6. Replacement report 9

. U-Pass Options for Fall Term 2020

Recommendation That a temporary exemption to City Policy C451H Transit Service Fare Policy for the period September 1, 2020, to December 31, 2020, to allow for fare program eligibility expansions, as outlined in the August 17, 2020, City Operations report CR_8492, be approved.

Executive Summary The (U-Pass) provides eligible students at participating post-secondary institutions with unlimited travel on Edmonton Transit Service (ETS) and participating regional transit providers at a discounted rate for the school term. As a result of the COVID-19 pandemic, post-secondary institutions are primarily delivering learning online and holding a limited number of classes on campus; Students’ Associations have expressed concerns about charging U-Pass fees for the fall. Participating transit service providers and post-secondary institutions have agreed to pause the U-Pass for the fall and negotiations took place to develop alternative transit fare solutions for students affected by the change. Discounted alternatives include accessing the Ride Transit program, Youth fare products and Seniors fare products for students who happen to be seniors.

Report The regional Universal Transit Pass (U-Pass) is provided through contractual agreements between Edmonton Transit Service (ETS), St. Albert Transit, Strathcona Transit, , Transit, and Transit with four post-secondary institutions in Edmonton: University of , MacEwan University, NAIT, as well as NorQuest College. The U-Pass agreements are based on a model that has a discounted fee charged to all students in exchange for access to regional transit services during the term. The current agreement expires in August 2021 and negotiations are underway for the 2021-2025 agreement.

As a result of the COVID-19 pandemic, post-secondary institutions are primarily delivering learning online and holding a limited number of classes on campus for the fall term. Students’ Associations expressed concern about charging U-Pass fees when most students would not be travelling to and from campus. In response to this, the parties are making contract changes that will allow the temporary suspension of the U-Pass program due to a pandemic or similar unforeseen disruption. The Students’ Associations are requesting alternative, discounted transit fare products for

ROUTING - City Council | DELEGATION - G. Cebryk/C. Hotton-MacDonald August 17, 2020 - City Operations CR_8492 Page 1 of 4

U-Pass Options for Fall Term 2020

students to temporarily replace the suspended U-Pass agreements. Negotiations are on-going and agreement changes are in the final phase of being signed.

U-Pass Solutions

For students who attend one of the four U-Pass institutions, the City of Edmonton and the U-Pass municipal partners discussed the following alternative discounted transit fare options that will be in effect from September 1 to December 31, 2020:

● Expand the current ETS Youth fare products to include post-secondary students of any age; ● Expand the ETS Ride Transit eligibility criteria by removing the current requirement that the applicant not be a post-secondary student; ● ETS Seniors fare products for students who are seniors; and ● Through Students’ Associations, ETS updates and social media, inform students who are already eligible for the existing discount fare categories that they can access those options.

In addition, most regional transit partners are offering a variety of fare products, including youth, student, and seniors options.

The current ETS Youth fare category is available for students aged 24 and under. ETS recommends temporarily expanding the age eligibility of the Youth fare category (both the monthly pass at $72.50 and books of 10 tickets for $19.00), so that all ages of post-secondary students are eligible. The temporary eligibility expansion would apply to students attending U-Pass institutions as well as 40 other post-secondary institutions previously approved for the discontinued Post-Secondary monthly pass. This solution supports students for a number of reasons:

● Allows for easy access to passes, either through a retail location or online; ● Leverages the existing Youth fare category. ETS will be ready to launch this solution on September 1, 2020.

To address the transportation needs of qualifying low income students, Administration recommends temporarily expanding the eligibility of the Ride Transit program to include eligible students through to the end of December, 2020. For a single-person household, the income threshold is $29,069. More details about the Ride Transit program income thresholds are provided in Attachment 1.

Transit Fare Policy Impacts

The recommended approach is aligned with the principles in City Policy C451H (Edmonton Transit Service Fare Policy). Namely, the changes ensure that transit fares continue to be balanced, equitable, affordable and rewarding in light of the

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U-Pass Options for Fall Term 2020

challenges brought about by the COVID-19 pandemic. The proposed changes will provide a discounted rate to a group of riders that had previously not been included among the discounted fare groups within the Policy by temporarily expanding the age criteria of the Youth category to include eligible post-secondary students.

Communications and Implementation

If Council approves the recommendation in this report, eligible post-secondary students will be informed of these options via direct communications from Students’ Associations, updated messaging on takeETS.com, and social media updates. Eligible post-secondary students will be able to purchase passes and fare products at retail locations across Edmonton or online at the ETS Public Store. Staff will also be informed of this updated approach.

Financial/Budget Implications Reductions to U-Pass revenue were considered as part of previous COVID-19 financial projections provided in April and July 2020 and were projected to be zero for the remainder of the year. Any transit fare sales to students of U-Pass institutions in 2020 will not have a substantial impact on ETS’ financial position.

Public Engagement Public engagement was not conducted due to the nature of the U-Pass negotiations.

Corporate Outcomes and Performance Management

Corporate Outcome(s): Edmontonians use public transit and active modes of ​ transportation.

Outcome(s) Measure(s) Result(s) Target(s)

Customer Satisfaction Overall Customer 75.9 (2019) 79% (2021) Satisfaction of ETS

Customer Satisfaction 74% (2019) Target is set for of ETS by overall customer Post-Secondary satisfaction Students 79%(2021)

Risk Assessment

Risk Risk Likelihood Impact Risk Score Current Potential Element Description (with Mitigations Future current Mitigations mitigations)

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U-Pass Options for Fall Term 2020

Customers/ Online/distance 3 - Possible 2 - 5 ETS is working ETS will revisit the Citizens learning Moderate with institutions proposed solution continues into to identify outlined above for 2021 after the whether a the Winter 2021 temporary U-Pass product term and work with measures will be needed post-secondary expire. for the winter institutions in an 2021 semester. ongoing dialogue.

Customers/ If 4 - Likely 2 - 8 ETS provides a ETS will revisit the Citizens recommendatio Moderate number of fare proposed solution n is not products as outlined above for approved, outlined in the the Winter 2021 U-Pass Fare Policy. term and work with participants may Students may post-secondary be without be eligible for institutions in an discounted other discounted ongoing dialogue. transit options. fare options. This could impact the future of the UPASS program.

Corporate Relationship 3 - Possible 2 - 6 ETS is working ETS will revisit the Governance with U-Pass Moderate with U-Pass proposed solution participants is participants to outlined above for weakened as adopt a solution the Winter 2021 the prior fare for Fall 2020 as term and work with discount level is well as post-secondary not maintained. renegotiate the institutions to UPASS develop the agreement for 2021-2025 Upass 2021-2025. Agreement.

Attachments 1. Ride Transit Income Eligibility Thresholds

Others Reviewing this Report ● M. Persson, Chief Financial Officer and Deputy City Manager, Financial and Corporate Services ● C. Owen, Deputy City Manager, Communications and Engagement ● R. Smyth, Deputy City Manager, Citizen Services ● B. Andriachuk, City Solicitor

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