(a)All charter bus services authorized to be performed by a public transportation system receiving funding under this chapter shall contribute financially to the reduction of deficits incurred in the operation of scheduled route service. In addition, the charter bus service shall not interfere with regularly scheduled service to the public or compete unfairly with private operators where the private operators are willing and able to provide charter bus service.
(b)Except as provided in subdivision (d), charter bus service rates and minimums shall be established that
are either of the following:
(1)At least equal to the average of the three lowest current rates charged by private charter bus carriers actually operating charters originating in the same service area of the public tra
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(a)
All charter bus services authorized to be performed by a public transportation system receiving funding under this chapter shall contribute financially to the reduction of deficits incurred in the operation of scheduled route service. In addition, the charter bus service shall not interfere with regularly scheduled service to the public or compete unfairly with private operators where the private operators are willing and able to provide charter bus service.
(b)
Except as provided in subdivision (d), charter bus service rates and minimums shall be established that
are either of the following:
(1)
At least equal to the average of the three lowest current rates charged by private charter bus carriers actually operating charters originating in the same service area of the public transportation system during the prior year.
(2)
At least equal to the marginal cost of each charter operated.
(c)
All charter bus service rates shall be reviewed and adjusted not less than semiannually to reflect variations in actual and assumed costs, as well as private charter bus carrier rates.
(d)
If the operator of a public transportation system determines that there is a public need that cannot otherwise be met, the operator may provide charter bus services to charitable or public service organizations at direct cost, not to exceed ten thousand dollars ($10,000) or a total of 40 charter buses per year, whichever occurs first.
(e)
(1)
This
section does not apply to charter bus services
that are incidental to the holding of the 2026 FIFA World Cup in the County of Los Angeles and the greater San Francisco Bay area during the period from June 1, 2026, to July 31, 2026, inclusive, if the public transportation system establishes charter bus rates for those services
that are sufficient to pay all
marginal costs related to those services,
that are at least equal to the average of the lowest rates charged by the three largest private charter party carriers operating similar service within the County of Los Angeles or the greater San Francisco Bay area, as applicable, and that contribute financially to the reduction of deficits incurred by the system in the operation of scheduled route service.
(2)
For purposes of this subdivision, “greater San Francisco
Bay area” means the region comprised of the City and County of San Francisco and the Counties of Alameda, Contra Costa, Marin, Monterey, Napa, San Benito, San Mateo, Santa Clara, Santa Cruz, Solano, and Sonoma.