ac transit annual report 1971-1972

8/14/2019 AC Transit Annual Report 1971-1972

1/16

Ae TRANSITannual reporl* 1971 72


2/16

KIMI FUJII

ROBERT M. COPELAND

CLAUDE DAUGHTRY

RAY RINEHARTPresident

BOARDOF

DIRECTORS

JOHN McDONNELL

WILLIAM J. BETTENCOURTVice-President

WILLIAM E. BERK


3/16

HIGHLIGHTS

AC Transit on target for start of BART. Agreement reached on free train-bus transferplan. Study on effectiveness of AC Transit/BARTcoordination funded by Federal grant. Line by line study of connector buses for Phase I

of BART completed. Sales tax on gasoline offers fi rst State subsidy

for transit systems. Federal grants clear way for long-rangeimprovement program, financing equipmentwith anti-pollution devices. "Jet age" busesordered. San Francisco Bay Area qualifies for two-thirdsfunding on Federal grants. Cooperation pledged for transit servicesin outlying areas. New contracts guarantee labor peace. New tax rate set to help meet riSing costs. First steam bus demonstrated to governmentand transit officials and public. New safe driving records established. Ridership on AC Transit holds steady, despitea passenger loss of 5.24 percent nationally.

THE COVER: To San Pablo 's descrip tion as a "City of Pride and Progress"might be added " phenomenal growth." The center of western Contra Costa County,San Pablo is one of five communities that have shown zooming change.Once a rolling rancho of grazing land stocked with cattle, San Pablo had apopulation of 2,500 in 1940. The population boom tha t began with World War II,led to San Pablo's incorporation in 1948 and a population of 21,461 withinthe city limits by 1970. One of 12 cities served by AC Transit, San Pablo still ison the upswing as the commercial hub of an industrial, commercial, residential area.The cover highlights, clockwise , San Pablo's bells and early California past;the "Lighthouse," long a landmark; shopping centers, the entrance to Contra CostaCollege and, center, its transit link to other cities.


4/16

TEN YEAR TRENDSFinancial summary of

AC Transit experiencethrough fiscal year

ending June 30.

REVENUE PASSENGERSMILLIONS OF PEOPLE

1963 1964 1965 1966 1967 1968 1969 1970 1971 1972

PASSENGER REVENUEMILLIONS OF DOLLARS

1963 1964 1965 1966 1967 1968 1969 1970 1971 1972

4

14

13

12

11

10

25

24

23

22

21

90

80

70

60

50

ONE-WAY ROUTE MILESHUNDREDS OF MILES

1963 1964 1965 1966 1967 1968 1969 1970 1971 1972

VEHICLE MILESMILLIONS OF MILES

1963 1964 1965 1966 1967 1968 1969 1970 1971 1972

SYSTEM EXPENDITURES PER MILECENTS

1963 1964 1965 1966 1967 1968 1969 1970 1971 1972

AVERAGE MONTHLYEMPLOYEE EARNINGSHUNDREDS OF DOLLARS

1963 1964 1965 1966 1967 1968 1969 1970 1971 197

BUS FLEETHUNDREDS OF BUSES New Transit Linerso ormer Key System

11111963 1964 1965 1966 1967 1968 1969 1970 1971 197

*Reflects 19 day strike.**Passen,gers restated

from previous AnnualReport to give effectto passenger countprocedure changeseffective September,1965,andsubsequentmonths.


5/16


6/166

It was another year of hard work and increasing assignments,but as the fiscal year ended, AC Transit was on target.The transit system was ready to shift efficiently into a newoperation, providing 69 connecting lines to serve the 10BART rail stations in AC Transit's operating area betweenBART/ South Hayward and BART/ MacArthur.Unprecedented steps were being taken to coordinate thehigh speed rail line and the existing AC Transit bus system,well before the scheduled start of the first BART line.COORDINATION PLANSFor start of train service, AC Transit planned to inauguratefour new bus lines, abandon one, reroute 23 andresechedule 35 . More than 400,000 miles of additionalservice were anticipated during the 1972-73 fiscal year.Schedules were being designed to make meets with trainsin the direction of major traffic flow. Special timetableinserts were planned for those bus lines with extendedheadways, so riders would know what train to catchto avoid a wait.To tell the public how best to use bus and train service,the bus propert y took these steps: Designed new bus stop signs with band o f blue at bottomso public could tell at a glance a bus serving BART stopsat that location. Most signs were to carry lettering stating"BUSES TO BART STOP HERE." Others will say"BART STATION STOP" or give location of nearestsubway entrance.

Innovative "TO BART" lightis inspected by AC TransitDirector Robert Copeland;Paul Bay of MTC; BARTDirector Richard Clark andJack Beckett, MTC repre-sentative from Santa ClaraCounty.

More than 3,258 passenger stop flags were beingprepared for the initial Fremont to Oakland BART operation,while Oakland to Richmond will require an additional 2,632.The new signs list line number of bus observing the stop,its main destination, whether or not the bus goes to BART,limitations in service, and whether use is restrictedto transbay riders. Installation of a new "TO BART" light was underwayon 552 buses. The blue light, at top front alongside headsign,is an innovation for the transit industry and an importantguide for riders . It can be turned on by operator to alertpassengers the bus is on its way to BART. After leavingstation, the light will be flipped of f by operator, to bereactivated before the bus reaches the next BART facility. New plastic portable signs, with "TO BART" and thefront view of a train, were being made at Emeryville Divisionfor posting in windshield of other buses heading for railstations.NEW HEADSIGNS Headsigns on buses were being changed to includeBART station information. Houte changes required themaking of 11,000 coach head and side destina tion signs. New pocket timetable schedules were being preparedfor the public for lines which were to be rerouted andrescheduled. Route maps were redesigned to include BART networkinformati on as each phase of rail,service goes intooperation.

Mrs. Kay Jaynes, left, of BART, learnsdetails of bus information from Mrs. ZadaMalinak, AC Transit customer servicessupervisor. Both agencies will be ableto answer questions about either trainor bus service as result of joint training.

Terry French, left, and Jack Rutherfordprint new headsigns for start of BARTservice.


7/16

Darell Willis, Emeryville maintenance worker, cuts space for new "TOBART" light which will inf.orm waiting passengers that an oncoming busis going to a BART station.

Bus passengers will knowhow to use AC Transit service to BART stations withhelp of redesigned bus stopsigns.

Under cooperative telephone informationprogram, Mrs. Maria Robie, supervisor ofBART'S Information Center, learns ACTransit bus routes.

AC Transit and BART were working together on thetraining of PBX/ Information clerks to answer either busor train queries. Tie-lines between the agencies wereinstalled to make it possible to transfer cal ls as needed.A "hot line" between AC Transit central dispatch and BARTcontrol center also was planned. "Take One" leaflets, with information on bus routerealignments and schedule changes, were planned fordisplay on all buses. Cards were designed fo r advertisingracks, telling passengers how to ride both bus and train. Training of drivers, supervisors and other personnel wasunderway, so all would be familiar with new AC Transitand BART operations. Route map booklets were designedfor all BART station routes , East Bay bus routes, andtransbay routes to aid in classroom and on-the-roadinstruction. The program will involve eight hours trainingfor each of 1,167 drivers.

JOINT TRANSFERRepresentatives of the new Metropolitan TransportationCommission (MTC) joined with AC Transit and BARTBoards of Directors in discussing transfer and joint fareprocedures. Agreement was reached on a one-way freetransfer from BART to AC Transit, with the properties jointlysharing loss in revenue for the free ride, each paying12V2 cents.The two agencies and MTC also joined in a project todetermine if the coordinated services offered in the initialbus-rail operation are satisfactory to the people and if not,what further improvements are needed to attract more

riders. The precedent-se tting $180,000 study was beingunderwritten by a Federal grant for $120,000.AC Transit directors completed a line by line study ofconnector service to BART stations, approving realignmentplans fo r the Fremont to Oakland branch. Study thenproceeded into reroutings involved with the later openingof the Oakland to Richmond rail service.SUPPORT FOR TRANSITImportant support for California public transit systemscame with the signing into law of a bill levying a sales taxon gasoline. Proceeds from the tax will be availablefor publ ic transpo rtation systems, at least in urban areas.In the Bay area, the Metropolitan Transportation Commissionwill administer distribution of these funds.East Bay bus riders were assured of top quality transportation for years to come as a Federal grant cleared theway for the first part of a 1O-year capital improvementprogram.A $7,670,000 grant from the U.S. Urban Mass TransportationAdministration (UMTA) will help provide 215 new busesand improved facilities , ranging from bus shelters andbenches to garage structures. The grant will cover two thirdsof project costs of $11 ,505,000 during the fi rst four yearsof the program. Funds fo r the fifth and subsequent yearsare expected to be allocated later.Most of the money will be spent to buy new buses. By thetime BART is fully operative, the bus system plans to have670 coaches, most of them of modern design. All will havepollution control devices.


8/16

8

The grant will permit remodeling and refurbishing of 6145-passenger, air-conditioned buses purchased in 1961.The District ordered 20 new buses equipped with antipollution kits and exercised an option to purchase another40 under a grant fo r $944,846 made last year by UMTA.The grant also covers installation of improved fuel injectorsin 462 buses, assuring the property of one of the cleanestburning fleets in the Nation .

THE "JET AGE" LOOKNew buses will have newly-designed interiors, featuringa "jet age" look, with improved bucket seats with individualbacks. The seats are wall mounted, with a center pedestal,adding to the open look. New buses also will have outsidesafety lights fo r passenger boarding and alighting afterdark. Final delivery will give AC Transit another 90 buseswith equipment to reduce noise and noticeable odorof diesel combustion.Additional money fo r projects, including the new equipment,fuel injectors and radios for 160 buses, was ea rmarkedfor AC Transit when the San FrancisGO Bay Area metregional transportation planning requirements . The addedmoney was estimated at $432,582.Although final decisions remained with local governmentalbodies, AC Transit pledged full cooperation towardimplementing public transportation systems in centralContra Costa County and southern and eastern AlamedaCounty.

Different combinations of transit services were recommended in engineering studies, including fixed bus routesto BART stations and Dial-a-Ride service for specific areas.Central Contra Costa County, the Livermore-Amador Valleyand the tri-cities of Fremont, Newark and Union City,along with AC Transit and BART, participated in studies.

LABOR AGREEMENTA new one-year labor contract went into effect at thebeginning of the fiscal year, with higher wages andincreased fringe benefits. Drivers' wages were boosted37 cents an hour to $4.93 , an 8.1 percent increase. A costof living increase, effective in January, added one centan hour to wages, bringing the figure to $4.94 per hour.Health benefits were boosted and for the first time, anoptional dental plan was included in the package.The contract had hardly been signed before negotiationsbegan again. Terms of the contract continued past theexpiration date-June 30, 1972-unt i l an agreement wasreached Ju Iy 3, 1972, on a new two-year contract whichgave workers a wage boos t and improved fringe benefits.During the 1972-73 fiscal year, wage and fringe benef itincreases for drivers, maintenance department workers andother union members will average 6.2 percent. Wages of busdrivers were increased, effective July 1, 1972, to $5.20an hour.Arbitration also was underway on a new pension plan.The Board of Directors adopted an operating estimateof $26,348,532 for the fiscal year, an increase of $2 ,786,693

Mrs . Suzy McKivergan illustratesadditional room on "Jet Age"buses. Coaches also have de vices to reduce noise and ai rpollution.

Stacks of dollars illustrate effect of Federalgrant on East Bay communities. Grant willunderwrite long range improvement program.

Passenger shelter, designed by University ofCalifornia architectural student Antone Cepernich, is erected in Alameda as a conveniencefor students from College of Alameda. Thisdesign was one of four picked by a jury in anAC Transit competition involving the universityCollege of Environmental Design.


9/16

Kimi Fujii takes oath as Director fromSuperior Judge George W. Phillips,becoming first woman Board member.

The nation's first modern steam bus goes to Washington to show Congress progress made in experimentwith building low-pollution mass transit vehicles.

or 11.9 percent over the prevIous year 's expenditure of$23,561,839. The boost is attributed to labor costs, highermaterial costs and additional mileage the property expectsto operate.Funds recommended to balance the budget include$16,369,216 in operating revenue , $8,705,327 in estimatedtax proceeds under a consolidated tax levy of 31.1 centsper $100 of assessed valuat ion-a two-cent increase overthe previous year-and Federal grants and District reservefunds tot aling $1,273,989.The first modern steam-powered bus was turned overto AC Transit fo r performance checks before being sentto Washington, D.C. for a much heralded preview bycongressional and transportation leaders.STEAM BUS EVALUATEDDuring the year, the public had an opportunity to ride andevaluate the steam propuls ion system and, in surveys,indicated its keen awareness of air pollution . The AC Transitbus, along with two other buses involved in the Federallyfunded, California State Assembly Steam Bus Project,made an appearance before the Legislature in Sacramento.After demonstration rides and noise and emissions testing,the buses were returned to vendors for further mechanicalimprovements.At the beginning of the calendar year, Director Ray Rinehartwas re-elected President of the Board, and Director E. GuyWarren, Vice President. A month later, the Board wasgrieved at the death of Director Warren, who had beeninstrumental in the effort which created AC Transit in the

"Pedal Hopper" bridges the bay for bikeriders, as District experiments with waysto increase use of public transit.

mid 1950's. Director Warren was in his fourth straight yearas Vice President of the Board when he died, and had servedas a Director since June, 1961.Elected as Vice President to fill the vacancy was DirectorWilliam J. Bettencourt, one of the original members of theBoard and a Past President.

NEW DIRECTORAppointed to fill the vacancy on the Board was Miss KimiFujii of Hayward, long active in community bettermentprojects. She became the first woman member to serveon the Board.AC Transit retained its image of trying to make the systemmore usable to the public when a bicycle bus went intoservice for the summer. For the first time, bicyclists wereable to board the " Pedal Hopper" with their bike and rideacross the Bay Bridge to San Francisco. The serviceattracted national attention, with Sen . James R. Mills,President Pro Tem of the California State Senate, leadingthe first bus load.It was hearts and flowers fo r AC Transit and its advertisingcampaign when a check discovered a group of riders hadbeen playing Hearts on a Line 32 - San Lorenzo Expressevery weekday morning and most afternoons for nearly11 years-the oldest, established, permanent, floatingHearts game in the East Bay . A photo of the group was usedin an advertising campaign around the theme : "Join ourcar pooL"Installation of a student-design bus shelter in Alameda


10/16

10

at Atlantic Ave. and Webster St. was the first visual resultof a project begun the year before. The shelte r was designedby one of four winners in a competition conducted by theUniversity of California College of Environmental Design.A Valuable Ideas Program, or VIP, was launched toencourage employee suggestions. Under terms of the newprogram, employees or pensioners can earn from $25 to$25,000 during the fi rst 12 months if their suggestion willsave time, money or materials and is put into effect.Awards are based on a ratio of 10 percent of estimatedactual savings attributed to the suggestion.

VIP WINNERSFirst winners included Gerald L. Teach, service employeeat Emeryville Division and Keith G. Steckly, mechanic andrelief foreman at Seminary Division. Teach recommendedslow down mounds in the yards to help contro l traffic andprevent accidents; Steckly modified a coolant pressuretester to detect internal water leaks before damage iscaused to engines.An unusual agreement between the transit system and realestate developers resulted in inauguration of a new Line 47during peak hours between the Watergate marina development in Emeryville and transfer connections to bus service.Developers were helping to underwrite the transit service.New direct service also was being provided by Line 37 -Warren Blvd . Express, connect ing Berkeley, via WarrenFreeway, and the new hill campus of Merritt College, servingMontclair en route.

Car pools join buses zippingthrough San Francisco-OaklandBay Bridge toll plaza on exclusive lanes.

First cash awards under ValuableIdeas Program are made to KeithG. Steckly, left, by General Manager Alan L. Bingham. Gerald L.Teach holds his check whileTraining Instructor Stan Pearcelooks on from right.

The Kelly Hill area of Hayward was connected to thedowntown district with inauguration of Line 95 - Kelly St.

LANE EXTENDEDAn exclusive lane, which allows buses to roll through thetoll plaza on the San Francisco - Oakland Bay Bridge,was extended, reaching on one end to the incline of thespan itself. Two trial lanes also were opened for "car pools"-commuter automobiles with a minimum of threepassengers.Five coaches were added to transbay service during theyear, to a total of 297 buses in the morning peak. Five wereadded to East Bay service to a total of 353.Relatively stable passenger traffic was indicated bydistribution of 2,003,000 public pocket schedules,a decrease of 29,000 compared to the year before.Senior citizen surveys taken five months apart showeda moderate increase in riding. Some 11,016 riders werecounted on Friday, Oct. 1, 1971, compared to 12,011 riderson Friday, March 3,1972. Total senior citizen riding onOct. 1, 2, 3, 1971, came to 26,470. The count for March 3,4, 5, 1972, was 28,414 riders.Early morning and late night service curtailments,due to lack of riding, were made on Line 7 - Euclid Ave.;Line 14 - Brookdale-Emeryville; Line 17 - Alcatraz Ave.,Line 33A - Oakland-Alameda; Line 46 - MacArthur-BancroftAve., Line 56 - Seminary-Mountain Blvd., Line 56C -Hegenberger Rd. - 64th Ave. "Double header" trips alsowere reduced on Line T - Treasure Island.

Seminary Division bus driverHenry Lim looks proudly at newsafe driver shoulder patch.


11/16

Smiles tell the story as Richmond Division mechanics hold Fleet Owner Maintenance Efficiency Award. From left: Jesse Cortez, AI VillataThomas Jones and Paul Delloyd.

Buses were running faster on transbay Line A, C and F;on intercity express Line 31 - Oakland-Richmond,Lines 72 - San Pablo Ave. and Line 82 in Hayward andWest Oakland, as result of improved traveling conditions.A number of lines also were rerouted or extended.Along with finalization of bus routings to BART stations,bus stop locations involved with the South Hayward toOakland BART stations were finalized, as was cooperationwith BART in design of coach stop signs to be postedon BART property.AC Transit was working in cooperation with BART on theprocurement of transfer machines to be installed at BARTstations fo r the issuance of bus transfers. Meetings,meanwhile, were continuing with civic and public groupsto acquaint the public with upcoming route changes andnew service innovations.

SAFETY IMPROVEMENTSTraffic accidents showed a reduction of 7.2 percent in thecurrent fiscal year compared to the year before, whilepassenger accidents dropped three percent. Total accidentswere down 6.2 percent, illustrating that bus riding wassafer than ever.Safe driving miles per accident for the entire year roseto 14,139, an improvement of 8.46 percent over last year'stally of 13,036.Defensive driving on the part of operators actually madenews during the entire year. The goal of 13,250 safe drivingmiles per accident was topped fo r 11 months by SeminaryDivision; nine months by Emeryville Division and eightmonths by Richmond Division.Other safe driving records also were set. Emeryville Divisiontallied 21,420 miles per accident in May, 1972, a new high.The District exceeded its overall record of 14,697 milesper accident with a new record of 14,940 miles inNovember, 1971.Individual awards ranging from one through 23 years of safedriving were presented to 821 drivers.Numerous presentations were made to school groups on"How to Ride a Bus" and in work orientations and careerguidance at schools in Hayward, Oakland and Richmond.A special volunteer driver's test was administered to 298bus operators in connection with a Federally-fundedproject on pre-employment selection.

AC Transit continued its reputation for maintenanceexcellence, receiving the Fleet Owner MaintenanceEfficiency Award for the 10th year in a row.Maintenance workers also were busy converting busesto the new Low Sac injector to increase fuel mileage andreduce smoke and odor.Work was progressing on a computerized inventory system.The dollar amount of inventory increased only $5,000despite a general cost boost in material and supply items.Controlled stock items increased from 6,271 to 6,352.Cost of accidents fo r the fiscal year was $261,633 for bodilyinjury and $54,297 for property damage, a total of $315,930compared to $319,929 for the prior year. Settlement ofclaims amounted to 1.94 percent of operating revenue,a decrease of .03 percent. Recovered for damage to buseswas $34,417, compared to $32,984 the previous year.Total cost of Workmen's Compensation claims under theDistrict's new permissibly uninsured program totaled$84,425, a savings of $195,575 over the 1970/71 experienceand of $266,575 over the premium the property would havehad to pay under the State Compensation Insurance Fund.At the year's end, AC Transit was involved in one of itsbusiest periods-and could anticipate greater challenges.The job of changing bus service to connect with a fixedrail system, while still meeting the local and transbay needsof each neighborhood, has been and continues as oneof the most demanding in transit experience.

A JOB WELL DONEYet as work was added to work , progress continued on a llfronts. AC Transit's bus operation has earned nation-wideacclaim. Seemingly endless tasks involved with BART werebeing accomplished. Close teamwork and pride in a job welldone was increasingly evident-on a property alreadynoted for outstanding morale and the ability to handle anytask in a professional and expert manner.Further tasks-and rewards-loomed on the horizon.AC Transit may be called upon to expand operations toareas outside District boundaries, calling fo r even fu rtherdedication on the part of its employees. It is these qualitiesof expertise and cooperation of its workers which areAC Transit's greatest resource . As a strong and unitedtransit system , AC Transit continues to have an exciting,gratifying and remarkable future.


12/16


13/16

ALAMEDA-CONTRA COSTA TRANSIT DISTRICTSPECIAL TRANSIT SERVICE D I S T R I C ~ NO.1BALANCE SHEET

June 30ASSETS 1972 1971-- --Property, plant and equipment, at cost (Note A):Property, plant and equipment acquired

October 1, 1960 $ 6,435,584 $ 6,458,519Less accumulated depreciation 2,797,779 2,565,1203,637,805 3,893,399 ARTHUR YOUNGOther equipment:Motor coaches 14,907,972 14,793,508 &COMPANYParts, service cars, shop andmiscellaneous equipment 851,905 796,687 1330 BROADWAYOffice furniture and equipment 111,678 92,442 OAKLAND, CALIFORNIA 9415,87'1,555 15,682,637Less accumulated depreciat ion 8,762,689 7,705,234

7,108,866 7,977,403 The Board of DirectorsTotal property, plant and equipment 10,746,671 11,870,802 Alameda-Contra Costa Transit DistricSpecial Transit Service District No.1Current assets:Cash : We have examined the accompanyOn hand and in commerci al accounts 275,833 572,576 balance sheet of Alameda-Contra CosTime deposits 9,120,136 8,592,236 Transit District, Special Transit ServicDistrict No.1 at June 30, 1972 and the9,395,969 9,164,812 related statements of revenue, expensU.S. Treasury obligations, at amortized cost and district equity, and changes in(approximates market) 391,614 307,503 financial position for the year then end

Accounts receivable 524,337 562,267 Our examination was made in accordMaterials and supplies, at cost 214,328 210,426 ance with generally accepted auditingPrepaid expenses 86,693 71 ,006 standards, and accordingly includedsuch tests of the accounting recordsTotal current assets - 10,612,941 10,316,014 and such other auditing procedures$21,359,612 $22,186,816 as we considered necessary in the- circumstances.

In our opinion, except that no proviik has been made for estimated additionLIABILITIES AND ?' pension costs of $600,000, as explainDISTRICT EQUITY in Note C, the statements mentionedabove present fairly the financial posiof Alameda-Contra Costa Transit Dist

Long-term debt, less amounts due within one yel r: , Special Transit Service District No.1General obligation bonds, due serially to 1980, at June 30, 1972, the results of operatvarious interest rates (1 % to 3.25%) $8,500,000 $ 9,375,000 and the changes in financial positionLease-purchase agreements, due in annual for the year then ended, in conformityinstallments to 1974 (4%) 340,779 681,559 with generally accepted accountingprinciples applied on a basis consisteTotal long-term debt 8,840,779 10,056,559 with that of the preceding year.

Current liabilities: The financial statements for the priAccounts payable 328,291 280,099 year were examined by other indepenSalaries and wages 323,138 439,024 public accountants.Accrued payroll taxes and amounts ~ h ~ ~ithheld from employees 215,021 178,723Accrued pension costs (Note C) 1,311,395 1,060,732Accrued interest on bonded debt 88,650 96,900Unredeemed tickets and tokens 1= 171,639 196,860 Oakland, CaliforniaSelf- insurance reserve (Note B) 500,000 600,000 August 8,1972Amount due within one yearon long-term debt 1,215,780 1,165,779

Total current liabilities 4,153,914 4,018,117District equity _ 8,364,919 8,112,140

$21,359,612 $22,186,816See accompanying notes.

- .-


14/16

14

STATEMENT OF REVENUE,EXPENSE ANDDISTRICT EQUITY

Revenue:PassengerCharterAdvertisingInterest earnedOther operations

Total operating revenueExpense:

TransportationMaintenanceDepreciation and amortization (Note A)Operating taxes and licensesAdministrative and generalWelfare and pensions (Note C)Insurance and safetyPublic inf.ormation and advertising

Total expenseOperating lossNon-operating items:

Proceeds from taxationLess:Provision for current year's redemptionof bond principalInterest and fees on bonded debtNet proceeds from taxationavailable for operations

Increase (decrease) in equity after provisionfor bond principal redemption

District equity:Balance at beginning of yearRefunds of prior year'sworkmen's compensation premiumsRestoration of provision for bondprincipal redemption deducted aboveAdditional federal grant funds allowablefor capital equipmen t acquisiHons(Note D)

Balance at end of yearSee accompanying notes.

YeaI:' enred June 301972 1971

$15,020,949654,145 .216,390362,052

17,534"16,271,070

15,325,1683,085,6071,313,833763,0621,225,9251,853,871804,41273,430

?4;645,347. (8,374;277)

8,800,167

(866,667)(272,091)7,661,409

(712,868)

$14,995,108582,791223,414447,04718,70716,267,067

13,672,1272,812,4721,249,811724,3561,134,2291,626,103959,951265,16822,444,217(6,177,150)

7,613,900

(820,833)(296,789)6,496,278

319,128

6,694,977875

820,833

276,327$ 8,112,140

NOTES TOFINANCIAL STATEMENTSYear ended June 30,1972A. Property, plant and equipmentProperty, plant and equipmentacquired October 1, 1960 from KeySystem Transit Lines and its parent,Bay Area Public Service Corporation,is being amortized on a composite baOther property is being depreciatedon the straight-line basis.B. Self-insurance reserveThe District is self-insured for persinjury and property damage claimsup to $100,000 for anyone occurrenceand for workmen's compensation claito $25,000. Claims in excess of theseamounts are insured with commerciacarriers and the State CompensationInsurance Fund.C. PensionsWhen the District acquired the physoperating assets of the Key SystemTransit Lines it also assumed the liabfor current and future pensions. Prior1966, payments were charged to operations in the year made and no proviswas made for future pension liabilitiesIn accordance with the terms of a labagreement with the Amalgamated TraUnion dated September 8,1965, theDistrict has contributed, in prior yearsand in 1972,5% of compensation forhours worked of covered employees fcu rrent and futu re benefits. To affordsimilar treatment for non-union employees, the District began in 1967 toprovide for their future pension benefOn the basis of these funding practicethe provision for pension benefits doenot provide for complete funding offuture pension liabilities.In the year ended June 30,1972actuarial valuations as of January 1, 1were completed and the previous agrment with the Amalgamated TransitUnion was modified to improve pensiobenefits and to change the fundingrequirements. Future annual contri-butions by the District to the union plaare to be made at the discretion of theDistrict, except that they shall not be than the contribution made for the yeaended June 30, 1971. In view of thesedevelopments new actuarial valuationare to be made and the future fundingpolicies of the District are under studyBased on the 1971 actuarial valuatiothe 1972 provision for pensions is estmated to be $600,000 less than theminimum pension provision for 1972 adetermined unde r generally acceptedaccounting principles.D. Federal grants

The District has two federal grantsfor the acquisition of motor coachesand other equipment and improvemenover a five-year period through 1977.The grants are provided through theUrban Mass Transit Administrationof the Department of Transportation.Budgeted capital additions applicableto the grants are $12,922,312. The relafederal participation is two-thirds or$8,614,874, of which $98,980 had beenearned at June 30,1972. The District hcontracted to purchase sixty new motcoaches at a cost of approximately$2,314,000, of which two-thirds will beprovided by federal grant funds.


15/16

Bus and train meet during tri-al run, symbolizing coordina-tion of AC Transit and BART.


16/16

ALAMEDA - CONTRA COSTA TRANSIT DISTRICT508 - 16th Street Latham Square Building. Oakland, California 94612

ac transit annual report 1971-1972

Documents