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Youth Summit on Sustainable Urban Transportation

Canadian Urban Transit Association (CUTA)August 22, 2008

Gayle LakePolicy Specialist

American Public Transportation Associationglake@apta.com

www.apta.com

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Overview

What is APTA?

Transportation Overview

The Future for Public Transportation

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What is APTA?

APTA is:

• Trade association that represents and supports more than 1,500 members worldwide

• Located in Washington, DC

• With roots beginning in 1882 – the era of horse-drawn railway cars

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Who Are Our Members?

Transit Systems

30%

Business Members58%

Gov./State Associations

4%

Other8%

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APTA…

Serves as a voice nationally and internationally

Advocates for more transit dollars and pro-transit policies

Connects to education and training

Provides meetings and conferences

Develops industry standards

Maintains and disseminates industry information

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Overview of U.S. Transportation – The Big Picture

U.S. ships 19 billion tons of freight annually

15,000 ton miles of freight are shipped per person per year

Americans take 410 billion trips per year covering 5.5 trillion miles

• Equal to 30,000 round trips to the sun each year

30 years ago we took 212 billion trips covering 2.7 trillion miles

• Equal to 15,000 round trips to the sun annually

Overview of U.S. Transportation – The Future

Demand for transportation is expected to continue to grow rapidly – National Surface Transportation Policy and Revenue Study Commission

Population – expected to grow by nearly 120 million by 2050

VMT – despite current decline, expected to grow 1.72% annually through 2050

Freight – expected to grow from 15 billion tons in 2004 to 29 billion tons in 2035 – a 90% increase

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We Spend a Lot on Transportation$1.5 trillion per year = 11.6% of U.S. GDP

How does this amount break down?

• Some of it public - $255 billion

• Most of it private - $1.3 trillion

Looked at in more detail:

• Some on water - $41 billion

• A little more on freight rail - $42 billion

• More on public transit - $47 billion

• A lot more on air - $106 billion

• But most on highways - $1.2 trillion

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But is it enough?

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Public Transportation in the U.S.

$47 billion industry; employs more than 370,000 people

Approximately 6,500 transit providers in U.S., but 70% of usage on top 30 systems

10.3 billion annual boardings in 2007; highest in 50 years

34 million times every weekday, people board public transportation

60% of trips taken on buses

38% of trips taken on rail vehicles

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Transit Use Growing Faster Than Highway Use (1995 – 2007)

0%

5%

10%

15%

20%

25%

30%

35%

U.S. Population Highway VMT Transit

(13%) (24%) (32%)

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How is Transit Funded in America?

2006 Industry Revenue Sources – $47 Billion

2006 Capital Funding - $13.3 Billion 2006 Operating Funds- $33.7 Billion

Directly Generated

27.6%

Federal43.6%

State13.3%

Local15.5% Directly

Generated48.5%

Federal7.7%

State22.7%

Local21.%

The Future

. . . Market for transit will increase

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Challenges Facing AmericaEnergy security and costs

• U.S. uses 24% of world’s petroleum

• Transportation sector uses 2/3 of all U.S. petroleum

• Petroleum products accounted for around 20% of all imports

• Higher energy prices cause shifts in U.S. thinking and behavior

Climate change• U.S. produces 22% of world’s greenhouse gases (2004)

• Transportation sector contributes 34% of U.S. greenhouse gases

• Must address U.S. transportation sector to deal with greenhouse gas problem

Population growth and aging• U.S. Census: nearly 420 million people living in U.S. by 2050

• 1 in 5 age 65 or older (87 million)

• 1 in 5 of those don’t drive (18 million)

. . . Transit can help solve each challenge15

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Decreases Dependence on Foreign Fuel; Conserves Energy

Households near public transit drive an average of 4,400 fewer miles annually

• Saving 4.2 billion gallons of gasoline

Buildable urban land becomes desired

• “Development sites in transit zones have become the new beachfront property.”

-- (Multifamily Executive magazine, 2007)

Demand for housing within walking distance of transit will more than double by 2025

. . . Market for transit will increase

. . . Market for transit will increase

Reduces Greenhouse Gases

Communities that invest in public transit reduce carbon emissions by 37 million metric tons each year

• Equivalent to households of New York City; Washington, DC; Atlanta; Denver; and Los Angeles COMBINED stopping use of electricity

One commuter switching from car to transit reduces his/her annual CO2 emissions by 4,800 pounds per year; reduces carbon footprint by 10%

. . . Market for transit will increase

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Population Growth and Aging10-12 mega regions will:

• Provide 70% of nation’s economic activity

• Absorb 70% of the 120 million population growth

Greater density will result

Doubling of older Americans will change land use and mobility patterns

. . . Market for transit will increase

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Challenges Facing Transit Growth in America

Inadequate transit availability

• Only 53% of households have any transit

• In small cities and rural areas, nearly 2/3 of all residents have few, if any, options

Transit funding issue

• Unmet capital needs in excess of $45 billion annually

• Shortfall of operating revenues

High fuel prices—double-edge sword

• Petroleum fuel bills up 166%; electricity up 19%

• Dealing with capacity and costs

Transit security

• Transit frequent terrorist target, yet most transit systems receive no U.S. Department of Homeland Security funding

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How to Address These Challenges?

Continue Federal/State/Local funding partnerships

Encourage private sector investment

Need for pro-transit policies

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National Surface Transportation Policy and Revenue Commission Report

Transportation for Tomorrow – recommendations

• Performance based investments/accountability

• Increased federal investment

• Major revisions in program structure

• Multi-modal approach

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APTA TransitVision 2050

Major APTA initiative to create a long term vision of public transportation’s role in America’s future

Three areas that will affect future public transportation:

• Economic health

• Sustainable environment

• Quality of life

The vision: In 2050, America’s multi-modal, energy efficient, environmentally sustainable transportation system is the envy of the world.

In 2050, high quality public transportation options are available to a very large percentage of avenues

• Every urban area is served by a high capacity regional system

• Persons living in rural areas have public transit appropriate to needs of their area

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APTA Draft Authorization Proposals

• Invest $123 billion over next 6 years- meet 50% of

estimated capital needs • Guarantees strengthened• Fuel tax increase, plus develop new financing

streams• Program should be “needs based”• Transit should receive at least 20% of surface

transportation investment• Streamline the federal program

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APTA Draft Authorization Proposals

• Encourage state and local investment

• Workforce development encouraged

• Continued emphasis on planning

• Increased investment in research and development

• Strengthen transit’s role in environment/global

warming

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Will Americans Support More Public Transportation Investment?

75% see more transit choices and walkable communities – rather than more roads – as the key to reducing traffic congestion

76% support public funding for expansion and improvement of public transit

70% of voter initiatives for transit investment approved since 2000

Americans say commuter, long distance trains, local bus service should have greater share of future passenger travel

(Harris Interactive)

More than 80% of Americans surveyed favored building communities where they could drive less

75% said more transit choices and walkable communities are the answer to traffic congestion

(Smart Growth America/National Association of Realtors)

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And Next…?

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