Metro - File #: 2020-0355

• File #: 2020-0355
• Type: Motion / Motion Response
• Status: Agenda Ready
• File created: 5/15/2020
• In control: Executive Management Committee
• On agenda: 5/21/2020
• Title: APPROVE Motion by Directors Garcetti, Solis, Hahn, Kuehl and Butts directing the CEO to: A. Provide relief for current frequent riders by initiating the sale of promotional passes at 50% the cost of full-price passes: 1. Promotional Day Pass: $3.50 2. Promotional 7-Day Pass: $12.50 3. Promotional 30-Day Pass: $50.00; B. Provide these promotional passes for not less than six months from the date regular boarding practices resume; C. In conjunction with the debut of these promotional passes, suspend the sale of full-price passes; D. Prepare a marketing plan to engage frequent riders on these fare changes, with particular focus on helping cash-paying frequent riders take advantage of these promotional fare products and transition to cashless, TAP-enabled payments; E. Develop recommendations for cost reductions of the Regional EZ Pass (Base and Zones 1 through 15) that meet the same affordability goals as the 50% pass reductions above; F. Report to the Executive Management Committee ...
• Sponsors: Board of Directors - Regular Board Meeting
• Indexes: Coronavirus Disease 2019 (COVID-19), Eric Garcetti, Fare Structure, Fare Zone, Hilda Solis, James Butts, Janice Hahn, Motion / Motion Response, Plan, Shelia Kuehl
• Related files: 2020-0373, 2020-0565, 2023-0002, 2020-0704, 2022-0351

Meeting_Body
EXECUTIVE MANAGEMENT COMMITTEE
MAY 21, 2020

Preamble


Motion by:

DIRECTORS GARCETTI, SOLIS, HAHN, KUEHL, AND BUTTS

Emergency Relief: Full-Price Passes

The collapse of the pre-COVID economy has left many families in Los Angeles County on the precipice of financial calamity. As economic distress from the COVID-19 emergency grows, Metro should provide emergency relief for transit-dependent Angelenos.

The economic impact of the COVID-19 emergency upon the residents of L.A. County has been swift and severe. The Los Angeles Economic Development Company (LAEDC) forecasts that the L.A. area will lose 1.7 million jobs and reach an unprecedented unemployment rate of 31.7 percent by May 2020.

LAEDC's forecast includes a nearly 70 percent decline in food service jobs and 60 percent decline in retail/sales jobs. Many of these jobs are held by persons of color, who are being disproportionately impacted by the COVID-19 emergency. Altogether, according to a current UCLA study, there are nearly two-thirds of a million low-income residents in L.A. County at high risk of becoming homeless due to the COVID-19 emergency. The households with these residents are concentrated in the most transit-dependent neighborhoods in the County.

At the same time, Metro continues to carry up to 400,000 boardings each weekday. According to Investing in Place, this is the least decline of any major American city. By Federal Transit Administration data, this would make Metro the 11th-busiest pre-COVID transit agency in the U.S. These 400,000 boardings are predominantly essential workers and Angelenos making essential trips, and are mostly female, persons of color, and low-income Angelenos, many of whom are without other mobility options.

L.A. County jurisdictions are working aggressively to lessen the impact of this economic distress. L.A. County, the City of L.A., and many other jurisdictions are providing eviction moratoriums, tax relief, small business support, and many differ...