AC Transit Annual Report 1977-1978

8/14/2019 AC Transit Annual Report 1977-1978

1/16

t '.1 f , . U l1 _. -

AC TRANSITANNUALREPORT1977/78


2/16

Paul B. Godkin

BOARD OF DIRECTORS

John L. McDonnellPresident

William E. Berk

Jean A. Holmes

2

Roy NakadegawaVice President

William J. Bettencourt

Ray Rinehart


3/16

Virginia DennisonMarketing Manager

Ozro D. GouldClaims Manager

Lawrence S. KurzTreasurer -Contr o ller

Anthony R. LucchesiMaintenance Manager

MANAGEMENT

J. Dale GoodmanTransportati on Manag er

John A. KrajcarPurchases and Stores

Donald S. LarsonManager Researchand Planning

Stanley O. PearceSu pervisor of Safetyan d Training

Warren E. RobinsonTransportation En gineer

3

Robert E. NisbetGeneral Manager

Lawrence A. RosenbergDistrict Secretary and AdministrativeProjects Manager

Robert J. ShamoonPersonnel Manager


4/16


5/16

PARK 'N' RIDE - General Manager RobertE. Nisbet helped cut ribbon in March atCALTRANS ' new "Park-And-Ride" facility- 160 spaces under the MacArthur Freeway, 1-580, in Oakland 's Fruitvale District. Inconjunction with the project, AC Transitrerouted some rush-hour service. Quickly,scores of commuters parked here to continue quick trips to and from San Franciscovia freeway.

HUND REDS OF MILES

" 11111969 197019711972 1973197419751976 1977 1978

Buses In ServiceFiscal year ending June 30

AC Transit o Former Key System

One-Way Route MilesFiscal year ending June 30

HUN DRED S OF BUSES

196919701971 1912 1973 1974 1975 19761977 1978

5

EXPANDING SERVICE . . .While transit patronage soared in District 2 - Fremont and

Newark - a specially-tailored zonal Dial-A-Ride system(inaugurated in two initial zones more than a year earlier)reached full implementation October 7, 1977. Zones virtuallycover both communities .

This door-to-door service (off-peak hours only , includingevenings. and weekends) complements regular fixed routes ancommute-hour-only Mini-Routes (transporting commuters frotheir neighborhoods to BART train service) . The combinedsystem moved more than one million riders during the fiscalyear .

In Eastern Contra Costa County , July, 1977, saw the first fullmonth of operation of a new local " Tri Delta Transit " serv icea system operated by the District under contract with PittsburgAntioch-Brentwood area residents.In the fiscal period , patronage on this system shot up from5,000 riders in inauguration month (June, 1977) to more than11 ,000 exactly twelve months later.The loca l seven-route system in Concord , operated undercontract with that city, was modified to better meet local needsThis local service proved popular, too, providing more than haa million passenger trips in fiscal 1977-78.

OPERATIONS . . .While the number of buses in operation remained virtually

unchanged (723 in June , 1978, versus 726 one year earlier) , thnumber of one-way street miles operated increased significan- from 1,017.9 to 1,094 .3 , a change of 7.5 percent.

One-way route miles increased by 44.4 miles from 2,146 to2,191, and poles were added at 141 new stops along the routebringing the total of stops to 7,208.

About three-quarters of the Distri ct 's 201 peak-hour rou tesup from 194 the previous year - were making 250 connectionwith BART service at train stations throughout the East Bay bythe end of the fiscal year .


6/16

IMPROVING SPECIAL SERVICES . . .In connection with contract service in Concord, the Districtimproved operation of a "Special Users Bus" employedspecifically to meet the needs of senior citizens and thehandicapped .The fiscal year began with the seniors ' bus provid ing up to 72door-to-door trips each day . Later, in March, 1978, the specialbus began transporting wheelchair users too - afterexperimental installation of a prototype wheelchair lift wascompleted.

District Directors went on record in November, 1977,resolving that all buses purchased in the future wou ld providewheelchair access . This decision was one result of a six-monthsurvey which revealed that six percent (66,000) of the District'sresidents have transportation handicaps to varying andsometimes debilitating degrees.While the search for practical , reliable equ ipment to providefleet-wide accessibility continues, the District initiated a fourpoint program for improving accessibility to the present system .These points include: providing priority seating for elderlyand handicapped riders on all buses; develo ping andimplementing a sensitivity training program for drivers;developing community "out-reach " programs; and giving thedeaf telephone access to the Information Center via teletypelike printers.Also, participation in the regional Transit DiscountIdentification Card program for elderly and handicappedcontinued with the District energetically involved in certifyingnew card holders.Since inception of the program in July, 1975, the District'straveling ID Card Center has issued 26 ,000 cards to East Baybus riders. During this fiscal year , the Center made 44 visits tooutlying areas of the District for the conven ience of cardrecipients .BUS SHELTERS . . .

Another kind of convenience was provided to pa trons in theform of 41 additional shelters installed at busier bus stopsduring the fiscal year - bringing the total installed in thiscontinuing program to 212 shelters .

TEST ING LIFT - Young Concord resident takes test ride on prototype wheelchair lift. Deve loped by Env ironmental Equipm ent Co rp.of San Leandro , device was installed for eva luation in special dem onstration service begun in Co nco rd as part of AC Transit's co ntinuing effort to provide wheelchair accessibi lity.6

Fare Box RevenueFisca l year ending June 30

1978: District #1 $12,74 2.884 .District #2 200,764 I iContract Services 416 192 0Total $ 13359840MI LLIONS OF DOLLARS

I969 1970 1971 HI72 1973 1974 1975 1976 1977 * R.,,,,,,,., 9 ,,y 1" '. R tt"', S' d"SIr ,' RtllO


7/16

SAFETY . . .AC Transit's 1,450 bus drive rs, compiling a record of almost25 million miles behind the wheel during the fiscal period,accumulated an impressive safety record in the process.The roster of 25-year safe driving award winners continued togrow as two names were placed on the honored list - L. P.Sasges and M . P. Garcez _. making 25 operators who havesafely carried more than two million passengers over morethan one million miles.

Sixty-four drivers were qualified by the Californ ia HighwayPatrol in the School Pupil Activity Bus (SPAB) safety program.Additionally, six employees completed the School Bus DriverInstructors' course .Figures show that the four divisions beat the monthly safedriving goal a total of 34 times (out of 40 possible) during theyear. That goal is 13,250 miles per mishap. Newark Divisionachieved the goal10 out of 10 months; Emeryville andSeminary, nine out of the 10 months ; Richmond Division , sixout of the 10 months that the district was operating.

While the statistical frequency of accidents increasedminimally (from 5 to 5.38 mishaps per 100,000 miles driven), thefrequency of passenger accidents dropped dramatically (from6.48 per one million passengers to 5.15 - a decrease of 20.5percent) from statistics in the previous year .

CONFLICT RESOLUTIONS . . .Classes in conflict resolutions were taken by 149 drivers ,bringing the total number of operators to 861 who have

participated in the program . The training sessions, designed toreduce tensions and improve relations between drivers andpassengers , have been attended by more than half of ACTransit's operators.

CLAIMS . . .Paid losses for the year were $425,017 compared to $303,239for the prior year, reflecting increases in numbers of casessettled , including cases from prior years. Recovery for damageto equipment amounted to $75,675 compared to $62,137 in fiscal1976-77. Paid losses under the District's permissibly selfinsured Workers' Compensation program was $977,750compared to $524,136 the previous year , with recoveryincreasing to $39,336 (from $34,753).

MILLIONS OF PEOPLE

I969 1970 1971 1972 1973 1974 1975 1976 1977 1978* 'Iol &< . or" ""

* * I I ~ l r*.* Rolloct. 69-"", .. ,,.

Passenger TripsFiscal year ending June 301978: District # 1 46.674 ,900 .District # 2 1,061,818 IIContract Services 1,791 ,660 0

Total 49 ,528,378

7

AWARD WINNERS - Three drivers edged out some capable comptors to win top honors in the year's Bus Roadeo - a challenging omile , 12-station test in starting , stopping , turning and backing a bRich Vierra (center) placed first , Ron Freund (rig ht) came in second aWilliam Gamlen third .

WORK STOPPAGE . . .The year of contin uing progress was interrupted by a 69-dawork stoppage .

Most of the District 's 2,000 employees _. including some1,450 drivers and all other members of Amalgamated TransitUnion , Division 192 - walked of f the job November 21 afternegotiations (which had continued after the June 30 expiratioof the previous labor agreement) failed to produce a newcontract.

Sixty-nine days later - January 29th , 1978 - union membewent back to work under terms of a new agreement effectiveunti I June 30, 1980. Drivers returned with an hourly wage of$8.35 - 32 cents more than they earned when the walkoutbegan .An agreed-upon formula for periodic cost-of- livingadjustments was included in the new labor agreement, whichcost the District virtually the same total projected increase inoperating expense as that antic ipated in the contract offeredbut rejected by , union members in November, 1977.AFFIRMATIVE ACTION . ..The District actively pursued its po licy of making AffirmativAction a primary consideration in all aspects of employmentprocedures and practices . Additionally in fiscal year 1977-78,AC Transit substantially strengthened its Minority BusinessEnterprise Program , and its specific goals and time tables .

REGIONAL TRANSIT ASSOCIATION, ..The six major Bay Area public transit operators moved inthe second year of working more closely together in theRegional Transit Association (RTA) , an organization designeto provide better coordi nation and improve service .The agencies joining AC Transit in the RTA included BARTGolden Gate Transit , San Francisco MUNI , SamTrans and SanClara County Transit.


8/16

TRANSIT INSTITUTE .. .AC Transit again participa ted in the Bay Area Urban TransitInstitute (BAUTI) , co-sponsoring three institute sessionsduring this fiscal period.Attended by an average of 25 representatives of transitsystems and officials of assorted government agenciesinvolved with transportation, each BAUTI session givesparticipants an intimate familiarization with the inner workingof several Bay Area transit properties.The BAUTI program was conducted with the cooperation ofthe California Department of Transportation (CAL TRANS) andthe Urban Mass Transportation Administration of the U.S.Department of Transportation.

RAI DERS APPEAR . . .All-pro Oakland Raiders, Phil Villapiano , Otis Sistrunk and

John Matuszak, worked for the sixth year in AC Transit's antivandalism program, "Operation Linebacker." The three footballveterans, along with representatives from the PersonnelDepartment, visited 45 schools, working with youngsters tocreate better relat ions between students and bus driver:).

MAINTENANCE AWARD . ..For the 16th year in a row AC Transit was awarded the FleetOwner Maintenance Efficiency Award, reflecting highachievement in maintaining equipment.

COMMUNICATIONS SYSTEM ARRIVES . . .A new $2,500,000 communications system enabling buses tobe in constant communication with Central Dispatch beganarriving at the close of the fiscal year.The new system will ultimately be able to report vehi clelocations, count passengers, compile fare box revenues, givemileage statistics and check adherence to schedules.8

SURVEY SUBJECT - French-built " Berliet " was one offour buses new to District riders which were road-tested ina continuing evaluation of developments in transit technology. Riders judged test vehicles on various comfort andconvenience features .

Average Annual Employee EarningFiscal year ending June 30THOUSANDS OF DOLLARS

1969 1970 1971 1972 1973 1974 1975 1976 1971.. ".!ec!. ,D...V", .. R ._ . ti' doYf1


9/16

1960

SPECIAL SERVI CE - Summer Sunshine Fu n Tours provedpopu lar for the 12th consecutive year. One of severalspecia li zed AC Transit services, the tours allowed riders to"get away from it a ll " with trips da ily through sceniccountrysi de to 23 different destinat ions.

TRAFAC ACCIDENTSPER 10.000 MILES

1965 1970

121110

98

6

1975 1978

PA SSENGER ACCIDENTS PER1,000,000 PASSENGERS CARRIED

L""''"

"-,51960 1965 1970 1975 1978

THOUSANDS OF MILESOPERATED PE R ACCIDENT

1965 1970 1975 1978

9

SCENIC TOUR*

SPECIAL SERVICES .. .For the twelfth year , AC Transit offered Summer SunshineFun Tours for residents and visi tors. During the 1977 tourseason , 3,161 passengers were carried to historica l sites,festivals , wineries and general points of interest." Pony Express" service to Golden Gate Fields in Albanycarried 109,640 rac ing fans to the race track during thethoroughbred meet , with 131,746 making return trips by bus. Inaddition , 3,244 fans were taken to the harness racing meet ,with 4,205 leaving by bus .

Special service to East Bay Regional Parks was operated forthe fifth summer , with coaches operating dai Iy to Ti Iden ,Roberts , Redwood , and Chabot , and to Don Castro onweekends . The Tilden Park bus was again outfitted with racksfor bicycle riders." Pedal Hopper " buses continued to operate on Line B-GrandAve. , taking bicycle enthusiasts to and from San Francisco onweekends and holidays.

Special service was also provided to sporting events at theOakland-Alameda County Coliseum Complex enabling fans tocheer their favorite teams.

DEMONSTRATION BUSES. , .Three buses were tested by AC Transit during the year. AFrench built Renault Berliet P. R. 100 was in service from May 1through June 20 , 1978.A Mercedes-Benz traveled over various routes from March 6through March 24 , 1978. And a Gillig-Neoplan bus was inservice from March 6, through April 15 , 1978.

NEW EQUIP M ENT SOUG HT . . ,In August , 1977, the District moved to gain a substantia lUMTA grant for capital acqu isition . Funds wi II be used to

purchase 75 new buses for use in the urban East Bay , 20 othersfor use in contract service , plus additional support equipmentand passenger shelters .FIVE-YEAR PL AN . . .A thorough 15-month study was launched to provide t heDistrict with det ailed data for use in developing a five-yearplan to meet future needs .Aimed at defining spe c ific District objectives andest abl ish ing servi ce standards , the study wi II review po liciesand servi ces of the last seven years and provide projectionsfor the future in such areas as fare revenue , fund ing andpassenger demog raphy .


10/16

ADMINISTRATION .. .Midway in the fiscal year - . on January 3, 1978 - . the District

was shocked by the untimely death of General Manager Alan L.Bingham, who had served in that capacity for ten years afterbeing active in the formation and early success of AC Transit.

After a wide search , the Board of Directors selected anotherveteran of service to the District to direct AC Transit operations.Robert E. Nisbet , previously attorney for the District, was

appointed acting general manager in mid-January.As the District 's first employee , Nisbet drafted the originalTransit District Law - now part of the State Public UtilitiesCode - which enabled creation of AC Transit in 1956.

Subsequently, Nisbet ably represented AC Transit before theState Legislature while also assisting previous generalmanagers in directing District affairs.

BOARD OF DIRECTORS . . .As the fiscal period began, two new members had beenwelcomed to the Board of Directors .Paul B. Godkin of Oakland and Jean A. Holmes of Fremontwere appointed in June, 1977, to fill vacancies on the Board.

John L. McDonnell of Oakland , whose service on the Boarddates from its inception in 1956, continued to serve as president.Roy Nakadegawa of Berkeley continued as vice president.

MEETING COSTS . . .This fiscal period began with the District anticipating afinancial deficit and , more importantly, increasing deficits inyears to come .The fiscal year ended with California voters passingProposition 13, the Jarvis-Gann Property Tax In itiative, wh ichdramatically changed the District 's financial prospects byvirtually eliminating property tax.Property tax revenue had been a major source of support oftransit operations.Faced with this new financial reality, the District beganenergetically seeking alternative sources of funding at thelocal , regional , state and national levels.

Prompt action by District Directors and the State Legislatureensured that AC Transit would continue operations into thecoming fiscal year.But prospects remained uncertain for meeting financialcommitments while continuing current levels of service intocoming years .

Alan L. Bingham1925-1978

General Manager: 1967-1978

TOWARD THE FUTURE . . .As in the past, AC Transit continues to look to the comingyear with a commitment to meet the needs of the vast area iserves .Steadily increasing numbers of District residents - as

demonstrated by ridership trends - believe buses to be a ktransportation alternative in the Bay Area. The District facechallenging year of vigorous efforts in providing andimproving this alternative .

LOOKING AHEAD - Research and Planning(left) prepares for meeting future needs.Training instructors (right) keep drivers up-todate on new developments. Management(above) confers on proposed service extension.10


11/1611

TRANSIT IS PEOPLE - Meeting both general andspecialized transit needs is the District's continuingchallenge. It requires both hard work and dedication onthe part of hundreds of professionals, some of whom areshown here. Charles O. Sigler, assistant superintendentof Newark Division (upper left), explains to a group of Fremont-area senior citizens how to use their zonal Dial-ARide , which was fully implemented this year. Workingwith a much younger public were (upper right) All -ProOakland Raiders Phil Villapiano and Otis Sistrunk , whopresented anti-vandalism programs at various schools.Bernell Thomas (above) represented Customer Servicesin issuing reduced-fare identification cards to seniorcitizens and the certified handicapped .

SERVING THE PUBLIC - In public hearings held this ye(center left) the handicapped and elderly appeared before tBoard of Directors to give opinions and recommendationstheir particular mobility needs. Meanwhile, the demands of dato-day service meant such activities as training new operato(left) and coping with the heavy traffic (above) which is typicalurban service areas.


12/16

ALAMEDA-CONTRA COSTA TRANSIT DISTRI CTCOMBINED BALANCE SHEET (NOTE A)June 30, 1978 and 1977

ASSETSCurrent assets:Cash :On hand and in commercial accounts

Time deposits

Short-term investments , at amortized cost(approximates market)

Receivables:Federa l operat ing assistance (Note C)Loca l transportation fundsProperty tax proceeds , charter service and other

Materials and supp lies, at costPrepaid expensesTo tal current assets

Property, plant and equipment, at cost (No te 0) :LandBuildings, structures and improvementsRevenue equipmentShop, office and other equipment andservice vehic lesAcquisitions in progressLess accumulated depreciation

Total property , plant and equipment

LIABILITIES AND CAPITALCurrent liabilities:

Accounts payableSalaries and wagesAccrued payroll taxes and amounts withhe ldfrom emp loyeesAccrued pension costs (Note A)Accrued interest on bonded debtUnredeemed tickets and tokens'Advances under capital grants:Federal capital grantsState toll bridge fundsAdvances of local transportation fundsSelf-insurance reserves (Note A):Pub lic liab il ity and property damage

Workers ' compensationAmount due with in one year on general

obligation bondsTotal current liabilities

General obligation bonds, due serially to 1980 atvarious interest rates (1 % to 3.25%), less amounts duewithin on e yearCap ital ( Notes A and H) :

District equityContributed cap ital :Federal grantsLocal transpo rt ation fundsState to ll bridge fundsTotal capital

See accompanying notes

1978

$ 157,70515,700,00015,857,70516,368,5385,504,7083,492,6771,304,546560,703103,513

43,192 ,3902,239,6001,494,74629 ,925,3212,820,4741,484,027

37 ,964,16819,594,79518,369,373$61 ,561,763

$ 1,544,657588 ,596632,48013 ,076,92629 ,042159,979

4,157,9653,495,169376,038660,0001,296,000

1,100,00027 ,116,852

2,550,00020 ,809,5439,974,882946,532163,954

31,894,911$61,561 ,763

12

1977

$ 879,6675,715,6256,595,2925,713,4064,759,3604,388,7082,080,859572 ,589

81,47124,191,6852,239,6001,494,74630,699,0902,558,173567,197

37,558,80618,685,38818,873,418

$43,065,103

$ 858,6271,068,732375,6228,413,28840,417150,477

202,988679,000900,000

1,050,00013,739,151

3,650,00014,628,46910,047,0061,000,47725,675,952

$43,065,103

ALAM EDA-CONTRA COST ATRANSIT DISTRICTNOTES TO COMBINEDFINANCIAL STATEMENTSJune 30, 1978A. Summary 01 accounting policiesBasis 01 presen tationThe accompanying financial statementsinclude the combined financial position, resuof operations and changes in financial positiAlameda-Contra Costa Transit District , SpecTransit Service Districts No.1 and No.2 andother areas in which the District has contracto provide transit service.The District has contracted to provide traservice for the Bay Area Rapid Transit Districand several local c ities. The allocated cost oproviding such service , less related operatinrevenue , local transportation funds and fedeoperating assistance is reimbursed by eachentity and recorded as contract service reve

Operating revenues and expenses for theended June 30 , 1978 were affected by a strikeagainst the District by members of theAmalgamated Transit Union (drivers andmaintenance and c lerical staff) during the peNovember 21 , 1977 through January 28 , 1978Property , plant and equipment

Property , plant and equipment is depreciaon the straight-line method over the estimateuseful lives of the assets which are as followBuildings, structures and

improvementsRevenue equ ipmentShop , office and other equipmentand service vehic lesSell-insu rance reserves

10-35 15 5-20

The District is self-insured for public liaband property damage up to $75,000 and workcompensation claims up to $100,000 for anyooccurrence. Claims in excess of these amouare insured with commercial carriers . It is theDistrict's policy to provide, in each period ,reserves to cover the estimated charges for tself-insured portion of these c laims.

PensionsThe District has a noncontributory pensioplan covering all union employees and provisimilar retirement benefits for nonunionemployees. The pension contributions(provisions in the financial statements) are bon percentages of gross payroll as reviewedannual ly by the Board of Directors . Effective1,1976, the District adopted a contributionprogram which provides for normal cost of thplans plus amortization of prior service costa period of forty years in accordance withgene rally accepted accounting principles.During the year ended June 30,1978, the Disreceived an additional $1 ,000,000 apportionmof local transportation funds to provide for aport ion of the unfunded prior service cost. Tamount and the related additional pensioncontribution are included in revenues andexpenses for the year ended June 30 , 1978. Ttotal pens ion contri but on for the year endedJune 30, 1978 was $5,362,000 (1977 - $4,146,0plus an allocation of interest earned on Distrinvestments in the amount of $655,000 (1977$348,000)The excess of prior service cost of the plaover balance sheet pension accruals at Janu1, 1978, the date of the most recent actuarialva luations , was approximate ly $48,200,000 athe excess of the actuaria lly computed valuevested benefits over ba lance sheet pensionacc ruals was approximately $29,000.000.

The District is eligib le to receive an annu


13/16

apportionment of local transportation funds(Note B) only if it continues to implement a plan,approved by the Metropolitan TransportationCommission , which will fully fund the plans overa forty-year period.ReclassificationsCertain 1977 balances have been reclassifiedto conform to the 1978 presentation .Contributed capitalThe District periodically receives federal

grants from the Urban Mass TransportationAdministration of the U. S. Department ofTransportation and state toll bridge revenues andlocal transportation funds (Notes B, D and E) forthe acquisition of buses and other equipment andimprovements. Capital grant funds earned , lessthe related portion of depreciation on the assets,are credited to contributed capital. Advancesreceived on capital grants are recorded asliabilities until the funds are expended for capitalacquisitions.

Changes in contributed capital for the yearsended June 30, 1978 and 1977 are as follows:

Local State

ALAMEDA-CONTRA COSTA TRANSIT DISTRICTCOMBINED STATEMENT OF REVENUE,EXPENSE AND CAPITAL (NOTE A)Years ended June 30, 1978 and 1977Operating revenue:FaresCharterAdvertisingInterest

Other operationsOperating expense (excluding depreciation):Transportation

MaintenanceOperating taxes and licensesAdministrative and generalWelfare and pensions (Note A)Insurance and safetyPublic information and advertising

1978

$13,359,840449,897245,832300,36581 ,36614 ,437,300

28 ,188,7175,187,0201,768,7983,445,9518,480,7492,658,017467,054

1977

$16,289,653,0304,230,119,17,597,

31 ,305,5,522,1,781 ,3,172,7,261 ,1,991 ,459,Federal transporta- toll bridge Operating loss before depreciation

Depreciation (Note A)

50 ,196,30635,759,006

1,690,55437,449,560

51 ,494,33,897,

1,647,35,545,

grants tion funds fundsBalance,

July 1, 1976 $ 9,201 ,630 $ 673,271 $ -1977 transactions :Capital grantfunds earned 1,635,601 386,522Depreciation

charges includedin operatingexpenses,transfe rred fromDistrict equityBalance , (790.225) (59 ,316)

June 30, 19771978 transactions: 10,047,006 1,000,477

Operating lossNonoperating items:

Property taxes applied to operations (Note G)Local transportation funds (Note B)Federal operating assistance (Note C)Contract service revenueInterest and fees on bonded debt

Excess of revenues over expenses(expenses over revenues)

Capital:Balance at beginning of year

21 ,425,74812 ,848,0295,504,7081,906,936(96,328)41 ,589,093

4,139,53325,675,952

19 ,726,7,143,4,759,1,978,(130,433,477,1(2 ,068,424,680,

Capital grantfunds earned 799,264 18 ,884 169.608

Property taxes applied to redemption ofbond principal (Note G) 1,091 ,670 1,041 ,Depreciation

charges includedin operatingexpenses,transferred fromDistrict equity

Capital grant funds for acquisition of assets:Federal grant fundsState toll bridge fundsLocal transportation funds

Balance at end of year(871 ,388) (72 ,829) (5,654)Balance ,

June 30, 1978 $9,974 ,882 $946,532 $163,954 See accompanying notes.B. Local transportation fundsPursuant to the Transportation DevelopmentAct of 1971 , the District has received anapportionment of local transportation fundsgenerated within Alameda and Cont ra CostaCounties to meet , in part , its operating andcapital requirements . The funds are apportionedbased on an annual cla im filed by the District andapproved by the Metropolitan TransportationCommission.C. Federal operating assistance

The District was allocated a total of up to$5,567,514 of federal operating assistance for theyear ending June 30, 1978 pursuant to Section 5of the Urban Mass Transportation Act of 1964, asamended by the Mass Transportation AssistanceAct of 1974. The estimated reimbursement foreligible operating expenses during the year($5,504,708) has been accrued and is subject tofinal audit by the Metropolitan TransportationCommission and the Urban Mass TransportationAdministration .Federal operating assistance funds areapporti oned to the loca l urbanized area and aredistributed to ind ivi dual transit operators by theMetropolitan Transportati on Commission afterapproval by the Urban Mass TransportationAdm ini stration.

D. Federal capital grantsAt June 30, 1978, buses and other equipmentwith a cost of $19,272 ,638 had been purchasedunder federal grant contracts. Under the terms ofthe grants , proceeds from equipment sold duringits useful life in proportion to the related federalcapital grant funds , are refundable to the federalgovernment unless reinvested in like equipment.The District has five grant contracts inprocess with the Urban Mass TransportationAdministration which provide federal funds forthe acquisition of buses and other equipment andimprovements. Budgeted capital additionsapplicable to the grant projects are $37,118,607.The related federal participation is $27,971 ,911 ofwhich $12,182,676 had been earned at June 30,1978. At June 30, 1978, in connection with theseprojects , the District has committed to purchaseequipment at a cost of approximately $8,500,000.E. State toll bridge fundsUnder the provisions of the California Streetsand Highways Code which became effectiveJanuary 1,1976, the District has received anallocation of state transportation fundsgenerated from toll bridge net revenues of theSan Francisco Bay Bridges in the amount of$3,664,777 to meet certain of its capital

13

799,264169,60818 ,884$31 ,894,911

1,635,386,

$25,675,

requirements. The funds are apportioned baon claims approved by the MetropolitanTransportation Commission .F. LitigationThe District is the defendant in an actionbrought by individual plaintiffs on behalf ofcertain union employees which involves theapplication of the California Labor Code to tDistrict 's union agreement in effect prior toSeptember, 1974. The matter was decided infavor of the Distric t in the trial court. Howevethe trial court's decision was reversed by theappellate court in 1976, and the matter has bremanded to the trial court for the determinaof damages. This litigation is without legalprecedent and , therefore. it is difficult to forethe probable financial impact on the DistrictHowever, the amounts of damages, if any , arexpected to have a material effect on theDistrict's operations or financial condition.The District is involved in various otherclaims and litigation arising in the ordinarycourse of business . None of these is expectehave a significant effect on its operations orfinancial condition.G. Property tax limitationIn June, 1978, the voters of the State of


14/16


15/16

ARTHUR YOUNG 8. COMPANY

The Board of DirectorsAlameda-Contra Costa Trans i t Di s t r i c t

1330 B R O A DW A YOAKLA ND , CAL I F ORN IA 946 12

We have examined th e accompanying combined balance shee t sof Alameda-Contra Costa Trans i t Di s t r i c t a t June 30, 1978 and 1977an d the r e l a t ed combined s ta temen ts of revenue, expense an d cap i t a lan d changes in f inancia l pos i t ion fo r th e years then ended. Ourexaminat ions we re made in accordance with genera l ly accep ted audi t ings tandards and, accordingly , included such t e s t s of the account ingr ec o rds and such othe r audi t ing procedures as we considered neces saryin the c i r cums tances .

In our op in ion , the s ta temen ts mentioned above presentf a i r ly the combined f i nanc i a l pos i t ion of Alameda-Contra Costa Trans i tDi s t r i c t a t June 30, 1978 and 1977 an d the combined r e s u l t s of opera-t ions an d changes in f inancia l pos i t ion fo r the years then ended, inconformity with genera l ly accep ted account ing pr inc ip l e s appl ied on aco ns i s t e n t bas i s dur ing the pe r iod .

Novemb e r 3, 1978

15


16/16

/c , .Transit508 16th StreetOakland, California 94612

Date post:	30-May-2018
Category:	Documents
Upload:	ac-transit-historian
View:	220 times
Download:	0 times

AC Transit Annual Report 1977-1978

Documents