Red Deer’s transit system is costly and inefficient, suggested a city councillor during budget talks on Friday.
Chris Stephan took aim at the amount tax dollars are used to subsidize city buses, especially during off-peak hours and holidays. The city’s policy is to keep buses on a 30-minute schedule at all times of day even at times when ridership is typically low.
“To me, the business case behind that seems crazy,” said Stephan, who has emerged as council’s most vocal budget scrutineer.
Stephan said while he supports the bus service he believes it should be more efficient. He questioned why the city did not follow Calgary’s lead and run more buses during the busiest times of day and scale back service when ridership drops, such as the evenings.
Transit manager Kevin Joll said the city decided two decades ago that the best way to boost ridership and maintain the bus service was to provide consistency. By ensuring buses arrive on a standard schedule boosts overall ridership.
Joll said the department has looked at reducing service hours, and it was proposed when each department was asked to find potential cost savings prior to this year’s budget talks.
Transit suggested that service after 9:15 p.m. Monday to Saturday go to one hour from 30 minutes by eliminating 9:45 p.m. and 10:45 p.m. trips from the downtown station. The move would save $234,000 if begun in April, although it would cost three driver jobs and reduce fare revenues.
City manager Craig Curtis did not support the Transit Department’s proposal and is not included in the budget. In notes provided to council, Curtis said at a time when the city is trying to boost ridership reducing hours would be counter-productive.
Curtis also warned against making changes to the system before an upcoming review is completed.
Stephan also questioned why the Transit Department’s net budget after revenues had grown from $3.65 million in 2003 to $11.5 million last year. The number of staff increased to 122 from 49 over the same period.
Those increases outstrip ridership growth, he said.
Joll said the system has grown from 34 to 50 buses and service has been expanded in 11 subdivisions. Twenty employees were added when the Action Bus service was added to the department several years ago.
Ridership has also grown from 2.7 million passengers in 2004 to a peak of 3.7 million in 2010. Ridership dipped to 3.6 million last year.
The 2011 net budget is $16.1 million, or $11.5 million after revenues.
Funding requests were made by the department:
l $100,000 to ensure snow is removed at 358 bus stops. It boosts that snow removal budget to $150,000.
l $234,858 to cover increased operating costs for a new bus, including depreciation to pay for its eventual replacement.
pcowley@www.reddeeradvocate.com
