MTA Seeks Fare Hikes to Close Budget Gaps

Look out New York City commuters: the price of traveling in and around our city is going up across the board.

Crain’s New York reported this afternoon that the Metropolitan Transportation Authority released two specific proposals and will seek approval for a 4% increase in fares for bus and subway fares as well as bridge and tunnel tolls. The proposed increase will generate almost $235 million dollars for the public entity responsible for maintaining much of the transportation infrastructure in and around New York City.

The agency released two proposals, both of which have been floated in the press: Under one, the base fare would increase by 25 cents, to $2.75, but riders would get a bigger bonus—11% instead of 5%—when putting $5.50 or more on a MetroCard. Under the second, the base fare for single-ride tickets and pay-per-ride MetroCards would remain unchanged, but the 5% bonus for putting $5 or more on a MetroCard would be eliminated.

Under both proposals, the cost of a 30-day unlimited-ride MetroCard would increase by $4.50, to $116.50, and the cost of a seven-day card would go up $1, to $31.

“The MTA is keeping its promise to ensure fare and toll increases are as low as possible, and these options are designed to minimize their impact on our customers,” said MTA Chairman and CEO Thomas Prendergast in a statement.

The public does get a say in the proposed fare hike, the agency’s fourth increase in the past seven years. In December the MTA will hold a series of public hearings fare-hike proposals, then in January its board of trustees will vote on which proposal to adopt.

If approved, the new rates would take effect in March, 2015, but will do little to dent the MTA’s substantial annual and capital budget shortfalls. Crain’s said that the agency’s five-year, $32 billion capital plan will remain short $15 billion even if the proposed increase takes effect.