BY SUSAN BROWN, Times of Northwest Indiana
sbrown@nwitimes.com
HAMMOND | City officials say the Hammond Transit System is edging toward costing the city $1 million, but Transit Department figures show the system finished 2007 costing significantly less.
The disparity has Regional Bus Authority President Dennis Rittenmeyer pondering the true cost of the city's transit service, which stands to lose its funding during this year's round of budget cuts. The RBA likely is the only agency to be able to provide some form of bus service to the city after Dec. 31, if only through 2009.
But the transit system's finances are in great flux.
The bus service has suffered a significant reduction in ridership since 2006 and, as a result, a reduction in federal and state subsidies. Rising fuel costs also are complicating the picture.
About 80 percent of the system's funding comes from federal and state operating funds, leaving the city to fund 20 percent. This year's municipal share was budgeted at $800,000 with the city now projecting a $200,000 shortage.
Meanwhile, the transit system's books show the city's actual contribution in 2007 as $698,000. Fares and other revenues totaled $322,000, which is returned to the department's operating fund.
With the picture not appearing as grim as painted by the city, City Council President Dan Repay last week produced controller's records for 2008 showing a $75,000 loss in user fees as of June. In addition, the Transit Department acknowledges nearly $300,000 in contract and fuel expenses from the last two months of 2007 were carried over into this year.
All of which leaves a murky picture for Rittenmeyer, whose board will discuss whether to fund a potential bus route on Indianapolis Boulevard next year to help Hammond, if only temporarily.
Hammond Transit Director Keith Matasovsky, who also serves on the RBA, said last week the 21-mile regional route would cost the RBA $1.6 million. In contrast, it costs $2.5 million to cover the city's six present routes totaling 70 miles. Most bus routes in Hammond run at one-hour intervals as would the regional route on Indianapolis Boulevard.
Last week, the RBA approved $1.5 million to expand bus operations along three routes in Gary. Rittenmeyer, however, said unlike in Hammond, those routes are already established and only being enhanced.
"I'm trying to get a meeting together with Councilman (Dan) Repay," Rittenmeyer said, adding he already has discussed the matter with Mayor Thomas McDermott Jr. and Matasovsky. McDermott did not return a telephone call Friday.
In the long term, Rittenmeyer said the ball is in court of county and state officials, not the RBA or even the Regional Development Authority.
"We are not the ones who can make something happen," he said of the RBA. "We're a logical target (for local officeholders), but they typically don't understand we don't have the money."
Lake County Council President Christine Cid, whose district includes the Woodmar and Hessville areas, said it's not likely the county will come to the rescue of Hammond's bus service.
"People wanted the property tax caps," she said. "Unfortunately that's the result of these caps, cutting services."
But state Sen. Luke Kenley held out some glimmer of hope last week, saying Hammond's plight could fit within the mass transit discussions to take place during this summer's joint study committee between the Transportation Committee and his own Tax and Fiscal Policy Committee.