First Transit can save Southern Nevada millions

First Transit is the nation's leading bus transportation service provider with more than 50 years of experience across North America. Our core values of safety and customer service are at the heart of everything we do, and we are proud to operate a variety of transit services in 231 U.S. locations.

In 2009, First Transit received the National Safety Council's Green Cross award, given to only one company from any industry each year.

This year, we were honored by the North County Transit District in San Diego County for taking their transit service from a $20 million deficit to having a small surplus in just one year's time. The agency has also been able to save $50 million over seven years in large part by transforming their operation and hiring First Transit as their fixed-route operator. First Transit is bringing similar savings to the Regional Transportation Commission.

In April 2010, when the RTC of Southern Nevada issued a request for proposals seeking companies willing to provide for the private operation and maintenance of transit services, we believed that we could provide a high quality of service at a price that would save taxpayers significant dollars. Given this opportunity, First Transit sent a team into Southern Nevada to evaluate the current operations from the ground up to determine if we could indeed provide a better service at a lower cost. Had we not determined we could, we would not have expended the resources required to submit a proposal.

Our team spent hundreds of hours riding the bus, examining the existing operation and looking at the system with a fresh set of eyes. Our overall goal was to provide a safe and efficient transit experience for Southern Nevadans while saving taxpayer dollars.

What we found through our analysis was that we could provide a benefit to the taxpayers. Our proposal provides a guaranteed minimum of $500,000 in fuel savings each year by utilizing state-of-the art technology. It provides wage increases and a comparable benefits package for all employees, a commitment to negotiate a contract with the existing collective bargaining unit, and for maintaining all current full-time positions. It provides for the use of state-of-the art technology aimed at increasing ridership by providing real-time information intended to make riding the bus easier and more convenient than it is today.

Given the size and breadth of our company, we have been able to establish corporate purchasing agreements with providers of hardware, parts and lubricants to reduce the cost of maintaining the vehicles operated by the RTC, providing additional savings.

In evaluating transit service in Southern Nevada, the foremost factor we took into account was the devastating economic situation in your community. We knew that we had to think outside the box and come up with significant savings. That thought led us to make a strategic decision to reduce the corporate profit we would include in our proposal. We made this offer knowing that given our experience around the world, we would be capable of providing the service, making a reasonable profit, and providing a safer and more efficient transit experience at a savings of $7 million each year. Over the life of the contract, including extensions, that amounts to a savings to taxpayers of $50 million.

We have signed a contract with the RTC with an unequivocal guarantee of that $50 million savings -- and wage increases for employees.

The RTC hired an independent financial consultant to assure that we could do what we said we could, and that in fact, we are doing it today in communities across the country. That independent financial consultant found that indeed, we could do what we said we could with absolutely no risk to the RTC. Perhaps the question that should have been asked was not, "How can First Transit provide this service at such a savings?" but rather, "Why have we been paying too much for so long?"

We look forward to providing this community with safe, reliable transportation services, to assisting the RTC in expanding service and providing additional jobs, and to providing innovations for improved transportation in Southern Nevada.

I give Southern Nevadans my personal commitment, along with a signed contract, that we will do so.

Brad Thomas is president of First Transit.