00479322

Component

http://onlinepubs.trb.org...trr/1988/1165/1165-003.pdf

https://scholar.google.co...vitz&publication_year=1988

As fleets of rail cars age and become increasingly costly to maintain, two options are available to transit properties: conduct a major overhaul or replace with new cars. In a 1984 study for the Port Authority (of New York and New Jersey) Trans-Hudson Corporation (PATH), an in-depth engineering evaluation and life-cycle cost analysis was conducted for a portion of the PATH fleet. Ten- and twenty-year overhaul programs for existing cars were compared with a new car purchase in a life-cycle cost framework. The results of the analysis showed the new car purchase option to be most cost-effective under most combinations of assumptions on future conditions. PATH subsequently made a decision to buy new cars, and these are now in operation. Described in more detail in this paper is the analysis conducted for PATH, including cost estimate procedures, inflation and discount rate assumptions, and methods for estimating residual value. The results of extensive sensitivity testing are discussed, including the issue of what can and cannot be generalized to other studies. Use of life-cycle cost analysis was found to be effective and useful in this application and was seriously considered by PATH and Port Authority management in their decision making. Applications to other systems should be encouraged. These will be enhanced through further research and development of methodologies for estimating operating and maintenance costs.

This paper appears in Transportation Research Record No. 1165, Transit Management and Replacement Capital Planning. Distribution, posting, or copying of this PDF is strictly prohibited without written permission of the Transportation Research Board of the National Academy of Sciences. Unless otherwise indicated, all materials in this PDF are copyrighted by the National Academy of Sciences. Copyright © National Academy of Sciences. All rights reserved

01416489

p. 11-18

1988

Transportation Research Record

0309047064

References (6) ; Tables (8)

Decision making; Equipment replacement; Life cycle analysis; Life cycle costing; Rapid transit cars; Rehabilitation

Port Authority Trans-Hudson Corporation

Replacement

Administration and Management; Finance; Highways; Maintenance and Preservation; Public Transportation

TRIS, TRB

Jan 31 1989 12:00AM

• CLUSTER SAMPLING TECHNIQUES FOR ESTIMATING TRANSIT PATRONAGE
• DATA PROCESSING SOFTWARE FOR AN AUTOMATIC DATA ACQUISITION SYSTEM IN MASS TRANSIT
• DETERMINANTS OF SUPERIOR PERFORMANCE IN PUBLIC TRANSIT: RESEARCH OPPORTUNITIES USING SECTION 15 DATA
• ESTABLISHING A TRANSIT CAPITAL REPLACEMENT ACCOUNT--THE SAN DIEGO EXPERIENCE
• LIFE-CYCLE COST ANALYSIS OF ELECTRONIC REGISTERING FAREBOXES: A CASE STUDY
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• MONITORING PERFORMANCE OF NEW BUS ROUTES
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• RECENT CHANGES IN BART PATRONAGE: SOME FINDINGS ON FARE ELASTICITIES
• STRATEGIC MODEL FOR OPERATOR WORK-FORCE PLANNING IN THE TRANSIT INDUSTRY
• STRATEGIC PLANNING AS A BASIS FOR CAPITAL INVESTMENT PROGRAMMING: CASE STUDY OF THE REGIONAL TRANSPORTATION AUTHORITY IN CHICAGO
• TROLLEY BUS AND MOTOR COACH OPERATIONAL COST COMPARISONS UTILIZING SECTION 15 DATA