Los Angeles Transit Street Car Lines to Motor Coach 1954 by AC Porter

OALIFORNIA PUBLIC UTILITIES COW~ISSION TRANSPORTATION DIVISION

ENGINEERING SECTION 足

MY. WATER AND MOTOR COACH TRANSPORT

LOS ANGELES TRANEiIT LINES

APPLICATION NO. 35601 - TO INCREASE FARES

APPLICATION NO. 35728 - TO CONVERT CERTAIN STREET CAR LINES TO

14OTOR COACH ETC.

n~GlNEERING-ECONOMIC PXPORT

SHOWING ESTIMATED RESULTS OF OPERATION

FOR THE l~~MONTH PERIOD ENDING OCTOBER 31. 1955

UNDER P:riESENT ..AND PROPOSED FARE STRUCTURES

UNIlFJl. PRESENT OPERATIONS AND PP.OPOSED MOTOR COACH SUBSTITUTION

John L. Pearson Supervising Transportation Engineer

Timothy J. Canty Senior Transportation Engineer

San Francisco, C.aliIol~ia , Oc t ob e r

5, 1954

MEMORANDUM In the preparation of this report, Transportation

Engineers of the staff participated as follows: Paul A. Burket

Assistant Engineer

General Data

George H. Morrison

Assistant Engineer

Operating Expenses

Assistant Engineer

Rate Base and Depreciation Expense

Edward P. Thurban

Assistant Engineer

Taxes

Donald J. Warth

Assistant Engineer

General Data

Albert

Porter

LOS

A!JG:SL~S

TRA~,l SIT

LIl-RS

RPPLIC~TION NOS.)5601 AND

禄728

TABLE OF CIJNT".NTS Page No.

Tit 1 e Chart 1 - Transit Passenger Trends, Los Angeles County Trends and Los Angeles Transit Lines Trends

Gerter8.1 Presentation:

2 Case I ar1d II

T'lble 1 - Estimate of P'3.ssengers and Passenger Revenue CCl.se I ,:mo II Table 2 - Estimate of Mileage-Case I and Caso II Table) - Estimate of Jperating ~d Maintenance Expense - Case I

Chart 2 - Trend and Estimate of Adult Revenue Passenger -

18 19

Rail Trolley Coach Motor Coach

Table 4 - Estirn"l.te of Allow'lllce s for Amortization .md Interest Due to Rail A.b 'l11 donmen ts - Case I 'l.nd Case II T"l.ble S - Sstim"l.te of Cost of Public Liability md Property D'lmage .gnd Workmen's Compen sa tion Insurance - Caso I Table 6 - Estim'lte of Oper'lting T::uces - Case I Chart) - Pictures md Data - Street Car 'lnd TrollDY CO::lCh Equipment September 1, 1954.

~.S

24 of

Chart 4 - Pictures "l.nd Dat"l. - Motor CO"l.ch EquiomGnt 路1. S 0f SeptGrnber 1, 1954 Chart 5

Pictures 'lnd D'lt'1 - Rebuilding Motor CO':l.ches of the 6,000 R.nd 6,100 Series

T'1b1e 7 - Estirn"tte of Inv(.:; stmont, D0preci "ition 'md R"l.to Base T':l.ble 8 - Estimate of Investmcmt, Deprociation md R'lte T~ble

C"tse II

Estim'lte of Rosults of [:poratirm

C"l.SC II

C"..se I

Table 11 - E s tim路1.to of Oper'1ting Expense :md T::uco s 12

.a <i se -

Case I

H' -n so for Estim:lted Inve stmont, Depreci'ltion Res8rve md ..c.xpu equipment on 11unit plm!! depreciqtion

T1.ble 10 - Estim'ttc of Results of Cpon.ti0n

T~,b18

C'l.S8 II

32 33

CHART I

40 200

'44

'46

Ll8

/ \'. o .- If-, 1\ :>f~

180

TRANSIT PASSENGER

/':\

,"I'I

p.~~.

:52 53

'50

S7,1. o;..~

160

i .'

j.' ,.

140

-, \

.e,1

bY (oS

p.:;

TRENDS

\':-'

If'

\~\ ':-:-::

i' W

120 ~.

100

r\ ., ,

"""

200

~ ~

160

140

"f.~

120

- -

li~~:

~ ;;:-: -

100

q,!

,,~

AU~

.~>6.';;

, , ,<> l<'4"Glf ~~~

pc,

....

CA 10k

7...

220 $

PER 1I0VR

.72

.85

.93

.88

1-00

123

~ "

6~ :/

fl 17

140

/ . ,,',,

120 100

.l/

t~"·

--......::

'40

'42

t~~

f-'

~",.

Ill!:'

IS/i

Iss

1·75

.7'.. ••••.i\

[.r'

~ ;,~

"'" , ,,

.~ I--

• !'~~ ~:~.r.-:

'44

/ 81

:J X--

~.~

.y/q

LOS ANGELES TRANSIT LINES OPERATING STATISTICS ( INDEX

1940 = 100)

DRIVERS WAGES ON AN HOURLY BASIS

~/l

.'~~

15-1

~~I

REGISTRATION

---AUTO REGISTRATION PER 100 POPULA nON

i"--...

!2WS,l jr{4tJl 7Ye;'

I/'-;

180 160

I ' <I

135 1-40 /·47 /·52

200

~ lJ.J

30 so'

lOa)

L.A.TL. PASSENGE.RS

.." t-.: ' , ~

Io'p,<l.', '

240 LOCAL rARe:

( I ND£X 1940

tI"'"

POPULATION

1,,0,1, roo

,.::.

LOS AN6ELES COUNTY SELECTED TRENDS

f.x"

r--...

,, ,

/' .

~1.

,~':.'

DRIVERS WAGfS

I--STATE OF CALIFORNIA

/ \

~/ +~

Ifr ZONE:

r--...I........

180

1940= 100)

WITED STATES

1\"

INOex

~LOSAN6EL£S TRANSIT LINE5

'l\

irf

(

OPERATING EXPENSES

---- r- I---AVERAGE RATE OF FARE PER PASSENGER

.'~ ~ ~

M/~

'46

'48

~~ASSENGER REVENUE

'50

/ ~

r---.. -0..0.

t---VEHICLE MILES OPERATED

'52 .)"3

LOS ANGELES TRANSIT LINES APPLICATION NO.35601 APPLICATION NO.3?728 General The purpose of this

engineering~economic

the operating results of the Los

;~eles

roport is to set forth

Transit Lines for a twelve-month

period ending October 31, 1955 under present fares and under fares proposed in Application No. 35601 and under present operations and under the ,plan of ,

. t.::-',路

motor coach substitution for certain rail lines as set forth in Application No. 35728.

The results of operation "Jill be shown under thefollo\V'ing

bases: Case I-A

Present Operations with Present Fares

Caso I-B

Presont Operations with Proposed Fares

Case II-A

Proposed Motor Coach Substitution l-li th

Present Fares

Case II-B

Proposed Motor Coach Substitution with

Propo sed Fares

i~here

Case I is referred to in the text, i t implies both Case . I-A

and Case I-B, and where Case II is referred to, it implies both Case II-A and Case II-B. Territory Served Tho Los Angeles Transit Lines serves an area roughly thirteen miles in diameter, centered around the downtown business district of Los Angeles. For faro collection purposos this is divided into an inner zone approximately nine miles in diameter, surroundod by a ring two miles in \<lidth which is

_ 2 _

separated into seven second zoncs.

Additional third zone areas arc served

as follows: Eagle Rock and Griffith Park districts in the North Beverly Hills district in the West Inglm.,rood and South Gate districts in tho South Further to the south two fourth-zone areas are designated as Hawthorno Zone 4 and Hollydale Zone 4.

Historical Aspects of Traffic Trends and Operating Statistics Chart 1 provides

historical background for traffic trends and

operating statistics of Los Angeles Transit Lines for the period from 1940 to 1953. Present and Proposed Fare Structures The fares currently charged and those

re~uested

in Application

Nc. 35601 are as follows: Present Fares I-Zone l5~ or

Adult School T*

- 2-Zone

= Token,

20¢ or Til' + 5~

l2¢

!.J-Zone

25~ or T* loi

)O~ or T'" l5~

l5~

sold at 7/$1.00. Proposed Fares Set Forth in

A~lication

29~

Adult School

3-Zone

20¢

:# Sold in books of 40 rides.

- J

NQ. 2~60l 35~

In summary

thepropos~dcha!lge,s

a,r o: .

,',,:- t.: . ~ . ," ,

.. -.

.....

~-'

" .颅

(1) Eliminate tokens (2) Increase single. , zone ,fare 路 tQ 17" with 6~ increments for each addi tional zone

(3) Inc'r ease school single-zono cominUte fara to lO~ with 5垄 incroments for e,ach add~ tional zone. Changes in Operation - Case II In Application No. 35728 Los Angeles Transit Lines requests authority , to convert about

40%

of its present street car serVice to motor coach service

and at the ' same time to convert ono line nbw operated by motor coach to trolley coach.

Following is a list of the street car iines \~hich the company proposes

, toconvort to motor coach: No. and Name of Line

No. 5 - Eagle Rock and Hawthorne

Amount to be Converted Entire Line

No.7 - So. Broadway and Civic Center

No.8 - W.54th St. and No. Main st.

No.9 - W.4Bth St.-Lincoln Park

"FlI_ S. Vermont and Union Station IIW"

_ W. Washington and Highland Park

In part. From W. end of Line at Crenshaw Blvd. and 48th St. to Broadway and 11th St. Entire Line In part. From Broa.dway and Pa saQena Ave. to N. end of the line at Y 路)l~Y;}:? lv\:; . a.nd Avenue 50.

The motor coach line to be ,converted to trolley coach is: No. and NRme of Line No. 41 - Alvarado Street

Amount to be Converted. ... . Entire ' Line

Passengers and Passenger Revenuo- Case rand Case ·II Adult Passengers and Revenue Because of the method of fare collection, the company does not maint[!.in records of passengers carried. of ca sh fares and token fares.

HowEr'Ver , it does maintain a daily record

This revenue informationi s used herein in

conjunction with a traffic check which \<las passengers by zones.

m~de

to determine the

n~be,r

The traffic check was conducted in 1950 in connection

with Application No. 32335, and the resulting percentage distribution by zones of adult passengers is sho1rm in Column 1 of the following tabulation.

The:

column to the right shows the percentage distribution used in this report,which has been adjusted to reflect variation in diminution by zones and in the trea t ment of certain passengers handled to Hollywood Park. Percent of Adult Passengers As Used in As Used in This Rill2ort ' ARglication )2225 67.4% 28.6 3.7 0.3 100.0%

l-Zono 2-Zonc 3-Zone 4-Zone

66.6% 29.3 3.~5

.15 100.00%

The following tabulation shows the fares in effect from the lattor :pc~rt

of 1950, when the present pattern was established, to date.

The first

column shows tho actua l adult I-Zone fare, while the second column shows the computed average adult fare for a ll zones. Period ,,', ... : ~ ' . ' 12-10-50 1-24-52 11-3-.52 11-30-53

to 1-23-52 '" to 11-2-52 to 11-29~53 to Date

, Adult I-Zone Fare lOp 15~ or 2/25p 15~ or 3/40¢ 1.5~ or 7/$1.00

* This

Average Adult Fe..re All Zones 11.82l 14•.58 15.54 16.55

average f are is estimated at 16.64~ for the rate year under present fares because of the declining use of tokens.

- 5

The trend of total adult

pa~s~ngers

is shown in Chart 2.

The

estimated adult revenue' passengers for the twelve-month period ending .

October 31,1955 under prosent fares are135,363,000 andare shown in the chart at m1dpqint of the ;rate, year.

Token use under present fares was

estimated to be 35% in each of the four zones.

The diminution or loss of

passengers due to increased fares was 'estimated to be 25% of the percentage incrbase in the fare involved.

The estimated 135,363,000 adult passengers

developed in Chart 2 are also shown in Table 1, Coi1lffiIl 5, Line 13. and flrEl distributed to the various zones on the basis of the percentages shown in the above tabulation. Hollywood Park passengers are

esti~ated

and the fare for these passengers is 10~. passeng~rs

to be 200,000 annually

Although these Holly\'lood Park

may originate in the, dO\,lntown area. they become, ' in essence, new

passengers when they board the Hollywood Park Line. since they have no trans足 fer privileges.

Adult passengers and revenue (shown in detail in Table 1)

for the twelve months ending October 31. 1955 ' are summarized as follows: Passengers

Revenue

Presont Fares

135.563.000

$22,513.000

Applicant's Proposed Fares

130,039.000

25.037.000

Following is an estimate of school passengers and revenue and

U. s. Postal employee passengers and revenue: School Passengers

Revenue

Case I-A

Present Fares

3.358.000

$319.000

Case I-B

Proposed Fares

3,245.000

351.000

6足

U. S. Post Office Pas senger s

Revenue

Case I-A

Present Fares

616,000

.. $ 路88,000

Caso

Proposed Fares

616,000

105,000

r~B

Token Ad,justment It is estimated that based upon tho present experience of appli颅 cant, three tokens out of 1,000 tokens sold or 0,356路 will never be redeemed. This amount will be considered as an added revenue and is estimated at $20,000 under present fares.

Other Revenue From such sources as rent, interest on franchise bonds. charter, advertising, and miscellaneous, there is an estimat~d rovenue of $187.000 under all cases. Revenue under Case II - Proposed Motor Coach Substitution (Application No. 35728)

UnderCas8s II-A and II-B ,proposed motor coach substitution, the estimated rovenue will be the same as in Cases I-A and I-B, respectively. Mileage The estimated mileage to be operated during the rate year is shOllTn

in Table 2.

This estimated mileage is based upon a study by

Mr. William F. Hibbard, Associate Transportation Engineer, of the Commission's staff and is shown as a separate exhibit in this matter.

- 7 '颅

Operating and Maintenance Expenses -- Case I . Estimates of operating and maintenance expenses are shown in Table 3.

General Unless otherwise stated in the following paragraphs, operating and maintenance expenses are based on experience, and conditions currently prevailing.

In estimating operating and maintenance expenses it is

estimated that 100 new 48-passenger diesel coaches will start operating .

at the beginning of the rate year, replacing older coaches now in operation.

These new coaches will slightly increase the fleet cost of

tires and substantially decrease the cost of Account No. 4140 - Maintenance Expense. Wages: All wages are included in the detailed estimates shown in Table 3 at the level prevailing immediately . prior to Wage Increase:

1, 1954.

The wage increase which becomes fully

effective on December 1, 1954 is

sh~m

separately

on Line 12, in Table 10, Results of Operation'. Fuel:

The cost of fuel is based upon the current level of costs including an ir.crease in the Sales Tax on diesel of 0.5%, effective July 1, 1954 for the City of Los Angeles.

Tires: The unit cost of tires is based on that ' prevailing under contract for ,. the period July 1 to Decernber-31, 1954.

The estimate of the cost of tires reflects the

- 8 足 ~

,- - -

-- -

足

estimated higher unit 路 tire cost per mile for the loa ne,., coaches which are to be put in operation at the beginning of the rate year. Power:

The cost of power reflects the increase recently . granted to Southern California Edison Company by this Commission.

:Public Liability and Property Damage Insurance and Coverage for these types Workmen's Compensation Insurance: of insurance is carried with Transit Casualty Company, the stock of which is owned by the following affiliated or subsidiary companies: Percent of Common Stock Owned* National City Lines Los Angeles Transit Lines St. Louis Public Service Company Total 路

* From

30%

24%

46% 100%

1953 Annual Report to the Insurance Department, State of California.

The present premium rate charged, by Transit Casualty Company to applicant is 7% of passenger revenue. In this report, as in pre~ous reports, the estimate of the Commission's staff has been predicated on unit costs

related to the number of passengers carried and tho vehicle miles

operated. The estimate for Case I is shown in Table 5.

Operating Expenses - Case II Case II -

Operating expenses are shown in detail in Table 11

and are based on operations of Ca'sc I adjusted to reflect the estimated decrease in rail expenses due to the aband'Onroent of lItrEiet car operations as proposed in Application No. 35728, the increase in motor coach expenses re~uired

by the substitution of motor coach service for street car service,

and the increase in trolley coach expense due to the conversion of Line

No. 41 from motor coach operation to trolley coach operation, with a

corresponding decrease in motor coach expenses.

- 9颅

Operating Taxes - Case I Franchise Ta:x:es cmd Business Licenses Under Case I, Present Operationa,frnnchise taxes to the City of Los Angeles were determined by applying current ta:x: rates to estimated revenues. Ad

Vnlore~

Taxes

The estimate for ad valorem taxes under Case I is based on an assessinent of $6,496,250 and a tax rate of $6.7402. Fuel Taxes Fuel taxes are based on the following per gallon rn.tes of Federal and State Taxes:

.'illA Diesel

Cents ner Ga11Qn

Federal

i ~

11-1-54 to 3-31-55 4-1-55 to 10-31-55

11-1-54 to 6-30-55 7-1-55 to 10-31-55

~1-1-54

State

~ 2

Gasoline

Federal

11..2

to 3-31-55 4-1-55 to 10-31-55

6 ~

State

Effectiye Dates

11-1-54 to 6-30-55 7-1-55 to 10-31-55

Motor Vehicle Licenses The estinate for motor vehic10 licenses is based on the registra tion, weight and vehicle license fees Which will be in effect during 1955 under equipmontrequiremonts as sot forth in the report by Public Utilities Commission Associate Engineer,

Wil1i n~

F. Hibbard.

- 10

Trapsportati

I,i

CADse Tax

This license tax is assessed by the Board cf Equalization and represents

of the gross revenue derived from operations in non-incorporated

areas by motor and trolley coaches.

The estimate is based on

curront tax rates applied to estimated revenues. Pavroll Taxes Tho ratos in effect aro 2% for Social s~curity taxos and 0.3% for Federal Unemployment Insurance.

Paymonts to tho State Unemployment funds

will remain at zero, as a sufficient accumulation of funds is presently on hand.

It is estimated that 94% of applicants' total payroll will be

subject to Social Security Tax undor the increased coverago offective January 1, 1955, and that 100% of the employees are subject to F.U.I. taxes at $3000 per year. Other Taxes Other taxos include operatorsl licenses, Fodera,l transportation manufacturers excise taxes, and other miscellnneous taxes.

ta~

The

estimate is based on actw:d experience for the yeo.r ending May 31, 1954. Income Taxes State Corpor8.tion Franchise Taxes have been computed at the current rate of 4%.

Federal Income Taxes have been computed on tho basis

of a change in rate effective April 1, 1955. tax

On this basis the normal

f 30% was used for five months of the rata year, and 25% for soven

months of the rate year. the year.

Tho surtax of 22% remains constant throughout

In calculating income taxes in both Cnse I and CasarI, an

interest credit of $100,300 was used,

- 11 足

Rate Base and Depreciation Expense

In General:

In accnrdance wi th current Cornmi ssion practice of treating all property en a remaining life basis, the Commission Staff has made an analysis of Applicont1s property.

rosult, as of January 1, 1954:

1. Motor coaches of the series 6200, 6300, 6600, 6700, 6800

and 6900 (404 coaches) were put on a total life basis of

12 years.

This is considered reasonable in view of the

attained age and the condition of the fleet.

2. The annual accrual of the Genoral Office Building (Acct. 522) was adjusted to reflect a tote.l life of 50 years.

3. Buildings in Accounts 523 and 524 were assigned a remaining life of 24 years with depreciation reserve adjusted to reflect age-life condition. Under both Cp."ses I and II, 100 nel" motor coaches have been included in the rate base as of November 1, 1954, tho beginning of the rate

ye~r.

Other Lpnd, (Acct • .503), and Rights of Way. (Acct. 502), hewe been adjusted to reflect estimated original cost. Under Ce.se I:

150 motor coaches of the 6000 and 6100 series (including current work orders for rebuilding) have boen deleted due to the 'inclusion of the

100 new coaches as well as tc conform to the equipment roquirements set forth in Staff Witness Hibbard's Exhibit

\"!ith 10% f ~ r spares.

All property on "group plan" depreciation reflects the current

4% rate of accrual with nermal additions and retiroMents t.?ken into considera tion. The 40 P. C. C. cr.'.rs on "uni t plan" depreCiation wore extended, as of In.nuary 1, 1954, to a total life of 25 years.

Under Case II: As evidenced by correspondenco bet\oJ'een the Commission and Applicant and the request for changes in accounting practices, as outlined in a letter from the Applicant to the Commission under date of April 29,1954, it is assumed that applicant intends to completely convert to motor coach operation by the end of 1965.

The Rate Base under Case II assumes that all

property relnted to the rail and trolley coach oper2.tion 'ltlill be fully depreciated by that time.

This would include all

hitherto considered non-dopreciable; those

rel~ted

rel~ted ~o

items of property

the present proposed

conversion havo been charged to the "group plan" depreciation reserve as of November I, 1954; those remaining 2xe depreciated over

12 year period

. boginning January 1, 1954.

150 coaches of the 6000 and 6100 series have been included in order to satisfy oquipment requirements as outlined b;y Staff \'litness Hibbard's .:1 .

The work orders for rebuilding 83 of those coachos have

Exhibit No.

been put on a 3 year lifo.

(Soc Chart 5).

In conjunction wi th the rate base presentA.tion, there are shown in Chart ), pictures and data of the streetcars and trolley coach equipment as of September 1, 1954.

C&~rt

4 shows

~ictures

and data of motor coach equip足

mont as of September I, 1954. Amortization and Interest Allowance Amortization and Interest allowance f or abandcnment Cases I and II is.

sho~m

in Table 4.

oblig~tionsunder

The estimates ccntained therein refloct

an income tax credit on the total amount of the obligations. The estimate under Case I is fer obligations incurred prior to 1954 and

oblig~tionsconcerned

with changos on tho nV tt ruld tTRtl lines, made effective JUly 25, 1954.

- 13 足

Under

C~se

II is added the

estin~ted

obligation in connecticn with the abandonment

nsprop0sed in Application No. 35728. Results of Operatirn Ou-so

I: Relbvant infr-rr.1p,ticn sh0vm in the f0regcing text ancl in the tables is summarized in Table 10 - Estimated Results of Operation - Case I and from this informa足 tion a rate of return and operating ratios are calculated under Present and Proposed Fares.

Case II: Using the basic inf0rmation as used in Table 10 in c 0 n.junction with the estimate of operating expenses for Caso II as shown in Table 11, the rates of return and operating ratins under Case II are developed in Table 12 - Estimated Results of Operation - Case II.

- 14 足

LO S A.NGELES

TREN 0

TRANSIT

LINES

OF WE.EKLY REVENUE- PASS ENGER5

(E)(CLU SIVE OF POSTAL EMPLOYEES AND RIDERS ON SCHOOL FARES)

FEBRUARY 1952 TOJULY 1954 AND

ESTIMATE. FOR

12 MONTHS ENDING OCT 31, 1955

~ 3·5

•

w ~

a: w

_ I

0..

",I T\ ,,1\ l\

~ \

a: 3.0 UJ

cJ) cJ)

« 0.. IL.

A J \

I I

r 1f\

V ~J

\J \1/ .f'v V\

! I

-2

c:;

-,""

:> 0

'" ""w '"u

'"u

....J

-""u..'"

'"<!

2.0 JAN.

I I

::::.

J UN .JUL. AUG .SEP.OCT.NOV .

'" ""w '" u

PASSENGERS PER yEAR ••••••••••

VI I

, 000 135 . 363 , 000

I I I

JUN.JUL.AU G . SE P. OCT.

- ,Y

PASSENGERS PER WEEK •••••••••••• 2 , 596

'" MAR.AP R .MAY

EST I~ATE FOR 12 foONTHS ENDING OCTOBER 31. 1955 UNDER PR£SENT FARES:A B -

1--1

DEC. JAN.FEB.

>-.

=a'

I w

""u..

'" H :0,-

0 1 z ~

u.. f E B.MAR. APRoMAY

l)•

~ - -<

IV \ I J\ '\r\

\I'

0 r<1

1 1/\

2'5 r-",

- 2

'" 0'

<I-

j !

"" '" - -

([)

('/\. \

V ,

cJ)

...

\")

::T

~ >-;

NOV.m:C.JAN.fEB. MAR.APR.MAY JUN .JUL. AUG . S EP. OCT.NOV. DE C . JAN .FEB. MAR. A.PR. IoiIAY JU N.

c-+

1952

\953

\954

1955 Wl

LOS ANGELES TRANSIT LINES ESTIMATE OF REVE}ruE PASSENGERS !lID PASSENGER REVENUE FOR 12 MONTHS ENDInG OCTOBER 31. 1955 CASE I AND CASE II APPLICATION NO. 15601 AND NO. 35728 Present Fares

:. :Llne: Item

-=-----Ho--:

Percent

of Total : Fare Orldna,l:t:: Adjusted :(Cents)

(1)

(2)

(3)

Zone :Passengera: Revenue Paus. i ¢

Applicant's Proposed Fares : Est. : DlminPassen : Fare : utlon cera ! Revenue :(Cents) ~ ¢ ¢

(4)

(5)

(6)

(7)

(8)

(9)

(10)

65 35 100

58.599 31.553 90,152

$ 8.790 4,507 $13,297

17 17

3.33 4.75

66.6

15 142/7 14.75*

56.648 )0,054 86.702

$ 9.630 5,109 $14.739

25,780 13.881 39,661

$ 5.156 2.677 $ 7.83)

3·75 4.81

24.813 13,212 38.026

$ 5.707

29.3

20 19 2/7 19.75'1

25 242/7 24.75*

....22.

869 454 $ 1.323

29 29

4.00 4.85

Adul t Passengers

lOne-Zone

2 3 4 5 6 ..... 7 a-- 8 I 9 10

66.6 Two-Zone

29.3 Three-Zone

3.8 Four-~one

12 13 14 15 16 17 18 19 20

Sub-Total Holly Park Total Adult School School Total School Post Office Grand Total

¢ (000) 1F If.

+ +

3.95

~ 100.0

----:l5

29 2 /7 29. 75f

100.0 10 9 12 142/7

100 65

3.476 1.871 5.)47

100 65 35 100

1)2 71 20) 135.363* 200 135,56)

39 21 $ 60 $22.513 $ 20 $22.5))

35 35 -

2.797 561 ).358 616 139.537

10 15

Omi tted.

Weighted Average Fare. See Chart 2. As deter~ine d by traffic checks and used in previous Staff reports.

252 67 $ )19 $ B8 $22.940

4.17 4.88

968

3.337

5,11?

516 $ 1.484

1. '180

126 68 194 130,0)9 200

130 .239 2.78 6.25

3.0)9 $ 8.746

2.719 526 ).245 616 1)4.100

44 24

$ 68 $25,037 $ 20 $25.057 $

272 79 $ 351 $ 105 $25.513 ~ ~

.....

CHART

LOS At\JGELES

TRANSIT

LINES

STREET CAR AN 0 TROLLEY COAe H EQUIPMENT H4

OPEN END, WOODEN SEATS

AS OF CLOSED END,LEATHER S EATS

SEPTEMB E R

1954

JI足

NE WER TYPE OF PCC CAR

OLDER T YPE OF PCC CAR

8000

9000

SERIES TROLLEY COACH

STREET

H3 H4 48 48

SEATS

K4 48

CARS

PCC

12 5-61 40-28

SEATS SEATS

ALL OTHER

TOTAL

VARIOU

8000

9000

9100

EFFECTIVE SEPTEMBER

37 37

165

S ERI ES TR OLLEY COACH TROLLEY COACHES

EQU IPME NT ASSIGNMENTS UNDER PRESENT CoMPANY BASIS SCHEDULED SPARES TOTAL ASSIGNED UNASSIGNED TOTAL OWNED

9100

SERIES TROLLEY COACH

EQUIP MENT RE QUIREMENTS*, P RESENT SERVICE

354 57 411 101 512

22 5 2 13 40

TOTAL ASSIGNED UNASSIGNED TOTAL OWNE D

81 16 30

FOR RATE YEAR)

354 36 390 122 512

SCHEDULED SPARES

12 34 6

TOTAL

81 9 90 20 110

EQUIPMENT REQUIREMENTS* WITH SERVICE AS P ROPOSED IN ApPLICATIO N # 28 (FOR RATE YEAR SCHEDULED SPARES TOTAL ASSIGNED UNASSIGNED TOTAL RETAINED To BE RETIRED TOTAL Now OWNED

31 23 4 2 35 25

35 25 190 215 35

204 21 225

150 15 165 165

165

225 2 7 512

93 10 103 7 110 110 C E

-lE-ESTI MA TED BY P. U. C. STAFF

CHART 4

- LOS ANGELES TRANSIT LINES

MOTOR COACH

EQUIPMENT

IS_T

1954

SE.PTEMB ER

6200

6600

AND

6700

SER IE S

6300

AND

L I NE

No .

I 2 3 4 5 6

i~,'IA K( & UODEl YE AR BUilT

TE~

5000 MACK.

DA TE

PU RCHAS ED N EW OR US ED

S EATI NG CAPAC IT Y

11 12

A ISLE W I DTH T Y PE O f DR I V(

B RA KE HORSE POW ER

N U MBER O F CoAC HES

9 10

I N SERV I CE

LE NG TH - OU T S I DE WI DTH - OU T S IDE HE I CH T - OU T S I DE A I SL( H EADROOM

14 15

C-45 - CT

N UM BER

6000 yf G.M. e . TD-4502 1940 7 -40 55

3~ '- 0 " '-Oil 9 '-6 " 76* '

F UE L

- AT DCC CMBER 3 1, 1953足 INV E S T.

PER CoAC H

R E SE RV E

45 3~ ' - 0"

45 37, ' - 0 " 8 ' -0" 9 '-6 " 78"

21 22 23

REMA I N I NG LIF E REMAIN I NG L IFE

7 - 45 200

~~4

G . M. C .

TOH 足 36 1 1947 7 - 47 57

3~ '- 6 11"

, -6

9 "4t t

36 30 ' - 6" 8 ' - 2" 9 ' - 2"

76足

78"

2 1"

26"

3~ ', _OM - 0"

3~ '- 0 "

9' .. 0 "

9 ' - 6" 76"

8" 22"

22"

20"

HYD .

HYD.

HYO.

HYD .

165( 0) AL AL

165(0) AL AL

110(0) AL AL

165(0) AL AL

165(0) NO T GI VEN

AL & ST

AL &. ST

NO T G I VEN

17 . 60 2 . <164. 650 1.369 .1 02

14 . 209 99 . 466 90 . 896 8 , 570

14 , 250

AL &. ST

15,298 ~ 2 1 ,962 $ 13 . 99'2 549 , 044 7 97 , 5~ 3 . 059 . 506 2 . 462 . 923 135.95 1 503 . 6 413 . 093 293 . 869 596 . 583 22 MO . 90 MO . 43 MO . 46 MO . 67 MO . 90 MO .

NOT G I VE N

1. 095 . 548 52 MO . 76 MO .

yf THC COS T OF REBU IL DING 102 CoACHES OF THC 6000 AND 6 100 SE RIE S NOT I NCLUDE D HEREI N (SCE NEXT PACE)

1941 AN D 1942 MA T ER I AL S WE RE SuBJ ECT TO PR I OR I T ( S AND T HER EFOR E S TEEL WAS USE D IN PLACE O F AL UMI NUM FO R BO DY

G - GASOl I NC

FR AMES ,

D - D I CSE L

PAN EL S AND ROO F S ,

AL - ALUM I NU M

- 0"

HY D.

1, 340 . 6

REM AIN I NG VALUE (I NCL .SALV) lOYR . BAS I S 12YR . BAS I

1945

165i o) AL AL*

14 , 26

IN VESHIENT

6600

G . M.C .

1 . 354 . 9~

19 20

6400 TDH-5 103 1951 7 - 51 25

77 "

SER I ES

lt~i

6200 6300 G ,M, e .

9' 足 5t"

6800

SER IE S

TO- 4506

AL*

ROO F MATER I AL

6900

G , M. e .

'_-ttl

SER I ES

rn -4505 1941* 1-42 95 N

19"

Bo DY f RAME MA TE R I AL Bo DY PANEL ~.1A TE R I A L

AV ER AG E

6 100 yf

6000

I N SO ME COAC HE S O F TH E

ST - Srr CL

TD- 4505

HYD .

S ERI ES .

HYD RAUL I C

MO .

33 MO .

10 . 000 . 509 7 .147 .497 2.853 . 0 12

CHART

LOS ANGELES TRANSIT PROGRAM

LINES

REBUILDING MOTOR COACHES OF THE

6000 AND 6100 SE.RlES

# 1'~ A~P LE OF THE DAMAGE TO BODY PA NE L S M :D RI VET ED

JOINTS

#2 - COACH WITH ALL BODY PANE LS, #j - P AR TI AL Re STO RA TI ON

I'l l NDO ,V FR M1ES M~;) SOI.IE BO DY S ODY PA NE L S I'x, ,I I !I ;)SI ; I ELD FRA I,l E

BRAC IN G REMOVED . REPLA CED AFT ER kt: C'~ , : D I T I ON 11,6

#I+ - AL L BO DY PANE L S AND S I DE W I~; DO , J FRAhi ES RE 足 PLACED AND ~ ESTO~ED .

l #5 -INT ER I OR SHOW IN G CO MPLET E RE MOVAL OF SEATS AND OTHE R AC COUTERM ENTS

#6 -COMP L ETE D I NTE R l OR - t', EI'J FLOO R COV ER IN G WIT H S EAT CUSH I ONS , ETC . REPLACED OR RECOND ITIO NED .

I N 195 1 Los AN GELES T RANS IT LINES 6 0 00 (BU ILT

I NAUGURA TED A PROGRAM OF REBU IL D I NG GMC CoACHES OF THE

IN 1940) AND 61 00 ( BU ILT

I N 1941) SER IE S ,A s OF JU LY 1954 , 62 COACH ES HAD BEE N

REBUILT WITH 40 ST ILL ON WORK ORDERS BUT P ROGRMil

#7 - COMP LET E D EXTER l OR . COACH REPAI NTED AND READY FOR S ERV I CE .

IN PROCeSS . THE CURRENT EST IM AT ED CO ST OF THIS

I S AN AV ERAGE OF ~3500 PER COACH . THE P . U. C.

S TAF F EST I MA TES THE LIF E OF TH ES E

COACH ES TO BE AN ADDIT IO NAL THR EE YEAR S F RO M DATE OF COMP L ETI ON. COS T S OF REB UILDING AR E SHOWN I N THE RATE BA S E RE LATIV E TO THE APPROP RI ATE WORK ORDE R AN D THEREFORE, ARE NOT I NCi.. UDEu IN THE

I NV ESH IENT FOR 60 :)0 AND 6100 S ERI ES COACH ES SHOWN ON CHAR T No . 4 .

LOS ANGELES TRANSIT LINES SSTIMATED RATE BASE AND DEPRECHTION EXPENSE 12 I,~ONTHS ENDING OCTOB"SR 31, 1955 CI\SE I - VnTH PRY-SENT METHOD OF SER'TICE - APPLICATION NO. 35601

: :

: Line: : No.:

Item

(1) 1 2

LAND Rights of VVA.Y Other Lmd

?Gum October 31, 1954

I\ccnunt: : Number :Invcstment: (2) (3) 502 503

Reserve

As of October 31, 1 9 5 5 : .: : :Inve s tIDen t : Depreciation: : Inve stmen t : : Remaining: : : Less Less : Expense : Reserve Life :In vestment: Reserve ; Reserve :RA.te YeA.r:

(4)

(7)

(6)

(5)

426,974 1,931 ,112

426:,974 1,931,112

路 426,974 1,931,112

(8)

(9)

(10)

$ . 426,974 $ 1,931 ,112

EQUIP~NT ONl~ITDEPRECI~TION

4 ~

7 8 9

Auto., Tr011ey, pcc530,33Jf~034,288 $ 7,167,640 $ 6,866,648 V"3.rious PROPERTY ON GROUP DEPRECIATIJN OverheA.Qs: Engineering 501 $ 44,651 OrgA.nizA.tiorf*颅 601,749 546 路 916,884 Interest 547 Gnding 1,117,084 504 All Other 505-545 27,021,634 Suttotal (Lines 4 to 8) $29,702,002 $22,441,215 ~ 7,260,787 ~46,094,376 $29,608,855 ~16,485,521

Tr)W(Lines 1,2,3 & 9)

12 13 14 15 16

RATE BA.SE Avenge 0f $16,485,521& ~1!+,573, 737 Work in Progress M'1.terials & Supplies Bond Deposit - City Fn.nchise Deposit for P.L. Insurance

$15,530,000 100,000 735,000 411,000 150,000

Totil RA.te BA.se

$16,926,000

-It-

$14,034,288 $ 8,125,353 $ 5,908,935 $

Base

957,7 1 3

44,651 601,749 916,884 1,118,084 27,141,634 _ _ _ _ _ _ _ _ _ _ _ _ __

$29,823,002 ~23,516,286 $ 6,306,716 $1,081,071_ $46,215,376 $]1,641,639 $14,573,737 $2,038,784 Use - $2,039,000

rhjor PA.rt of Acct. 546 is Supervisinn.

~ --J

LOS ANGELES TRI-'.NSIT LINES

ESTThiIiTED Ri1.TE BASE A.ND DEPRECll\.TION EXPENSE

12 NiONTHS ENDING OCTOBER 31, 1955

?\SSUMING MOTOR COA.CH SUBSTITUTION ON CERTHN RA.IL LINES AS PROPOSED m iiPPLICilTION NO. 35728

CIl.SE --- II - ---- -:------ - - - : - - --As "'f Oct;)ber 31, 195& : As of Oct0ber 31, 1955 :

: : : : Inve sUn8nt : : Investment :IBpreciaticn; : Account: : : Le ss :REffiainin~ : Less: ExpensE.:: : Line: Item Number : Inve-stmcnt ReS8riTe Reserve Life: Investment: Reserve ~ Reserve Rate Yeqr. No. : (T) T2) 0) (Ii) (5) (6) (7) (8) (9) (10) Ll~ND

Other LAnd

503

~ 1,925,510

Ci 1,925,510

$ 1,925,510

ON UNIT DEPRECIATION ituto.,'Irol1ey,PCC 5)),33,38 $16,392,563 $ 9,323,673 '$ 7,068,890

3 4 5

BUILDJNGS General Office-:~ 522 $ 916,255 $ 563,016 ~ 353,239 19.17 Yrs.$ 916,255 $ 581,446 $ 334,809 $ 2,733,772 1,013,500 1,720,272 23.20 Yrs. 2,733,772 1,087,633 1,646,139 Shops, Grgs., Adm:in.* 523 &524 Subtotal (Lines 3 &4) } 3,650,027 ~ 1,576,516 ':> 2,073,511 i!> 3,650,027 11,669,079 ~ 1,980,948:)

EQUIP1\A~ NT

Various $16,392,563 ~10,391,985 :;$ 6,000,578 $1,068,312

18,430 74,133

92,563

7 8 9 10 11 12

PROPERTY ON GROUP DEPRECIATION Overheaas:

Engineering 501)

Organizqtion 5!'~6) tt 1,563,178 ~ 1,563,178

Interest 547)

Gr'l.ding 504)

Righ ts of V{gy 502 117,922 117,922 All Other 505-5h5 15 , 651, 31 7 15, 77 1 , 31 7 ~:---7':-=-~-;::- 'lr-;:r-""/-;"";::---=:~ -x---r-:::-.........-.:::~ Subtotal (Lines 6 to 11) )17,332,417 $11,343,350 ~ 5,989,067 11.17 Yr&$17,452,417 ~11,833,307 ~ 5,619,110 ~ 495,957

Totql(Lines 1,2,5

& 12)

~39,300,517 822,243,539 ~17,056,978

14 RATE BASE 15 Avcr~ge of ~17,056,97B qnd )15,526,146 16 N:wk in Pro gre s s 17 Hateri'lls & Supplies 18 Bond Deposit - City Frqnchisc 19 Deposit for P.L. Insurqnce 20 Use Vqlue - Fully Depreciated C'J.:::tches 21

Tot,,-l R1.te B'lse

016,292:,000 100,000 735,000 411,000 150,000 1)2,000 ~17,840,000

839,420,517 023,894,371 015,526,146 01,656,83 2 Use

* 垄

~1,657,OOO

A.m')unts sh')wn include 'lpplic'3.ble -werheqds fr)!ll Accnunts 546 & 541. Investment ~d depreciation reserve assumes all retirements for the lines to be c路mvcrted 1--3 ~re m~de '3.S ) f November 1, 1954 qnd that the ~ full ;:unnunt 路:,f r e tirements qre charged to the E;;J co reserve.

10S ANG3L:SS TRANSIT LI~S

INVESTWNT, D:SPR:':CIA.TICN R~S"sRVS AND EXPSNS~

FOR ~QUIPMLNT ON UNIT PLAN DEPR'3CHTION

CASES I AND II, APPLICATIONS NO. 35601 AND 35728

:Line:

A.s of Oct0ber 31, ffi4 As of October 31, 1955 : No.:Total: : Investment: :fnvestment: Depre. : of : Life: Investment: Reserve Less Investment: Reserve Less : Expense : :Rate Year Reserve : Reserve :Units: CD) en .-- --\8)----- -(9j(10) (2) (J) \4) - ---(~

Item

:No. :

(1)

For Case I

1 Motor Coach Groups:

6200,6300, 66-6900 2 5000, 6hoo 3 Coaches on order h Trolley Coaches I

~ I

5 Automobiles 6 Trucks & Service Cars 7 Misc.( Fare Boxes,Motors) 8

9 P.C.C. Rail Cars

908,560 50,916 250,572 115,191

1,199,849 h8,569 30,012 55,002

2,108,h09 99,485 280,584 170,193

~12,851,617 ~~6,829,013

:\~,022,60h

2,108,h09 99,485 280,584 170,193

" 40 25

!rsJ~

10 Case I - Line 8 + Line 9

6,421,159 $ 5,0 0 1,011 1,h86,387 92h,851 2,285,400 226,5J.~0

110 15 II 51 V'3.r. 56 II

Total of Lines 1 to 7

:~1,692,560

711,212 2,285,400

hOh 12 Yrs.$6,421,159 $4,728,599 75 10 II 1,486,387 77~,175 100 10 II 2,285,400

1,182,671 ')

338,627

84h,04h

~1,330,lh8

561,536 2,058,860

362,412 149,676 226,540

1,Oh6,116 66,540 265,813 122,271

1,062,293 32,9h5 lh,771 47,922

137,556 15,624 15,241 7,080

~12,i351,617 ~

7,7h3,lh2

$5,108,475

914,129

382,211

h3,581~

";; 1,182,671

$14,034,288 $7,167,640

$6,866,648

~14,034,288 $

22,500

$ 2,092,963 $ 2,070,463 $

61,860 362, 337__

203,452 ~~~ 334

800,460

8,125,353 t5,908,935

$ 957,713

For Case II 11 6000 & 6100 Series MC 12 Work orders on 6000's & 6100 's 13 P.C.C. Rail Cars *

150 FD 3 Yrs. 401717 "

14 Case II - Lines 8 + 11+ 12+ 13

2,092,963 $2,070,463 265,312 1,182,671

~16,392,563

%9,323,673

:n,068,890

265,312 1,182,671

22,500

144,007 121,305 434,}73 ___748,298

$16,392,563 t.tl0,391,985

~6,ooo,578

82,147 72,036,

~1,068,312 t-3

.125 other P.C.C. Cars are in Group Depreciation Schedule. Note:579 motor coaches under Case I and 729 under Case II.

G; ~ 'D

LOS AlJGELES TRANSIT LnlES ESTIMATE]) RESULTS OF OPERATIONS FOR TWELVE-MONTH PERIOD E1TDUTG OCTOBER 31. 1955 CASE I - UNDER PRESENT OPERATIONS

:Line: No. : 1

Item Vehicle Miles

2 3 4 5

Revenue Passenger Revenue Unredeemed Tokens Other Revenue Total

6 7 8 9 10 11 12 13

Operating Expenses Rail Trolley Coach Motor Coach Sub-Total Depreciation Operating Taxes Wage Increase Total

14 15 16 17 18 19 20

Jan.-June : 12 Months :Tab1e: Ending 1954 : or :May 31. 1954: Annualized Book :Page : Book :F.e fer .: Record Record (2) (]) (4) T2

34.036.066

33.569.520

T1 P7 P7

$24.849.150

$24.517.866

122,402 $25.044.557

183,810 $24, 701.676

T3 T3 T3

$ 8.493.744 1.442.232 8.622.956 18.563.932 2,176.608 1.676,358

$ 8,575.232 1.451.430

$22.416.898

$22.689.536

$ 2.627.659 21258 2.635.217 1.302.758 1.332,459 112.216 $ 1,220.243

$ 2,0J...2..JJ!Q

T7 T6

Operating Income Other Inc. & Inc. Deduct. Net Inc. Before Inc.Taxes Income Taxes (St. & Fe~) Net Operating Income T4 Allowance ** Net Income

21 Rate Base 22 Rate of Return

8. n6.470 18.743.132 2.185,804 1.760.600

Case I-A. Present Fares (5 ) 32.747,000

TABLE 10

Case I-B :Applicant l s: Proposed Fares (6) 32.440.000

$22.940,000 $25,513.000 20.000 182. 000 1821 000 $23.147,000 $25,700.000 $ 8.115.900 $ 8,047,000 1.366.000 1.355.400 8.144.200 8.088.900 17.626,800 17,491,300~ 2,039,000 2,039,000 / 1,663.800 1,711,700 / 439.800 436.500 $21,769,400 $21,678.500

$ 1,377,600 $ 4.021,500 # . # . (9,328) 2,002,742 1.377.600 4.021,500 1.026,568 647,500 1. 999, 000 /;. 976,174 730,100 2.022, 500 i 1541000 154 1000 80.752 $ 895,422 $576.100 $ 1,868.500

$17,393,000* $16.727,000* $16.926,000 $16.926,000 7.0~* 5.35%* 3.40% 11.04%

Operating Ratio 23 Before Income Taxes 24 After Inc. Taxes & Allow.

94.05% 97.51%

# Not Applicable

Computed by P.U.C. Staff ** Allowance for interest and amortization of abandoned property. (Red ]figure)

- 31 足

84.35% 92.7'.)%

IDS ill~GElES TRANSIT LINES

ESTIMATE OF OPERATllIG EX-,°ENSES Ju'ID TAXES

FOR 12 f10NTHS ENDING OCTOBER 31, 1955

CASE I I - KOTOR COACH Sl~STITUTION - j~PLrCATION NO. 35728 : :Line: ~To.

2. 3.

Item

(ll- --

Table or Page Reference (Z)

Vehicle Miles Case I - Present Operation Case II - Proposed Operation Increase in i'1iles

I VJ

rv I

6. 7. 8.

9. 10. ll. 12. 13.

Ih. 15. 16.

Changes in Expense Due to Conversion Way and Structures Substation Operation Rail Crossing Protection Vehicle Maintenance Servicing of Vehicles Tires - Hotor Coach Equipment Operators vJages Fuel, Oil, or Power 2.1. & P.D. Insurance

~.Jorkmen I s Compensation Insurance

Training Drivers for Conversion

Total Increase in Expense

17.

Oper. & i1aint. Expense - Case II (Line h

13.

Operating Taxes - Case II

T2 T2

4. Opere & I1aint. Expense - Case I

Streetcar

11,887,000 6,691,000 (5,196,000) ~

Hotor Coach

Trolley Coach

(liT .

18,314,000 23,h67,000 5,153,000

(1,232,900) (219,800)

32,747,000

33,107,000

360,000

~> 17 ,626,800

If.

$ 355,000 h3,300 32,500 1,154,300 153,000

(6)

2,546,000 2,949,000 403,000

8,115,900 :& 3,14~,900 S 1,366,000 (11''',500) ~, (42,200) (55,000) (270,900) (76,900)

Total

-C5)

19,200 3,000

(144,500) .1

" ./

( 30,600) /'?A' N-' i 32,500 /' 15,800 (52,206) , (1l1,100) ~' ["

94,400 14,600

30,000

:;p

Line 16)

103,300 M~ ..f~

(1,200)

(42 , 200 ) -;; .•'. (55 ,000 ) '7'H·",...Vj'

Gl':'"h

./.!~ #::i

(258,200)

$17,368,600 r3

1,786,600

ill

cr'

I-' CD I-' i-'

(Red Figure)

TABLE 12 LOS ANGELES TRANSIT LINES

ESTIMATED RESULTS OF OPERATIONS FOR TWELVE-MONTH PERIOD ENDING OCTOBER 11. 1955 CASE II - MOTOR COACH SUBSTITUTION - APPLICATION NO. 15728 : Table: :Refer-:

Item

;Line: Nos i

:~nce

( 1)

(2)

Case II-A Present FS!l:es (3)

Case II-B Proposed Fare§ ( 4)

Vehicles Miles

T 2

33,107,000

32,817,000

Operating Revenue

T 10

$23,147,000

$25,700,000

Tll T 8 Tll

$17,368,600 1,657,000 1,786,000 434.ZQQ $21,246,300

$17,234,900 1,657,000 1,837,800 431. <)00 $21,161,200

$ 1.900,700 it:. $ 1,900,700 2 14 .200 $ 985.800 209.0QO ~ 776,800 $

$ 4.538,800

$17,840,000 4.35%

$17,840,000 11.58%

91.79% 96.64%

82.34% 91.96%

O~erating E~ense

3 4 5 6 7

Operating and Maintenance Depreciation Operating Taxes Wage Increase . Total

12 13 14

Operating Income Other Inc. & Inc. Deductions Net Income Before Income Taxes Income Taxes (State & Federal) Net Operating Income Allowance * Net Income

15 16

Rate Base Rate of Return

8 9 10 11

17 18

T 4 T 8

012erating Ratio Before Income Taxes After Income Taxes & Allowance

# Not

11:.

$ 4,538,800 2.26:2 .400

$ 2,275,400 ~

202.00Q

$ 2,066,400

Appli cable.

* Allowanc e

for interest and amortization related to streetcar abandonment of the past and for abandonmcnts proposed in Application No. 35728.

-33

LOS ANGELES TRANSIT Ln~S ESTH1ATE OF HILES TO :i3LJ O?ERATEJJ FOR THE Tl;J7.I,VE HONTHS.-END.ING OCTOBER 31. 1 q55 A. UNDJilR PRESENT OPERA.TIONS . B. WITH HOTOR COACH SlfilSTITUTION AS PROPOSED IN APPLICATION NO. 35n8

CASE I - PRESENT OPERlTI03S Present Fares : Propose(l. Fares : Estimatet! :Estimated %:Estimated %: %Hiloa.go: Estimated :Est. 'T)imirD..l.: %l'4i .Recluc-:Estimatea. Miles: Miles (a) :Decrease In: Traffic Roduction: Mileage :of Traffic:tion Below: Proposed Item As Shown In :Miles of the: Decline :Duo Traffic:Present Fares:Below Traf.:Col.6 Due to: Fares P.D.C. Staff: %Dacrease:9-15-54 to Docline: (2) x :At Prescnt:Diminution: Col. 6 x _ _ _ _ _ _ _ _....... :FJdlib..L"L.J:&.~Passengers :~-55 : (3) x (4): (100 - Col. 5>: Fares : (7) x (3)! (100 - Col. 8): (1)

streetcar Trolley Coach Motor Coach (b)

(3)

(4)

12,041,861

30%

4.3%

L,29

2,573,633

25f~

4.3%

].8.li-~4. 849

20%

4 â&#x20AC;˘ 3~

(2)

(5)

(6)

(7)

(8)

(9)

11.587,000

3.9%

1. 075~b

2,546.000

3. 9'" /0

.975%

.86 10

18.106,000

3.9%

.78

1.17

11.748,000 2,521,000 18,163.000

f--'

---J

Total (b)

33,080,343

32,739,000

32,432,000

CASE II - OFSRATIONS PROPOSED IN APPLICATION NO. 15728

Present Fares Proposed Fares Item : Estimatefl. 1JIiles(a) As Snown:Estimate~- Miles Present Faros:Estimate~. Milos Proposed : _ _ _....,.-~_ _ _----'--:I=..!n~PDC.S.taff Exhibit No. Col. lOx (100 - Col. 5) : Faros Col. llx (100-CQl.~: (1) (10) (11) (12) Stroetcar

6,778,211

6.691,000

6, 61 3?00O

Trolley Coach

2,981,376

2,949,000

2.920,000

23.662,9')')

23.459 1 000

2,,276 7000

33,422.542

33.099.000

32.809,000

Motor Coach (b) Total (b)

(a) Based on th~ l ovel of traffic of Septombor. 1954.! (b) To the:; estir:l8.ted milos shown here should bo a~dod 7,500 Charter Miles.

t-3

ill

t:rl I\)

Table 3 Sheet 1 of 3

LOS k\JGELES TRANSIT LINES ESTIMATE OF RAIL OPERiTINGifiPENSES

CASE I - UNDER PRESENT OPERATIONS

:Acct. : : No.

1-24 29 30&33 Var. 45 52 59 Var. 63 64 66 67 70 Var. 79 80

83 84 85 88 (93 (93 (93 Var.

I t e m

Car Miles Way and Structures ill Accounts Equipment Superintendence Mtce. Rev. Equipment Other Mtce. Accounts Total Power

Superintendence

Power Plant Employees

Power Purchased

Other Power Accounts

Total

Conducting Transportation Superintendence Conductor, Motormen, etc. Car Service Emp. Miscel1. Car Service Exp. Car House Empa other Cond. Transp. Accounts Total Traffic

Superintendence

AdvertiSing

Total General Gen. Off. - Sal. and Exp. Gen. Off. Emp. - Sal. & Exp. Gen. Off a SuppJies & Exps. Pensions Insurance, PL & PO Insurance, Workmen's Comp. Insurance, Other Other General Accounts

Total

Total Rail Operating Expense Cents per Car Mile Case I-B -

Applicant's Proposed Fares

Company :Est.for 12 Mo~: : Records : Ending :Jan-May, 1954: 10/31/55 * ,Annualized :Present Fares

ll,887,OOO

12,573,226

722,615

722,600

79,078 759,547 146,522 985,141'

79,100 671,200 # 147,900 898,200

18,190 174,643 482,945 23,033 698, 811

438,900 3,257,666 104,525 76,608 351,696 57,240 $ 4,286,635

6,346 18,353 24,699

$ $

438,900 2,890,900 # 104,500 72,200 351,700 # 59,600 $ 3,917,800

83,645 123,281 35,570 481,8S8 765,019 46,840 13,664 287,090 $ 1,836,967

)

(;

78,900 123,300 35,600 456,600 750,400 ~ 43,100 , 13,,700 282,tl00 $ 1,783,700

$ 8,554,874

$ 8,115,900

68004¢

68.27¢

Car Miles 11,748,000

Oper. · Exp. $ 8,047,000

* Wage rates used herein are those whieh 5.65 ¢/~ile prevailed immediately prior to 6/1/54. 4.60 The cost of the wage increase which 24.32 tecomes fully effective on 12/1/54 is 1.48 50% of total shown separately in Results of 36.05 ¢/mile Operation table.

See Table 5 for amounts under Proposed Fare.

- 18 -

- -

flI

# Expenses Variable with Car Miles Ac.30&33 59 64 70 Total

.":

6,300 18,400 24,700

18:,200 174,600 547,200 # 28!900 768,900 "

LCB ANGELES TRANSIT LINFS

ESTIMATE OF TROLLEY COACH OPERATING EXPENSES CASE I - UNDER PRESENT OPERATIONS

:Acct. : : No.

1-24 29 30&33 Var. 45 52 59 Var. 63 64 70 Var. 79 80 83 84 85 88 (93 (93 (93 Var.

Company :Est.for 12 ME.: : Recorda : Ending : Jan-May, 1954: 10/31/55 * Annualized :Present Fares

I t e m

Coach Miles Way and Structures All Accounts Equipment Superintendence Mtce. Rev. Equipment Other Mtce. Accounts Total Power --superintendenoe Power Plant Employees Power Purchased Other Power Accounts Total Conduoting Transportation Superintendence Operators' Wages Car House Employees Other Condo Transp. Accounts Total Traffic Superintendence Advertising Total General Gen. Off. - Sal. & Exp. Gen. Off. Emp. - Sal. & Exp. Gen. Off. Supplies & Exps. Pensions Insurance, PL & PD Insurance, Worlanen' s Comp. Insurance, Other Other General Accounts Total

2,629,188

# Expenses Variable with Coach Miles Acs. 30&33 4.77¢/mile 59 3038 64 23.42 70 0.75 50% of total Total 32.32¢jmi1e

27,000

32,600 121,400 # 9,600 $ 163,600

3,770 35,770 75,017 8,417 $ 122,974

3,800 35,BOO 86,000 # 9,000 $ 134,600

99,161 612,513 38,273 21,802 $ 771,749

99,200 596,300 # 38,300 # 21,500 $ 755,300

979 3,588 4,567

15,134 22,990 5,669 87,614 165,089 8,516 3,054 49,076 $ 357,142

12,100 23,000 5,700 83,000 97,300 I; 8,000 ~ 3,100 48,700 $ 280,900

$1,452,059

$1,366,000

55.23¢

53.65¢

Coach Miles 2,521,000

Applicant's Proposed Fares

32,628 125,469 11,012 $ 169,109

2,546,000

Cents per Mile

26,518

Total Operating Expense

Case I-B -

Table 3 Sheet 2 of 3

1,000 3,600 4,600

Oper. Exp. $1,355,400 .--

, -0

Wage rates used herein are those which prevailed immed iately prior to 6/1/54. The cost of the wage i~crease which becomes fully effective on 12/1/54 is shown separately in Results of Operations table.

See Table 5 for Amount Under Proposed Fares. - 19

- - - -

- ------

LOS .ANGELES TRANS1!. LIN!:S ESTIMATE OF MOTOR COAOH OPERATING EXPENSE CASE I - UNDER PRESENT OPERATIONS

:Acct. : No.

Company Records Jan. - May 1954 Annualized

I t e m

Coach Miles Equipment Maintenance & Gara~ Expense 4110 Supv. - Shop and Gar. 4140-2 Repairs to Rev. E~uipment Servicing Rev. Equipment 4150 4160 Tires - Rev. Equipment Var. Other Maint. Accounts Total Transportation Expense 4210 Supervision of Transp. Drivers I vrages 4220 Fuel for Revenue Equipment 4230 Oil for Revenue Equipment 4240 Other Trans. Exp. Accounts Var. Total Traffic and Advertising Advertising 4470 Var. Other Traffic Accounts Total Insurance Salaries and Expenses 4510 Insurance, PL & PD 4520 Insurance, Workmen's Compo 4541 Other Insurance Exp. Var. Total Administrative and General 4611-2 Gen. Officers - Sal. & Exps. 46 1 3-6 Gen. Off. Employees - Sal. & Exp. Law Expense 4620 Gen. Office Supplies & Exp. 4630 Communication Expense 4640 Employees' vlelfare 4652 Purchasing & Stores 4655 All Oth~r Adm. & Gen. Exp. Var. Total Rents Total Motor Coach Expense Cents per Mile

TABLE

Sheet 3 of 3

Estima.te for 12 months Ending 10/31/55* Present Fares :

18,32~,158

18,314,000

$ 142,788 1,097,376 308,373 123,305 151,444 $1,823,286

$ 142,800

$ 487,284

$ 487,30 0 3,758,900:/1=

523,800# 19,500# 58,200 $4,847,700

18,818 786,322 51,458 11,357 $ 867,955

848,800# 307,700# 125,200# 147,300 $1,571,800

3,767,184 522,175 17,256 60,153 $4,854,052 21,593 7),329 94,922

~,,....,.

' ,3:.) •

_. .)0 .JO..J

21,600 76,500 98,100

$ $

18,800

542,OOOp 50,100p 11,700 $ 622,600

.:J

90,806 $ 73.5 00 137,000 138,043 12,910 16,000 44,800 51.689 45,500 41.143 498,200 525,737 120,790 120.800 70.090 53.900 $1,051.208 $ 989.700 15.000 15.000 $8,706.423 $8.144.900 44.47¢ 47·5 0¢ Ouer. Exp. Coach Miles '. 18,171, 000 $8,088,900 Wage rates used herein are those which prevailed immediately prior to 6/1/54.

The cost of tho wage increase toJ'hich be

comes fully effective on 12/1/54 is clnwn

separately in Results of Operation table.

Case I-B - Applicants Proposed Fares * # Expennes Variable with Milos Ac. 4140 4.63¢/mile 4150 0.84 50% of total 4160 0.68 4220 20.52 4230 2.86

4240 0.11

¢ See Table 5 for Amount Under Proposed Fares

Total 29.64¢/mile 20

-----

TABLE 4

IDS ANGELES TRANSIT AMORTIZATION AND INTEREST PAVING AND REMOVAL OBLIGATIONS APPLICATIONS NOS. 35601

A-

LUIES :ALLOWANCE - CASES I AND II AND ~5728

Obligations from Abandonments Prior to 1954: Yearly Amortization Interest Total

$132,000

16,000

$148,000

B - Obligations from Abandonment of Portions of "Rlt Lines

!IV"

and

(July 25, 1954):

Yearly Amortization Interest Total

$ 4,000

2.000

$ 6,000

C - Obligations from Abandonments as Proposed in

Application No. 35728 (November 1, 1?54): *

Yearly Amortization Interest Total

For Case I - Items A + B

$ 35,000

2J,OOO

$ 55,000

$154,000

For Case II- Items A + B + C $209,000

Includes cost of removal of electrical distribution system ($123,700) and of substation equipment ($21,600).

- 21 足

LOS ANGELES

TRAl~SIT Lli~S

RJBLIC LIABILITY. PROPERTY DAl1AGE. AND 1l0RIJftElI i S CCMFEi.-TSATION

EXPENSE illLA.T.ED TO :SOUln~E:bTT MILES Aim :R3W-RLS PAS~lWEF.S

CA.SE I

- .UNDER PRH;SENT OPSHATIONS

1947 - 1950, :Line: No.;

1951 Total

Lossos paid (n) Losses ostimato~ (a) 3 Reinsurance costs (a) 4 Total Losses_& Insurance (a)

$ 3,890 39 282 $ 4,211

5 Expenses paid (a) 6 Expenses estimated (a) 7 Total expenses (a)

$ 1,536 7 $ 1,543 $ 5,754

Total Losses,Reii.ls. & Exp. (a) (Lina 4- + 7)

9 Numb er of claims filed

1952

1953

: Av. per Yr.:

1 2

Jan-May: Est. FOr 1954: 12 Mos.End.: :.Annualizod: 10 31 55

Inc.

Ito m

972 10 71 $ 1,053

$ 1,082

52 62 $ 1,196

902 280 69 $ 1,251

580 634 ____81 $ 1,295

262

881

$ 1,208

385 61 $ 446 $ 1,697

242 182 $ 424 ;,; 1,719

170

24S

$415

$ 1,622

9.228

384 2 $ 路 386 $ 1!439

$ 353 _ __ 11) ~ 363 :;; 1,559

59,991

14,998

11,588

11,104

10,246

153 .. 4

38.4

35.6

35.1

34.6

33.6

1,009.3

252.3

192.4

174.6

166.1

153.1

$27,451

~33.596

$35~641

$37,428

$35,952

$35,000

6,216

:,') 7,165

$ 7,890

$ 7,500

N N I

10 Vehiclo miles (millions) 11 Revenue

Passon~crs

(millions)

12 Loss Per 1'1i1. lliilos (4

10)

~27.451

13 Loss Por i-Hllion Pass. (4 .; 11)

$ 4,172

14 Expensos por claim (7 f 9)

h <f>

i;)

$ 4,172 ,., 25.72 Y 25路72

31.33 $

40.17

'"'

7.797 41.38

44.97 $

15 Claims per million miles (9 ; 10)

391

326

316

296

275

280

16 Claims per million pass. (9 ; 11)

60 Ul

p-' CD (I)

(a)

Thousand of dollars

t-'G; o ~

\J\

TABLE 5 LOS ANGELES TRA.NSIT LUTES Sheet 2 0 f 2 ESTIMATE OF PUBLIC LIABILITY AND PROPERTY DAMAGE AND WOBKMEl'J 1 S COMPENSATION EXPENSES FOR 12-MONTH PERIOD ENDING OCTOBER 31. 1955 UNDER CASE I-A AND CASE I-B - PRESENT OPERATIONS ~lITH PRESENT & PROPOSED FARES

Line 1'1'0. Cost Factors Claims per million » » " Expense per claim Losses per million » " »

1 2

3 4

revenue vehicle . . . . revenue vehicle

passengers • • • miles . • • • . . . • • . passengers miles • • • • • •

60 280 45 7,500 35,000

Estimated Expense For P.L. and P.D. and Workmen's Compensation Insurance Case I-A Present Fares

Case I-B Proposed Fares

Number of rovenue passengers (millions) 139.5 Number of vehicle miles(millions) 32.75

8 9 10

A - Basod on Number of Passengers $1,046,200 Losses 376,700 Expense $1,422,900 Total

$1,005,700 362.100

$1,367,800

B - Based on Number of Vehicle Hiles $1,146,200 Losses 412.700 Expense Total $1,558,900

$1,135,400

408,700

$1,544,100

12 13 14 15 16

17 18 19 20

Average of A and B (P.L. & P.D. and Workmen' 6 Compo } -" $1,490,900 Workmen's Compensation Insurance 101~200(a) P.L. and P.D. Insurance 1,389,700 Distribution of Total PL & PD Percent 541% $ 750,400 Rail Operations Trolloy Coach Operations 7% 97,300 ~ - 542.000 Motor Coach Operations 100% $1,389,700 Total

134.1 32.44

$1,456,000 100,200 (b) 1,355,800

732~100

94,900

528.800

$1,355,800

(a)

Rail=$43,lOO, Trolley Coach=$8,000 and Motor Coach=$50,100.

(b)

Rail=$42, 600_" Trolley Coach=$7 ~ 90,0. and Hotor Coach=$49, ,(00. _ - - - .!.;

I '

- 23

'l'A3LE

LOS ANGELES TRANSIT LINES

ESTIHATE 0 41 OPERAT1NG TAXES

FOR 12 MONTHS ENDING OCTOBER 31, 1955

CASE I - PRESENT OPERATIONS APPLICATION NO. 35601

:L1ne: No. :

I t e m

(1)

:Book Record: : 12 Months : :End. 5-31~: (~ )

Case I-A Present Fares

Case I-B Proposed Fares

:-=-----=-.:,;.;;(3")~--=--~.;,..r(4~)~-

473,687

$ 434,600

Property Taxes-Ad Valorem

457,963

435,000

Fuel and Oil Taxes

360,580

337,700

335,100

Motor Vehicle License Taxes

136,984

Ib8, 900

168,900

Transportation License (3% B of EHl足

15,600

21,~00

payroll Tuxes

265,000

262,500

Other 'rax es

7,000

City Franchise Taxes

~ip 1 ,603

Total

Net after weight fee credit

-24足

, 800

481,900