Innovative Rural Transit Services (2011)

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16 CHAPTER FOUR CASE STUDIES—INNOVATIVE RURAL TRANSIT AND INTERCITY SERVICES Case studies for the synthesis were selected based on a review of the innovations identified, the literature search, suggestions from the Panel, discussions with other transit professionals, and the consultant’s knowledge of the sub- ject. There are likely many rural systems that could have been selected for the case study because the realities of rural transit—operating with limited resources and staff in chal- lenging service areas—often make creativity and innovation a necessity. Five agencies, which provide a range of rural transit services from around the country, were selected for the detailed review (this in no way is meant to diminish the many other innovative transit systems). The case study sub- jects include large and small rural transit systems, as well as FTA Section 5311(f)-funded intercity services. The case studies were conducted through telephone interviews. The case study agencies were examined to determine how they have integrated innovative ideas into their service and/ or operation and management. The approaches taken by the case study agencies in implementing innovative practices were also reviewed, and the case study write-ups provide examples of the agencies’ decision-making and operational frameworks that helped lead to innovation and improved service. These examples provide insights into what can be called the agencies’ “culture of innovation.” Each case study write-up includes background informa- tion about the agency and its accomplishments, which is fol- lowed by an assessment of their “innovative/entrepreneurial spirit” and culture of innovation. This assessment builds on previous TCRP research on innovation (1,5). CULTURE OF INNOVATION TCRP Report 99 found that transit agencies that implement new, creative, and successful programs and practices can be characterized in specific, identifiable ways, and have established an organizational culture of innovation (5). Such agencies— 1. Serve as community agents of change—They are “out front” in the community, gaining a reputation for suc- cessful change and innovation. 2. Optimize rural resources—They are able to generate local match and other operating and capital funds, which is a huge challenge; this ability is a key charac- teristic of a transit innovator. 3. Embrace technology—They know to embrace tech- nology, which, after all, is all about change. 4. Act as entrepreneurs—They look for business deals or partnerships; innovators apply business sense to transit. 5. Provide effective, quality service—They build rider- ship by providing quality services that meet the local needs, ensuring well-trained drivers and staff and vehicles maintained to high standards. Customer ser- vice is essential. 6. Maintain fiscal diversity—They do not rely on a single funding source. Although they use FTA funding, they ensure that they have a diversity of funding resources. CASE STUDY TRANSIT AGENCIES The following transit agencies (see Figure 3) were selected for case studies: 1. Addison County Transit Resources, Vermont— ACTR is a one-county transit system located in central Vermont that completely reinvented itself in 2002–2003 and is now a well-respected innovative transit system with partnerships throughout its region and generating high ridership. 2. Ark-Tex–TRAX, Texas—TRAX is a nine-county rural system that went from being dependent on Med- icaid funding to a full public transit system with a wide variety of partners and funding sources. 3. JAUNT, Virginia—JAUNT, a six-county system, has been in existence for about 30 years, first as a coordi- nated human service transit program, and now as an operator of public transit throughout its service area.

17 as a result, it has diverse partners, including the local gov- ernments and the local college. ACTR, because it is situated between the two largest cities in the state, has developed a 4. Oregon Department of Transportation—ODOT has developed a full-scale intercity bus program, which meets intercity needs across the state using a variety of innovative strategies, management, and communication tools. 5. Treasure Valley Transit, Idaho—TVT has gone from a small service area that became urbanized to a multicounty rural system spanning almost 300 miles with both rural and small town service, using a vari- ety of innovative approaches. Addison County Transportation Resources Organizational Background ACTR, a nonprofit corporation, is the public transit operator for Addison County, Vermont. This 770 mi2 rural county is located about half way between Rutland and Burlington (Figure 4), the state’s two largest cities. ACTR provides rural and small town flex-route services (route deviation) as well as paratransit service in rural areas. Addison County is endowed with a number of attributes and activity centers that can work well with transit: summer, fall, and winter tourist seasons, including Nordic and alpine ski areas; Middlebury College in the town of Middlebury (in the center of the service area); and being within commuting distance of the two largest cities in the state (Figure 5). It can be noted that Middlebury College attracts students from around the world and transit is the norm for these students. ACTR has taken full advantage of each of these attributes; FIGURE 3 Location of the case studies. FIGURE 4 ACTR service area.

18 The second major step was to take advantage of the com- munity’s transit attributes: college, tourism, commuters, and a transit-friendly attitude. The third step was to build quality service and generate ridership and a constituency. Through consistent efforts, ACTR has now gained the nec- essary respect needed to work with other organizations as a peer. As a result, ACTR can leverage funds from a diverse set of funding sources, including Middlebury College, local municipalities, and the United Way. Local match is not a major problem, which gives the system the flexibility to be innovative. One of its most innovative features is how ACTR started commuter service in conjunction with Marble Valley Tran- sit and Chittenden County Transportation Authorities (both innovative small urban systems and both much larger than ACTR). Both ACTR and Marble Valley to the south oper- ate one round trip (morning and evening) for two-way com- muter service. To the north, Chittenden operates the weekday service and ACTR operates weekend service—generating high ridership from those students and others going to Bur- lington. These collaborations with the other two innova- tive small urban systems based in Rutland and Burlington were made possible only through the respect that ACTR has gained since 2002. No other such collaborations existed in Vermont before the launch of these two services. Since then, several others have been launched. ACTR is also collaborating with the Vermont Agency of Transportation (AOT) in its new transit center and mainte- nance facility, which will be built on AOT land and colo- cated with an AOT maintenance facility. This partnership is advantageous in many ways as it will allow ACTR to gain economies of scale through shared equipment and services, avoid a loss of property tax revenue for the town, and be a “smart growth” project by virtue of its close proximity to low- and moderate-income housing developments, schools, and shopping centers. Management was emphatic that there would be no resis- tance from staff as the organization was changing. The executive director commented, “I gave them responsibil- ity for results and worked to ensure they had the resources to achieve them, things they didn’t have before. Once the results started to happen, then it became self-reinforcing.” (See Table 1 for ACTR results.) At ACTR, success breeds growth and innovation as staff buy into the mission. Factors That Led to Innovation The key factors leading to innovation were a new executive director with a true mission and goals statement, a staff that wanted to be valued and successful, and a community that desired and was ready to support vibrant transit service. The system was at a low ebb when new management arrived in 2002. The new director had no transit experience, but knew partnership with each of the adjoining transit systems and, with them, provides service linking the three service areas. Tourist activities that include including hiking, skiing, and foliage tours are important to the community, and ACTR operates service to the local ski facilities, hiking trails, and prime foliage areas. FIGURE 5 Ski season is very important to ACTR. [Source: ACTR.] The service operates a variety of fixed routes, commuter service, and demand-response service. The service is con- sistent and reliable. Countywide service includes two devi- ated fixed routes connecting Middlebury to Vergennes and Bristol, plus two commuter routes going north and south stretching into the next counties. In Middlebury, there is a flex-route that circulates throughout town and on the Mid- dlebury College campus all day. There are 11 peak vehicles and five management-level personnel: executive director, finance manager, operations manager (oversees bus routes/drivers), program manager (oversees demand-response system), and community rela- tions manager. The fixed-route services had little signage in place for bus stops. Management realized that stops are important for quality service and serve as an excellent source of advertising for the service. The system went from 7 bus stop signs to 80 signs. Just 9 years ago, the system was volunteer-driven with low ridership and inconsistent service, and was invisible to the community. Taking an essentially dormant service and turning it into a vibrant network of services, highly respected in the community, required management skills and an inno- vative/entrepreneurial spirit among management and staff. Innovative Spirit As soon as the new manager came on board, he cultivated relationships with an emphasis on gaining the trust of the community—business, political, and community leaders.

19 how to manage. The timing was excellent as the director started shortly after a 5-year planning process was initiated and was able to work closely with the consultant and staff to form a new vision, which was ultimately carried out by management and staff. Management continues to seek new opportunities in a proactive manner. Effect on the Community Through a consistent effort in the community, the implemen- tation of credible and effective service has been embraced by the college, voters, business community/Chamber of Com- merce, and adjoining transit systems. As seen in other sys- tems, once the credibility has been established, the respect ensures that ACTR is seen as part of the “solution.” The best example of ACTR’s impact on the community is its wide variety of choice riders, both regular and occa- sional: commuters inbound, outbound (in two directions), and internal; college students; youths, skiers; and persons traveling on everyday activities. Recently AOT gave ACTR 40% more service to provide, yet ridership is actually up 44% in only the first 8 months of expansion. Innovative Ranking Innovation stems from an organization’s ability to change. Attributes that help establish this culture of change and innovation for transit have been identified in prior TCRP research, as described earlier. TCRP Report 99 went fur- ther and listed six criteria deemed important for an organi- zation to change and innovate (5, p. 2). ACTR clearly meets these attributes. 1. Serving as community agents of change—ACTR has a reputation in the community as a provider of quality service. It has had a significant impact on the com- munity’s travel behavior. 2. Optimizing rural resources—ACTR has been extremely effective in leveraging local funding and bringing millions of dollars of federal funding into the county. 3. Embracing technology—ACTR was the first transit system in Vermont to implement traveler information using Google Transit. ACTR is also on Facebook and Twitter, and has begun the move to “cloud computing.” 4. Acting as entrepreneurs—ACTR is a true entrepre- neur. The agency is always looking for a business deal or partnership. It has had excellent success in generat- ing new business and new partners. 5. Providing effective service—ACTR has introduced a new network of services, tailored to needs that have expanded its geographic reach throughout and beyond the county as well as increased frequency of service. The drivers are well trained, and the vehicles are maintained to high standards. TABLE 1 ACTR GROWTH SINCE SFY 2002 SFY 2002a SFY 2011b Percentage Change Operating budget $700,000 $1,925,000 175 Capital budget $90,000 $325,000 261 Fleet size (no. of vehicles) 7 16 128 Fleet size (no. of seats) 90 302 236 Hours of bus service 8,300 20,400 146 Hours of dial-a-ride van service 2,500 4,400 76 No. of bus routes 2 6 200 No. of interregional bus connections 0 2 n/a Ridership (shuttle buses) 24,000 106,000 342 Ridership (dial-a-ride) 44,000 54,000 23 Staff members (FTE) 12.0 23.3 94 Volunteers (daily census) 22 45 105 Office space 1,000 ft2 1,265 ft2, including 265 ft2 of rented space shared on a half-time basis with other building tenants 27 in the form of shared space FTE = Full-time equivalent. aVermont state fiscal year (SFY) is July 1 through June 30. bProjections based on information from July 1 through December 31, 2010. Source: ACTR Management.

20 6. Maintaining fiscal diversity—ACTR has diverse funding resources; the agency does not rely on any one source and has adequate local funding. Ark-Tex Council of Governments–TRAX Organizational Background Ark-Tex TRAX is the rural transit provider serving the counties of Bowie (rural part of the county), Cass, Delta, Franklin, Hopkins, Lamar, Morris, Red River, and Titus in the northeastern corner of Texas (Figure 6). TRAX is a division of the Ark-Tex Council of Governments (ATCOG) based in Texarkana, Texas. The service area borders Arkan- sas, Louisiana, and Oklahoma. Ark-Tex TRAX provides a variety of transportation ser- vices for the general public and human service agencies. The service modes fit the demographics and need. In rural areas, job access routes are in place along with demand-response service. Some of the small cities have local dial-a-ride ser- vices and others have a fixed-route service. TRAX has partnered with a wide variety of agencies, busi- nesses, and governments to provide a network of services. These include regional and national businesses, for example, Wal-Mart, a poultry processing plant, the local community college, Greyhound, a variety of human service agencies such as the local Workforce Board, and the fixed-route service in Texarkana. TRAX has its own maintenance facility for all vehicles in the system. TRAX is diversely funded and has FIGURE 6 TRAX service area.

21 Complacency is a word that cannot be used to describe TRAX. Its reinvention became complete when it embraced technology. The agency now has fully functioning paratran- sit software with AVL and mobile data computers (MDCs). TRAX also recently completed building an operations/ administrative facility that is designed specifically to meet its operating needs, including its new technology. Factors That Led to Innovation Clearly, the loss of much of its service was a potentially crippling blow to TRAX. Reacting to this major problem, TRAX management embarked on a new and entrepreneur- ial path with an innovative spirit. The transit agency had some experience in generating funding from nontraditional sources. TRAX has secured some sponsorship funding from the Pilgrim’s Pride chicken processing plant as well as Wal- Mart to ensure routing to their facilities (this also provided some promotional benefits). Thus, TRAX knew it could look beyond the traditional governmental and other grant sources for new resources. After the crisis was averted, management has settled into a proactive approach to innovation. Working with the Texas Department of Transportation (TxDOT), TRAX started applying for grant opportunities to initiate a network of commuter services and service for persons with disabilities in its nine-county region. Partnerships were sought with col- leges, human service providers, and local governments. TRAX management reported that the agency tries to conduct itself as a business, even though it is a Council of Governments. TRAX is always looking for new business opportunities to provide “more trips for more people.” Effect on the Community The changes that TRAX initiated within a 3-year period after the loss of Medicaid service—new scheduled routes and intercity service, which have improved productivity— have enabled TRAX to demonstrate that it is a viable and respected transportation solution in the community. This respect ensures that TRAX is seen as the “go-to” entity for human service and public transportation. TRAX has recently entered into a partnership with Lowe’s stores, the State Department of Adult Rehabilitative Services, the Northeast Texas Workforce Board, and TxDOT (this col- laboration and plan is the first of its kind in Texas). The partnership with Lowe’s includes planning transpor- tation services to meet the company’s employment needs: Lowe’s needs to ensure transportation services to its major distribution center for the young adults with disabilities who the company employs or seeks to employ. Lowe’s will be working with TRAX to generate local matching funds to ensure operating funds, another example of TRAX’s cre- successfully gained many innovative projects that are not typ- ical of a Council of Governments. TRAX has four manage- ment staff: manager, director of operations, dispatch center manager, and maintenance manager. Human resources and accounting staff are shared with the parent organization. It was not always this way. In 2006, TRAX was dependent on Medicaid funding, which was, by far, its largest source of matching funds. Its service was composed of general public demand-response service in all nine counties. This com- pletely changed in the succeeding 4 years. Innovative Spirit Innovation became “business as usual” after TRAX lost its contract to provide Medicaid service. The Medicaid loss was doubly damaging: the agency lost not only its major source of funds, but also its major source of local matching funds for rural transit. This loss of Medicaid service, which was coordinated with its general public service, convinced TRAX that it needed to reinvent itself; otherwise, it would cease to exist. Since the Medicaid service loss, TRAX has successfully gained multiple JARC and New Freedom projects and is cur- rently preparing to implement intercity feeder service from Paris (Texas) to Mt. Pleasant to connect to Greyhound ser- vice. Working with another rural transit system, the agency was able to meet the federal insurance requirements in a cre- ative way. TRAX functions as the mobility manager for the region and has its own maintenance facility for its 75 buses. A truly innovative project is TRAX’s new approach to community and rider outreach. The “Meeting on a Bus” pro- gram brings the public meetings and outreach to each town in TRAX’s service area by holding meetings on a bus, rather than requiring the public to come to a central meeting point (Figure 7). Participation at the meetings went from two or three persons in a small town to 25 with the new “Meeting on a Bus” program. FIGURE 7 TRAX meeting on a bus.

22 ative approach to funding. TRAX and Lowe’s are also dis- cussing an advertising contract. These opportunities for partnerships with local busi- nesses and other entities present themselves to TRAX in large part because TRAX has gained a presence and reputa- tion of accomplishment in the community. Community and business leaders recognize TRAX’s efforts, as do the transit agency’s staff and customers. Innovative Ranking Innovation stems from an organization’s ability to change. Attributes that help establish this culture of change and innova- tion for transit have been identified in previous TCRP research, as described earlier. TRAX clearly meets these attributes. 1. Serving as community agents of change—TRAX is out front in the community, partnering with many organizations from community colleges to Lowe’s, Wal-Mart, and Greyhound. ATCOG is more than just a Council of Governments; it is an active hands-on organization that routinely gets involved in direct implementation and operation. ATCOG houses the Homeland Security backup emergency response communications network for the region. 2. Optimizing rural resources—TRAX has been suc- cessful in generating local revenue to match the FTA funding it receives. The partnerships stretch dollars. 3. Embracing technology—TRAX recently imple- mented new paratransit software, MDCs, and AVL. This state-of-the-art system has allowed TRAX to increase the vehicle fleet without adding dispatch staff. 4. Acting as entrepreneurs—TRAX is a true entrepre- neur. The agency is always looking for a business deal or partnership. TRAX has been successful in obtain- ing JARC and New Freedom funds for new services and then partnering with other entities to strengthen the new services. The agency also contracts with local taxi companies and tries to integrate the private sec- tor in the planning process. 5. Providing effective service—TRAX has introduced a new network of services, tailored to needs, through a detailed planning process. The drivers are well trained through in-house trainers, and the vehicles are maintained to high standards. 6. Maintaining fiscal diversity—TRAX has diverse fund- ing resources; the agency does not rely on any one source. Private sector as well as a diverse set of FTA and human service funding now protect the organization. JAUNT, Virginia Organizational Background JAUNT, a six-county rural transit system, had its start in the mid-1970s when it began coordinating human service transportation programs in the Charlottesville, Virginia, area (Figure 8). By the early 1980s, it provided service for 60 human service agencies and its budget reflected it with 90% of the funding coming from coordinated services. Over the next 10 years, the human service funding started to decline as agencies “shed” their clients into the public system (ridership to agency programs continues to increase, but the clients now pay their fares directly), shifting the cost of client transportation from the sponsoring agencies to JAUNT. Now, with the exception of Medicaid and Head Start subcontracts, most of the human service agencies have withdrawn from directly contracting with JAUNT. Cur- rently, human service transportation is approximately 10% of JAUNT’s budget. The reinvention is complete and continues as JAUNT is always looking for new services to operate (Figure 9). It recently won a commuter contract outside of its service area into the Charlottesville area. Throughout the rural parts of the six-county area, JAUNT operates an innova- tive fixed-schedule type of service where it travels a cor- ridor according to a schedule and picks up passengers who reserve a ride (JAUNT is responding by procuring larger vehicles because of high ridership). JAUNT also provides a variety of other services, including a ski resort employee shuttle from a designated Charlottesville bus stop, com- muter services, a wintertime homeless shuttle program, and ADA paratransit service in the city of Charlottesville. JAUNT maintains a strong relationship with the major hos- pitals in the region as well as the University of Virginia and Charlottesville Area Transit. JAUNT also launched a new mobility manager program with an innovative twist that is discussed in detail in the section on innovations. JAUNT works closely with human service agencies to help them improve their operation. This assistance involves an initial kickoff meeting with the agency to discuss the process, gathering appropriate infor- mation from the agency, analyzing the agency’s transporta- tion-related resources and needs, and developing a written report with appropriate recommendations. Although these recommendations are tailored to each agency, typical sug- gestions include opportunities for the agency to partner with JAUNT to address unmet transportation needs, how the agency may be able to pool resources or share vehicles with another human service agency, or how the agency could use private providers of transportation services. JAUNT has completed 10 reviews to date.

23 JAUNT noted that although these reports are useful, the process—the “journey”—is more important. JAUNT reported that through meetings, discussions, and interaction with the JAUNT mobility manager, human service agency staff learn more about their transportation operations and the opportunities available to them as the process moves along. An additional supplementary benefit was leaving these agencies with a higher education/perception of public transportation service availability. The reports simply docu- ment what has been learned throughout the work with the JAUNT mobility manager. JAUNT has six managers and the mobility manager and operates 48 peak vehicles. Management consists of a FIGURE 8 JAUNT service area. FIGURE 9 JAUNT Buses are easily identified and branded. [Source: JAUNT.]

24 director, assistant director, operations manager, finance manager, safety and training manager, and a community relations manager. The director cites this last position as crucial to maintaining close ties with the communities served and being able to anticipate needs because of these close connections. Innovative Spirit JAUNT clearly reinvented itself in those years as human ser- vice funding was reduced. This in itself is an innovation as the agency saw a fundamental change as it adapted to the changing environment. As a result, it operates using a num- ber of successful practices and some truly innovative prac- tices as well. Staff is comfortable with change, witnessed by JAUNT’s regularly gaining and implementing new services. Management sees some barriers in regulations such as the charter rules, but this has not stopped JAUNT in setting up new services for the most part. As with other skilled managers when faced with change, the director (who considers herself a “conservative entre- preneur”) and staff looked for other business opportunities. Through that process, the organization continued to innovate in its drive for new business. The director again stressed the ability to have a community relations specialist as critical to success in working with local areas. The proof? JAUNT generates $2 million in local match funding every year. That success speaks volumes. What can also be noted is JAUNT’s management stability, having only two executive directors in more than 30 years. The second executive director had served as operations manager for many years. Some of its innovations include— • The mobility manager as mentor to human service agencies—JAUNT’s mobility manager is also a trans- portation planner working with the human service agencies in areas such as safety/security, training, and insurance. • Fixed-schedule route but on a reservation basis— Passengers call for service that operates on a set sched- ule (but not set route), picking up people at bus stops. • Funding and service—JAUNT develops a plan for each county with a menu of services and cost levels. Counties are required to pay a uniform rate for the level of service provided. JAUNT does what all innovators do—show up at every local function, parade, county fair, community, and Cham- ber of Commerce meeting and communicate the message. Again, having a community relations manager is a big help in meeting this requirement. JAUNT is well established and respected in the community and by business, community, and political leaders. Factors That Led to Innovation Management faced a slow erosion of its business because of decisions beyond its control. JAUNT did what any inno- vative system would do—find new business opportunities. The loss was over a period of years and not sudden. Being more proactive than reactive, management was able to move cautiously and seek new funding sources and services to pro- vide. Throughout the 1990s, JAUNT went from a system that was 90% funded by human service programs to a service that is now 90% public transit service. Effect on the Community The community response to JAUNT is nothing short of overwhelming. JAUNT is recognized throughout the ser- vice area as an effective, well-managed service that operates clean, well-maintained vehicles with professionally trained drivers. Again, the proof is in the impressive level of local funding available. Innovative Ranking Innovation stems from an organizational ability to change. The factors required for change in general business as well as transit were documented in TCRP Report 70 (1). These include— 1. Serving as community agents of change—JAUNT has changed the face of public transportation in the region. The introduction of new services and the expansion of public service have had a significant impact in the community. 2. Optimizing rural resources—JAUNT has been suc- cessful in leveraging local funds to bring in more federal dollars. Management has staff assigned to generating local revenue. The previously cited $2 mil- lion is all the proof needed. 3. Embracing technology—JAUNT has procured and implemented state-of-the-art paratransit software MDCs and AVLs. 4. Acting as entrepreneurs—JAUNT is an entrepreneur in every sense of the word. It is always looking for a business deal or partnership. Conservative entrepre- neur is how the manager characterizes herself. 5. Providing effective service—Quality service is essen- tial to JAUNT’s mission. Drivers are well trained, and the vehicles are maintained to high standards. 6. Maintaining fiscal diversity—Other than FTA, there is no reliance on any one source (such as Medicaid). The funding sources are diverse.

25 Treasure Valley Transit, Idaho Organizational Background The mission of TVT is to provide a viable public transporta- tion system where the need is great and access is limited, as depicted in Figure 10. TVT began in 1992 as a private, nonprofit, rural provider operating in Canyon and Owyhee Counties. At that time, the city of Nampa had a population of 28,000 and there was no available public transportation. The service was initiated by a Head Start agency in conjunction with a health clinic. TVT established and provided all of the public transpor- tation service (including fixed-route service) in the county until the 2000 Census redesignated the Nampa/Caldwell area from a “rural” to “small urbanized” area. TVT, as a result of this process, no longer had jurisdiction over the small urban area as it went under the Valley Regional Transit Authority. This was a potentially catastrophic event as TVT lost 65% of its funding. TVT then turned all of its resources to the eight counties of rural southwestern Idaho. TVT was forced to reinvent itself and create diversified funding sources to better protect it in the future. TVT began to market its ser- vices in the rural and remote rural areas. FIGURE 10 TVT transportation system.

26 Current services include being the rural transportation provider for the eight counties in ITD District 3 [Adams, Canyon (rural), Elmore, Gem, Payette, Owyhee, Valley, and Washington]. In addition, TVT serves Idaho County in Dis- trict 2 and Malheur County in Oregon. It is also a Medicaid provider, about 12% of its overall services. TVT provides transportation for the developmentally disabled in these rural counties along with individual Medicaid trips. It also operates Mountain Community Transit, which includes 15 commuter runs, and the City Route in McCall. TVT operates Snake River Transit in Payette County (Idaho) and Malheur County (Oregon), and also a fixed-route service in Mountain Home and the Mountain Home Air Force Base. TVT operates 18 peak vehicles with a staff of 42, including the drivers. Most drivers are full-time and receive benefits. TVT provided more than 145,914 annual trips in 2010, or approximately 12,160 trips per month, in its combined service area. Their manage- ment has a staff of five, including executive director, assistant director, finance and grants manager, operations/safety man- ager, and operations/mobility manager (Figure 11). The two operations managers handle different counties. FIGURE 11 TVT management staff. [Source: TVT.] TVT meets with the 14-plus senior centers in the eight counties it serves. It loans vehicles to the senior centers, which operate and schedule these vehicles directly. Dis- cussions are underway for the senior centers to consider coordination alternatives that can enhance their current transportation programs. In addition, TVT has a small con- tract with the Nampa Recreation Center to take students to school in the morning. TVT had a public–private partnership with the Tamarack Resort to coordinate the operations of an employee/general public shuttle running from Cascade (Valley County) to the ski resort at Tamarack and into McCall. However, with the economic downturn, the resort went into bankruptcy. There was enough local demand for the service that a restructure took place and the service remained viable. Valley County stepped up with an in-kind donation of office space with both indoor and outdoor parking. Innovative Spirit Reinventing an organization is innovative in and of itself. TVT’s change was fundamental in nature, and management simply sought business opportunities in the diverse rural areas of its boundaries (and beyond). TVT worked toward its strengths. Management tailored service in each part of its service areas. Each service is locally branded to facili- tate local “ownership” and its buy-in. In tourist areas, com- muter service and service geared for tourists are in place. In Mountain Home, the Air Force Base is served along with the community. The Payette/Ontario area was linked through a fixed-route service. Rural farming areas receive demand- response service. FIGURE 12 TVT Bus branded for the city of Mountain Home, Idaho. [Source: TVT.] FIGURE 13 TVT Bus branded for the city of McCall, Idaho. [Source: TVT.] TVT’s greatest innovation was the approach used to work with communities in its service area to tailor service to meet each particular need. TVT approached each willing com- munity, formed an advisory committee, conducted a plan- ning study, and presented the plan to the local government and the committee. If all parties were willing to proceed, TVT initiated a demonstration project, and if the service was not supported, it planned to pull the service after 6 months. However, TVT has never had to pull service from a commu- nity and in many cases has expanded service. TVT is a leader in securing a hotel bed tax (in two elec- tions) and using it for transit, in support of its local program.

27 FTA funding it receives. The partnerships include the private sector, local governments, and human service agencies (including Medicaid). 3. Embracing technology—TVT has embraced technol- ogy and is currently installing new fixed-route and demand-response software on all vehicles in opera- tion. This includes AVLs, passenger manifest, driver, and vehicle statistics, and the like. 4. Acting as entrepreneurs—TVT is an entrepreneur in every sense of the word. It is always looking for a business deal or partnership. 5. Providing effective service—Quality service is essential to TVT’s mission. Drivers are well trained, and the vehicles are maintained to high standards. 6. Maintaining fiscal diversity—Other than FTA, there is no reliance on any one source (such as Medicaid). The funding sources are diverse. Oregon Department of Transportation—Intercity Bus Program Organizational Background ODOT has all of the transit challenges of a western state: low density and long distances. ODOT embraces the challenge of a true department of transportation—looking at all modes as part of the solution and is not highway centric. This program promotes intercity passenger services, connecting rural communities through incentive funding, information, and equipment to make vehicles accessible. Emphasis is placed on connecting communities of 2,500 or more with the next larger market economy and connecting bus, rail, and air (Figure 14). Biennial discretionary grants are offered to assist public and private providers to fill gaps in rural intercity connections. Innovative Spirit ODOT is one of the more innovative and proactive DOTs as it is willing to embrace all modes of transportation and does not focus exclusively on roads. In the rural areas, faced with a need that could not be filled exclusively by the private sec- tor, the ODOT’s Public Transit Division is taking advantage of a pilot change in FTA match rules to fund intercity bus service between Klamath Falls, Oregon, and Smith River, California, via White City, Medford, Gold Hill, Grants Pass, Cave Junction, and Crescent City, California (Figure 15). The service allows one-day round trips from Smith River, California, or Klamath Falls, Oregon, to Medford, Oregon. The service also allows one-day one-way trips between Klamath Falls, Oregon, and Smith River, California. Grey- Part of TVT’s service is in tourist-oriented areas where there is significant need for both tourist transportation and commuter service for employees, to the point where it operates 15 com- muter runs during peak season. TVT’s commuter service is growing in rural areas, and it is initiating a new vanpool pro- gram as an additional mode to meet customer needs in 2011. After years of a good relationship, 14-plus senior cen- ters will be able to resume transportation services through a TVT purchase of service procurement using Section 5310 Transportation for Elderly Person and Persons with Disabili- ties funds. The senior centers came to TVT at a time when many area agencies on aging are diverting funding from transportation. TVT is not slowing down. It has recently reached the small city of Grangeville, Idaho (more than 200 miles from its base of operations) with limited service and sees new opportunities in this rural area as it is not served by any transit system at this time. Factors That Led to Innovation Management was faced with a catastrophic loss because of demographic/jurisdictional service changes beyond TVT’s control. TVT, as any good business would do, sought new opportunities rather than close its doors. After the loss of funding, management tightened the organization’s “belt” and immediately sought new business opportunities. Using its strategy of working with individual communities with tailored service, TVT regained its lost funding through new contracts and is continuing in a proactive manner to grow and expand. Effect on the Community TVT’s emphasis on proper planning and realistic expecta- tions has resulted in no loss of service once TVT implemented a new service in its communities. TVT is a well-respected organization that continues to grow in the face of a poor economy. TVT has recently expanded to a new region that was not served by any transit system. This acceptance in new communities demonstrates TVT’s effectiveness in the communities it serves. Innovative Ranking Innovation stems from an organizational ability to change. The factors required for change in general business as well as transit were documented in TCRP Report 70 (1). These include— 1. Serving as community agents of change—TVT works closely with all of its communities and counties to the point where it is well known and respected. 2. Optimizing rural resources—TVT has been success- ful in generating diverse local revenue to match the

28 hound Lines, Inc. acts as a match partner in this project. A portion of Greyhound service along the I-5 corridor serves as a match for the project. FIGURE 15 ODOT-funded intercity service. [Source: ODOT.] The new bus service is the only regularly scheduled gen- eral public transit service connecting the I-5 corridor to the 101 corridor, along the 400-plus miles between Eugene, Oregon, and Williams, California. Although this is a good practice, in and of itself it is not innovative; ODOT’s ser- vice implementation process and support functions make it innovative. • Branding—the services are professionally branded; • Amenities such as free Wi-Fi and bike racks; • Connections with local providers where feasible; • Wrapping the vendor’s bus with the brand; • Generating new data—ODOT is in the middle of a project to collect data needed to properly analyze service levels; • Request for proposals—ODOT puts out a request for proposals for the service, which has been awarded to a private for-profit firm; FIGURE 14 ODOT Intercity bus routes.

29 • Collaboration with the Medicaid agency (8)—ODOT has demonstrated innovation in other transportation services in rural areas, through its effective approach to the Medicaid Transportation issue. Factors That Led to Innovation Innovation is typically difficult in a large state agency, how- ever ODOT has a history of innovative efforts in regard to public transit. Unlike the other case studies, ODOT was not faced with a need to re-invent or innovate. The agency encourages innovation and allows managers to develop new programs. This has manifested itself in a number of innova- tions as discussed previously. Effect on the Community This program has allowed many rural residents to connect to areas outside of their county. Although the impact is modest, it does bring new opportunities for local residents for medi- cal, shopping, and perhaps work-related pursuits. Innovation Ranking Innovation stems from an organizational ability to change. The factors required for change in general business as well as transit were documented in TCRP Report 70 (1). These include— 1. Serving as community agents of change—ODOT has stepped in where the private sector and the rural tran- sit systems could not, despite the need. ODOT is in the forefront in a number of communities where new service has been implemented or proposed. 2. Optimizing rural resources—Using Section 5311(f) funding with an innovative in-kind match from Grey- hound has the effect of allowing these services to flourish where they can interline with Greyhound or other intercity carriers. 3. Embracing technology—ODOT is investing in the creation and maintenance of General Transit Feed Specification data for fixed-route services and has a web-based statewide transit information system and Wi-Fi on board the vehicles used in contracted inter- city bus service. ODOT hopes to be going to a real- time trip planner in the future. 4. Acting as entrepreneurs—ODOT in providing this service is encouraging entrepreneurs. 5. Providing effective service—ODOT has a minimum threshold for service and is now upgrading its abil- ity to collect data (origin and destination) needed to properly analyze the service. 6. Maintaining fiscal diversity—Innovative approaches to local match.