John Petro
Rochester and Milwaukee: Riding the Bus to Fare Cuts
The NY Times had an article yesterday detailing the Rochester Transit Miracle: reducing fares and racking up a surplus in the city’s transit budget for the third straight year!
But read on and you start to see that this miracle is a little less miraculous. It seems the transit agency receives more than half of its $62 million budget in state aid. In addition, the agency is able to secure funds from local businesses, colleges, and the public schools system in return for service. Rochester’s transit agency receives more than twice the normal fare for every student that rides the system to school.
Now, I'm not saying that the state should not support transit agencies. I think we need more state and federal support (here's to hoping that this bill gets through the Senate). If anything, Rochester's example shows that a well-funded transit system can increase ridership and improve efficiency. It's just that most local transit agencies aren’t so lucky. They’re facing budget shortfalls and are considering raising fares and cutting service. Not Milwaukee.
The Milwaukee County Transit System, faced with dwindling ridership and service cuts, received this piece of advice: cut fares and increase service. It may seem counterintuitive to increase spending and decrease revenues, but the agency hopes that they can increase ridership and therefore boost the vitality of the system.
Ridership in Milwaukee has decreased since the transit agency cut service and increased fares in 2000. Thomas Rubin, who recommended the measures in a study for Milwaukee’s transit system (see page 3), estimates that ridership could double in five years if they restore the cut service and lower fares.
These changes would require an additional revenue source, and the county is contemplating a sales tax increase.
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Posted at 2:31 PM, Sep 16, 2008 in
Transporation | Urban Affairs
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