Regional Transportation Authority

1986 Annual Report

Regional Transportation Autliority

1986 Annual Report

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Resional . fransportation Authority

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Samuel K.Stonner Chairman

12^^ ma Al^bi. The RTA Board of Directors

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He received his law degree from JERRY D. BOOSE DePaul University College of Law was appointed to in Chicago in 1966. While at DePaul, the original RTA he was a member of the law Board in 1974 and review. has served contin- From 1960 to 1968, Mr. Skinner uously since then. was employed in various market- His most recent ing and managerial positions in the reappointment to data processing division of the the current Board, IBM Corporation. as a representative In 1968, he was given a leave of of Kane, Lake, absence from IBM to accept an McHenry and Will appointment as an assistant United Counties, was July 8, 1985. His term

States Attorney for the Northern expires on July 1, 1990.

District of Illinois. He served in that The St. Charles resident is a practic- office from 1968 to 1977 and was ing attorney and partner in the St. SAMUEL K. SKINNER has served as First Assistant under then U.S. Charles law firm of Shearer, Blood, chairman of the Regional Transporta- Attorney James R. Thompson. Agrella and Boose. tion Authority since October 1, 1984. In 1975, Mr. Skinner was appointed He was appointed by Governor by President Gerald R. Ford as CLARK BURRUS, James R. Thompson and is the only United States Attorney for the representing the RTA chairman since the Illinois Northern District of Illinois. At the General Assembly restructured the time of his appointment, Mr. Skinner city of Chicago, was appointed to organization in 1983. was the first career prosecutor in the the RTA Board by Mr. Skinner is an attorney and history of the Northern District of Harold partner in the Chicago office of the Illinois to be named to that position. Mayor

'i Washington international law firm of Sidley and During his two-year term, Mr. ^^ =^)r on September 6, 1984, Austin. He previously served as U.S. Skinner also was a member of the ^^^ ^-j^^^ Attorney for the Northern District of Department of Justice White-Collar ^^K ^K ^H for a term ending A| July 1, 1988. He Illinois and as vice chairman of the Crime Committee and the United ^^^ President's Commission on Orga- States Attorney General's Advisory ^^^^ flH B previously served nized Crime. Committee. on the interim 1983 1984. Skinner received his undergradu- Upon leaving full-time government Board from to Mr. is senior vice president ate degree in accounting from the service in 1977, Mr. Skinner joined Burrus of the First National Bank of Chicago University of Illinois (Urbana) in the law firm of Sidley & Austin also is of the 1960. While there, he received where he has a litigation, insurance and a member Chicago numerous honors including selection and regulatory practice. However, Board of Education. In the late 1970s, he served as city comptroller under by Who's Who as one of the top 100 he has continued to serve in various J. Daley, Michael seniors, and designation as a dis- government positions on a part- Mayors Richard tinguished military student. time basis. Bilandic and Jane Byrne. PASTORASAN CHARLES G. DAVID L. DEMOTTE JUAN CAFFERTY DALTON served on the was appointed by was first appointed RTA Board from Mayor Harold to the RTA Board 1979 to 1983, rep- Washington, Sep- on July 2, 1984, resenting DuPage tember 6, 1984, to •1 and subsequently County. Following represent the reappointed June the 1983 reorgan- city of Chicago. 10. 1985, by ization, he was Her term ends suburban Cook appointed by the

July 1, 1987. Pre- County Board DuPage County viously, Mrs. Caf- members for a Board for a term ferty served on term ending beginning Octo- the original RTA Board from 1974 July 1. 1990. ber 1, 1984, and ending^July 1. 1989. until 1977, as well as on the interim Mr. Dalton, an attorney and resi- Mr. DeMotte resides in Glen Ellyn Board from 1983 to 1984. dent of Homewood, is senior vice and is director of taxes for the Hyatt She is an associate professor at the president of Chicago Title & Trust Hotel Corporation. He is a member of University of Chicago's School of Company. He served as a member the Tax Executives Institute, the Social Service Administration and of the Chicago South Suburban Mass Illinois Society of Certified Public also is the director of the Chicago Transit District since 1971 and was Accountants and the American Project. In addition, Mrs. Cafferty its chairman from 1973 until 1984. Institute of Public Accountants. served on the board of directors of the now defunct 1992 Chicago World's DAIMOFF KATHLEEN K. Fair Authority. SIDNEY was first a mem- PARKER ber of the RTA was first appointed WALTER H. CLARK Board from 1980 to the RTA Board joined the RTA until 1983. On in 1983, represent- Board on Sep- May 14. 1984, he ing suburban

tember 1, 1986, was appointed Cook County. On following his to the current July 2. 1984, Mrs. selection as Board by the Parker was chairman of the chairmen of the appointed to the Chicago Transit Kane, Lake, new Board by Authority. His McHenry and Will suburban Cook CTA term expires County Boards for a term expiring County Board mem-bers. and reap-

July 1, 1988. July 1, 1989. pointed July 1, 1986, for a term expir- Mr. Clark The recently retired Waukegan busi- ing July 1, 1991. recently retired from Citicorp Savings nessman was executive vice president The Northbrook resident is a for- of Illinois as executive vice president of the Midland Division, Dexter mer Northfield Township Assessor and treasurer, after more than 30 years Corporation of Waukegan. and currently is associated with the with the institution. Currently, he is real estate firm of Koenig & Strey in with the investment brokerage firm of Northbrook. Bear Stearns, specializing in asset management and municipal finance. Board Members

PHILIP RAFFE JACQUELINE B. WILLIAM D. represented VAUGHN, WALSH suburban Cook president of was appointed County as a mem- the Chicago to the original ber of the original Teachers Union, RTA Board in

RTA Board from I-" was named by 1983, represent- 1979 to 1983. Mayor Harold ing suburban Following the Washington, Cook County. reorganization, September 6, On July 2, 1984, suburban Cook 1984, to repre- Mr. Walsh was County Board sent the city of appointed to the members Chicago, after new Board by appointed him to the new Board on serving on the interim Board from 1983 suburban Cook County Board mem-

October 1, 1984. On June 10, 1985, until 1984. Her current term expires bers and subsequently reappointed

Mr. Raffe was reappointed for a term July 1, 1987. July 1, 1986, for a term expiring endingJuly 1,1990. Mrs. Vaughn served as CTU vice July 1,1991. The Niles resident has been the president from 1972 until becoming Mr. Walsh, a resident of La Grange Maine Township Clerk since 1967 president in 1984. She also is a past vice Park, is a former member of the Illi- and is the owner of the M.P. Meat president of the Illinois Federation nois House of Representatives, having Company of Chicago. of Teachers and of the Illinois State served for 20 years. Currently, he is Federation of Labor. a partner in RM. Walsh and Company, a real estate and insurance broker- age firm. Mr. Walsh also sits on the board of directors of the Du Page National Bank.

Senior Staff

JOHN J. GAUDETTE was appointed Chief Financial Officer in June, 1986. He is a for- mer executive of the Denver Regional Trans- portation District and is a nationally-recog- nized transit finance consultant.

JOANNE V. SCHROEDER, the RTAs Chief Planning Officer, has been with the RTA since November, 1973, and previously was Manager of Development Planning for the Chicago Transit Authority.

LAURA A. JIBBEN, the RTAs Chief Administrative Officer since February, 1986. previously was Manager of Toll Services for the Illinois Toll Highway Authority and Deputy Director to the Director of the Illinois Department of Corrections. Theodore G. Weigle, Jr. EDWARD D. MURNANE, External Rela- tions Director, joined the RTA in November, THEODORE G. WEIGLE, JR., has served as 1984. He is a former journalist. Congres- Executive Director of the RTA since Sep- sional staff member and public relations tember, 1985. He previously was Deputy Gen consultant. eral Manager of the Washington, D.C. Edward D. Murnane Metro system and was Regional Administra- tor for the Urban Mass Transportation Administration.

The Region: 3,700 Square Miles and 7.28 Million People

The Area from a 2.4 percent annual growth and early 80s, the character of the

rate in the 1970s to a 1.2 percent rate region's economy is undergoing a fun- The area served by the Regional between 1980 and 1985. damental change, as an increasing Transportation Authority encom- proportion of the work is in the serv- passes 3,700 square miles with an ice and trade sectors. The work force estimated 1985 population of 7.28 The Economy in service and trade sector employ- million and employment of 3.33 mil- ment accounted for 59 percent of lion. Estimated 1984 total regional, Traditionally, the regional economy jobs in 1985 compared to 49 percent personal income was S106 billion. has specialized in export goods, both in 1970. Of the Fortune Non-Industrial 500. industrial and agricultural. During the Regional employment between 181 are located in the northeastern last decade, rapidly rising oil prices, 1970 and 1980 increased by approx- Illinois region. Despite a changing appreciation of the dollar in inter- imately 340,000. During this period, industrial climate, the Chicago region national markets, collapsing farm on a subregional basis, there were remains the transportation center of prices and increased global compe- employment increases in suburban the country with the nation s largest tition have resulted in a relative Cook County and the five collar railroad gateway and the busiest decline in the area's industrial base. counties; the city of Chicago lost airport. More recently, this decline has jobs primarily in the manufacturing been reversed as falling oil prices sector. Since 1980, this trend has gen- and the decrease in the value of the erally continued, although the rate of The People dollar have lowered production costs. decline in the This has spurred demand for indus- employment city of The rate of population growth has Chicago has slowed due to employ- continued to be strong in the collar ment growth in the robust Central counties and has reversed the prior RTA would rank 21st among the Business District. Recent suburban declining trend in Cook County and nation's industrial firms on the employment growth primarily has Chicago. The region's population basis of assets. been centered in northwest Cook increased by 125'^000 during the 1970s County, DuPage County, and the Fox at an annual rate of 0.2 percent. For trial goods, resulting in increased River Valley in eastern Kane County. the five-year period 1980 to 1985, employment and income in the In 1985, per capita personal income the regions population grew an esti- region. The agricultural sector also in the Chicago area increased $800 mated 0.5 percent annually. has benefited, as the decline in farm compared to the national average The disaggregated population income appears to be stabilizing. increase of $670. Chicago's income trends can be characterized as As the region recovers from the level is now $15,300 or 15.5 percent follows: economic downturn of the 1970s higher than the national average.

Chicago. The 1.1 percent decrease in population experienced between 1970 and 1980 slowed to 0.1 percent between 1980 and 1985. Data suggests that a slight increase may have occurred in recent years.

Suburban Cook County. For the last 15 years, the population has grown at a steady rate of 0.6 percent, with actual population gains in the 1970s of 123,000 and from 1980 to 1985, a gain of 63,000.

Collar Counties. The rate of popula- tion growth in DuPage, Kane, Lake, McHenry and Will Counties has slowed slightly in the 1980s dropping

1986: A Year Of RTA Accomplishments

For the RTA, 1986 was a year of Other major 1986 accomplish- The most successful new service major accomplishments and major ments included: is the recently inaugurated Pace steps toward a sound and secure reverse commuter route from the future. A variety of service improve- Self-Insurance. In response to the CTA Cumberland sta- ments and operating efficiencies were increasing cost and decreasing avail- tion to Schaumburg. This express implemented by the RTA and the ability of catastrophic insurance, the route between Cumberland and Service Boards. RTA initiated a joint insurance study Arlington Heights Road has already Highlighting 1986 was the intensive with the Service Boards in 1986. The exceeded ridership expectations. It effort to develop for the first time an study resulted in an innovative is fed by the CTA and Pace at the RTA Strategic Plan. approach to financing catastrophic Cumberland station and Pace fixed- losses through the capitalization of a route and paratransit services in S50 million insurance fund. The RTA Schaumburg. The route also serves Strategic Plan initially capitalized the fund through the high-employment corridor along a S40 million bond issue in November, Algonquin Road and Golf Road. Pace Although the physical plant of the 1986— the first long-term debt offer- is now investigating the feasibility of RTA and its Service Boards is cur- ing by the RTA. Further, RTA credit similar reverse commuter routes. rently in reasonable condition, uncer- received an "A" rating from both the tainties in the external environment Moody's and Standard & Poors" rat- Service Duplication Studies. Early and increasing costs have mandated ing agencies. This program will result in 1986. the RTA Board requested a look beyond the near future to in annual cost savings of S12 million. a review of Pace, Metra and CTA determine what actions are needed services which have apparent dupli- to maximize the potential of public Suburban Bus Service Improve- cations. A study group, consisting of transportation service to the region. ments. The RTA Strategic Plan has RTA, CTA, Metra. and Pace staff identified Pace as the Service Board members, has systematically identi- with the greatest challenge and fied several candidates for review Based on the magnitude of opportunity to expand its share of and analysis, and has made recom- assets -$13. 6 Billion under the travel market. Pace, because of mendations for the restructuring

direct RTA control- RTA is the its low market share and the antici- or elimination of service, as appro- priate. 20 studies have been second largest business in pated continued expansion of the To date. suburb-to-suburb and reverse com- completed. If all findings are Illinois ranking behind AMOCO, mute markets, must experiment with implemented, cost savings will according to the Fortune 500 new methods and technologies. approximate 51,800,000. Industrial.

Consequently, a major strategic plan- ning study by Booz-Allen-Hamilton, Inc., has been recently completed. The Strategic Plan focuses on new The RTA's Travel Informa- problems, goals and plans, laying the tion Center answers between groundwork for the future of regional 8. 000 and 10. 000 calls per day public transportation in Northeastern ^. from riders seeking informa- Illinois. As a result of this planning tion about the system. In 1987. process and the inventory of assets {. the TIC will be relocated C and modernized. which accompanied it. deferred and accruing capital needs, in excess of current resources, have been identi- fied. The RTA is currently evaluating the consultant's recommendations for dealing with these shortfalls and will formulate an action plan in early 1987. 11

'fffmw Special Concern For Mobility Limited Riders

Special Services for the Mobility Since November of 1985, the RTA, cent accessible, using smaller lift- Limited. Through service contracts has provided S240,000 to fund Pace equipped transit buses on the fixed with four private providers, the and CTA paratransit demonstration routes and accessible equipment in CTA's Special Services program cur- services between seven western the paratransit services. Approxi- rently provides an average of more suburbs and Chicago. Information mately three-fourths of the original than 1,800 rides per weekday. This gained from this demonstration SI million grant to fund these projects represents an increase of 350 percent will aid the Service Boards in design- remains and will ensure their contin- over mid-1985. Further, average oper- ing permanent services for this uation through 1987. In addition, in ating costs per trip have declined by important market. 1986, the state of Illinois provided 59 percent, from S29 to S12, since the In November, 1986, Pace expanded 5500,000 to fund research and devel- switch to private providers took place operations in Lake County with opment costs for a feasibility study in mid-1985. In the 1987 budget, the accessible fixed-route bus service of an accessible commuter rail car

RTA will provide S9.6 million for the in Waukegan. Twenty new lift- that will be carried into the 1987 Special Services program, an increase equipped buses and seven smaller budget. In a related project, the RTA of 46 percent over 1986 expenditures, accessible buses leased from the budgeted S100,000 in 1987 for the to expand accessible paratransit serv- CTA were used. Pace also modified provision of alternative service in ice that will meet the steadily increas- fixed-route and paratransit services rail corridors for the mobility limited. ing demand. in McHenry County to be 100 per- Southwest Rapid Transit Line Underway

Construction of Southwest Rapid Improved Commuter Rail Service. Transit Line. In July, 1986. UMTA In 1986. service changes initiated on and the city of Chicago entered into a the Metra/Rock Island District (RI) full-funding contract of S410 million included the addition of a weekday for construction of the Southwest evening train, which resulted in the Rapid Transit Line. When completed, availability of hourly service after this line, consisting of nine stations the evening rush hour. A schedule over 9.3 miles, will provide high- revision also was implemented on speed transit service in the southwest the RI resulting in additional rush corridor from the to hour service south of Blue Island. Midway Airport. Since most of the In March. 1986. on the Milwaukee route will utilize existing railroad District West Line, Metra extended right-of-way. residential and commer- service to the new Big Timber Station cial displacement will be minimal. approximately three miles west of Project completion is expected by Elgin. Initially, service is being pro- September. 1991. K The RTA serves six counties witli a combined population of over 7.1 million people -greater than the population of 42 of the 50 states.

vided on a limited basis with two daily Other Planning Initiatives trains in each direction. A compre- hensive study of service and schedule Besides the major strategic planning

characteristics is underway on the effort discussed earlier in this docu- Milwaukee District with schedule ment, several planning studies are revisions to be implemented by early underway. Briefly, these planning 1987. The aim of this study is to studies are: provide improved service, including express trains, to high volume Transit Options Study. During 1987. stations. the RTA and Pace will explore inno- vative approaches to develop cost- Pace Suburban Bus Garages. In 1986, effective transit service for the rapidly Pace completed a new West Division growing suburban travel market. The garage in Melrose Park and put the draft strategic plan identifies the finishing touches on a South Division suburbs as a major potential market garage in Markham. These two facil- for transit. The plan recognizes, ities are part of an ambitious pro- however, that experimentation with gram to build and/or renovate nine new and creative approaches that bus garages for the Pace fleet. will improve mobility in suburban areas is essential in an area where Fare Changes. All three Service traditional approaches have proven Boards implemented fare increases inadequate. in 1986. The increases reflect the RTAs emphasis on assuring the public that the system is operated on a fiscally sound basis and con- tinues to meet the mandated 50 per- cent systemwide recovery ratio. mm^^ HHI

'%i<^ r Strong Emphasis On Suburban Activities

Mobility Workshops. The RTA has Energy Conservation. The second Downtown Circulation System. In joined forces with DuPage County phase, a bus garage energy conser- 1987, the RTA will move ahead with and suburban Cook County to host vation study, was initiated earlier in plans for developing a circulation two separate mobihty workshops in 1986. The purpose of the study is to system in downtown Chicago which the spring of 1987. The workshops are develop an energy use monitoring would link Metra's terminals with designed to address the growing system to refine energy conservation expanding employment and commer- problems of traffic congestion and measures at selected garages, to cial centers in and North movement in these developing subur- examine possible changes in the city Michigan Avenue areas. Such a sys- ban areas. of Chicago building code which tem is recommended in the draft of With the cooperation of area busi- might enhance energy use, and to ness leaders and elected officials, refine the tools for predicting the RTA and county organizers seek impact resulting from prescribed The daily ridership of all RTA alternative approaches to current conservation measures. This study services is greater than the and future problems. It is hoped that should be completed early in 1987. population of 19 states. these high-visibility gatherings can attract the interest and attention of Tri-State Corridor, The RTA has the Strategic Plan to ensure that both the public and private sectors, completed a demand analysis for Metra retains its market share of CBD-oriented trips at a time alerting them to the implications of 14 rail and bus alternatives in the work traffic growth and congestion. Tri-State Corridor (West Suburban when the CBD is expanding and The Urban Land Institute

conclusions and recommendations This project, initiated in 1983, is Expanded Suburban Bus Service. at a one and one-half day invita- entering the implementation phase Pace has proposed several service tional workshop. with the planned acquisition of a improvements for FY 87. The pro- station site and related commercial posal contains two new routes: • Submitting to the host organiza- or office development of the south- Roosevelt Road from Wheaton to Oak tions a written report of its findings west quadrant of the Lake-Cook Brook, and University Park to Lincoln within two months of the workshop. Road/Milwaukee Road North Line Mall. Other changes include addi- intersection. It is envisioned that a tional buses and/or weekend service Through these workshops, RTA rail station with parking and feeder on existing routes. Implementation and county officials hope to head off bus facilities will be developed with of any of the services is dependent potentially serious problems and subsequent joint commercial develop- upon the removal of existing services deficiencies that could adversely ment activities initiated as appropriate. which perform poorly. affect the development, economic climate and living quality of these suburban growth centers. Metra Moves Toward ICG Acquisition

Illinois Central Gulf Rail Acquisi- Accessible Rail Car Study. In 1986, tion. Metra recently completed the the RTA was awarded a S500.000 step necessary to purchase the Illinois grant from the Illinois Department Central Gulfs electric commuter of Transportation for a Metra engi- rail line between Chicago and Uni- neering study aimed at developing a versity Park. The purchase is rail car which would be accessible to expected to save at least S2.8 million handicapped riders. This study is to d year in operating costs. This is be initiated in 1987 and is the first the first instance in which the region step to determine the feasibility of has purchased a going concern introducing accessible rail cars into rather than taking assets out of a the Metra fleet. bankruptcy proceeding. While not a part of the acquisition. CTA Security Program. For 1987, Metra will assume direct operation the CTA has budgeted S5 million to of the ICG"s diesel commuter line implement a security program on between Chicago and Joliet. paying CTA buses and rail cars. This pro- the railroad a fee for use of the gram is a carryover from 1986 when tracks. the RTA appropriated the necessary funds. Commuter Rail Service Improve- ments. In 1987. Metra proposes a Improved Vehicle Maintenance. study of service provided by the The CTA budget proposal for 1987 Chicago and Northwestern (C&NW) includes funding of S6.2 million for in response to demand for improved improving vehicle maintenance of service to high volume stations. As buses and rail cars. This is a phased part of this study, Metra will review program which the RTA will monitor for cost-effectiveness and mainten- ance performance. With total revenues in excess of $1 Billion, RTA would rank 35th in West Side Rail Study. The CTA will Illinois and 319th in the U.S. as a begin a study of service and capital options for the three West Side rapid Fortune 500 Industrial. transit lines. This study, which will the feasibility of closing the Glad- involve condition assessments of all stone Park (Northwest Line) and facilities and the analysis of various Kedzie (West Line) stations, as pas- capital and service options, will senger boardings at these stations ensure the cost effectiveness of may not warrant the continuation of future capital renewal efforts in this service. On the Norfolk and Western corridor. (N&W), funds budgeted in 1986 for increased service levels will be car- Paratransit Demonstration Projects. ried over to 1987 while Metra con- Two paratransit demonstration proj- tinues to negotiate with the N&W for ects are proposed for RTA funding in the right to operate additional peak 1987. These projects involve services and/or off-peak period trains. On the in DuPage County and in Hampshire Burlington Northern, the addition of Township in Kane County. In DuPage one mid-day train in each direction is County, a planning effort will be being considered to fill an existing undertaken to determine the feasi- service gap. bility of intertownship paratransit services for mobility limited residents. Currently, the county's mobility lim- ited residents have paratransit serv- ices available only within local townships and municipalities which sponsor paratransit services. Conse- quently, travel outside of these political boundaries is either not possible or involves multiple transfer arrangements. The RTA will work with Pace and DuPage County to determine the need for a countywide service. Subsequent efforts, if war- ranted, will be directed at designing ^ the service, seeking qualified oper- ators and funding the service on a demonstration basis. In an effort to test the effective- ness of paratransit services in a rural area, the RTA and Pace will assist Hampshire Township to initiate its paratransit services in 1987. The township has purchased a vehicle IT and has passed a referendum which will provide local tax support for the paratransit service in 1988. Pace

is to provide its technical expertise to assist the township. The RTA will provide funds to the township, via Pace, should operating funds be required in 1987.

Metra Parking Study. In 1986, Metra initiated a two-phase study of com- muter parking facilities throughout the Metra system. The first phase of

this study, which is being conducted

by consultants, is currently underway.

It involves the systemwide inventory of commuter rail parking facilities and a preliminary assessment of their use and conditions. The second phase of the study will involve a compre- hensive internal study of parking problems, opportunities and options. Included in this phase of the study will be an analysis of market research data, examination of policies used in other cities, the use of feeder buses, and joint use parking and pricing strategies to manage parking demand. The second phase of the study is expected to be completed by the end of 1987. ,

RTA Revenues: Exceeding $1 Billion

With total revenues in excess of $1 Public Transportation Fund (7.2 IDOT Capital (3.1 percent of total) billion, the RTA would rank 35th in percent of total) is keyed to 25 per- represents state of Illinois partici- Illinois and 319th in the U.S. as a cent of RTA Sales Tax receipts and pation in Northeastern Illinois

Fortune 500 Industrial. Thus, it has a therefore grows with inflation. The mass transportation as part of a major untapped potential for con- RTA Act provides that "the state state-wide program dating back to structive use of debt financing. pledges to and agrees with the hold- the enactment of the Transportation ders of bonds and notes of the Bond Act of 1971. Current RTA sources of revenue are: Authority... that the state will not alter the basis on which state funds Other RTA (1.3 percent of total) • System Generated Revenues (38.4 largely depends on the ability of the are to be paid to the Authority . . . percent of the total) by law must or the use of such funds, so as to RTA and its Service Boards to invest equal or exceed 50 percent of total impair the terms of any such idle cash balances. It should de- operating expenses. contract." crease from current levels through more efficient cash management. • The RTA Sales Tax (29.2 percent UMTA Funds (20.8 percent of of the total) is authorized by Illinois total) will likely continue at present statute and imposed by the RTA as a levels. municipal corporation. SOURCES OF FUNDS USES OF FUNDS RTA^ & Debt Related

Public Transportation $90.0 System Generated RTA & Service Board $477.4 Million Capital $270.7

UMTA(Sec.3&9) $234.8

IDOT $38.2

T0TAL = $1.2 BILLION „,,30pCr $241.6 The 1986 and 1987 Financials (In Thousands of Dollars)

362.700 Recovery Ratio: RTA Is Highest In U.S.

The 1983 reorganization was primarily focused on ensuring that the RTA could maintain a high qual- ity of service while retaining a tradi- tionally high revenue-to-cost ratio. In reorganizing the RTA, the state legislature required that a recovery ratio of 50 percent be maintained in any budget adopted by the Board. A recovery ratio is the amount of operating budget funds which are derived from farebox revenues. The RTA recovery ratio has con- sistently outperformed a national peer group of all transit systems with greater than 1,000 buses. Since the RTA was reorganized in 1983, this system has maintained its high recov- ery ratio, while instituting a program of regular, moderate fare increases. This performance reflects both state and local commitment to maintaining fiscally sound management of the system.

Attracting riders to the RTA system is a no slop effort and the three operating divisions utilize a variety of effective means to do so. The RTA: A Lean, Efficient Oversiglit Body

The Regional Transportation The RTA is a small, efficient organ- Authority was formed in 1974 "...to ization of 72 persons and is comprised provide for, aid and assist pubhc primarily of professionals organized transportation in the northeastern into four functional areas under the area of the state, consisting of Cook, leadership of the Executive Director. DuPage, Kane, Lake, McHenry and The remaining senior staff positions Will Counties." Geographically, this are as follows: area is approximately the size of the • The Chief Financial Officer is state of Connecticut. In 1981 , the RTA began to experience significant finan- responsible for the capital and cial difficulties due to rising deficits operating budgets, and for all which outstripped the available fund- financial activities of the RTA. ing. This crisis ultimately led to a • Chief Planning Officer is dramatic restructuring of the RTA The responsible for system planning and Act in 1983, and subsequent reorgan- development, and for fare and serv- ization of the RTA. ice demonstration projects. The RTA is now exclusively respon- sible for fiscal policy oversight of • The Chief Administrative Officer public transportation in Northeast is responsible for all internal sup- Illinois. The actual operation of port functions of the RTA and for m outside legal support. RTA ridership represents almost • The External Relations Director is 10 percent of the entire transit responsible for state and federal ridersliipintheU.S. legislative liaison. Urban Mass Transportation Administration transit service is the responsibility of contact, local government coordi- the RTAs three service boards— the nation, and public relations and Chicago Transit Authority, the Metra consumer information. Commuter Rail Division and the Pace Suburban Bus Division. Virtually all public funding for transit flows through the RTA, both for operations and for capital pur- poses. Funds that are not directly distributed by the RTA

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