ac transit annual report 1970-1971

8/14/2019 AC Transit Annual Report 1970-1971

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AC TRANSITANNUAL REPORT

* 1970 -71


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BOARD OF DIRECTORS

RAY RINEHART President

E. GUY WARREN Vice- Pres ident WILLIAM E. BERK WILLIAM J. BETTENCOURT

ROBERT M. COPELAND CLAUDE DAUGHTRY JOHN McDONNELL


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HIGHLIGHTS Preliminary proposals for rerouting 82 buslines to BART stations completed. Plans for integrated bus-rail network takento public. AC Transit and BART directors work togetheron policy decisions. New Metropolitan Transportation Commissionjoins BART and AC Transit on project toevaluate coordination planning and results. Engineering studies near completion onmodes of transit to meet needs inoutlying areas. Finances become critica l as expenses surge torecord high; new tax rate set. Federal grant helps finance new buses andconversion of modern fleet of coaches toimproved type fuel injector, as system stepsup efforts to minimize air pollution. Bus tolls lowered on Bay Bridge. Work begins on modern steam-powered bus. Use of bus transit grows; new projects aimedat greater efficiencies. Ten-year improvement program planned. Entire modern bus fleet on airways.

THE COVER - Economy in government, matched with an active civic programhas made San Leandro a delightful place to live - and an exciting one. Industryhas flourished, with 750 new firms making their headquarters in San Leandrosince 1947. Taxes are low, cultural and educational opportunities are many.San Leandro can boast of good land, good climate, att ractive homes andrecreational facilities oriented to waterfront development at the San LeandroMarina, as well as Lake Chabot. A Spanish-Portuguese heritage adds gaiety andcolor to a rich historical past. One of 11 cities in the East Bay served byAC Transit, San Leandro will celebrate its 100th birthday as a community in1972. City planners predict the next 100 years will be even brighter.


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TEN YEAR TRENDSFinanc ial summary ofAC Transit experience

through fiscal yearending June 30.

REVENUE PASSENGERSMILLIONS OF PEOP LE

1962 1963 1964 1965 1966 1967 1968 1969 1970 1971H

PASSENGER REVENUEMI LLIONS OF DOLLARS

*r-

l-

i-

e- 1:fe,l::L ' - -1962 1963 1964 1965 1966 1967 1968 1969 1970 1971

ONE-WAY ROUTE MILESHUNDREDS OF MILES

14 " r :-, r -

r-13 r -

r--12r-

11 I - - -

10 .D1962 1963 1964 1965 1966 1967 1968 1969 1970 1971

VEHICLi: MILESMILLIONS OF MILES

25

24

23

22

211962 1963 1964 1965 1966 1967 1968 1969 1970 1971

SYSTEM EXPENDITURES PER MILECEN TS

7 0 ~ . . . . . . . . . . . . . . . . . . . .. . . . . . . .

1962 1963 1964 1965 1966 196 7 1968 1969 1970 1971

AVERAGE MONTHLYEMPLOYEE EARNINGS

BUS FLEETHUNDREDS OF BUSES New Transit LinersI I Former Key System

t-

I-

I-

t-

l -

t- to

L

I" :;-F t:

WF

r=- t - -

t - -

--

-

f. ,;:l I-

1962 1963 1964 1965 1966 1967 1968 1969 1970 1971

*Reflects 19 day str ike.** Passengers restatedfrom previou s AnnualRepo rt to give effectto passenger countprocedure changeseffective September,1965, and subsequentmonths.


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Revenue passengers totaled 50,544,980, a healthy increaseof 2.50 percent over the previous fiscal year. Passengerswho rode East Bay Lines totaled 36,139,229, up 1.61percent compared to the 1969170 period. Transbay ridingtotaled 14,405 ,751, up 4.81 percent over a year ago.Revenue collected in fare boxes totaled $14,995,108, up 2.05percent over the year before. East Bay revenue came to$7 ,949,353, a decrease of 1.20 percent, while transbayrevenue was $7 ,045,755, an increase of 5.98 percentcompared to the previous fiscal period.Charter revenue came to $582,791, a decrease of 8.48percent below the previous year.The District had total passenger and charter revenue of$15,577 ,899, an increase of 1.61 percent compared to theyear before.Total operating revenue, including bus advertising, was$16,267,067, reflecting an increase of 1.86 percent overthe 1969170 figure.

Riders study Transbay Transit Terminal display, showingproposals for rerouting bus lines to serve BART stations .

THE YEAR'S RECORD

Proceeds from a con sol idated tax rate of 29 .1 cents per$100 of assessed valuation came to $7,613,900, giving theproperty total income of $23 ,880,967 .Total expenses, including depreciation and repayment ofbonded debt came to $23,561 ,839 , leaving a net surplusof $319,128.AC Transit operated 25,421,073 miles of service, includingcharter, up 6.58 percent compared to year-ago mileage .One way route miles increased, with a total of 1418.4compared to the year-ago total of 1397 .6. Systemexpenditures per mile rose to 92.69 cents from 87.04 centsfor the year before, an increase of 6.49 percent.The bus fleet count was 723, compared to 699 in serviceduring the previous fiscal period. The number ofemployees at year end rose to 1534, an increase ofsix workers over a year ago.

Preliminary Proposals for Realignment of AC Transit

5


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6

Haven't you just abouthad it? This trafficscene on Nimitz Freewaywas an effectivemessage in anadvertising campaignaimed at making busriders out of motorists.

AC Transit continued to do something about wall-to-walltraffic snarls this year, working for a coordinated bus andrail system that would make public transportation morecompetitive with the car.It was evident traffic chaos has resulted - and willincrease - unless emphasis is removed fromaccommodating the automobile and placed instead onbetter publ ic transit service.Development of conven ient and efficient masstransportation that could serve residents in Alameda andContra Costa counties - and which could offer transitsolutions in adjoining regional areas-took onutmost importance.TOP PRIORITYCoordination of the AC Transit bus network with the fixedrails of BART was a continuing project of top priority,with the rider as the person who must be served andwho must be pleased. With this in mind, AC Transit wasworking on individual and neighborhood needs, planningthe quality of service to keep present riders and toattract additional riders from cars to public transit.The job of analyzing AC Transit's entire system of 112bus lines was completed and initial plans developed forproviding connector service to the 18 BART stations inthe bus system's service area.Preliminary proposals, which called for rerouting of 82bus lines to serve BART, were reviewed by BARTrepresentatives and the AC Transit Board of Directors.Plans then were taken to the publ ic.

Proposals went to public agencies, including supervisors,mayors and city councils, and to organizations, todetermine what the people want in the way of futurebus service.Maps and brochures were prepared and distributed;talks were given. The riding public had an unusualchance to express its thoughts. Nearly 14,000 passengers,who commute by bus to San Francisco, were given surveycards to indicate opinions. A similar survey was made onall intercity express lines.Comments received by mail and telephone were consideredand tabulated . A map exhibit, set up on the mezzaninefloor at the Transbay Transit Terminal, San Francisco,displayed rerouting plans for the entire service area. Asummary of proposals, with a blank form on whichcomments could be made, was provided.PUBLIC CONSIDERATIONPublic views were analyzed and given consideration.Directors then approved realignment of 14 East Bay linesto serve BART stations on the Fremont-Oakland branchand continued studies on other connector service,including that to be provided by intercity express routes.At the same time, directors moved to seek assistance fromState and Federal levels and from BART and Port ofOakland, to help offset the $500,000 in new money neededto finance bus-rail coordination on the southern AlamedaCounty rail line and to link Metropolitan Oakland Airportby bus with the Coliseum BART station. Included in thefinancial estimate is 350,000 additional annual miles, 10additional buses and 19 more operators.

Passengers aboard the summersightseeing tour take advantage ofstop at Mormon Temple to enjoygardens and view.

Commuters fill out cards giving opinions ofrerouting plans to coordinate AC Transit andBART services.

Bus driver votes onterms of a new laborcontract, reachedbetween AC Transitand Division 192,Amalgamated Trans it U


7/16

Historic joint meetingbetween AC Transit andBART Boards ofDirectors marks initialsession of policy makers,dedicated to reachingagreement on best wayto coordinate busservice and future railoperations.

While management representatives were meetingcontinuously to work on details of coordination, includingtransfer and joint fare procedures and problems offinancing , a committee of board members from AC Transitand BART was formed to consider pol icy decisions.From joint board sessions came these conclusions:POLICY Agreement to concentrate initial efforts on the Southern

Alameda County leg of BART, since it will go intoservice first. Recognition that AC Transit must continue full transbayoperations before BART goes into full service. Recognition that BART and AC Transit will experience

financial difficulties unless additional aid isforthcoming from State and Federal sources.

Agreement to work together to seek operating subsidies,necessary if coordination is to be maximi"Zed and newcustomers attracted to publ ic transit.Shortly before the end of the fiscal year, a newMetropol itan Transportation Commission, created by theState Legislature , joined with AC Transit and BART in aproject to evaluate the years of planning which have goneinto interfaced bus-rail operations. The study will includean in-depth analysis of the Fremont-Oakland line, whichcould help improve service and serve as a guideline forbetter coordinated operations on further segments. Amarketing survey, expected to be the first of its kind in thenation, would determine if service, as operated, fullymeets the needs of passengers. Research would encompassthose who drive to stations to determine why they are not

"Frostie the Snowman"entertains commuters atTransbay Transit Terminalduring traditionalChristmas party. ACTransit workers and theirfamilies put on the show.

using the bus. It also would be expanded to automobilecommuters to find out why they are not utilizing publictransportation.Engineering studies, meanwhile, were nearing completionon three concurrent studies of transportation needs inareas outside of AC Transit boundaries.Joining in the studies were BART, AC Transit and localgovernments, with the Federal government putting up$175,000 to finance two-thirds of total costs. From theprojects were to come recommendations for local andfeeder service in the tri-city areas of Fremont , Newarkand Union City; the Li ve rmore, Pleasanton and AmadorValley areas; and central Contra Costa County.FUTURE TRANSITProposals included combined local and connector bussystems to BART stations; a dial-a-bus system andsUbscription operation to carry workers to specific sites.Also under consideration in central Contra Costa Countywas a fleet of 30,000 electric-powered mini cars.While new technology offered better ways of providingbetter transportation, there was l ittle dispute of thetransit industry's need for additional money in a period ofesca lati ng costs.A new labor contract, reached as result of an arbitrationdecision, called for the greatest increase in wages andother benefits for a one-year period in the history of theproperty .. . nearly $1,500,000 for additional laborexpenses. Bus drivers received $4.50 an hour, retroactive toJune 20,1970, while other workers received equivalentpercentage increases.

Four years ago, buses rode on planks as workerstunneled under Broadway during BART construction.Northbound coaches went back on Broadway this year.


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An additional cost of living adjustment, commencingwith the first payroll after January 1, 1971, added anothersix cents per hour to wages.Directors, facing a $2.4 million deficit under the old taxrate of 19.2 cents per $100 of assessed valuation, raisedthe property tax by 9.9 cents to a new consol idated rateof 29.1 cents.BUS GRANTAC Transit, successfully seeking other sources of revenue,received a grant from the U.S. Department ofTransportation for $708,635 to cover half the costs of 30new buses, plus expenses of converting the basic fleet of462 coaches to an improved fuel injector. The grant alsocontains another $236,211 with completion of Bay arearegional transportation planning.Aid also came from the State of California.For the second time within a calendar year, the StateToll Bridge Authority reduced round-trip tolls for buseson the San Francisco-Oakland Bay Bridge from 65 cents to50 cents, saving the property approximately $39,000 a year.The previous reduction, on Apri I 1, 1970, cut tolls from$1 to 65 cents per round trip.The expect3tion of having the cleanest burning bus fleetin the nation with installation of improved fuel injectorswas only one step taken by AC Transit to minimize smoke,odor and exhaust emissions.Thirty buses were ordered with EnvironmentalImprovement Program kits, designed to decrease vehiclenoise, as well as reduce exhaust emissions. All the buses

District moves ahead in air pollutionreduction by ordering new buses withexperimental EIP kits.

also had ceiling paneling to the top of standeewindows, eliminating the traditional advertising frames.The frames were replaced with two special, individuallycontoured frames to give greater impact to the advertisingmessage, while improving the inside appearanceof the bus.STEAM BUSWork also started on development of a steam-poweredbus system to combat noise and air pollution. The project,financed by a Federal grant to the California StateAssembly, called for installation of modern steam systemsin buses operated by AC Transit, San Francisco MunicipalRailway and Southern California Rapid Transit District.Paired with AC Transit in the project was William M.Brobeck and Associates, Berkeley engineering firm .Public emphasis also was being placed on realizationthat each fu II bus load of passengers removes 40 to 45cars from the road - and it is the automobile that is theprime source of pollution.Accolades came from the industry during the year asAC Transit became the only major transit property inthe West to show a steady increase in riding over the pastdecade. Patronage of system buses jumped 15 percentbetween 1960 and 1969, while riding nationall y declined15.58 percent. In 1970, despite a 19-day strike, AC Transitpatronage sti II was 5.81 percent ahead of 1960 - the on Iymajor western transit property on the black side of thepatronage ledger.Transbay commuting by bus has nearly doubled since ACTransit went into business in October, 1960. While use of

Young visitors on tourthrough District'sEmeryvi lie propertyproudly displaysouvenirs of their trips.

School childrensee how seats arerepaired during avisit to upholsteryshop at EmeryvilleDivision.


9/16

Operator Larry Slatereceives DistinguishedService Award fromGovernor Ronald Reaganin ceremonies at StateCapitol for helping torescue family from burninghome. At left is Alan L.Bingham, general managerof AC Transit.

bus transit has grown 98.4 percent in a decade, use ofcars for transbay commuting has increased 30.3 percent.During the 6:30 to 8:30 morning commute peak, 495buses carry 17,585 passengers to San Francisco, runningan average of every 8.9 seconds during the peak period. Atthe same time, 14,883 cars are crossing the bridge with21,765 passengers - a load factor of 1.46 riders per car.As part of its long-range program to maintain the systemas an outstanding publ ic agency, the Transit Districtapplied for a Federal grant to help cover $16 ,576,652 incapital improvements over the next five years - twothirds of total expenditures.IMPROVEMENT PROGRAMThe grant would apply to the first half of a lO-year capitalimprovement program, with most of the expendituresallocated to new bus equipment needed when BART isfully operative.Although improvement costs were based on presenttechnology, the door was left open for new ideas and newequipment. The District also was looking at small busdesign, for use on lines where patronage generallyis light.The program would cover construction of 10 newpassengers shelters a year and the annual installation of10 modern concrete bus benches at different locations.Students at University of California spent class timeduring the year, giving a new look to shelters, whileinvolving themselves in a project of communitybetterment. An architectural class designed bus sheltersfor AC Transit, developing some 45 different creative

ideas. Four were chosen by a panel of judges for furtherdevelopment and work was underway on construction ofone model for a city of Alameda location.A computer program, funded by the Federal government,was underway, with data collecting equipment installed inthe maintenance and purchasing and stores departments.Information collected is expected to result in improvedefficiencies and data of value in making managementdecisions.AC Transit's entire modern bus fleet took to the airwaysduring the year, as two-way radios were installed inanother 160 buses. With 460 coaches tied into the instantcommunications network, the role of the bus driver incommunity assistance became increasingly important.COMMUNITY SERVICEDrivers regularly were being commended for their aid inreporting incidents to central dispatch, which in turnnotified the proper authority. One driver receivedpersonal recognition from Governor Ronald Reagan forhis participation in saving the lives of three persons froma Richmond fire.Better ways of recruiting and testing prospective busdrivers appeared in the offing as AC Transit joined withfour other transit agencies and the federal governmentin an industry-wide program to improve driver train ing.AC Transit's successful experimentation with itsarticulated bus, the Freeway Train, also was beingextended to a new super bus project which could changethe future of urban transportation. The NationalTransportation Center of Pittsburgh, Pa . and six transit

Passengershelters, designedby University ofCaliforniaarchitecturalstudents, resu Itedin creative andpractical selectionof designs. Thisshelter was pickedfor constructionin Alameda.

New computerized program to developimprovements in operations andmanagement, gets underway as datacollecting equipment is installed inmaintenance shops.

The entire modern busfleet takes to theairways as two-wayradio sets are installedin another 160 buses.

A fleet of 30,000publicly-owned,small electriccars isproposed byengineers as apartial solutionto centralContra CostaCounty'stransportationproblems.


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properties - including AC Trans it - are participating inthe program to design and test a super bus to carry moreriders at less cost per passenger than the standard coach.Four incumbent directors were re-elected to new termsat the general election in November: E. Guy Warren, JohnMcDonnell, Robert M. Copeland and William J. Bettencourt.At the first meeting in January, Ray Rinehart was electedpresident of the Board and Warren retained his post asvice-president.BUSES BACKIt was good news for shoppers in downtown Oakland, asnorthbound buses returned to Broadway after an absenceof four years. Buses were rerouted to Franklin St., oneblock away, in January, 1967, with start of BARTsubway construction.The lO-cent fare for senior citizens during off-peakhours was continued for another calendar year. The lossin revenue to the District as result of the program wasestimated at $596,500 for 1970.A long-range program of switching non-productive mi lesfor miles serving to benefit the greatest possible numberof people was continued . Lines were being discontinuedduring early and late hours when three or less peoplewere riding. At the same time, travel was being speededup on other lines and extended into new areas.Improvements included extensions of one a.m. and twop.m. trips on Line W-l Southshore to Bay Farm Island,Alameda, to provide direct transbay service. Line WBayview also was rerouted and extended to offer directSan Francisco travel.

Passengers enJoy opportunity to pass along complimentson restyled bus. Before "face lifting", bus had high-backedseats, arm rests and advertising racks instead of windowsunder the roof. Riders liked the change.

Bus operator receives newSafe Driver patch from DaleGoodman, transportationsuperi ntendent, Emeryvi lie,for added year of safedriving.

IMPROVED SERVICEIntercity express Line 38-Bancroft Ave. was rerouted to anew terminal at Kaiser Center on 20th St., providingbetter service to the


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Traffic accident frequency was reduced 8.6 percent, whilethe frequency of passenger accidents was reduced 0.8percent.Individual awards ranging from one through 22 years ofsafe driving were presented to 790 drivers. The Safetyand Training Department also was busy in activitiesranging from "How t o Ride a Bus" programs, presentedat schools, to participation in career motivation andsenior citizen programs.In the safety field, employees of Purchasing and StoresDepartment celebrated five consecutive years of workwithout a lost time personal injury and received a plaquecommemorating their record at a luncheon in their honor.The Claims Department had this report: cost of accidentscame to $254,807 for bodily injury and $65,122 for propertydamage, a total of $319,929 compared to $249 ,196 for theprior year. The figures reflect 19 days of non-operationduring June, 1970 , when the property was closedby a strike.

CLAIMSClaims amounted to 1.97 percent of operating revenue, anincrease from the 1.63 percent for the 1969-70 fiscal period,but appreciably below the 2.03 percent for 1968-69.Increased costs of medical treatment and mechanicalrepairs were represented in the percentage rise. Thedepartment was successful in recovering $32 ,984 foraccident damage to buses.The Maintenance Department retained its reputation forexcellence during the year, winning the Fleet OwnerMaintenance Efficiency award for the ninth year in a row.

For nine years In a row, AC Transit maintenancecrews earned the "Fleet Owner" MagazineMaintenance Efficiency Award. Divisionscelebrated with coffee and doughnuts. This is atEmeryville Division.

New wrap-around bus washer scrubs coachescleaner and faster than ever before .

New type wrap-around bus washers were installed atEmeryville and Seminary Divisions, giving the bus fleet aspotless shine. Automatic fuel nozzles and high pressurepumps also were installed at all divisions.The PBX / Information Department, acclaimed as one ofthe best, received additional phone calls - and pUblici ty- with installation of a curbside telephone booth indowntown Oakland. Shoppers and other riders were usingthe booth to call free for information about routesand schedules.

PROGRESSAt the year's end it was obvious publ ic transit has madeconsiderable progress - and there is greater progress tocome. AC Transit, as a property, can expect to play anexpanding role in Bay area public transportation - andan exciting one.The need for improved technology and greater financialresources was recognized. Also heartily recognized was theforce AC Transit has going for it. It has been throughemployees, and their utmost determination to do a goodjob, that the property has gained recognition for thequality of it s product. Bus drivers are the salesmen; otherworkers are responsible for AC Transit 's top performanceand its image.With this work force, the District has been able to attractand keep its passengers. With this same help, AC Transitcan look forward to a remarkable future.

New curbside telephone boothgives shoppers direct, freeinformation service.


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MANAGEMENT PASSENGERS - REVENUE - MILEAGE%1970-71 1969-70 ChangeRevenue PassengersEast Bay 36,139,229 35,566,409 1.61Transbay . 14,405,751 13,744,595 4.81Total .. . 50,544,980 49,311,004 2.50

Passenger RevenueEast Bay .... .. ....... .... $ 7,949,353 $ 8,045,635 (1.20)Transbay 7,045,755 6,648,344 5.98Charter -- ------- -_. ._----- - 582,791 636,788 (8.48)Total ........... .. .... $15,577,899 $15,330,767 1.61- -Service MilesEast Bay .... 15,396,423 14,547,368 5.84Transbay 9,501,507 8,708,253 9.11- -Total 24,897,930 23,255,621 7.06ALAN L. BINGHAM - -eneral Mana ger

STATEMENT OF CHANGESIN FINANCIAL POSITIONYear Ended June 301971 1970Sources:Proceeds from taxation $7,613,900 $5,206,621

HAROLD M. DAVIS GEORGE M. TAYLOR HOWARD D. BEEBE Sale of fixed assets 9,111 32,371Assistant General Assistant General Purcha ses an d Refund of workmen'sManager fo r Manager fo r Stores Manager comp.ensation insuranceersonnel Administrat ion andDi str i ct Secretary premiums 875 1,839Additional federal grantallowable 276 ,327 14,717Proceeds of lease-purchaseagreement 1,022,338 32,318$8,922,551 $5,287,866

Applications:Operating loss $6,177,150 $3,673,818Less depreciation andamortization 1,249,811 1,236,266E. SAM DAVIS VIRGINIA OZRO D. GOULD $4,927,339 $2,437,552esea rch an d DENNISON Claims ManagerPlanning Manager Public Information I nterest on bonded debt 296,789 321,053Manager Current installment due onbonded debt 825,000 800,000Current i nstallment due onlease-purchase 340,779 475,691Payment on lease-purchaseagreement - notdue currently 333,995Acquisition of fixed assets 1,366,258 67,802

$8,090,160 $4,102,098Increase in Working Capital $ 832,391 $1,185,768ANT HONY R. ROBERT E. NISBET DONALD J .LUCCHESI Attorney POTTER Summary of Increase in Working Capital:aintenance TransportationManager Manager Cash $6,823,092 $ (4,465,312)Federal Home LoanBank certificates (5,609,949) 5,609,949U.S. Treasury obligations (107,876) (482,298)Accounts receivable 107,913 (98,249)Other current assets - net (31,384) 2,566Accounts payable (66,847) 561,962Provision for pensions (224,144) (153,519)Unredeemed tickets and tokens 58,907 179,166Self-insurance reserve (50,000) (50,000)WARREN E. ROBERT D. TOUGH GORDON G. Amount due within one yearROBINSON Treasurer- WADSWORTH on long-term debt 109,912 (35,772)Transportation Controller Safety Engineer Other current liabilities - net (177,233) 117,275Engineer $ 832,391 $1,185,768

See notes to financial statements.


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ALAMEDA-CONTRA COSTA TRANSIT DISTRICTSPECIAL TRANSIT SERVICE DISTRICT NO. 1BALANCE SHEETS

June 30ASSETS 1971 1970Property, Plant, and Equipment - at cost(Note A):Property, plant, and equipmentacquired October 1, 1960Le ss accumulated amortization

Other equipment:Motor coachesParts, service cars, shop, andmiscellaneous equipmentOffice furniture and equipmentLess accumulated depreciation

Total Property, Plant, and EquipmentCurrent Assets:Cash:On hand and in commerc ial accountsTime deposits

Federal Home Loan Bank certifi cates, atamortized cost (approximates market)U.S. Treasury obligations - at amortizedcost (approximates market)Accounts receivableMaterials and supplies - at average costPrepaid expenses

Total Current Assets

LIABILITIES ANDDISTRICT EQUITY

$ 6,458,5192,565,120$ 3,893,399$14,793,508

796,68792,442$15,682,6377,705,234$ 7,977,403$11,870,802

$ 572,5768,592,236$ 9,164,812

307,503562,267210,42671,006$10,316,014$22,186,816

Long-Term Debt, less amount due within one year:General obligation bonds, due serially to1980, various interest rates (1 % to3.25 % )Lease purchase agreement, due ininstallments to 1974, 4%Total Long-Term Debt

Current Liabilities:Accounts payableSalaries and wages

$ 9,375,000681,559

$10,056,559$ 280,099

439,024Accrued payroll taxes and amounts withheldfrom employeesProvision for pensions (Note C)Accrued interestUnredeemed tickets and tokensSe lf-insurance reserve (Note B)Amount due within one year onlong-term debt

Total Current LiabilitiesDistrict Equity

See notes to financial statements.

178,7231,060,73296,900196,860600,0001,165,779

$ 4,018,1178,112,140

$22,186,816

1

$ 6,522,0702,369,327$ 4,152,743$13,735,452

505,36284,509$14,325,3236,714,600$ 7,610,723$11,763,466$ 383,7271,957,993$ 2,341,720

5,609,949415,379454,354211,702101,114

$ 9,134,218$20,897,684

$10,200,000333,995

$10,533,995$ 213,252

373,84558,669836,588104,900255,767550,000

1,275,691$ 3,668,712

6,694,977$20,897,684

TOUCHE ROSS & CO.ORDWAY BUILDINGKAISER CENTEROAKLAND, CALIFORNIA 9461

August 9, 1971

Board of Directors,Alameda-Contra Costa Transit Distric t,Special Trans it Service District No . 1,Oakland, California.We have examined the accompanyingbalance sheet of Alameda-Contra CostaTransit District, Special Transit ServiceDistrict No . 1 as of June 30, 1971, andthe related statements of revenue,expense and district equity and changein financial position for the year thenended. Our examination was made inaccordance with genera Ily acceptedauditing standards, and accordinglyincluded such tests of the accountingrecords and such other aud itingprocedures as we considered necessaryin the circumstances.In our opinion, the financialstatements referred to above presentfairly the financial position ofAlameda-Contra Costa Transit District,Special Transit Service District No.1 aJune 30, 1971, the results of itsoperations and changes in financialposition for the year then ended, inconform ity with generally acceptedaccounting principles applied on abasis consistent with that of thepreceding year.

Certified Public Accountants


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ALAMEDA-CONTRA COSTA TRANSIT DISTRICTSPECIAL TRANSIT SERVICE DISTRICT NO. 1STATEMENT OF REVENUE,EXPENSE, ANDDISTRICT EQUITY

Year Ended June 301971 1970- - - -Revenue:

Passenger $14 ,995 ,108 $14 ,693 ,979Charter 582 ,791 636 ,788Advertising 223,414 191 ,169I nterest earned 447 ,047 433 ,919Other operations 18 ,707 l3,479Total Operating Revenue $16 ,267 ,067 $15 ,969 ,334

Expense:Transportation $l3,672 ,127 $11 ,952 ,098Maintenance 2,812,472 2,512 ,033Depreciation and amortization 1,249 ,811 1,236 ,266Operating taxes and licenses 724,356 636,755Administrat ive and general 1,l34,229 993 ,941Welfare and pensions (Note C) 1,626,103 1,341,990I nsurance and safety 959 ,951 722 ,737Public information and advertising 265,168 247 ,332

Total Expense $22,444,217 $19,643 ,152Operating Loss $ (6,177,150) $ (3,673 ,818)

Nonoperating Items:Proceeds from taxation $ 7,6l3,900 $ 5,206,621Less:

Provision for current year's redemp-tion of bond pr incipal (820,833) (795 ,833)Interest and fees on bonded debt (296 ,789) (321 ,053)Net Proceeds from TaxationAvailable for Operations $ 6,496 ,278 $ 4,089,735Increase in Equity After ProvisionFor Bond Principal Redemption $ 319 ,128 $ 415,917

District Equity:Balance at beginning of year 6,694 ,977 5,466,671Add :Refunds of prior years' workmen's com-pensation insurance premiums 875 1,839Restoration of provision for bondprincipal redemption deducted above 820,833 795 ,833Additional federal grant allowable for

capital equipment acquisitions 276 ,327 14,717Balance at end of year $ 8,112 ,140 $ 6,694 ,977See notes to [inancial statem ents.

NOTES TOFINANCIAL STATEMENTSYEAR ENDED JUNE 30, 1971NOTE A -Property, Plant, and Equipment

Property, plant, and equipmentacquired on October 1, 1960 fromKey System Transit Lines and itsparent Bay Area Public ServiceCorporation is being amortized on acomposite basis. Other property isbeing depreciated on the straightline basis.NOTE B Self-Insurance Reserve

The District is self-insured forpersonal injury and property damagecla ims up to $100,000 for anyoneoccurrence. Claims in excess of thisamount are insured with commercialinsurance carriers.NOTE C-Pensions

When the District acquired thephysical operating assets of theKey System Transit Lines it alsoassumed the liability for currentand future pensions. Prior to 1966,payments were charged to operationsin the year made and no provisionwas made for future pensionliabilities. In accordance with theterms of a labor agreement with theAmalgamated Transit Union datedSeptember 8, 1965, the District iscontributing 5% of compensation ofcovered employees for current andfuture benefits. To afford similartreatment, for nonunion employees,the District began in 1967 to providefor their future pension benefits.The liability for provision forpensions does not provide, on anactuarial basis, for complete fundingof future pension liabilities .


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Work progresses on one of the excitingdevelopments of the year - conversionof a bus to steam power. Burner test , toregulate ratio of air and fuel intocombustion chamber, is explained byWi II iam M. Brobeck, right, president ofengineering firm developing steam system,to Alan L. Bingham , general manager ofAC Transit, center, and A. R. Lucchesi,maintenance manager.

Barn ey Becker, wh o has spent 45years in steam, we lds away at 1400feet of steel tubing which will gointo the steam generator.

Carl Szybalski, left, expthe operation of ste3mgenerator to AC TransitPresident Ray Rinehart.federa IIy-funded projectdemonstrate potentialssteam power in reducingemissions and noise.


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ALAMEDA -CONTRA COSTATRANSIT DISTRICT

508 - 16th Street Latham Square Building. Oakland, California 946121 9 2

ac transit annual report 1970-1971

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