2009 Budget Actions July 15, 2009 Chicago Transit Authority Slide: Original 2009 Budget Action Items Position Reductions - 396 Positions were eliminated in the 2009 Budget saving $4.9M in labor costs CTA Raised Fares on January 1, 2009 generating approximately $39M in increased revenue. At a time of economic crisis where our customers need our services more than ever, CTA has maintained our service Slide: Actions to Fill $155M Gap Expense Reductions: - Lower Injuries and Damages Reserve: $10 M - Labor Savings: $3.8 M -- Vacancy Eliminations, Reduced Overtime, Bus and Rail Schedule Efficiencies - Fuel Savings Through Bus Schedule Efficiencies: $ 200 K - Power Savings Through Rail Schedule Efficiencies: $300 K - Reduction in Non-Revenue Fuel : $ 990 K Proposed Revenue Increases: - Preventative Maintenance From Capital: $128.6 M - Additional RTA Funding: $8 M - CTA Sale-Leaseback Funds: $2.8 M Slide: Monthly Variances Thru May Jan $1.558 M expense variance, $2.341 M revenue variance Feb $6.777 M expense variance, $2.209 M revenue variance March $8.515 M expense variance, $0.682 M revenue variance April $5.762 M expense variance, ($0.853 M) revenue variance May $4.270 M expense variance, $1.075 M revenue variance Total $26.882 M expense variance, $5.481 M revenue variance Total Thru May: $32.363 M Slide: Ongoing Budget Management Efforts Labor - $12.2M in savings - Reduction in Overtime - Delay in Raises for Exempt Employees - Hiring Freeze in Early 2009 - Furlough Days Materials & Fuel - $5.8M in savings - Parking of NABI buses - New Buses Other Expenses -$16.7M in savings - Reduction of Non-Essential Travel and Seminars - Decrease in Cost of Utilities - Reduction in Cost of Equipment Maintenance Services $34.7 M in Savings from Cost Controls and Efficiencies Slide: Proposed Actions to Fill $35.2 M Gap Maintain Cost Controls and Efficiencies - $34.7 M in savings through June 2009 Projected Ridership and Revenue Increases - $0.9 M projected as a net increase to system generated revenue [END]