By KELLY HANNON
Like most American households, the Virginia Railway Express is spending more on fuel than it planned this year. And now it may ask commuters to help cover the bill.
Public hearings this month are scheduled on a proposal that could raise fares as much as 15 percent in January, and as much as 10 percent next summer.
VRE officials have cautioned that the percentage increases could be lower than 15 percent and 10 percent, but the VRE Operations Board wants to get public comment on the highest possible increases.
Traditionally, fares for train service from Fredericksburg and Manassas to Washington have been raised only in midsummer--the beginning of VRE's fiscal year. This July, fares were raised an average 3 percent.
But VRE's diesel fuel expenses have risen 78 percent over the past year. The $4 million VRE allotted to spend per year on fuel in 2009 and 2010 will not be enough, the agency acknowledged in a message to riders.
State and federal funding levels for the commuter service are set, and a "windfall" from the Virginia General Assembly is not likely, said Mark Roeber, VRE's manager of government relations and public affairs.
"Nobody expects or believes that is going to happen," Roeber said.
Area localities that support VRE--Stafford County and Fredericksburg--pay a subsidy, and levy a 2 percent gas tax. But some jurisdictions have indicated they are unwilling to pay more, Roeber said, and the increased gas-tax receipts will not be enough to cover fuel costs.
The only remaining options are raising fares or cutting service, he said.
A 1 percent fare increase raises an extra $200,000 to $250,000 a year. So a 15 percent fare increase could raise $3 million to $3.75 million.
VRE has taken several cost-cutting steps.
It installed air compressors at both train yards to limit the amount of time locomotives spend idling. The agency plans to reduce marketing expenses, and will consider ending parking-lot leases when they come up for annual renewal.
"Fredericksburg leases would probably be front and center in the debate," Roeber said.
City Councilman Matt Kelly, who represents Fredericksburg on the Operations Board, said he wishes the state would pay a larger share of VRE's rising costs. "Hopefully, our friends in Richmond will get the message and start seriously addressing the issue of transportation, not only transit but roads as well."
Other costs are complicating this year's budget cycle.
Amtrak employees serve as train conductors and maintenance workers for VRE, and Amtrak recently settled a labor dispute with its unions. VRE's share of the settlement could be $3 million for back pay and salary increases.
Also, VRE has spent upwards of $1 million maintaining locomotives, which is key to on-time performance. In July, 80 percent of Fredericksburg Line trains arrived within 5 minutes of their scheduled time.
VRE's Operations Board will get a summation of all the public comments at its October meeting, and could make a decision then.
Stafford Supervisor Paul Milde, secretary of the Operations Board, said Stafford could afford to pay increased VRE costs using the 2 percent gas tax the county is required to levy at the pumps. With higher gas prices, Stafford will raise an additional $300,000 to $400,000 this year, Milde said.
But Stafford is allowed to spend that money on county transportation projects, too. Milde said that's the choice Stafford faces--higher fares, less service or less leftover money to spend on local transportation projects.
"To the Stafford taxpayer, this is not an increased cost. The money is being produced to pay for the increase in running the VRE," he said.
He is waiting to hear reaction from the public before making a decision, but said, "The bottom line is, the cost of operating commuter rail has gone up, and we're going to have to find a way to balance that against the needs of the commuters."
A May 2008 ridership survey found that two-thirds of VRE riders have household incomes exceeding $100,000.
The same survey found that 58 percent of riders are federal employees, and 9 percent are in the military. These riders are eligible for a $115 monthly transportation subsidy from the federal government.
Kelly Hannon: 540/374-5436
Email: khannon@freelancestar.com
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Two sessions are set in the area: Thursday, Sept. 11, 7-9 p.m., Stafford County Government Center, 1300 Courthouse Road Wednesday, Sept. 17, 7-9 p.m., Fredericksburg City Hall, 715 Princess Anne St.You may e-mail comments to publiccomment@vre.org or mail them to Virginia Railway Express, 1500 King St., Suite 202, Alexandria, Va. 22314. |