| THE FORMATION OF THE DETROIT DEPARTMENT OF TRANSPORTATION (D-DOT) (The Reasons Behind the Change from the DSR to DDOT) |
Even though it's now been decades, many longtime Detroiters still ask that question... "Why was the city's bus
system changed from the former (more reliable) D.S.R. to the present day D-DOT?"
Most folks, I'm sure, won't argue the fact that public transportation in Detroit has basically been on a major decline
now for decades. But many may be surprised to learn that the steady decline in reliable service actually began many
years prior to the formation of DDOT. As a matter of fact, the former DSR operation was reorganized in order to prevent
the inevitable collapse of what was once a proud, reliable, and respectable leader in the transit industry.
Of course, the need for a major name change for the bus system during the early seventies was indeed obvious.
Since the Department of Street Railways could no longer be considered a street railway operation, after it
discontinued the last of its streetcar service on April 8, 1956, its name had long become obsolete. But aside from the
fact that a more appropriate name was needed, other more important factors would play a role in the department's
restructuring.
When the DSR was first founded in 1922, it was formed as a city-owned transportation company, and was to be
operated as a separate and financially self-supporting agency. The oddly structured agency was run much like a
private corporation, and was governed by a general manager appointed by the mayor. The transit company not only
had to pay property and school taxes to the City of Detroit, but also had to pay service charges to other city agencies for
any services rendered to the DSR.
But more importantly, the Detroit City Charter mandated that all of the agency's operating expenses could only be
paid through fare-box revenues. Although the DSR was owned by the City of Detroit, not one-cent of city tax money
could be spent on the agency. Consequently, during its first forty years of operation, the DSR operated solely out of
the fare-box.
But after the ridership numbers began to decline during the late forties and early fifties, and as fare-box revenues
dropped, and operating expenses increased, this charter requirement proved to be a major burden for the
department. By the mid-to-late sixties major cuts in bus service were being proposed. By the arrival of the early
seventies, the city's transit system was on the verge of facing possible bankruptcy.
Many issues over the years — all too numerous to go into detail in this article — helped to contribute to the ridership
decline the transit operation faced. As these factors continued to make an impact, it was becoming evident by the
sixties that the former transit system needed to be restructured, or the City of Detroit faced not having a public
transportation system for its declining population. Obviously, the fare-box revenues alone could no longer provide
the needed money for the DSR to operate.
Some limited and temporary relief did come for the system on Tuesday, September 1, 1964, when city voters
approved Proposition "G" — an amendment to the Charter which relieved the department from paying city and school
taxes, and service charges to other city departments. In addition, the amendment now permitted the DSR to receive
Federal grants, and authorized the Common Council to appropriate general tax funds for the DSR—but only for the
purpose of providing the local funds required to obtain grants from the federal government. Prior to these amendment
changes, low revenues made it difficult for the DSR to even provide the matching one-third local funds then required
under the provisions of the Urban Mass Transportation Act of 1964.
Another boost for the ailing DSR would later come on Tuesday, November 4, 1969, after Detroit voters approved
another amendment to the Charter — Proposition "A"— which granted the Common Council budgetary control over
the transit agency, similar to what it had over other city departments. The amendment now permitted the Council to
use general city tax funds to provide any needed assistance to the DSR. It also removed the restrictions that all DSR
operating expenses must be paid from fare-box revenues alone.
With the transit agency's budget now under the control of the Common Council, it was now felt by many — led primarily
by Councilman Mel Ravitz — that the time had come for the DSR to be restructured, and to come under the full control
of the City of Detroit. Meanwhile, with the much-amended "horse-and-buggy-era" 1918 City Charter already in the
process of being completely rewritten for the first time in over fifty years, a charter revision opportunity regarding the
future of the DSR could soon become a reality. If approved, a charter revision restructuring of the DSR could take effect
in July, 1974.
On Tuesday, November 6, 1973, the voters of Detroit adopted the newly revised 1974 Home Rule Charter (186,283 to
140,697), which also included a provision establishing a newly-structured Transportation Department.
Under the Detroit City Code: Article 7, Chapter 14, Section 7-1401; the transportation
department shall:
The establishing of this new Transportation Department consequently resulted in a name change for the city-owned
transit system from the Department of Street Railways to a newly formed Department of Transportation.
On Monday, July 1, 1974, at 12:01AM, the Detroit Department of Transportation (D-DOT) took over as the transit
providing agency for the City of Detroit.
The 1974 charter revision also resulted in the consolidation of other municipal transportation-related functions,
resulting in the former Streets and Traffic Division being merged into the Transportation Department and becoming
the Planning and Engineering Division under the new Charter.
The 1974 charter, under Article 7, Chapter 14, Section 7-1402, also abolished the three membered Board of
Street Railway Commission, which had been the policy-making governing authority of the former DSR, while
under Article 5, Section 5-103, granted sole authority to supervise, manage and control the department to an
administrative head, or a "Director" of Transportation, appointed by the mayor. The Street Railway
Commissioners were replaced by a new Advisory Commission for Transportation, composed of at least five
members, also appointed by the mayor, but who were limited to only making recommendations (under the
guidelines of Article 7, Chapter 1, Section 7-103).
Since there didn't exist a dedicated local transit tax back then, earmarked to support public transportation in
southeastern Michigan, this new arrangement would now allow for the city to help subsidize the transit system until
a regional transit tax, and a proposed take-over by the then recently formed Southeastern Michigan
Transportation Authority (SEMTA), could be approved.
Unfortunately, after years of city and suburban fighting over this issue, it has now been over thirty years and no
regional take-over of the system has ever resulted, and a separate transit tax to support the Detroit system never
materialized. As a consequence, DDOT remains to this day just another revenue producing city department, and
largely subsidized by the city's general fund.
For better or for worse, D-DOT has continued for thirty-plus years providing transit services to Detroiters.
system changed from the former (more reliable) D.S.R. to the present day D-DOT?"
Most folks, I'm sure, won't argue the fact that public transportation in Detroit has basically been on a major decline
now for decades. But many may be surprised to learn that the steady decline in reliable service actually began many
years prior to the formation of DDOT. As a matter of fact, the former DSR operation was reorganized in order to prevent
the inevitable collapse of what was once a proud, reliable, and respectable leader in the transit industry.
Of course, the need for a major name change for the bus system during the early seventies was indeed obvious.
Since the Department of Street Railways could no longer be considered a street railway operation, after it
discontinued the last of its streetcar service on April 8, 1956, its name had long become obsolete. But aside from the
fact that a more appropriate name was needed, other more important factors would play a role in the department's
restructuring.
When the DSR was first founded in 1922, it was formed as a city-owned transportation company, and was to be
operated as a separate and financially self-supporting agency. The oddly structured agency was run much like a
private corporation, and was governed by a general manager appointed by the mayor. The transit company not only
had to pay property and school taxes to the City of Detroit, but also had to pay service charges to other city agencies for
any services rendered to the DSR.
But more importantly, the Detroit City Charter mandated that all of the agency's operating expenses could only be
paid through fare-box revenues. Although the DSR was owned by the City of Detroit, not one-cent of city tax money
could be spent on the agency. Consequently, during its first forty years of operation, the DSR operated solely out of
the fare-box.
But after the ridership numbers began to decline during the late forties and early fifties, and as fare-box revenues
dropped, and operating expenses increased, this charter requirement proved to be a major burden for the
department. By the mid-to-late sixties major cuts in bus service were being proposed. By the arrival of the early
seventies, the city's transit system was on the verge of facing possible bankruptcy.
Many issues over the years — all too numerous to go into detail in this article — helped to contribute to the ridership
decline the transit operation faced. As these factors continued to make an impact, it was becoming evident by the
sixties that the former transit system needed to be restructured, or the City of Detroit faced not having a public
transportation system for its declining population. Obviously, the fare-box revenues alone could no longer provide
the needed money for the DSR to operate.
Some limited and temporary relief did come for the system on Tuesday, September 1, 1964, when city voters
approved Proposition "G" — an amendment to the Charter which relieved the department from paying city and school
taxes, and service charges to other city departments. In addition, the amendment now permitted the DSR to receive
Federal grants, and authorized the Common Council to appropriate general tax funds for the DSR—but only for the
purpose of providing the local funds required to obtain grants from the federal government. Prior to these amendment
changes, low revenues made it difficult for the DSR to even provide the matching one-third local funds then required
under the provisions of the Urban Mass Transportation Act of 1964.
Another boost for the ailing DSR would later come on Tuesday, November 4, 1969, after Detroit voters approved
another amendment to the Charter — Proposition "A"— which granted the Common Council budgetary control over
the transit agency, similar to what it had over other city departments. The amendment now permitted the Council to
use general city tax funds to provide any needed assistance to the DSR. It also removed the restrictions that all DSR
operating expenses must be paid from fare-box revenues alone.
With the transit agency's budget now under the control of the Common Council, it was now felt by many — led primarily
by Councilman Mel Ravitz — that the time had come for the DSR to be restructured, and to come under the full control
of the City of Detroit. Meanwhile, with the much-amended "horse-and-buggy-era" 1918 City Charter already in the
process of being completely rewritten for the first time in over fifty years, a charter revision opportunity regarding the
future of the DSR could soon become a reality. If approved, a charter revision restructuring of the DSR could take effect
in July, 1974.
On Tuesday, November 6, 1973, the voters of Detroit adopted the newly revised 1974 Home Rule Charter (186,283 to
140,697), which also included a provision establishing a newly-structured Transportation Department.
Under the Detroit City Code: Article 7, Chapter 14, Section 7-1401; the transportation
department shall:
1. Own, maintain, and operate a public transportation system above, on, or below the
surface of the ground, or in any combination thereof, utilizing technology known or to
be developed.
2. Operate the system within the city and to a distance outside the city as permitted by
law.
The establishing of this new Transportation Department consequently resulted in a name change for the city-owned
transit system from the Department of Street Railways to a newly formed Department of Transportation.
On Monday, July 1, 1974, at 12:01AM, the Detroit Department of Transportation (D-DOT) took over as the transit
providing agency for the City of Detroit.
The 1974 charter revision also resulted in the consolidation of other municipal transportation-related functions,
resulting in the former Streets and Traffic Division being merged into the Transportation Department and becoming
the Planning and Engineering Division under the new Charter.
The 1974 charter, under Article 7, Chapter 14, Section 7-1402, also abolished the three membered Board of
Street Railway Commission, which had been the policy-making governing authority of the former DSR, while
under Article 5, Section 5-103, granted sole authority to supervise, manage and control the department to an
administrative head, or a "Director" of Transportation, appointed by the mayor. The Street Railway
Commissioners were replaced by a new Advisory Commission for Transportation, composed of at least five
members, also appointed by the mayor, but who were limited to only making recommendations (under the
guidelines of Article 7, Chapter 1, Section 7-103).
Since there didn't exist a dedicated local transit tax back then, earmarked to support public transportation in
southeastern Michigan, this new arrangement would now allow for the city to help subsidize the transit system until
a regional transit tax, and a proposed take-over by the then recently formed Southeastern Michigan
Transportation Authority (SEMTA), could be approved.
Unfortunately, after years of city and suburban fighting over this issue, it has now been over thirty years and no
regional take-over of the system has ever resulted, and a separate transit tax to support the Detroit system never
materialized. As a consequence, DDOT remains to this day just another revenue producing city department, and
largely subsidized by the city's general fund.
For better or for worse, D-DOT has continued for thirty-plus years providing transit services to Detroiters.
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