Bridge News

Attachment B

Cost Savings and Cost Containment/Efficiency Initiatives

The following savings have been implemented by the District as part of an aggressive and on-going effort to improve the efficiency and cost-effectiveness of District operations. These initiatives have reduced the District¹s overall expenses in the current year and most will continue to do so in future years.

Description of Project
or Activity
Description of Efficiency/Improvement
Savings $
Bus Operator overtime reduction. During a comparison 4-month period, Bus Operator "Held-In-Service" hours decreased from 12,732 hours to 4,975 hours (7,757 less). Estimated $300,000 per year savings in reduced "Held-In-Service" Overtime pay.
FasTrak reduced number of Toll Collectors from 44 full time and 4 part time to 40 full time Reduce Labor Costs $300,000 per year
Elimination of ticket position last year due to FasTrak Labor Savings $60,000
Reduction of Bus runs Reduced the number of weekend bus runs by seven per Saturday and seven on Sunday This reduction equates to 2.8 fewer full time runs equaling $180,000 per year.
Bus Service Efficiency 32 bus trips eliminated in the past 18 months due to traffic patterns and patronage trends. $360,000 per year
Reduction in Board Meetings Reduced number of Board meeting days by 50% $42,000 per year
The Engineering Department has recently staggered the start times for the District inspectors on our construction projects. Reducing overtime costs $100,000
New Ferry schedule implementation in September of 2001 Operating Efficiency ­

Backup vessel enables operation to significantly reduce the cost of alternate buses in the event of a scheduled or unscheduled disruption in ferry service.
$30,000 per year
The Engineering Department staff costs for the Phase 2 Seismic Retrofit Project have been eliminated from the District's operating budget. These staff costs are now being reimbursed by state grant funds reducing the District's need for local funds. $1 million
Kiosk/Shelter Advertising Revenue New program for increased revenues $180,000 per year
Outsourcing of engine rebuilds for coaches near to retirement. Rebuilt engines exempt from CARB regulations for exhaust retrofits. Reduction of one mechanic and one machinist position Staff savings of $150,000

CARB exemption $70,000 per year
The last 6 bids were advertised more cost effectively. Reduction in Advertising Costs $18,200
Proposing printing Transit ticket books from quarterly to bi-annually Cost savings $15,000
Reorganization of duties in Auditor-Controller¹s Office Elimination of Deputy Auditor Controller position. $50,000
Aggressive outreach to contracting community increased number of highly competitive bids for capital project. Saved $100,000 below budgeted amount $100,000 on contract
Purchased reconditioned CHP patrol vehicle instead of new vehicle purchase Offset savings of buying new vehicle $20,000
Negotiated "Special Shift" provisions into several union contracts allowing night work at straight-time pay rates. Reduce amount of overtime expenditures $30,000 per year
On-going delayed purchases of new office furniture at Bus Division. At least nine offices in Bus Division are in need of new office furniture, similar in price and model to the new furniture in most of District Division offices $27,000
Trash collection equipment. Installed compactor for trash collection at D-1 $6,000 per year
Monitoring of wastewater from shop at D-1. Prevents operation of on-site wastewater treatment plant. Savings of staff time for Building Maintenance Department $25,000
Use radio phones. Range improved and batteries are rechargeable $6,000 per year.
Flooring material used on coaches. Easier to clean $25,000 per year
Use of concentrated chemicals with automated mixing. Controls waste and assures proper ratios of chemicals Savings of $2 per gallon for window cleaner. Unknown cost savings from potentially dangerous chemical mixtures.
Frozen positions due to unanticipated revenue shortfall Cost Savings $669,000
Increased reimbursement from existing insurance coverage Identified additional reimbursement available under the Hull and Machinery and Jones Act policies $300,000
Oil lubricated bearings on coaches. Controls amounts of HAZMAT material production Reduction in amount of hazmat materials hauled off site. Cost at $400 per barrel.
TOTAL ESTIMATED SAVINGS   $4 MILLION

Additional initiatives can be found on the following pages.

Efficiency Improvement Initiatives

Description of Project or Activity Description of Efficiency/Improvement
New Ferry schedule implementation in September of 2001 The three vessel schedule distributes major maintenance projects in a much more effective fashion resulting with a reduction on the internal and external overtime.
Determine the real cost of high speed vessels vs. that of the medium speed vessels Create cost-efficient operation plan for future operating savings.
Efficient scheduling and flexible work assignments in Ferry Division. Less need for overtime and other employees.
Improvements for FasTrak violation collection Ensures timely revenue collection.
Purchased pipe coping machine for metal pipe resulting in labor saving. Work previously done by hand Labor efficiency, reduces work done by hand
Purchased automatic plasma cutter tracing system allowing multiple shaped objects to be cut at once automatically. Labor efficiency, reduces work done by hand
Purchased several spider suspended scaffolds. Rigging time cut by 75% and rigging can be done without lane diversion.
In process of replacing light fixtures in offices with energy efficient T-8 fixtures Reduce utility bills
FasTrak Savings Save time for drivers, as there is less traffic at the Bridge, which reduces the cost of each bus trip.
Use of energy efficient lights and ballast in shop and bus parking lot. Less electricity usage and several rebates from manufacture and/or utility companies for possible rebates up to 50%
Bus Maintenance Staff Efficiency More efficient use of staff in Maintenance Department using one of the smallest staff-to-vehicle ratios in Bay Area transit.
Conversion of strike-print paycheck system to a laser-based system with pressure-seal form. Eliminate labor necessitated by running the paychecks through a check-signor, costs of envelopes, and increases security features.
Conversion of employee required tax forms to laser-print form. Labor savings.
FMS automation Reduce costs of producing financial information, record keeping and payroll processing
Outsourced smog certification on all District vehicles Labor efficiency
Extended service intervals for District vehicles and equipment Cost Savings for less maintenance
Outsourced major machine work associated with travelling scaffold rehabilitation Cost-effective, reduce costs
Financial Management Consultant:
Study underway with work program to be identified
Will consolidate database and reduce data entry redundancies, improve management information.
Hire a new Work Comp TPA Improved claims management to close claims earlier and ultimately significantly reduce costs.
Staff reorganizations:
1. Work Comp
2. Marketing and Communications
3. Planning
4. Human Resources
1. Consolidated with single Manager.
2. Streamlined decision making, better budget control.
3a. Restructured to achieve more staff development and create support staff for higher level functions.
3b. Added a real estate position to better manage rail and property functions including generation of revenue
4a. Created an analyst position to better coordinate staff supervision and functions. Position frozen.
4b. Moved EEO functions from HR and created a higher visibility position reporting directly to DGM.
Streamlined and automated the toll violation review process Labor efficiency
Purchased more powerful rivet busters and _" drive impact wrenches. Increased efficiency on curb replacement project
Ferry Division developed a significantly improved loss-control program. Implemented new safety audit practices, enhanced safety committee activity and other initiatives.
Purchase tires on "as-needed" basis avoiding inventory costs Reduce Inventory Costs
Purchased engine diagnostic equipment Reduce external repair costs
Purchased line-sprayer greatly increasing efficiency of road and parking lot striping Labor efficiency
Establish preventive maintenance program for storm drains reducing overtime emergency call-outs for flooding during heavy rains Preventative maintenance
Obtained factory certification for sky-climber and spider staging equipment Reduce factory repair costs
Closely coordinated work by numerous trades into single lane diversion. Results in far fewer diversions and far more work completed per diversion Labor Efficiency
Replaced incandescent signal lamps on lane gates and water bumpers with long life and energy efficient LED lamps

Replaces faucets in public restrooms with low flow and auto shutoff resulting in significant water saving

Three old water heaters replaced with modern high efficiency units
Preventative maintenance to reduce major repair costs and energy cost.
Bus division to improve use of outside service contractors. Effective control of janitorial and landscape services to maintain appearance. Savings of staff time @ 10 hrs monthly
On-site unit repair. Control of component quality
More labor available as a result of the new schedule to implement routine maintenance projects which were previously left to biannual dry-docking projects. A reduction in the scope and complexity of dry-docking events and long-term improvement in the Division¹s ability to perform routine maintenance
New aggressive search for alternate suppliers for routine stock items. More cost-efficient buying
Due to the fuel storage capacity at the Ferry Division our Purchasing Department has been carefully monitoring the cost of fuel in order to execute fuel buys at opportune times Cost-efficient fuel buying
Elimination of outdated payroll reports. Labor efficiencies
Reducing check printing runs Labor Efficiencies
Cross-Training for staff Staff efficiencies
Extensive training initiatives and casual employee familiarization programs are under development including the installation of a training facility at Larkspur Ferry Terminal Safety Improvements reducing operating costs
A comprehensive new set of operating manuals is near completion and this will provide a safer and more predictable operating environment in Ferry Division. Improve safety.
Create predictability
Standardization