FY17-18 Adopted Budget, FY18-20 Projections
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SOUTHERN CALIFORNIA REGIONAL RAIL AUTHORITY FISCAL YEAR 2017-18 BUDGET Including Forecast for FY2018-19 and FY2019-20 (informational purposes only) Adopted June 23, 2017 Los Angeles County Metropolitan Transportation Authority Orange County Transportation Authority Riverside County Transportation Commission San Bernardino County Transportation Authority Ventura County Transportation Commission June 23, 2017 1 This page intentionally left blank June 23, 2017 2 SOUTHERN CALIFORNIA REGIONAL RAIL AUTHORITY FY2017-18 BUDGET TABLE OF CONTENTS SECTION 1: Executive Summary .........................................................................9 1.1 Introduction ........................................................................................9 1.2 Metrolink in Perspective .....................................................................9 1.3 Metrolink in Comparison ..................................................................11 1.4 Accomplishments in FY2016-17 ................................................................. 11 1.5 Objectives for FY2017-18 ................................................................13 1.6 FY2017-18 Budget in Brief...............................................................13 1.7 Key FY2017-18 Budget Information.................................................14 1.8 The FY2017-18 Operational Budget Statistics .................................14 1.9 Administrative Requirements ...........................................................15 1.10 Budget Development and Assumptions ...........................................15 1.11 Summary of Operating Revenues and Subsidy Funding .................16 1.12 Summary of Operating Expenses ....................................................17 1.13 Summary of Capital Program...........................................................17 1.14 Exhibits ............................................................................................19 Exhibit 1.1: Metrolink Systemwide Map ..............................................19 SECTION 2: Introduction to the Budget..............................................................21 2.1 Mission Statement............................................................................21 2.2 Board Governance ...........................................................................22 2.3 SCRRA Background ........................................................................24 SECTION 3: Budget Summary ...........................................................................25 3.1 Budget Policy ...................................................................................25 3.1.1 Budget Authorization ................................................................25 3.1.2 Budgetary Control and Reporting .............................................26 3.1.3 Accounting Methodology ..........................................................27 3.1.4 Budget Assumptions.................................................................27 3.2 Total Operating Budget ....................................................................27 3.3 Operating Revenues and Subsidy Funding......................................28 3.4 Operating Expenses.........................................................................28 June 23, 2017 3 3.5 Capital Program ...............................................................................29 3.6 Summary of the Total FY2017-18 Budget........................................29 3.7 Exhibits ............................................................................................30 Exhibit 3.1a Summary of FY2015-16 to FY2017-18 Statistics by Line………………….. ........................................................................33 Exhibit 3.1b Summary of FY2015-16 to FY2017-18 Statistics by Line………………..............................................................................34 Exhibit 3.1c Summary of FY2015-16 to FY2017-18 Statistics by Line………………..............................................................................35 Exhibit 3.1d Summary of FY2015-16 to FY2017-18 Statistics by Line………………..............................................................................36 Exhibit 3.2 Operating Expense, Revenues and Operating Subsidy.....37 Exhibit 3.3 Train Miles, Fares and Average Weekday Ridership .........38 Exhibit 3.4 Revenue Recovery, Farebox Recovery and Operating Expense per Train Mile ..........................................................................39 Exhibit 3.5 Operating Expense per Passenger Mile, Operating Subsidy per Rider and Operating Subsidy per Passenger Mile .............40 Exhibit 3.6 FY2013-14 to FY2017-18 Annual Operating Budget by Cost Component by Fiscal Year……………………………. ...............41 Exhibit 3.7 FY2017-18 Annual Operating Budget by Cost Component by Member Agency.............................................................42 Exhibit 3.8 FY2014-15 to FY2017-18 Revenue Sources Trend……… 43 Exhibit 3.9 FY2017-18 Budget Revenue Sources and Use by Member Agency………. .........................................................................44 SECTION 4: Operating Revenues ......................................................................45 4.1 Introduction ......................................................................................45 4.2 Farebox Revenues – Marketing .......................................................45 4.3 Maintenance-of-Way (MOW) Revenues ..........................................48 4.4 Dispatching Revenues .....................................................................48 4.5 Exhibits ............................................................................................49 Exhibit 4.1 FY2016-17 to FY2017-18 Fare Revenue and Ridership....50 Exhibit 4.2 FY2014-15 to FY2017-18 Maintenance-of-Way (MOW) Revenue Trends ……………………………………………………………..51 Exhibit 4.3 FY2014-15 to FY2017-18 Dispatching Revenue Trends....52 Exhibit 4.4 FY2014-15 to FY2017-18 Other Operating Revenue Trends……….. .......................................................................................53 SECTION 5: Operating Expenses.......................................................................55 5.1 Introduction ......................................................................................55 June 23, 2017 4 5.2 Operating Budget Assumptions........................................................55 5.2.1 Service Levels ..........................................................................55 5.2.2 Cost Allocations........................................................................56 5.3 Train Operations ..............................................................................56 5.3.1 Train Operations Components..................................................56 5.3.2 Train Operations Note ..............................................................61 5.4 Maintenance-of-Way (MOW)............................................................61 5.4.1 Assumptions .............................................................................62 5.4.2 Conditions and Trends in the MOW Budget .............................63 5.4.3 MOW Statistics .........................................................................64 5.4.4 MOW Expenditure Components ...............................................65 5.4.5 MOW Net Revenue, Expenditure and Member Agency Funding…. .............................................................................................65 5.4.6 MOW Projections by Line .........................................................65 5.4.7 Extraordinary Maintenance-of-Way ..........................................66 5.5 Insurance Expense ..........................................................................67 5.6 Exhibits ............................................................................................67 Exhibit 5.1 FY2017-18 Service Assumptions.......................................68 Exhibit 5.2 FY2014-15 to FY2017-18 Service Train Miles ...................69 Exhibit 5.3 FY2017-18 Maintenance-of-Way Expenditures and Revenue Offsets………..........................................................................70 Exhibit 5.4 FY2014-15 to FY2017-18 Maintenance-of-Way Expenditures by Line Segment/Territory – Operating Lines...................71 Exhibit 5.5 FY2014-15 to FY2017-18 Maintenance-of-Way Expenditures by Line Segment/Territory – Non-Operating Lines and Total………………..................................................................................72 SECTION 6: Member Agency Subsidies ............................................................73 6.1 Member Agency Funding .................................................................73 SECTION 7: Capital Program Budget.................................................................75 7.1 Introduction ......................................................................................75 7.2 Rehabilitation Program.....................................................................82 7.2.1 Railroad Rehabilitation Cycles..................................................83 7.2.2 Rehabilitation Elements ............................................................84 7.2.3 Consequences of Deferred Rehabilitation ................................87 7.3 FY2017-18 Ongoing Rehabilitation Projects ....................................87 7.4 FY2017-18 New Rehabilitation Projects...........................................87 7.5 FY2017-18 New Capital Carryover Projects ....................................88 June 23, 2017 5 7.6 FY2017-18