AC Transit Warns San Pablo of 16% Bus Cuts Without New Regional Tax

The San Pablo City Council heard a sobering forecast for the city's transit-dependent residents: AC Transit is staring down a $200 million deficit that could slash bus service and eliminate 300 jobs by next summer. The meeting also surfaced a bombshell allegation that San Pablo police have been illegally sharing license plate data with federal Border Patrol.

• AC Transit presents $200 million deficit, warns of 16% service cuts and 300 layoffs by June 2027 without a new regional sales tax
• Privacy advocate reveals San Pablo PD illegally shared license plate reader data with San Diego Sector Border Patrol, violating state law
• Carpenters Union flags $270,000 wage theft by developer's subcontractor on city-funded Alvarado Garden affordable housing project
• Consent calendar adopted 3-0 with two council members absent

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Transit Lifeline at Risk: AC Transit Lays Out Stark Budget Reality

The basics: AC Transit, the special district providing bus service to 13 cities across Alameda and Contra Costa counties, carries 40 million rides annually. Three-quarters of its riders are people of color; two-thirds are low income; and 65% have no car access. For San Pablo, the agency's fiscal crisis is not abstract — it's a direct threat to how residents get to work, school, and medical appointments.

Why it matters: A $200 million four-year deficit — roughly $50 million annually starting in 2027 — means the agency will have to cut 16% of service and lay off approximately 300 workers unless voters approve a new regional funding measure. The consequences would fall hardest on the low-income communities of color that make up most of the ridership.

The Funding Gap

AC Transit Government Affairs Representative Ryan Lau walked the council through the crisis. Federal pandemic relief has expired, sales tax revenue has flattened, and costs have surged — 28% more for fuel and 35% more for new buses. The agency has already trimmed $9 million through hiring restrictions, reduced temporary staffing, and bringing services in-house. A $55 million state bridge loan covers only the current fiscal year.

"Without long-term sustainable funding, service reductions of up to 16% become unavoidable," said Ryan Lau, AC Transit Government Affairs Representative.

"Three out of four of our riders are people of color. Two out of three are low income, making AC Transit an essential lifeline," he added.

What Cuts Would Look Like

AC Transit Senior Planner Carissa Lee detailed the contingency service plan that would take effect June 13, 2027, if no new funding materializes. The primary route network — lines 72, 72M, Link, and 76 — would be preserved at 15-minute weekday frequencies, but most other West Contra Costa County lines would drop from 30-minute to 40-minute frequencies with shortened spans running only 7 a.m. to 7 p.m.

Line 70 would end at Richmond BART on weekends instead of continuing to Del Norte BART, and Transbay Line F weekend service would be eliminated entirely.

"Most service currently operates at 30 minutes throughout West Contra Costa County. Under the plan, service will be reduced to 40-minute frequencies and the spans from 7 a.m. to 7 p.m.," said Carissa Lee, AC Transit Senior Planner.

The Fix: SB63 and a Regional Sales Tax

The only path AC Transit sees to avoiding the cuts is SB63, the Connect Bay Area Act — a regional half-cent sales tax measure across five Bay Area counties (1 cent in San Francisco) that would generate an estimated $980 million annually for buses, trains, and ferries. AC Transit's share would be approximately $52 million.

"The measure would ask voters in five Bay Area counties to approve a 14-year half-cent sales tax. And if approved, it would generate an estimated $980 million annually for Bay Area buses, trains, and ferries," Lau said.

Key public hearing dates for the measure are Aug. 12 and Aug. 14.

Council Reacts

All three council members present voiced concern. Vice Mayor Rita Xavier, who presided over the meeting in Mayor Elizabeth Pabon-Alvarado's absence, noted the personal stakes: "I happened to think about 74 is the only bus to the Richmond Ferry. So making that a longer time in between buses could be detrimental."

Councilmember Abel Pineda pushed the equity frame further, urging colleagues and residents to consider the uneven burden. "We have to check our privilege and be able to recognize that not everybody's in that situation and then also realize just what having reliable transportation to get not just to work — this could be doctor's appointments, this could be child care," he said. Pineda also shared that he personally called AC Transit and other agencies during his time working in the state legislature on Regional Measure 3 to try to build collaborative funding solutions.

Councilmember Arturo Cruz asked about gas tax revenue; AC Transit representatives noted that growing electric vehicle adoption is reducing gas tax proceeds, compounding the funding challenge.

What's next: The presentation was informational — no council action was required. The SB63 regional transit measure will go before voters, with public hearings scheduled for Aug. 12 and Aug. 14. If the measure fails, the contingency service plan takes effect June 13, 2027.

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Police Data Sharing With Border Patrol Draws Scrutiny

Why it matters: A public records request has revealed that San Pablo police are sharing automated license plate reader data with a federal immigration enforcement agency — a practice banned under California law since 2016.

Mike Katz-Lakabe, Director of Research for Oakland Privacy, told the council that his organization's records request uncovered that the San Pablo Police Department has been sharing ALPR data with San Diego Sector Border Patrol.

"I discovered that the San Pablo Police Department is illegally sharing license plate reader data with San Diego Sector Border Patrol, a federal agency. Sharing license plate reader data with federal and out-of-state agencies became illegal in 2016 when SB34 was signed into law," he said.

Katz-Lakabe noted that the California Department of Justice issued an information bulletin in October 2023 reiterating SB34's prohibitions due to widespread noncompliance across the state. He also pointed to the San Pablo PD's own policy (Section 462.5C), which requires regular ALPR audits, and questioned whether those audits have been conducted or were thorough enough to catch the violation.

"I look forward to this violation of state law being quickly addressed and a transparent investigation into how this happened, how long it's been occurring, and accountability for those responsible," he said.

The council took no formal action; the disclosure came during public comment. The allegation puts pressure on city leadership to investigate the scope and duration of the data sharing and to ensure compliance with state privacy law — an issue with particular urgency in a community with a large immigrant population.

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Union Puts City on Notice Over Affordable Housing Labor Standards

Why it matters: San Pablo has committed nearly $7 million in public loans to the Alvarado Garden affordable housing project — the city's largest — and has granted developer Danko three extensions on its development agreement, with a fourth pending. A construction union says the project lacks basic worker protections and the developer has a track record of wage violations.

Ramon Amaral, Field Representative for the North Coast States Carpenters Union (Local 152), addressed the council during public comment on consent calendar Item 8.

"San Pablo has committed nearly $7 million in loans to make this project possible, as well as provide the developer Danko with three and now a pending fourth extension to the development agreement for phase two on the project," he said.

Amaral cited a specific case in San Jose where Danko's subcontractor Norcal Drywall was found to have underpaid workers: "Danko subcontractor Norcal Drywall underpaid workers over $270,000, resulting in $810,000 in city-assisted penalties for the violation."

He urged the council to condition any future extensions or financial assistance on labor protections for construction workers on the project.

Decisions: The consent calendar — including Item 8 — was adopted 3-0 (For: Councilmember Cruz, Councilmember Pineda, Vice Mayor Xavier; Absent: Councilmember Ponce, Mayor Pabon-Alvarado). The union's comments did not prompt immediate action but put the city on notice ahead of the pending fourth extension request.

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Minor Items

• National Night Out is scheduled for Aug. 4; the Assistant City Manager also announced Dumpster Day (Aug. 8) and Movies Under the Stars (Aug. 14).
• Vice Mayor Xavier reported that Congressman Garamendi presented an $850,000 federal grant check to El Cerrito and noted ongoing PG&E pipeline replacement work along Riverside for the San Pablo Dam Road project.
• Councilmember Pineda reported on housing committee and CCTA regional transportation meetings.
• Councilmember Ponce and Mayor Pabon-Alvarado were absent from the meeting; Vice Mayor Xavier presided.