By Ken Presley
One of the more frequent inquiries I receive here at UMA regards public transit likely violating the charter service rule. Unfortunately, too many operators fail to comply with the rule themselves and are therefore foreclosed from pursuing any remedy. In other words, yes, the public transit performed a charter and there is nothing anyone can do about it.
During negotiations, it often becomes abundantly clear that most local public transits see their role of facilitating local groups as part of serving their community along with the opportunity to promote the use of public transit. Few transit managers appreciate that the “free” equipment they utilize, thanks to generous federal, state and local capital grants and tax subsidies that disguise the true cost of every ticket purchased, creates a decidedly unfair advantage for local charter bus companies. Combine these factors with the federal government’s century-old interest in seeing that the public’s transportation needs are served, primarily facilitating commerce and basic needs.
In 2008 when we negotiated the current revised charter service rule, Congress mandated the committee consider how “the administration and enforcement of charter bus provisions be better communicated to the public, including the use of internet technology.”
Many will recall that prior to the charter service rule revisions, there was a requirement to notify local public transits of your “willing and able” status. In negotiations, it was decided to replace the “willing and able” requirement with an online registration that obliged the registrant to update their information every two years. Private charter operators could register their companies and designate those areas they were interested in serving.
When a public transit organization receives a request for charter service and is interested in providing the service, it must first notify all private charter bus companies registered for their area by email of the prospective charter and whom to contact to secure the work. When the email is received, the private charter operator is obligated to advise the notifying transit they are interested in pursuing the charter and contact the chartering party. Once notified of a registered private charter company’s interest, a public transit is foreclosed from pursuing the charter and the private operator is required to negotiate in good faith with the chartering party—not the public transit.
However, of the nearly 3,000 motorcoach operators in the United States, only 216 are currently registered to receive notices. This means public transit authorities are providing charter service virtually unfettered all over the country. At least one state (West Virginia) has no private registered private operators at all. I see charter notices in that state nearly every day.
Many battles were hard-fought on your behalf for these protections. An act of Congress and months of facilitated, negotiated rulemaking produced a win-win for private charter operators and the public they serve.
Public transits consistently argue that private charter providers are not interested in local charter work and serving their communities. If the number of registered private charter operators remains low, Congress may begin to listen to them, and the protections charter operators currently enjoy could be compromised or eliminated.
This to me recalls the old Jimmy Buffet song, “If the phone doesn’t ring, it’s me.” If you are not receiving notices, do something for your company and the industry – register! We call this a red light as in “stop” current practices, and make your availability known.
Go to https://ftawebprod.fta.dot.gov/CharterRegistration/Default.aspx. It only takes a few minutes.
