AC Transit faces state of emergency

April 29, 2010 4:44:59 PM PDT
AC Transit is facing a state of emergency for a second straight year.

The transit agency's board of directors on Thursday called for a public hearing on May 26, as a prelude to possibly declaring a fiscal emergency.

Officials expect the district's operating deficit to balloon to more than 56 million dollars by the end of the 2011 fiscal year.

Declaring a fiscal emergency will allow the district to raise fares and cut services and other expenditures to help ease the crisis.