Passes Presentation

8/9/2019 Passes Presentation

1/16

Proposal forMetro Smart Passes

Michael Perkins


2/16

Transit Passes are Valuable

Encourage Transit Ridership All you can eat

Off-peak

Transit vs. Driving

Promote Customer Loyalty Cell Phone pricing model

Simple and predictable

Make Finances Predictable

Stabilize Agency Revenues

Stabilize Customer Costs

Allow Pricing Differentials

Between frequent riders and others


3/16

Other Agencies Agree

Most offer passes

Most passes are monthly

Monthly passes are 30-50 times regular fare(regular fares typically higher)

35-41.5 typical for WMATA peers (MBTA,

SFMTA, CTA, Tri-Met, Puget Sound,SEPTA)

But WMATA doesn't have just one fare(distance and time)


4/16

WMATA Passes Are Outdated

Bus: Flash pass (formerly DC Streetcar passes)

Rail: Two types

Rail Fast Pass

More expensive, but unlimited distance

Offers very long distance commuters adiscount

Short Trip Pass

Cheaper, limited distance No commuter discounts

Inconvenient (exact change)

These passes are limited by the technology available at the time


5/16

Conversion Won't Fix the

Problems WMATA converting passes to Smartrip

Current passes are rail or bus only

Current rail passes leave out short-distanceriders

No transfer discounts

Potential revenue downside for WMATA(especially with rail Fast Pass)


6/16

But Technology Can

We should have passes to promote transitridership and a transit culture

WMATA's fare structure would require toomany passes to serve a wide range ofcustomers (peak-of-peak, disabled, bus,rail, etc.)

Technology presents a solution


7/16


8/16

Proposal WMATA Smart Pass

Customer chooses their one-way fare value

Monthly pass price is 40 times that fare

Equal or lesser trips are free (rail or bus) Customer pays extra from stored value for

more expensive trips

Rail-bus trips are treated as one long trip

Example: $2.00 rail and $1.00 bustransfer need a $3.00 pass - $120 permonth

Share revenues based on usage


9/16

Smart Pass Benefits Customers

Simplifies pass system

Serves all customers equally

Long/Short Distance Rail/Bus

Elderly/Disabled

Peak of Peak or not Fixed monthly transit bill

Regular customers get the nights andweekends free just like cell phone


10/16

Smart Pass Benefits Agency

Reduces pass complexity no need forshort/long, disabled, separate bus and rail

Increases off-peak ridership Pay in advance

Days off don't cut into agency bottom line

Sick/Travel/Leave Snow day

Same discounts for everyone


11/16

Smart Pass Benefits Region

Cuts down on vehicle trips

Encourages Car-light or Car-free living

Reduces parking demand Increases Transit Ridership

Increases economic activity

Makes the system more equitable


12/16

Monthly passes work better

Weekly passes allow customers to pick andchoose their good weeks

Maximizes revenue losses for the agency Monthly makes it harder to opt out of low-

ridership weeks

Longer periods require bigger discounts


13/16

Federal Subsidy Suggests Passes

Federal Workers

Encouraged to get a pass if it's the sameprice as their commute

12 federal holidays and >13 annual leavedays =


14/16

Smart Pass allows price

discrimination for frequent riders Complicated way: Higher fares for paper

farecards or cash

Helps even infrequent riders if they get aSmartrip card

Only passes allow the agency to hold pricessteady on frequent riders while increasing

single-ride fares Example: Increase fares 10%, but cut the

multiplier from 40 to 38


15/16

Smart Passes could lead to more

sophisticated programs University Passes

Eco Passes

Allow a whole group to buy a pass foreveryone at once

Works like group insurance

Mandatory fee or employer payment Everyone gets the same pass

Reduces parking demand


16/16

Thanks!

Passes Presentation

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