Transit in Transition
Can we achieve a sustainable future for public transit
in the San Francisco Bay Area?
M
etropolitanTransportation Commission2009 AnnualReport Scott Haggerty, Chair
Alameda County
Adrienne J. Tissier, Vice Chair
San Mateo County
Tom Azumbrado
U. S. Department of Housing
and Urban Development
Tom Bates
Cities of Alameda County
Dean J. Chu
Cities of Santa Clara County
Dave Cortese
Association of Bay Area Governments
Chris Daly
City and County of San Francisco
Bill Dodd
Napa County and Cities
Dorene M. Giacopini
U. S. Department of Transportation
Federal D. Glover
Contra Costa County
Anne W. Halsted
San Francisco Bay Conservation
and Development Commission
Steve Kinsey
Marin County and Cities
Sue Lempert
Cities of San Mateo County
Jake Mackenzie
Sonoma County and Cities
Jon Rubin
San Francisco Mayor’s Appointee
Bijan Sartipi
State Business, Transportation
and Housing Agency
James P. Spering
Solano County and Cities
Amy Rein Worth
Cities of Contra Costa County
Ken Yeager
Santa Clara County
Planning, financing, coordinating and improving transportation
in the nine- county San Francisco Bay Area
M
etropolitanTransportation Commission2009 AnnualReport
Metropolitan Transportation Commission
Commissioners
2009 Annual Report
3 Executive Director’s Letter
4 Transit in Transition
20 2009: The Year in Headlines
MTC Allocations 22
Financial Highlights 24
Financial Report 27 Recession- ravaged finances, falling ridership, service cutbacks:
2009 was a year of
unprecedented challenges
for the purveyors of public transit service in our region.
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METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
Letter From the
Executive Director
The first and most candid reaction of anyone who looks back to the year just passed is to breathe a big sigh of relief that it is over. I know that is my own feeling. That is not to say that the Metropolitan Transportation Commission and its sister agencies, the Bay Area Toll Authority and the Service Authority for Freeways and Expressways, can’t point with pride to genuine
accomplishments and positive transportation developments. We certainly can.
From our speedy and efficient efforts to funnel hundreds of millions of dollars in American Recovery and Reinvestment Act funds to Bay Area projects such as the Doyle Drive replace­ment
project in San Francisco, to the rollout of the TransLink ® transit- fare smart card on both the BART and Caltrain systems, to the opening of a new bicycle/ pedestrian path on the Benicia- Martinez Bridge — and countless other steps to improve travel options for Bay Area residents — 2009 was a year of progress on many fronts. ( We highlight our achievements in “ 2009: The Year in Headlines” on pages 20 and 21.)
But we cannot ignore the grim backdrop of recession and fiscal crisis against which even the brightest successes look dim. In the end, it was a year where more was lost than gained, and we would do well not to glide over it too easily in retrospect.
Yet amid the difficulties — indeed, because of them — something very important was gained. We can now see with greater clarity the challenges that confront us. Nowhere is the challenge more urgent and the need for creative new solutions more evident than in our public transit sector. It is to this subject we turn in our annual report. In the pages that follow, we describe transit’s predicament and outline an important new initiative to secure a sustainable future for this crucial segment of the regional transportation network. I invite you to read “ Transit in Tran­sition,”
and I hope that we can work together to promote transit sustainability in the Bay Area.
For without a sustainable public transit system, the region’s still enviable quality of life
is at risk.
Steve Heminger, Executive Director Tryrying Times for Traransit
The dawning of a new decade can be a hopeful event, prompting us to take a more optimistic view of things than we otherwise might. But this innocent instinct has no traction against the
stubborn and stark reality now facing a key linch­pin
of our regional transportation network. There is no way to sugarcoat it: These are difficult, daunting days for public transit in the Bay Area.
Always precarious even in the best of times, the finances of our region’s transit operators have been ravaged by the severe recession
that gripped the region and the nation in 2009. The sharp rise in unemployment caused transit
ridership to fall, as fewer workers boarded
buses, trains and ferries. Meanwhile, as overall economic activity contracted, sales tax receipts fell dramatically, reducing local and state transit funding from this heavily relied- upon source of revenue. Add to these serious problems the California Legislature’s commandeering of State Transit Assistance moneys — funds dedicated
by law for public transit — to help stanch the river of red ink that seems to flow perpetually from our state’s budget, and you can begin to understand why 2009 was a year of unprece- dented challenges for the purveyors of public transit service in our region.
Facing big holes in their budgets, transit oper­ators
scrambled to cut costs and raise revenues.
• In the East Bay, AC Transit approved an 8 per­cent
service cutback and raised fares to help shrink a $ 57 million deficit. ( A more drastic
service cut of 15 percent was avoided only when MTC permitted AC Transit to reallocate $ 35 million in capital funds to keep more buses running on the street.) Layoffs and a hiring freeze were also part of the painful package.
• To attack a gaping $ 129 million deficit, the
San Francisco Municipal Transportation Agency cut $ 77 million from its budget by eliminating positions and other belt- tightening moves, while raising Muni fares and parking fines to generate a hoped- for $ 52 million in new revenues. Layoffs also were announced. In addition, Muni implemented major service changes to its system, cutting some routes, rerouting others, and reducing service hours
or frequencies on still others.
Transit in Transition
Can We Achieve a Sustainable Future for Public Transit in the San Francisco Bay Area?
4| 5
METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
In 2008– 09, it cost in excess of
$ 2 billion to run the region’s bus,
train and ferry network;
only $ 682 million of that came from the farebox. 6| 7
METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
• And in the South Bay, the Santa Clara Valley
Transportation Authority ( VTA) raised fares and aggressively cut costs — including an
8 percent service reduction, a freeze on wages and hiring, unpaid furloughs, deferral of new vehicle purchases and other strategies
— to address a large budget deficit. In addition,
the VTA board authorized an ad hoc commit­tee
to recommend strategies for long- term budget savings.
Despite these measures, the three operators
still face serious budgetary challenges. And
they are not alone; dire financial scenarios
confront most if not all of the Bay Area’s two dozen- plus public transit operators. ( In fact,
that there are 28 transit operators in our region plays some part in the financial problem.) Like Muni, AC Transit and VTA, other operators are reluctantly resorting to fare hikes and service cutbacks in a bid to remain viable and survive the current calamity. While this may be an unavoid­able
step, it is also a worrying one. A strategy
of reducing service and raising prices in the
face of the recent weakening of demand is an
almost surefire way to lose still more customers.
It is clearly not a formula for success over the
long term — not for the operators themselves
and certainly not for the riders. But such are
the circumstances we now face. We say it again: Bay Area public transit is in crisis.
“ While confronting the current budgetary shortfalls we must
look for opportunities to make positive changes. I applaud
MTC’s efforts to foster a discussion on real and lasting
solutions to the problems we face.”
NathaNatha
nie
l
P. Ford, SR. — Executive Director/ CEO, San Francisco Municipal Transportation Agency
We will fall short of the resources
our regional transit system needs
by a cool $ 1 billion a year
over the next quarter- century. 8| 9
METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
Anomalymaly of the Moment,
or Omen of the Future?
Yet as recently as 2008, transit ridership record­ed
its fourth straight year of growth in the Bay Area, surpassing 500 million annual boardings for
the first time since fiscal year 2001– 02. With the economy still running on the fumes of its debt-
fueled boom, and Bay Area gasoline prices crest­ing
at over $ 4.50 a gallon, transit operators had the wind at their backs in fiscal year 2007– 08. Commuters — and there were still plenty of them
— were more than happy to stow their cars and give the bus a try, or the train, or the ferryboat. The momentum was on transit’s side. But the collapse of the financial markets in late 2008 and the sharp recessionary aftermath changed that in a hurry.
Since the onset of transit’s current troubles has been so sudden and acute, might it be reason­able
to assume that as the economy improves, so will the fortunes of our transit operators? Unfor­tunately,
the answer is no. This is only the latest and most severe outbreak of a lingering malady afflicting our transit system, which is over­burdened
with responsibilities and under- equipped to deal with them. Thus, transit’s current difficulties are akin to a spike
in the fever of a patient who was already ill, although the symptoms had been brought under control for a time. When the fever passes, this patient will not be restored to good health. Unless fundamental changes are made, the underlying, chronic conditions will reappear, and all energies will be channeled into the struggle to cope, with no real hope of thriving. And for the Bay Area to thrive, public transit must thrive as well.
Some will wonder if our public transit sys-
tem can’t just go back to muddling through —
straining to provide high levels of all- too- often underutilized services, dependent upon gener­ous
transfusions of public funds, and hostage to the economic and political forces that determine them — as it somehow has managed to do for
the last several decades. The answer again is no. By several measures, the long- term prognosis points to decline, not stability.
$
0$ 5$ 10$ 15$ 20Transit Deficits ( In billions) Projected Transit Deficits — 2009– 2033OperatingCapital$ 8$ 17.2
A strategy of
reducing service and raising prices
in the face of the recent weakening of demand
is an almost surefire way to lose still more customers. 10| 11
METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
Shortfallrtfallrtfall of Fundsds,
Performance
For starters, we simply don’t have enough money to fund our Bay Area transit system — not just
today, but in the future as well. The long- range
regional transportation plan adopted by the Commission in April 2009, Transportation 2035: Change in Motion, forecasts a huge, $ 25 billion shortfall in transit funding between now and the year 2033 ( see chart on page 8). On the operating side, our projections show a cumulative deficit
of $ 8 billion, which is almost 10 percent of the overall operating costs of the system. The outlook is even worse on the capital side, where available revenues to replace worn- out vehicles and the
like are expected to come in $ 17 billion shy of
our projected needs, a deficit amounting to over
40 percent of the total needed. Looking at it
another way, we will fall short of the resources our regional transit system needs by a cool
$ 1 billion a year over the next quarter- century.
And when we look at the results of the transit
investments we have been able to make in
recent years, we find a shortfall of a different, but
equally troubling kind: a shortfall in performance. Since 1997, total transit costs in the Bay Area have increased by 52 percent, after factoring out
inflation ( see chart on page 12). But during that
period, revenue hours of transit service rose
by only 16 percent, and ridership grew by only
7 percent. That is a terrible return on our
region’s transit investment, and it should cause us to think long and hard before committing future funds to such a low- yield strategy. Because even if we as a region could somehow find more money to devote to transit, we would have an obligation to make sure we use that money wisely to attract new riders.
Transit’s pressing budgetary woes may be
sobering, but these longer- term indicators are truly alarming. If allowed to continue, these trends would eventually threaten the very viability of the Bay Area’s transit system. After a careful assessment of transit’s troubling prospects during the develop­ment
of the Transportation 2035 Plan in 2008 and
“ We have streamlined service and reduced costs to cope
with a pressing financial crisis. But we must still confront
the longer- range challenges that cloud the future of
transit in our region.” Maryary King — Interim General Manager, AC Transit
Providing mobility for a substantial segment of the population,
the Bay Area’s transit system is a
crucial part of our regional community
and a key weapon in the fight against congestion.
The Bay Area News Group presented an in- depth look at the difficulties facing the region’s transit operators in “ Running on Empty: Bay Area Transit in Trouble,” a compre­hensive,
five- part series published in January 2010. To view the series, visit www. mercurynews. com/ search/ ci_ 14142243. 12| 13
METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
early 2009 — even before the worst shocks of the current crisis began to be felt — the Commission reached a perhaps inevitable conclusion:
“ The current transit system is not sustainable.”
U
nsustastastainable Is Unaccaccacceptablptablptable
But it must be sustained.
Providing mobility for a substantial segment of the population, the Bay Area’s transit system is a crucial part of our regional community and
a key weapon in the fight against congestion on the roads and highways. And its importance will
only grow in the future. The urgent imperative
to reduce greenhouse gas emissions means that
our growing population must learn to drive less — and to take transit more often. For this massive travel shift to occur, a move toward more focused
regional growth also will be necessary. But to sup­port
this move, an efficient, effective, convenient and reliable transit system has to be in place. With the stakes this high, the prospect of an unsustainable transit system is simply an
unacceptable alternative. To put it in military terms, failure is not an option.
We declare the current transit system to be
unsustainable, but we do not claim that it is on a path of irreversible decline. We do not believe that. Indeed, we call this annual report “ Transit
in Transition” to point away from disaster and
toward a more hopeful outcome. Taking this perspective, we see the Bay Area transit system today as going through a particularly difficult phase in a necessary passage to a better future. We don’t yet know what this future will look like, but we have resolved to help bring it into being.
Tacklackling Traransit Sustastastainability
The Metropolitan Transportation Commission is launching a new Transit Sustainability Project to seek — over the course of the next two years —
the right mix of solutions to our current transit
dilemma. It will be a comprehensive effort, ground­ed
in rigorous, fact- based analysis and targeted at three key areas that we have
identified as the central underpin­nings
of a sustain­able
future for transit. These are: service design, cost containment and institutional arrangements. 0% 20% 40% 60% 100% 80% Overall Percent Increase, FY 1997– 2008Bay Area Transit Productivity — Costs, Service and PassengersTotal CostRevenueHoursPassengers91% 39% Cumulative Inflation Rate ( FY 1997– 2008) 52% 16% 7%
The urgent imperative
to reduce greenhouse gas emissions
means that our growing population
must learn to drive less — and to take transit more often. 14| 15
METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
Along with proposed reforms — but not a substi­tute
for them — there will certainly be a need for additional resources to secure a future of true sustainability. So, broadly speaking, we envision a “ Reform and Revenue” agenda — and in that order of importance. There can be no shortcut to, or shortchanging of, the path of genuine and lasting stability for our regional transit system.
The Bay Area’s transit system operates under the difficult combination of unpredictable revenue sources and an unsustainable cost structure on the one hand, and underpriced auto alternatives and insufficiently transit- supportive land uses on the other. Transit operators struggle to satisfy the public’s expectation of comprehensive, fixed- route service to even far- flung locations — whether or not ridership levels make such service truly fea­sible.
We have multiple layers of decision- making and service delivery — 28 separate transit agen­cies,
each with its own board, staff and operating team — that confound efforts to deliver a regional
system that passengers can understand and
effectively navigate, and that can keep pace with changes in demand. And at times we — as a region and as a Commission — have made decisions to invest in system expansion when reinvesting in the existing system might have been the wiser choice.
Despite these factors, the region has a sig­nificant
opportunity and responsibility to change course, and can do so if it chooses to take the
“ The existing business model doesn’t work anymore.
It’s not sustainable. We’ve got to find new and better ways
to meet the needs of our transit customers.”
Michael T. Burns — General Manager, Santa Clara Valley Transportation Authority
Since 1997, total transit costs
have increased by over 50 percent,
but during that period revenue hours of service
rose by only 16 percent and ridership grew by only 7 percent. 16| 17
METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
necessary actions. The Commission recognizes that difficult decisions will be needed, and
we believe that these should be guided by a
constructive and inclusive regional discussion about change.
Taking Guidadance, Seeking Input
We stress the objective, analytical nature of this undertaking, and in doing so we draw inspiration from agency- specific reviews that have borne fruit for two of our region’s transit operators.
The Comprehensive Operations Analysis per­formed
by Santa Clara County’s Valley Transpor­tation
Authority in 2007 and San Francisco Muni’s 2008 Transit Effectiveness Project both sought to identify low- productivity operations and options for redeploying assets to improve service. Both have pointed the way to a more rational system.
We recognize that a successful outcome for this project also will depend on the active involve­ment
of stakeholders and input from the public — especially transit riders. The Commission will engage stakeholders through a formal advisory structure and through outreach to transit policy- makers at key milestones. As the Commission does not have the experience of directly operat­ing
transit service, we will look to Bay Area transit agency staff and independent consultants for critical expertise.
As well, the Commission will use this project to educate and engage the region’s residents about the challenges and opportunities for change.
By means of public meetings, focus groups and surveys, we will ask them to help us define
transit system objectives, and we will gauge their response to project recommendations.
Making the Traransition
In recent years, MTC has strived in various ways to improve the customer experience for transit riders. Through our 511 telephone and Web service,
we provide helpful, up- to- date ( in some cases,
$
0$ 1.00$. 50$ 1.50$ 2.00$ 2.50$ 3.00$ 3.50$ 4.00Subsidy Per PassengerTransit Subsidy Per Passenger: Bay Area vs. Other Metro AreasLos Angeles$ 1.87Chicago$ 1.97Boston$ 2.38San FranciscoBay Area$ 3.58Seattle$ 3.63Source: National Transit Database, 2007
Multiple layers of decision- making
complicate efforts to deliver
a regional transit system
that passengers can understand and navigate. 18| 19
METROPOlITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
up- to- the- minute) information on transit sched- ules and routes. By spearheading the TransLink ® smart card universal fare instrument — now fully operational on AC Transit, BART, Caltrain, Dumbarton Express, Golden Gate Transit and Ferry, and all San Francisco Muni vehicles except cable cars ( and soon to expand to SamTrans and the Valley Transportation Authority) — we have helped take the hassle out of interoperator trans­fers,
while simplifying the fare- payment process as a whole. And we are in the beginning stages of a significant effort to install helpful, visually
attractive informational signage at key transit hubs throughout the region.
But in embarking on this new Transit Sustain­ability
Project, we have in mind something more far- reaching and fundamental. At the outset, we have more questions than answers as to how the region’s transit system can be repositioned to achieve higher levels of efficiency and service effectiveness. The goal is to design, fund and implement a flexible and affordable system that more people will use for more trips. It is no small task, and we undertake it with full awareness of the difficulties and potential political pitfalls.
But we tackle it with enthusiasm and optimism nevertheless.
This time of crisis and challenge can be a trans-
formative moment for Bay Area public transit.
In league with transit operators, advised by the
public and other stakeholders, and on behalf of the region’s transit riders, MTC will do its best
to help make the necessary transition to a transit system suited to the needs of the 21st century.
We pledge our patience and perseverance, and
we invite your participation and support.
Background information on the Commission’s new Transit
Sustainability Project — and the crisis facing Bay Area transit — is available at: www. mtc. ca. gov/ transit_ sustainability
The goal of MTC’s
Transit Sustainability Project
is to design, fund and implement a flexible and affordable system
that more people will use for more trips. Metropolitan Transportation Commission
2009: The Year in Headlines
20| 21
METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
Januaryary 2009
The Commission authorizes the purchase of
$ 200 million in state bonds to
rescue 10 Bay Area
freeway construction projects
— most involving carpool lanes — threatened by
the state budget crisis.
Februaryary 2009
With the opening of the Harrison Street off- ramp
in San Francisco, the six- year, $ 455 million
seismic retrofit of the West Approach to the San Francisco- Oakland Bay Bridge
is declared officially complete by MTC’s Bay Area
Toll Authority ( BATA) and it partners on the
Toll Bridge Program Oversight Committee, Caltrans and
the California Transportation Commission.
Februaryary 2009
Just days after President Obama signs the $ 787 billion American Recovery and Reinvestment Act,
MTC adopts a $ 490 million
stimulus spending plan,
directing nearly 80 percent of the funds to rehabilitation of the region’s public transit and local street and road system.
March 2009
An immense, barge- mounted crane dubbed the
Left Coast Lifter arrives
in San Francisco Bay
from Shanghai to do the heavy lifting for the signature tower element of the new East Span of the
San Francisco- Oakland Bay Bridge, a seismic safety project overseen by BATA and its partners
on the Toll Bridge Program Oversight Committee.
April 2009
A two- year planning and outreach effort culminates
in MTC’s adoption of the
Transportation 2035 Plan for
the San Francisco Bay Area,
which specifies how some $ 218 billion in anticipated
federal, state and local transportation funds
will be spent in the nine- county region
over the next 25 years. The plan launches a new
climate change initiative and calls for establishing
a Bay Area Express Lane Network
that would allow carpools and toll- paying solo drivers
to bypass traffic. View at www. mtc. ca. gov/ t2035.
Mayay 2009
MTC and its cosponsors credit climate change
consciousness and good weather for the region’s
highest- ever Bike to Work Day
participation.
An estimated 204,000 people pedal to work on the
designated day, up 36 percent over the prior year.
June 2009
State, regional and local officials gather to celebrate
the 20th anniversary of
the founding of the Bay Trail,
a work in progress that eventually will encircle the region’s shoreline with a bicycle/ pedestrian trail.
MTC has been a major financial contributor to the planning and construction of the Bay Trail.
June 2009
A state- of- the- art,
low- emission ferry begins service
on the Harbor Bay line between Alameda and
San Francisco. The catamaran- style ferry is the second
of two purchased with $ 17 million in
Regional Measure 2 bridge toll funds allocated by MTC.
Julyly 2009
MTC’s 511 Transit site is named
one of 10 great government Web sites nationwide for 2009
by Government Computer News. Hailed as a
“ heroic act of interagency coordination,”
the site ( www. transit. 511. org) offers online trip planning
as well as route, fare and schedule data
for dozens of transit operators throughout the
Bay Area and Northern California.
Augustst 2009
BART and Caltrain become the fourth and fifth
( respectively) major Bay Area public transit systems to
launch TransLink ® , the convenient,
high- tech way to pay for transit rides.
Spearheaded by MTC, the TransLink ® smart card carries value and passes, and is also in use on San Francisco Muni, AC Transit, and Golden Gate Transit and Ferry.
Augustst 2009
A bicycle/ pedestrian path opens
on the Benicia- Martinez Bridge,
signaling completion of a makeover and expansion of this connection between Contra Costa and Solano counties.
The Bay Area Toll Authority contributed
$ 50 million in Regional Measure 1 bridge toll funds
to reconfigure the older of the twin spans and to add
the two- mile- long bike lane,
a key link in the region’s Bay Trail.
Septptember 2009
Regional and local officials gather for the
groundbreaking for the subway portion of BART’s Warm Springs extension,
a long- awaited 5.4- mile project that will bring the
regional rail system significantly closer to San Jose.
MTC is contributing $ 294 million in bridge toll moneys
from Regional Measure 1 and Regional Measure 2 for the $ 890 million extension project.
Septptember 2009
The replacement of the East Span of the San Francisco- Oakland Bay Bridge
passes another milestone over Labor Day weekend
when a 3,600- ton truss — the last piece
of a temporary traffic bypass — is smoothly rolled
into place under the watchful eyes of BATA,
Caltrans and the California Transportation Commission,
as well as the region’s media.
OctOct
o
b
er 2009
On the 20th anniversary of the catastrophic
Loma Prieta earthquake, MTC officials join with
Speaker of the House Nancy Pelosi
and partner agencies to mark the beginning of the
reconstruction of Doyle Drive,
San Francisco’s approach to the Golden Gate Bridge.
MTC has committed $ 80 million in bridge toll funds toward the $ 1 billion seismic safety project to replace the
more than 70- year- old facility with a landscaped parkway.
N
ovember 2009
BATA unveils plans for retrofitting
the Dumbarton and Antioch bridges
to bring them up to modern earthquake safety standards. BATA also explores options for covering the
$ 750 million cost of the retrofits with bridge toll hikes, soliciting input via public hearings.
December 2009
A cargo ship sets sail from China laden with the
first deck sections for the crowning
piece of the new Bay Bridge East Span,
the bold and distinctive self- anchored suspension span. The shipment caps three years of intensive steel
fabrication in Shanghai, under the close
supervision of BATA, Caltrans and
the California Transportation Commission. ( a) Revenues from a half- cent sales tax collected in Alameda, Contra Costa and San Francisco counties. ( d) Includes funding for cities, counties and local transportation agencies not listed separately above.
( b) Includes Regional Measure 2 funds, AB 664 Net Toll Revenue funds, 5% Unrestricted State Fund Reserves and 2% Bridge Revenue Reserves. ( e) Bridge- toll- funded pedestrian and bicycle allocations.
( c) SamTrans claims these funds on behalf of the Caltrain/ Joint Powers Board.
MTC Allocations
Approved for local agencies and jurisdictions for fiscal year 2008– 09 ( unaudited)
22| 23
METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
Local/ Regional State
Transportation Development Act AB 1107( a) Toll Bridge Revenues( b) State Transit Assistance Subtotals
Transit Transit Streets Pedestrian Transit Transit Transit Other Transit Transit Transit Transit Other
Recipients Operations Capital and Roads and Bicycle Operations Operations Capital Capital Operations Capital Operations Capital Capital Total
Transit Agencies
Alameda- Contra Costa Transit District ( AC Transit) $ 49,191,198 $ — $ — $ — $ 34,000,000 $ 9,812,151 $ 3,050,895 $ — $ 15,136,169 $ 16,000 $ 108,139,518 $ 3,066,895 $ — $ 111,206,413
Bay Area Rapid Transit District ( BART) — — — — — — 176,625,287 — 801,024 — 801,024 176,625,287 — 177,426,311
Caltrain/ Joint Powers Board — — — — — — 1,036,630 — — 5,418,885( c) — 6,455,515 — 6,455,515
Central Contra Costa Transit Authority ( County Connection) 16,733,668 534,625 — — — 562,866 1,278,300 — 3,392,675 — 20,689,209 1,812,925 — 22,502,134
Eastern Contra Costa Transit Authority ( Tri Delta Transit) 11,328,554 150,000 — — — 531,835 366,030 — 3,222,416 — 15,082,805 516,030 — 15,598,835
Fairfield/ Suisun Transit 4,408,036 1,566,636 — — — 711,035 — — 451,138 — 5,570,209 1,566,636 — 7,136,845
Golden Gate Bridge, Highway & Transportation District 13,507,880 — — — — 2,492,528 — — 3,742,662 — 19,743,070 — — 19,743,070
Livermore Amador Valley Transit Authority ( Wheels) 7,996,247 866,877 — — — 101,500 422,460 — 1,850,863 — 9,948,610 1,289,337 — 11,237,947
Napa County Transportation & Planning Agency 6,195,565 — — — — 101,740 — — 876,433 — 7,173,738 — — 7,173,738
San Francisco Municipal Transportation Agency ( Muni) 33,281,800 — — — 34,000,000 2,687,501 7,168,302 — 19,619,870 — 89,589,171 7,168,302 — 96,757,473
San Mateo County Transit District ( SamTrans) 29,042,679 — — — — 101,500 1,371,049 — 1,914,611 — 31,058,790 1,371,049 — 32,429,839
Santa Clara Valley Transportation Authority ( VTA) 73,356,600 — — — — — — — 6,483,190 — 79,839,790 — — 79,839,790
Santa Rosa CityBus 5,051,470 — — — — — — — 1,055,908 — 6,107,378 — — 6,107,378
Sonoma County Transit 8,010,409 534,375 — — — — — — 2,424,875 — 10,435,284 534,375 — 10,969,659
Union City Transit 2,347,972 785,226 — — — — 172,419 — 327,169 — 2,675,141 957,645 — 3,632,786
Vallejo Transit 5,465,821 — — — — 7,209,772 8,639,728 — 2,606,836 — 15,282,429 8,639,728 — 23,922,157
Water Emergency Transportation Authority — — — — — 4,350,000 6,000,000 — — — 4,350,000 6,000,000 — 10,350,000
Western Contra Costa Transit Authority ( WestCAT) 2,793,326 554,602 — — — 567,244 35,398 — 2,536,288 538,702 5,896,858 1,128,702 — 7,025,560
Subtotal $ 268,711,225 $ 4,992,341 $ — $ — $ 68,000,000 $ 29,229,672 $ 206,166,498 $ — $ 66,442,127 $ 5,973,587 $ 432,383,024 $ 217,132,426 $ — $ 649,515,450
Counties/ Regional Agencies/ Other
Alameda County( d) 48,679 — — 1,155,816 — 1,503,546 3,360,421 — — — 1,552,225 3,360,421 1,155,816 6,068,462
Contra Costa County( d) — — — 730,375 — — 40,000,000 2,000,000 — — — 40,000,000 2,730,375 42,730,375
Marin County( d) — — — 1,019,000 — — — 4,400,000 — — — — 5,419,000 5,419,000
Napa County — — — — — — — — — — — — — –
City and County of San Francisco( d) — — — 450,000 — — — — — — — — 450,000 450,000
San Mateo County( d) — — — 760,975 — — — — — — — — 760,975 760,975
Santa Clara County( d) — — — 1,670,134 — — — — — — — — 1,670,134 1,670,134
Solano County( d) 2,303,528 2,044,434 583,390 456,000 — — 6,927,000 18,204,000 236,820 — 2,540,348 8,971,434 19,243,390 30,755,172
Sonoma County( d) 1,286,001 180,000 — 548,500 — — — — 482,167 — 1,768,168 180,000 548,500 2,496,668
Metropolitan Transportation Commission — — — — — — 2,936,000 — 13,009,921 1,520,330 13,009,921 4,456,330 — 17,466,251
Transbay Joint Powers Authority — — — — — — 39,100,000 — — — — 39,100,000 — 39,100,000
California Department of Transportation — — — — — — — 950,000 — — — — 950,000 950,000
Association of Bay Area Governments — — — — — 175,000( e) — — — — 175,000 — — 175,000
Subtotal $ 3,638,208 $ 2,224,434 $ 583,390 $ 6,790,800 $ — $ 1,678,546 $ 92,323,421 $ 25,554,000 $ 13,728,908 $ 1,520,330 $ 19,045,662 $ 96,068,185 $ 32,928,190 $ 148,042,037
Regional Total $ 272,349,433 $ 7,216,775 $ 583,390 $ 6,790,800 $ 68,000,000 $ 30,908,218 $ 298,489,919 $ 25,554,000 $ 80,171,035 $ 7,493,917 $ 451,428,686 $ 313,200,611 $ 32,928,190 $ 797,557,487 Revenues
1 State Grants $ 61,795,988
2 Federal Grants 41,425,972
3 Project Grants From Local Agencies 33,773,929
4 Transfers From Other Funds 28,002,792
5 Sales Taxes 9,847,813
6 Investment Income 5,785,031
7 Net Change in Fund Balances 4,294,855
Total Revenues $ 184,926,380
Expenses
1 Allocations ( by Fund Source): State Transit Assistance $ 80,325,647
AB 664 Net Toll Revenue Reserves 14,362,740
Other Governmental Funds 13,170,859
2 Professional Fees 38,452,174
3 Salaries and Benefits 17,164,185
4 Capital Projects 13,354,897
5 Other Expenditures 8,095,878
Total Expenses $ 184,926,380
Created by the state Legislature in 1970 to map the transportation future of the nine- county San Francisco Bay Area, MTC today continues its plan­ning
role while also investing in and ensuring the smooth operation of the region’s public transit, highway and local roadway systems. MTC also functions as the Bay Area Toll Authority and the Service Authority for Freeways and Expressways.
MTC Financial Highlights
Metropolitan Transportation Commission, Fiscal Year 2008– 09
24| 25
METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
123456712345
Revenues
1 Operating Revenues:
Toll Revenue Receipts $ 470,136,376
Other Revenues 16,828,189
2 Non- Operating Revenues:
Other Revenues 46,243,663
Investment Income 20,699
3 Change in Net Assets 792,615,892
Total Revenues $ 1,325,844,819
Expenses
1 Operating Expenses:
State of California, Caltrans $ 28,609,482
Allocations to Other Agencies 28,341,977
Professional Fees 27,378,953
Depreciation and Other 11,255,560
Salaries and Benefits 5,986,583
2 Non- Operating Expenses:
State of California, Caltrans 850,275,136
Interest Expense 197,742,351
Other Agencies 132,770,459
Financing Fees 14,441,725
Other Non- Operating Expense 2,332,921
3 Transfer to MTC 26,709,672
Total Expenses $ 1,325,844,819
BATA administers toll revenues from the region’s seven state- owned toll bridges — the Antioch,
Benicia- Martinez, Carquinez, Dumbarton, Richmond- San Rafael, San Francisco- Oakland Bay and San Mateo- Hayward bridges. BATA also finances capital and safety ( including seismic retrofit) improvements to the bridges, primarily through the issuance of bonds. The FasTrak ® electronic toll collection system ( used also on the independently managed Golden Gate Bridge) is another BATA responsibility.
BATA Financial Highlights
Bay Area Toll Authority, Fiscal Year 2008– 09
123123 Revenues
1 Caltrans and Other Agency Grants $ 6,481,541
2 DMV Registration Fees 5,998,475
3 Change in Net Assets 2,282,828
4 Federal Grants 765,112
5 Investment Income 128,301
Total Revenues $ 15,656,257
Expenses
1 Towing Contracts $ 8,764,626
2 Professional Fees 1,618,387
3 Transfer to MTC 1,293,120
4 Communications, Depreciation and Other 1,253,447
5 Repairs and Maintenance 1,036,045
6 Salaries and Benefits 957,832
7 State of California, Caltrans 732,800
Total Expenses $ 15,656,257
26| 27
METROPOLITAN TRANSPORTATION COMMISSION • ANNUAL REPORT 2009
SAFE oversees the operations and finances of the Bay Area’s publicly sponsored motorist aid services — the roving tow trucks of the Freeway Service Patrol and the regional highway/ expressway call box program. SAFE is partially funded by a
$ 1- per- year fee on motor vehicles registered in
the nine Bay Area counties.
SAFE Financial Highlights
Service Authority for Freeways and Expressways, Fiscal Year 2008– 09
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Report of Independent Auditors . . . 1
Management’s Discussion and Analysis . . . 2– 13
Basic Financial Statements
Government- Wide Financial Statements
Statement of Net Assets . . . 14– 15
Statement of Activities . . 16– 17
Fund Financial Statements
Balance Sheet – Governmental Funds . . . 18– 19
Statement of Revenues, Expenditures and Changes in Fund Balances – Governmental Funds . 20– 21
Reconciliation of the Statement of Revenues, Expenditures and Changes in Fund Balances —
Governmental Funds to the Statement of Activities . . 22
Proprietary Fund Financial Statements
Statement of Net Assets — Proprietary Funds . . . 23– 24
Statement of Revenues, Expenses and Changes in Fund Net Assets — Proprietary Funds . 25– 26
Statement of Cash Flows — Proprietary Funds . . 27– 30
Fiduciary Fund Financial Statements
Statement of Fiduciary Assets and Liabilities — Agency Funds . . . 31
Notes to Financial Statements . . 32
Required Supplementary Information . . . 81
Other Supplementary Information . . . 86
Statistical Section . . 109
Financial Report
For the Year Ended June 30, 2009 Steve Heminger
Executive Director
sheminger@ mtc. ca. gov
Ann Flemer
Deputy Executive Director, Policy
aflemer@ mtc. ca. gov
Andrew B. Fremier
Deputy Executive Director, Operations
afremier@ mtc. ca. gov
Francis F. Chin
General Counsel
fchin@ mtc. ca. gov
Brian Mayhew
Chief Financial Officer
bmayhew@ mtc. ca. gov
Alix Bockelman
Director, Programming and Allocations
abockelman@ mtc. ca. gov
Melanie Crotty
Director, Traveler Coordination and Information
mcrotty@ mtc. ca. gov
Teri L. Green
Director, Administrative and Technology Services
and Affirmative Action Officer
tgreen@ mtc. ca. gov
Doug Kimsey
Director, Planning
dkimsey@ mtc. ca. gov
Rod McMillan
Director, Bridge Oversight and Operations
rmcmillan@ mtc. ca. gov
Randy Rentschler
Director, Legislation and Public Affairs
rrentschler@ mtc. ca. gov
Albert Yee
Director, Highway and Arterial Operations
ayee@ mtc. ca. gov
Executive Staff
Plush Studios/ Getty Images
Cover
Karl Nielsen
Table of Contents
John W. Banagan/ Getty Images
Page 2
Noah Berger
Page 4
Noah Berger
Page 5
Noah Berger
Page 6
Justin Sullivan/ Getty Images
Page 7
Kit Morris
Page 8
Kit Morris
Page 9
Kit Morris
Page 11
Karl Nielsen
Page 12
Karl Nielsen
Page 13
Karl Nielsen
Page 14
Karl Nielsen
Page 15
Justin Sullivan/ Getty Images
Page 16
Justin Sullivan/ Getty Images
Page 17
Helen Belitto/ Santa Clara Valley
Transportation Authority
Page 18
Noah Berger
Page 19
Photography Credits
Joe Curley
Editor/ Writer
Brenda Kahn
Associate Editor
Bob Bates, Laramie Bowron,
Elena Federis, Shruti Hari
MTC Allocations
Suzanne Bode, Betty Lam
Financial Highlights
Debbie Atmaja, Peter Beeler,
Suzanne Bode, Eva Sun
Financial Report
To order additional copies of this Annual Report,
e- mail library@ mtc. ca. gov or call 510.817.5836.
© 2010 Metropolitan Transportation Commission
Design: Finger Design Associates, Oakland, CA
Printing: California Lithographers, Concord, CA
This report is FSC- certified and printed on recycled papers
with 30% post- consumer recovered fiber. The paper was made
with 66% renewable energy and elemental chlorine- free pulps.
Annual Report Staff M
etropolitanTransportation Commission2009 AnnualReport
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