Transit Agency Status FY Current Financial Position Current Operations Service Statistics/Trends Funding Statistics/Trends Other Information/Assumptions Capital Status Review 1

Current Financial Position: Reserves SourceBalance PTAF$0.00 ASG$0.00 BSG$0.00 Section 1513$23,926 Local$0.00 Other 2

Current Financial Position: Level of Short-Term Debt/Loans—Identify each line of credit (excludes long-term bond financing) Name of Financial Institution Amount of Available Credit Interest Rate Current Credit in Use M&T Bank$3,000,0002.5%$1,600,000 3

Current Financial Position: Accounts Payable – Past due 90 days and over Accounts Receivable – Past due 90 days and over VendorAmount Past DueEstimated Pay Date Program/AgencyAmount Past DueDate RequisitionedEstimated Pay Date STEP, Inc.$19,832June – August

Current Operations: Staffing Level Contract Provisions Healthcare Pension Fuel Fares Other major factors producing cost increases above inflation Cost Savings Initiatives 5

Organizational Chart 6 Director of Planning & Grants Administration / Special Projects Manager Director of Administration / General Manager Office Manager Coordinator of Sales and Customer / Staff Services Chief Financial Officer Systems Team (3) Director of Contract / Public Services / General Manager Director of Transit Operations / Assistant General Manager Operations Manager Fleet Manager Supervisors (3) Shop Foreman MechanicsDrivers Info Center Manager Info Center Attendants Captains House Manager Crew Chief Crew WPA Admin. Assistant Contract Services Manager Chief Enft. Officer Assistant GM Facilities Supervisor Contractors Public Works Clerical Cashiers Enft. Officers

Contract Provisions Term of current union contract 1/1/2010 to 12/31/2014 DriversCurrent Starting wage$12.94$13.27 Top wage$19.94$19.95 Average wage$18.68$19.14 Contract wage increase1/1/ /5%1/1/ % Job ClassificationNumber- Full TimeNumber-Part Time Drivers285 Mechanics60 Dispatchers00 Clerical00 Other Positions (Identify)00 Shop Foreman & Asst. Shop Foreman 7

Important Contract Provisions Use of part-time employees Permitted by contract 185 hours of part-time work/week for operators and permitted by contract 2 part-time maintenance employees working more than 25 hours/week. Number/percent of “split shift” drivers 25% Overtime Paid 1 ½ times regular rate for all hours over 40 hours worked each week. Outsourcing ADA Para-transit Service through STEP, Inc. Major component replacements/repairs and warranty work is outsourced to local heavy duty repair shop. RVT’s budgets 30% of the maintenance budget to be out sourced. Other 8

Healthcare Describe any proposed changes and the estimated financial impacts. Exploring the possibility of joining a statewide consortium for health insurance. UnionNon-Union Basic Coverage Current $ (Individual) As of 1/1/12 $ $ (Individual) As of 1/1/12 $ FY $ (Individual) Employee Contributions Current None FY None Co-Payment Current Tier 1 - $8; Tier 2 - $15; Tier 3 - $30 FY Tier 1 - $8; Tier 2 - $15; Tier 3 - $30 9

Pension UnionNon-Union Employee Contributions Current5.5% FY % Minimum Age to Qualify for Retirement Current55/60 FY /60 Minimum Number of Years to Qualify for Retirement Current12 FY Minimum Number of Years to be Vested Current12 FY

Pension: Describe any proposed changes and the estimated financial impacts. RVT’s Employee Recruitment and Retention Plan (ERRP) is a tool RVT will utilize to retain and recruit employees that in the long-run will provide savings by reducing turnover expenses such as hiring, training, liability insurance, and system performance. Provide a status of the degree to which the pension funding is funded. If not fully funded please provide your strategy to fully fund pension. RVT’s pension is fully funded. 11

Fuel: Current Cost per Gallon $3.163 (OPUS +Differential (0.0258)) Contract rate or market rate? Contract – State Contract DGS pricing Terms of contract (if applicable) 1/1/2011 – 12/31/2011 State Contract DGS Projected Cost per Gallon and Basis for Projection State OPUS + Differential Contract rate or market rate? Contract Rate – State Contract DGS pricing Terms of contract (if applicable) 1/1/2012 – 12/31/2012 State Contract DGS 12

Fixed Route Fares: Provide average fare: Current Amount$1.03 Future Amount$ Describe fare policy In line with RVT’s mission statement, RVT has a longstanding policy of providing high quality public transit service to the Williamsport urbanized area at the most affordable fares for its customers. As a result of management’s sustained emphasis on operating efficiency as well as safety, service reliability, and convenience, this high quality transit service is provided at a relatively low cost to both passengers and the local governmental jurisdictions that help support the system. Maintaining and increasing ridership while keeping fares at affordable levels in the face of escalating costs is an ongoing challenge. Fare Type Date of Last Increase Current Amount Date of Planned Increase AmounNt After Planned Increase Base Fare 5/2/2005 $ Transfers Eliminated 2/1/2002 N/A Zone Fares Eliminated 2/1/2002 N/A Other multi-ride tickets/passes (Add as appropriate) Day Pass 9/15/08 2Ride Pass 9/15/08 7 Day Pass 8/1/11 10 Ride Pass 8/1/11 20 Ride Pass 8/1/11 31 Day Pass 8/1/11 $2.50 $11.00 $20.00 $ /1/ $

Shared Ride Fares: Date of Last Fare Increase - 5/2/2005 RVT and 5/1/2011 STEP RVT contracts out the required ADA paratransit service to the local shared ride provider STEP, Inc. RVT’s base fare was last increased on 5/2/2005 from $1.50 to $2.00 that made the “ADA Eligible” passenger fare $4.00. STEP, Inc. fare was increased on 5/1/2011 from $15.60 to $ Current $16.60/trip (ADA Eligible Clients pay $4.00) Average fare $16.60/trip Sponsorship arrangements - STEP charges RVT $16.60/ADA eligible trip. STEP collects $4.00 from the ADA eligible client and invoices RVT the balance of $ Planned Changes Date of planned increase - unknown Estimated average fare – unknown Sponsorship arrangements - unknown Describe Fare Policy RVT contracts out the DR/PT service to STEP, Inc. on a contracted per trip basis of $ STEP collects $4.00 (twice the RVT fixed route base fare) from the ADA eligible client when they board. STEP then invoice RVT the balance ($12.60) of the trip on a monthly basis. This trip fee includes all associated administrative costs. 14

Other Major Factors Producing Cost Increases Beyond Inflation: FactorsCurrent Amount Projected Future Amount Explanation Employee Recruitment and Retention Plan $0$200,000 RVT’s Employee Recruitment and Retention Plan (ERRP) is a tool RVT will utilize to retain and recruit employees that in the long-run will provide savings by reducing turnover expenses such as hiring, training, liability insurance, and system performance. Garage & Office Facility Expansion Project $35,000$45,000 RVT’s Garage & Office Complex has doubled in size as a result of the recent renovation and expansion project, which resulted in an increase in utility costs. ADA Paratransit Service $15,000$25,000 STEP, Inc. discontinuing weeknight service after 6 p.m. and all day Saturday as of 1/1/2012. This will increase RVT’s cost associated with paratransit service because RVT will now have to provide this ADA paratransit service utilizing RVT unionized operators. 15

Cost Savings Initiatives: RVT’s overall strategy for maintaining financial viability consists of the following principles: Holding the line on costs wherever possible, Seeking ways to attract additional ridership and enhance earned revenue rent, parking, fueling, etc. Leveraging state and federal funds to the greatest extent, including Welfare-to-Work funding, Raising fares very carefully so as to minimize ridership disruption, and, Increasing the local commitment to preserve high quality public transportation in RVT’s service area. InitiativeCurrent Cost Planned Action and Implementation Date Projected Savings CNG Fueling Station Project $0 CNG Fueling Station under development with an anticipated completion date of September $100,000+/yr Safety & Awards Program $25,000 The safety and awards program is designed to achieve safety goals through employee recognition and increased job satisfaction and performance. $100,000/yr 16

Fixed Route Funding FY FY FY FY FY Total Operating Expenses5,000,1725,396,9615,779,8195,991,7726,213,553 Total Operating Revenue952,7481,004,5001,048,2501,094,1881,142,422 Total Operating Deficit4,047,4244,392,4614,731,5694,897,5845,071,131 Subsidies: Federal497,860848,185 State3,097,7483,192,4343,596,0423,747,6903,906,152 Local260,530273,659287,342301,709316,794 Total Funding3,856,1384,314,2784,731,5694,897,5845,071,131 *see page 21 – used carryover funds191,28678,

Fixed Route Service Statistics/Trends: Describe Any Proposed Changes Fixed RouteFY FY FY FY FY Rev. Veh. Miles826,601830,000835,000839,000843,000 Rev. Veh. Hours53,51653,80054,00054,30054,500 Passenger Trips1,335,9211,370,0001,400,0001,430,0001,460,000 ACT 44 PERF. MEASURES Pass. Trips/Hour Op. Cost/Hour$93.43$100.32$102.77$105.24$ Op. Rev./Hour$17.80$18.67$19.72$20.99$21.83 Op. Cost/Trip$3.74$3.94$3.96$4.00$

Shared Ride Funding FY FY FY FY FY Operating Expense $22,226$25,520$25,781$25,872$25,966 Passenger Revenue $5,132$8,000$8,400$8,820$9,261 Lottery $0 MATP $0 Other $0 Balance $17,094$17,520$17,381$17,052$16,705 19

Shared Ride Statistics/Trends 20 Shared-RideFY FY FY FY FY Total Veh. Miles11,37712,00013,00014,00015,000 Cost per Mile$1.78$2.92$3.46$3.36$3.27 Total Veh. Hours Cost per Hour$36.15$56.00$69.23$70.15$71.01 Total Pass. Trips1,2831,4001,500 Cost per Trip$15.75$25.00$30.00$31.33$32.67 Rev. per Trip$4.00 Trips per Hour

Other Information/Assumptions: Fixed-Route COA proposed budgets for 2011 and 2012 allocates $191,286 and $78,183 respectively in carryover funds. The 2011 audit allocates $310,831 in carryover funds leaving a balance of $23,926 for FY2012 Shared Ride STEP, Inc. will be discontinuing weekday service after 6:00 pm and all day Saturday; therefore, RVT will now have to provide this ADA paratransit service utilizing RVT unionized operators which will increase RVT’s shared ride expenses. 21

Capital Status Review Fixed-Route Garage & Office Facility Project98% Project is in final close out phase. Church Street Transportation Center Project95% Project nearly complete the only outstanding item is with the opening/operation of the elevator and miscellaneous close out items. Purchase of Six Hybrid Replacement Buses50% RVT received 3 hybrid buses in March 2011 and it is anticipated that the remaining 3 hybrid buses will arrive in January Trade & Transit Centre/Residential Development Project Project is in the schematic design review phase. Still seeking additional federal and state funding. RVT and the design team of L. Robert Kimball, Reynolds Construction Management, and LCL Advisors continue to work with a developer on the residential development component. A demolition bid package has been developed. CNG Fueling Station & Purchase of CNG Buses RVT has preliminary design plans. RVT received $3.5 M federal grant and $400,000 DEP grant. Shared Ride No Capital Projects Planned 22