For the most part, we have nothing against fiscal conservatives, as long as they govern with competence.
Unfortunately, Kevin Falcon isn't one of them.
Aside from the stupidity of twinning the Port Mann Bridge ahead of building transit alternatives for the Fraser Valley, his latest plan to install turnstiles at Skytrain stations once again reveals his poor business acumen.
According to this article from the Vancouver Sun, Translink loses approximately $7 million each year from fare evaders, who account for "roughly" 8% of all riders. For its part, Translink estimates that it loses about 4.9% of revenues to evaders.
Falcon's solution? Spend $80 million to $120 million to erect turnstiles that will supposedly reduce this figure substantially.
There's no mention of the annual cost to maintain the new turnstiles, but there's a clear argument that the cost-benefit just isn't there, according to this article from the Sun:
To begin with, Translink estimates that turnstiles would help it to recover about $2.9 million per year in lost revenues. However, in addition to the $120 million cost of installing the turnstiles, there would be annual maintenance costs, along with the need to hire an estimated 400 attendants to assist passengers at every gate.
Assuming we pay each attendant just $35,000 per year - that adds up to $14 million alone. Maintenance of the machines would probably cost another $2 million to $3 million per year, so we wind up spending $17 million each year (plus $120 million to install the turnstiles) to save $3 million.
While such a move certainly makes for good populist politics (what upstanding transit rider isn't irritated by the freeloader next to him who isn't paying his fair share), it's plain to see that the expenditure isn't worth the effort.
The question is, why does the Minister of Transport - who should know better - not see this?
By the way, here's how we can save $120 million, and still reduce fair evasion:
Hire 50 station attendants, and put them at key, strategic stations during peak hours, or during evenings when there is a greater security need. (ie the busiest stations, such as Waterfront, Granville, New Westminster etc.)
Then, have them check each passenger's ticket or pass before they go up to the platform and board a train - passengers can quickly flash proof of payment on their way up the stairs. Those who don't have a ticket typically don't even bother trying. Spot checks can similarily be done upon exit at high-traffic stations.
Not only does this reduce the confrontational enforcement strategy that is currently in place, it ensures that fare evaders don't get very far at all. At the same time, it accomplishes the goal of better station security, which Falcon uses - as small-minded populists typically do - to justify the added expense.
It's too bad that Kevin Falcon wasn't more thorough in his research.
If he had travelled beyond London and Amsterdam, he would have seen that such a solution already works quite well in Budapest - a place where people have to be a lot smarter, given the resourcs that they have.
