Rising Fuel Costs and Ridership Strain Local Transit Systems Nationwide

syracuse_bus_stop.jpg
Waiting for the bus in Syracuse, NY.

Transit agencies all over the country are nearing a state of emergency. At the same time that rising gas prices are leading more Americans to opt for buses and trains, transit operators are being forced to cut service and raise fares due to budget shortfalls.

In Minneapolis, the
local transit agency is pondering not one but two fare hikes. Seattle’s Metro is considering bumping up fares for the second time this year to stave off service cuts. Gainesville, Florida is confronting a double whammy of higher fares and reduced bus service. In western Massachusetts, one county transit authority faces what its manager calls a "make or break" moment, as many locals try riding the bus for the first time and evaluate their options.

As the Wall Street Journal reported last month (preview only), much of this is due to the impact of higher fuel costs on transit budgets. The upshot? The capacity of many transit systems, particularly in smaller cities, is shrinking just when more service is needed most. People looking to save money and travel more energy-efficiently are being penalized in the process.

"This is an emergency," says Larry Hanley, an International Vice President at Amalgamated Transit Union who negotiates transit worker contracts in towns and cities throughout the Northeast. "Particularly in smaller cities where the transit systems don’t have any cushion or margin for increased operating costs."

Nationwide, 48 percent of bus operators and 69 percent of rail
operators have already raised fares due to increased fuel and
electricity costs, according to a survey
released in May by the American Public Transit Association. In terms of
service cuts, the figures are 21 percent and 19 percent, respectively.

Working with Minnesota Congressman Jim Oberstar and environmental organizations, the ATU was instrumental in pushing the "Saving Energy Through Public Transportation Act of 2008" through the U.S. House of Representatives earlier this year (download the bill). The legislation provides emergency federal aid for transit systems and promotes the use of alternative fuels. No Senate version of the bill has emerged, but Hanley, a former Staten Island bus driver, remains optimistic. "This legislation moved quickly through the House because members of Congress recognize that this is a crisis." 

Hanley believes the benefits of federal support for mass transit are wide-ranging and more effective than alternatives currently being discussed. "Congress can cut a ‘fiscal stimulus’ check so Americans can go to Wal-Mart and buy products made in China or we can ‘Drill, Drill, Drill,’ for six months-worth of oil," Hanley said. But, if the federal government really wants "to stimulate local economies, help the
environment and strengthen national defense by reducing oil dependence, it’s hard to find a better
public investment than mass transit." If the Senate fails to act on the Oberstar bill, a second opportunity to provide funds may come in the fall, if Congress decides to pursue another economic stimulus package.

Meanwhile, stories of transit systems in distress can be found all over the nation, from Utah to Wisconsin to South Carolina. Either each agency will scrimp and make do as best they can, making life more difficult for countless riders and keeping yet more Americans from switching to bus and rail, or Congress and the President will take a real step toward addressing the gas price crunch by shoring up the nation’s transit systems. What’s it gonna be?

Photo: danifink/Flickr

ALSO ON STREETSBLOG

National Transit Union Proposes a Smart Fuel Subsidy

|
Tired of hearing about gas tax holidays, bridge toll suspensions, and rebates for drivers? Here’s a policy proposal that will actually improve commutes, not just encourage trips by car: subsidizing fuel for transit systems. As the Wall Street Journal reported earlier this week, rising diesel prices are hitting transit agencies hard (preview only), leading to […]

New Survey: 84% of Transit Agencies Facing Fare Hikes, Service Cuts

|
Budget shortfalls exacerbated by the lingering recession have forced 84 percent of local transit agencies to hike fares, cut service, or begin considering one or both of those options since the beginning of 2009, according to a report released today by the American Public Transportation Association (APTA). (Chart: APTA) APTA’s bleak survey reflects data from […]

Doomsday Across America

|
Following up on Sarah’s post about transit funding woes in Illinois, this CNN segment from earlier in the month brings home the effect of service cuts and fare hikes in St. Louis. Similar scenarios are playing out all over the country. According to the latest tally from Transportation for America, 85 transit systems serving 22 […]

Hillary Clinton Introduces Senate Version of Transit Relief Bill

|
Transit operators struggling to keep pace with demand as rising fuel costs strain their budgets received some welcome news on Friday. New York’s junior senator has introduced a version of the Saving Energy Through Public Transportation Act. The bill, which would provide $1.7 billion for local transit agencies over the next two years (including $237 […]

Eight Senate Dems Offer $2B Plan for Emergency Transit Operating Aid

|
Transit agencies forced to raise fares or cut service to close budget gaps would be eligible for $2 billion in emergency operating funds under legislation unveiled today by Senate Banking Committee Chairman Chris Dodd (D-CT) and seven other Democratic senators, including two members of the party’s leadership. Sens. Chris Dodd (D-CT), left, Charles Schumer (D-NY), […]