"AC Transit Bus Pass For Sale-$50," reads a Feb. 22 Craigslist post.

"UC Berkeley AC Transit bus pass for sale-$60," reads another.

The issue of fraud and illegal selling of the Class Pass-which permits unlimited bus rides for all registered students with a sticker affixed to their Cal 1 student IDs-is becoming a growing concern for campus and transit officials.

The Class Pass program is a joint service provided by AC Transit and the campus, and is paid for by mandatory student fees each semester.

Officials say selling and counterfeiting passes undermines the discount program and costs AC Transit when it is already facing declining revenue and high operational costs.

"They're committing a form of theft, basically," said UCPD Assistant Chief Mitch Celaya.

UCPD regularly peruses Craigslist for sellers and usually reports perpetrators to the Center for Student Conduct for disciplinary action, he said.

Since its inception in 1998, the program has been overwhelmingly approved by students in two referendums that supported the mandatory fee.

In 2006, nearly 80 percent of students voted to renew the program and raise the fee from $37.40 to its current rate of $58.50 per semester. That referendum will raise the fee to $69.50 in spring 2010, and then $80 in 2014 to cover costs of the campus-operated Bear Transit shuttle system.

The spring 2009 passes, valid from January to September, are selling on Craigslist for $50 to $80. If a non-student buys a class pass, he or she could make use of about eight months of free rides.

This would amount to $560 if the same person purchased eight months' worth of 31-day passes from AC Transit for $70 each.

AC Transit is still in the initial stages of investigating instances of abuse, so it is unknown how severe the loss may be or how the issue will be addressed, said AC Transit spokesperson Clarence Johnson.

The Class Pass is only valid with a student ID, so students often sell them to former students who still have their ID cards but are no longer registered, Craigslist sellers said.

One UC Berkeley student selling his pass on Craigslist, who was granted anonymity for fear of legal prosecution, said he got the idea to sell the pass after hearing that there was interest among graduates.

"I barely use the bus and I pay for it via my tuition anyway, so why not get the money back for something I don't use?" the student said. "I am not making any more than it's charged, so I think it's fair. I'm not making any profit. I need the money."

For buyers, purchasing a Class Pass illegally can be a significant money saver, officials said.

"If you do the math and you figure out how much for individual bus rides, and these are free bus rides, the cost benefit of buying them is valuable," said Nadesan Permaul, ASUC Auxiliary director and former director of the Parking and Transportation Department. "But it's wrong, and it undermines the Cal program."

AC Transit receives $1.3 million from the Class Pass program, compared to the $46 million it brings in from total fare revenue, Johnson said. About half of the class pass revenue goes solely toward AC Transit.

However, with a projected $57 million deficit for the 2010 fiscal year, the loss in revenue could have an impact.

"Any time any agency is being defrauded, it is an issue," Johnson said.

He said AC Transit is also concerned about students counterfeiting Class Pass stickers.

Students who lose their passes often copy other students' passes to avoid paying the $60 replacement fee, said Gloria Mensah, ASUC representative for the Class Pass advisory committee.

"We're losing money, yes," she said. "But then there are the students who don't have money. If they lose their passes, they're not going to buy a $60 pass."

AC Transit bus driver Anthony Jones said it is difficult to tell counterfeit passes apart.

"If they do make them, it sure looks good," he said.

Paul Gorelick, a student employee at Zee Zee Copy, said he often sees students make color copies of their Cal IDs.

"I wouldn't be surprised if they used them for Class Pass," he said.

The ASUC is brainstorming ways to curtail the growing problem, and plans on holding a town-hall meeting to address the issue of abuse, Mensah said. But she is doubtful about how much can be done.

"I think people are always going to find a way to get around it," she said.

Tags: AC TRANSIT, CLASS PASS PROGRAM, FRAUD