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BART Fares to Go up January 2004

Business Wire, Dec 12, 2003

News Editors/Travel Writers

OAKLAND, Calif.--(BUSINESS WIRE)--Dec. 12, 2003

Effective, Thursday, January 1, 2004, BART fares will increase by 10 percent, according to BART officials who want to remind riders of the change.

According to BART Board President Pete Snyder, this is the second increase in the transit system's fares in eight years. The last increase was in January 2003 for five percent. Previous fare increases in the mid-1990s were dedicated to helping fund BART's $1.2 billion system-wide renovation program. That program included rebuilding the transit system's original fleet of 439 transit cars, replacement and/or rebuilding of 120 escalators, the overhaul of 60 elevators, improvements to the storage yard, and maintenance shops to increase transit car availability for service each morning, and all new fare vending equipment and fare gates.

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Snyder said that the 2003 and 2004 increases, while still lower than the inflation rate for the same eight-year time period, were necessary to make up significant operating deficits the transit system faces, and avoid reductions in service.

"Costs have been going up while revenue was going down," he said. "Major increases have been seen in both health care and energy costs."

Snyder said the deficits were primarily due to the downturn in the economy over the past three years, which has had a negative impact on BART's two major sources of income, reduced farebox revenue, (as a result of a decline in ridership) and less than anticipated sales tax receipts in the three BART counties, of which BART receives 75 percent of 1/2 percent.

When the fiscal-year-2004 budget was adopted last May, BART was facing a $38.8 million deficit. Through aggressive cost controls, which saved $15.2 million, and the elimination of 126 positions combined with the 10 percent fare increase scheduled for January 2004, BART was able to bring the budget in line with resources and maintain existing levels and quality of service.

BART General Manager Thomas Margro noted that the transit system's almost completed $1.2 billion renovation program has contributed to the savings the system has managed to achieve through reduced need for maintenance.

With the 10 percent increase, the minimum fare will increase from $1.15 to $1.25, which is closer to the cash fares of other Bay Area operators such as A.C. Transit ($1.50), San Francisco Muni, ($1.25), and SamTrans ($1.25). BART's high value tickets will continue to be purchased at a $6.25 percent discount through Tickets To Go vendor, located around the region. A brochure listing the vendors and their locations may be obtained at all BART stations. Seniors, People with disabilities, and children 5-12 will continue to receive a 75 percent discount. Children up through the age of four ride free.

Business Services Industry

BART Fares to Go up January 2004

Business Wire, Dec 12, 2003

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