Bus Riders Union of Austin, Texas | El Sindicato de Pasajeros

Capital Metro staff is at it again: being frustratingly obstructionist to an honest discussion of their finances. Last year we heard that they would encounter a $410 million shortfall. Then earlier this year, Capital Metro would come into a $600 million surplus over the next two decades. Then, last Monday, Councilmember Brewster McCracken started crying that Capital Metro will be broke yet again, despite the massive surplus, hence fare increases are necessary. (Maybe he doesn't remember that our Free and Faster Buses Proposal saves the system money, but whatever).

Now comes Capital Metro on "Rumor Control," setting the record straight that they will indeed spend the $34 million surplus this year. Adam Shavitz claims that it isn't a surplus if they spend it, but they are, in fact, simply choosing to do so. Read the entire post

Instead of coming up with my own response, I'll post someone else's here (without permission...) I personally agree with everything he says. Please read it all; it's very well-thought out and proposes a logical solution to the burgeoning cost of "The Red Line." If CMT was implemented along with free fares, I'm sure that we'd see a huge drop in congestion, and with that comes all the benefits of our fare-free proposal (and then some..)

I beg to differ.

Adam Shavitz didn't take the same accounting courses I labored through.

The $34 million profit is correct. $203 million Revenue less $169 operating expense equals $34 million profit.

If they haven't deducted depreciation on existing capital, then that should be included in operating expenses.

Capital expenditures are what enterprises spend from their profits, after compensating shareholders.

If they are short on profits, they can choose to incur wither short or long term debt, as long as they can pay the p principle and interest out of those future profits.

Since Cap Metro does not pay cash dividends, is could pay dividends to its constituents in the form of lesser fares or improving service. Or it could pay dividends to the citizens who fund it through a 1% sales tax by reducing that tax by 14%.

Oh wait, they now have to pay for that way over promised huge capital and operating cost of the Commuter Rail, the taxpayer subsidy of about $17000 per year per rider in year 1 to about $7000 in year 25 (only if enough people choose not to drive the new 183 toll road into town).

And now they would like to have another foolish rail through the middle of central Austin, but don't even have the projected tax growth revenue or the profits left over from the way too expensive Commuter Rail (appropriately named The Red Line) to fund it so are begging city county and state politicians to come to the rescue.

All this adds up to eventually reducing bus services for those who depend on public transportation, cutting services and/or raising fees for disabled persons who depend on public transportation, and charging all other riders more.

Wringing hands and making public transportation worse all the while there is a better idea invented by a fellow citizen like you and me, right here in Austin, free for the taking, Cellular Mass Transit (CMT) www.CMT4Austin.org is getting no attention from CapMetro Board and Staff or any other influential appointed or elected person. Why? Because it's too good to be true or to even try, yet Curitiba Brazil and Capetown Africa's working and superior transit systems is what it is based upon. Go figure.

If you folks out there really want to do something about improving people mobility in Austin, providing better service more frequently at lower cost from your doorstep or within a short walk to everyone in Austin, then start insisting that CapMetro accept, embrace, plan and implement CMT NOW!

This is a public service announcement.

I have no stake in CMT and nothing to gain from it, nor does its inventor, other than a better public transportation system for all of us to enjoy.

Skip Cameron
Austin Great Hills HOA.