Fare-Free Public Transit Could Be Headed to a City Near You

The time has come to stop making people pay to take public transit.

Why do we have any barriers to using buses and urban trains? The threat of global warming is no longer in doubt. The hue and cry of the traffic-jammed driver grows louder every commute. And politicians are getting the message. San Francisco Mayor Gavin Newsom has ordered his staff to seriously examine the costs of charging people to ride public transit. And Michael Bloomberg, mayor of New York, recently voiced to a reporter his top dream: "I would have mass transit be given away for nothing and charge an awful lot for bringing an automobile into the city."

Consider this sampling of communities providing free rides on trolleys, buses, trams and ferries: Staten Island, N.Y.; Island County, Wash.; Chapel Hill, N.C.; Vail, Colo.; Logan and Cache Valley, Utah; Clemson, S.C.; Commerce, Calif.; Châteauroux, Vitré, and Compiègne, France; Hasselt, Belgium; Lubben, Germany; Mariehamn, Finland; Nova Gorica, Slovenia; Türi, Estonia; and Övertorneå, Sweden.

Or speak, as I have, with transit officials in parts of Belgium and the state of Washington, where fare-free transit has hummed along smoothly now for years.

Raising fares kills ridership

As even conservatives like California Gov. Arnold Schwarzenegger trumpet a green agenda, more people are taking a hard look at just how many of their tax dollars subsidize the private car versus less polluting buses and trains. You have to figure in roads, parking and other infrastructure, tax breaks for car and fuel companies, as well as subsidies for car-carrying ferries and federal income tax reductions and write-offs for companies that use motor vehicles.

By some estimates, the government subsidy to each private vehicle owner is about $3,700, while a common cost for providing a single trip by transit is about $5.

Yet big or small, most transit systems are scraping by or on the brink of financial collapse, paradoxically because of their reliance on the farebox. Revenue for any system drops when ridership dips or when fares are increased. Yes, when fares are increased. This is so well proven it has a name: the Simpson-Curtain rule. Most often the dip in ridership is caused by a fare hike.

To understand this cycle better, let's imagine that you are in charge of a transit system. You feel pressure to increase service or to maintain service despite increasing costs. You need to raise more money. Politically and practically, for most systems, the easiest way is to raise fares. But soon after, ridership goes down. It drops 3.8 percent for every 10 percent increase in fares, researchers have found. Which means you either haven't gained much new revenue, or worse, you've started spiraling downward.

Just one example is Toronto's transit system, which went into a 12-year downward spiral throughout the 1990s after a series of fare increases and resultant service cutbacks. The authoritative Transit Cooperative Research Program in Washington, D.C., has clearly documented how fare increases always result in lower ridership.

Fare-free success stories

Recently I met the people who run Island Transit in Whidbey Island, Wash., and rode their fare-free bus system. It's a serious operation with 56 buses and 101 vans. Ridership tops a million a year. Its operating budget is $8,392,677 -- none of it from fares, all from a 0.6 percent sales tax collected in Island County.

Despite the pressure to conform, the pressure to make users pay and the pressure from conservative politicians at all levels, Island Transit has been fare-free from day one and is proudly so 20 years later. Not one Island Transit bus, shelter or van has advertising on it. All of Island Transit's buses are bike rack equipped and wheelchair accessible. For folks with disabilities, Island Transit also offers a paratransit service with door-to-door service.