FINANCING URBAN MASS TRANSPORTATION SYSTEMS: A STUDY OF ALTERNATIVE METHODS TO ALLOCATE OPERATING DEFICITS

This study examines allocation procedures to apportion transit operating deficits among user communities. These allocations were formulated in terms of allocation plans that incorporate factors to identify, accumulate, and distribute costs to a final cost objective. For urban transit systems such a plan combines an allocation performed within the system for cost determination purposes with an allocation that assigns deficit amounts to parties external to the system. External deficit allocations consist only of an allocation base; internal allocations consist of a cost hierarchy, an accounting technique, and an allocation base. An experimental environment is created to apply alternative allocation methods under identical operating conditions by using a computer model to simulate a transit system. Deficit amounts assigned to each community served are then examined to determine the effects of alternative allocation plans for the computation and distribution of transit system operating deficits. An analysis that focuses on the amounts allocated to individual communities shows that a high degree of variation is produced by alternative plans for allocating a transit operating deficit. Another anlysis, which views each allocation plan as a single variable, reveals that plans that employ only an external deficit allocation and plans that use a systemwide average operating cost produce results distinctly different from plans that do not employ such procedures. (Author)

Media Info

  • Media Type: Print
  • Features: Figures; References; Tables;
  • Pagination: pp 31-39
  • Monograph Title: Public transportation planning and development
  • Serial:

Subject/Index Terms

Filing Info

  • Accession Number: 00316666
  • Record Type: Publication
  • ISBN: 0309029902
  • Files: TRIS, TRB
  • Created Date: Oct 27 1981 12:00AM