GREATER CLEVELAND REGIONAL TRANSIT AUTHORITY OPERATING AND CAPITAL BUDGET FOR THE YEAR 2014

Greater Cleveland Regional Transit Authority

2014 Adopted Budget Plan President - Board of Trustees George F. Dixon, III CEO/General Manager and Secretary-Treasurer Joseph A. Calabrese

The Government Finance Officers Association of the United States and Canada (GFOA) presented an award of Distinguished Budget Presentation to the Greater Cleveland Regional Transit Authority for its annual budget for the fiscal year beginning January 2013. In order to receive this award, a governmental unit must publish a budget document that meets program criteria as a policy document, as an operations guide, as a financial plan, and as a communications device. The award is valid for a period of one year. We believe our current budget continues to conform to program requirements and we are submitting it to GFOA to determine its eligibility for another award.

DIRECTORY OF THE GREATER CLEVELAND REGIONAL TRANSIT AUTHORITY OFFICIALS BOARD OF TRUSTEES George F. Dixon III, President Hon. Dennis Clough, Vice President Jesse O. Anderson Hon. Bill Cervenik Hon. Mark Elliott Valarie J. McCall Nick “Sonny” Nardi Karen Gabriel Moss Leo Serrano Hon. Gary A. Norton, Jr.

EXECUTIVE MANAGEMENT TEAM (EMT) Joseph A. Calabrese, CEO/General Manager/Secretary-Treasurer Michael York, Deputy General Manager – Operations Loretta Kirk, Deputy General Manager – Finance & Administration Michael Schipper, Deputy General Manager – Engineering & Project Management Sheryl King Benford, Deputy General Manager – Legal Affairs Bruce E. Hampton, Deputy General Manager – Human Resources Gale Fisk, Executive Director – Office of Management & Budget Anthony Garofoli, Executive Director – Internal Audit Stephen Bitto, Director – Marketing & Communications Frank Polivka, Director – Procurement

DIRECTORY OF THE GREATER CLEVELAND REGIONAL TRANSIT AUTHORITY OFFICIALS DEPARTMENTS AND DEPARTMENT HEADS Operations Division Paratransit District Rail District Transit Police Service Management Service Quality Management Fleet Management Pass Thrus Hayden District Triskett District

Oliver Draper Dennis Rehfuss John Joyce Alan Erenrich Anthony Richardson, Acting Director Ronald Baron Michael York, DGM Dr. Floun’say Caver, Acting Director Catherine Eaton, Acting Director

Finance & Administration Division Office of Business Development Accounting Support Services Procurement Revenue

Steven Sims Rajan Gautam Eddine Dalton Frank Polivka Scott Uhas

Engineering & Project Management Division Project Support Programming & Planning Engineering & Project Development

Paul Burlij, Manager Maribeth Feke Joseph Shaffer

DIRECTORY OF THE GREATER CLEVELAND REGIONAL TRANSIT AUTHORITY OFFICIALS DEPARTMENTS AND DEPARTMENT HEADS (continued) Legal Affairs Division Safety Legal Risk Management

Robert Huyck Sheryl King Benford, DGM Judy Lincoln

Human Resources Division Human Resources Labor & Employee Relations Training & Employee Development

Angela Smith Scott Ferraro George Fields

Executive Division Executive Secretary/Treasurer-Board of Trustees Internal Audit Marketing & Communications Intelligent Transportation Systems Office of Management & Budget

Joseph A. Calabrese, CEO/GM & Secretary -Treasurer Joseph A. Calabrese, CEO/GM & Secretary - Treasurer Anthony Garofoli, Executive Director Stephen Bitto Gale Fisk, Executive Director

Acknowledgements Office of Management & Budget Special thanks to the following individuals for their assistance:

Executive Director

Gale Fisk

Manager of Budgets

Michael Daugherty

Coordinator of Financial Systems & Budgets Energy Manager Project Manager Senior Budget Management Analyst Senior Budget Management Analyst Budget Management Analyst Budget Management Analyst Budget Management Analyst Budget Management Analyst Business Analyst, MDP Business Analyst, MDP Executive Secretary

Larry Ferrell Natalie Ulrich Ron Woodford Dan Bobeczko Kay Sutula Wesley Keshtkaran Kari Solomon Kristyn Smith Carolyn Young Renee Constantino Amy Snell Tiffany Lively

Cover Artwork

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Stephen Bitto & Co.

TABLE OF CONTENTS Citizens Summary Transmittal Letter Executive Summary A Strategic Approach to the Budget General Fund Revenues Expenditures Employment Analysis Service Levels Policy Compliance Capital Program Conclusion Attachments Performance Management TransitStat Energy Price Risk Management

Budget Guide, Continued 1 5 6 6 11 16 17 19 21 22 23 31 41

Budget Guide Organization of the Budget Plan Financial Policies Introduction All Funds General Fund Capital Improvement Funds Supplemental Pension Fund Insurance Fund Bond Retirement Fund Debt Financing Budget Management Process Introduction The Budget Cycle Budget Calendar of Events Management Policies Budget Monitor & Control

43 43 45 47 49 51 51 52 53 54 54 56 57 57

Service Profile Economic Profile National Transit Trends Ohio Transit Trends Glossary

58 61 63 64

Fund Budgets All Funds Introduction All Funds Balance Analysis General Fund General Fund Balance Analysis General Fund Revenue Sales and Use Tax Passenger Fares

73 74 75 78 78 80

Investment Income

81

Advertising & Concessions

81

Federal Operating Assistance State Operating Assistance Reimbursed Expenditures & Other Revenue General Fund Expenditures Bond Retirement Fund Insurance Fund Supplemental Pension Fund Law Enforcement Fund Capital Improvement Fund Fund Balance Analysis Capital Improvement Fund Revenue

81 82 82 83 86 87 88 89 90 92

TABLE OF CONTENTS Department Budgets

Department Budgets (continued)

Authority-wide Organizational Chart

94

Expenditures by Division Staffing by Division Division - Operations Division Summary Paratransit District Rail District Transit Police Service Management Service Quality Management Fleet Management Pass-Thrus Hayden District Triskett District

95 96

Division - Finance & Administration Division Summary Office of Business Development Accounting Information Technology Support Services Procurement Revenue

97 99 102 105 108 111 113 116 117 120

123 126 128 130 132 134 136

Division - Engineering & Project Mgt. Division Summary Project Support Programming & Planning Engineering & Project Development

139 142 144 146

Division - Legal Affairs Division Summary Safety Legal Risk Management

149 152 154 156

Division - Human Resources Division Summary Human Resources Labor & Employee Relations Training & Employee Development Division - Executive Division Summary Executive Secretary/Treasurer - Board of Trustees Internal Audit Marketing & Communications Intelligent Transportation Systems Office of Management & Budget Fund Transfers

159 162 164 166

169 174 176 178 180 182 184 186

Capital Improvement Plan Introduction Organization of the Capital Improvement Plan Capital Assets Capital Improvement Planning Cycle Budget Calendar of Events Transportation Improvement Program Appropriations Capital Improvement Financial Policies Capital Improvement Criteria Priority Areas Financial Capacity Debt Management Operating Impacts Project Categories RTA Capital Fund RTA Development Fund

187 187 188 194 195 195 196 196 197 197 199 202 204 205 206 212