Telephone (905) 468-3266
Facsimile (905) 468-2959

1593 Four Mile Creek Road
P.O. Box 100
Virgil, Ontario
L0S 1T0
Submitted on:
June 24, 2011
Report:CS-11-012
Report To:Corporate Services Advisory Committee
Subject:Niagara-on-the-Lake Transit
Request for Funding

1. RECOMMENDATION
It is respectfully recommended:

1.1 that the Council of the Corporation of the Town of Niagara-on-the-Lake provide Niagara on the Lake Transit Ltd. with $10,000 from the 2011 budget (Account G-121-0116-3436); and,

1.2 that the funds be provided to Niagara on the Lake Transit Ltd. with the stipulation that the company provide written confirmation that it complies with the Transportation Standards required under the Access for Ontarians Disabilities Act as set out in Part IV of Ontario Regulation 191/11 - Integrated Accessibility Standards, and continue to operate the Community Shuttle Program in Niagara-on-the-Lake until December 31, 2011; and,

1.3 that staff be directed to report back to Committee of the Whole on how best to structure a competitive bidding process which will permit the integration of public transportation services (inclusive of the Heritage Shuttle, Community Shuttle and inter-municipal linkage) for release by November, 2011.

2. PURPOSE / PROPOSAL
The purpose of this report is to consider a request from Niagara on the Lake Transit Ltd. for Council to provide funding for its Niagara on the Lake Transit, Community Shuttle & Local Taxi Services.

3. BACKGROUND
Niagara-on-the-Lake does not have a local public transit system. Council's motion, which was passed at the October 12, 2010 meeting and forwarded to the Region of Niagara requesting that it consider adjusting the inter-municipal transit service to provide a stop at Niagara College Glendale Campus beginning in 2012, was premised on the Town initiating a regular fixed transit service that would connect with the Regional service.


The Town currently has a contract with 5-0 Transportation to run the Heritage Shuttle between the Fort George Bus Parking Lot and the Court House, which contract expires at the end of this year. The service is funded by parking revenues and passengers ride the bus free of charge between these sites.

In 2007, a privately-operated transportation company, Niagara Classic Cars Ltd. (NCC), began a new door-to-door service called the "Community Shuttle" which provided reduced pricing for specific categories of fare-paying passengers. That year, the pilot program received a grant from the Town in the amount of $5,000 (subsidy level of $1.00 per ticket).

In 2008 Council approved report CAO-08-013, as amended, recommending Council fund the Community Shuttle program run by NCC as requested, at a cost of $10,000 (subsidy level of $2.00 per ticket). Council approved the same amount of funding in its 2009 Budget. Based on data provided by NCC for the period from August to December of 2009, the service was generating an estimated ridership of 7,000 trips annually, representing some 92 registered riders.

The Community Shuttle, which was discontinued in March of 2010, has been revived as Niagara on the Lake Transit Ltd. and has been in operation for 8 months. As it is privately owned and operated, it does not qualify for any form of gas tax revenue to offset either its capital or operating costs and has relied on privately funded sponsorship to provide reduced fares for its patrons. It does not operate on a fixed route and ridership is limited to youth (under 18 years of age), seniors (65 and older), and persons with mobility impairment.

4. DISCUSSION / ANALYSIS
Staff met in May of this year with the owners of Niagara on the Lake Transit Ltd. to discuss funding for the Community Shuttle Program. Subsequently the Town received correspondence from the company , a copy of which is appended to this report.

Niagara on the Lake Transit Ltd. had projected a $50,000 budget to provide for approximately 10,000 tickets at a reduced price (from $7.50 to $4.00) over the course of an 18 month period. The company was able to raise in excess of $35,000 from Corporate sponsorship to offset the cost of ticket sales. However, ticket sales have exceeded expectations by nearly 60% in the first 6 months of operation. As of June 1st they have used their entire sponsorship reserve and are now sponsoring tickets corporately, through 'Niagara Patient Transfer' and 'Niagara Classic Transport'. The Company is requesting $15,000 from the Town in order to keep the service going.

Town staff have sought a legal interpretation of the Accessibility for Ontarians with Disabilities Act (AODA) and its regulations as it may apply to the provision of funds by the municipality for this service. As the transportation service exacts a fare from passengers, it is necessary to ensure compliance with the most recent regulations that came into effect on July 1, 2011.


5. FINANCIAL IMPLICATIONS
Council has approved in the 2011 operating budget $10,000 towards the Community Shuttle (account G121-0116-3436). To date these funds have not been disbursed.

Staff recommends that Niagara on the Lake Transit Ltd. be granted the $10,000 which would go towards offsetting ticket prices for its patrons. The money would be provided to the company with the understanding that they continue to operate the Community Shuttle program until December 31, 2011 and confirmation that they are in compliance with the AODA and its regulations. Such verification should be in writing to the Town.

6. COMMUNICATIONS
N/A

7. CONCLUSION
The varied public transportation needs of the community can be served by inviting proposals that combine the Heritage Shuttle, Community Shuttle and inter-municipal transit connection services into one contract package. An Expressions of Interest/Request for Proposal approach will be pursued immediately in light of the December 31, 2011 deadline date. In the interim, it is suggested that Niagara on the Lake Transit Ltd. be granted the $10,000 allocated in the 2011 operating budget subject to the conditions as noted in this report.



Respectfully submitted,



Sheldon Randall E.J. Kuczera, M.Sc., P.Eng.
Director of Corporate Services Director of Public Works



Mike Galloway
Chief Administrative Officer


ATTACHMENTS
3715_001.pdf


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