville, WI ...... $74,535 companies applied for versus U.S. ports and track cargo con- (CoachUSA) (CoachUSA) what they were awarded. tainers around the world. The bus Westwood, NJ ...... $29,461 Waukesha, WI ...... $46,338 However, interviews with sev- security grants are the first Frontier Tours Carson City, NV ...... $224,923 Total ...... $19,800,007 eral companies indicate the released by the TSA for the pur- winning operators were uniform- pose of securing intercity buses. BUS & MOTORCOACH NEWS — September 1, 2003 — 7 THE DOCKET UMA, ABA win grants for security training WASHINGTON—Thousands Association is very excited to nationwide security training training video, an accompanying of motorcoach operators across the have been selected as one of program for the roughly workbook and a Web-based United States are about to get a the successful applicants for 158,000 employees of 3,600 instruction and evaluation pack- double dose of security training funding under the Intercity coach companies in the age to enable training delivery in designed to help them deal with Bus Security Grant Pro- U.S., including drivers, dis- any form convenient to partici- criminal or terrorist attacks aimed gram,” said Norman Littler, patchers, ticket agents, pants. at their passengers, employees or UMA’s senior vice president management and mainte- equipment. for government and industry nance staff. Providing the tools Uncle Sam has awarded the relations. ABA’s program calls for work- United Motorcoach Association “With this funding UMA Threat assessments ing with industry partners to make and the American Bus Associa- intends to establish and It proposes conducting available security training tools to tion hundreds of thousands of deliver a ‘baseline,’ industry- Norman Littler of UMA. Peter Pantuso of ABA. security vulnerability assess- motorcoach operators throughout dollars to create security training specific security training program mous help to our members in help- ments and security audits to assess the U.S. ABA partners likely will programs and spread them for the nation’s intercity bus and ing to ensure the security of the the effectiveness of security train- include TotalSecurity US, the throughout the industry. motorcoach operators. more than 774 million passengers ing. And, to provide guidance in Daecher Consulting Group, Lock The two associations submitted “This grant will allow security who ride intercity buses each year,” refining security plans of partici- Media, BeSafe International, lengthy grant applications to the training to be delivered to bus said Pantuso. pating bus companies. POV Inc., and SPS Enterprises. federal government last March, companies, the majority of which Both associations insist there UMA expects about 2,000 ABA’s plan includes: competing for a share of $20 mil- are small family-owned businesses, are several pressing security-related companies will participate in its • Training offered to the entire lion in bus industry security grants at no direct cost to them. UMA needs in the coach industry, program during the year following industry with program certificates that had been put up for grabs by believes that this ‘no-cost’ including across-the-board security its kick-off, with others signing on for completion. the U.S. Department of Home- approach will act as a powerful assessment, planning and training. after the grant period is complete. • Security assessment of threat land Security’s Transportation incentive for companies to obtain In awarding its grants, the TSA As the backbone of its pro- exposure and company security Security Administration. (See and implement our security train- described the project priorities of gram, UMA will modify and preparedness. story Page 1.) ing program,” Littler said. the grant recipients in the broadest significantly extend an existing • Guidelines for developing a It was widely believed at the possible terms, labeling the details video training program, Operation company security plan. time TSA would chose between Pleased as punch as “sensitive security information.” Safe Transport, developed by SPS • Ten regional, two-day, train- the dueling grant applications. “We’re extremely pleased with Still, in an industry with few Enterprises Inc. the-trainer workshops focused on Instead, rather than pick one, the today’s announcement,” said ABA secrets, some details of the plans by The product will be extended recognizing terrorist threats, deter- TSA approved grants for both President and CEO Peter J. the two associations were bound to to all bus company employees in ring terrorist attacks and organizations but scaled back the Pantuso. trickle out and they have. security critical positions (i.e., responding to criminal attacks and dollars given to the associations. ABA deflected comment on its drivers, dispatchers, ticket agents, terrorist threats and basic ele- UMA applied for $961,520 and own grant, focusing instead on the Nationwide program maintenance/cleaning personnel, ments of crisis management was granted $841,330, while the operator grants won by its mem- UMA, for example, proposes to management and administrative strategies. ABA sought $884,130 and was bers. design, develop, deliver and evalu- staff). • Web-enabled training to sup- awarded $773,614. Both got 87.5 “These grants are an enor- ate the effectiveness of a The deliverables will include a plement workshop training. percent of what they asked.

A certain symmetry Of course, there’s a certain appropriateness to the TSA deci- sion. While the two associations compete for members and industry HeavyHeavy DutyDuty LiftsLifts dollars, they also co-exist and cooperate on important issues. The scope of work and deliver- forfor aa HeavyHeavy DutyDuty IndustryIndustry ables outlined in the grant applications filed by the associa- • Electro-hydraulic tions overlap each other in significant ways. mobile heavy duty lifts * It is not clear whether the TSA will attempt to eliminate the • Available new, used duplication or just let the associa- tions have at in the marketplace of or demo % security ideas and training. Financing However, it is known that both • ISO 9001 Certified ABA and UMA, because they & unlike our other were granted less than they requested, will have to submit • 64,000 lb. capacity, competitors 0% scaled-back proposals and work per set of four maintenance with TSA grant administrators and program managers on the *All financing will be done through our leasing company, Noreast Capital Corporation scope of the final work product. pending credit approval. A wide variety0 of other financing options available as well. Meanwhile, the two associa- tions are just pleased that neither ended up being a loser and they 800-336-6637 both were picked to help bolster Our Web site: www.stertil-koni.com industry security. “The United Motorcoach E-mail: [email protected] 8 – September 1, 2003 — BUS & MOTORCOACH NEWS OPINION Industry Renaissance Slow Go A couple of issues back, Bus & environment in 1998 was marked Motorcoach News ran a story about by stable or falling fuel prices; a planning exercise James River insurance companies were aggres- SAFETEA may be months from passage Bus Lines of Richmond, Va., had sively competing to write new or WASHINGTON —Don’t hold your breath unspent balance (the interest currently goes into gone through and the new strate- hold onto old business; interest waiting for Congress to get new highway and public the general fund), and spending down the balance. gies the company was pursuing. rates were at moderate levels, mak- transportation legislation adopted. • Stepping up enforcement of fuel tax collec- Executives at James River had ing borrowing a seemingly smart Although the reauthorization bill is high on tions and going after fuel tax evaders. spent nearly six months trying to decision, and there were lenders Congress’ priority list —now that it’s back from its One of the more interesting schemes being float- figure out where the company was tripping over each other, lavishing August R&R, getting all of the pieces in place in ed is the creation of federal transportation bonds. heading, its strengths and weak- capital on the industry like there both houses seems nigh onto impossible. One plan calls for selling long-term “tax credit” nesses, the strengths and weakness- was no tomorrow. Congress has been working for more than two bonds to finance highways or mass transit. The es of its competition, That wasn’t all. years to prepare for the reauthorization of the bonds wouldn’t pay interest like ordinary bonds; where it might find The economy was Transportation Equity Act for the 21st Century instead, the bondholders would receive federal tax new business, and ‘Seldom strong and there (TEA-21). But, as it turns out, even a two-year head credits in lieu of cash interest payments. how it might reach has the were industry con- start wasn’t enough. The Treasury Department went bananas when its goals. It was a clas- solidators vying to TEA-21, which expires Sept. 30, one senator asked for an opinion sic planning process. motorcoach gobble up independ- has provided $218 billion for highway about the bonds. Treasury Secretary Many businesses industry ent operators. and transportation projects during John Snow said they would threaten loathe doing such seen such Finally, sales of the past six years. That was 40 per- ‘Where’s the federal government’s “financial planning because it’s salad days.’ new coaches were at cent more than its predecessor foundation” by possibly “eroding” difficult, time con- historic highs and legislation, known as ICETEA. the money public confidence in U.S. Treasury suming and frustrat- competition among Now we have SAFETEA, which is securities. ing because of all the things that coach builders was as keen as ever. the Bush Administration plan for going to Snow said such bonds would cost can go wrong or are out of its con- New coaches and new models were spending $247 billion on highways, federal taxpayers between $8 billion trol. being introduced. Neoplan was roadway safety and public transporta- come from?’ and $48 billion over a 20-year period. But James River appears to have still in the market, Dina was mak- tion for the next six years. He said he would strongly recom- gone about it the right way, focus- ing inroads in the market and Irizar The House is trying to move a mend that President Bush veto such ing on those elements it has some was just entering the market. $375 billion highway/transportation bill, while the legislation. control over and can influence. Is that unbelievable? spendthrifts in the U.S. Senate are moving a $311 There has been speculation the bonds are a bar- That got us thinking about all If old-timers are to be believed, billion bill. gaining ploy in the face-off with the White House of the developments that have seldom has the motorcoach indus- Slowing both the House and Senate is one over- over higher fuel taxes. ‘Give us the bonds and we’ll occurred in the coach industry dur- try seen such salad days. arching problem: Where’s the money going to come drop our instance on higher fuel taxes,’ some ing the past five years, an outside Of course, like most things, it from for the grand spending plans? Here are some of Congressmen seem to be saying. horizon for corporate planning. didn’t last. The good old days of the ideas being pursued to rake in more tax dollars With TEA-21 expiring at the end of this month, Few of us could have predicted 1998 have given way to, well, for highway and transportation spending: it seems increasingly likely that both the House and many of the events during that 2003. • Increase fuel taxes. Key members of the House Senate will consider a six-month extension of the time and fewer still exerted much In 1998, a new coach from have been hell-bent to increase fuel taxes but so far current law to prevent any lapse in authorized fund- control over them. MCI, called the Renaissance, was the White House is saying no dice. The Senate ing. A delay also would give Congress more time to Ponder for a moment where the gaining increasing acceptance doesn’t like the idea either. find ways to increase the Highway Trust Fund, coach industry was just five years despite initial quality problems. • Indexing fuel taxes to inflation. which is essential if SAFETEA is to pass. ago and you’ll quickly see why it’s Renaissance. Nice word; better • Ensure the entire 5.3 cents per gallon ethanol Meanwhile, Congress is likely to focus more futile to try to plan using any movement. subsidy is applied to the federal highway trust fund. attention on the one-year reauthorization bill for method other than that employed Stick around, there’ll be anoth- Part of the money now goes to the general fund. the U.S. Department of Transportation. (See the by the folks at James River. er one. • Credit the trust fund with the interest on its Aug. 1 issue of Bus & Motorcoach News.) The coach industry operating You can plan on it.

How to contact us: ISSUE NO. 13 Jeff Polzien To send or report news, To e-mail advertisements Red Carpet Tours Letters to the Editor, articles: or photographs: Oklahoma City A PUBLICATION OF THE UNITED MOTORCOACH ASSOCIATION E-mail: [email protected] [email protected] Robert L. Quick Fax: (877) 510-5598 Staff Advisory Board Quick-Livick Inc. To subscribe or inquire Stauton, Va. or (877) 510-5602 about your subscription: Mail: 717 West Pierson #260 Editor & Publisher Alex Allen Todd Holland Tom Ready Call: Ellen Balm Victor Parra Amador Stage Lines Ramblin' Express Ready Bus Lines Phoenix, AZ 85013 (602) 488-8378 Sacramento, Calif. Colorado Springs LaCrescent, Minn. Call: (602) 242-7361 Managing Editor Sales Director Bob Brisman Robert Hume Bill Rohrbaugh Travel Mates Trailways Bill Rohrbaugh's Charter Services To send subscription orders Danielle Staudt Johnny Steger West Point Trailways To advertise or to mail or changes of address: Vails Gate, N.Y. Harrisonburg, Va. Manchester, Md. advertising-related materials: E-mail: [email protected] Government Editor Senior Editor David Brown Daryl G. Johnson Brian Scott Holiday Tours J & J Charters Escot Bus Lines Call: Johnny Steger Norman Littler Bruce Sankey (602) 980-0840 Fax: (877) 510-5602 Randlemann, N.C. Crosby, Texas Largo, Fla. E-mail: [email protected] or (877) 510-5598 Editorial Assistant Art Director Bob Foley Godfrey LeBron John Silvanie ABC Companies Paradise Trailways Suburban Charter Services Mail: Post Office Box 12903 Tara Sheehan G. Reid Helms Mail: 16845 North 29th Ave. #759 Faribault, Minn. West Hempstead, N.Y. White Plains, N.Y. Tempe, AZ 85284 Phoenix, AZ 85053 Accountant Associate Editor Mitch Guralnick Joan Libby Alan Spachman Victoria Bus Cavalier Coach National Interstate Insurance Co John Giddens Ellen Balm Boston, Mass. Boston, Mass. Richfield, Ohio

Rick Hillard Warren Miller T. Ralph Young ©2003 by the United Motorcoach Association. Reproduction in whole or in Tri-State Tours Pacific Coach Bus Service Young Transportation part without written permission is prohibited. Galena, Ill. San Francisco, Calif. Ashville, N.C. BUS & MOTORCOACH NEWS — September 1, 2003 — 9 INDUSTRY NEWS MCI to trim workforce, market conditions cited SCHAUMBURG, Ill. —Motor to 1,300 today. Another 90 we plan to extend our normal holi- mitment from the customer. To do “We will produce approximately Coach Industries, the largest man- employees are expected to receive day shut down.” otherwise would not be good for 1,025 coaches for the year. ufacturer of motorcoaches in pink slips by the end of this month, MCI routinely halts production the industry.” “As the economy recovers and North America, has announced 95 more next month, and 295 by for two weeks at Christmas and In other words, said Sorrells, as customers regain confidence in plans to further slim down its Dec. 1. New Year’s. This year, the shut- demand will drive production. their businesses, we anticipate we workforce in line with the slow “Despite our solid market-share down will be extended for an as yet He noted that MCI’s D4500 and will return to a higher line rate,” he pace of business recovery in the position, the current marketplace unspecified period. J4500 coaches continue to lead in added. coach industry. conditions demand that we moni- “Part of this decision is the popularity. In recent months, he Sorrells said MCI is on schedule Late last month, MCI notified tor production decisions on a result of our commitment to main- said, both coaches have outsold all to begin production of G-model the union representing its manu- monthly basis,” said MCI President tain the marketplace value of our competitor models combined. coaches in Winnipeg, where man- facturing employees in Winnipeg, and COO Tom Sorrells. “As a high-quality coaches,” Sorrells said. “Overall, our market share ufacturing prototypes are being Manitoba, as well as provincial result, if the economic outlook does “We do not want to manufacture increased to 68 percent in the sec- built. MCI is shifting production of officials there, that it plans a series not pick up in the fourth quarter, coaches unless we have a firm com- ond quarter of 2003,” said Sorrells. the G-models from Mexico, fol- of layoffs during the fourth quarter lowing the closing of its plant there of this year. earlier this year. The cutbacks are a continua- Additionally, 15-passenger The United Motor Coach MCI’s layoff notifications given tion of layoffs that have occurred Van safety van operators must comply with Association is among those to its Canadian union and provin- periodically during the past eight CONTINUED FROM PAGE 1 regulations that require: groups that have been at the fore- cial officials in Manitoba touched months as MCI completed its giant vans, called camionetas, are fre- • Drivers to obtain a medical front of efforts to bring off a short-lived media frenzy, with commuter-coach contract with quently used to transport workers examiners certificate. commercial 15-passenger vans one tabloid newspaper in Winni- New Jersey Transit, and the U.S. from the border to jobs in the • Drivers to record their duty under federal safety regulations. peg speculating MCI planned to and Canadian economies contin- U.S., both in border-area com- status in a daily log each work day. In the mid-1990s, the association close its manufacturing operations. ued to limp toward recovery. mercial zones and further inland. • Operators to create driver began urging Congress and feder- Within a day, however, the Under Canadian law, compa- A number of camioneta vans qualification files. al regulators to crack down on newspaper was backpedaling after nies are required to file notices have been involved in deadly • Affected motor carriers to van operators whose safety record company executives made it clear when they plan to reduce employ- rollover crashes over the years. maintain records of inspection, was abysmal. MCI wasn’t closing anything. ment. Typically, companies cite The new rules mean that com- repair and maintenance. Twice in recent years, the “Motor Coach (Industries) is an worst-case scenarios. mercial van operators will be The FMCSA estimates that National Highway Traffic Safety honorable company. We don’t MCI employment in Winnipeg, subject to compliance reviews roughly 18,430 small passenger- Administration has issued warn- have any intentions of closing,” where its coach-building activities and will be assigned safety ratings. carrying vehicles and about ings to users of 15-passenger vans MCI Senior Vice President of are centered, has declined from Those with an unsatisfactory rat- 22,000 drivers will be covered by because of of their safety record Operations Sam St. Armour was around 1,600 at the first of the year ing will be shut down. the new rules. and propensity to rollover. quoted as saying.

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fixed-route services provided by FTA ruling other transit systems funded by the CONTINUED FROM PAGE 3 FTA, either directly or by contract California Congressman blasts of federal regulations, the CBA to private operators. And, the FTA contends. decision disregarded Regional FTA for service takeover decision CBA filed a formal complaint Transit’s circumvention of statu- with the FTA against Regional tory due-process planning pro- The Honorable Jennifer L. Dorn that the program, to sion section states, “While it Transit late last winter, alleging a tections. Federal Transit Administration the maximum extent appears that RT could have done laundry list of violations of federal Additionally, the CBA says the U.S. Department of Transportation feasible, provides more to explore the use of private regulations and laws. But, in an FTA improperly characterized its 400-7th Street, S.W. for the participation sector providers in this situation, extraordinary interpretation of complaint as a “charter” complaint. Washington, DC 20590 of private mass RT has met the minimum FTA-related rules and statutes, the “The charter issue has always been transportation com- requirements under the law.” Region 9 office of the FTA in San a by-product or outgrowth of Dear Administrator Dorn: panies”). Instead of meeting the “mini- Francisco ignored the violations CBA’s core issue: Sacramento The Regional mum” requirements of law (49 and rejected the complaint. Regional Transit failed to imple- This letter follows up on your Administrator’s U.S.C. 5306(a) and 5307), it Perhaps the scariest aspect of ment a process to provide private March 26, 2003, and August 1st par- August 5th decision, Rep. Doug Ose appears to me that SACRT avoid- the decision is that the FTA enterprise participation in the tial replies to my March 13th letter which I understand CBA will be ed notification until it was too late for regional bureaucrats found a way to development of the program of requesting your review of the March appealing to you, reveals that both the the private sector to essentially partic- turn federal charter protection pro- projects, as required by federal 6th “Sacramento Regional Transit Federal Transit Administration (FTA) ipate in the process. In fact, I visions against Amador. These are statutes and regulations, as well as [SACRT] Emergency Protest” filed by and SACRT failed to meet understand that FTA approved grant rules the FTA is supposed to the agency’s master agreement” the California Bus Association (CBA), Congressional intent and did not funding for SACRT’s expansion buses uphold and enforce. with the FTA. and your Regional Administrator’s demonstrate compliance with federal before SACRT’s so-called July 3, The clear implication of the The CBA appeal contains a August 5th decision in this case. law governing public participation (49 2001 corrective action. FTA decision is that virtually no busload of new evidence, including CBA protested the termination of a U.S.C. 5307, which provides, “Public In addition, FTA’s decision has a contracted shuttle service provided photographs showing Regional competitively awarded contract to Participation Requirements. Each huge annual cost to the taxpayers by a private bus operator anywhere Transit buses used for the shuttle operate a shuttle bus service in the recipient of a grant shall - … (2) (CBA’s protest states: “There is also a in the U.S. is safe from potential service failing to halt at bus stops to Sacramento area, which has been develop, in consultation with interest- negative economic impact to the fed- takeover by a public pick up passengers. operated by the private sector for 25 ed parties, including private trans- eral government — taxpayers will pay transit system. The appeal also years. As I stated in my earlier letter, portation providers, a proposed pro- additional cost of approximately All a transit ‘There will be notes that Amador my understanding of current law and gram of projects for activities to be $277,000 annually”) and has already agency has to do is essentially operated the (Bush) Administration’s policy is to financed; (6) consider comments and resulted in inferior service by SACRT no consequences (a) declare the serv- the private shuttle as expand — versus constrict — the pri- views received, especially those of pri- to that which was provided by the pri- ice a mass transit a public service. vate sector’s participation in federally vate transportation providers, in pre- vate sector for 25 years. for preventing route, (b) add a cou- There was a public financed activities that are not inher- paring the final program of projects”) As a consequence, please demon- ple of stops between private enterprise timetable and never ently governmental. and private enterprise participation strate to me how SACRT met 49 the start and stop in 25 years, to CBA’s CBA’s protest requested your (49 U.S.C. 5306(a), cited above). U.S.C. 5306(a) and 5307, including a participation.’ points, (c) publish knowledge, had a investigation of possible violations of The Introduction section of the chronology of its public participation the route and times private contractor, federal laws and regulations, especial- decision states: “RT [SACRT] has met notification and private enterprise par- in its timetables (d) lock private especially Amador, prevented any ly those governing private sector the minimum statutory requirements ticipation opportunities for its operators out of the process and rider from boarding the shuttle. participation requirements. My earlier for public notice and comment in sec- newly-expanded shuttle bus service, ignore their complaints, (e) round In fact, for several years, non- letter provided citations to certain pro- tion 5307; and that while it appears and please undertake a FTA rulemak- up a few buses and drivers, and (f) state employees could hop on one visions in the federal law governing RT could have done more to explore ing to ensure that its grantees will take crank up the service. of the shuttles and pay a $1 board- mass transportation, including 49 the use of private sector providers in adequate efforts to integrate private “The Region 9 decision in this ing charge. In later years, nonstate U.S.C. 5306(a) (“Private Enterprise this situation, RT has met the mini- enterprise in their transit programs. case appears to be an unambiguous riders, although few in number, Participation. A plan or program mum requirements of section 5306.” If you have any questions about legal ruling affecting the entire fed- could ride for free. The service was required by section 5303, 5304, or The Discussion section states: this request, please call Subcommit- erally subsidized transit com- paid entirely by the State of 5305 of this title shall encourage to “FTA does not impose prescriptive tee Deputy Staff Director Barbara munity,” says the CBA appeal. “It California. the maximum feasible the participa- requirements for determining whether Kahlow. Since time is of the essence, I appears that FTA will now accept, CBA’s appeal was filed with tion of private enterprise”) and 49 a grant applicant [SACRT] has made would appreciate a complete reply by on face value, a (transit agency’s) Jennifer L. Dorn, administrator of U.S.C. 5323(a)(1) (“Financial adequate efforts to integrate private Aug. 14, 2003. Thank you for your claim to have met a minimum the Federal Transit Administration Assistance provided under this chap- enterprise in its transit program” and immediate attention to this request. process to statutorily involve pri- in Washington. Her office handles ter to a state or local governmental “FTA monitors compliance with statu- vate enterprise to the maximum appeals of decisions made by authority may be used to operate tory and regulatory private enterprise extent feasible despite any evi- regional offices. mass transportation equipment in requirements as part of the triennial Sincerely, dence, or lack thereof, to the Attached to the CBA appeal is competition with, or in addition to, reviews. Indeed, FTA’s Fiscal 2001 contrary. a letter from Rep. Doug Ose, R- transportation service provided, only if: Triennial Review Report noted a defi- Doug Ose “In other words, there will be no Calif., who has been highly critical (A) the Secretary of Transportation ciency in RT’s public participation Chairman consequences for barring or pre- of the decision by the FTA region- finds the assistance is essential; (B) process. On July 3, 2001, RT took Subcommittee on Energy Policy, venting private enterprise partici- al office. Ose’s letter is reprinted at the Secretary of Transportation finds corrective action.” Lastly, the Conclu- Natural Resources/Regulatory Affairs pation, i.e., a new standard would left. be set to allow recipients to freely Congressman Ose needs the violate only those statutes calling support of other Congressmen and Bus company founder, James G. Lynch, dies at 74 for private enterprise participa- women to carry this fight to the GREENFIELD TOWNSHIP, became part of the . motorcoaches, plus a van, limou- tion.” FTA. Write to your representative Pa. — James G. Lynch, a former In 1977, he started is his own sine and three school buses. The CBA appeal maintains that and make sure he or she under- trucker driver who founded a tour bus company in northeastern Memorials for Mr. Lynch have “absolutely no material evidence stands the implications of the FTA and charter motorcoach company, Pennsylvania with one bus and no been established with the: was submitted by Sacramento decision. Ask your representative Lynch Bus Service, has died. He garage. Mr. Lynch ran the company American Heart Association at Regional Transit” showing it ever to contact FTA Administrator was 74. for 16 years, retiring in 1993. He 730 Pittston Ave., Scranton, PA implemented even a minimum Jennifer Dorn to seek a reversal of After driving for a company turned over management of the 18505; and consultative process pursuant to the decision. that hauled Volkswagens, Mr. business to his son Jay Lynch. American Diabetes Association federal regulations. Further, the Send a copy of your letter to the Lynch went to work for the old Today, the company has a diver- at 63 N. Franklin in Wilkes-Barre, appeal says Amador operated serv- United Motorcoach Association or Price Bus Co., which eventually sified fleet of a half-dozen PA 18701. ice essentially identical to the American Bus Association. BUS & MOTORCOACH NEWS — September 1, 2003 — 11 INDUSTRY NEWS

• One-time processing fee: $200 proper permits will be subject to a er’s liability insurance and a laun- per-trip entry fee and build the per company. $100 entry fee. dry list of other documents. price into contracts, making cus- Cruise terminal • Authorized vehicle sticker Equally obnoxious is the port’s One operator who tomers aware of the fees. fee: $25 per vehicle. outrageous paperwork requirement. makes occasional runs to the On a longer-term basis, he says in Jacksonville Both the permit and vehicle When applying for a permit, opera- Dames Point Cruise Terminal calls he plans to largely blackball the stickers will be valid for one year, tors must submit proof of the paperwork demands and tariffs Dames Point terminal, rejecting imposes tariffs expiring each Sept. 30. Any com- commercial general liability insur- “a pain in the ass.” He says that the port’s slogan: Making mercial vehicle transporting ance, auto liability insurance, rather than jump through all the Jacksonville the Port of Choice. JACKSONVILLE, Fla. — It’s passengers that does not have the workers compensation and employ- hoops he intends to pay the $100 His choice: other ports. about to get a whole lot more expensive to transport passengers to and from cruise ships using the Jaxport Dames Point Cruise Terminal operated by the Jack- sonville Port Authority. The port sent notices last month to motorcoach, taxi and other passenger carriers in Florida, Legendary Coaches. North and South Carolina and Georgia that it will start imposing costly new tariffs beginning Oct. 1. One outraged coach operator called the tariffs a “screwing,” adding that they are “incredibly short sighted.” They also probably violate interstate commerce laws but like other ports in Florida that doesn’t seem to matter. The ports know it’s hardly worth the cost for an operator to litigate the issue. The Jaxport cruise terminal tar- iff schedule for buses, shuttles, courtesy vans, taxis and limousines picking up or dropping passengers are as follows: • Transportation service permit fee: $250 per company. Rules for faxes E4500 delayed to ’05 WASHINGTON — Motor- coach operators who rely heavily on fax marketing dodged a bullet last month when the Federal Communications Commission t’s not every MCI customer who can claim a Superbowl coaching withdrew tough new rules designed “I like to be to stop unsolicited faxes. Ichampionship, 13 Emmy Awards, In July, the FCC issued a report in the best. and five best-selling book titles. But at and order amending the regula- tions that implement the new And for me, MCI, we like to treat everyone like John federal Telephone Consumer Madden. And while that doesn’t necessarily Protection Act. That’s the act that cracks down on telemarketers. that’s MCI.” mean you’ll ride from stadium to stadium in The order amending the tele- John Madden, NFL broadcaster a custom E4500 complete with steam shower, phone act required companies to and MCI customer since 1987. obtain written permission before as John Madden does, it does mean that you’ll enjoy the sending unsolicited faxes. Many same level of quality, reliability and attentive after-sales motorcoach operators send such faxes as part of their marketing service. Not to mention a family of tried, true and inno- programs, offering last-minute vative models designed to keep your business ahead of deals, special tours and unique travel opportunities. the field. MCI. It’s where coaching legends begin. Just days before the fax rules were to go into effect, the FCC agreed to delay the start date to Jan. 1, 2005. The FCC said the delay will give businesses more MOTOR COACH time to get signed approval forms INDUSTRIES and provide more time for the www.mcicoach.com commission to respond to requests 1-800-RIDE MCI (1-800-743-3624) We are America’s coach. to reconsider the rule. 12 – September 1, 2003 — BUS & MOTORCOACH NEWS INDUSTRY NEWS

Greyhound gets insurance waiver Calendar of Events DALLAS —Greyhound Lines ble net worth has been below $10 contributions to the extent that SEPTEMBER 2003 26-28 BusCon 2003, Las Vegas. has won a waiver from the U.S. million. self-insured reserves exceed the 5-9 Virginia Motorcoach Assn.: Info: (310) 533-2556 or e-mail Department of Transportation In March, Greyhound requested then balance in the trust fund. Annual Convention, Dover [email protected]. allowing it to continue self insuring a waiver from the net worth The trust fund will be reduced Sheraton, Dover, Del. up to $5 million of its automobile requirement. DOT has now grant- back to $15 million once the com- Info: (434) 376-1150, or go to NOVEMBER 2003 liability exposure. ed the waiver through the end of pany’s tangible net worth gets back www.vamotorcoach.com. 1-5 California Bus Assn.: The waiver was needed because next year. above $10 million. Convention & Trade Show, Doral Greyhound was unable to meet a As a condition of the waiver, Greyhound has warned that the 7 Prevost Car Maintenance Palm Springs Resort, Cathedral key USDOT requirement that however, Greyhound had to add loss or further modification of the Training Seminar, Mira Loma, City, Calif. Info: (800) 664-2877 or allowed the company to self insure. $2.7 million to a $15 million trust self-insurance authority from the Calif. Info: Call (800) 82-PREVO. go to www.cbabus.com. The requirement was that fund that provides security for pay- DOT could have a “material Greyhound have a tangible net ment of accident claims. adverse effect” on the company’s 8-9 Bus Industry Safety Council 2 Ontario Attractions trade show, worth of $10 million. Since the DOT also will require the com- liquidity, financial condition and fall meeting, Sheraton Springfield Westin Harbour Castle Hotel, end of last year, Greyhound’s tangi- pany to make additional trust fund results of operations. Monarch Place Hotel, Springfield, Toronto. Info: (416) 229-6622 or Mass. Info: Call the American Bus go to www.omca.com. Association at (800) 283-2877, Duane. Reuther and Duane ny. More suits followed, including or go to www.bus.org. 2-5 Ontario Motor Coach Assn.: New Orleans clashed frequently, however, and several that are still pending. Annual Conference & Market- CONTINUED FROM PAGE 3 the Smith family continued to Meantime, the feud is taking its 10 California Bus Assn: General place, Toronto. Info: (416) 229- split things 50-50 at the time. complain about Reuther’s disregard toll and the company reportedly is Membership Meeting, LTBA, Calif. 6622. E-mail: [email protected], or Later, Reuther claimed 49 percent for structure. losing market share. It has reduced Info: (800) 664-2877 or go to go to www.omca.com. ownership and his wife, Nancy, 1 The Times-Picayune reported its workforce of 900 by about 100 www.cbabus.com. percent. The other half was appor- that Reuther admitted in a deposi- and has shut down its hotel tour 8-12 Canadian Urban Transit tioned among Smith family tion in one of the law suits that he desk operation, which had been a 14-16 Kansas Public Transit Assn.: Fall Conference & Trans- members. would go to the company’s swamp major source of customers for its Assn.: Annual Conference and Expo, Toronto. Info: (416) 365- Much of the company growth tour office when he needed money, bus tours, swamp tours and river Expo, Overland Park, Kan. Info: 9800. Go to www.cutaactu.ca. was attributed to Reuther and the change the number of passengers excursions. (913) 491-9094 or go to family’s ability to build relation- on a manifest to a lower figure and “I’m sure in the per-capita tour www.ktransit.com. 10-12 SAE Int’l Truck & Bus: 2003 ships and knowing what customers pocket the cash difference. business they’ve lost market share, Meeting & Exhibition, Fort Worth wanted, according to the Times- Greg Hoffman, vice president of 21 Prevost Car Maintenance Convention Center, Fort Worth, Picayune. “They were always Grayline, told the Times-Picayune. Training Seminar, Fort Worth, Texas. Info: (724) 776-4841 or go everywhere in the community. “With the split-up of management Texas. Info: Call (800) 82-PREVO. to www.sae.org. That vision, that aggressiveness ‘It was a very over there, perhaps that has con- and that affability just helped them tributed to a different direction of 29-30 Eastern Bus Maintenance 14-18 National Tour Assn.: Annual grow into a bigger and bigger enti- fragmented the business. Management Conference fall Convention, Charlotte, N.C. Info: ty,” Beverly Gianna, vice president Jim Jr., however, says the busi- meeting, Radisson Hotel, (800) 682-8886. E-mail: of communications at the New company, very ness is being restructured and the Annapolis, Md. Info: Go to [email protected], or go to Orleans Metropolitan Convention future looks good. “We feel very www.ebmmc.org. www.ntaonline.com. and Visitors Bureau, said in an good about 2004,” he told the interview with the newspaper. amateurish.’ Times-Picayune. OCTOBER 2003 JANUARY 2004 Among the changes, he said, 1 The 13th Annual South Jersey 11 Prevost Car Maintenance The Starting Point are the initiation of a rigid driver- Transportation Authority Bus Training Seminar (Canadian The grumbling reportedly Duane hung around for about training program for the bus tour Roadeo, Atlantic City Transporta- customers), Quebec. began in the 1990s with some of three years before he was moved business that will reduce insurance tion Center, Atlantic City. Info: Call (877) 520-7386. the Smiths complaining the com- out and Jim Jr., an attorney by edu- costs, and the creation of a central Info: (609) 344-4149. pany wasn’t paying dividends. cation and experience, took over. reservation system for all of the 16-20 American Bus Marketplace, They proposed taking the compa- What the younger Smith found businesses. “I’m investing in some 11-12 The Motorcoach Bus American Bus Assn., New York ny public. Investment bankers, was pretty much the same thing of these types of programs that did Society: Annual Convention, City. Info: (800) 283-2877 or go to however, found the company Frederick had discovered when he not exist,” he said. Boston, Mass. Info: Go to www.buses.org. lacked the structure to be attrac- joined the company. “The situa- Reuther, who according to state www.motorbusssociety.org, tive, and they suggested it bring in tion was difficult. It lacked records has started more than 30 or e-mail Jerry Squier at 16-17 Bus Industry Safety professional managers to improve organization, process, procedures. companies over the years, hasn’t [email protected]. Council, New York City. the organization. It was somewhat of a stream-of- been sitting still either. Info: (800) 283-2877 or go to Joe Frederick, a veteran hotel consciousness organization,” he According to the Times- 12 Prevost Car Maintenance www.buses.org. manager now retired, was hired. told the Times-Picayune. Picayune, he has started a hotel Training Seminar, Ephrata, Pa. Frederick came in, looked around, consulting business, developed a Info: Call (800) 65-PREVO. 29-Feb. 1 North Carolina and found a mess. “It was a very Reuther is fired company that is bidding to build Motorcoach Assn.: Annual Meeting fragmented company, very ama- In October 2001, Jim Jr. sent an Internet hotel-room booking 12-16 American Public Transit & Marketplace, Grove Park Inn, teurish,” he told the Times- Reuther a letter telling him he no engine for area hotels and began Association: Annual Meeting, Ashville, N.C. Picayune. longer was chairman and chief operating an airboat at Six Flags Salt Lake City, Utah. Info: (202) Info: (910) 495-4970. He said Reuther didn’t mind his executive, noting that the chief New Orleans. He’s also working 496-4800. Go to www.apta.com. coming in as president because he executive title was not in the com- with Loews Express, a New FEBRUARY 2004 didn’t like handling the day-to-day pany bylaws and the president Orleans motorcoach operator that 17-22 Busworld, Kortrijk, Belgium. 8-10 The 20th Anniversary operations himself. “That bores actually serves in that position. competes with New Orleans Tours. Info: Go to www.busworld.org or Motorcoach Expo 2004, Georgia him,” Frederick says. Reuther fired back with a suit “When I was unlawfully ousted e-mail [email protected]. World Congress Center, Altanta. But before Frederick could com- claiming wrongful termination and from my position at Hospitality Info: United Motorcoach plete the reorganization, Jim Jr. legal malpractice, claiming Jim Jr. Enterprises, I had to find employ- 19 Prevost Car Maintenance Association, (800) 424-8262 or go demoted him to vice president and misused his authority to advance ment and make a living,” he told Training Seminar, Trenton, N.J. to www.uma.org. replaced him with his brother, his own position with the compa- the newspaper. Info: Call (800) 65-PREVO. BUS & MOTORCOACH NEWS — September 1, 2003 — 13 INDUSTRY NEWS

Blackout sengers had only 87. “It affected us CONTINUED FROM PAGE 1 very negatively,” he emphasized. Hopkins Airport Limousine , according to Nick Service in Cleveland lost business, Morfogen, a traffic manager for the too, because of the airport shut- private transit company. “We took down and Lakefront Lines in buses off other lines and ended up Brook Park, Ohio, lost its regular adding about 20 buses to the charter runs to casinos in the Queens run,” he said. “And, while Detroit and Windsor, Ont., areas we usually shut down at 1 a.m., we and near Niagara Falls, according stayed on until about 4, when we to Jim Goebel, whose family owns had to refuel and get ready for the both businesses. “The telephones next day.” were out, too, so people couldn’t Morfogen said the company Indian Trails of Owosso, Mich., picked up unexpected business when airline service was disrupted in Detroit. reach us even if they wanted to use suspended fares throughout the our services,” he said. evening of the blackout and into help maintain order and some of uled to fly to the game. Bronx, N.Y., which specializes in Michael A. Long of Campus part of the following day because of them found pay telephones that Additionally, the company was transporting seniors to and from Coach Lines in New York said his the emergency. “It was just some- worked occasionally, allowing hired to take a busload of stranded adult centers, was able to get all of charter business was completely thing we decided to do,” he noted. them to reach intermittently work- American Airlines passengers and its riders to their homes the night shut down by the blackout. Even city tour coaches con- ing company telephones. “It two busloads of Amtrak passengers of the blackout, but didn’t get any “We were locked out of our tributed to getting people out of seemed to work a bit,” he added. to Chicago where they could con- business the following day. “We lost building because it was considered the city. For many motorcoach opera- tinue their trips. “It worked out money,” said Karen Aitcheson, a a fire hazard,” he said. “It was a real Tom Lewis of Gray Line New tors, the blackout turned out to be pretty well for us,” said Sukenik. spokeswoman for the company. disaster, the worst we’ve ever York Sightseeing said its buses were a mixed bag. Provost said Adirondack Midtown Express Bus Lines in seen.” about through for the day and Indian Trials in Owosso, Mich., Trailways had its biggest day ever Cleveland had several cancella- Despite the ups and downs many of them were headed back to picked up unexpected business on the second day after the black- tions for charter runs in the city, caused by the blackout, it could the garage empty when the power because the blackout interrupted out, a Saturday. “People who live in according to Shirley Smith. “We have at least one positive affect. went out. At one stop, officials commercial airline and rail passen- New York were just ready to get out just couldn’t get where we had to Sukenik says some airline and from Morgan Stanley connected ger service in Detroit. Ron into the country and it gave us a go,” she said. train passengers who rode Indian with the driver and hired three Sukenik, director of safety, said the record-breaking day,” he said. “Too Grieve said Shortline was hit Trails’ coaches to Chicago had not buses to take 135 of its employees Detroit Lions football team called bad every Saturday can’t be that hard the day following the blackout been on a motorcoach for years to New Jersey so they could get the day after the blackout and busy.” because many people in New York and were surprised to see how home. chartered seven buses —five for the heeded calls by the mayor and gov- plush and comfortable they are. It “We also decided that as long as team and two for family members Losses for some ernor not to come into the city. was a pleasant discovery that could we were running empty to our —to Cincinnati where they had an For others, the blackout resulted One run that usually carries 15,000 cause them to consider motor- garage, we would let other people exhibition game the following in lost business and lost revenue. daily passengers had only 7,000 and coach travel the next time they hit going in that direction ride free on night. The team had been sched- NAT Tour Bus and Van in another that usually has 600 pas- the road. our other buses,” he said. “We did- n’t take them any place specific, but just dropped them off in New Jersey where their families could Super Sized European Axle Covers pick them up and take them home.” FOR LARGER EUROPEAN BUS AXLES Transit agencies in most of the affected cities kept to the streets, too, running their regular routes, although they were unable to keep to any type of schedule because of horrendous traffic jams caused by the deluge of cars and trucks that had to fight nonfunctioning traffic signals and hundreds of people who were walking in the streets.

Communication challenges Problems persisted throughout the night of the 14th, however, pushing private and public opera- tors to the limit. Among the major troubles was the inability to com- municate, as radios went out and cell phone systems were over- whelmed, making it difficult for dispatchers to stay in touch with drivers. High Quality Stainless Steel • Over-The-Lug Mounting “Our people did an absolutely For 22.5” Aluminum or Steel Wheels outstanding job working without radios and telephones,” noted Paul Provost of Adirondack Trailways. 1-800-982-1180 “Everyone just pitched in and did www.realwheels.com their job.” RealWheels Cover Co., Inc. • 847-662-7722 • Fax 847-662-7744 Morfogen said sent a number of supervisors out to Made In The U.S.A. • Best Guarantee In The Industry 14 – September 1, 2003 — BUS & MOTORCOACH NEWS ClassifiedClassified AdvertisingAdvertisingAdvertising VERY VERY MUST SELL DO YOU WANT Florida Keys BUSES EQUIPMENT! TO BUY or SELL CLEAN CLEAN Bus Charter FOR SALE Prices Slashed! a coach? Prevost LeMirage XLs Business The professional team at MCI COACHES 2 - 1987 MCI MC9B All in Very Good Condition CoachCrafters will help For Sale $13,500 each 1990 $53,000 SOLD FOR SALE Year-round business. good engines 1992 $78,000 $73,000* you. With over 20 years Good customer list. and transmissions, 1992 $84,000** of industry experience, (1) 1989 102A3 Series 50, Auto new A/C compressors. 1994 $95,000 we can help with all of In business since '88. New seat covers and foam (2) 1988 102C3 8V-92, Auto Price includes 1997 $169,000 your used coach buying, 49-passenger - no lavatory selling, and servicing Currently in Service. 2 MCI 102s. 1998 $178,000 1 - 1987 MCI 96A3 * Rebuilt engine needs, including: MCI, ** Rebuilt engine; new upholstery; Great Weekend Overflow Coaches $99,000 $29,500 new EMC Prevost, Van Hool and RAMBLIN EXPRESS Fax letter of interest to: Low mileage Aluminum wheels, Mini Coaches. 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VISA, MasterCard and American Express cards are accepted. Headed to northern Virginia, transmissions. Washington, D.C. Frequency discounts available. Tires extra. CLASSIFIED: Type of ad you prefer: __Display__Line Hot pizza is awaiting at these Virginia loca- $20 per column inch. Samples and ad rates on reverse side. SEATS - Brand New tions: Culpeper (south side of Skyline Drive in RECRUITMENT: Shenandoah Nat'l Park); Warrenton (north side $30 per column inch. Number of issues you would like this ad to appear in: 1 2 3 4 5 6 More? For 102 MCI Models of Skyline Drive in Shenandoah Nat'l Park); (Orig. cost over $15,000) Front Royal (on West 14th St. in town); Name $7,500.00 Manassas (2 locations at Bull Run National Line Classified Battlefield Park). All locations are bus accessi- Advertisements Person Authorizing Advertisement - Please Print Call Jim or Tom ble. All are 25-60 miles from Washington D.C. Set in 6 pt. Type, in paragraph tourist attractions. All have buffet lunch and Company 610-868-6001, ext. 122 will accommodate large parties. form only, with the first four words in capital letters. or E-mail [email protected] Call ahead to central reservation line Address (571) 220-1516. Ask for Mike Marney. CLASSIFIED: $20 for the first 6 lines per insert. $15 each addi- City State Zip tional line per insert. Protect your Passengers Payment Signature Pro-Tex-Hair is a specially woven synthetic Prepayment required for all ad placements unless credit has been that adheres to any style of headrest, helping established. MasterCard, Visa, Credit Card Information reduce maintenance cost of the headrest and American Express accepted. Card No. protecting your passengers. Pro-Tex-Hair Deadlines makes for more sanitary conditions from any Seven days prior to publication Expiration Date contact with dandruff, hair grease or other dates of 1st and 15th of the scalpel concerns allowing your passengers a month. Name on Card more enjoyable ride. When arriving at your For more information contact Hours destination, simply dispose of Pro-Tek-Hair PRO-TEK-HAIR at 831-768-0252 Call Monday-Friday, 8:30 a.m. or [email protected] to 4:30 p.m. MST. Fax or Mail this form to Bus & Motorcoach NEWS when passengers depart. Fax: (831) 768-1359 Toll-free fax: (877) 510-5598 Sales Representative Johnny Steger Mail to: 16845 North 29th Avenue # 759, Phoenix, AZ 85053 Wanted: Referrals Phone: (602) 980-0840 Don't send away customers who want to lease a conversion coach! Refer them to Fax Toll-Free: (877) 510-5598 Make checks payable to: Bus & Motorcoach NEWS Executive Motor Coach. We'll treat them right and we'll send you $$$ to show our E-mail: [email protected] thanks. Our coaches seat up to 21 and have lounge seating, a galley kitchen, a Bus & Motorcoach News Questions? Call Johnny: (602) 980-0840 restroom, TV and many other amenities. Mid- to long-term leasing is our specialty. 16845 North 29th Ave. #759 Email: [email protected] Executive Motor Coach (614) 733-0006 Phoenix, AZ 85053 www.executive-motor-coach.com 2 Huge Fleets in One Gigantic Auction! Public Webcast Auction Owner Retiring After 50 Years in Business By Order of Secured Creditors Greenlawn CIT Equipment Transit Rental & Finance 11:00 AM, Wednesday, September 17 • 1640 East 5th Ave., Columbus, OH Inspection beginning September 1st • Call for Location and times. OVER 100 MOTORCOACHES & BUSES! Entertainer Bid Live Coaches! or Online!

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