TO: AC Transit Board of Directors
FROM: Salvador Llamas, General Manager/Chief Executive Officer
SUBJECT: Collective Bargaining Agreement
ACTION ITEM
RECOMMENDED ACTION(S):
Title
Consider the adoption of Resolution 25-031 confirming the approval of a Collective Bargaining Agreement with the Amalgamated Transit Union (ATU), Local 192 through June 30, 2029. [Subject to ratification by ATU Local 192]
Body
STRATEGIC IMPORTANCE:
Goal - High-Performing Workforce
Initiative - Employee Recruitment, Training and Retention
The approval of collective bargaining agreements between the District and its Unions supports the strategic goals of High Performing Workforce, Financial Stability and Resiliency, and Convenient and Reliable Service. Collective bargaining agreements confirm compensation, benefits and labor costs for employee recruitment, retention and labor forecasting, thus supporting District fiscal responsibility as labor costs will be identified and managed. Convenient and Reliable Service is supported by ensuring a key group of the District's workforce will continue vital operations for District facilities and vehicles.
BUDGETARY/FISCAL IMPACT:
The fiscal impact of the agreement is estimated to be $88.3 million in total wage increases for the term of the contract. This breaks down to $9.3 million for FY 2025-26, $17.1 million for FY 2026-27, $25.6 million for FY 2027-28 and $36.4 million for FY 2028-29.
The FY 2025-26 4% contractual wage will result in an increase of $2.9 million over the current budget. Non-wage costs will increase by $164,028 over the current budget. District reserves will be used to fund these increases. The fiscal impact for the three remaining fiscal years will be incorporated in the planning and preparation for each fiscal year's operating budget.
BACKGROUND/RATIONALE:
The 2022-2025 CBA expired on June 30, 2025. The District and ATU engaged in good faith negotiations beginning in early 2025 and ATU and the District rea...
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