Staff Report #12
August 30, 2023
To All Commissioners
Re: Financial Update – Specialized Transit Services – Operating Budget – July 31, 2023
That the report be NOTED and FILED.
Set out in the table below is the Statement of Operations for Specialized Transit Services for the seven-month period ending July 31, 2023. The statement sets out actual to budget performance for the period.
London Transit Commission Statement of Operations – Specialized Transit Services Seven Months Ending July 31, 2023 (000’s omitted)
|Description||Actual||Budget||Amount Better (Worse)||Percent Better (Worse)|
|Transportation||$ 272.0||$ 318.0||$ (46.0)||(14.5)%|
|Province-provincial gas tax||1,053.3||1,053.3||–||0.0 %|
|City of London||5,134.4||5,134.4||–||0.0 %|
|Personnel cost||744.2||766.1||21.9||2.9 %|
|Contract service cost||4,993.1||5,639.1||645.9||11.5 %|
|All other material expense||90.9||100.6||9.7||9.7 %|
|Total expenditure||5,828.2||6,505.7||677.5||10.4 %|
|Net favourable/(unfavourable)||$ 631.5||$ –||$ 631.5||9.7 %|
As indicated in the above table, the service has a net favourable operating budget performance to date of 9.7% or $631,500. An explanation of the variances is set out below.
Net Operating Costs
- unfavourable transportation revenue of $46,000 due to lower ridership than planned;
- favourable personnel costs of $21,900 due to timing of vacancies and less than anticipated overtime; and
- favourable contract service costs of $645,900 due to lower than budgeted service hours utilized.
The following table sets out actual to budget ridership and other performance related measures as well as a comparison to the same period in the previous year.
Ridership and Other Statistics Actual vs. Budget Seven Months Ending July 31, 2023 (000’s omitted)
|Description||Actual||Budget||Variance||% Variance||2022 Actual||% Variance|
|Eligible passenger trips||135,891||147,100||(11,209)||(7.6)%||118,353||14.8 %|
|Attendant/companion trips||9,382||16,800||(7,418)||(44.2)%||7,559||24.1 %|
|Total Trips||145,273||163,900||(18,627)||(11.4)%||125,912||15.4 %|
|Average fare||$ 1.872||$ 1.940||$ (0.068)||(5.5) %||$ 1.944||(3.7)%|
|Service Hours||72,572||81,983||(9,411)||(11.5) %||71,768||1.1 %|
|EPT per service hour||1.87||1.79||0.08||4.4 %||1.65||13.5 %|
|Total trips per service hour||2.00||2.00||0.00||(0.0)%||1.75||14.1 %|
Administration will continue to monitor the operating budget performance reporting on same on a monthly basis including providing recommendations as may be appropriate.
Mike Gregor, Director of Finance
Concurred in by:
Kelly S. Paleczny, General Manager