Fleet Management & Planning

Fleet Update

Fleet Management & Planning Fleet management goals Our provincial fleet Fleet replacement plan New bus procurement update and 2016/17 projects Industry technology trends Fleet operational updates Supply Services and Fixed Assets updates Five-year look ahead

Fleet Management Goals Leverage partnerships to effectively manage a large pool of vehicle assets distributed throughout the province: Reliable & Safe Efficient & Cost Effective Maximize Utility Right Fleet Share Risk & Benefits 3

Bus Classifications High Capacity Heavy Duty Medium Duty Light Duty Double Deck Cutaway OEM chassis Low floor Low floor Low floor / accessible Low floor or high floor accessible Estimated total passengers: 100 Estimated total passengers: 70-80 Estimated total passengers: 50-57 Estimated total passengers: < 30 Typical wheelchair positions: 2 Typical wheelchair positions: 2 Typical wheelchair positions: 1-2 Typical wheelchair positions: 2-4 Planned lifecycle: 20 years Planned lifecycle: 13 years Planned lifecycle: 10 years Planned lifecycle: 5 years Length: 40+ feet Length: 40 feet Length: 35 feet or less Length: < 35 feet Annual operating hours: 2,500 (max) Annual operating hours: 2,500 (max) Annual operating hours: 2,500 (max) Annual operating hours: 2,500 (max) Annual mileage: 75,000km (max) Annual mileage: 75,000km (max) Annual mileage: 75,000km (max) Annual mileage: 60,000km (max) 300,000km life Not componentized Ultra Light Duty category coming soon

Fleet Status April 1, 2016 Total Fleet Size: 1,061* High Capacity Bus Heavy Duty Bus Medium Duty Bus Light Duty Bus Bus Type Quantity Bus Type Quantity Bus Type Quantity Bus Type Quantity Double Deckers 69 Nova 285 35' Dart 80 ARBOC 332 New Flyer 207 30' Dart 45 Gasoline 10 CNG 50 Vicinity 15 Polar 14 Sprinter 7 International 7 Total 69 Total 492 Total 140 Total 360 *includes contingency fleet

16/17 17/18 18/19 19/20 20/21 21/22 22/23 23/24 24/25 25/26 Fleet Replacement Plan 220 200 180 160 24 High Capacity 140 120 100 80 60 66 33 67 21 17 113 10 104 11 15 9 113 24 Heavy Duty Medium Duty 40 20 41 72 58 89 72 58 89 Light Duty 0 0 Does not include any fleet required for expansion * Rightsizing and life expectancy considerations will impact the type of bus and the year of purchase

Replacement Planning - Refinement How does BC Transit plan for bus replacements? Factors to consider include: Rightsizing NPV analysis Industry feedback Performance of incumbent fleet Extrapolation of component mileage at replacement Information feeds into the Long Term Capital Plan.

Fleet Replacement Phases Replacement Planning and Delivery Timelines Long Term Capital Plan 10 year look-ahead Refinement - Right Sizing, Performance Assessment 2-5 years before procurement Business Case Development and Funding Approval 2-6 months Bus Procurement Project 18-24 months 1 2 3 4 5 6 7 8 9 10 11 12 Year

New Bus Acquisition BC Transit has contracts in place with multi-year options for future procurement for the following bus types (subject to mutual agreement on price/schedule/specs): Bus Type Contract Options Heavy Duty Diesel (Nova Bus) Up to 2021 Heavy Duty CNG (New Flyer) Up to 2018 Medium Duty Grande West Up to 2021 Light Duty ARBOC Up to 2017 Light Duty International Up to 2017 Established fleet alignment principles will be maintained

New Bus Projects 2015/16 Projects 2016/17 Planned Projects ARBOC (83) Nova Bus diesel (40) New Flyer CNG (25) Internatio nal (6) CNG Heavy duty diesel Medium duty Vicinity (41) Light duty review Expansion: Light Duty Medium Duty Heavy Duty

2016/17 Projects CNG Strategy In Service Review Nanaimo - 25 New Flyer Xcelsior in service Spring 2014 Averaging ~150,000km per bus Kamloops - 25 New Flyer Xcelsior in service Spring 2015 Averaging ~60,000km per bus All performance measures indicate CNG is comparable to diesel: Reliability Maintainability Delivering operational cost savings, driven by downward trend of natural gas fuel price

2016/17 Projects CNG Strategy Nanaimo 24 additional New Flyer CNG buses on order. This will make Nanaimo s heavy duty fleet 100% CNG. Delivery planned Q4 2016 to Q1 2017 Fueling station upgrade (3 rd compressor) Planned completion September 2016 Kamloops Full analysis underway for an additional 19 CNG buses Business case to BC Transit s July Board meeting (submission to Kamloops Council to follow) No additional fueling infrastructure required

2016/17 Projects CNG Strategy CNG Fuel Pricing is dependent on region. BC Transit operates in three major FortisBC regions: Whistler Vancouver Island Mainland & Interior Rate harmonization planned over the next two years, resulting in one rate regardless of region. CNG cost typically less volatile than diesel.

2016/17 Projects CNG Strategy Development of short-term and long-term CNG vs. diesel strategies. Considerations include: Fueling station options fast fill vs. slow fill Incumbent fleet performance Location Facility constraints Fleet size NPV analysis

2016/17 Projects Medium Duty ~130 medium duty buses will require replacement in the next five years: 1999-30 one-door Dennis Darts 2000, 2001, 2002-35 two-door Dennis Darts 35 two-door Dennis Dart

2016/17 Projects Medium Duty RFP posted summer 2015 Followed by evaluations and negotiations Thank you to those involved in the RFP development and evaluations! Contract awarded to Grande West for 41 Vicinity Buses 30 model 2 doors Up to 44 passengers 2 wheelchair positions Cummins & Voith powertrain

2016/17 Projects Medium Duty Planned delivery schedule and strategic rollout Delivery beginning first half of 2017 Final locations still TBD Implementation plan: Training operator/mechanic Communication/information Parts Future contract options for 30, 35 and CNG buses Single-door 27.5 buses (15) already part of provincial fleet and performing well

2016/17 Projects Light Duty Gasoline ARBOC GM no longer produces a diesel engine option for the ARBOC chassis Ten gasoline buses in service since January 2016 Salt Spring Island Merrit Bella Coola Terrace/Prince Rupert Increased seating Initial indications are that they are performing well

2016/17 Projects Light Duty Classification Review Several new chassis options on the market Addition of Ultra Light Duty category Considerations/functional requirements: Fuel type High floor/low floor Operating costs Input from Local Government and Operating Partners

2016/17 Projects Light Duty

New Bus Technology Industry Update Voith.6 transmission Electric buses Edmonton, Winnipeg, Brampton trialing this technology Latest EPA Component Trends Electric doors Electric HVAC SmartBus see Transit Technology presentation for more information

New Bus Technology - CUTRIC Canadian Urban Transit Research and Innovation Consortium Objective: to support industry-academic collaborations for the next generation of technologies for Canadian transit systems CUTRIC has presented a five-year program including electric bus pilot projects to the Federal Government with a request for $185M in project funding support. Discussions are underway between CUTRIC and the Province for additional funding support for projects in BC. Benefits of BC Transit participation include: monitoring and influence of transit-related innovation in Canada

Operational Updates Fleet Fleet moves Contingency fleet Capital Programs TED Refits Darts Maintenance audits Maintenance support Maintenance Managers Photo Skyscraper Source Media

Fleet Moves Support expansion, replacement, refit projects and contingency support of fleets throughout the province 394 moves completed in 2015/16: 154 new bus deliveries 80 other (TED, refit) 60 realignment 60 disposals 40 contingency buses ~300 moves planned for 2016/2017

Contingency Fleet Retired buses from the incumbent fleet Historically used to backfill long-term bus down, accident, etc. Used to support TEDs, refits and Dart programs Contingency Fleet Buses 2016/17: 18 New Flyers Up to 26 Ford Polars 13 Dennis Darts

Contingency Fleet Transition Three year plan continues to support the provincial fleet Improvements to Project Management schedules Evolving composition reflects needs of the provincial fleet Reduction in Darts Introduction of ARBOCs 2016/17 2017/18 2018/19 QTY Type QTY Type QTY Type Heavy Duty 18 1996 Flyer 25 1996 Flyer 25 1996/98 Flyer Medium Duty 13 Dart 8 Dart 4 Dart Light Duty 26 Polar/ARBOC 15 Polar/ARBOC 15 ARBOC Total 57 48 44

TEDs 2016/17 0% 8% 17% 25% 33% 42% 50% 58% 67% 75% 83% 92% 100% Trans 4 2 33 39 Complete WIP Engine 3 2 17 22 Incomplete Actuals Diff 5 5 38 48 Forecast Variance Overall 12 9 88 109 2016/17 Budget $.49 M $2.96 M $.14 M $3,585,278 Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Subject to change due to premature failures

TEDs 5-year look ahead 160 140 120 54 100 80 60 40 20 0 52 66 39 24 29 22 54 37 71 43 46 27 20 11 16/17 17/18 18/19 19/20 20/21 Transmission Engine Differential

Body Refit Program 2006 Nova Bus refits in planning: Scheduled for 2016/17 2007-2008 Nova Bus refits to follow Refit duration: estimated at 2 months 2004 E500 refits underway Refit duration: 5 months

Dennis Dart Life Extension Program Started in 2011 Original scope: Interior/exterior/undercarriage 68% of 30 Darts completed 100% of 35 Darts completed Present scope: Focus on 35 Darts Undercarriage repairs Dart Condition Assessments 35 Dennis Dart front end, before (top) and after (bottom) undercarriage repairs

2015 Fleet Inspection Review Inspection plan: Conventional systems (or buses): twice yearly Custom/Paratransit systems: once yearly Inspection goal for 2015/16: 72 New inspection goal for 2016/17: 84 Total = 64 Total = 65 12 14 28 29 Total = 72 15 33 Total = 78 17 33 24 22 24 28 2012 2013 2014 2015

2015 Maintenance Support Training and Technical Support Provincial training sessions coordinated: 16 Certification Courses: Voith & Cummins Maintenance training for: maintenance providers, major components, new buses (CNG Kamloops, Internationals) 2015 annual Maintenance Workshop held in Prince George Campaigns released to address service issues: 36

Supply Services Physical warehouse spaces in Victoria are being reorganized; Supply Services team is working to minimize any Regional Transit System (RTS) impacts. RTS parts supply model under evaluation to provide better service to operators and improve efficiency across the Provincial transit system. BC Transit is actively working with vendors to improve local stocking levels and reduce RTS lead times.

Fixed Asset Management In the 2016/17 fiscal year, BC Transit will conduct a comprehensive facility assessment across the province: Capacity, condition, location, and environmental sensitivity Outcome: a prioritized list of facilities that will be the foundation for annual capital planning Facilities are an important consideration in CNG deployment Fueling station Workshop requirements/upgrades

Issues Facing Fleet in the Next Five Years Emerging technologies Resource and financial investment in technologies requires long term commitment End of life buses 17 year old medium duty buses 20 year old heavy duty buses Fleet standardization

Where would you like to see our efforts focused? How can we improve? Questions?