- $27,839 for rerouting Ottawa 4 Bus Route
Transit Windsor estimates that additional revenues and savings will be generated from the following sources, which would offset the property tax levy pressures noted above:
- $842,000 in Gas Tax ridership increase
- $344,045 in a reduction to the required special pension plan contribution account
- $260,000 in additional Transit Windsor revenue
- $18,000 in additional revenue from the fare structure changes and fare increase
As a result of the net changes to the 2020 Operating Budget that are noted above, Transit Windsor's proposed budget will require additional property tax levy funding of $356,912 to maintain existing service levels (a 2.47% increase compared to the $14,425,771 approved as part of the 2019 budget). To mitigate this, Transit Windsor examined various options to achieve the cost reductions required by the City including options that achieve a 10% reduction of the 2019 net operating budget to hold the line on the tax levy. These options are as follows but are not recommended by Transit Administration:
1. Elimination of the first and last trips of the day. ($494,839)
Under this scenario, it is expected that riders may use the service earlier, or find alternative ways to travel that could affect other trips in the day. Transit ridership by time of day, by route, is an unknown and further investigation and onboard passenger counts would be required to determine actual ridership. The projected net cost is noted below.
Service | Cost | Revenue Loss | Net Cost |
---|---|---|---|
First trip of day | $386,315 | $112,542 | $273,773 |
Last trip of day | $311,938 | $90,872 | $221,066 |
Total | $698,253 | $203,414 | $494,839 |
2. Cancellation of Holiday Service ($31,339)
Under this scenario, there would be no transit service on Statutory Holidays. The projected net cost is noted below.
Service | Cost | Revenue Loss | Net Cost |
---|---|---|---|
No Holiday Service | $183,775 | $152,436 | $31,339 |
3. Elimination of specific bus routes ($1,016,372)
Under this scenario, several routes in the Transit System would be cancelled. This reduction would have a direct impact on ridership and gas tax revenue from the province. The projected net cost is noted below.