Motorists paying high prices for gasoline ought to keep in mind
that they not only pay 100 percent of their own transport costs,
they are also paying 99 percent of the total costs of transit
riders’ rides, too.
Under generally accepted accounting principles, 99 percent of
fully amortized costs, i.e. capital costs, of public-sector transit
are paid for by taxpayers.
Motorists paying high prices for gasoline ought to keep in mind that they not only pay 100 percent of their own transport costs, they are also paying 99 percent of the total costs of transit riders’ rides, too.
Under generally accepted accounting principles, 99 percent of fully amortized costs, i.e. capital costs, of public-sector transit are paid for by taxpayers.
Although San Benito County’s transit agency reports a “farebox recovery rate” of a little over 14 percent, the Legislature allows our public-sector transit agencies to omit their capital costs in their financial reports.
So, our government’s transport policy punishes self-sufficiency, and rewards waster. No wonder we have government budget deficits. Until we get structural reform in transport policy, those deficits will only get worse.
As we tax motorists out of their cars, the downward spiral of government waste will accelerate. Unless we privatize our transit, the multi-million-dollar deficits will grow from $9 million last year (2 per 1,000 of SBC annual trips) to $18 million (if we double transit ridership to 4 per 1,000), then $36 million for another doubling of ridership on County Transit (8 per 1,000).
Keep up that trend and SBC will soon have no money left for other basic governmental functions like firefighters and sheriffs. Privatization of public-sector transit is the only real solution for future generations.
So, let’s spare the air, spare the taxpayers and spare us the B.S. about “economical” County Transit.
Joseph P. Thompson, Tres Pinos
