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600451-00117

SWUTC Research Project Description

Achieving Regional Fare Integration in New Orleans:  Innovative Cost Sharing Arrangements and Technologies

University: University of New Orleans

Principal Investigator:
John L. Renne
Gulf Coast Research Center for Evacuation and Transportation Resiliency
(504) 280-6592

Project Monitor:
Jeff Schwartz
Executive Director, Broad Community Connections
Board Member, New Orleans Regional Planning Commission & RIDE New Orleans
(504) 722-3628

Funding Source: USDOT

Total Project Cost: $31,868

Project Number: 600451-00117

Date Started: 9/1/13

Estimated Completion Date: 12/31/14

Project Summary

Project Abstract:
Many regions across the country have more than one transit agency providing vital public transportation services. While a transit agency may see their role limited by a jurisdictional boundary, transit riders’ commutes know no such political boundaries. For those riders whose commutes are reliant on one or more transit agencies, a fractured fare system among the various transit agencies they ride means higher user costs.

Regional fare integration requires participating transit agencies to evaluate and negotiate on a broad range of considerations, including, but not limited to:

  • establishing a financial and governance framework
  • setting a system procurement strategy;
  • setting a unified fare policy for the region;
  • developing technical system architecture to support the integration;
  • staging an effective implementation strategy;
  • establishing revenue settlement and data-sharing procedures; and
  • developing joint customer service functions

The variety of considerations makes negotiating regional fare integration a complex undertaking for transit agencies.

Prior to the devastation wreaked on the New Orleans region following the levee failure associated with Hurricane Katrina in 2005, a regional day pass provided full access to both the New Orleans Regional Transit Authority’s and Jefferson Transit’s bus and streetcar network. Since the flooding in 2005, both transit agencies have undergone extensive transformations while recovering from the disaster. However, neither has made an effort to restore the regional day pass, creating inconveniences and higher fare payments by transit riders dependent on both systems for regular travel.

This study will examine the history of regional fare integration in the New Orleans metropolitan region, and the challenges and successes of varying approaches taken by transit agencies in various metropolitan regions, to reveal options for achieving regional fare integration in New Orleans today.

The case studies that this study will feature will expand on those identified in the Transit Cooperative Research Program’s Report 94: Fare Policies, Structures and Programs: Updated. At the time that TCRP Report 94 was published in 2003, extensive research and development efforts were underway in the metropolitan areas of San Francisco Bay, Washington, DC, New York City/Northern New Jersey, Los Angeles, Seattle/Central Puget Sound, San Diego, Miami, and southwestern Connecticut; however, researchers noted that their efforts were all in the early stages of implementation and testing. Because these regions took various approaches in fare integration, distinct and important lessons have likely since emerged that can provide guidance to other regions, including the New Orleans metropolitan area.

Project Objectives:
This study will evaluate varying approaches to regional transit fare integration, identifying best practices in cost sharing and the use of new technologies, to make recommendations to advance a unified fare policy in the New Orleans metropolitan area.

Task Descriptions:
Task 1:  Develop a case study of the historical regional day pass that existed for the New Orleans Regional Transit Authority (NORTA) and Jefferson Transit (JET) systems.

  1. Interview staff, agency personnel and public officials with NORTA, Regional Planning Commission, and JET to understand the historical regional fare integration.
  2. Identify what technology, policy, legal and other infrastructure was associated with the regional day pass arrangement.
  3. Review available historical data related to pre-Katrina regional day pass usage and fare revenue sharing between JET and the RTA.

Task 2: Document any changes to the governance, fare collection, fare policy or management structures of JET and the RTA post-Katrina that could impact future unified fare proposals.

Task 3: Conduct a literature review to identify and evaluate research on regional fare integration cost sharing arrangements and fare technologies.

  1. Review TCRP Report 94: Fare Policies, Structures and Programs Updated.
  2. Identify and review other relevant research.

Task 4:  Develop three to five case studies of metropolitan areas that have implemented regional fare integration.

  1. Select three to five metropolitan regions that have taken varied approaches to regional fare integration.
  2. Identify the financial and governance framework, procurement strategy, unified fare policy, technical systems, implementation process, revenue settlement and data-sharing procedures and joint customer functions associated with each case study.

Task 5: Synthesize the research and case studies to develop a series of best practices for regional fare integration and recommendations to advance efforts in the New Orleans metropolitan region.

Task 6:  Prepare final technical report.

Implementation of Research Outcomes:
Many regions across the country have more than one transit agency providing vital public transportation services. While a transit agency may see their role limited by a jurisdictional boundary, transit riders’ commutes know no such political boundaries. For those riders whose commutes are reliant on one or more transit agencies, a fractured fare system among the various transit agencies they ride means higher user costs. This study examined the history of regional fare integration in the New Orleans metropolitan region, and the challenges and successes of varying approaches taken by transit agencies in various metropolitan regions, to reveal options for achieving regional fare integration in New Orleans today.

Following this research, transit advocacy organization Ride New Orleans incorporated the findings of this study on fare integration best practices into their key recommendations presented as part of the 2015 State of Transit in New Orleans: Ten Years After Katrina report, which was widely publicized and presented to transit stakeholders and elected officials. As a direct result of this research, discussion is underway about next steps for developing a coordinated regional fare structure.

Products produced by this research:

Presentation:  Achieving Regional Fare Integration in New Orleans:  Innovative Cost Sharing Arrangements and Strategies, John Renne, Presented to the UNO Transportation Institute Lunch and Learn Seminar, New Orleans, LA, April 21, 2015.

Future Presentation:  A presentation of study findings is planned to be made to the newly appointed New Orleans Regional Transit Authority’s Riders Advisory Committee late 2015.

Impacts/Benefits of Implementation:
This research made, as described above, an immediate impact on the strategies and efforts of local non-profit organizations and community groups, providing these organizations with the data needed to advocate for policy change. It is likely to make a future impact on regional transit coordination and fare structuring. In general, this research contributes to efforts to improve the quality and accessibility of transit service, expand access to economic opportunity, and promote a sustainable multimodal transportation system for all users.

Web Links:
Final Technical Report