Metrobus Transit Study.pdf - City of St. John's

St. John’s Transportation Commission (Metrobus) 2011
Market Assessment and Strategic Directions Study – Part D: Strategic Directions
1. Employees can use the pass to access all Metrobus services;
2. Employers can sell transit passes to employees (if desired) to recover some of their cost of
service;
3. Provision of transit services will help attract the necessary labour pool for employers;
4. Transit passes are tax deductible, which provides a further financial incentive; and
5. The special industrial service can be designed if required to operate during days and hours
where regular transit is not provided.
The benefit of this strategy for Metrobus is that:
1. A specific cost recovery target is set before the service begins operation and the revenue
contribution from employers is guaranteed;
2. The strategy is incentive-based for the employers and puts more responsibility on them to
encourage the use of transit;
3. The service can be operated on a trial basis and discontinued only by employers opting out.
If successful the service is easily expanded under the same principles; and
4. Capital costs may not be required, but if they are then some financial recovery is possible
when setting the cost of service.
To implement the above service concept, the following steps are suggested:
1. Metrobus works initially with one large employer (and perhaps the Board of Trade) to
spearhead the initiative;
2. Metrobus identifies other nearby employers who might participate in the special service and
develop marketing and branding strategies;
3. Metrobus works with these employers to design the Industrial service offering that is tailored
to shift times of participating employers;
4. Metrobus sells 6 months’ worth of monthly Industrial service using the M-Card to the
participating employers;
5. M-Card passes are sold at the Adult Monthly Pass rate, and the number that employers are
required to purchase depends on the number of service hours involved and the required
cost recovery standard (i.e. between 40 and 75 percent R/C ratio). As an incentive this
Special Pass will be usable on all Metrobus services;
6. The employer can choose to give the M-Cards to their employees or sell them at whatever
price they wish;
7. Anyone using the Industrial special without an Industrial Special Pass must present a transfer
or pay a separate fare. Any extra revenue is credited back to the employer’s contribution in
the next six month period. This should be relatively easy using the M-Card technology;
8. New employers can sign on during the six month period and again any excess in revenue
beyond the target R/C will be credited back to employers’ contribution in the next six
month period; and
9. Service is reviewed, modified and renegotiated on a six month basis.
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