1. Port Authority of Allegheny County FISCAL YEAR 2003 BUDGET As presented to the TFLEX Conference August 19, 2002

2. Port Authority of Allegheny County FY 2003 OPERATING AND CAPITAL BUDGET VISION Deliver Outstanding Transportation Services Which Connect People to Life MISSION To Become America’s Premier Public Transportation Company

3. Port Authority of Allegheny County FY 2003 OPERATING AND CAPITAL BUDGET PORT AUTHORITY INFORMATION: Established : March 1, 1964 Overall Service Area : Allegheny County, plus minor portions of Armstrong, Beaver, Butler, Washington & Westmoreland Counties. Transportation Modes : Bus, Light Rail Transit, Incline Plane & ACCESS Paratransit System # of Employees : 3212 Total Hourly & Salary Unions : ATU Local 85 IBEW Local 29 Transit Police Association

4. Port Authority of Allegheny County FY 2003 OPERATING AND CAPITAL BUDGET PORT AUTHORITY INFORMATION: Fleet Size : Buses1029 Light Rail Vehicles 55 Small Transit Vehicles 85 Incline Cars Mon Incline 2 Duquesne Incline 2 ACCESS Vehicles 468 # of Transit Stops : 16,440 Park & Ride Program : 53 Lots 9,656 Spaces

5. Port Authority of Allegheny County FY 2003 OPERATING BUDGET PTAF Funding $29.0 M State Bond Funding $19.0 M Operating Grants $70.9 M Total FY2003 Revenues & Grants : $276,610,000 STATE FUNDING SOURCES REVENUES & GRANTS

6. Hourly Wages Non-Operators 26.9 % Salaries 25.6 % Hourly Wages Operators 47.5% Total FY2003 Expenses : $276,610,000 WAGES & SALARIES Port Authority of Allegheny County FY 2003 OPERATING BUDGET EXPENSES

7. Port Authority of Allegheny County FY 2003 OPERATING AND CAPITAL BUDGET FY 2002 Highlights: West Busway Special Events Services Capital Expansions –First Avenue Station –7 new and/or improved Park-N-Ride lots Planning Initiatives –20/20 Visioning, Airport Corridor Multi-Modal & Eastern Corridor Transit Studies –Highspeed MAGLEV EIS Access to Jobs - 24 Hour Service Bus Procurement Inventory System Improvements & Cost Reductions Marketing Partnerships w/Citizens Bank Administrative Cost Economies

8. Port Authority of Allegheny County FY 2003 OPERATING AND CAPITAL BUDGET Objectives: Provide Exceptional Customer Service Balanced Operating Budget Maintenance of Capital Assets/State of Good Repair Accomplishment of Major Capital Projects within Time and Budget

9. Port Authority of Allegheny County FY 2003 OPERATING AND CAPITAL BUDGET FY 2003 Challenges: Balanced Operating Budget –Service Levels –Fare Levels –Health Care Costs New Labor Contract Implementation Completion & Opening of MLK Jr. East Busway Ext. LRV Procurement & Overhaul Bus Procurement Fort Pitt Bridge & Tunnel Closure Advancement of Major Capital Projects –Stage II –Park-N-Ride Lots

10. Port Authority of Allegheny County FY 2003 OPERATING AND CAPITAL BUDGET (In Millions) 2000 2001 2002 2003 State Funding Operating Assistance 65.7 67.7 67.7 67.7 PTAF 2 13.4 13.4 13.4 13.4 Asset Maintenance 24.3 24.3 24.3 24.3 Vehicle Overhaul 4.3 2.4 2.6 3.0 ISRP 13.7 13.7 15.8 16.0 County Funding Operating Assistance 20.4 23.3 23.3 23.3 Assumptions: Funding & Programs

11. Port Authority of Allegheny County FY 2003 OPERATING AND CAPITAL BUDGET Assumptions: Ridership Includes: Bus, LRT, Incline & ACCESS

12. Port Authority of Allegheny County FY 2003 OPERATING AND CAPITAL BUDGET How we balanced the budget: Fare Increase Base Fare increases in FY 01 & FY 03. Increase From $1.25 to $1.75. Service Reductions Decreased overall service by 6%. Layoffs & Job eliminations Eliminated 28 Administrative Jobs. Layoff of 80 Hourly & Salary Employees. Hiring freeze of non-operational personnel. Expenditure Reductions Salary Freeze for non-represented employees. Exclusive health care contract with one provider. Fixed diesel fuel & natural gas price contracts. 3rd party utility administrator. Hold on spending for travel & training.

14. Major Facilities Improvements$76,675,437 Major Revenue Vehicle Improvement$22,787,027 Support Programs$11,258,000 FY2003 Total $110,720,464 Port Authority of Allegheny County FY 2003 CAPITAL BUDGET FUNDING

15. Port Authority of Allegheny County FY 2003 CAPITAL BUDGET Status of Capital Projects: Martin Luther King, Jr. East Busway Extension construction completed & in revenue operation by end of 2002 Stage II-LRT construction completed by end of 2003 Park & Ride Program –Airways –Wilkinsburg –Robinson Township North Shore Connector advance to final design and achieve record of decision Delivery of 60 35-foot Gillig Buses

16. Port Authority of Allegheny County FY 2003 CAPITAL BUDGET SUMMARY

17. Port Authority of Allegheny County FY 2003 CAPITAL BUDGET SUPPORT PROGRAM DETAIL