City Transit Bus System Brought to its' Knees by a Wheelchair Bound
Man for Second Time
Las Vegas Tribune
March 15.1999
By Steve Miller
The March 12, Review Journal headline read "Las Vegas jury awards paraplegic
$25 million." Last week the company responsible for operating the
Citizens Area Transit was hit with a jury verdict in favor of a disabled
man who was injured while trying to board a city bus. It was only
ten years earlier that the predecessor company to CAT was also the loser
in a similar case when a paraplegic was injured while riding on a bus.
Only this time, in 1989, the transit bus company was forced to go out of
business by complications arising from the incident.
Prior to CAT, our county suffered with the worse transit bus system
in the US. Today we enjoy a compliment of almost 300 new buses. Ten
years ago, Las Vegans suffered with only 35 buses on the road and most
of the fleet were at least 20 years old at the time.
In 1989, I was serving on the Clark County
Regional Transportation Commission. One of my assignments was to conduct
a financial audit of the city's transit bus system. During
the audit, it was discovered that the old transit bus operator was keeping
the loosest set of books since the days of Bugsy Siegal.
Following disclosure of information that I made available to the press
about my audit, the blaring headline in the Las Vegas Sun read "Skim
cloud darkens Las Vegas Transit System." As soon as the
"skim" allegation was front page news, the owners of the old transit company
immediately filed a law suit against me saying that I had provided the
press with false information that accused them of skimming the profits
from the lucrative Strip bus route. Their lawsuit unsuccessfully attempted
to force me to recuse myself from participating in any discussions or actions
affecting the company's franchise. I refused to yield to their threats
and proceeded full steam ahead to have their franchise revoked as soon
as possible.
In 1990, the city of Las Vegas under then Mayor Ron Lurie unceremoniously
revoked the franchise of the Bus Company upon its' 49th year.
With only one year remaining until their golden anniversary as our only
bus system, they got booted. Unfortunately, beginning in 1991, the
company acquired a friend in a very high position, our city's new mayor
Jan Laverty Jones.
With me out of office and off of the Regional Transportation Commission,
and with Jones sitting in my place on the RTC, the old company began to
regain their political strength. Jones was a loyal defender of the
status of the old Las Vegas Transit while Commissioner Bruce Woodbury had
participated in my audit and knew that the old company had no financial
accountability and had to go. The two powerful politicians locked
horns.
Woodbury and I had worked together to find a new
transit provider. We had agreed on a company called ATC VanCom to
operate the new CAT system. Jones wanted to split
the system and allow her crony, the old transit operator, to cherry pick
the Strip route leaving the new CAT to prowl the less profitable local
routes with tax support. With Jones at the helm, it looked
as if her scheme would fall together. The taxpayers would shoulder the
burden for the losing routes while Jones' friend would continue to make
a fortune on the Strip. The excuse given by Jones' bus company
friend: that federal law prohibited a publicly funded company from competing
with a private enterprise. Jones' friend claimed to operate a private company.
Then something unexpected happened.
Russ Driver and Alan Blum had put together a group called Citizens for
Better Transit. Their sole purpose was to put the old company out
of business so that a new -- financially accountable -- company could provide
transit service to the Las Vegas Valley. One of the group's members
was a disabled man named David Beamis. Mr. Beamis lived in Henderson
and traveled by bus to the meetings in Las Vegas. One day while riding
on one of the old company's dilapidated buses, David's wheelchair came
lose and he sustained serious injuries.
David sued the company. The company bitterly defended themselves
by calling David names and trying to degrade him. David unexpectedly
accepted an out of court settlement of $6,000, which did not cover his
pain or injuries. I was very disappointed when I heard of David's
low-ball settlement -- until I learned the reason why David acquiesced.
David Beamis is a very selfless man. Even though he would not
be able to cover his medical bills totaling over $20,000 with the bus company's
heartless offer, he had a terrific trick up his sleeve for the old bus
company.
Beamis had signed a confidentiality agreement with the company that
he was willing to break. David brought a copy of his secret settlement
agreement to me. The agreement stated that in exchange for the measly
$6,000, David would give up his right to ever ride on the company's
buses again. David and the President of the transit bus company had
amazingly signed the contract.
By this time it looked as though, with Jan Jones help, the old bus company
had a lock on the Strip route because of the Federal law and their claim
that they were a private company that did not receive tax subsidies. Upon
my receipt of David's secret agreement with the bus company President,
I told David that he must immediately file a civil rights complaint with
the Federal Transit Administration in Washington, DC. He was one
step ahead of me. David had already placed a call to the Civil Rights
office and they were busy processing his discrimination complaint.
Within days a letter arrived at David's home. It was from the
Director of the Federal Transit Administration. The Director stated
that he was opening an investigation of the Las Vegas Transit System and
that, since they were federally funded, they had seriously violated the
Americans with Disabilities Act. They were "Federally funded?" This
was the first documented proof we had that the old company was federally
funded and not entitled as Jones proclaimed to operate exclusively on the
Strip. The Director stated in his letter that Las Vegas Transit had been
the recepient of tax funded support because the federal government had
given grants to the City of Las Vegas to purchase new buses on several
occassions that were leased to the company. Bingo!
David and I immediately paid a visit to the attorneys for the Clark
County Regional Transportation Commission and presented them with the Director's
letter. His letter shot down Jones' argument that the company
was protected on the Strip from federally funded competition. The old bus
company was not protected since they too were federally funded.
The rest is history.
Jan Jones walked out of the next three RTC meetings just when her
friend's bus company's items appeared on the agenda. She did not participate
in any hearing that pertained to the buyout of the company by the county
and their removal from the roadways of Clark County including the Strip.
She appeared to not want to offend her friend.
The Las Vegas Transit System soon closed their doors forever.
However, they continued their lawsuit against me, and even disingenuously
threatened to sue Commissioner Woodbury for statements he made on my radio
program about their demise. Then my homeowner's insurance company
offered them a cash settlement to stop their harassment of me. They
accepted.
Now, Clark County is enjoying one of the best public transit systems
in America, with the exception of the unfortunate accident that recently
occurred to the paraplegic man. Ironically, this accident involving
a disabled person and its possible $25 million dollar price tag could again
send our RTC in search of another transit bus service provider. |