After dramatic losses of riders and operators during the pandemic, transit agencies around the country are supplementing operational costs with federal relief dollars.
Transit agencies nationwide are taking in less farebox revenue, with agencies recovering, on average, just 12.8 cents for every dollar they spent on operations in 2021, down from 32.3 cents in 2019.
According to an article in The Center Square by Elyse Apel, Tom Gantert, and Brett Rowland, “Once the pandemic hit, transit operational costs increased while passengers abandoned public transportation for various reasons – including fear of COVID-19, working from home and having some transportation shut down.” Many transit agencies also eliminated fares in an effort to assist low-income riders and encourage more people to use public transportation.
The federal government allocated $71.7 billion to transit in four Covid-19 relief packages. This was a significant shift from pre-pandemic years: in 2019, federal funding made up 7.1 percent of transit operating expenses. In 2021, federal dollars funded 36.2 percent of operations. “The National Transit Authority stated 852 transit agencies across the U.S. spent $13.1 billion in federal pandemic relief funds mostly on operational expenses in 2021, a 95% increase from the previous year.”
FULL STORY: As transit fares plummet, federal money increases 95%
Public Transit’s Existential Crisis
U.S. transit systems are still scrambling to find alternate funding sources and adjust their service to new needs as ridership remains below pre-pandemic levels.
Research Reveals Subsidized Transit Is More Efficient
Contrary to some arguments, public transit networks with higher government subsidies have higher ridership and more farebox revenue.
Maryland Could Cut Transit Funding, Citing Budget Gap
The governor says the state remains committed to its major transit projects, but may need to reduce service to meet a growing financial shortfall.
Depopulation Patterns Get Weird
A recent ranking of “declining” cities heavily features some of the most expensive cities in the country — including New York City and a half-dozen in the San Francisco Bay Area.
California Exodus: Population Drops Below 39 Million
Never mind the 40 million that demographers predicted the Golden State would reach by 2018. The state's population dipped below 39 million to 38.965 million last July, according to Census data released in March, the lowest since 2015.
Chicago to Turn High-Rise Offices into Housing
Four commercial buildings in the Chicago Loop have been approved for redevelopment into housing in a bid to revitalize the city’s downtown post-pandemic.
Google Maps Introduces New Transit, EV Features
It will now be easier to find electric car charging stations and transit options.
Ohio Lawmakers Propose Incentivizing Housing Production
A proposed bill would take a carrot approach to stimulating housing production through a grant program that would reward cities that implement pro-housing policies.
Chicago Awarded $2M Reconnecting Communities Grant
Community advocates say the city’s plan may not do enough to reverse the negative impacts of a major expressway.
City of Costa Mesa
Licking County
Barrett Planning Group LLC
HUD's Office of Policy Development and Research
Mpact Transit + Community
HUD's Office of Policy Development and Research
City of Universal City TX
ULI Northwest Arkansas
Town of Zionsville
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