Table Of Content

FISCAL YEAR 2015 OPERATING BUDGET & FISCAL YEARS 2016 TO 2020 FINANCIAL PROJECTIONS Southeastern Pennsylvania Transportation Authority Bridge Rehabilitation and Track Improvement Project Act 89 Signing Dedicated Funding to Rebuild the System SSttaattiioonn NNaammiinngg RRiigghhttss GGeenneerraattee RReevveennuuee Act 89 Signing-Dedicated Funding 6699tthh SSttrreeeett SShhoopp MMaaiinnttaaiinnss to Rebuild the System SSuubbwwaayy EElleevvaatteedd VVeehhiicclleess The Safety of Riders and Our Employees is a Priority Phone App Quick Access to Schedules and Service Status The Govvernment Finance Officcers Associiation of thee United SStates and CCanada (GFOA) presenteed a Distingguished Buddget Presenntation Awaard to the Southeasteern Pennsylvvania Transporrtation Authoority for its annual budgeet for the fisccal year begginning July 1, 2013. In order to receive this awardd, a governmmental unit mmust publish a budget doocument thaat meets proogram criteria aas a policyy documentt, as an ooperations gguide, as aa financial plan and as a communication devicce. This awaard is valid ffor a period of one yearr only. We bbelieve our current budgget continuees to conform to program requirementts, and we aare submittinng it to GFOOA to determmine its eligibility for anothher award. 1 | S E PTTA F Y 14 O pe r a t inng B u dg et SSoutheasstern Peennsylvaania Transportaation Autthority Board Membeers Chairmann Pasquale TT. Deon, Sr. Winner of tthe APTA 20144 Outstanding Public Transsportation Asssociation Boarrd Member Awward Vice-Chaairman Thomas E. Babcock Buckss County Chester CCounty Delawaree County Pasquaale T. Deon, SSr. Kevin L. Joohnson, P.E. Thomas E. Babcock Honorable Charles H. Martin Cuyler H. WWalker, Esquire Daniel J. Kuubik Montggomery Couunty City of PPhiladelphiaa Kenneth Lawrence,, Jr. Beverly CColeman Honorable Leslie S.. Richards Rina Cutller Governorr’s Appointee Thomas Jaay Ellis, Esquirre Senate Maajority House MMajority Leader Appointee Leader AAppointee Honorable SStewart J. Greeenleaf Christophher H. Franklin Senate Minnority House MMinority Leader Appointee Leader AAppointee James C. Schhwartzman, EEsquire John I. Kaane SEPTTA Officeers Generaal Manager Joseph M. Casey Chief FFinancial Officerr/Treasurer Richard G. Burnfieldd Generaal Counsel Gino J. BBenedetti, Essquire Controoller to the BBoard Stephenn A. Jobs Secretaary to the BBoard Carol R.. Looby 2 | S E P TA F Y 15 O peraat i n g B uddg e t 3 | S E P TA F Y 15 OOperating B u dg e tt 4 | S E P TA F Y 15 OOperating B u dg e tt 5 | S E P TA F Y 15 OOperating B u dg e tt SEPTA FY 2015 Operating Budget Table of Contents PREFACE GFOA Award ............................................................................................................. 1 SEPTA Board Members and Officers......................................................................... 2 General Manager’s Memorandum ............................................................................. 3 1. INTRODUCTION AND PROFILE Background ............................................................................................................... 9 Strategic Business Plan ........................................................................................... 10 Key Performance Indicators ..................................................................................... 11 Population and Trends ............................................................................................. 13 SEPTA Regional Rail & Rail Transit Map ................................................................. 14 Ridership and Operating Statistics ........................................................................... 15 Passenger Profile .................................................................................................... 16 Customer Satisfaction Survey .................................................................................. 18 Summary of Assumptions ........................................................................................ 20 Fiscal Year 2015 Consolidated Budget .................................................................... 21 2. FINANCIAL AND BUDGETARY POLICIES Financial Policies ..................................................................................................... 23 Revenue Policies ..................................................................................................... 24 Expenditure Policies ................................................................................................ 25 Reserve and Financing Policies ............................................................................... 26 Debt Service Requirements ..................................................................................... 28 Statement of Changes in Equity ............................................................................... 29 Fiscal Year 2015 Budget Calendar .......................................................................... 30 Annual Budget Process ........................................................................................... 31 Key Activities in the Budget Process ........................................................................ 32 3. ORGANIZATIONAL STRUCTURE Organizational Structure .......................................................................................... 33 Operating and Staff Departments ............................................................................ 34 General Manager Team Organization Chart ............................................................ 36 4. OPERATING GOALS AND PERFORMANCE EVALUATION MEASURES Financial Performance Goals and Measures ........................................................... 37 Productivity Goals and Measures ............................................................................ 39 Safety Goals and Measures ..................................................................................... 40 Staffing Ratios ......................................................................................................... 42 Service Delivery Goals and Measures ..................................................................... 43 6 | SE PTA F Y 15 Op era t in g Bu d get SEPTA FY 2015 Operating Budget Table of Contents 5. THREE YEAR COMPARISON FISCAL YEARS 2013-2015 FY 2013 and FY 2014 Consolidated Actual and FY 2015 Budget ............................ 45 FY 2013 and FY 2014 City Transit Division Actual and FY 2015 Budget ................ 46 FY 2013 and FY 2014 Victory Division Actual and FY 2015 Budget ........................ 47 FY 2013 and FY 2014 Frontier Division Actual and FY 2015 Budget ....................... 48 FY 2013 and FY 2014 Regional Rail Division Actual and FY 2015 Budget .............. 49 6. FINANCIAL PROJECTIONS Summary of Assumptions ........................................................................................ 51 Financial Projections Consolidated Budget .............................................................. 52 7. OPERATING REVENUE AND SERVICE PLAN OVERVIEW Annual Service Plan Overview ................................................................................. 53 Revenue Assumptions by Category ......................................................................... 54 Ten Year Revenue Trends ....................................................................................... 55 Summary of Operating Revenue .............................................................................. 56 8. OPERATING SUBSIDIES Subsidy Allocation and Detail .................................................................................. 57 Service Stabilization Fund ....................................................................................... 60 Consolidated Detail of Subsidies ............................................................................. 61 Summary of Operating Subsidies ............................................................................ 62 Local Subsidies by County ....................................................................................... 63 Summary of Local Subsidies by County ................................................................... 64 9. OPERATING EXPENSES Expense Assumptions by Category ......................................................................... 65 Ten Year Expense Trends ....................................................................................... 66 Summary of Operating Expenses ............................................................................ 69 FY 2015 Budget – Detail of Expenses ..................................................................... 70 FY 2015 Budget – Allocation By Company ............................................................. 71 FY 2014 Actual – Detail of Expenses ....................................................................... 72 FY 2013 Actual – Detail of Expenses ....................................................................... 73 7 | SE PTA F Y 15 Op era t in g Bu d get SEPTA FY 2015 Operating Budget Table of Contents 10. HEADCOUNT AUTHORIZATIONS Headcount Designations .......................................................................................... 75 FY 2015 Headcount Authorization .......................................................................... 76 FY 2011-2015 Headcount Authorization ................................................................. 77 Cause of Change ..................................................................................................... 78 11. DEPARTMENTAL SUMMARIES BY DIVISION a) Corporate Staff ........................................................................................... 84 b) Operations/Engineering, Maintenance and Construction ............................ 91 c) Operations ................................................................................................ 101 d) Engineering, Maintenance and Construction............................................. 119 e) Audit, Safety and Investigative Services ................................................... 127 f) Business Services .................................................................................... 133 g) Customer Service and Advocacy .............................................................. 141 h) Finance and Planning ............................................................................... 148 i) Human Resources .................................................................................... 159 j) The Office of the General Counsel ............................................................ 167 k) Public and Government Affairs ................................................................ 173 12. INTERDEPARTMENTAL Fringe Benefits ...................................................................................................... 181 Non-Departmental Expense ................................................................................... 183 CCT Connect ADA and Shared Ride Programs ..................................................... 184 Other Operating Expenses .................................................................................... 185 13. CAPITAL IMPROVEMENT PROGRAM Capital Sources of Funds ....................................................................................... 187 Fiscal Year 2015 Capital Budget ....................................................................... 188 Fiscal Year 2015 to 2018 Capital Investment Plan ................................................. 189 Capital Projects Impact Analysis on the Operating Budget ............................ 190 GLOSSARY Acronyms .............................................................................................................. 191 Terms .................................................................................................................... 195 8 | SE PTA F Y 15 Op era t in g Bu d get 1. Introduction and SEPTA Profile Introduction Southeastern Pennsylvania grew up around its transit system. From famed city streetcars to classic railroad towns, the region has been enriched by a legacy left by generations of investment in public transportation. In the second half of the 20th century, the world changed. The advent of the interstate highway system and an era of low energy prices, combined with policies that encouraged decentralized growth and sprawl, made public transit – and many of the communities it served – less economically competitive. The private companies that collectively owned and operated the region’s transit infrastructure went bankrupt. With generations of investment at risk, SEPTA was created to inherit and manage what remained. For 50 years, SEPTA has focused on doing exactly that: methodically piecing together and rebuilding Southeastern Pennsylvania’s transit system. Now, the world is changing again. Increasing resource scarcity, societal changes, and 21st-century policy shifts have resulted in a renewed appreciation of transit’s value to the region. The system SEPTA inherited, once considered obsolete, is increasingly receiving recognition as a catalyst for economic prosperity, sustainability, and enhanced quality of life in communities across Southeastern Pennsylvania. Today, now more than 50 years after the Pennsylvania General Assembly established the Southeastern Pennsylvania Transportation Authority, SEPTA has become the nation’s sixth largest transit system, with a vast network of fixed route services including bus, subway, trolley, trackless trolley and Regional Rail, as well as ADA paratransit and shared ride programs. SEPTA is one of the region’s largest employers, providing service to Bucks, Chester, Delaware, Montgomery, and Philadelphia Counties with connections into New Jersey and Delaware with a workforce of more than 9,000 employees. 9 | SE PTA F Y 15 Op era t in g Bu d get