Los Angeles County One Gateway Plaza

®Metro Metropolitan Transportation Authority Los Angeles, CA 90012-2952

213.922.2000 Tel metro.net

TO:

THROUGH:

BOARD OF DIRECTORS

PHILLIP A. WASHINGTON ~~ CHIEF EXECUTIVE OFFICER

MARCH 22, 2016

FROM: l>1) RICHARD CLARKE a..,/>· / r EXECUTIVE DIRECTOR, PROGRAM MANAGEMENT

SUBJECT:

ISSUE

METROLINK ANTELOPE VALLEY LINE 100% FARE ENFORCEMENT AND 25% FARE REDUCTION PILOT PROGRAMS

In December 2014, the Metro Board approved Motion #14 by Supervisor Antonovich to initiate a 100% fare enforcement pilot program on the Antelope Valley Line (AVL). The program has been in place for a full year and data is now available for analysis into the effectiveness of the program. As requested in the motion, staff is reporting back to the Metro Board with an evaluation of the program for 12 months, January 2015 to December 2015.

In April 2015, the Metro Board approved Motion #77 by Supervisor Antonovich to initiate an AVL 25% Fare Reduction Pilot Program. Staff is reporting on the effectiveness of this program for six months, July 2015 to December 2015.

BACKGROUND

Metrolink typically has one conductor per train. With multiple responsibilities such as safety, rules compliance and customer service, it is challenging to provide sustained fare enforcement on a train with up to six cars and 12 station stops. A 2013 survey estimated systemwide fare evasion at 2.5%. Annual revenue loss due to fare evasion is estimated at $1.8M annually.

A second conductor would provide more on-board resources and create an environment for the following:

• Sustained on-board fare enforcement • More conductor emphasis on safety-critical responsibilities • Improved customer service and passenger communications • Faster response during incidents and delays • Improved overall safety on the trains

• Enhanced overall customer experience.

Historically, the AVL has had the highest fare evasion rate of all seven Metrolink lines. The AVL is also 100% funded by Metro and presents an ideal and unique opportunity to test the impacts of 100% fare enforcement on Metrolink ridership and revenues.

On November 1, 2014, Metrolink initiated a temporary program to increase fare enforcement on the AVL thru December 31, 2014. In December 2014, the Metro Board approved Motion #14 by Supervisor Antonovich (Attachment A) to provide $1 .7M in Metro funding for a 100% fare enforcement pilot program on the AVL from January 1, 2015 thru June 30, 2015. The $1.?M funded the program thru December 31, 2015. In December, 2015, the Metro Board approved Motion #52 by Supervisor Antonovich (Attachment B) to extend the funding for the program thru June 30, 2016.

DISCUSSION

Starting January 1, 2015, Metrolink deployed an additional eleven assistant conductors dedicated to the AVL trains to perform daily ridership counts, regular fare checks and issue citations. This provides a second conductor on the trains. The 100% Fare Enforcement Program also includes Los Angeles County Sheriffs Deputies (LASO) and Metrolink security guards, who perform streetcarring at Los Angeles Union Station (LAUS), intermediate stations, and random ticket checks on trains.

Fare Evasion

Previously, fare evasion on the AVL was estimated at 3.4%. Data from January 2015 through December 2015 from both the conductors and the LASO indicates fare evasion rates at 0.5% or lower. This indicates that fare evasion on the AVL has been mostly eliminated.

0.30%

0.25%

0.20%

0.15%

0.10%

0.05%

0.00%

Conductor Monitored Fare Evasion 2015

AVL 100% Fare Enforcement and 25% Fare Reduction Pilot Programs 2

Sheriff Monitored Fare Evasion 2015 0.40% -r--------------------------0.35% -t------ ---

0.30%

0.25%

0.20%

0.15%

0.10%

0.05%

0.00%

25% Fare Reduction Pilot Program

At the April 30 , 2015 Metro Board meeting , the Board approved Motion #77 to initiate an AVL 25% Fare Reduction Pilot Program, effective July 1, 2015 (Attachment C). Through December 31 , 2015, the results have been positive. Ridership on the AVL is up 14% and continuing to trend higher. Revenues are down 12%, which is far less than the $2.5M budgeted. If these trends continue, the program will mostly pay for itself.

20%

1.S%

H J%

5%

1%

-6%

11%

-16%

-71 %

Antelope Valley Line Fare Reduction Pilot Change in ridership and revenue from prio r year

-13 Yo 16 ./

-1 Yo

July Au Sep

-7% 90

Oct Nov

-9%

• Ridersh ip

CJ Revenue

Dec

AVL 100% Fare Enforcement and 25% Fare Reduction Pilot Programs 3

Customer Satisfaction

Th ru May 2015, overall complaints on the AVL were down 16% and complaints per 1 OOK boardings were down 9% compared to the prior six months. Additionally, the most recent on-board survey conducted in 2015 indicated a higher level of improvement in customer satisfaction on the AV line than on the other Metrolink lines.

CHANGE IN SATISFIED RIDERS 2010-2015 (Good o r Excellent)

AV LINE 1i REST OF THE SYSTEM

35%

30%

25%

20%

15%

10%

5%

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CONCLUSION

The AVL 100% Fare Enforcement Pilot Program has resulted in a significant reduction in fare evasion on the AVL. Customer satisfaction is higher, and riders are benefitting from an improved customer experience. The program is costing Metro $1.7M annually in Proposition C 10% funds.

The AVL 25% Fare Reduction Pilot Program has seen an increase in ridership of 14% on the AVL and continuing to trend upward. Revenue loss is 12% and trending in a positive direction. The program is costing Metro $1.4M annually in Proposition C 10% funds.

NEXT STEPS

Both programs are funded through June 30, 2016. This Spring , as part of the Metrolink annual budget approval item, staff will return to the Board with recommendations on possible funding for FY 2016-17.

AVL 100% Fare Enforcement and 25% Fare Reduction Pilot Programs 4

ATTACHMENTS

Attachment A- Motion #14 from December 4, 2014 Metro Board Meeting (Antonovich) Attachment B - Motion #52 from December 3, 2015 Metro Board Meeting (Antonovich) Attachment C - Motion #77 from April 30, 2015 Metro Board Meeting (Antonovich)

AVL 100% Fare Enforcement and 25% Fare Reduction Pilot Programs 5

DECEMBER 4, 2014

MTA BOARD MEETING

ATTACHMENT A

MOTION

DIRECTOR ANTONOVICH

14

Last month Metrolink launched a full fare enforcement pilot program on the Antelope

Valley Line to curb fare evasion on the system, adding assistant conductors to trains to

help check for tickets, instituting a "street-earring" policy at Los Angeles Union Station

to prevent people without a ticket from boarding the train, and providing aggressive

fare inspections at the Glendale and Burbank stations to prevent passengers from

making "short-buys", where a passenger buys a ticket for a shorter (and less costly) trip

than they intend to make.

So far, the results are promising for the Metrolink Antelope Valley Line. In the first two

weeks of the program, Metrolink enforced fares on 328 trains serving the Antelope

Valley Line, resulting in 507 people turned away from boarding the train due to "street­

carring" and 230 citations issued for fare evasion. Consequently, revenues collected in

November are higher than expected and customer satisfaction is higher on the Antelope

Valley Line now that fares are being checked more regularly and more security is

present on the trains.

To maintain full fare enforcement coverage for the life of the fare enforcement pilot

program through the remainder of Fiscal Year 2015, additional funding ($1.7 million,

according to Metrolink) is required to provide the staffing necessary to ensure the

integrity and purpose of the program.

I THEREFORE MOVE that the MTA Board allocates an additional $1.7 million from

Metrolink-specific sources {Proposition C 10% and Measure R 3%) for the purpose of

ensuring 100% fare enforcement coverage on all Antelope Valley Line trains through the

June 30, 2015, conclusion of this Pilot Program.

I FURTHER MOVE that the MTA Board direct the CEO to work with the Metrolink CEO to

make a presentation to the MTA Board by the June 2015 Board meeting that provides

an evaluation of the program and its effectiveness in improving the quality and security

of Metrolink's Antelope Valley Line service.

Metro

~ Metro Board Report

File #:2015-1694, File Type:Motion / Motion Response

Los Angeles County Metropolitan Transportation

Authority One Gateway Plaza

3rd Floor Board Room Los Angeles, CA

Agenda Number:52.

PLANNING AND PROGRAMMING COMMITTEE NOVEMBER 18, 2015

Motion by:

Director Antonovich

November 18, 2015

Metrolink Antelope Valley Line Fare Enforcement

The Metrolink Antelope Valley Line (AVL) provides a vital transit service for the communities of the Antelope, Santa Clarita, and the San Fernando Valleys.

In December 2014 the Metro Board approved Motion #14 (Antonovich) to initiate a 100% fare enforcement pilot program on the AVL through December 31, 2015.

This program has proven successful on many fronts, resulting in:

• A drop in fare evasion from 3.4% to 0.5%. • A decrease of 16% in customer complaints from the prior year. • A greater gain in customer satisfaction on the AVL than any other line, according to the recent

2015 on-board survey. • An overall enhanced customer satisfaction for patrons of the AVL

Without approval of a six-month extension of the program by the Metro Board in December, this program will cease on January 1, 2016. Given the success of this program in enhancing customer satisfaction and quality of service on the AVL, it is vital that the program be continued through the remainder of Fiscal Year 2016 (June 30, 2016) and evaluated for inclusion as a baseline program in the FY2017 Metro budget for Metrolink.

MOTION by Antonovich that the Metro Board directs the CEO to provide Metrolink-eligible

funding to continue the 100% fare enforcement pilot program for the Antelope Valley Line

through the remainder of Fiscal Year 2016 (June 30, 2016).

Metro Page 1 of 1 Printed on 11/17/2015 powered by Legistar..,.

MTA Board of Directors

April 30, 2015

ATTACHMENT 8

MOTION

DIRECTOR ANTONOVICH

77

Metrolink serves as a vital component of Los Angeles County's multimodal

transportation network, particularly for residents along the Antelope Valley Line

between Lancaster and Los Angeles Union Station. As Metrolink fares have

increased throughout Southern California over the past few years, ridership along

the Antelope Valley Line has demonstrated greater price elasticity of demand.

In response to this ridership impact, and in conjunction with Metrolink and MTA

Regional Rail staff, my office has worked to develop an Antelope Valley Line Fare

Reduction Pilot Program that would provide a 25% reduction in fares across the

board for the Antelope Valley Line. In addition, we will be testing ridership

response to a reduction of fares between adjacent stations to $2 per trip (these

trips are currently priced between $4 and $5).

The purpose of this Pilot Program is to determine how ridership on the Antelope

Valley Line responds to a reduction in fares, both across the board and between

adjacent stations. The total cost for this program for Fiscal Year 2016 is estimated

to cost up to, but not in excess of, $2.5 million.

I THEREFORE MOVE that the MTA Board directs the CEO to program $2.5 million

in Metrolink-dedicated funding to support the Antelope Valley Line Fare

Reduction Pilot Program for Fiscal Year 2016.