Metra Board Meeting - November 2020
Illinois Metra
Transportation
This is a remote meeting. It will be live-streamed; see https://metrarail.com/about-metra/leadership/board-meetings.
Check the source website for additional information
Reporting
Edited and summarized by the Chicago - IL Documenters Team
Note-taking by
Marcus Paul
Live reporting by
Rex Tai
Rex Tai
@RexA_Tai
Good morning all! As a lifelong transit enthusiast, I am so excited to be live-tweeting today's Illinois Metra Board Meeting for #ChiDocumenters @ChiDocumenters!!
10:34 AM Nov 13, 2020 CST
Roll call is being taken; all directors of the Board are present. The meeting starts off with the Pledge of Allegiance and a presentation recognizing Veterans' Day.
In lieu of the yearly luncheon held by the Metra Board to honor veterans, due to the COVID pandemic the Board instead prepared a presentation with photos of Metra employees who have served in the armed forces. This presentation is received well by the veterans in attendance.
Onto the Consent Agenda. First item brought to discussion is item A4 by Director Koehler, asking about possible $10m difference in bid amount for contract and whether achieving the low bid would require many future Change Orders. https://t.co/7S77qlmM4o
The executive staff acknowledges that this is a difficult, extended project that will take 2-3 years to finish, but gives assurance that it should not require large future Change Orders, certainly less than $10 million.
Next, CFO Tom Farmer presents the monthly Financial Report with overall financial trends in revenue and expenditures, especially in light of changes since the beginning of the COVID-19 pandemic. The presentation can be found here: metrarail.com/sites/default/…
Some key figures are presented:
- Total Sept 2020 YTD revenue is under budget by $181.2m, as ridership is only at 10% of pre-COVID levels.
- Operating expenses are $76m favorable, primarily allocated toward labor (90%) and other services & rents. https://t.co/ivca1kdAuo
- Total Sept 2020 YTD revenue is under budget by $181.2m, as ridership is only at 10% of pre-COVID levels.
- Operating expenses are $76m favorable, primarily allocated toward labor (90%) and other services & rents. https://t.co/ivca1kdAuo
(cont.)
Overall YTD operating deficit is $105.2m unfavorable, representing a Revenue Recovery Ratio of 25.3%, about half of what had been budgeted. https://t.co/jXz58mtVgH
Overall YTD operating deficit is $105.2m unfavorable, representing a Revenue Recovery Ratio of 25.3%, about half of what had been budgeted. https://t.co/jXz58mtVgH
- Sales Tax funding has surprisingly rebounded close to budgeted levels
- $152m of CARES Act funding has been used thus far. https://t.co/21dmamJbTb
- $152m of CARES Act funding has been used thus far. https://t.co/21dmamJbTb
Farmer transitions next to the 2021 Budget and 2022-2023 Operating Plan. Presentation can be found at: metrarail.com/sites/default/…
Inflows are noted first, with sources coming from Operating Revenue (ticket sales), Sales taxes, and CARES Act funding. Operating expenses under pre-COVID conditions are noted below; over a 3 year period, a $570m shortfall is expected due to depressed operating revenue. https://t.co/yzqqU3MZ8Z
Based on service reductions and operating expenses observed in 2020 representing a conservative estimate of $735m, Farmer projects an affordable target for 2021 operating expenses of $700m. https://t.co/iYutS7XuMh
Budget Plans through 2023 are listed below that meet Balanced Budget & Revenue Recovery targets, with the acknowledgment that service will be lower than would be favorable and limited by what is affordable. https://t.co/DGJbuCg11S
A question is raised concerning whether with reduced operating expenses the system can still be operated safely and adequately, especially with the risk of increased crowding during times of cold weather.
Farmer responds that building new physically-distanced shelters would be unfeasible, but Metra will continue the practice of having its sanitation crew wipe down all physical surfaces on a daily basis following rush hours. Low ridership should also help for social distancing.
The primary message for the public is "wear a mask, stay physically distant. We will keep all surfaces and train cars sanitized, and run heaters in as many places as we can."
Farmer next clarifies a Q regarding "less service than we would like." Ideally/normally, Metra would run ~100 more trains a day than now, and increasing service will be limited by a return in revenue from ridership or federal fundng. "We will provide all the service we can."
Overall, the Board acknowledges these difficult financial times amidst the pandemic but celebrates having a balanced budget, being able to extend the CARES Act funding through 2022, and flexibly adapting to the circumstances.
Next, Lynette Ciavarella of strategic capital planning discusses Fare Changes for 2021, including a language change to ticket valid/expiration periods and new Weekend pass options. https://t.co/rYBZVrksUf
Metra's commitment to reaffirming nondiscrimination under Title VI of the Civil Rights Act as a recipient of federal funding was considered for the fare change. Early analysis found "no disparate impact on minority riders or disproportionate burden on low-income riders"
Ciavarella next moves on to Capital Program Overview for FY2021-2025, found at this link: metrarail.com/sites/default/…
Agency Information
Illinois Metra
See meeting notes for details
Metra provides about 300,000 passenger trips in northeast Illinois each weekday. The region is highly dependent on public transportation. The 11-member Metra Board of Directors, made up of members representing the six-county Chicago metropolitan area, generally meets once a month to discuss various matters related to the safety, reliability and comfortability of Metra passengers.
Remote meetings are live-streamed at https://metrarail.com/about-metra/leadership/board-meetings.
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