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Vol. 8, No.5 OAKLAND, SEPTEMBER 1965

District Workers Awarded 10% WageIncrease; Line Held on Taxes for Year

Pay Boosts, EmployeeBenefits Hit New HighAn arbitration board this month

awarded AC Transit workers a 10 percent pay increase over the next twoyears plus improved health and pension coverage, at a cost of more than$2,100,000.The decision gives to over 1200members of the Carm en's Union aminimum 30-cent hourly pay boostover the life of the new two-year contract expiring May 31, 1967.An initial 15 cents an hour raise isretroactive to June 1 of this year, andthe other 15 cents will become effective next June.

Bus operators had been making$3.01 an hour - one of the highestrates in the country.Mechanics Class A were awarded an

increase of 23 cents an hour retroactive to June 1, and another 20 centsnext June 1 - for a total of 43 cents.The current wage was boosted to $3.80per hour with the award.The new wage rates will be appliedto all union classifications beginningOct. 1, to be followed by a four-monthretroactive payroll by the end of Oc-

(Continued on Page 2)

Greater Rider GrowthNeeded to Meet CostsExpenses are zooming upward for

AC Transit, as they are for businessand private citizens generally, but thedistrict will maintain its present taxrate for another year.

To reach a stable financial balance,however, more passengers must be attracted to use their bus network, nowconsidered topflight in the nation.

Despite efforts to trim expenses tomeet spiraling costs, revenue growthis not keeping up with inflation, according to General Manager K. F.Hensel.

While studying areas from whichadditional funds can be drawn, dis trict directors decided against any immediate changes and voted to retainthe tax rate at 12.5 cents per $100 assessed valuation.

The board adopted a budget estimated last June of $15,833, 100 - some$350,000 higher than the "breakeven" budget of the past fiscal year.The estimate did not provide for increases in wages which resulted fromarbitration of a new labor contract be-

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Arbitration Board Gives Minimum 30-centHourly Pay Boost to All Union EmployeesContinued from Page 1tober, according to John F. Larson, we expected and it is obvious the distreasurer-controller. trict must find either ne w sources of

Th e district, which now puts $12.83pe r month into a group health insurance program for each employee, willbe required to boost the amount to $15a month effective Sept. 15. Next year,on June 1, an additional $3 pe r monthwill bring the total to $18 for eachunion employee.

Annual costs of th e district's pension plan were more than doubled.Th e program, which cost $276,000 inthe 1964-65 fiscal year, will be increased on March 1 by five pe r centof the payroll, amounting to approximately $756,000 for this coverage.Th e additional amount will cover newbenefits not yet agreed upon, pendingdiscussion an d detailing of a funded,joint-administered plan.An additional holiday, to be selectedby the union, also wa s added to theseven now given to transit workers.Th e award established a ne w classification of chief dispatcher for eachdivision, at a monthly salary of $657.Th e dispatcher rate was set at $614 an dth e assistant dispatcher, at $575.

Th e award will raise district costsby $2,102,000 over the life of th e contract, according to General ManagerKenneth F . Hensel.Largest Pay Hike

Th e increase is th e largest amountawarded since AC Transit took overfrom Key System in 1960.The personnel and public relationscommittee of the board of directors isscheduled to meet early in Octoberto consider salaries of non-unionemployees.William H. Coburn, president of thetransit district board, said th e increasewill pu t th e budget for the ne w fiscalyear in the red by $750,000.He said the award was higher than

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revenue or devise economic measuresto provide the funds needed to mee thigher wage levels."W e have made every effort to provide comparable wages for our employees, at reasonable levels. At thesame time, we must maintain the district on a solvent, economic basis . Wehave to be able to pay our labor costs,and still develop the kind of publicservice that will attract larger numbers of riders," he added.At a meeting last Aug . 25, di rec tor svoted to maintain the tax rate of 12.5cents pe r $100 of assessed valuation,in hope the district could meet "normal" wage increases out of res e rvefunds.Second to Top

The wage raise will pu t distr ic tdrivers in second place among busproperties on the West Coast. Onlycomparable property to surpass ACTransit is the San Francisco MunicipalRailway, which pays drivers $3.22V4cents an hour under a city charter requirement, based on the average of th etw o highest basic wage scales of properties in the United States se rvi ng apopulation of at least 500,000.Th e labor contract went to arbitration in June after union workers re jected AC Transit's basic offer of a 21-cent hourly increase over tw o years,plus fringe improvements. The unionhad a 25-cent hourly increase for a oneyear contract, with improved fringebenefits .Th e contraCt award was opposed bythe transit district's two representatives on th e five-man arbitration board .Supporting the decision were AdolphM. Koven, chairman of the board, andthe tw o members appointed by theCarmen's Union.

AC/ transit PASSENGER REVENUE ... COMPARISON WITH PREVIOUS YEAR1,180 ,0001,160 ,0001,140 ,0001,120 ,0001,100 ,0001,080 ,0001,060 ,0001,040,0001,020,0001,000 ,000

980 ,000960 ,000940 ,000920 ,000900 ,000880 ,000

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Buses Get 'the Rush' at Skyline HighA special bus fare didn't dis co ll1'Cl o e Skyline High stu dellts , who lIsed 30 AC Transitcoaches for dellixe ride home at en d offirst day. A 30 cellt round trip rate was established to pay costs of special off-mute mileage.

Special AC Transit buses seemedlike a bargain this month to most Skyline High students, who for the firsttime were paying their own tab forofF-route mileage to th e school.

On the first day of school, th e district took 2,141 youngsters to and fromthe hilltop high, compared to 1,752who rode on opening day last year.

By the second day, the count rose to1,125 making the trip to classes in themorning and 1,187 coming home for atotal of 2,312 . Th e tally was e xpectedto go even higher after the youngsters "shake down" into a riding pattern. Fifty-seven buses were beingused in the special service.

Enrollment was 2,056 last year andabout 2,300 this year.Th e students ar e paying the usuallO cents to ride to the school in themorning and 20 cents to get home. Th eround-trip fare of 30 cents was established by AC Transit board of directors to meet th e cost of what amounts4

1-----to a charter operation after th e Oak land school board dropped its subsidyfor the service.

While riding was up, there was somecomplaint from parents about whytheir youngsters ha d to pay more forSkyline High service .In setting up the fare, directors explained that AC Transit taxpayers andpassengers can't be expected to pay forspecial service to Skyline High or anyother individual school.

Last year, an average of 1,000 students paid lO cents in the morning and1,200 paid 15 cents for the ride home,with the extra nick le going to theschool district to pay half of its subsidy expense of $21,000.

With major school openings spreadover tw o weeks, transit staff memberscould expect about a month of operational problems before the most efficient schedules are determined forthe 50,000 youngsters handled eachschool day.

FCC Approves Additional Radio Channel fo rDistrict's Bus Communications Network

Permission to ad d a n ew channel toAC Transit's radio network was grantedthis month by the Federal Communications Commission - another step towards equipping 300 district buseswith radio units.

Th e FCC approve d the district's application to add a ne w base stationand 300 mobile units for bus use . Th esame call lette r KMA 776, will be used.

Specifications for the new ' systemare being pre pa red by Watson Com-

munication Engineering of Richmond,now in the process of conferring withvarious manufacturers . Bids for theequipment will be advertised after theFederal Government approves thespecifications.A capital grant from the U. S. Housing and Home Finance Agency ishelping to finance th e project, which isdesigned to combat vandalism, robb e rie s an d assault on bus operators,as well as to assist in bus operations.

New Workers Added to Transit DivisionsAC Transit's family began growingagain in August, with the followingemployees going to work:

Emeryville DivisionPBX/Information: Sidney L. Bald

win, 2601 Marina Blvd., Apt . 8, SanLeandro, clerk.

Transportation: Johnie Paulding, Jr.,1525 Russell St., Apt. 7, Berkeley, mailmessenger, vacation relief.

Bus Op e rators: J. G. Foran, 1405 BaySt., Alameda; F.C. Gazaway, 716 14thSt., Apt. 3, Oakland; L. D. Bloom, 456Buena Vista Ave., Apt. lO5, Bldg. 17,Alameda.

Richmond DivisionBus Operators: D. P . McLaughlin,1907 San Joaquin St., Apt. B-1, Rich

mond; W. W. Wheeler, 744 CrestviewDr., Pinole; E. E. Kirk, 12999 SanPablo Ave., Richmond; B. J. L ewin,13613 San Pablo Ave., Sp. 186, SanPablo; D. E. Morgan, 2025 Dunn Ave.,Apt. 8, Richmond .

Seminary DivisionBus Operators: J. W . Thomason,

6296 Montcalm Ave . Newark; J. M.Ayers, 254 Schafer Rd ., Hayward; M.W. Welch, lOlO Peralta Blvd., Fremont.

AC TRANSIT transfers haven't gottenthis big, even i f privileges have been expanded. Bus Driver R. ]. MacDonald justused the large version to explain "stopof f and go-again" riding in different citiesserved by the district. Advantages of newtransfer plan were of particular interestto Del Smith, president o f El CerritoChamber of Commerce, and Judith Rae,"Miss Contra Costa County." .

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JOHN F. LARSON, right, ACTransit treasurer-controller,makes payment of $930,433 onAC Transit's bonded debt toGeorge R. Dagnall, Bank ofAmerica vice president, whohandles public agency ac-counts. Elmo Mazzera, left,bank .vice president and gen-eral manager, holds some o f re-deemed bonds. Payment re-duced balance of outstandingbonds to $13,950,000.

We/re Off and Rolling on United CrusadePersonal experiences with some ofthe challenges me t during the past

year by United Bay Area Crusade -including a look at the Hood areas inNorthern California and at the serviceme n making their last stop here en route to Vietnam - ha s given ACTransit employees a special interestthis month in whipping up 100 pe rcent participation in th e 1965 campaign.The joint "over-the-top" drive,staged by the district and Division 192of the Carmen's Union, was officiallylaunched at a luncheon at th e AthensAthletic Club, with representatives ofdifferent departments getting togetherto plan th e crusade.

Bu t interest already has been shownamong workers who, this year especially, have seen what their UnitedCrusade gift can buy, according toW. G. "Bill' Skilling, assistant treasurer an d head of th e district's effort.

Skilling said each employee wouldbe asked to give a "fair share" to support the many voluntary agencies ofthe United Crusade.6

"Our goal is 100 per cent participation, with each employee deciding onhow much they can help with health,welfare and recreational services offered by United Crusade agencies.

" It has be en suggested that a fairshare for eac h person is one hour'spay a month for 12 months - an easygift through the payroll deduct ionplan," Skilling said.

Th e district drive will be conductedby division superintendents, includingJ. D. Goodman, N. P. Alevizos, T. P.McLean; maintenance representativesA. R. Lucchesi, Joe Enos, D. C. Rodriques; by John Krajcar from stores,Frank Curcio from general offices, andother helpers. Heading the union participation will be p r e ~ i d e n t L. V.Bailey.

Death Takes PensionerGregor L. Espell, former street car

motorman an d bus operator, died Sept.4, shortly before his 73rd birthday . Es pell, who lived at Wilseyville, entered service in 1928 an d was pensioned in 1958.

AC Transit is proud to reprint below a few of he many letters of commenda-tion received during the month -letters unsolicited from residents of the EastBay who are owners of the transit system. Letters were selected at random toreptesent the quality of courtesy, service and safety demonstrated by AC per-sonnel in their most important relationship with our customers.

This is a letter of appreciation forthe pleasant, thou ghtful service of th ebus operator (E. V. Costa) with whom Irode to work most of this summer. Inaddition to his competence as a driver,which one tends to take for granted,he was courteous and kindly to everyone who boarded his bus . . . he quicklylearned to recognize his "regulars"an d looked for them as he approachedthe stop where the y boarded, waitinga second or two if he sa w th e mcoming . . . James McClelland

Long Beach* * *

We wish to extend a vote of thanksto your driver (T. B. Petersen) on thebehalf of our guests that took a fieldtrip. Through his efforts, the trip wasmade successful and enjoyable for ourguests . .. .

Adrian ScharlachTh e Leamington HotelOakland* * *

This note is to tell you that your busdriver No. 1705 (C. A. Chapin) is amost pleasant and helpful person ...I appreciate his courtesies. When hehas a blind or disabled passenger, heis most careful to see that the personis cared for . . . He drives the 43 buswhich passes the Alameda CountyCourthouse .. . My co-workers wishthere were more drivers like him .

Mrs . Mary CliffWalnut Creek

For 20 years I have commuted fromAlameda to San Fr ancisco . . . today wenever ha d it so good . I am subject tocar sickness when th e coach is full ofsmoke smell . .. Driver 1760 (R. C.Carroll) has insisted that there be nosmoking. This is especially difficultfor him because some of th e most stubborn smokers are women past middleage and he is a very courteous youngman .. . we vote him a citation for conduct over and above required duty.

* * *Allen BassettAlameda

I am writing this letter in behalf ofon e of your operators (Wayne Barker).... I have yet to see him be anythingbu t most courteous to all passengers,helpful in giving directions as to transferring to other bus lines and being anextraordinarily safe driver at all times ..Mrs . H. C. LoganOakland

* ." .". . . a group of students from Hamil

ton Junior High School were taken ona tour of San Francisco in two or yourbuses . . . the tw o men on the buseswere (J. D. Self) and (V. L. Hart) . . . Wewish to commend them for their courtesy and friendliness and driving efficiency. Mrs. Ranada Bohenna

Oakland7

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ACTIONS OF THE BOARAt an adjourned regular meeting'

August 25, 1965, the Board of Directors: Fixed tax rate for 1965-66 fiscalyear at 12.5 cents per $lOO of assessedvaluation, on motion of Director Berk.At the regular meeting, September 8,1965, the Board of Directors: Approved contract with WatsonCommunication Engineering of Richmond for consultation services on design of two-way bus radio system, ata fee not to exceed $5,000, on motionof Director Rinehart.Alternatives Sought onHow to Meet Expenses(Continued from Page 1)tween the district and the Carmen'sUnion .

The additional wages and fringebenefits will raise the budget estimateto $16,450,000, resulting in a deficitof approximately $750,000 Henselsaid.Costs Top Income

Wages, salaries and employee benefits accounted during the past year forapproximately 70 per cent of total ,district expense and have risen an average of 3.5 per cent annually - at ahigher rate than income.

William H. Coburn, Jr., president ofthe board, has aked Hensel to developinformation on four alternates to meetincreasing costs.Coburn said increased expenses

Alameda-Contra Costa Transit DistrictLatham Square Building

Oakland, California 94612

...r .n .... . . . . . . . . .Pu bl ished monthly by the

ALAMEDA-CONTRA COSTA TRANSIT DISTRICTlatham Square Building 508 Sixteenth StreetOokland, California 94612 Telephone 6547878

BOARD OF DIRECTORSWill iAM H. COBURN, JR. . PresidentJOHN McDONNEll .ROBERT M. COPELAND.RAY H. RINEHART.WilLIAM E. BERK .WM. J. BETTENCOURT.E. GUY WARREN

Ward IWard III . Vice Pres ident

Director at largeDirector at Large

Ward IIWord IVWord V

ADMINISTRATIVE OFFICERSKENNETH F. HENSELROBERT E. NISBETJOHN F. lARSON.GEORGE M. TAYlOR.ALAN l. BINGHAM

. Genera l ManagerAttorney

Treasurer-ControllerSecretary. Public Information Manager'--______ 5 _ - - - - - ......

could be met by revision of the farestructure, increase in tax rate, adjustments in level of service or curtailment in purchase of new equipment .In the past, revenue has been sufficientto cover operating expenses, while taxfunds have been used for new equipment purchases and the retirement of$16,500,000 in bonds issued in 1960when the district took over from KeySystem Transit Lines.

With three directors absent, four directors voted in accord on a re solutionto maintain the tax rate .Director Ray Rinehart, finance committee chairman, who was out of thestate, and did not attend the meeting,urged in a letter that a 2.5 cent tax increase be authorized at this time rather than deplete reserves.

BULK RATEU. S. PostagePAID

Oakland, Calif.Permit #2105

GOOD WN SAMMEL U-5ReM" Requested 201 a ellA NNtrlG 'Vi AY

e L E Y 4, tA L[F.l