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FOR IMMEDIATE RELEASE
October 28, 2008

FOR MORE INFORMATION CONTACT:
Mark Gedris
800.424.8262

UMA Members Prevail in Transit Infringement Cases

In two separate actions, UMA members Miller Trailways of Louisville, KY, and Jean’s Bus Service of Greenville, SC, were successful in obtaining favorable “Advisory Opinions” that led the Federal Transit Administration (FTA) to issue “Cease and Desist” orders in both cases.

In the first case, the University of Louisville sought bids for an on campus shuttle operation and eventually awarded the $445,000 contract to Transit Authority River City (TARC). The University of Louisville established the routes and schedule. The service was not interconnected with the larger TARC route system. The FTA commented, “…it is charter service because the shuttle is provided at the request of a third party for the exclusive use of a bus or van at a negotiated price.” The FTA further concluded, “…it is appropriate to issue a cease and desist order in this case. Miller demonstrated by a preponderance of the evidence that it is more likely than not that TARC is providing unauthorized charter service to the U of L campus…”

In a similar case, Jean’s Bus Service sought an “Advisory Opinion” when they lost a parking lot shuttle contract with the local YMCA to Clemson Area Transit (CAT). In this instance, the YMCA operated a remote parking lot with exclusive shuttles to and from the Clemson University stadium. In responding to the FTA’s inquiry, CAT alleged they did not have any contact with the YMCA and was providing the service under a subscription agreement with Clemson University. However, Jean’s Bus Service provided a photo that clearly depicted a CAT bus with a message board indicating “YMCA Shuttle.” FTA further determined that CAT’s agreement with Clemson University as “subscription service” appears to be another name for charter service. The FTA concluded by stating “It is also clear that Jean’s Bus Service suffered an economic loss as a result of this service…”

“We are delighted that we were able to acquire the necessary evidence, and with the help of UMA, bring the illegal operations of Clemson Area Transit to light," noted Jean Cauley, President of Jean's Bus Service. "We are pleased that the FTA has ruled that the service is in violation of the Charter Service Rule and CAT can no longer provide it. It is important for charter operators to be alert and not let these types of services by transits slide."

“In both of these instances the operator used a new tool available under the revised Charter Service Rule,” states Ken Presley, UMA’s vice president of industry relations. The “Advisory Opinion/Cease and Desist” is less formal than an actual complaint and is intended to be a little quicker. We are proud of these operators for demonstrating courage and taking the initiative to halt the intrusion of transits into charter service. Every favorable decision is a win for the industry.”

The FTA decisions can be viewed by clicking on the appropriate company... Jean's Bus Service & Miller Transportation

The United Motorcoach Association is North America's largest association for operators of motorcoach companies providing charter, tour and regular route services. Founded in 1971, UMA is comprised of over 1,100 members located all across North America, with more than 850 charter and tour bus operator members who provide transportation services in all fifty states, Canada and Mexico. Headquartered in Alexandria, VA, UMA is dedicated to protecting and promoting the interests of the entire motorcoach industry and providing its members with programs and services to enhance the success of their operations.
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