Metro’s board of directors gave preliminary approval Thursday for the most expensive fare increase in the transit authority’s history, a move that if passed, is expected to generate about $109 million toward the agency’s $189 million budget shortfall.
Peak rail fares are slated to go from $1.65 to $1.95 and rail fares will increase about 18 percent overall. Fares for the Metrobus will go up 20 percent, from $1.25 to $1.50 for SmarTrip users and from $1.35 to $1.70 for cash customers.
During the “peak of the peak” hours – weekdays from 7:30 to 9 a.m. and from 4:30 to 6 p.m.- customers will see a maximum fare of $5.45, up from $4.50, for cash customers. SmarTrip users will see their maximum fare increase to $5.20.
While no service cuts will be made, the fare increases will affect riders across the system. In an interview with The Hatchet Friday Chairman of Metro’s Board of Directors Peter Benjamin said changes to the fare proposal are still possible before the final vote on June 24. If the board approves the final budget, increases in cost for rail, bus and other services will start June 27.
“It’s not a final approval,” he said of Thursday’s vote.
The new fares are an increase from the prices in place before a 10-cent surcharge was placed on all Metro fares at the end of February, which was expected to close the 2010 fiscal year budget gap.
The “peak-of-the-peak” 20-cent surcharge is expected to begin August 1.
Riders will also pay the highest fare from midnight until the system closes on Friday and Saturday nights.
Benjamin said with the fare changes, more people might be encouraged to avoid the crowds during rush hour and to use the system earlier or later than the peak times.
The board, he added, does not want to reduce service or raise fare, but there were only a couple options for Metro to make up the budget shortfall.
“Because of the recession a whole bunch of revenue we planned to get was not coming in,” he said. “Subsidy dollars available from jurisdictions that assist us just weren’t there.”
Originally Metro’s interim general manager, Richard Sarles, submitted a budget proposal to the board that included $8 million in service cuts to Metro. Thursday’s approval of fare increases did not include those cuts, however.
Benjamin said he hopes the fare increase will carry Metro through the next two years without further increases, but he said the worsening economy may make that impossible. While the increases are high, Benjamin said with past fare increases–typically occurring every other year– Metro has not seen a substantial loss of customers.
A full listing of the fare changes and parking fee rate changes can be found here.
