3.16.2011

I see more stories like this coming.

The Seattle Times had a story today about how it's looking like the Washington State History Museum might be a casualty of budget cuts in the near future.

The proposal calls for placing the museum in 'mothball' status so that when happier economic times roll around the museum can be reopened.  Manning would be decreased from about 20 folks down the minimum required to keep the exhibits from gathering too much dust, and it is expected that doing so could save Washington Five Million Dollars in the next two years.


Five Million might not seem like much when staring a several BILLION dollar deficit in the face, but, in truth, cutting a lot of $5 Million dollar things is the way the budget gap will be cut.  While it is sad to think that THE Washington State History Museum might have to close, it's the right thing.  What it really comes down to is things the State determining what the difference is between it's conveniences and needed services, and making the conveniences pay for themselves.

A big example of this would be the State Ferry system.  With the exception of a few islands in Puget Sound, the Ferry system is a convenience...wait in line for a bit, then sit in the car for a bit while riding a boat, instead of actively driving around on overly crowded freeways.  It is NOT a needed State Service...so it shouldn't be run at a continual loss. 

The best numbers I could find on the Internet machine were from the 2005-2007 budget.  The Ferry System's budget is broken down to an Operating Budget and a Capital Budget.  The Capital Budget covers improvements to the Ferry System:  New Boats, and contruction of new terminal structures.  The Capital Budget is funded by State taxes(mostly the gas tax), some Federal Funding, and bonds.  The Operating budget covers manpower, gas, and operational maintenance.  It is funded by more gas taxes, vehicle registration and title fees, and finally, revenue from the riders.

To be fair, historical revenue from paying riders have accounted for 70-75% of the Operating Budget, or about 45% of the TOTAL budget.  Focusing strictly on the Operational Budget, a few of the routes, The Seattle-Bainbridge Island and Edmonds-Kingston, pay for themselves...and then some.  Some routes, like the ferry to Vashon Island, come in at about 23% return.  Ick. 

This has seen a dip the last few years: as passenger fees have increased, rider usage has decreased at an increased rate...which raises the question: How much are people willing to pay for 'Convienience? 

Obviously, the answer is different for different situations.  Someone in Bremerton wanting to get to Seattle is looking at a 1 hour ferry ride, or 65 miles drive south through Tacoma, that could take upwards of 2 hours depending on traffic.  Bainbridge Island to Seattle is about 35 minutes by ferry, or 95 miles and 3 hours in a car...finally, there is the Kingston-Edmonds jaunt.  It is a scant 25 minute ferry ride...but realistically, 3.5 hours to drive down through Tacoma and back up past Seattle. 

One of the solutions I can see is fixing the price scale.  Taking a car on the ferry on any of the three routes I described above costs the same amount: $12.15 during winter months(price goes up during tourism season.) 

Don't you think people would pay more to cut a 3 hour trip to 30 minutes than they are willing to pay to cut 65 mile drive down to an hour?  A 600% increase in time/frustration saved HAS to be worth more than a 150-200% return.  Keep increasing the fares on those routes until people stop using the ferry.  The you will see you gas tax revenue and Tacoma Narrows Bridge toll numbers go up!

Another solution is setting a minimum passanger count for some runs.  Right now, as a form of public transits, much like the buses and trains, the Ferry's run on time.  That means on some runs, during the midday lulls and on non-travel weekends, you will see Ferry's running at 30% capacity.  No way is that run paying for itself. 

Making the Ferry's pay for themselves could save the state 500 MILLION dollars.  If it's worth shutting down THE Washington State History Museum to save 1 percent of that...then what are we waiting for?

Especially now that I am on the dry, ferry free side of the State. 


 

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