Qualifications of Silverado
As delineated in the Commissioner's Ruling and Scoping Memo we now address the issue of whether Silverado is financially and operationally fit to provide the scheduled service it has proposed.
Silverado seeks to implement a single line run beginning at the San Luis Obispo Airport and continuing through San Luis Obispo and Santa Barbara Counties to LAX, the San Pedro cruise terminal and ending at the Long Beach-Catalina/cruise terminal. A return run would begin at the Long Beach-Catalina cruise terminal, and continue in the opposite direction through LAX and Santa Barbara County and end at the San Luis Obispo Airport. Silverado proposes to acquire a 2006 model Provost H3-45 or equivalent,22 although initial service will be made using existing Silverado equipment. Silverado currently operates a fleet of 23 buses, six of which currently provide service for Amtrack, while the remaining 16 provide charter bus service. Silverado proposes to use the charter buses as backup for its PSC service in the event the PSC bus cannot operate.23 Although we do not know the cost of a new 2006 Provost bus,24 Silverado's November 2004 balance sheet, filed as an amendment to its Application, indicates Silverado has equity of approximately $267,000 and income for the first eleven months of 2004 of approximately $264,000, and equity of approximately $154,000 and $137,000 in 2002 and 2003, respectively. Consequently, Silverado appears qualified to finance or otherwise lease a bus to provide the proposed service.
We further note that Silverado has been operating for the past 15 years, and states it is the largest bus company in the area.25 The California Highway Patrol has inspected all of the vehicles Silverado intends to use in its proposed service, Silverado's employees are covered by workers' compensation insurance, and Silverado's proposed drivers are enrolled in the California Department of Motor Vehicles Pull Notice Program.26 Silverado also has a mandatory controlled substance and alcohol testing program.27
We conclude that there are no matters regarding fitness or safety that should prevent Silverado from operating its proposed authority.
22 Exhibit 2, p.5.
23 Id., p.9.
24 The cost of a new 2006 bus was the subject of cross-examination, however an exact cost was not determined. (TR 133-134).
25 TR 111.
26 See, California Vehicle Code, § 1808.
27 See, California Pub. Util. Code, § 1032.1.
