MBTA Announces Finalists for GM position

According to the Massachusetts State House News Service the MBTA has finally narrowed their field of General Manager finalists down to two candidates.

It looks as if both finalists have good amount of experience in the transportation field, most of which was spent together at the same transportation authority. That being The Metropolitan Atlanta Rapid Transit Authority (MARTA).


Finalist one is Beverly Scott. Scott is the CEO and General Manager of MARTA and has held the position for the past five years. The Second finalist is Dwight Ferrell, who is the deputy General Manager and Chief Operating Officer at MARTA and he has held that position for the past four years.

Beverly Scott
Courtesy: MARTA

MARTA is the nations ninth largest public transportation system. The system consists of four rail lines connecting 38 stations as well as 132 bus lines which serve about 500,000 people daily. This is in contrast to the MBTA which is the nations fifth largest transportation system. According to Secretary Davey MARTA is very similar to the T. “It’s not as big but it’s close. It has bus and subway and some of the same financial challenges that the T does,” Davey said.

Dwight Ferrell
Courtesy: MARTA

When Scott was appointed GM of MARTA she became the first woman to ever hold the position. This will also be the case if she is chosen as the MBTA's new GM. Scott has also worked and held various positions at the Metropolitan Transportation Authority of New York as well as the transportation systems of Philadelphia and Sacramento. Ferrel has held pervious positions in the transportation authorities of New Orleans, Philadelphia, and Austin, Texas. 

The search process started a little over a year ago when then MBTA General Manager Richard Davey was appointed Massachusetts Secretary of Transportation and MassDOT CEO.  Two weeks later the MBTA's Chief Financial Officer, Jonathan Davis, was named interim General Manager and he has held that position ever since.

According to the State House News Service, the Search Committee, which consisted of Secretary Davey, MBTA Board Chairman John Jenkins, and former board member Elizabeth Levin, interviewed over 100 potential candidates for the position over the past year. 

Whoever is chosen as the MBTA's new General Manager will be inheriting a system that is in the midst of a serious financial crisis as well as showing signs of its old age. The MBTA General Manager Screening Committee is said to be interviewing the two candidates and making their final decision this week. Who ever is chosen as the new GM could be at the helm of the T as early as next month. 

MBTA Fares to be Increased by 23%

©2012 Boston to a T

Riders would pay about 23% more for their commute under a new proposal unveiled today by the MBTA.

This is the third and final proposal unveiled by MBTA officials that will help deter the T's projected $180 Million budget shortfall next fiscal year. This final scenario will be submitted for approval by the MBTA Board of Directors on April 4th and the new changes will go into effect on July 1st.

This plan was created after MBTA officials spent months traveling around the state asking customers their thoughts on T cuts and fare increases at a series of public meetings. "We’ve spent the last two months out at 30 hearings listening to customers, and our proposal I think reflects what we’ve heard from our customers," said MassDOT Secretary Richard Davey,  “Overwhelmingly, we heard from folks that they were opposed to cuts in service."

This final proposal is much less drastic than the two scenarios that proceeded it. Under the new plan fares would be increased about 23% on the subway and bus system. A one way subway fare with a Charlie Card will hit a high of $2.00 and a one way bus fare with a Charlie Card will rise to $1.50. Also, a monthly link pass will be hiked up from $59 to $70. 

The controversial service reductions that were laid out in the first two proposals are much less severe in this new scenario. 

Under the plan the T will only eliminate four of its over 200 bus routes and reduce trips on 14 other routes. Weekend commuter rail service on the Greenbush, Plymouth/Kingston, and Needham lines will also be discontinued.  Weekend green line E branch trollies will be stopping short of Heath and terminating at Brigham Circle station, allowing riders to reach the Longwood Medical Area and the MFA.

The the T's ferry service, which would have seen a huge reduction in service, will only see increased fares and the elimination of the Quincy ferry on weekends. Ferry fares will be raised about 35 percent

Along with the cuts in service and fare increases the MBTA has also found other sources of revenue to close their budget gap. They will be transferring $51 Million from the states Motor Vehicle Inspection Trust Fund (which is reserved for projects that will help improve air quality), $5 Million from the states snow and ice removal surplus, and $5 Million from leasing the North Station Garage. 

According to MassDOT Secretary Richard Davey, although this proposal will help the MBTA close their projected budget shortfall for next year, it is only a temporary band aid and the agency is likely to be in the same position next year.  

You can check out a full set of documents on the new proposal HERE

You can also see Richard Davey' and Jonathan Davis' letter to their customers HERE

The Cost of Commuting: MBTA's Fare Proposals

©2011 Boston to a T

Unless you have been living under a rock for the past few weeks, you have probably heard about the service cuts and fare increase that theMBTA is proposing for their next fiscal year. This topic has not only been the center of many newscasts and newspaper articles but it has also taken to Twitter, Facebook, and many other social media platforms in the hope that the MBTA will listen to their riders.

The MBTA, the only transit authority in the United States to have a debt over $8 billion (including interest,) has come to the conclusion that they will have an over $180 million shortfall for next fiscal year (FY 2013). Due to this shortfall, (and the realization that all other revenue options have run dry,) the MBTA has been left no choice but to draft two scenarios that will drastically change MBTA service as we know it today.

You're probably wondering how on earth they racked up such a massive debt, but it wasn't all the MBTA's fault. It is true that some of the debt was added because of large projects and mismanagement, but the bulk of it was acquired after the turn of the millennium.

In 2000, the MBTA was "reborn", if you will. The Commonwealth of Massachusetts passed a Forward Funding legislation which set aside 20% of the state's sales tax revenue to the MBTA. Along with this revenue stream, the Commonwealth also transferred around $3.3 billion worth of debt from the state's books over to the MBTA's books. This transfer also included around $1.8 billion in Big Dig-related debt.

Also, unlike the MBTA had hoped, the sales tax revenue has increased minimally since 2000. The tax, which was supposed to grow at a rate of 3% per year after 2000, has, on average, only grown about 1% per year, which created a sales tax revenue shortfall of $100 million in FY 2011, and a $375 million shortfall since the start of Forward Funding.

Over the past year, MBTA officials (Interim General Manager and CFO Jonathan Davis & MassDOT secretary Richard Davey) have been trying to close the expected budget gap with non-fare revenue and cost-cutting solutions. Some examples include advertising on MBTA.com and soon even the Charlie Card. The MBTA also opened an online store selling everything from shirts to vintage station signs for profit. They have also eliminated positions, reduced overtime spending, and changed employee health care providers all in the hope of finding a little bit of cash. The T had hoped that all of these savings would help close the shortfall, but as most of you know, it has not. For this reason, the MBTA is now looking at fare increases and severe service cuts to solve their problem.

The MBTA currently has two scenarios that are being proposed for service cuts and fare increases. Scenario 1 has a higher fare increase, but less impact on service and Scenario 2 has more service cuts with a lower fare increase. Here is a breakdown of the two scenarios:

Summary Impact of Proposed Changes    
Courtesy: MBTA

	Scenario 1	Scenario 2
Overall Fare Increase(all fare media types)	43%	35%
Ridership Impact % of total currentridership	34–48 million annual trips9 to 13%	53–64 million annual trips14 to 17%
Revenue	Gain $161 million in annualrevenue (+34%) $123.2m increase in farerevenue $38.3m net operating savings	Gain $165 million in annualrevenue (+35%) $86.8m increase in fare revenue$78.4m net operating savings

Scenario 1 will bump the cost of a one-way subway fare with a Charlie Card from $1.70 to $2.40 and bus fare from $1.25 to $1.75. Scenario 2 will be slightly less, with subway increased from $1.70 to $2.25 and bus fare increased from $1.25 to $1.50.

There are many service cuts proposed (full list of service cuts available here) but cuts causing the most controversy are the elimination of Green Line's "E" branch and the Mattapan High-Speed line on weekends, the elimination of Commuter Rail service on weekdays after 10pm and all weekends, and finally, the elimination of all ferry service.

Bostonians have been expressing their outrage about these proposals all over the online world and the topic itself is being tackled by hundreds of bloggers, journalists, and commuters all over the metro Boston area! 

Twitter has been at the front of this frenzy with thousands of users tweeting their comments to MBTA officials (@mbtaGM), State Officials (@MassGovernor ), or just out to the world of Twitter hoping that someone out there is listening. Several groups have also formed out of the frustration, such as  Occupy MBTA (@OccupyMBTA) a Twitter adopting the moniker of the Occupy Boston movement and Students Against T Cuts (@StudentsTCuts) a group that consists of college students from around Boston who believe that the proposed scenarios are a step backwards in the development of the city and its businesses, people, and institutions of higher education 

Each one of these groups and all those tweeting about the subject have different thoughts on what the MBTA needs to do to fix this problem. Some call for the Commonwealth to raise the gas tax or impose high tolls on people driving within the Metro Boston area to help give the MBTA more funding. While this will help bring the MBTA some much needed revenue, it still will not fully fix the financial crisis it is in.

The MBTA needs a fully reorganized financial structure. The underperformance of the sales tax as a principal financing source and too much debt are the true causes of the T's structural weaknesses. Until these factors are addressed, no amount of reorganization or reforms will keep the MBTA from having another budget shortfall in following fiscal years.

If you utilize the MBTA on an everyday rider or just the occasional commuter please "Join the 
Discussion". From this link you will find up to date guides that explain the proposed scenarios. You will also find the dates and times of 20 differnet MBTA Public Meetings. These meetings are being held so that the public can tell the MBTA how cuts in service and higher fares will affect them. If you can't make any of the meetings and you would still like to tell the MBTA how you feel, feel free to send them a message. You can email them at fareproposal@MBTA.com.

It is hard to predict what will come of these current scenarios, but overall, they will definitely impose a great deal of change. On July 1st, when the proposals go into effect, Bostonians will no longer be paying $1.70 for the subway, the lowest transit fare in the United States, instead, they face reduced or eliminated routes and increased fares. But how exactly they will affect commuters on a day-to-day basis remains to be seen.


All MBTA financial information came directly from MBTA.com

MBTA fare increase may happen sooner than you think

It has been about five years since the MBTA has implimented any type of fair increase. The T is also the only transit agency in the United States that has not increased fares since 2007. This could very soon be a thing of the past for Boston area commuters though.

Massachusetts Secretary of Transportation and former MBTA GM Richard Davey announced last week that a "Modest" fare increase is definitely on the table. This comes after an independent advisory committee explained to MassDOT and the MBTA that they will need over $15 Billion to keep the infrastructure safe and operable.

Newton Center Station (For Sale)

Currently the MBTA's day to day operating costs exceed the money they are taking in from their ridership and adverting. The cash strapped organization is also facing a $161 Million shortfall next fiscal year. The T is taking every measure to try and close that gab but a fair increase seems imminent. The T has tried everything, from selling ad space all over the system and their website, to implementing renewable energies, to selling MBTA merchandise and even their properties. At present, the T just put the Newton Center MBTA station, which is located on the Riverside Branch of the Green line, up for sale. The 120 year old building, which is home to a restaurant, is being sold for a minimum of $700,000. According to Acting MBTA GM Jonathan Davis when sold the money received will be reinvested back into the system to try and put a small dent in the organizations $8 billion debt and $4.8 Billion maintenance backlog.

MBTA employees and retirees may also be unhappy with the way the T is trying to find ways to fill its budget gab. Currently on the table is taking away the MBTA retirees free rides for life pass. Negotiations with the MBTA workers union are also currently underway to try and eliminate the current employee free rides for personal use program. Last year the MBTA lost about $4.5 million in revenue because of the free rides of MBTA workers and retirees. This is going to be a tricky process for the T though. The workers union is not going to give up without a fight.

Overall, its hard to say that a fare increase is not going to happen sometime within the next year. This news is not going over well with most of Massachusetts commuters. The fact is, the T is currently one of the cheapest transit systems to ride. We also have not raised fares since 2007 which is unheard of! I feel like that the T definitely needs to increase fairs. If we want to continue to have safe and extensive transit system in this city we are going to have to sit back and just deal with it.

Interim MBTA GM unveiled

Davis (left) Davey (right)                            Courtesy: MBTA

Today, more than two weeks after Richard Davey was named the new MassDOT Secretary of Transportation, Richard Davey announced his interim replacement.

Since 1995 Jonathan Davis has overseen and maneuvered all of the MBTA's finances as the T's Chief Financial Officer and Deputy GM. He has been finding interesting way to pay the debt struck MBTA's bills for over fifteen years. His new job, which he will hold for about two months while a search committee can find a permanent replacement, will certainly be a lot more trying. Currently he is not being considered for the permanent position.

Davis has expressed that he would like to continue to work on the goals and ideas that Davey has brought to the T. These include the high focus on safety and customer service. The largest goal for Davis over his two months as the GM is to keep the T's finances in perfect order. I feel that because he has so much experience with the MBTA's finances already he can keep moving the agency forward all while keeping it stable.

Davis has over 40 years working in the financial world. Before joining the T he worked for Lynnfield based H.P. Hood dairy as a Vice President, Chief Controller, Operations Planner, and Treasurer. He starts his job officially on September 2nd the same day that Richard Davey becomes head of MassDOT. I really hope that Davis continues to grow on what Davey has already started and I really hope the new permanent GM isn't like some other we had in the past!
 I will keep you all posted as the search process moves forward!

Introducing Secretary of Transportation: Richard Davey

Courtesy: MassDOT

Today Massachusetts Governor Deval Patrick appointed the current MBTA General Manager, Richard Davey, to be Massachusetts next Secretary of Transportation. Davey will become Patricks fourth Secretary of Transportation and will be replacing Jeffery Mullin who announced  last month he would be stepping down from his position in order to return to his old law firm.

The new job is defiantly a huge step up for Davey, who for the past year and a half has been slowly but surely fixing the disaster that is the T. He will now oversee not just the T and other public transportation but also, the states highways and airports. While at the T Davey was committed to improving safety and customer service and those were the two key reasons why Gov. Patrick chose him for the job. The Gov. hopes that the energetic leadership style Davey used while heading the MBTA will be brought over the MassDOT and help him reform the organization.

Jeffery Mullins' choice to vacate his current position come at a very interesting time for MassDOT. The past few months have brought a lot of scrutiny to both Mullin and MassDOT because of multiple 110-pound lighting fixtures falling from the ceiling of the central artery tunnel. No injuries were reported in the incidents but they uncovered that many workers were aware of the ongoing problem but it did not get brought up to Mullin until about a month after it was discovered.

Just like when he took over the reigns of the MBTA Richard Davey will have to figure out how to deal with revenue shortfalls. He will also have to deal with the overbearing debt that is still being racked up because of the Big Dig.

Now lets take a little time to focus on what Richard Davey has done for the MBTA over his year and a half on the job.

*He has avoided fair increases
*He help to set a standard for excellent customer service
*Seen the T's ridership skyrocket to record numbers
*Introduced the first new locomotives in twenty years
*Has 75 new bi-level coaches on order for commuter rail
*Implemented the use of "Smart" technologies for Parking and Bus, Subway, and Commuter Rail info
*Introduced MBTAgifts.com
*Increased advertising revenue with new way for companies to advertise across the MBTA system
*Station renovations
*First steps to making the MBTA "Go Green"

All of these things, plus many many more, have truly made Richard Davey one of the most successful and responsible GM's in MBTA history. For sure he will be missed when he leaves for his new post, but hopefully he can do the state a lot more good. Davey has stated that he will be highly involved in the processes of finding his replacement. He is set to take over his new position on September 1st.

I really hope the new GM picks up right where Davey left off because if they don't the MBTA is going to just keep crumbling and crumbling. Davey aided the T in so many ways but there is still so much that is going to need to be fixed.

Richard Davey: The man who gets things done!

Davey with one of the Bi-level prototypes 

Many of you have heard me praise the work of the MBTA General Manager Richard Davey throughout many of my posts. I feel that this man is the reason why the MBTA has come so very far in the last year. As GM he as implemented such things as new commuter rail locomotives and real time phone applications, installed security cameras on buses,  re-introduced three train Green Line trollies,  much, much more!

I was also pleased to read about another phenomenal thing Davey did recently on Tyler Trahan's blog i Ride the T. This was about how Davey took time out of his own vacation to South Korea in order to visit and inspect the manufacturing plant that will be making the four prototypes of the 75 bi-level coaches that we have on order. He also did it all on his own expense. This truly shows that he is a genuine and noble person and that he really cares about the future of the MBTA!

I was also glad to find that someone else respects Davey as much as I do. This past week on WCVB's Style Boston, Davey was honored as the week's Power Player. Click here to see the video!

Davey's first year as GM

A year ago this past Monday Richard Davey took over the reigns of the MBTA system. Since his takeover the T has been faced with many ups and downs. Here are a few things that Davey had to deal with this year:
* Failed Commuter and Subway trains
* Delays and cancelations
* Subway tunnel fires
* An aging and neglected Orange and Red line fleet along with the commuter rail locomotive fleet
* The MBTA website crashed and burned
* Fare evaders
* Commuters and cars being hit by trains


Although Davey had many difficult situations to deal with throughout this past year and having to also deal with a plentiful amount of negative criticism, he still brought new and invigorating programs and equipment to the MBTA system. In my humble opinion Rich Davey has been one of the best things to happen to the MBTA system in recent years.


Here are just a few of the things that he has added and upgraded in the system:
* Introduction of the first new commuter rail locomotives in over 20 years
* New parking management system
* Real time phone applications
* Improved communication with commuters
* 75 new commuter rail coaches on order
* Station renovations
* Re-introduction of 3-train Green Line trollies
All of these things have really helped to strengthen the MBTA's heavily deteriorating back bone.

Many people blame Davey for the T's horrible—and I mean horrible—winter.  The truth of the matter though, is that none of it is really his fault. Rich Davey entered into an organization that has seen many years of neglect, especially to its equipment, by its previous leaders. It was just a matter of time before everything hit the fan. After seeing what he has done over the past year, though, I believe Davey is the man who is going to fix many of the MBTA's lingering problems. He really has his work cut out for him, but if he continues at the pace he is already running at, then the MBTA can definitely be a transportation system on the rise.