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The Best Place on Earth

NEWS RELEASE

For Immediate Release
2009TRAN0027-000587

November 6, 2009

Ministry of Transportation and Infrastructure

 

 

REPORT ON TRANSLINK AND BC FERRIES RELEASED

 

VICTORIA – A review of the business operations of TransLink and BC Ferry Services was released today by Transportation Minister Shirley Bond.

 

“I would like to thank the comptroller general for her report and recommendations,” said Bond. “We’ll take some time to thoroughly review the report, and will also discuss the report’s findings with the BC Ferries board as well as TransLink’s Mayors’ Council before making decisions on the recommendations.”

 

The review offered more than 20 recommendations for each organization in four general categories, including planning, governance, opportunities for efficiencies and funding.

 

“This review is timely, as it’s been six years since BC Ferries was restructured and two years since TransLink was reorganized,” said Bond. “We believe it’s important both organizations are meeting the financial and service expectations that came with their new models.”

 

The comptroller general undertook this review to ensure TransLink and BC Ferries are delivering maximum value for customers and taxpayers. During the review process, Office of the Comptroller General staff conducted numerous interviews and examined TransLink and BC Ferries documents, including legislation, agreements, plans, reports, voluntary submissions from citizens and stakeholders, and other supporting materials.

 

The report is available at: http://www.fin.gov.bc.ca/OCG/ias/pdf_Docs/transportation_governance.pdf

 

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A backgrounder follows.

 

Contact:

 

Jeff Knight

Ministry of Transportation and Infrastructure

250 356-7707

 

For more information on government services or to subscribe to the Province’s news feeds using RSS, visit the Province’s website at www.gov.bc.ca.

 


 

BACKGROUNDER

 

November 6, 2009                                                      Ministry of Transportation and Infrastructure

 

SIGNIFICANT RECOMMENDATIONS

 

Form a single Transportation Commission, in lieu of the existing BC Ferry Commission and the Translink Commission.

 

Recommendations for TransLink

 

·         Have more flexible time frames for plan developments.

·         Have shorter term requirements for a fully funded plan.

·         Convert the Mayors’ Council into a Transit Authority, with 20 per cent of the members appointed by the Province.

·         Transit authority to exercise shareholder powers, including:

o   Appointment and removal of board members using competency base criteria.

o   Approval of Board remunerations and other terms of appointment.

o   Approval of executive compensation using public sector guidelines.

·         TransLink should rationalize the size of its executive team, set specific cost reduction targets and conduct on-going service rationalization.

·         Existing revenue streams should be maximized before exploring new revenue sources.

·         Province consider reviewing the existing limits in the revenue streams currently available to TransLink.

·         Maintain the guiding principle of balance between the types of revenue streams (one-third from existing vehicle related taxes, one-third from property taxes, one-third from other revenues such as fares, advertising, land, etc).

 

 

Recommendations for BC Ferries:

 

·         BC Ferry Authority Board members should not sit on the BC Ferry Services Inc. Board of Directors.

·         The authority should exercise shareholder powers, including:

o   Appointment and removal of Board members using competency base criteria.

o   Approval of Board remunerations and other terms of appointment.

o   Approval of executive compensation using public sector guidelines.

·         Increase responsibilities of the BC Ferry Commission to protect the interests of ratepayers and customers.

·         Regulate reservation fees and regulate competitive services separate from transportation of passengers and vehicles.

·         Make BCFS and the BC Ferry Authority subject to the Freedom of Information and Protection of Privacy Act.

 

 


 

 

 

 

·         BC Ferries should periodically re-evaluate, with public consultation, route service levels in order to balance taxpayers and fare-payers interests with the need for long-term sustainability of BCFS operations.

·         Require BCFS and the Ferry Commission to publicly release cost allocations by route, using major cost categories.

 

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Contact:

 

Jeff Knight

Ministry of Transportation and Infrastructure

250 356-7707

 

 

For more information on government services or to subscribe to the Province’s news feeds using RSS, visit the Province’s website at www.gov.bc.ca.