AC Transit Annual Report 1981-1982

8/14/2019 AC Transit Annual Report 1981-1982

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Contents

Management Report 1

Financial Notes 7

Personnel 14

1

uringFiscal

Year 1981-82,AC l ransi t was

striving to keep thequality and the range

of transportation serviceconsistent with high standardsestablished over the District's twodecade history while still dealingwith the harsh financial realities

of th e early 1980s.Events and accomplishments ofnote during th e period include:

Implementation o f a sweepingse t of dollar-saving service consolidations and improvements concurrent with a reduction in force-a l lachieved with virtually no adverseimpact on ridership.

Introduction of monthly passesfo r youth, senior citizens an d handicapped riders an d - in an intersystem first fo r Bay Area transitopera tors -a jo in t pass good onAC lransit's ran sbay (and local) se rvice and also honored fo r trips onSan Francisco Municipal Railway .


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Undertaking installation ofelectronic fareboxes which yieldedefficiencies and productivityimprovements .

Introduction of a CustomerRelations office to provide aneffective internal communicationschannel for the public.

Acquisition of a site in Haywardsuitable for development of a moder n operating division and maintenance training facility.

Introduction o f a revised,greatly simplified transfer policywhich yielded substantial dollarsavings and reduced passengerdriver misunderstandings .

Substantial improvements inthe quality o f service provided byth e 'Telephone Information Center.

Equipment &. FacilitiesIn this period, much o f th e atten

tion of District staff was focusedon capital programs .

The Fiscal Year marked th e purchase of more than 20 0 new busesdestined to replace coaches thatha d logged a million miles or morein two decades of service to riders .This ability to achieve lengthyservice life is attributable to th eeffectiveness o f an on-goingpreventive maintenance program.Among th e veteran equipmentgoing into retirement was th eDistrict's last standard transmission, 'stick shift ' coach: Bus #178,after years o f long -haul service,made a final Transbay tripJuly 10, 1981.

Continuing the previous fiscal year 's bu s buying program,bids were le t fo r 60 AdvanceDesign coaches an dmore than 150 'NewLook' buses .

And, in an unusual example o f'community'cooperation,

AC l r ans i t Line 5 7 provides direct service to th eOakland Coliseum. Addi t iona l service is provided

a s needed fo r special co l i s eum events. While ACl r ans i t r iders were con t r ibu t ing to a r eco rdbreak ing Oak land A:S a t t endance f igure, RickylIenderson w as busy break ing baseball:S r eco rdfo r stolen bases_

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a local manufacturer, GilligCorporation of Hayward, Califor nia,was awarded the contract to provide142 'New Look' coaches-aboutthree-fourths of a largely Federallyfunded bus acquisition programwith a value of more than $25 million.

Early on, th e District was appreciative of th e advantages of closeproximity to the manufacturingplant - a short freeway trip awayfrom District offices. I t broughtabout speedy on-site communication about the vehicles and theirspecifications. The community ,too, reaped benefits from this ointendeavour . As was noted by localmedia, the contract yielded an influxo f capital and obs into th e District'srecession-hit service area .

Plans also were developed fo r substantial upgrading of two existingbus operating yards, plus acquisition and development o f two additional facilities: Central Maintenanceand Stores (to be located in a former

In March 1.982 th e Distr ict sol ici ted pub liccomment o n proposed changes In schedules, fares and t ransfer policy. An Innerc i ty youth g roup lent a hand, walk ingdoor- to-door del ivering descr ipt ivematerials. The group's other act ivi t ies fo rAC Transit Include d energetic efforts Inth e schools and on buses discouragingvandalism and o the r ant i-social behavior.Their pos i t ive results earned th e newlyt i t led "United Bay Area Youth" (UBAY)award o f meri t from th e MetropolitanTransportation Commission, presentedb y Commissioner Joseph Bor t to UBAYofficer Vernon Lewis.

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manufacturing plant in East Oakland) ;and a new Division (to be housedin a former truck assembly plantin Hayward) adapted to meet futurelight-maintenance and operatingneeds in southern Alameda County .

COACH CO/YSTRUCTIO/Y - While a nearlycomplete bus, a l ready wearing Distr ict'colors, ' gets f ina l touches (I n the background), a bare frame begins assemblyinto a '/Yew Look ' t ransi t coach. Gill igCorporat ion, o f nearby Hayward , Calif.,was awarded a contract In /Yovember,1 . 9 8 ~ ,to supp ly L 3 ~'/Yew Look ' coachesfo r AC Transit. The close prox imi ty o fbui lde r an d ' customer ' proved a b o o nto bo th : Distr ict maintenance personnelwere able to consu l t with Gil l ig engineersr igh t on th e produc t ion line, readi ly solvIn g the technical quest ions that ar isewith such projects . Later In th e year, th econtract wa s adjusted to b r i n g th e to ta lprocurement to ~ 4 2coaches - th e majorp a r t o f a $25.5 mil l ion bus acqu i s i t ionprogram undertaken In this f i sca l per iod .

'/Yew Look ' coach

With development of th e EastOakland site, Purchases and Storesacquires a central receiving dockand warehouse capable o f meetin g anticipated future needs. Later,heavy maintenance will be carriedout here since the location is ideallysuited to handling such major busup-keep functions.

In Hayward, AC l tansi t plans todevelop a full-scale operating division . Also slated: an improveddriver maintenance training facility- complete with on -site road coursand well-equipped classrooms.

With years of study and longrange planning accomplished,construction work for these projects is scheduled to begin in thenext fiscal period .

During this period also, planning proceeded on major refurbishment of existing operating yardsin Emeryville (originally built in thelate 30s) an d at Seminary in EastOakland (another vintage site, first

occupied in the 40s ). With Federalassistance, both facilities wiII beupgraded to serve the District andit s riders in future years.


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Electronic AidsIntroduction o f on-board state-of

the-art electronic equipment helpedachieve greater efficiency andproductivity in revenue serv iceanother plus in this 1981-82 period.

Electronic fare boxes wereinstalled at one of the four operatin g divisions. They quickly provedto be a boon to the District - easilyhandling dollar bills, countingchange as fares are inserted to verifyproper payment, andproviding a level ofdetailed transit useinformation notpreviously available.Quickly, plans wereapproved to extendthese devices to al lAC 'fransit buses.

More t han a dozenbu s routes serve theParamoun t Theatre,

home o f he OaklandSymphony. This famousa rt deco landmark alsohosted such at t ract ionsa s th e 10night Show's DocSeverinson a n d pian i s tAndre Watts dur ing th e1 9 8 2 s e a s o n .

Similarly, automated transferissuing machines were testedin service. These proved to be ofvalue in reducing the requirementso f a previously labor-intensivetransfer system; an d these also wereordered for all District coaches.

Electronic destination signs, undertest in prior years, were orderedas original equipment in 175 busesdelivered this year. These signs,with much greater capacity fo rmessages than was allowed by theolder 'curtain-type' signs, yieldedmuch greater flexibility in vehicleassignment throughout theservice area.

Other items under study thisyear included an automated traffic

checking system and added over-allcapacity to yield greater productivity and flexibility in District dataprocessing systems.

Financial CrunchOf major concern and challenge

was a continuing, cloudy financialprojection - a problem plaguing AC'fransit since passage of California'sProposition 13, the 1978 'PropertyThx Initiative,' and no w exacerbatedby adjustment and reduction inFederal and State assistance.

1b cope with this challenge,

a number o f unprecedented steps

were taken, including swift actionto capitalize on provisions of theEconomic Recovery Act of 1981.District Directors entered into anagreement with an Ohio firm toexchange depreciation rights on 161new buses for cash in the amountof more than $700,000. Under thisarrangement, the District retainstitle to the buses.

1b meet twin goals of servingthe needs of riders an d addressingthe problem o f a substantial deficitprojected fo r the year, the Districtgave to p priority to the continuingprocess of trimming operatingexpenses. A new interdepartment al'Thsk 'learn; capitalizing on its members' years of experience in analyz

in g an d adjusting service to meetneeds, was given the challenge oftrimming existing service to matcha reduced operating budget.

One result, effectively implemented near the en d of this fiscalperiod, was a service realignmentand improvement plan affectingeighteen bus rou tes -about onetenth of the total operated by AC'fransit. And this adjustment, implemented in April, 1982, yielded significant cost-savings to the Districtand, in many cases, improvementsin the level of service provided toth e weekday commuting public.


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"\ REACH OUT AND'~ M ' t g p ~ Up to $500 reward for informationleading to arrest and conviction" , - - . ~ . .:;:(/.: , 800)471-7785 [ 1 D ~ , r ~C

AIYTI-CHIME AD - I n an e ffo r t to discourage vandal ism and cr imina l behavior o nth e buses - an d in the communit ies th e Dis t r i c t serves - AC Transit gave bus r idersa catchy i n t roduc t ion to a sta tewide 'Anonymous Witness ' cr ime-prevent ion program. With a t imely take-offon a wel l -known advert is ing campa ign . "Reach O ut andNab Someone" posters were insta l led i n in t e r io r ad space on Dis t r i c t buses thisyear. In add i t ion to generat ing local comment an d at tract ing country-wide at tent ion. th e pos te r la ter garnered a f i r s t p lace award in th e 1982 American PublicTransit Assoc ia t ion adve r t i s ing competi t ion.

Additionally, th e District undertook stringent internal economiesan d revisions o f service, fares an dtransfer policy to realize both dollarsavings an d increased revenues.

RidershipWhile experiencing modest growth

in ridership within its establishedurban service area, th e Districtsa w a significant increase intransit usage on relativelyrecently-established routes in

suburban areas. In Fremontan d Newark, which annexed toAC 1I'ansit less than a decadeago, a 14 percent increase was

"Mr. I sh i " b y Ba y Area scu lp to r PeterVoulkos is one o f housands o f pieceson exhibi t a t th e Oakland Museum.More than a dozen b us routes serve themuseum complex, prov id ing easy accessf o r r iders from a ll po in t s o f he East Bay.

registered in th e fiscal period.Also in this period, local service

provided by District buses to communities in Central Contra CostaCounty was discontinued, as a newlyformed transit authority within th earea implemented on-street opera

tions. AC 1I'ansit introduced service to

these communities, under contracts with th elocalities, inth e mid-1970sand strove toachieve accep

tance in the

area. Accomplishment of this goalis evidenced in th e ridership statistics: patronage soared from aninitial 5,000 trips a month to morethan 150,000 monthly. CentralContra Costa

1I'ansitAuthority

then took over the service.With elimination o f th e central

Contra Costa contract service,total system one-way route milesdecreased from 2,298 to 2,136operated weekdays. lb ta l weekdayscheduled miles operated by AC1I'ansit decreased by 3.7 percent,from 111,447 to 107,283 miles.

Customer InformationIn addition to printing an d dis

tributing some five million pockettimetables (twice th e numberdisseminated th e year before),the District adjusted the operatinghours o f th e Thlephone Information Center to improve th e levelo f service.

Though th e total number o fInformation Clerks was reduced,rescheduling the InformationCenter hours to match periods ofheaviest demand dramaticallyreduced wait times for customersan d resulted in an average o f 96percent o f al l attempted callsreaching an Information Clerk.

Driver AwardsSeveral safety

milestones wereachieved this year


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including th e addition of threenames - Reba L. Gauer, Charles L.McAdams, an d Grant W. Hastie - toth e exclusive roster o f bus driverswho've earned '30-Year Safe DrivingAwards:

A total of eight AC 1I'ans it drivershave reached th e 30-year plateau.And drivers Cornelius Perry, VirgilA. Edwards, Frank A. Armas an dRichard J. Faulkner reached th e'25-Year Safe Driving' level, bringin g the total in that roster to 42operators.

In al\, a total o f 1,030 awardswere issued to bu s drivers wh oachieved a year of accident-freedriving during this fiscal period.

Safety & ClaimsThis year, District drivers regis

tered more than 32 million mileson th e road; an d in th e process,all operating divisions achieved themonthly safe driving goal 45 out ofa possible 48 t imes. That monthlygoal is an average o f 13,250 milesper mishap. Overal\, th e driversachieved a seven percent increasein average number o f miles drivenbetween accidents: up from 15,331in Fiscal Year 1981 to 16,418 milesthis year.

Paid losses for the year were$1,142,814, compared to $959,131a year before - an increase that

reflects settlementsof cases from prior

years. Recoveries fo rdamage to equip-ment wa s up 29percent: $157,791compared to$122,355. Paidlosses under

I ! ! : ~ ~ ~ ~ ~ : : ~th e District's~ self-insured Workers'

PROMOTING PASSES-A cOlorful newlook was th e key element in th e i n t roduct ion o f add i t ions to AC Transit 's fami lyo f m o n t h l y passe s - 'Show-and-Go' cardsval id f o r an un l imi ted number o f r idesdur ing th e effect ive month . Th e ne wpasses f o r sen io r ci t izens , youth, andcer t i f ied handicapped r iders (a s wel l asthose already f ami l i a r to adu l t riders)were designed a round the Distr ic t ' sf ami l i a r logogram - rendered in con tempora ry, mul t i - co lo r computer-generatedgraphics . Riders in these new fare cat-egories quick ly perceived personaladvantages in t r y i n g the new cards,as demonstrated b y soa r ing sa lespart icularly among th e you th .

Compensation Program wasessentially unchanged: $1,670,498compared to $1,662,783 in th eprior fiscal year.

Regional CooperationThe Bay region's first intersystemmonthly pass wa s introduced by AC1I'ansit an d San Francisco MUNI inthis period, giving th e public highlyvisible evidence of the District'scontinuing energetic effort to coordinate with th e services providedby other Bay Area transit systems.

This ne w pass - honored for localan d transbay bu s trips throughout

INTERSYSTEM ACCOMMODATION-A ' f i rs t 'f o r th e Bay area, a j o i n t AC Transi t !Sa n Francisco MUNI month ly pass(Directors Ro y Nakadegawa, Will iam Berkand Michael Fajans d i sp layed mode ldur ing i n t roduc t ion ceremonies) wa simplemented in September, 1 9 8 ~ - asingle pass g o o d f o r t ransbay bus t r ipsand on AC Transit's local East B ay service,also honored t h roughou t th e MUNIsystem f o r bus an d s t reetcar trips.

Also introduced: 'Regional TransitConnect ion ' s igns that i l lust ra ted a newregional t ransi t - information programa imed a t f ac i l i t a t ing an d promot ingi n t e r system t r ips .

AC 1I'ansit's service area plus unlimited us e of MUNI service within SanFrancisco-was introduced to thepublic at the same time that a ne w"Regional 1I'ansit Connection" program an d symbol was implementedthroughout th e Bay Area.

Created under th e auspices of th eRegional 1I'ansit Association, th ene w symbol an d a supportive informational campaign are designed toidentify clearly th e major points atwhich inter system connections ma ybe made, an d the major trunk-lineservice connecting those points.

The Regional 1I'ansit Association, consisting o f AC 1I'ansit, BART,Golden Gate 1I'ansit, MUNI, Sam-1I'ans and Santa Clara County1I'ansit, no w regularly involves th eBay Area's major mass transit systems in cooperative efforts in manyareas including marketing and pro

curement. As this fiscal periodended, AC 1I'ansit was joining otherRTA systems in planning furtherjoint promotion o f inter systemusage through informationalmaterials and programs.

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COMBINED STATEMENTS OF REVENUES AN D EXPENSESFO R THE YEARS ENDED JUNE 30,1982 AND 1981

RBVBNUBS:FaresContract serviceOther operating revenuesProperty taxes fo r operationsOperating assistance:

Local transportation fundsLocal sales ta x (AB 1107)Federal

Interest earned on appropriated District

funds and working capital, less amountsallocated to accrued pension costs

Total

BXPBNSBS:Operators ' wagesOther wagesFringe benefitsServicesFuel and oilOther materials and suppliesInsuranceLeases and rentalsOther

Total

BXCESS OF REVENUES (BXPBNSES)BBFORE DBPRECIATION

DBPRBCIATION

BXCBSS OF BXPBNSBS OVER RBVENUBS

See notes to combined financial statements .

NOTES 1982

$27,589,0005 ,415 ,000

496 ,00014,999,000

420 ,363 ,00014,492,00011,540,000

2,6,7 4 ,937 ,000

99 ,831 ,000

32 ,748 ,00016,662,00025 ,208 ,000

4 ,144 ,0007,274,0006 ,288 ,0001,662,000

476 ,0002 ,293 ,000

96 ,755 ,000

2,6,7 3 ,076 ,000

4 ,116 ,000

$ (1 ,040 ,000)

1981

$27,856,0004, 255,000

527,00012,529,000

18,051,0005,600,000

11,607,000

3,468,000

83,893,000

30,333,00014,159,00022,805,000

3,202,0006,707,0004,827,0001,243 , 00 0

495,0001,524 , 00 0

85,295,000

(1,402,000)

3,201,000

$ (4,603,000)

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COMBINED STATEMENTS OF CHANGES IN CAPITALFOR THE YEARS ENDED JUNE 30, 1982 AND 1981

. . . . . . . . . . . . . . . . . . . . . . . . . CONTRIBUTED CAPITAL ' . . . . . . . . . . . . . . . . . . . . . . . .STATE TOLL LOCAL TRANS-

DISTRICT FEDERAL BRIDGE PORTATIONNOTES EQUITY GRANTS FUNDS FUNDS TOTAL

BALANCB,JULYL1980 $32,887,000 $14,975,000 $ 1,769,000 $2,025,000 $51,656,000Excess of expenses

over revenues (4,603,000) (4,603,000)Depreciation expense

transferred fromDistrict equity 2,467,000 (1,993,000) (295,000) (179,000)

Capital grant fundsearned 3 17,059,000 4,951,000 651,000 22,661,000

Property taxes appliedto redemption ofbond principal 238,000 238,000

BALANCB, JUNB 30 , 1981 30,989,000 30,041,000 6,425,000 2,497,000 69,952,000Excess of expenses

over revenues (1,040,000) (1,040,000)Depreciation expense

transferred fromDistrict equity 3,355,000 (2,607,000) (537,000) (211,000)

Capital grant fundsearned 3 2,449,000 4,952,000 263,000 7 , 664,000

Land transferredto CCCTA 1 (1,151,000) (1,151,000)

BALANCB, JUNB 30 , 1982 $33,304,000 $29,883,000 $10,840,000 $1,398,000 $75,425,000

See notes to combined financial statements.

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COMBINED STATEMENTS OF CHANGES IN FINANCIAL POSITIONFOR THE YEARS ENDED JUNE 30 , 1982 AND 1981

SOURCES OF WORKING CAPITAL:Operations:

Excess of expenses over revenuesExpenses not requiring working cap i t a l - depreciation

Working capital provided by (used in) operationsIncrease in accrued pension costsCapital grant funds earnedTransfer of land to CCCTAProperty taxes applied to redemption of bond principal

Deposits for purchase of landTotal

APPLICATION OF WORKING CAPITAL:Increase in cash and investments appropr iated

fo r accrued pension costsAcquisition of property, plant an d equipmentTransfer of land to CCCTA

Total

INCREASE (DECREASE) IN WORKING CAPITAL

INCREASE (DECREASE) IN COMPONENTS OF WORKING CAPITAL:Current assets :

Cash and investmentsAccounts receivable an d accrued revenuesMaterials and suppliesPrepaid expenses

Total

Current liabilities:Accounts payable and accrued liabilitiesAdvances under grantsSelf-insurance reservesAmount due within on e year on general

obligation bonds

Total

INCREASE (DECREASE) IN WORKING CAPITAL

See notes to combined financial statements.

1982

$ (1 ,040 ,000)4 ,116 ,000

3 ,076 ,00011,387,000

7,664,0001,151,000

23,278,000

11,387,00010,157,000

1,151,000

22 ,695 ,000

$ 583 ,000

$22,067,000(12 ,117,000)136 ,000

16 ,000

10,102,000

1 ,272 ,0007,278,000

969 ,000

9 ,519 ,000

$ 583 ,000

1981

$ (4,603,000)3,201 , 00 0

(1,402,000)9,020,000

22,661,000

23 8 , 00 0

2,155,00032,672,000

9,020,00027,008,000

36 , 028,000

$ (3,356,000)

$(10,460,000)806,000225,000301,000

(9,128,000)

1, 127,000(5 , 886 , 000)

387 , 00 0

(1,400,000)

(5,772,000)

$ (3 , 356 , 000)

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NOTES TO COMBINEDFINANCIAL STATEMENTS

1. Organization and Basis of Presentation

Alameda-Contra Costa Transit District(the

District)is a political subdivision of th e State of Californiaestablished in 1956 and subject to transit district la was codified in th e California Public utilities Code.

The accompanying financial statements include th ecombined financial position, results o f operationsand changes in financial position of the District'sSpecial Transit Service Districts No. 1 an d No. 2 andother areas in which the District has contracted toprovide transit service.

Th e District has contracted to provide transitservice for the Bay Area Rapid Transit District (BARf)and several cities and other areas in Contra CostaCounty. The allocated cost o f providing such service,less related operating revenue, is funded from localtransportation funds, federal operating assistanceand, fo r BARf express service, by direct reimbursement which is recorded as contract service revenue.

Th e District has entered into an agreement withthe Central Contra Costa Transit Authority (CCCTA)whereby transit services in Central Contra CostaCounty which were previously provided by the Districtwere assumed by CCCTA commencing June 6, 1982.As a part of this agreement, the District transferredto CCCTA certain land having a book value of approximately $l,15LOOO.

2. Summary of Significant Accounting PoliciesInvestments are stated at amortized cost which

approximates market value.Property, plant and equipment is stated at cost and

depreciated using the straight-line method over thefollowing estimated useful lives:Buildings, structures and improvements 10-35 yearsRevenue equipment 15 yearsShop, office an d other equipment

and service vehicles 5-20 yearsSelf-insurance reserves - The District is self-insured

for public liability an d property damage up to $75,000an d workers' compensation claims up to $100,000fo r each occurrence. Claim s in excess o f theseamounts are insured with commercial carriers.Th e District provides, in each period, reserves tocover the estimated costs of the self-insured portiono f these claims.

Pensions - The District ha s a noncontributory pension plan covering all union employees and providessimilar retirement benefits for nonunion employees.Provisions for pension accruals are based on percentages of gross payroll determined annually by theBoard o f Directors. Th e District has adopted a contribution program which provides fo r normal cost o fthe plans plus amortization o f prior service cost overa period o f forty years.

Contributed capital - Th e District periodicallyreceives Federal grants from th e Urban Mass

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Transportation Administration (UMTA) of the U.S.Department of Transportation, local transportationfunds an d State toll bridge revenues (see Note 3)for the acquisition of buses and other equipmentan d improvements. Capital grant funds earned,less depreciation o f th e related assets, ar e includedin contributed capital. Advances received on capitalgrants ar e recorded as liabilities until the funds areexpended fo r capital acquisitions.

Reclassifications - Certain 1981 amounts havebeen reclassified to conform to the 1982 presentation.

3 . Capital GrantsTh e District has ten grant contracts in process with

UMTA which provide Federal funds for the acquisitiono f buses and other equipment and improvements.These grants are summarized at June 30 , 1982 asfollows:lb ta l approved costs $97,037,000

Total Federal grantsLess:

Amounts receivedAmounts receivable

Remaining amount available

$76,232,000

(37,220,000)(1,145,000)

under Federal grants $37,867,000

Expenditures of Federal grant funds are subject toreview by the Department of Transportation beforefinal approval. At June 30 , 1982 expenditures ofapproximately $46,608,000 ha d been reviewed andapproved. The District is committed to purchaseadditional equipment at a cost of approximately$36,975,000 in connection with these projects.

At June 30, 1982 buses an d other equipment witha cost o f $49,763,000 had been purchased underFederal grant contracts. Under the terms of the grants,proceeds from equipment sold during its usefull ife in proportion to the related Federal capital grantfunds are refundable to th e Federal governmentunless reinvested in like equipment.

Under provisions o f th e California Streets andHighways Code, the District ha s received allocationso f $4,952,000 an d $4,95LOOO fo r the years endedJune 30 , 1982 an d 1981, respectively, to meet certaino f ts capital requirements. These funds are generatedfrom net toll bridge revenues of the San FranciscoBay Bridges and are allocated based on claimsapproved by the Metropolitan Transportation

Commission (MTC).Local transportation funds received fo r capital grantprojects pursuant to the Transportation DevelopmentAct of 1971 were $263,000 and $65LOOO fo r theyears ended June 30 , 1982 and 198L respectively.

4 . Operating AssistanceFederal operating assistance funds are apportioned

to the local urbanized area and are allocated toindividual transit operators by MTC after approval byUMTA. Th e District was allocated $1L540,000 an d$1L607,000 of Federal operating assistance fo r the


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years ended June 30, 1982 an d 1981, respectively,pursuant to Sections 5 an d 9 of th e Urban MassTransportation Act of 1974. Th e 1982 funds include$1,800,000 of UMTA Section 5 operating funds to beapplied against authorized expenditures incurredin the prior fiscal year. Allocations received during1982 are subject to final audit an d approval by MTCan d UMTA.

Pursuant to th e lransportation DevelopmentAct of 1971, th e District ha s received allocationsof local transportation funds of $20,363,000 an d$18,051 ,00 0 fo r the years ended June 30, 1982 an d1981, respectively. These funds are generated withinAlameda an d Contra Costa Counties an d are allocated based on annual claims filed by the Districtand approved by MTC.

Certain local sales ta x funds are allocated basedon annual claims filed by th e District and approved

by MTC.Th e

Districtwas allocated $14,492,000

an d$5,600,000 of such funds fo r th e years ended June30, 1982 an d 1981, respectively.

5. Note PayableOther accrued liabilities include a 12 % note

payable fo r $960,000 which matures on February 28,1983. Th e note is secured by certain revenueequipment with a cost of approximately $19,332,000.

6. Appropriated District FundsThe Board of Directors has authorized th e

appropriation of portions of available funds fo r th ereplacement of facilities an d equipment an d otherexpenditures, as follows:

Amounts available fo rappropriation:Cash an d investmentsAccounts receivable and

accrued revenues

TotalLess current liabilities

Net

Amountsappropriated:Restricted

Balance,June 30,

1981

1982

$40,365,000

4,659,000

45,024,00025,379,000

$19,645,000

1981

$18,298,000

16,776,000

35,074,00015,860,000

$19,214,000

Addit ions- Balance,Interest June 30,earned Reductions 1982

Fund $ 9,679,000 $2,233,000 $4,273,000 $ 7,639,000

Facilities andEquipmentReplacementFund

ImprovementAllowanceFund

UnemploymentCompensation

686,000 216,000 902,000

833,000 225,000 233,000 825,000

Fund 663,000 663,000Building Fund 5,144,000 1,616,000 6,760,000

Working capital 2,209,000 647,000 2,856,000

Total $19,214,000 $4,937,000 $4,506,000 $19 ,6 45,000

The appropriated funds ar e to be used fo r th e followin g purposes:

Restricted Fund - to provide fo r unusual or otherwise necessary expenditures for repair, improvementsto or replacement of essential elements of th eDistrict's facilities or fo r operating requirements.

Facilities an d Equipment Replacement Fund -fo r th e purpose of meeting th e District's contractualan d related responsibilities as a recipient of Federal,State an d local capital grants.

Improvement Allowance Fund - to fund certainnonrecurring operating expenses or costs of preliminaryengineering, environmental impact studies,preparation of capital grant applications, professionalan d technical service agreements and the procurement of equipment and material related to capitalimprovements which initially may not be reimbursable by Federal grants.

Unemployment Compensation Fund - to providefor potential unemployment liabilities which ma yresult in the event of curtailment of services toor de-annexation of District No.2.

Building Fund - to assist in meeting th e District'spotential financial requirements associated with th epurchase, construction or rehabilitation of a buildingto provide adequate permanent accommodationsfor th e District's general offices consistent with th emaster Facilities Improvement Program.

7. PensionsTh e provision for pension accrual fo r the year ended

June 30, 1982 was $7,741,000 (1981- $6,942,000)plus an allocation of $6,190,000 of interest earnedon District investments (1981-

$4,267,000).Benefit payments for the year were $2,538,000(1981- $2, 189,000).

A comparison of accumulated benefits and theaccrued pension liability for the District's pensionplan follows:

Actuarial present value ofaccumulated plan benefits:VestedNonvested

Total

Accrued pension liability

. . . . . . . . . . . . January 1

1981 1980

$48,872,0003,095,000

$51,967,000

$29,186,000

$44,699,0002,685,000

$47,384, 00 0

$21,633,000

Th e assumed rate of return used in determining th eactuarial present value of accumulated plan benefitswas 5-1/2%.

8. LitigationThe District is involved in various claims and liti

gation arising in th e ordinary course of it s operations .None of these is expected to have a significant effecton its operations or financial condition.

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AUDITORS' OPINION

The Board of Directors,Alameda-Contra Costa l tansit District:

We have examined th e combined balance sheet of Alameda-ContraCosta l tansit District as of June 30, 1982 and the related combinedstatements o f revenues an d expenses, changes in capital, an dchanges in financial position fo r th e year then ended. Ou r examination was made in accordance with generally accepted auditingstandards and, accordingly, included such tests o f th e accountingrecords and such other auditing procedures as we considered nec-essary in th e circumstances. The combined financial statements ofAlameda-Contra Costa l tansit District fo r the year ended June 30,1981 were examined by other auditors whose report, dated October 9,198L expressed an unqualified opinion on those statements.

In our opinion, the combined financial statements for 1982 present

fairly the combined financial position of Alameda-Contra Costal tansit District at June 30, 1982 and the combined results o f it soperations and the changes in its financial position for the year thenended, in conformity with generally accepted accounting principlesapplied on a basis consistent with that of the preceding year.

~ d - /C;--t ~ . i J ,,..4Adams, Grant, White &. Co.

Oakland, CaliforniaSeptember 30, 1982

Alameda-Contra Costa1ransit District

50816th St.Oakland, California

13

] ; ) ~ ~ L : -.,.

~Deloitte, Haskins &. Sells

Jean HolmesPresident

Michael H. FigansVice President

Ra y Rinehart

Roy Nakadegawa


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BOARD OFDIRBCTORS

William Berk

John McDonnel l

William J. Be t t encou r t

Rober t E. Nisbe tGeneral Manager

Richard W. MeierAttorney for th e

D i s t r i c t

Lawrence A. RosenbergAssistant General

Manager for Administrationand Dis t r ic t Secre ta ry

Rober i J. ShamoonAssistant General

Manager forOperations

MANAGEMENT

Loren A. BalllTansportation

Manager

Richard H. Ber tzMaintenance

Manager

Gregory L. FordAdministrative

Projects Manager

Richard A. FratusController

Ozro D. GouldRisk Manager

Donald S. LarsonResearch an d

Planning Manager

J im LoweInformation

Systems Director

Mike MillsMarketing Manager

Warren E. RobinsonlTansportation

Engineer

J o h n W. Rose, Jr .Affirmative Action

Coordinator

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Documents

AC Transit Annual Report 1981-1982