Today’s report about VTA increasing bus fares repeats previous
incorrect reports about the size of VTA’s operating deficit.
Ignoring all capital and fixed costs, VTA’s annual operating loss
is about $277 million.
Today’s report about VTA increasing bus fares repeats previous incorrect reports about the size of VTA’s operating deficit. Ignoring all capital and fixed costs, VTA’s annual operating loss is about $277 million.
However, if we required transit agencies to apply generally accepted accounting principles, then we would have to add billions of taxpayers’ dollars used to pay VTA’s other costs, too. When will you report that?
If VTA’s farebox recovery rate has dropped below the legal limit prescribed by the Public Utilities Code, then when will our elected leaders sue VTA to recover the illegal subsidies? We don’t let passenger carriers violate the law, do we? Even if they are managed by our elected leaders, they still have to obey the law – right? Nobody is above the law – right? So, why are our leaders ignoring the illegal activity right under their noses?
Since the accounting scandals at Enron, Worldcom and others, why do we tolerate “off book” accounting practices at VTA and our other transit agencies?
Finally, four nationwide studies reviewed by Greene, Jones & Dellucchi in “The Full Costs and Benefits of Transportation: Contributions to Theory, Method and Measurement,” found auto costs “clustering around 3-4 cents per passenger mile.” In contrast, they found public transit costs “significantly higher,” “ranging from 40 cents per passenger mile to around $2 per passenger mile.” So, why do you report that “VTA is generally still cheaper than driving? Where are you getting your data?
I suggest if you rely on VTA for your data, then your reporting will be far from accurate. Your readers deserve better, so let’s have truth in transportation.
Privatizing transportation is the obvious answer to this fiscal nightmare, if the truth about public sector transit costs is disclosed. Reports concealing the truth are unworthy of publication in our town’s newspaper.
Caveat Viator!
Joseph Thompson,
Tres Pinos
