February 1, 2009

Finally! Texas’ checks being sent; well, some of ’em AUSTIN, Texas — Motor­ Texas in September, according to have been cut. soon. missed loan payments. One opera­ coach operators who helped evac­ the governor’s office. “We will make good on our Many complained they were tor admitted he had parked his uate people from the path of one Allison Castle, a spokeswom­ contracts and our payments,” she forced to borrow money or use re­ coaches away from his business of two summer hurricanes to hit an for Gov. Rick Perry, said the said. serves to pay bills associated with because he was afraid they would Texas could be getting paid for state Legislative Budget Board The state has for weeks been the hurricane rescue work, and be repossessed any day. their work — any day now. agreed just before Christmas to the target of heavy criticism from now they’re without cash needed While the possibility of finally The state says it has finally re­ make the money available to mo­ motorcoach operators who said to help get them through the cur­ getting their money is good news leased funds to pay for the rescue torcoach operators and other ven­ they were in dire need of their rent slow season. for some operators, others main­ work for Hurricane Gustav, the dors involved in the evacuation money and could be in serious fi­ Others said they could lose tain the state should never have first of the major storms that struck work and some checks already nancial trouble if they didn’t get it their coaches because they have CONTINUED ON PAGE 8 c BANY ignites California operator wins to oppose N.Y. contentious charter case WASHINGTON D.C. — A Foothill Transit of Covina com­ nuisance taxes California charter operator has plained to the FTA that Silverado ALBANY, N.Y. — The Bus As­ won its fight with a public transit should be removed from the list of sociation of New York State, known system that tried to get it removed carriers registered with the agency widely as BANY, has launched a from the federal list of private car­ because it acted in bad faith during sweeping and ambitious overhaul riers that must be notified when a negotiations for shuttle work for the that calls for both an increase in transit agency is interested in per­ Rose Bowl football game Jan. 1. membership and a more diverse forming charter work. The ruling clearing Silverado membership. The ruling by the Federal Tran­ of any wrong doing was issued The moves are designed to help sit Administration, however, came four days after the game, allowing strengthen the association so it can too late for Silverado Stages Inc. of the transit agency to provide the work more effectively to head off San Luis Obispo to handle the lucra­ service. invasive budgetary proposals from tive job that triggered the dispute. CONTINUED ON PAGE 18 c Gov. David Paterson that would re­ duce bus-operator commerce. “The budgetary headaches of Transit agency cooperation New York State and the nation, in general, will have much to do in the shaping of our agenda,” says Jerry over charter rule is growing Kremer, the association’s long-time The new Volvo 9700 will be available for test drives at Expo ’09. WASHINGTON — The nine- positively when told of possible vi­ counsel. month old federal charter service olations that they might be “New York is faced with a $15 rule that limits the type of charters committing. billion (budget) deficit and will be Prevost to unveil coaches public transit agencies are allowed This is in sharp contrast to the resorting to a variety of nuisance ORLANDO, Fla. — Prevost tion in Kortrijk, Belgium. to provide may finally be taking first few months after the rule be­ taxes to balance the budget. In order Car Inc. is unveiling a new motor­ “The Volvo 9700 is clearly a hold. came effective when transit agen­ to proactively oppose these increas­ coach, as well as an updated ver­ coach that will make an impres­ That’s how things appear to be cies were flooding the Federal Tran­ es, we will be actively recruiting sion of its workhorse H model, at sion,” says Prevost Vice President trending as more and more transit sit Administration with requests for new members who can help us UMA Motorcoach Expo 2009 of Sales Dann Wiltgen. officials begin cooperating with exemptions to the rule, and private spread our message to prevent the here Jan. 22. “The exterior is modern and private motorcoach companies operators were regularly calling on passage of the tax package.” The new coach is the 45-foot typically Volvo, and the interior, rather than face formal complaints federal regulators to stop transit of­ BANY members are meeting Volvo 9700, which has been adapt­ available in three color themes, is for violating the rule. ficials from looking for potential Feb. 5, to discuss the state’s propos­ ed to the U.S. and Canadian mar­ well designed right down to the als, including the governor’s execu­ Ken Presley, vice president of loopholes in the rule or ignoring it kets by Prevost’s parent company, luggage racks and handles, to cre­ tive budget, which proposes a levy industrial relations for the United altogether. on bus-ticket sales and the repeal of Volvo Group of Sweden. ate an impression of spaciousness. Motorcoach Association, said that Presley cited two recent exam­ a cap on the diesel fuel tax. The 9700 won the European “At the same time, this coach many transit systems are not only ples in which transit agencies react­ In the fall, the association plans Coach of the Year award for 2008 will provide our customers with a voluntarily complying with the reg­ ed quickly and favorably when it CONTINUED ON PAGE 16 c at the massive Busworld Exhibi­ ulation but are even responding CONTINUED ON PAGE 20 c CONTINUED ON PAGE 18 c umaB&MCN 12/12/08 1:25 PM Page 1

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MIDWEST NORTHEAST SOUTHEAST SOUTHWEST WESTERN CANADA 800-222-2875 800-222-2873 800-222-2871 800-222-2877 800-322-2877 800-345-1287 www.abc-companies.com Bus & Motorcoach News INDUSTRY NEWS February 1, 2009  California’s CARB extends emissions regs for coaches SACRAMENTO, Calif. — “We would have had a night­ “It’s a huge benefit to our in­ will have to comply with the time­ seating for at least 40 passengers Motorcoach companies that oper­ mare,” said James Seal, a Califor­ dustry,” he asserted. table for both types of emissions, and have a separate under floor ate buses in California have been nia-based motorcoach industry Initially, the Statewide Truck but most motorcoaches will be ex­ luggage compartment. The de­ given an extra three years – until consultant who was instrumental and Bus Rule — approved by the empt from the NOx requirement scription was to distinguish them 2017 — to meet some of the state’s in winning the extension. board in mid-December — called until Jan. 1, 2017. Motorcoaches from school, shuttle, entertain­ tough new emissions standards for “We not only would have been for truck and bus companies to also will be eligible for annual ex­ ment and other types of buses. diesel engines. ditching coaches, but ditching equip their over-the-road vehicles ceptions from the PM standards if In addition to setting the new The extension came from the companies as well, because many with emission-reducing equipment the required filters for the emis­ emission standards, the truck and California Air Resources Board of them could not have afforded an for particulate matter (PM) by Jan. sions will not fit on particular bus rule also requires that many after it reached a compromise with earlier switchover.” 1, 2011 and for oxides of nitrogen buses because of their tight engine older engines that cannot be retro­ the California Bus Association, He said the extension gives (NOx) by Jan. 1, 2014. (See Jan. 1 quarters. fitted to meet the gradually in­ which had warned that the earlier motorcoach operators much need­ Bus & Motorcoach News.) The board described motor­ creasing emission limits be phased deadline of 2014 -- proposed by ed additional time to plan equip­ coaches that qualify for the ex­ out over a 10-year period begin­ the board -- would put many coach ment purchases in preparation for Motorcoaches different emption as those that are “for hire” ning in 2012. companies out of business. the later deadline. Trucks and some buses still only, are at least 35-feet long, have CONTINUED ON PAGE 8 c Industry-March of Dimes link is bolstered by events Godfrey LeBron knows what give back to the community… and it’s like to lose a baby — when his this is a good opportunity to do so.” wife had a miscarriage. “It was the In his own community, Brown worst day of my life.” also underwrites other charities, Today, he’s part of a team of helps with Rotary Club projects, United Motorcoach Association and has served on the board of his leaders working to bring dollars regional March of Dimes chapter. for babies, aiding early childhood Ralph Young, chairman of research and awareness. Young Transportation and a UMA Teaming up with the March of board member, is participating in Dimes, the association is raising Signature Chefs auction in his money through two innovative hometown of Asheville, N.C. It’s a programs that will make the part­ black-tie optional (event) in which nership a year-round endeavor. a dozen chefs from around town LeBron chairs the UMA board and serve up “signature dishes,” he is co-owner of Paradise Trailways says. His donation of a 500-mile in Hicksville, N.Y. round trip, with 10 hours of driv­ The initial activity for the ing time, has a $2,400 value. hookup between the March of Young likes the fact his com­ Dimes and UMA is the donation pany is getting name recognition, of coaches in 12 communities of as well as giving back to the com­ UMA board members to support munity. “It’s just good P.R.,” he the charity’s annual Signature says. Young also participates in Chefs tasting and auction. Special Olympics, church func­ The coaches are being auc­ tions and schools. tioned off for one day of usage, in­ The Signature Chefs project cluding a driver, fuel and as much typically occurs in the fall, varying as a 500-mile round trip. Some from community to community. communities are looking at pack­ “This is just a very exciting aging the auctioned buses with package where you can use (a bus) features, such as a trip to a day spa to go to a (football or basketball) or a meal from a top chef. game with 50 of your friends or go Stephen Brown, vice president to a casino. Some are having chefs of Brown Coach in New York state donate food. That’s the beauty of and a UMA board member, said all this. The base package is the the Signature Chefs project in his motorcoach, the driver and the area is looking at the possibility of fuel, but when we link the motor­ creating a “pamper package,” with coach operator with our chapter, the bus auction and a visit to a day then we can put a creative spin on spa and a restaurant. this thing,” says Lucas. “It’s a smorgasbord of culinary “The feedback we’re getting delights,” says Rob Lucas, senior from the operators is very positive; vice president of revenue develop­ we’re getting reconnected with ment for the March of Dimes. communities,” says Ken Presley, “We think Miles for Babies is a vice president of industry relations great thing, and we look forward to for UMA. partnering with March of Dimes to make it happen,” says Brown. Miles for Babies “March of Dimes is a great organi­ Another program being devel­ zation and we believe we need to CONTINUED ON PAGE 22 c  February 1, 2009 Bus & Motorcoach News

Becoming a new operator gets tougher (and tougher) WASHINGTON — Getting authority now are being examined start-up companies based in the fore they receive a permanent administrator. federal authority to operate a mo­ much more closely under a new re­ United States, and carriers from registration. “Changes in FMCSA’s new-en­ torcoach company has just gotten a cord-checking procedure to verify Canada applying for operating au­ Both of the programs are meant trant program and motorcoach vet­ little more difficult. And, it’s going they actually are a new business thority in the U.S., will be required to assure that new operators fully ting process will contribute signifi­ to get even tougher. and not simply a renamed outfit under a new federal rule to meet understand the safety requirements cantly to ensuring new operators The Federal Motor Carrier that had been shut down recently higher compliance standards for covering their operations, accord­ comply with key safety require­ Safety Administration said new by regulators. passing new entrant safety audits ing to Rose McMurray, FMCSA’s ments and will enable FMCSA and companies applying for operating In addition, beginning Feb. 17, and correct safety deficiencies be­ chief safety officer and assistant CONTINUED ON PAGE 6 c FMCSA switch: Use is OK’d of GPS HOS enforcement WASHINGTON — The Fed­ olators of the hours rules but could eral Motor Carrier Safety Admin­ not get to their GPS records to istration has rescinded a policy prove it, Hill said. barring use of GPS records to ver­ “I can’t look at people in the ify compliance with the hours-of- face who are not compliant with service rules. HOS and say, ‘I’ve got this old pol­ During the past dozen years the icy that says we won’t use GPS re­ FMCSA has taken a hands-off ap­ cords,’” he said. “I just think it’s lu­ proach to using data from advanced dicrous. If you’ve got GPS records technologies, such as GPS, as an that show you’re getting around the enforcement tool “in order to pro­ HOS rules, we’re going to use those mote and encourage use of these as part of our enforcement process.” new technologies by the industry.” Hill said he could not quantify That goal has now been how many GPS users may be dodg­ achieved, the agency said. And ing the hours rules. “But I will tell field staff began seeing situations in you that this is something I hear which the hands-off policy was routinely from the field. I don’t harming enforcement, said outgoing think it’s anecdotal. It happens FMCSA Administrator John Hill. more than you would imagine.” Enforcement officials were re­ The policy change went into ef­ porting they could see obvious vi­ fect last month. New hiring rule: Old ‘papers’ out WASHINGTON — Beginning component of DHS’ Electronic in early February, employers in the Employment Verification System. United States will not be allowed Employers still can use the revised to use expired documents to verify paper version, but there also is I-9 workers’ employment eligibility. software that integrates identifica­ A new rule issued by Home­ tion information into E-Verify. land Security Department aims to New hires or rehires can pres­ streamline the employment eligi­ ent various forms of identification bility verification process and to prove their work eligibility. The crack down on fraud. list of approved documents is di­ As of Feb. 2, expired U.S. pass­ vided into three categories: List A, ports or state-issued driver’s licens­ documents that verify identity and es and other outdated identifica­ employment authorization; List B, tion cards will no longer qualify as which confirms identity only; and valid documentation for Form I-9. List C, which certifies employ­ Social Security cards will not be ment authorization only. affected by the change because U.S. passports are included on they do not expire. List A, while driver’s licenses fall “Expired documents are prone into category B. Workers must ei­ to fraudulent use in the Form I-9 ther provide one document from process by aliens seeking unau­ List A, or one document each from thorized employment,” the depart­ lists B and C. ment said in issuing the new rule. The rule also eliminates several Employers must fill out a newly types of identification included on revised Form I-9 for all new hires List A: temporary resident cards to verify their identity and authori­ and older versions of the employ­ zation to work in the U.S. The form, ment authorization document (Forms mandated by the 1986 Immigration I-688, I-688A and I-688B). DHS and Reform Control Act, is a key no longer issues those forms of ID. Bus & Motorcoach News THE DOCKET February 1, 2009  Ex-Republican congressman heads USDOT for Obama WASHINGTON — The U.S. the U.S. Environmental Protection ential House Appropriations LaHood said the $268.4 billion Hilda Solis, D-Calif., to be his Department of Transportation, Agency to delay implementation Committee. spending package would “put peo­ Secretary of Labor. Solis was a which is expected to play a key role of rules cutting emissions from In 2005, LaHood cited the im­ ple to work, increasing tax reve­ Congressional Hispanic Caucus in President Obama’s economic in­ diesel trucks and buses. portance of infrastructure spend­ nue to help address our state’s leader and was considered to be frastructure rebuilding plan, will be He is a former member of the ing, calling that year’s highway huge budget hole, and helping to one of the most reliably pro-union headed by Ray LaHood, a retired House Transportation and Infra­ bill “a much-needed boost to our move the economy of Illinois in voices in the House. Solis, 51, is Republican congressmen from structure Committee and most re­ economy from the federal gov- the right direction.” the second Latino member of Illinois. cently was a member of the influ­ ernment.” Obama appointed former Rep. Obama’s cabinet. Obama picked the 63-year-old LaHood to be secretary of the USDOT, which includes the Federal Motor Carrier Safety Administra­ tion and National Highway Traffic I n t r o d u c I n g Safety Administration, two motor­ coach industry regulatory agencies. LaHood, who did not seek re- election to Congress in November, was known during his congressio­ nal days for his willingness to crit­ icize his own party and to work The Ultimate Protection for with Democrats. His district in­ Belted and Unbelted Passengers cluded Peoria, Ill., headquarters of diesel engine maker Caterpillar Inc., which made a decision last year to exit the on-highway com­ mercial vehicle market by 2010. In 2002, the moderate LaHood led an unsuccessful charge to get Commission recommends fuel tax hike WASHINGTON — A com­ mission created by Congress plans to release a report in late January plans to recommend increases in the federal taxes on diesel fuel and gasoline. The National Commission on Surface Transportation Infrastruc­ ture Financing will tell Congress that diesel taxes should be in­ creased by 12 to 15 cents per gallon. It currently is 24.4 cents per gallon. The panel also will ask Con­ gress to raise the gas tax, currently 18.4 cents per gallon, 10 addition­ al cents per gallon. Safety for Your Both fuel taxes would be tied to inflation under the commis­ sion’s plan. Entire Family of Passengers Roads and bridges need to be American Seating and SafeGuard®, two industry leaders, have built and repaired, say commis­ sion members, but as Americans joined forces to offer a belted seat that revolutionizes motorcoach drive less and use more fuel-effi­ safety. With exclusive SafeGuard SmartFrame® technology, cient vehicles, revenue from fuel taxes is falling. even your unbelted passengers have frontal crash protection. One year ago, another federal commission, the National Surface For more information on Premier from Transportation Policy and Reve­ nue Study Commission, issued a American Seating and SafeGuard, call 1-800-748-0353. reporting calling for an increase of as much as 40 cents a gallon in the gasoline tax, phased in over five years. Organizations that oppose a americanseating.com safeguardseat.com fuel tax increase say Congress may try to disguise a fuel tax hike this year or next as a “surcharge to Experience the full impact of this innovation at UMA Expo booths #345 and #839. curb climate change.”  February 1, 2009 THE DOCKET Bus & Motorcoach News New operator rules by the companies and other infor­ to help new carriers succeed at es­ mation gathered by the agency. tablishing and maintaining a com­ Feds offer automated alerts CONTINUED FROM PAGE 4 “Our increased scrutiny of ap­ prehensive safety management its state partners to identify unsafe plicants is necessary to safeguard program, according to outgoing for safety recall of vehicles carriers and ensure the early cor­ the traveling public from rogue FMCSA Administrator John Hill. rection of unsafe practices,” she operators that may be reapplying “Imposing these tougher stan­ WASHINGTON — An auto­ Secretary Mary Peters. said. for authority after they established dards will ensure that new entrants mated alert system from the Na­ David Kelly, acting adminis­ tional Highway Traffic Safety Ad­ trator of NHTSA, said the recall critical safety deficiencies under a are fully aware and compliant with ministration provides users with notification system is an expan­ Crash sparks move different operator name,” said federal safety regulations aiding in instant notification of vehicle safe­ sion of the agency’s consumer The new vetting process was McMurray. the continued reduction of high­ ty recalls, including bus and mo­ safety communications program. developed after an August bus “Although we can’t stop every way crashes and fatalities on our torcoach recalls. Earlier this year, the agency intro­ rollover accident near Sherman, rogue operator bent on violating nation’s highways,” he said. The recall alerts can be re­ duced automated recall alerts for Texas, that killed 17 Vietnamese safety requirements, the FMCSA, Under the measure, a newly ceived free via e-mail. child safety seats and tires. Catholics on a pilgrimage. The along with our state law enforce­ registered bus company will auto­ The system allows users to To sign up for NHTSA’s recall cause of the accident was traced to ment partners, aggressively pur­ matically fail its safety audit if it sign up for specific makes of buses alerts, go to www.safercar.gov and the blowout of a retread tire that sues violators when they have been violates any one of 16 essential or other vehicles. click on “E-mail recall notifica­ was being used illegally on the discovered.” federal regulations during the 18- “It is extremely important that tions” under the Defects & Re­ steering axle. (See Sept. 1 Bus & month safety monitoring period. people are aware of recalls and act calls heading. Users can sign up Motorcoach News.) Weeding ‘em out These essential regulations cover quickly to get their vehicles re­ for up to five makes of buses and Investigators learned shortly Since the Sherman crash, the controlled substances and alcohol paired,” said U.S. Transportation coaches. after the crash that the operator agency has received 304 applica­ testing, hours of service, driver started the business in June, just tions from new companies and 127 qualifications, vehicle condition, during roadside inspections, the fair to larger companies. Under the days after another charter company of them are being reviewed under and carrier financial responsibility. company may be subjected to a change, thresholds were added to 2 he owned had been shut down by the new procedure. Nineteen were new-entrant expedited safety audit of the 16 violations that can result federal authorities because of re­ dismissed because the applicants Fixes required or, in the case of serious safety vio­ in failure of an audit. peated safety violations. did not respond to requests for If a company fails the audit, its lations, a more comprehensive Now, a company will fail an The companies ultimately were more information and the remain­ registration with the agency could compliance review that can result audit if a driver failed to prepare a fined last year more than $50,000 ing 158 are awaiting review. be revoked, unless the carrier takes in fines and penalties. record of duty status in more than by the FMCSA. McMurray noted that impor­ corrective action within a specific The carrier may also be re­ half of the trips examined during The Sherman accident prompt­ tant information was missing from time period. Carriers operating quired to submit a written correc­ the review or the carrier failed to ed the FMCSA to briefly halt all more than 90 percent of the appli­ buses with seats for 16 or more tive action plan explaining in detail perform periodic inspections on new-entrant approvals until it could cations, prompting the agency to passengers will have 45 days to how it will achieve compliance more than half of the fleet vehicles review its procedures. The freeze contact each of them to obtain the comply, while companies with ve­ with the safety rules and improve examined during the audit. was subsequently lifted and new needed data. hicles that carry between 9 and 15 its safety performance. To read the new rule, which up­ entrants are being processed, but Meantime, the new rule, which passengers will have 60 days. Some changes were made to dates the New Entry Safety Assur­ under a broader vetting procedure has been in the works for nearly The rule also requires that if the rule in response to concerns ance Program, go to www.fmcsa. that includes a much closer exami­ three years and was not related to during the 18-month monitoring that violations based on a single dot.gov and click on the “Latest nation of the information provided the new vetting process, is meant period, violations are discovered driver or a single bus might be un­ Rulemakings and Notices” link.

 February 1, 2009 INDUSTRY NEWS Bus & Motorcoach News

Texas checks and congressional representatives are getting would be reduced by about $17,000 to account CARB rules incorrect information from (the Governor’s Di­ for the error. However, he insists the bill was CONTINUED FROM PAGE 1 vision of Emergency Management) staff,” correct and in line with the contract he signed CONTINUED FROM PAGE 3 allowed the situation to occur. wrote Kathy Woodard, group supervisor for with the state. The CARB rule, which was “It’s absurd the money wasn’t there in the FEMA in Texas. “I called the state and told them their fig­ pushed by environmentalists, will first place,” said Gene Shields of Eagle Tours “The FEMA PA program is a reimburse­ ures were not what my contract called for and impact hundreds of thousands of in Irving, Texas. “They knew they were going ment program, which means that FEMA reim­ they said it didn’t matter and they were going trucks and buses because it not to owe money and they should not have waited burses the eligible applicant (the Governor’s to pay me the reduced amount anyway,” he only covers vehicles registered in until they got the bills” (to try to find it). Division of Emergency Management) for eli­ said. “They just can’t do that.” California, but also those that trav­ gible disaster-related costs.” el into the state from other states, But what about Ike? She said the same erroneous information is Texas doubles trouble Canada and Mexico. While the state appears to be ready to pay being told to vendors who were involved in set­ Bill Austin of Buses by Bill in Dallas, who for the Gustav work, payments for Hurricane ting up and operating shelters for people who also received one of the e-mails, said he was Diligence pays Ike, a second and more costly storm that struck were removed from communities that were in told to trim his bill by $8,000. “It was an ardu­ Seal said CARB bought into the state remains up in the air. the path of the two hurricanes. ous task (preparing the vouchers) to begin the NOx exemption for motor­ Castle said the Federal Emergency Man­ Woodward said FEMA has a process in with. Back and forth. Need this additional in­ coaches after he discovered that agement Agency has promised to pay 100 per­ place to approve reimbursement payments to formation. Very time consuming,” he said. the board was using flawed num­ cent of the costs for Ike and the payment time­ the state within seven days of receiving the He said he has contacted a state legislator bers to calculate the impact of coaches on the overall emissions table is up to FEMA once it sees the bills from necessary paperwork and it remains committed and asked that he help arrange a meeting with problem facing California. the state. Texas officials have acknowledged to assist the state in its disaster recovery and representatives of the Governor’s Division of “I went through 400 pages of they were overwhelmed by the number of bills will continue to do so in a timely manner. Emergency Management so he can discuss the data and discovered that they in­ they received and are running weeks behind in “We acknowledge that 2008 was a very differences face-to-face with them in an effort creased the number of buses pro­ processing them. busy disaster year for Texas, but we do not to resolve the problem. jected to be in operation in Cali­ “We haven’t gotten anything yet from want to see undue delays or negative percep­ Austin indicated his billing problem may fornia in 2014 at 16,900, and that’s FEMA,” said Castle “The governor has been tions from the bus companies or the shelters stem, in part, from a state-hired vendor that just out of the question,” he noted. working with them to try to get them to expe­ that assisted the state when requested,” she supplied three of his buses with bad fuel that Seal said the CARB calcula­ dite the payments but we don’t know when it added. plugged fuel filters on his vehicles, causing tions were based on a projected in­ will be coming so we can pay the bills.” two of them to break down. Her comments contradicted early reports crease of coaches each year of 10 Texas is disaster fundless The effort to reduce the bills of operators percent, rather than a more realis­ from state officials who told motorcoach oper­ Castle said the state money that will be used came as a surprise to Castle, who said she had ators that FEMA was paying 75 percent of the tic 1.75 percent, which resulted in to pay for Gustav became available after Gov. not heard about it. She said she notified the the inventory of buses and the Ike costs, and that was part of the reason the Perry worked with Lt. Gov. David Dewhurst state’s director of homeland security who payments were being delayed. emission projections being over­ and Speaker of the House Tom Craddick, who promised to look into it. stated by almost three times. The comments also conflict with those of co-chair the budget board. “That just doesn’t seem right, unless, of “We were very lucky on this FEMA, which says the state has been providing She emphasized that had the state set up a course, an audit questioned something that was one,” he added. erroneous information to bus operators, the disaster fund, as was proposed by the governor not correct,” she noted. Trucking companies also media and others implying that the federal a year ago, the money for the hurricane rescue Auditors have been reviewing the line fought the rule, stressing that en­ agency is to blame for the holdup in paying work probably would have been available much items of each bill and have been asking opera­ acting it during bad economic vendors for their work during the Gustav and sooner. tors to send additional information before their times could force many businesses Ike hurricanes. “The governor asked for it during the last bills are approved for payment. into bankruptcy. In a sharply worded letter to state officials, session but it was turned down,” she said. “He The entire debacle over the payments has Environmentalists, health offi­ FEMA emphasized that the federal disaster as­ has been adamant about having a relief fund raised concerns among state officials who have cials and others, however, argued sistance provided by the agency reimburses the and will be asking again that it be set up when been hearing that many operators won’t be re­ that the rule will help control in­ state directly for its expenses and does not go legislators go back in session (this month).” sponding the next time the state needs a large creases in respiratory and other directly to vendors. It said comments from the Meantime, a new sore point has developed number of buses for an emergency evacuation. pollution-related ailments and re­ Governor’s Division of Emergency Manage­ over Texas’ billing procedures. “We hope the drivers who say they won’t duce health care costs by billions ment (GDEM) that it is waiting for federal Operators report they have received e-mails come back to Texas will reconsider. Those that of dollars. funds before it can pay bus operators and oth­ from the state asking that they reduce the were here this past (storm) season were real he­ Seal cautioned that the motor­ ers are wrong. amount of their bills. roes. They actually saved lives by evacuating coach industry will have to keep a Shields, who received one of the e-mails, our residents from harm’s way. The governor close watch on CARB to make sure Nay, nay says FEMA said the message he received told him he had has said numerous times that we appreciate it does not attempt to modify terms “Somehow the bus companies, the press miscalculated his charges and the amount their sacrifices,” said Castle. of the compromise or the rule.

How to contact us ISSUE NO. 139 To submit or report news, Letters to To advertise or to mail advertising- Joan Libby the Editor, articles, news releases or to related materials: Cavalier Coach report corrections: Call: Johnny Steger at (866) 930-8426 A PUBLICATION OF THE UNITED MOTORCOACH ASSOCIATION Boston, Mass. E-mail: E-mail: Marcia Milton First Priority Trailways [email protected] [email protected] Staff Advisory Board District Heights, Md. Fax: (405) 942-6201 Mail: 2200 N. Yarbrough, Suite B William Allen Bob Foley Michael Neustadt Mail: 3108 NW 54th Street Box No. 336 Editor & Publisher: Victor Parra Sierra Trailways ABC Companies Coach Tours Oklahoma City, OK 73112 El Paso, TX 79925 Sacramento, Calif. Faribault, Minn. Brookfield, Conn. Senior Editor: Bruce Sankey Call: (866) 930-8421 Larry Benjamin Gladys Gillis Jeff Polzien To send advertisements or Northfield Lines Starline Transportation Red Carpet Tours Sales Director: Johnny Steger Northfield, Minn. Seattle To subscribe or inquire about your photographs via the Internet: Oklahoma City subscription: Industry Editor: Ken Presley Dave Bolen Robert Hume Tom Ready E-mail: [email protected] New World Tours Travel Mates Trailways Ready Bus Lines E-mail: Associate Editor: Ellen Balm Bristow, Va. Harrisonburg, Va. LaCrescent, Minn. [email protected] To contact the David Brown Daryl G. Johnson Brian Scott Fax: (405) 942-6201 United Motorcoach Association: Art Director: Mary E. McCarty Holiday Tours J & J Charters Escot Bus Lines Randlemann, N.C. Crosby, Texas Largo, Fla. 3108 NW 54th Street Mail: Call: (800) 424-8262 Editorial Assistant: Amy Stalknecht Oklahoma City, OK 73112 James Brown Sr. Dale Krapf Michelle Silvestro Online: www.uma.org Magic Carpet Tours Krapf Coaches National Interstate Insurance Co. Call: (866) 930-8421 Editorial Assistant: Mark Gedris Richmond, Va. West Chester, Pa. Richfield, Ohio Steve Brown Godfrey Lebron T. Ralph Young ©2009 by the United Motorcoach Association. Reproduction in whole or in part without Accountant: Ted Williford Brown Coach Paradise Trailways Young Transportation written permission is prohibited. Amsterdam, N.Y. Hicksville, N.Y. Ashville, N.C.

10 February 1, 2009 INDUSTRY NEWS Bus & Motorcoach News From construction to coaches, Founder of Holiday Tours in N.C. dies LEVEL CROSS, N.C. — Mr. Thompson developed his Today, Holiday Tours/Holiday Robert Conner of Texas dies Dwight E. Thompson, co-founder battling instincts from having Companies is one of the south’s with his wife Nancy, of Holiday served 14 years in the U.S. Navy. leading motorcoach companies HOUSTON, Texas — Robert years before the downturn in the Tours/Holiday Companies of He enlisted during the Korean with a fleet of 60+ buses. It was G. Conner, a successful former Florida economy after 9/11 forced Randleman, N.C., died last month War and served a dozen years on a No. 34 on the 2008 Metro Maga­ home builder who joined his son him to close. He moved his five of a pulmonary embolism and variety of ships, ranging from air­ zine Motorcoach Top 50 list. The and wife in the motorcoach indus­ buses to Houston and they were in­ pancreatic cancer. He was 73. craft carriers, to destroyers, to nu­ company, which is headed by Mr. try at Sierra Stage Coaches here in corporated into the Sierra fleet. The Thompsons established clear frigates, before being severe­ Thompson’s stepson, David R. 1986, has died after losing a fight to At that point, Mr. Conner re­ Holiday Tours in 1978, just prior ly injured in an at-sea refueling Brown, is also a member of IMG. a rare blood disorder. He was 82. sumed his duties as operations man­ to deregulation of the bus indus­ operation in the North Atlantic. Besides his stepson, Mr. Mr. Conner joined the U.S. ager of Sierra, which had joined the try, meaning he spent upwards of a He spent nearly 23 months in a Thompson is survived by his Navy during World War II and Trailways system in 1995. He con­ year satisfying the bureaucratic naval hospital, recovering from widow, Nancy Rayle Brown served in the Pacific Theater until tinued to be active in the company requirements of the 1970s to get skull and back injuries. He was Thompson. he was discharged in 1946. until his death last month. He at­ the company started. eventually forced to retire from Memorials in Mr. Thompson’s He returned to Houston and at­ tended UMA Motorcoach Expo in He quickly became part of the the Navy because of disabilities name have been established with tended the University of Houston San Francisco a year ago. movement to expand operating resulting from his injuries. Hospice and Palliative Care of where he graduated in 1949. He Mr. Conner’s home-building authority beyond the clutches of He worked to build Holiday Greensboro, 2500 Summit Ave., began his career as a home builder and real estate background gave the regular-route carriers of the Tours for 18 years before suffering Greensboro, NC 27405, and Level in Houston in 1951. His building him unique insight into the opera­ day, and was an active part of the a heart attack in 1996. He recov­ Cross Baptist Church Building and real estate development career tions of a bus company, both being new wave of operators in the 1980s ered, returned to work on a limited Fund, 10169 U.S. Highway 220 lasted four decades. tough, thin-margin businesses. that brought bus touring to a basis, retiring three years ago this Business North, Randleman, NC In 1986, Mr. Conner went to Mr. Conner was an avid yachts­ boarder customer base. month. 27317. work at Sierra Stage Coaches, a man, building three sailboats and company his son, Robert, and wife, owning 35 boats during his life­ A.C. Marie Conner, had founded time, and held a commercial air­ Flying J in bankruptcy, stops remain open in 1982. He was Sierra’s opera­ plane pilot’s license. tions manager. Besides his son, Mr. Conner is ODGEN, Utah — Truck stop credit markets.” The filing includes Flying J In 1998, Mr. Conner formed survived by a grandson and grand- chain Flying J Inc. has filed for The company said all of its ap­ and its Big West refining and Gulf Charters and joined the Trail­ daughter. Chapter 11 bankruptcy reorgani­ proximately 250 travel plazas and Longhorn Pipeline subsidiaries ways Transportation System, oper­ A memorial has been estab­ zation, “to address near-term li­ fuel stops will remain open, and only. No other subsidiaries or af­ ating under the name Gulf Trail­ lished in Mr. Conner’s name at St. quidity needs brought about by the that it plans to continue normal filiates, including its Canadian op­ ways based in Fort Meyers, Fla. He Luke’s Episcopal Hospital, 6720 precipitous decline in oil prices business operations as it moves erations, are included, the compa­ operated the company for five Bertner Ave., Houston, Texas 77030. coupled with the disruption in the through the reorganization process. ny said. WeNot shareonly do your we passion take care for of excellence. your parts Ourneeds, mission we take is to care design of you.and assistavailable you throughout with all your the parts country, needs. provides We know the howresources important that itmake is to buildWe understand the ultimate what in itdriving takes tocomfort run a smooth and safety. operation. It begins That’s at why the everyget back journey on the a road. smooth It’s one.our policy We’re to always make that there. happen Leading without the designyou depend stage. on And us. Thecontinues Prevost with Parts micro-precision network, spanning assembly. all of North The charge.delay. 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©2007 PREVOST CAR, INC. 12 February 1, 2009 INDUSTRY NEWS Bus & Motorcoach News Deadline nears for Tourism Cares grants; April project set CANTON, Mass. — The initial sified as non-profit, tax-exempt A Grant Letter of Inquiry Pack­ Sitting on 80 acres in rural tals kept intact as it was in 1863. deadline this year for organiza­ organizations under section et must be submitted by Jan. 30. Pennsylvania, Spangler Farm was Volunteers will be involved in tions to apply for grant funding 501(c)(3) of the U.S. Internal Rev­ Meanwhile, in April, Tourism used as a field hospital for thou­ painting, replacing fencing, de­ through the Tourism Cares World­ enue Code, or the equivalent in the Cares will embark on its seventh sands of wounded soldiers during molishing modern structures, wide Grant Program is Jan. 30. case of non-U.S. organizations. annual Tourism Cares for America the Battle of Gettysburg. The farm clearing brush and much more. Under the program, Tourism To date, Tourism Cares has clean-up/fix-up project at Span­ also was the site of the death of The Tourism Cares for Gettysburg Cares provides money to “worthy given money to 120 organizations gler Farm in Gettysburg, Pa. This Confederate General Lewis Ar­ event will be April 16-18. tourism-related nonprofit organi­ in 37 states and 25 countries, in­ battleground is one of the most mistead, who led the climactic To get involved with the Span­ zations” for capital improvements cluding a dozen national parks. The significant sites in U.S. military event of the three-day battle — gler Farm project or to obtain infor­ or educational programs. grants, when combined with match­ history, producing the largest num­ Pickett’s Charge. Today, the prop­ mation about the grants program, Grant recipients must be clas­ ing funds, total nearly $2 million. ber of casualties in the Civil War. erty is one of the last field hospi­ go to www.tourismcares.org. New rules for int’l travelers now in effect WASHINGTON — Motor­ coach companies that regularly handle foreign tour groups should double check to make sure their customers are prepared to meet the tough new rules for international visitors coming to the United States from three dozen nations. Travelers visiting the U.S. from the 34 nations that are part of the Visa Waiver Program now face en­ hanced security requirements through the U.S. Department of Homeland Security’s electronic system for travel authorization program. The initiative became effective in the middle of January. Travelers from the Visa Waiver Program countries need to com­ plete an online travel authorization form and receive advanced approv­ al prior to coming to the U.S. Department of Homeland Secu­ rity officials review the information and either approve or deny the pas­ senger’s entry. The form, which asks for the same biographical information typ­ ically provided via the I-94W paper form that guests have previously filled out upon arrival at a U.S. port of entry, should be submitted as far in advance as possible to allow proper review and response time. Each electronic system for trav­ el authorization is valid for two years and allows visitors unlimited travel to the United States during that period. Approval will not be granted to travelers holding a passport that ex­ pires within six months of when they use the electronic system for travel authorization. Fact sheets with more informa­ tion on the initiative have been pre­ pared in the following nine lan­ guages: English, Spanish, French, German, Japanese, Italian, Dutch, Swedish and Portuguese. Go to www.dhs.gov and search Visa Waiver Program. Bus & Motorcoach News INDUSTRY NEWS February 1, 2009 13 Bus hit, driver falls out of seat, bus crashes: Lawsuit FORT LAUDERDALE, Fla. — Gustavo Ordunez, lost control of the Jaws of Life and was one of 32 sengers on that bus,” said attorney way to a day tour of the Ever- A tour guide who says she was seri­ his bus when he fell out of his seat people transported to hospitals with Diana Santa Maria. glades. ously injured when the motorcoach after the coach was hit by an auto serious injuries. The accident oc­ According to the suit, the coach En route to the Everglades, a she was riding in crashed — be­ on Interstate 595. curred in January of last year. was owned by Salud Services Inc., Mustang driven by Omar Abu-Jabir cause the driver fell out of his seat The driverless coach crossed “Ordunez’ failure to wear his doing business as Endeavor Bus hit the bus, according to a police re­ as a result of not wearing a seatbelt the median and into oncoming traf­ seatbelt led to his losing control of Lines of Miami. port. The suit alleges that bus driver — has sued. fic before hitting a concrete the bus he was operating, causing it Kerbler was hired to familiarize Ordunez was thrown from his seat Ingrid Kerbler filed the suit late barrier. to crash into a concrete barrier tourists — from a cruise aboard because he wasn’t wearing his seat­ last year in Broward County Circuit According to Kerbler’s attorney, which resulted in multiple injuries Holland America’s ms Maasdam belt and the coach went out of con­ Court here, saying the coach driver, she was removed from the bus by to our clients and many other pas­ — with South Florida sights on the trol because it was driverless. Lawsuits settle in Texas crash VICTORIA, Texas — In an un­ usual development, victims of a bus crash near here early last year have settled their lawsuits against the driver, owners and managers of the coach companies, which inves­ tigators found were operating ille­ gally in this country. Dozens of passengers were seri­ ously injured in the Jan. 2, 2008, crash that took the life of one passenger. The $10 million in insurance held by the bus companies involved was divvied up among the victims. Forty-four of the 47 passengers on the coach filed injury claims. The accident occurred at 4 a. m. as the bus was traveling from Monterrey, Mexico, through Vic­ toria and toward Houston. Investi­ gators say the driver fell asleep, awoke, over-corrected, causing the coach to overturn. “We hired a mediator, who eval­ uated the value of each person’s claim if it were to go to court,” said Jim Cole, a plaintiff attorney. “Ev­ eryone recovered a percentage.… I just think it’s a shame the bus com­ panies didn’t maintain financial re­ sponsibility for all the losses. No one received full compensation.” In the suits, Houston-based Capricorn Bus Lines, International Charter Services and Transportes Chavez were charged, in part, with failing to properly screen, test and qualify drivers — as well as allow­ ing drivers to operate a bus while fatigued. The companies had a long list of citations before the crash. Capricorn Bus Lines leased its buses to International Charter Ser­ vice, which can legally across state lines and into Mexico. A federal investigation revealed what is thought to be an illegal scheme to move non-U.S. com­ plaint, Mexican-made buses into Texas. (See Nov. 1 Bus & Motor- coach News.) The bus that crashed should not have been operating in Texas because it was not built to U.S. federal safety standards, ac­ cording to the National Transporta­ tion Safety Board. 14 February 1, 2009 INDUSTRY NEWS Bus & Motorcoach News A few ‘borrowed’ ideas for resisting the recession By Dave Millhouser times offer opportunity. Anyone happy. driver shortage is over, and now’s make an effort can succeed during a boom. But a If competition is manageable, the time to weed out weak links in to lease coach­ What if we gave a recession downturn weeds out weak players and you’re convinced that lots of your operation. Doing what it takes es to compa­ and no one came? and tends to reward innovation. people want to travel this route, to hold the good ones is key to nies in regions One prominent radio personal­ The survivors thrive when things plan to lose money at first. More thriving when the recession is that are either ity says we should deal with eco­ get better. importantly, establish some sort of over. avoiding the nomic downturns by simply not Sticking with my tradition of drop-dead numbers. How much The same guy is working at recession, or participating. stealing other folks’ ideas, this money are you willing to lose be­ “yield management” — a clever experiencing Easy to say. seems a good time to let you know fore this thing turns a profit? The way of saying he’s trying to maxi­ s e a s o n a l Dave Millhouser For years, our industry was rel­ what some operators are doing. big guys do this. mize his rates when coaches are in upturns. atively immune to bad times. Folks Curbside carriers have, for sev­ Some routes work, some don’t, short supply, and determine what Several folks I spoke to said had to get places and we were the eral years, done OK operating dis­ and there are often surprises. Be makes sense during slow times. business wasn’t that bad, but they most economical way to go. Hun­ counted express service, and some honest with yourself about the dif­ Many operators are working were scaling back capital commit­ gry people devolved from restau­ charter carriers have been tempted ference between a budget and a hard at lowering costs. This facet ments in expectation of a rants to McDonald’s, and travelers to have a run at it. Low overhead bottomless pit. requires leadership as well as intel­ slowdown. traded down from airplanes to and high load factors have made A key to success in this service lect. One of the guys I respect Not a bad idea but you’ll want buses. some profitable. You can make is constant attention. Know how most sold his sports car. He needs to be sure that the decisions you Beginning with deregulation in money in regular route but you can you’re doing — on a daily basis. his staff to make sacrifices, and make to survive these bad times 1980, the game changed. The per­ lose it too. Nothing swallows cash The budget has to allow for operat­ feels he can’t ask them to give up don’t cripple your chances for centage of business that came from like grinding down the highway, ing trips with few passengers, so more than he is. The Chevy works growth when things get better. charters and tours (and, therefore, guzzling diesel, with eight dis­ that clientele can trust you. fine and his people work as if they There are a lot of ideas out was more exposed to economic counted passengers. This is HARD. Don’t, for a are all in it together. there; these were all I could steal cycles) skyrocketed. During the If you’re in a town where regu­ minute, imagine operators are Some companies use drivers as for this column. Why not eliminate same period, regular-route service lar-route service might make sense, making tons of money without sales people. When times are slow, me as the middle man, and talk to stagnated, struggling to compete give some thought to who you’ll huge effort and risk. they turn them loose to seek new other operators about what they’re with dramatically lower airfares compete with. One company re­ One friend says he’s now pur­ business, paying a commission, doing? One way to do that is to be and the automobile. sponded to the last recession by suing more contract business. He and letting them drive the trip. active in trade associations, and Several paragraphs to tell you starting a line that competed with acknowledges the margins are thin, Good drivers ARE salespeople, maybe (he said shamelessly) at­ something you already knew: an 800-pound gorilla that had, until but he keeps his equipment and why not use that skill? tend the UMA Motorcoach Expo. These days, we’re no longer differ­ then, been friendly. A conversation valued employees working. In some states, operators elimi­ Dave Millhouser is a bus in- ent from everyone else. Times are would have prevented disaster and In addition to the financial nate overhead by pulling license dustry marketing consultant and tough. the gorilla might have offered al­ benefits, he’s refining his work plates off coaches during slow pe­ freelance writer. Contact him at: One bright spot is that bad ternatives that made everybody force. For most of the industry, the riods and cutting insurance. Others [email protected].

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Come See Us At Booth #631 Bus & Motorcoach News INDUSTRY NEWS February 1, 2009 15 Expert: Reduce costs by examining maintenance

STERLING, Va — Motorcoach habits that can speed up mainte­ brand of parts might be needed. less, they are not plug-and-play ing the semi­ companies looking to reduce costs nance needs and result in extra ga­ “It can help you weed out bad and require extensive data entry at nar were given and improve operations should rage time. parts and help you decide if you the outset and regular updating. a certificate of consider examining their mainte­ The tracking of engine and should make a change in your ven­ “It’s like garbage in, garbage continuing ed­ nance operations. other vehicle components offers dor,” he said. out,” he said, “If you don’t put any­ ucation from That’s the advice of long-time major savings because operators Hotard noted that while the thing into it, then you won’t get UMA. industry expert Louis Hotard, di­ will be able to tell how long the benefits of computerized mainte­ anything out of it.” rector of technical services at ABC parts are lasting and if a different nance programs are almost end­ Motorcoach executives attend­ Louis Hotard Companies, who says new prod­ ucts and technologies can produce valuable savings. Speaking at the fifth annual United Motorcoach Association Safety Management Seminar, he singled out tires, oil filters and computerized maintenance pro­ grams as good places to start. Hotard said tasks as simple as making sure all of the tires on a coach are properly inflated before it leaves the garage can produce al­ most immediate positive results. Failing to do so, he stressed, will almost certainly lead to costly breakdowns, driver fatigue, in­ creased fuel consumption, a nega­ tive image of the company and other problems. “The last thing you want is a tire guy parked alongside the high­ way next to your coach with your billboard on it,” he asserted. Although compressed air can keep tires pumped up to the right pressure, he said large amounts of it seep through the stems and side­ walls, increasing the possibility of coaches running with under-inflat­ ed tires. A possible solution, he sug­ gested, is nitrogen, which is begin­ ning to get some use on commer­ cial vehicles. He said it has the potential of being a very good re­ placement because it reduces the loss of tire pressure by as much as six times and it stems costly wheel corrosion because it creates less moisture. Despite the upside, Hotard cau­ tioned that nitrogen is not readily available and it may be some time before it becomes widely available. “But if you don’t do anything else to your tires, keep them prop­ erly inflated,” he emphasized. Hotard said bypass oil filters also are beginning to show up on commercial vehicles, and using them will double the life of engine oil so oil changes can be extended to 30,000 miles rather than the usual 15,000. “Oil cleanliness is subject to maintenance and most operators don’t need more maintenance,” he noted. Computerized maintenance programs also produce savings by tracking everything from wear and tear on engine parts, to bad driver 16 February 1, 2009 INDUSTRY NEWS Bus & Motorcoach News Bus operators get caught in N.Y. budget craziness

ALBANY, N.Y. — A proposed tax on decisions, smaller states often follow suit, he ognize that our bus operators are the environ­ Kremer of some of the new taxes included in bus ticket sales and the potential lifting of a notes. ment’s best friend, not only because we re­ Paterson’s budget proposal. “There’s a 14 cap on diesel fuel taxes in New York has “As New York goes, so go a lot of other duce the amount of automobile traffic but percent tax increase on sweetened beverages, broad implications for all other states, say states,” adds Kremer. because we also make major investments in not diet. There’s a lot of exotic stuff in there.” New York bus executives. “What they should be doing is getting fuel-saving vehicles. But, he adds, “that’s what a smart budget Gov. David Paterson rolled out an execu­ people on buses, not discouraging them from “We take these assaults on our industry staff does. I ran a fiscal committee, so I know. tive budget for the fiscal year that begins getting on buses,” says Silvanie. “All of these very seriously and are prepared to do battle in People stay up nights looking for ways to April 1, which would impose a wide range of taxes are regressive. They are the opposite of 2009 and 2010,” Kremer says. tax.” Kremer was a state assembly member exotic new levies, including the ticket sales tax. what is good policy. We’ll have to raise what “What gets lost in this discussion is that for 23 years, and assembly ways and means Although the ticket levy wouldn’t go into we charge to customers, and when it becomes for every 50-passenger bus, 12-14 cars are committee chair for 12 years. effect until June 1, it would be retroactive for so expensive that people think they can do it taken off the road. Making the burden greater “We’re going to do an across-the-state tickets sold but not yet used. themselves, drive themselves, it’s going to in­ on our industry is just crazy,” asserts mobilization of members. We have a lot of One operator estimates it would have to crease congestion.” Kremer. (companies), we have a lot of employees, we pay $250,000 in additional taxes for advance Adds Kremer: “The state refuses to rec­ “They’re scratching for money,” says have a lot of customers,” says Kremer. tickets already sold and to be used later this year, reports John Silvanie, president of the BANY battles serve regular-route carriers. Its bylaws were much of its attention on the New York State Bus Association of New York State and head rewritten early last year to open membership Department of Transportation operating as­ of White Plains Bus Co. CONTINUED FROM PAGE 1 up to charter-and-tour operators, companies sistance program, which is vital to regular- The state estimates the ticket tax would to conduct a mini-marketplace where ven­ with commercial bus operations, shuttle route carriers.The program, called the State bring in $14 million in new revenue. dors can gain access to members and to raise companies and para-transit operators. Transit Operating Assistance Program, reim­ The lifting of the cap on fuel excise taxes dollars for the association. The board of directors also has been rede­ burses bus companies based upon revenue is expected to bring in $90 million in new As part of its campaign, the association signed to bring more diverse voices to the passengers and revenue miles. The funda­ revenue, based on an average the state has wants to double membership this year and table, including Ken Presley, United Motor­ mental issue each year was the level of assis­ formulated. again in 2010. The goal is to have each mem­ coach Association’s vice president of indus­ tance the state would provide. New York is running a $15 billion budget ber bring in a member in 2009 and again in try relations, and UMA’s chairman, Godfrey Now, the issue has become more critical. deficit. 2010. LeBron. LeBron is BANY’s secretary and is This year’s executive budget looks at the pos­ Silvanie and BANY counsel Jerry Kre­ Through direct mailings, e-mails, person­ co-owner of Paradise Trailways in Hicksville. sibility of reducing the program mer see the developments in New York as a al connections and other communication de­ “We believe this infusion of new blood significantly. potential national time bomb. vices, the 71-year-old association plans to in­ onto the board of directors will bring a wealth The overarching mission of BANY today “This is a national problem,” says Sil­ crease membership from its current level of of new ideas and new programs which will is to promote and protect its members through vanie. States are facing budgetary shortfalls about 30, says President John Silvanie, who help drive the membership process,” says advocacy in Albany and New York City, pre­ throughout the country, and when a large heads White Plains Bus Co. Silvanie. venting bad legislation and regulations, and state, like New York, makes such budgetary The association was originally set up to For years, the association has focused promoting good legislation and regulations. Bus & Motorcoach News INDUSTRY NEWS February 1, 2009 17 Va. transit agency tries new way to skirt charter rule RICHMOND, Va. — A north­ that granting of the license would “Virginia Rides indicates they for this service. The plain-and-sim­ The company asserted at the ern Virginia transit agency has take away business and put them at only wish to afford charter trans­ ple truth is VRT wants to be in the hearing that although federally come under fire from the motor­ a disadvantage because they fund portation to human service organi­ charter business and this is its ver­ subsidized VRT is its parent com­ coach industry for having one of its their own operations and are not zations. The revised charter service sion of circumventing the rule,” pany, it is a separate entity and does subsidiaries obtain a state operat­ subsidized by federal transit grants. regulation provides ample caveats emphasized Presley. CONTINUED ON PAGE 19 c ing permit that will allow it to pro­ vide charter service in three differ­ ent sections of the state. Coach industry opponents of the move say Virginia Regional Shore Funding LTD. Transit of Purcellville is attempt­ ing to skirt the new charter service rule that was adopted last year by the Federal Transit Administration. PUTTING YOUR COACH FINANCING “We have concluded the issue is very clear, VRT is doing its best to circumvent the revised charter ser­ OVER THE TOP SINCE 1978 vice rule,” said Ken Presley, vice president of the United Motorcoach Association. “Is this how the com­ munity that supports VRT wants its resources dedicated, harming pri­ vate taxpaying businesses that em­ ploy dozens in their community?” His comments were echoed by Scott Merriman of Scenic America in Bealeton, Va., who warned the precedent could lead to other tran­ sit agencies in the state following VRT’s lead and creating their own subsidiaries and beginning to com­ pete for charter work with private carriers. “I think they’ve opened a Come real Pandora’s Box here,” he said. Presley and Merriman both See Us At said the situation is likely to lead to the filing of a charter service rule Booth violation complaint with the FTA. #767 The federal rule strictly limits the types of charters that public Coach Financing and Leasing “Specialists” transit agencies are allowed to do and requires that before they can accept a charter, they first must s Coach and School Bus Financing s Low fixed rate equipment offer it to private carriers that have asked to be notified. s Terms up to 84 months financing At issue is a decision last month s Balloons and Skip monthly s Fleet refinancing by the state Department of Motor Vehicles, granting VRT subsidiary payments available s Used equipment financing Virginia Rides an operating certifi­ cate to provide charter service in s 100% Financing available s Trac leases available Loudon and Culpepper counties and in the city of Staunton. Loud­ to qualified credits on is a northern suburb of the Dis­ trict of Columbia, while Culpepper is about 100 miles from the capital and Staunton is 200 miles away. Virginia Rides said at a hearing conducted by the state DMV that it plans to offer low-cost and short- duration trips of about one hour to Shore Funding LTD. social service groups, private TEL: (732) 842-2828 schools, youth organizations and 116 Oceanport Ave agencies that provide transporta­ FAX: (732) 842-2281 tion for the homeless and the elder­ Little Silver, NJ 07739 ly. Officials from the two counties and the city joined the company at the hearing and testified that there WWWSHOREFUNDINGLTDCOMs [email protected] was a need for such service. The request was opposed by the Virginia Motorcoach Association (800) 542-7467 and 16 of its members who argued 18 February 1, 2009 INDUSTRY NEWS Bus & Motorcoach News

the work. charters the transit agencies were doing be­ portation work for the university and most of Transit cooperation “We just do not want the private charter fore the rule took effect. Also, some private those jobs are likely to be offered to private CONTINUED FROM PAGE 1 operators to be discouraged or create unreal­ operators are subcontracting a portion of the bus companies in the future. was pointed out that the official notifications istic expectations,” he said. The FTA also new work to transit agencies. And John Miller, president of Miller of charter work they presented to private says it has seen a gradual shift toward coop­ Randy Ingram of Premier Coach in Knox­ Transportation in Louisville, Ky., took coop­ companies contained proposed fares in viola­ eration as well. ville, Tenn., said officials of the Knoxville eration a step further when he landed a con­ tion of the charter rule. Although specific statistics are not avail­ Transit Authority were helpful to him after he tract to operate shuttles for several major He said Paducah (Ky.) Area Transit and able, federal regulators say there has been a won a contract to handle shuttles for a major sporting events, including the Kentucky city officials in Lodi, Calif., immediately re­ noticeable drop in the number of questions conference on the campus of the University Derby and the Indianapolis 500. vised their notices and re-published them and advisory opinions they are getting from of Tennessee in August. He shared some of the specialty shuttle without listing the fare information. both transit agencies and private charter “They were very cooperative,” he said. work he was unable to handle with transit “I was mistaken in including that infor­ companies. “In the past it was a job that they would have agencies, which in the past had been doing all mation for those types of notices,” acknowl­ “Things are slowing down all the way done but they stepped aside and we did the of the work. Despite the move toward coop­ edged Lew Jetton of Paducah Area Transit. around,” observed Linda Lasley, assistant work.” eration, not everyone has gotten the message, “In the future, I will leave it off the charter chief counsel at the FTA. “It looks like we’re The contract involved the use of six and the FTA has responded forcibly. notices.” getting into the calm where they’re starting to coaches to shuttle hundreds of people during Acting on concerns raised by private Presley suggested that listing an expected say that the rule isn’t so bad after all.” the five days of meetings. charter carriers, the FTA in October found fare in a charter notice — likely much lower Meantime, private operators say they’re Ingram said he expects to get even more that two public transit agencies were operat­ than what actually would be charged – could even getting some help from transit officials, charters from the transit agency because it ing charters in violation of the charter service keep some private operators from bidding for including advice and other information about had been doing a substantial amount of trans­ rule and ordered both to stop the operations. Operator wins Galusha, who was the only private oper­ never heard from the association again. could not provide all of the specialized ator to respond to the notification of the Foothill, in its complaint to the FTA, ac­ equipment requested by the customer. CONTINUED FROM PAGE 1 charter issued by Foothill, said he could pro­ cused Silverado of bad-faith negotiations The FTA has consistently ruled that a “We lost a substantial amount of money vide enough buses for the work, but he because it could not meet the conditions re­ bus, is a bus, is a bus. And that transit agen­ by not being able to do the shuttle,” said Jim could not guarantee they would be two-door quested by the association and that it offered cies cannot issue charter notices that specify Galusha, president of Silverado. transit buses, that all them would have a rate that was not commercially reasonable. the type of bus or buses that will be needed. The dispute centered on the buses and wheelchair or disability access, and that Silverado denied the claims, maintaining Galusha was pleased by the ruling and support staff that the Pasadena Tournament they all would be “clean air” buses. that the FTA regulations do not require a pri­ hopes it will help other carriers in similar of Roses Association said it needed for the The association, after exchanging a se­ vate motorcoach operator to meet all of the disputes with transit agencies attempting to shuttle. The association said it wanted 50 ries of e-mails about the operation, eventu­ requests of a potential customer and that its take away charter work from the private two-door transit-type buses that could ac­ ally said the price proposed by Galusha was rates were reasonable. sector. commodate seated and standing passengers, out of line with other bus companies and it In its ruling, the FTA said Silverado’s ac­ “Hopefully my commitment to spend the were wheelchair and disability accessible, could not hire the carrier. tions did not constitute bad faith under the money to defend mine and other private mo­ and were “clean air” operated. In addition, Galusha asked for the rates that were federal charter service rule and that transit torcoach operator rights will help deter tran­ it said at least five supervisors would be being used to compare his price and how agencies are not allowed to perform a char­ sit agencies from pursuing this complaint needed to manage the shuttle operation. much the association wanted to pay, but ter job based strictly on the fact that a carrier tactic in the future,” he said. Bus & Motorcoach News INDUSTRY NEWS February 1, 2009 19 Virginia transit Bendix buys VORAD radar system from Eaton Corp. CONTINUED FROM PAGE 17 CLEVELAND, Ohio — Commercial vehi­ radar to sense when vehicles get too close to a able to see due to fog or other bad weather. not share in any VRT government cle parts and components maker Eaton Corp. VORAD-equipped bus. It also will alert the Eaton said its Roadranger division has en­ grants. Instead, it claimed it was fi­ announced it has sold its VORAD, or vehicle driver if the coach is veering into traffic in an­ tered into an agreement with Bendix to contin­ nanced by VRT with a $10,000 on-board radar, system to Bendix Commercial other lane, and can track the position and ue to market and support the VORAD system loan that originated from local and Vehicle Systems. Terms were not disclosed. movement of up to 20 vehicles at a time. in the North American market. other nonfederal revenue sources The Eaton VORAD anti-collision warning With the Eaton VORAD system drivers During last year’s fourth quarter, Bendix and that it pays VRT an annual system is standard equipment on all BCI Fal­ have more time to assess and correct dangerous announced it was acquiring SmarTire Systems, $16,000 management fee. It also con motorcoaches. situations. The unit’s radar also is able to alert the Canadian manufacturer of tire pressure maintained that it has its own buses, The driver warning system uses Doppler the driver to traffic that he or she may not be monitoring systems used on motorcoaches. parking, offices, phones, bank ac­ count and financing arrangements. Hearing Officer Terrence Deanes ruled that because there was no evidence that the private operators were not now providing the service sought by Virginia Rides, there was no basis to con­ clude that granting the certificate would be unfair or cause them fi­ nancial harm. “I was shocked, disappointed and dissatisfied with the ruling, which shows that the hearing offi­ cer and the DMV are uneducated and clueless about the federal char­ ter rule,” said Merriman. “To allow a nonprofit to do charters makes zero sense to me.” He said VRT had been doing charters for many years but was prevented from continuing to do so Protecting your business – it’s our privilege and commitment when the new charter rule was is­ National Interstate has been protecting transportation companies like yours for two decades. sued. Instead of giving up and mov­ You can count on us for: ing on, he said the transit agency N Product expertise. created Virginia Rides so it could N Exceptional service and claims handling. remain in the charter business. “Now, when you call VRT with N Strength and stability – rated “A” (Excellent) by A.M. Best Company. a charter job, they say they can’t National Interstate is a proud supporter of UMA since 1989. Contact us at: 800-929-1500 | [email protected] | www.NATL.com do it, but that Virginia Rides can and they give them their telephone number,” he noted. Deemer Design Studios | 216.544.6385 Merriman said he receives charter notices from transit agen­ cies throughout the state every week but has never gotten one from VRT. “There are so many transits playing by the rules, but what if the people change and they look at the VRT model and then start in the charter business,” he added. “My problem is that the DMV has opened the opportunity for every publicly funded transit agency in the state to create its own charter service and go head-to-head with me.” He said he will pursue the issue with the FTA and probably will file a formal complaint on his own. At the same time, the state associa­ tion plans to get together soon to discuss what it might do also. Added Presley: “Federal and state lawmakers and regulators simply cannot anticipate every possibility but it is difficult to see how this will not eventually culmi­ nate in a charter service complaint. UMA is prepared to protect our members’ rights.” 20 February 1, 2009 EXPO EXHIBITOR NEWS Bus & Motorcoach News

Prevost CONTINUED FROM PAGE 1 It’s celebration season reliable coach, providing years of productive service,” Wiltgen at Turbo Images in ’09 added. The Volvo 9700 will be dis­ ORLANDO, Fla. — Among ing partners, like coach and trailer tributed by Prevost via its U.S. and companies marking an anniversary manufacturers, suppliers, various Canadian sales organization and in 2009 — and kicking off their industry associations and maga­ supported by the Prevost service celebration at UMA Motorcoach zines, our dedicated Turbo team network. Expo here this month — is Que­ members, and our many wonderful It will be equipped with the bec-based Turbo Images. and loyal customers have all played Volvo D13 engine, and becomes This year marks the 15th year an important role in Turbo Images’ the first North American coach to in business for Turbo Images. recognition and good standing in use Volvo’s second-generation I- In 1994, owner Pier Veilleux the industry.” shift, a 12-speed semi-automatic says he had a vision to develop a “Our goal is to always strive transmission. It also has a Carrier- company that would design imag­ for greater innovation in produc­ Sutrak A/C system, multiplex ar­ The ’09 Prevost H3-45 is available with a new independent suspension. es that move, strike and provoke tion technology and design cre­ chitecture, dual alternators, elec­ the eye. ation,” says Veilleux. “Our com­ Since then, Turbo Images has mitment extends to building tronic stability program, and The system also absorbs much of said the 9700 is a “travelers coach,” since become a dominant force in long-term relationships with our engine compartment fire suppres­ the smaller vehicle’s crash energy, “a superb vehicle to drive,” and the fleet graphic identification in­ customers through personalized sion system. lessening the force of the impact. “built to do a job professionally dustry, helping bus and other trans­ fleet graphic solutions, helping But it is other — more typical­ The 9700 also offers “front- for a full life.” portation companies across Cana­ them maintain a clean and distinc­ impact protection” and “knee-im­ The 9700 has 400 cubic feet of ly Volvo — features that helped da and the U.S. brand their vehicles tive corporate identity,” he adds. pact protection,” a system that ab­ under-floor luggage space, rough­ the 9700 catch the eye of the bus and fleets in creative and dynamic Turbo Images counts among it sorbs and diverts impact forces in ly 10 percent less than a Prevost journalists who named it Europe’s ways. key bus industry clients such stal­ the event of a front collision. Fun­ H3-45, and a gross vehicle weight top coach. In doing so, Turbo Images has warts as ABC Companies, Daim­ For example, it has a “front damentally, it’s designed to reduce rating of more than 49,000 pounds, not only contributed to raising bus ler Buses North America, Grey­ under-run protection system” that the risk of injury to a bus driver’s or about 4,000 pounds less than a industry graphic standards but has hound Lines, Motor Coach prevents an auto or pick-up truck knees and legs in a crash. standard 56-seat Prevost H3-45. added a new dimension of market­ Industries, and Pacific Western that crashes into a Volvo 9700 And, the U.S.-Canadian 9700 While the 9700 will be fea­ ing through fleet identification, Transportation, plus numerous from becoming wedged under the will come standard with 54 Amaya tured at the Prevost stand at Mo­ says Veilleux. smaller and valued clients. bus, improving the survival chanc­ seats equipped with both armrests torcoach Expo, sharing the spot­ But, he notes, “our success has Visit the company at UMA es and reducing the injury risks of and three-point seatbelts. light will be the revamped H-model not come on its own. The precious Motorcoach Expo or go to www. passengers in the smaller vehicle. Beyond that, the journalists Prevost. support and collaboration of thriv­ turbo-images.com.

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We Buy & Sell Buses. . . Call for a Quote 22 February 1, 2009 INDUSTRY NEWS Bus & Motorcoach News

March of Dimes The March of Dimes will have motions department at March of community involved. If we do it a booth, where attendees can pick Dimes,” says Presley. that way, I would hope that we could CONTINUED FROM PAGE 3 up packets, which will include de­ “It’s a grassroots day. It’s excit­ get ($1 million),” says LeBron. Calendar oped for motorcoach operators, cals that marries the UMA and ing and it’s new and it’s different,” “There are two goals in this: JANUARY 2009 called Miles for Babies, will allow March of Dimes logos. Operators says Lucas. Help a worthwhile charity; and 19-21 IMG Maintenance & UMA members to give back to can place the decals on their buses “The Miles for Babies concept allow the operator a venue for bet­ Safety Forum, Hilton Grand their communities by donating 10 and use the logo for local will lead a small industry to a lot ter connecting with his commu­ Vacations Club at SeaWorld Inter- cents for every mile driven in a advertising. of exposure,” says LeBron. He nity,” says Presley. “What we’re national Center, Orlando, Fla. single day. The hope is to include A fill-in-the-blanks press re­ wants to see clients, vendors, em­ doing is aligning the individual Info: Go to www.imgcoach.com. employees, vendors and clients in lease will be included in the pack­ ployees all get behind it. “You and the UMA members with a na­ the endeavor, driving up the age, which operators can complete might have a bus cleaner donate $5 tional charity for a really and truth­ 19-21 Southeastern Regional amount of money raised. and send to local media. Also, the for one day.” fully yearlong promotion that cul­ Meeting of Motorcoach The Miles for Babies cam­ March of Dimes’ websites can be While the amount is not central minates into two events. Operators, Orlando, Fla. Info: Call (434) 376-1150. paign, which is targeted for kick linked with operators’ sites. to the project, he has hopes that the “The genesis of this was to cast off in September, will be officially “The nice thing about this is industry could raise close to $1 mil­ the companies in a favorable light. 21 UMA State Association unveiled at UMA Motorcoach that the operator gets to take ad­ lion. “It’s about generating a lot of (March of Dimes’ structure of Summit, Peabody Orlando. Info: Expo next month in Orlando. vantage of the expertise of the pro­ excitement. We want to see the local chapters) gives operators an Go to www.motorcoachexpo.com, opportunity to really connect with or call (800) 424-8282. community and political leaders,” 21-25 UMA Motorcoach adds Presley. Expo, Orlando, Fla. Info: Go to The relationship with UMA www.motorcoachexpo.com. operators and the charity was so­ lidified last year when LeBron do­ 23-28 National School nated a bus that was configured Transportation Association with studios where babies’ stories Midwinter Meeting, Orlando, could be gathered in a cross-coun­ Fla. Info: www.yellowbuses.org. try tour. Called Every Baby Has a FEBRUARY 2009 Story, it was aligned with the March of Dimes’ Prematurity 2-5 Tennessee Motor Coach Awareness Month, which is an at­ Association 2009 Convention & tempt to educate families to the Marketplace, Music Road Hotel, risks of birth defects because of Pigeon Forge, Tenn. Info: Go to premature births. www.tnmca.net, or call (423) The goal for Every Baby Has a 288-8622. Story, according to LeBron, was to 15-18 North Carolina Motor- tell the stories of healthy babies as coach Association Annual well as babies who were ill. Farmers Meeting, Hotel Roanoke, Insurance donated two story pods. Roanoke, Va. Info: Go to www. “It’s such a problem in this ncmotorcoach.org, or call (336) country,” says Lucas of premature 495-4970. births. In the U.S., one in eight babies MARCH 2009 is born prematurely. That trans­ lates into 540,000 babies who are 1-4 Trailways Transportation System 2009 Conference and born each year after less than 37 Meeting, Hyatt Regency Hill weeks of gestation. It’s the leading Country Resort & Spa, San cause of death in the first month, Antonio, Texas. Info: Go to www. costs $26 billion in health-care ex­ trailways.com, or call (703) penditures, and premature births 691-3052. can cause blindness, deafness and mental retardation. that was inclusive. March of Dimes The impetus for the partner­ is a unique organization — it’s ship between the charity and UMA chapter driven.” was that there was a perception, The 70-year-old charity has “that we weren’t part of the com­ 230 community offices across the munity,” says LeBron. country, says Lucas. “The beauty was we were able Lucas is intrigued by the multi- to take a small industry and put it generational aspect of motorcoach with some heavy hitters,” says LeB­ businesses across the country. ron. “What can our industry do to “Our mission is in great alignment get a national charity.…You’ve got with this industry, with families to be very careful; you don’t want and babies and multigenerational to offend anybody. Who has a prob­ operators. We really would like to lem with babies? No one. get a compelling cause platform “So, we thought it was a pretty that all (UMA) members can par­ good fit. We wanted something ticipate in.” REPOS FOR SALE Variety of makes and models of “Bank Repos” across the United States and Priced to Sell! 1-877-737-2221 Ext. 716 for more information! Bus & Motorcoach News INDUSTRY NEWS February 1, 2009 23 WiFi on motorcoaches is beginning to hit the road PORTLAND, Ore — Introduc­ Upfront capital is one of the Taylo says there are options for ditional charge can be placed on the “The idea of connecting fleets ing a new product to the motor­ main issues in getting the equip­ helping cover costs. One is having a rental of buses equipped with to the Internet requires a leap into coach industry can be particularly ment on the road, acknowledges “splash page,” which comes up WiFi. the market,” he says. “It requires challenging. Taylo, because companies can’t when the user connects his laptop The ability to offer WiFi on forward-thinking, early-adoption, First, motorcoach operators budget for something when they to the system. The splash page can buses can be a powerful marketing safety methodology, or a demand­ must be made aware of the product, don’t know it exists. “The upfront have advertising on it. Also, an ad­ tool, says Taylo. ing client to drive the idea.” then sold on the idea it would be equipment cost can be a challenge smart business to put in on their for operators.” buses, and ultimately convinced the WiFi In Motion partners with a product is near bulletproof, mean­ decade-old Swedish company, ing it will be reliable in all kinds of Icomera, for its technology. Icomera adverse situations, require little units can be found on coaches maintenance and be relatively easy across Europe, including double- and inexpensive to repair when it decker buses in London. inevitably fails. “Europe is a little bit ahead of Often, those are nearly impossi­ the curve in this,” says Taylo. ble hurdles to clear, especially those WiFi In Motion’s premium unit, related to initial price and long-run called the Moovbox, costs about costs. $1,600 a bus, and uses cellular ac­ That is what companies push­ cess. It can handle extreme temper­ ing a relatively new internet tech­ atures and allows for GPS use and nology known as WiFi are currently multiple WiFi users. Its other capa­ finding. WiFi is a synonym for bilities include e-ticketing, integra­ wireless internet. It essentially al­ tion with onboard security systems lows computer — and an increas­ and automated overhead paging. ing number of cell phone — users Multi-unit discounts are available. to connect to the internet at loca­ Service for the cellular air cards tions away from office and home. that connect the motorcoach to Today, the industry is becom­ WiFi run $60 a month per card. The ing educated about the availability Moovbox system uses two cards, and capability of WiFi on motor­ one of which can simultaneously coaches. “The stuff exists (but support 16 laptops online. The other many operators) don’t realize it’s card is dedicated to the other out there,” says Rob Taylo, CEO of features. WiFi in Motion, a Portland-based A more basic product, the WiFi company that specializes in WiFi Lite System, is only for WiFi and is products for buses, recreational not equipped to handle extreme vehicles and boats. temperatures. It runs about $900 WiFi in Motion is a new exhibi­ per bus. It also can handle 16 tor at UMA Motorcoach Expo 2009 users. in Orlando. “We create the highway Installation, typically done by to allow the (internet) traffic,” says the client’s maintenance shop, takes Taylo. about an hour and a half.

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FOR SALES INFORMATION ON PREVOST MODELS AND VOLVO 9700: USA 1 877 773.8678 CANADA 418 883.3391 Volvo 9700 motorcoaches are distributed by Prevost, a fully owned subsidiary of Volvo Bus Corporation. Please contact your Prevost Regional Sales Manager for more information.