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Massachusetts Bay Transportation Authority GOVERNMENT DOCUMENTS DEPARTMENT BOSTON PUBLIC LIBRARY FOURTH ANNUAL REPORT (Covering the period October 1, 1967 - October 31, 1968) of the BOARD OF DIRECTORS of the MASSACHUSETTS BAY TRANSPORTATION AUTHORITY hi £44^ l TABLE OF CONTENTS FOREWORD FINANCIAL SUMMARY COMPREHENSIVE PROGRAM FOR MASS TRANSPORTATION ORGANIZATION OF THE AUTHORITY PROGRESS REPORTS MATERIALS DEPARTMENT PLANNING AND DEVELOPMENT DIRECTORATE OPERATIONS DIRECTORATE SAFETY DEPARTMENT LAW DEPARTMENT PERSONNEL DEPARTMENT PUBLIC INFORMATION DEPARTMENT ENGINEERING DIRECTORATE TREASURER'S DEPARTMENT POLICE DEPARTMENT CONSTRUCTION DIRECTORATE FINANCIAL STATEMENTS . A FOREWORD The Massachusetts Bay Transportation Authority was born on August 4, 1964 and the annual report for the first fiscal period which ended July 31, 1965 said, "The responsibility begins." For the second fiscal period—August 1, 1965 to August 31, 1966---the annual report called attention to "A period of newness... period of action." And our third annual report covering the period September 1, 1966 to September 30 , 1967 cited "A period of innovation ... A period of realization." This fourth annual report covers a period, from October 1, 1967 through October 31, 1968, which can best be described as a period of persistent progress. The responsibility remains, indeed grows. The newness is increasingly present in our completed projects. And action surrounds us And all of these signify progress. Item. ..76 modern air-conditioned rapid transit cars ordered from Pullman-Standard. Item . First construction contract for the third rapid transit extension awarded. Item. .. Comprehensive transportation planning requirements of the Federal Urban Mass Transportation Act completed, witn the Authority thus becoming eligible to apply for two-thirds grants for future projects and to receive the 16-2/3 percent withheld on prior approved pro j ects Item . Eastern Massachusetts Street Railway Company, equipment, personnel and facilities acquired. Item . Three newly modernized stations completed and modernization under way on four additional stations Item. .. Honor award "For Excellence in Comprehensive Design for System Development" received from the United States Department of Housing and Urban Development. Item . .Construction continues on South Shore and Haymarket-North Rapid Transit Extensions. All this is evidence of our "realization that we must plan, not just for tomorrow, but for an unending succession of tomorrows." All this is evidence of the Authority's innovative approach to solving the transportation problems of its district. All this is persistent progress. ****** NOTE: On November 1, 1967, Mr. Leo J. Cusick, former Director of the Urban Transportation Administration, U. S. Department of Housing and Urban Development, became the General Manager of the Authority having been appointed by the ^oard of Directors and approved by the Advisory Board to the Authority. On March 30, 1968, Mr. Philip Kramer's term as a member of the Board of Directors expired. Governor John A. Volpe appointed Mr. Richard D. Buck to fill the vacancy. His term runs from March 30, 1968 to March 30, 1973. MASSACHUSETTS BAY TRANSPORTATION AUTHORITY 150 Causeway Street, Boston, Mass. 02114 FOURTH ANNUAL REPORT / 19 68 MASSACHUSETTS BAY TRANSPORTATION AUTHORITY TO: His Excellency the Governor, Advisory Board to the Massachusetts Bay Transportation Authority, and The General Court In accordance with the requirements of Section 5 (h) of Chapter 161A of the General Laws, as modified by Chapter 650 of the Acts of 1965, the Directors of the Massachusetts Bay Transportation Authority herewith render the fourth report of the Authority which covers the results of operations for the fiscal period October 1, 1967, through October 31, 1968. SUMMARY OF THE NET COST OF SERVICE FROM OCTOBER 1, 1967 THROUGH OCTOBER 31, 19 68 Total income for the period was $55,259,525.98. Total expenses for the period were $97,485,629.10. This total includes various fixed charges and the sum of $64,130,392.03 for wages and fringe benefits. : The difference between total income and total expenses is $42,226,103.12 and represents the cost of service in excess of income for the thirteen month fiscal period. This figure, less state financial contract assistance of $10,825,017.64, fuel tax reimbursement of $334,292.94, reimbursement from outside communities of $46,834.70, and an unreimbursed deficit relating to depreciation in the amount of $2,725,216.00 brings the net assessable cost of service for the 79 communities of the Authority district to $28,294,741.84. In addition to the net cost of service, there are three other items which must be considered by the 79 cities and towns in their 1969 account settlement with the Commonwealth of Massachusetts. These are illustrated by the following table Net Cost of Service $28,294,741.84 Interest Charged by State Treasurer on Temporary Borrowings (Estimated) $ 979,000.00 Expenses of Boston Metropolitan District $ 16,000.00 TOTAL $29,289,741.84 Less Pupils' Reimbursement Chapter 71, Section 7B (Estimated) $ 1 , 500 , 000. 00 NET COST TO COMMUNITIES $2 7,789,741.84 The following table illustrates the Authority's net cost of service including all elements of cost for the fiscal operation and the apportionment of these costs by express and local service according to the formulae contained in the legislation establishing the Authority. : : 3. MASSACHUSETTS BAY TRANSPORTATION AUTHORITY STATEMENT OF NET COST OF SERVICE - LOSS - BY EXPRESS AND LOCAL FISCAL PERIOD OCTOBER 1, 1967 TO OCTOBER 31, 1968 Express Local Service Service Total Income : Revenue from Transportation $26,400,441 .87 $21,893,496 .27 $48,293,938 .14 Revenue from Other Rwy. Operations 648,257 .55 181,630 .11 829,887 .66 Non-Operating Income 4,683,886 .27 1,451,813 .91 6,135,700 .18 TOTAL INCOME 31,732,585 .69 23,526,940 .29 55,259,525 .98 Operating Wages and Fringe Benefits: Wages 23,553,394.94 31,446,160 .42 54,999,555 .36 M.B.T.A. Pensions 1,506, 332 .92 2,219,579 .80 3,725,912 .72 Social Security Taxes 810,418 .41 1,157,990 .65 1,968,409 .06 Workmen's Compensation 10/ f 4 JU • O f 303,740 .89 491,171 .56 AC\ Accident ai:d bickness Insurance 164,708 .55 • HU 383,126 .95 Group Life Insurance 201,232 .61 263,983 .38 465,215 .99 no Blue Cross-Blue Shield / / \J r U DD • UU 1,046,000 .59 1,816,066 .59 Unemployment Insurance 9,634 .18 12,151 .82 21,786 .00 Uniform and Work Clothes 96,846 .59 162, 301 .21 259,147 .80 TOTAL OPERATING WAGES AND FRINGE BENEFITS 27 , 300,064 .87 36,830,327 .16 64,130,392 .03 Material and Other Items 2,942,220 .52 3,596,047 . 30 6,538,267.82 Injuries and Damayes 466,05 3 .29 1, 514, 347 .15 1,980,400 .44 Depreciation 2,251,320 .00 473,896 .00 2,725,216 .00 Interest on Unfunded Debt 327 , 778 .05 909 , 303 .88 1,237,081 .93 Fuel 940,973 . 32 1,074,298 .50 2,015,271 .82 Taxes (Other than included above) 19,505 .92 495,419 .45 514,925 .37 Railroad Commuter Subsidy 4,177,868 .78 4,177,868 .78 Middlesex f Boston Subsidy 545, 373 . 64 545,373 .64 Rapid Transit Inc. Subsidy _ 29,959 .54 29,959 .54 TOTAL OPERATING EXPENSES AND TAXES 38 ,425 , 784 .75 45,468,972 .62 83,894,757 .37 Fixed Charges Interest on Funded Debt (M.T.A.) 3,048,671 .26 1,137,567 .41 4,186,238 .67 Interest nn Funded Debt (M.B.T.A.) 4,170,896 .06 307,119 .62 4,478,015 .68 Payment on Funded Debt (M.T.A.) 2,283,384 .32 1,721,979 .94 4,005, 364 .26 Payment on Funded Debt (M.B.T.A.) 270,833 .34 250 , 000 .00 520,833 .34 j ) i j.k.JMCr way r\c 11 ucij 382, 341 .25 382,341 .25 Miscellaneous Debits 8,253 .44 4, 310 .20 12,563 .64 Bank Service Charges (M.B.T.A.) 5,090 .25 424 . 64 5,514 .89 1U1AL r IXtD L HAKbtb 10,169,469 .92 3,421, 401 . 81 13,590,871 .73 TOTAL CURRENT EXPENSES 48,595,254 .67 48,890, 374 .43 97,485,629 .10 COST OF SERVICE IN EXCESS OF INCOME 16,862,668 .98 25, 363,434 .14 42,226,103 .12 Less State Fin. Contract Assist. - M.T.A. 3, 250,000 .00 3,250,000 .00 State Tin. Contract Assist. - M.B.T.A. 2,725,076 .25 239, 346 .88 2,964,423 .13 Gas Diesel Taxes Reimbursable 334,292 .94 334,292 .94 State Financial Contract Assistance on Railroad Subsidy 3, 759,143 .51 3,759,143 .51 State Financial Contract Assistance - Eastern Mass • 21 Cities and Towns 6 Months- 851,451 .00 851,451 .00 Reimbursement from Outside Communities 46,834 .70 46,834 .70 TOTAL CONTRACT ASSISTANCE AND ADJUSTMENTS 9, 734, 219 .76 1,471,925 .52 11,206,145 .28 NET COST OF SERVICE - LOSS 7,128,449 .22 23,891,508 .62 31,019,957 .84 LESS - U\TU.IMbUR3ED DEFICIT 2, 251, 320 .00 473,896 .00 2,725,216 .00 NET ASSESSARI^E C<*ST Of SERVICE $4, 877, 129 .22 $23,417,612 .62 $28,294,741 .84 I 4. COMPREHENSIVE PROGRAM FOR MASS TRANSPORTATION Since the adoption of the Authority's first Comprehensive Program for Mass Transportation in 1966, there has been one revision. This was the proposed conversion of the high-speed Mattapan trolley line to rapid transit by extending the Red Line (Cambridge-Dorchester) from Ashmont to Mattapan Square. At Mattapan, it was proposed to build storage and repair facilities to replace those at the Cambridge Bennett-Eliot facilities, planned site of the John F.
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