Good morning, We got [xx]. Kuberi on transportation appropriation order this morning. I'd like to recognize our senate pages today. Jackson Belgium from Raleigh with Senator Blue, please stand, and so we can recognize you. Agent Stevenson from Raleigh, also with Senator Blue, Olivia LaCroix[sp?] from Cary with Senator Varujan[sp?], and Prainha[sp?] Goa[sp?] from [xx] Constantine, and then on the health side, the health stages, we have Jaden [xx] from white county who lives in Gille, and Emmy Clements from white [xx]. It's good to have you all with us this morning. I thought our sergeant at arms [xx] this morning. I have sergeant at arms this morning Carlson Adams, Joe Lotson, Martha Gaberson, Senate Sergeant at Arms, Dale[sp?] Hob[sp?] and Terry Bernhardt, and with that, the assembly we going to proceed with our meeting, and Paul Will with the North Carolina [xx] is going to come and give us our presentation this morning Thank you and Good morning chair members of the committee, today we get the opportunity to give you an overview on the rare division our projects, and our and I'll get right into the slideshow here. First, an overview of the rail division. We have rail in 86 over 100 North Carolina counties. Our class 1 rail roads we see the two major class one rail roads are CSX and Southern Railway. We have 19 short lines in our state. The smaller rail roads that're independently our parts of larger companies and then we have 109 miles State owned and preserved rail quarters, some are under the leases as well and then six states supported trains. The [xx] idea about railways in North Carolina and what moves through our State, I'm going to refer here to some American Association of Railway and Numbers. The largest single group of a largest single group of commodity is out of the state that originates from the state is chemical, the largest coming in is coal. There's a lot of different miscellaneous items and there are other in both in and out, that's a pretty good idea of what we see coming into the state, what we see leaving the state and an interesting mix there as well. So looking at the economics of a train is there are several 100 tracks can make up a train. So but when you think about pulling by train, let's think about long haul, and about originating in one place and living around 400 miles to pick our destination, 75% of the trips on the road are more than 400 miles. So when we start talking about short trips, they are not very economical in the rail road, as far as the crew calls and the cost or running a train is taking that load a long way, and that is certainly the core business the railroads are after. If you also look at let's say for instance that 82 million tonnes of freight that comes in or leaves the state a year, if it were devoted it would equal 4.6 million trucks that would be on our roads, so that's something to think about and the contribution of our freight rail road system and it works very well. More on the role of rail. Again, think about heavy bulk, long distances. We talk about retail goods and light goods. They don't work locally for short haul. Though when we start about bigger manufactured goods, when we start talking the boat goods that is much more suited to the railway business and the core business there. This is my [xx] the need outside, every one, every mode has its ability to best meet that particular need and we have a really good mix here in North Carolina and that's what makes us competitive and being able to preserve those connections both to [xx] to both facilities as well as our ports is very important. Here are your train volumes in North Carolina what we see here on the right hand side the line that's red and orange at the top that's CSX they call that there A line that runs parallel to interstate 95 carries a lot of there North South traffic what you see over to the left the to the red line that's the
Norfolk Southern main line and that's also apart of North Carolina railway company quarter as well and that's where Norfolk Southern main flights come through the State. Down at the bottom you see some connections with some heavy traffic there a major freight yard at Hamlet and that's showing connections into Atlanta and into Charlotte as well. these are passenger routes in the state. We have three through trains. They go from New York to the South Eastern Olive Savannah. We also have the present that runs on the North of South Carolina like the North Carolina rail road over between Brisbane and Charlie and South to New Hollands. North Carolina strains or states quota services they mainly connect east and west, The Peiedmont state and the Carolanian to DC and New York City. Economic impact of rail. What we're looking at here is flight, you got $1billion $754 million the benefit to our State when it comes to flight low rating and then in the passenger side $121 million of the economic impact to the State, and that also includes not just the [xx] and [xx] from suppliers in our state it also includes such as the great smoky mountains of railway which has a [xx] So, what has DLT done and what have we done in rails since rail was come to this in 1977. We started out with [xx] reserving [xx] quarters and then we picked up over [xx] here in 1990 when we resumed [xx] service this we really concentrated a lot on safety so it allows [xx] consolidating we've done the [xx] and then in 1995 we began the [xx] we started work on analyzing first step at the North Carolina [xx] border especially that road between [xx] and [xx] and we did that program between 2001 and 2009. We also did another project which really improved [xx] safety in our state called the sealed[sp?] quarter, we implemented over that entire stretch between Charlotte, Greensboro and Raleigh enhance the process, close passings and make that quota safe there between in 1995 and 2005. after that we added the mid-day round trip to the Piedmont as far as the third frequency and we were awarded the Piedmont improvement Grants, the federal grants from FRA, and we've gone a from trip town of four hours and 20 minutes to three hours and 10 minutes, and the rail road is a lot safer than it was. 109 rail quarters I'm not going to read all of these it's on your handout, and you can see where they're at what the status of them all are, when they were acquired. They were acquired under the real quarter preservation act in 1988. Some of these are being preserved in place. Some are trails and then others are being leased to railroad companies as well. So we try to maximize that asset when there's an opportunity to reactivate it. We certainly want to do that as well. Here are some of our quarters with activities. The Piedmont Northern we resumed operation on that in 2012 the operator had asked out of it's contact, and we are very close at getting a new operator on that. a line collaborating with the Gastonia and the Gafton county, of selection of that Cont Rider. We also have completed the study between Andrews and Murphy looking at the cost of resuming rail on that line we have the five mile over transpark spur that were looking at for this options and some economic development issues that are pending there that were going to maximize we studied the walls to Castle Hayne line as you may recall that's before two studies Department of Defense is interested in that line being put back and were going to be approaching them and asking for there help in supporting that project. And then the FS and FA line, I think FS line is the line out of Raleigh out of quarter that goes to Richmond, Virginia and Washington DC preserving that for future rail use, and then also the FA line which provides a connection from Raleigh over to run a graphics[sp?] in Weldon, and we wanted to preserve that quarter strategically as well. Yes sir are we the ones to do the [xx] Yes sir, that's us Any other question? [xx] this and that, how long this come news to me? When invoke in pen so
it's presenters kind of what do you think has come in? As part of a strategic orders they've said they're very interested Wafa[sp?] to care for him from avstaff level and from my expert level, he tries leaving freight they gave that quarter bit of words in their report. And half approach is going to be dcoordinate with members of congress as well as DOD and see, don't they want to invest in it as well any additional point? Yes sir, it's flexibility discerning point as well as [xx] and forwarding connecting to accomplishing yes sir. If I may I want to [xx] come Beijing for about 36 years and when we confirmed that the reporter when can be available. Now it costs 10% from Labor, I'd see that sooner [xx] if this was restored it could be there in half the time that it takes to get there now so it's something that DOD is very interested in especially when they have a rapid performance so, Thanks sir. Another view of round vision, we have four major sections of division where planing and development which handles the environment of documentation, the long range planing, a real plan, we also have an engineering co-ordination the large study projects as well as our safety oversight. Designer construction group works as far as reviewing and overseeing designing construction at low project throughout the state and then we have great, that managers and operators are trained [xx]. We have 48 stadium We have 4 temporary employees and 64 private constructors that are part of our daily activity. The other division has this worked really well as far as onsite and use of private engineering firms helps us carry out our missions. The money that has come to the rail division has often been in grants for special funding and being able to step up with the things we need with private engineering firms, they carry out their work is really important to the railway division. So we have been able to make great use of that because as you can imagine you can't just of the street they can plan and design a rail road. So overview on state funding this is our 2015 budget. You see the largest amount of our funds is called contract services and that's used to pay for our passenger trains, the end this is Wallace the private contractor that is selected and by NCDOT and is underway to maintain [xx] rolley at our state there's still nothing. We also have a, you see they follow a copy fixed money, they play well on real costing safety money there as well as our next large areas capital safety and are some of the smaller projects as well as design and project match and coordination with the railway on a number of safety projects around the state. That's an overview of our budget very few of our phones are unencumbered as of this month and we will be looking into encumber of the remaining phones there as we move towards the end of fiscal year. Operations and maintenance we'll have to take them provide some overview on operation and start place for the whole division, one of the things tat we've done with the STI project our initiative coming about is better defining our capital projects and defining our operations and maintenance, so what you see here is a line and it goes back to 2008 and includes projects that we did on the North Carolina railroad that my have been tyre replacement or rail improvement or other efficiencies to the railroad that enables us to have more efficient speeds and high speeds fro passenger servers, we also pick the beat around 11 and 12 before we have the agreements for the FRA glance as we were trying to get these projects ready to go back to the street and that was generally the much that we've committed with some of that money over time as we [xx] money has been under used and we've gotten the c max money that congestion mitigation air quality funds for the operations of the train see it deeping down, and then you then see it's moving up as far as the addition of the forth and the planned fifth frequency as well. So that is generally the overview of operations and maintenance were going through a process of better defining what we see and projecting it in the future and I feel pretty good about our numbers and you'll see in a little bit how we've been able to reduce some [xx] projections are based on better this are varied numbers. This is our capital funding, we call this the grant, the [xx] improvement program, the PIP peak as we got the, around the $545 million $546.5 million and have
already grant and the state funding that went with that. We have a huge pick there and still using that funding and I'll show you some of those projects as well. This line graph also shows the correct rail crossing safety improvement funds as well as federal crossing safety money that we used in the department of transportation around £6.5 million a year, and that takes WA money to go to great costing signals, crossing closures and the like. We have been working on a state rail plan, a strategic rail plan on one that we've done, and I believe since 2000 or so, and we have some recommendations coming out of this, and this came along at a really good time when also, And we have some recommendations coming out of this, and this came along at a really good time when also the Governors 25 year plan and was being developed in the STI we really see the real plan as raising the 20 division of 25 year plan starting to look at more specific projects, costing us out, getting stakeholder involvement and moving those towards development into scoring for the strategic transportation improvement program. You'll here me talk a lot about safety, we're very much in the crossing safety, rail safety, improving projects, that's the main thing you have to have as far as the rail system for both frail and passenger and the communities along them, capacity improvement near in a model terminal is also defined in a model the boxes that travel on the trains that is going to be the continued wave of the future for every package we order from amazon.com or Lud or whatever, the need for a motor is going to continue to rise, we have been evaluating and looking at competitive inner motor services to East and Northern Carolina you saw that 995 quarter something that we're very interested in we think it lies in a very strategic place they both helps the east as well as serves the triangle and those consumer areas there as far as the market goes. We have looked at bypasses and we'll be studying further bypasses in New Bern and Mooresville city on the North Carolina road company quarter and coordinating with the company on that as I mentioned earlier, the partnerships on walls the capital hang and the serving and supporting our energy needs around the state as they come on line and preserving quota. So we're trying to make the most of the opportunity that we see and that's where we want to go their is an opportunity with a moving freight moving people moving energy that is what we want to try to do on the rail Looking at the freight program, and you'll see here that quite a bit of funding that is eligible under the freight rail and rail crossing improvement program as we project out in the rail plan, their's a lot of bridges a lot of calls not even bridges, bridges have got to work as we know from the highway side on the railroads bridges can shut down and do a good railroad, and so we see that as a need a continuance the rail roads are competitive 286000 pounds cars being able to accommodate those over bridges. Also rail structure there as well, that's where you get into tires and surfacing. Hardening the railroad as we say and then other needs such as our trans-loads. Then some individual projects that have been identified, a section of the HCWR and Charlotte that I'll talk to you about further. If you like later on, but we got some more specific projects there under the rail plan. Looking at the further on the freight program, and what we see through the STI program on the freight rail roads, class one freight railroads, these are some of the projects that our program in the TIP is part of STI, and the way they breakdown as far as a state and these railroad projects bring a good match from the class [xx] as well so. We're very pleased about being able to bring that and match that and make the dollar, so this is what we're seeing and a very vital passing side for CSX. Also under the real plan for the passenger quite a bit about Southeast quarter and the continued development of that, implementing the fourth and fifth frequencies as far as the Piedmont Improvement Program we want to be able to add stops, put more people on the train, sell more tickets, continue to improve travel times and efficiency on that quarter multimodel stations so that people can move easily around the trains by [xx] and [xx] and along come securing that ISIN quarter and not building it but securing it here in the near terms that they can not be there long term for future generations. It's all in new markets let's connect more buses to passenger
rail, maybe we can try to grow some of those markets, try to get more people own the trains, it's a long very costly thing to extend these new services. We need to make sure that the market is more mature, more serving them and providing an opportunity and in the mean time to use, again going back to using the most efficient mode the bus connection to train is one that's working and another crisis and we want to do that in our State as well. We'll continue to conduct some studies and some evaluations to maximise that. On the your program what you'll see hear is the some of our near term projects as well as long term, the WiFi project is going to be on hopefully we are on scheduled for that to be in spring. We have a contractor on sight underway installing it in our NCDOT equipment and so it will be their and we are really looking forward to having that one in place how we paying for the on going maintenance on it is we have raised our amenities charge we've been charging 50 cent surcharge per ticket amenities and we're also going to raise that to a dollar and so we think 50 cent WiFi is a good thing that would pretty much pay for itself, it will pay for itself future operations . We have to upgrade our trains for positive train control so trains can see each other that's has been a national Issues or trains don't run overspeed into each other. Our trains have to have equipment on its well, we are working with a few communities such as Hills Parol, Airsburg, Washington are all stations and in engaging them and their funding as well to match our NCDOT and compete with in the STI program for funding and they agree those projects and then you get into the long term plans requiring implementations of the Southeast Quarter, very much long term the to year 2030, and all out. So, this is a long term plan as well as new [xx] objectives as well . Now the key minor improvement program. So in 2009 we received $546.5 million in FRA grants to carry out projects that are in the area of capacity safety, and improvement of the rail service, so that we can continue to third frequency add a fourth frequency and then also capacity for a fifth frequency train. That is between Charlotte and Raleigh, and also some projects on the CXX line North of Rocky Mount, and so I'm going to walk you through, and talk to you some about these projects. The PIP program Piedmont Improvement Program had five station improvement projects. Locomotive and car maintenance facilities, refurbishment of North Carolina owned equipment a 12 grade separations, a 24 public crossing closures and is also private crossing closures as well. Capacity on the railroad curve realignements and 12 miles of new highways to support these great separations and make safety improvements. When we started out with this program us different from other states that have got this money. Our number one objective was safety, if you don't have a safe railroad it's certainly not one a sufficient parking [xx] capacity on it so we look to with all the work that we've done over years preceding this program we've developed great separate crossing consolidations and work with community to implement that and modernize this railroad which serves both [xx] and passenger were improving reliability improving capacity on the rail road and that also reduces how the train delays. Here is what we've spent to date, we are more than halfway through the grant funding we have to spend an have the grant funding reimbursed by September 30th 2017. We're on track continue to do that larger projects are being that and underway and being built and being endorsed by the Federal government so we are more than half way there and you'll see that number increased quiet a bit over the years as you know there is a lot of construction under way out between Rally and Shallot and I'm going to show you me that now, if I go too fast, tell me to stop, but we, our first project is Morrisville Parkway near Cary, and Morrisville We're building a grid separation putting the road weight underneath the rail road and the new railway bridge will conduit two tracks as well as free flowing access keeping cars away from trains and keeping trains away from vehicles is a good thing there. Going West our second project is the Hopson to Clegg double track and Hopson Road Grade Separation. You'll see that this is the grade separation that's being built. The track is going over Hopson Road you see the Hopson Road correct that grade crossing in the background there were three technicalities with that crossing back in 1993. We're able to realign the railroad over the road.
This is at the RTP. A lot of development in that area and a good project. We're also you see where we are realigning a and building new tracks there for the passing side so this is some of the work underway. Moving to Hall River two mile signing between that is to have additional capacity and have a padding on the North Carolina Rail Road before there is a 20 mile road stretch but there is no passing side but also removing a curve, the curve was there because there was a big hill in 1850, and so we're having to go through and excavate that, and flatten out, and modernize the railroad, and you see some of that at earth work there. Then we get into the main line double track where I told you the very heavy travel, heavy train travel between Greensboro, Charlotte or Norfolk Southern. This is the, what we call the [xx] Lexington double track, building four miles of double track and building grade separation. At the top of that picture you see Moten Mary had a quarry and they were using that at [xx] a number of trucks now they are going to go over great separation connecting high [xx] as well as high [xx] business including that [xx] great crossing that is open to traffic and so we're really pleased another great separation that you see at the bottom of your screen trying to road, that provides access to datas in counting landscape in counting, a lot of traffic on that road road and being able to take that over the railroad, but you see the railroad, but you see the grading that is underway for the second track and the rail ornament are often distance as part of that [xx] from our project. Again this is track construction. A bridge is being rehabilitated so that it can carry a second track on this line. This was railroad that had two tracks originally before they rationalize some of that out that were replacing. This will be fully double tracked between Greensborough and when the project is done in 2017. The road depth construction is being done by NCDOT with its private contractors. NCDOT resident engineers, consultants and employees are managing the, as well as our contract consultants are managing the, highway contractors that are now building road bed, and so this is something new in North Carolina as far as developing that industry and they did some really nice looking work. Another project at [xx] [xx] has been the big curve if you're familiar with the Vereran Memorial Bridge the [xx] river we relined the railway curve we made it more efficient underneath that [xx] bridge and you see that and taking out the old track because that project is now complete. Moving further south we have a project we call region Kannapolis, Solberg to Kannapolis. As part of that we're building a great separation under railroad at Solberg. Over the years we've crossed around nine closings today and this is NCAT delivering on the great separation that will connect the downtown [xx] 85 and check Alexander drive out to the innnerstate so a good project for Salisbury they have been waiting for a long time this is grading between [xx] and [xx] the [xx] contractors building the road bend on North Carolina railroad and they are providing flagging and watching and over site on the project while we our folks are out there building and working within there environment so we're very pleased with the way our divisions and contract have been able to adapt and work on this new kind of project in our state. Some of the grading that underway on a South [xx] well I say that's pretty work. Pure road grade separations. Another grade separation South of Salisbury. This is a road that connects ID5 to US 29, a major route as far as locally, and being able to take that up and over the railroad and connecting that to another a new realignment is a good project in that area and you see this is underway. And then the final large piece of project that's under Harrisburg Charlotte you see were building 12 miles of second track there, and a number of grade separations. We started out, we went to town of Harrisburg, and said we planned to leave some closings open and grade separation in closings, and they said hey, why won't you work us and see what what we can do. We got some projects we'd like to get built and some of the things we planned over the years. So we sat down, we came up with this program [xx] is a road is a project they've had on their TRT and there local needs fro a long time, and it's been delivered as part of this program. And a number are pulsing are being closed as as well as recover road, great operation just showing you a lot of pictures of regions but you see there's a lot highway work in this program. As well as a farm mill road a great separation
to and interchange with NC49 which improves both the railroad and NC49. Road dead grading between [xx] this is a real learner, the rollers he writes and then a truck construction underway on new unfinished road bed. Were track construction it's like showing baby pictures I'll go through them and that's it wont subject to any more of it those are some of the projects but that's it for the [xx] I'm sorry I got still some work [xx] OK go ahead [xx] The freight rail or rail crossing safety improvement program were very fortunate to have the dividends for the North Carolina railroad that you we're allocated to the department we feel that we have done a lot of active work with this particular monies for our short lines and state as well as safety we've been able to allocate money to projects on the short lines as well as industrial rail access and improvements at our ports. We receive $19.2 million and 2014 that include the one time payment of 15 million from the NTR[sp?] and we use this for safety and industiral access as as improving our short lines we have two programs that had been lawfully[sp?] under funded for many years and this program is allowing us to move forward thanks to that funding to carry out more show on improvements as well as industrial accessing connecting industries to the raw road, bringing jobs to people. Also diverting freight from our highway system to rail. These are the different classifications of projects that we need that we fund is based on needs is based on eligibility and methodology in choosing projects. Its a state where program we have done well being able to distribute the projects throughout of the state in various categories. This is the 2014/2015 funding allocation, you'll see that there's money both in tracking for structure and improvements crossing safety pretty much spread it out a lot of good projects that were able to move forward with that funding and then this is 2015 and how we propose to split that up and we're delivering there, again projects at Mohit city and Wilmington to help with the port as well as its connection to that industrial access, leveraging dollars gone back here if you look here, we've been able to leverage with $22.9 million some pretax money, 21 million dollars of other investments, so we make $22 million in the 44 and that's pretty good. Future needs I'm going to go back and talk about bridges. A lot of bridges that need upgrading, support of new [xx] and a model terminals and going back to that real plan [xx] we talk about $43.5 million most or our projects over the next five years, that's the most our transportation needs in the States. Guess know-legibility where we have to identify that. The STI does not fund, lend a soft funding in a middle projects so that 's an important thing that we can use for fix a part for and also we have a great chance we'd talk about it take economic contributions to the state, but the state always offer crack improvement it's costing [xx] one freight. Passenger operations, you hold me cope for the last couple of years about the who we call section 209 of the passenger rail improvement and Act of 2008 we cope for real and it's sounds about like it is. What it does is just establish a processing methodology for state payment to M-Track. It costs us it has caused our funding, our program to increase in our cost. We have continued to work with AMTrak and other states and to lead other states in continuing to ask for transparency, cost reduction and innovation from M-Track and continue to do that. The way the formula works, it allocates direct and shared costs for the services to the states that run the state sponsored services and those are the Carolinian and the pigma in North Carolina As we look at the operations funding forecast in 2011, we gave you a higher number. Walking through those numbers, trying to be more efficient using funding sources such as SEMAC were able to reduce that, but still you see this is on upward trajectory for calls to delivering passenger service in our state. The SEMAC we one time had an old staff for the third frequency, federal legislation got that back for that midday frequency and it eligible for your own [xx] as long as there is see my program to be able to find that. We're also using that money from marketing of the trains. We want to raise the visibility and put more people on trains and that the mark will be eligible for this 4 frequencies that work to run but it's only eligible for the first three years. So we would be complete in transparent about the expectations of that funding as we look at the teemath[sp?] route performance these are the
four trains four two round trips four trains that run between Roller and while we have a very high customer service rating, I have to tell you that this training's are not cheap to run as we looked at our passenger revenue trying to maximize that using the c-max money and the state real fund we're still looking at an expense around $13 million, $13.9 million a year to carry 169, 170, 000 passengers, So we see the ridership increasing this is, one thing that I want to note on the [XX], this is a developing quarter between [XX], we've seen the ridership took up over the years as well as change and evolved and we'll continue to see that but this is a long term developing quarter for the [XX]. The Carolinian certainly looks better, Carolinian goes to Washington DC and New York city, we have a good amount of passenger revenue on that train, we are able to come down to being able to have a fair box recovery ratio of 89%, in SF1-2014 so what are we during the fat [xx] calls? Continue in the move forward something we think about everyday and we walk on everyday. We've done things such as we have a connect reverse service that works, runs between light silem on the train, we've been able to shift that over the port we've been able to go on and look it costs that involve in train stations that should be allocated and tracked soon them bill. We've reached tractor service such as our call centers and also we're generating for amenities for PMAN and adding in [xx] as well. We have implemented like they have strategy to look at market pricing and light pricing for our services around the state. Looking very closely at the buckets, they are various funding options and the fare options rather for the train service as you look at you get different fares on airlines you get different fares on the passenger trains and so this really the responsibilities to us to try to maximize where we can charge the most for a ticket when the demand is there and then if the demand is not there just try to see the seat. and so we see that those fair strategies are paying off for us. Some we've seen 2% increase over last year and the feed mark. We've had lot of annulments and outages but this far first quarter of 14 and 15 were seeing a 4% increase. The Carolinian was off a little bit. We started charging more for our tickets on Virginia on that peek on line. We know that there are customers that are looking at a term trip versus a call's trip and we started charging for that, and that has backed out some, but we see also that this year we have an 18% increase without the annulments and some of the interruptions we had last year. How are we reducing costs more? Again we've increased revenue on overall 11% and writer-ship 4%. Those efforts continue. We did an on board and general public survey. We wanted to find out what was important to our customers, what's was unimportant to our customers, and what they might pay for it and what they might not pay for it. We will need to do a general awareness survey which we have done to look at what do people know about the trains. What do they need as far as services, making sure that we are getting the people what forces opportunities. These results were using that and I'm marketing efforts to re-market tools obvious the first strategy. So you only know about the immensity, we charged for WiFi we charge for a bottle of water and we charge for coffee on B max and the Carolinian and that is being raised we are also looking at reservations and efficiency and generating more revenue. We've talked about legislation that would be very important to rail division to be able to have commercial ventures with partners and in a rate to contract to generate more revenue to all states, some of the states costs and we see that as a real good opportunity for the key man and cleaning in services and we have, we can put that in our bags of tools to try to reduce our cost. Need term to the 3 years we continue to look at station staffing and on boar crew. Efficiency, looking at the number of studies time motion as well as what's the needy, what does the customer want. What kind customer do without looking at what kind of savings we can have some of those crew changes and working very closely with Em Truck Service provider in doing that. Also looking at what's the best way to sell our seats, completing the station in Uruli, and we also feel of completing PMR Improvement Program will improve reliability and the ability to market that service as well. Long term, 2017 and beyond there's interest in stations in [xx], Lexington and Hillsborough, we see that as opportunity to put more people on the service, partnerships that would need
to be in place with the local communities to help fund and operate the stations will be essential to make that a success, a pillar services more people through the buses I talked about earlier, making the six stations even more efficient. What you really need is a station in order to serve the service. Effectiveness and efficiency on our equipment, and how can we streamline our procurement for operating these trains? How do we compare nationally from the data we have from Amtrak because they do track the data for the national trains worth 78% from all of our trains as the national average of 60% for the revenue sources expenses but when you take a look this is the pure straight up number [xx] the overall cost is around $44 per person [xx] down to $13 per person subsidy and when you get into a three year average and the combined, you're at $24 if you consider both two [xx] We asked our passengers where do you go to? What do you do on the trains? What's important to you? We can market accordingly the number one area was tourism visiting friends visiting family. We have a business sector that's growing and [xx] will continue to grow but it does not drive for service as well as a lot of school trips between universities along the quarter. We also asked people we said well what would you do? How would you go if the train wasn't available? 68% said they drive a 16% said they stay home and they were 4% they would fly a plane to Charlotte. So we market we market we work we work very hard we team with amtrak and with others to promote this train we target our key groups we look to try to increase ridership and lower performing town slots working with our communication folks to have an add campaign and a media plan to show the benefits of the service and what it can provide to the State. We have already been able to tap and to enlarge college population as for our seniors as well our family groups and tourism discounts that we've looked at utilizing social media quite a bit and reaching out the businesses and commuters. One thing we heard from you all last year was market the training and we've been very hard at work this year marketing and you'll see it pick up next year coordinating and present owner the colleges along the quarter as well and then also we go out our train host our volunteers go out, at community festivals and this is some of the community festivals they were at as well as the blue graph festival reaching people, and marketing the training and getting the folks that are interested with this, interested young folks more warning to our train and try to market on that and getting the brad in their head we have partner with on the state air train we have over 3000 passengers this past year on the state fare stop and that continue to be and then we have a great program on rail safety and outreach and we do a better State fair as well. Volunteer trainers, we have volunteers that have been working on the trains and serving us persons so there're sensation in 2014, there were 7800 volunteer hours, we didn't have to pay for any of that. They were ambassadors from North Carolina and the Governor declares trainers day on March 6 and we recognize these individuals for their contributions for that time and I'm finally through. Thank you Mr. Walle. Any questions from the committee? Chairman Ali. Well, I heard you set a record bar with 85, 5 [xx] this year. I don't want you to go back to slide [xx] on [xx] you mentioned a Wilmington project, the [xx] believe $50 million where I think we've committed time I like the procure more about that cause at last week they were here, and talking about the 31 great persons lines through Wellington, and really wait to survive past that is the bridge cost [xx] or whatever, but [xx] about it. I'm a servant Representative Ford. Thank you Mr. Chairman Ask two questions, If you don't have anything to [xx] want it with the track, Campbell Road and China Road glance the overpass, underpass, they're still, the plan is still the Southern Avenue, Capital Street which is [xx] and the other is that the waistline [xx] and the shelter bridge from [xx] Yes sir we are looking
to as far as the connections for the Kimbo road we have been working with panda ovia and the division trying to find a way to fund that extra section of road way we tried to fund it out of the error improvement that wasn't eligible because it was awful that and that will come out in the high way program. So I can follow up and get you some more information on that on the sugar bridge, that's the municipal bridge project. I think we have been, I don't exactly the latest on that, but I know we spent quite a bit of time working with the city and doing engineering all that Tipper bridge is going to require a bridge, I believe one of the biggest issues there was [xx] morning the additional rooms space for trucks, which drove that cost up and so that project has continued to not move forward on that but I can get you some of the latest but I believe it's pretty how much at a stand still right now. Any other question? That you Mr Wirl[sp?]. With that being said, our chairs on the half side have decided we're going to break away and that we will not be meet jointly anymore after today. We will have a meeting on the house that next Tuesday at 8:30 so I will leave it up to the senator Meredith and senator Raven [xx] really want to go from here, we want to go a head and break and meet together so we can start our instance from on the budget and so forth and I would like to thank staff and Sergeant at Arms and all the presenters this year who presented to us, Joey[sp?], we thank you, it has been a great presentation and we appreciate you all meeting with us and so forth and if you didn't see your email, senator Raven has sent quite an interesting email that he got from South Carolina where the governor's going to veto the senate and the the house plans, for raising revenues in South Carolina to improve road infrastructures. So you might want to check your emails I thought that was quite interesting. So he's not with us but he is thinking about it anyway. Any other question for the committee, any comment? Well if not meeting is adjourned.