Alameda-Contra Costa Transit District will have a new general manager and CEO, starting May 15.
AC Transit’s chief operating officer Salvador “Sal” Llamas was named to the role by the bus agency’s board of directors after a nationwide search that was conducted by consultant Krauthamer & Associates. He will take over the role from Kathleen Kelly, who had been serving in the role on an interim basis since GM and CEO Michael Hursh transitioned to a senior advisor role in December.
The leadership shuffle is one of many changes the 2,300-employee transit district is experiencing. AC Transit runs bus service in Alameda and Contra Costa counties.
The district is under severe budget strain after the exhaustion of federal pandemic-era funding. It recently sat its first three board members elected since changes were made to the board’s electoral procedures, and the board approved a permanent reduction in service in the fall to align with post-pandemic reduced ridership.
The district is facing a $238 million budget gap over the next four fiscal years and raised fare prices in March for the first time since 2020.
Llamas is a former U.S. Marine who joined AC Transit in 2012 as its director of maintenance before becoming COO in 2017. Before that, he worked for the Los Angeles County Metropolitan Transportation Authority as an equipment maintenance supervisor and maintenance operations manager, according to a news release from AC Transit.
Llamas said in a statement that he was honored to be named to the role and would take on challenges with a motto of “improvise, adapt and overcome.”
“My time with the district has only strengthened my resolve that our bus lines are essential lifelines, driving the success of the East Bay,” he said. “That success takes a team, and AC Transit is home to some of the most ingenious professionals in the industry. Although the pandemic has shifted rider demands, it will not shift our time-honored commitment to equitable, reliable, accessible, and, most importantly, affordable transit,” Llamas said.
Hailed as a ‘solutions-oriented executive’
The board credited Llamas with serving as the district’s incident commander during the COVID-19 pandemic in its Emergency Operations Center, developing a master safety plan and asset management plan for the district, along with leading its transition to a zero-emissions fleet.
AC Transit board president Diane Shaw said Llamas also stood out among the candidates because of his deep familiarity with the Bay Area and relationships within the district.
“As AC Transit’s Chief Operating Officer, he has shown a comprehensive understanding of our operating and capital budgets — an asset critical to ensuring the district’s immediate and long-term stability,” she said. “With the new fiscal year ushering in a period of undeniable transition, the Board recognized the need for a solutions-oriented executive who can guide us through ongoing fiscal challenges with agility and foresight,” Shaw said.
The fare increases approved in March will raise local fares for adults by 25 cents, to $2.75, and transbay trips by 50 cents, to $6.50, starting in July this year. Local fares will go up again in July 2026 by another 25 cents.
“(Llamas) has shown a comprehensive understanding of our operating and capital budgets — an asset critical to ensuring the district’s immediate and long-term stability.”
Diane Shaw, AC Transit board president
That’s expected to bring in an additional roughly $8 million over the next two fiscal years, a fraction of the deficit facing the district, the board of which also approved a “Realign Plan” in October that will establish new bus service at 85% of pre-pandemic levels, which it said reflected new ridership habits.
The new board makeup includes three members who were elected in the transit district’s first use of electing members from one of seven wards in the two counties, rather than its previous system of having five wards and two at-large members who were elected districtwide.
Two were incumbents on the board, including District 2 representative Jean Walsh, who was reelected, and former at-large member H.E. Christian “Chris” Peeples, who now represents District 1, which includes Albany, Richmond, San Pablo, and El Sobrante.
Anthony “Curtis” Silva was elected as AC Transit’s first District 6 representative, which includes the cities of Hayward and Newark, part of Fremont, and Fairview in unincorporated Alameda County.
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