Transit Agencies Adjusting to New Realities

As transit ridership remains tepid around the country, transit agencies are looking to diversify their funding sources and become less reliant on farebox revenue.

1 minute read

June 21, 2022, 7:00 AM PDT

By Diana Ionescu @aworkoffiction


Farebox

Oran Viriyincy / Flickr

While transit agencies are bending over backwards to bring back passengers, they may have to accept that the post-pandemic future could mean fewer daily riders, writes Skylar Woodhouse in Bloomberg. Despite numerous efforts to reduce or eliminate fares, ridership continues to lag in most cities.

Jim Aloisi, a professor in transportation policy and planning at Massachusetts Institute of Technology, says “The problem is structural and it has to do with how agencies have relied too heavily on fare revenue.” According to Woodhouse, “Unless the government steps in or new sources of revenue are found, many agencies may be left with two choices. They can either cut service or raise fares, neither of which will help to bring riders back.” Bob Powers, head of Bay Area Rapid Transit, is calling for his agency to “to be funded more like an essential service, with less reliance on fare revenue.”

As Woodhouse notes, “The outlook appears grim but not all transit authorities are prepared to accept current ridership levels as permanent, especially with rising gas prices and increasing focus on sustainable transportation modes.”

“Nationwide, a key part in boosting ridership will be to increase service and eliminate delays,” but doing so will require new sources of funding and a model less heavily reliant on ridership revenue.

Thursday, June 16, 2022 in Bloomberg

Young Professional

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban and Environmental Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban and Environmental Planner

Get top-rated, practical training for planners

"Planetizen federal action tracker" logo superimposed over black and white image of US Capitol dome.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

October 28, 2026 - Zachary Whalen

A car drives through a puddle, making a large splash. Rain pours down.

California plans to bury El Niño’s downpour

If the state plays its cards right, it may be able to store a billion acre-feet of El Niño’s water in aquifers.

October 28, 2026 - Grist

A pencil rendering of Foundry Park, which shows skyscrapers and public green spaces.

Chicago breaks ground on $3 billion megadevelopment

The new neighborhood, titled Foundry Park, will one day host 3,700 residences.

October 23, 2026 - Chicago Sun Times

A rendering of a high speed rain station in California, with wide platforms and a sleep train with yellow highlights.

California High-Speed Rail Authority CEO resigns after $600,000 scandal

Under Ian Choudri, the authority used taxpayer dollars to fund first class flights and trips to nightclubs.

October 30 - Cal Matters

 A bridge stretches across the Missouri River at Chamberlain, South Dakota.

Want to study the Missouri River? Soon, you may need unanimous approval from 10 states

Legislation would require 10 governors’ permission to study or build projects moving water outside the basin.

October 30 - South Dakota Searchlight

Lake Powell with much of the water evaporated.

Desperate measures: Advocates weigh draining Lake Powell to fill Colorado River

Draining the reservoir could reduce evaporation losses by a couple hundred thousand acre-feet.

October 30 - Yale Environment 360