Caltrain tentative financial agreement could minimize service reductions

Executive staff from Caltrain's three member agencies and the Metropolitan Transportation Commission reached agreement on a tentative financial plan that, if approved, would significantly reduce the agency's projected Fiscal Year 2012 operating deficit and allow considerably more service than an earlier proposal. Based on the agreement, Caltrain staff is recommending that the Board authorize a 76-train weekday schedule for Caltrain service beginning in July 2011. The proposed schedule is a 60 percent increase in weekday train frequency over an earlier 48-train schedule, which was released in February as a worst-case scenario to reflect the agency's $30 million operating deficit. Unlike the earlier proposal, the 76-train schedule maintains the current span of early morning, midday and late evening weekday service hours; supports service between Gilroy and San Francisco; and provides continued, but modified, weekend and special event service, including baseball service. In addition, where the original schedule proposed suspension of service at up to 16 stations, the 76-train schedule would require suspension of weekday service at only three - Bayshore, Hayward Park and Capitol. "The 76-train proposal is a significant improvement over the worst-case scenario, and there is a lot to like in the new schedule. It actually provides more service to some stations than they have now and it preserves the competitive travel times our customers have come to expect from Caltrain," said Caltrain Executive Director Michael J. Scanlon. Scanlon also emphasized that any solution to the Caltrain fiscal crisis is entirely temporary. "This is an emergency, short-term fix and it does not address the core financial issues that continue to threaten Caltrain service," Scanlon said. "Caltrain needs a permanent, dedicated source of revenue. Without that, the fiscal crisis we faced this year will only get worse and the future of the rail system will continue to be in doubt." The tentative funding agreement that makes the new weekday and weekend schedules possible was negotiated among the three Caltrain partners - San Francisco through the San Francisco Municipal Transportation Agency, the Santa Clara Valley Transportation Authority and the San Mateo County Transit District- and the Metropolitan Transportation Commission. The agreement involves augmenting the support of the Caltrain operating budget through the swapping state and regional capital funds and through funds that VTA will pay to SamTrans for the initial purchase of the Caltrain right of way. The new schedule reduces net operating costs by approximately $3.3 million and includes a staff recommendation to generate over $2 million through a fare increase and an increase in parking fees. Scanlon cautioned that the agreement would only cover the coming Fiscal Year 2012 but added that the parties will continue to negotiate through the summer in hopes of reaching agreement this fall on how to address Caltrain budget shortfalls in Fiscal Year 2013. The Caltrain partners and MTC also are working closely with community coalitions to address the long-term funding of the rail system, which does not have a permanent, dedicated source of revenue.