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The purpose of this paper is to document the development of the Southern California Rapid Transit District's (SCRTD) Methanol Demonstration Project and the integration of methanol buses into the existing diesel bus fleet. On June 12, 1989 the first three of thirty neat methanol powered transit buses entered revenue service in Los Angeles. In December 1990 the 30 bus demonstration project logged its one millionth mile. From an operational standpoint, particular emphasis has been placed on the development of methanol subsystem components and related equipment. In addition this paper will cover methanol fueling facilities, safety requirements, and the future development necessary to integrate this alternate fuel technology into everyday operations at the SCRTD. Additionally, the development of safety and training programs must parallel the development of the technology.