With a fare increase to take effect July 1 and, if nothing changes, a 35 percent cut in service scheduled to eliminate bus, rail and ACCESS service to most of Allegheny County Sept.1, Port Authority of Allegheny County President and CEO Steve Bland said he is more hopeful that a funding solution will come from Harrisburg.
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| QUESTION SESSION—Steve Bland answers question from Chamber President and CEO Doris Carson Williams. |
“I’m optimistic because politicians in the house and senate, Democrat and Republic get it,” he said. “They realize, they realize that we cannot let this happen.”
Bland said there is a lot of support for pushing Harrisburg to adopt a funding solution, ranging from protesters stopping traffic, to corporate giants like PNC, BNY Mellon, and Highmark warning state representatives of the investment, development and employment losses that eliminating transit for 20,000 people a day would yield.
“The most telling thing here is that OccupyPittsburgh and the Allegheny Conference (on Community Development) are totally aligned on this,” he said. “Find me another issue they agree on and I’ll buy you lunch.”
As he has in every venue over the last year, Bland told the African American Chamber of Commerce PowerBreakfast audience how the authority has trimmed expenses during his six-year tenure. Some examples include consolidating 219 routes to 102 while retaining 95 percent of ridership, increasing revenue by $20 million, reducing the unfunded pension liability by 26 percent, and eliminating defined benefit pensions for all but union-represented operators and electrical employees.
The last is the main issue in current union negotiations. Bland said for more than 10 years the legacy costs of healthcare for retirees have risen at eight times the rate of inflation. All the other authority expenses have risen at .5 percent of the inflation rate.
“Even if we get emergency funding like Gov. Rendell did two years ago, it would only delay the inevitable,” he said.
There are three things, Bland said, that can not only stabilize the authority system, but eventually allow it to expand:
•Additional statewide funding in line with the findings of Governor Tom Corbett’s Transportation Advisory Commission;
• Changes in the structure of legislation—including authorizing federal disabled rider subsidies–to improve the authority’s standing relative to those in other regions, and
•Continued cost reduction, particularly with respect to collective bargaining agreements and legacy cost reduction.
After Chamber President and CEO Doris Carson Williams asked what her members could do, Bland suggested writing state representatives, including Dan Frankel, who has authored legislation to improve state funding distribution.
“Even if your representative is one of those who is paying attention, because they need to know you’re paying attention,” he said.
After thanking Bland, Williams welcomed new members including Winston Simmonds, the former PAT engineer who brought the North Shore Connector project in under budget and now owns a construction service company.
She also highlighted upcoming chamber events including a financial workshop with Citizens Bank, June 26, a special Chamber breakfast with state Auditor Gen. Jack Wagner on July 12, an Energy Inc meeting in partnership with the Pittsburgh Business Times on Aug. 14, and a commodities session to match chamber members with Marcellus Shale firms EQT, Shell and Halliburton on August 1.
(Send comments to cmorrow@newpittsburghcourier.com.)