These cities are ending fares on transit. Here's why
What’s interesting about this article is what it leaves out. It cites experts who claim this is “diverts scarce resources from more pressing priorities: transit service and quality” yet that was far from the case in one of the cities cited in the introduction.
In Olympia, Washington, the city was needing to replace their fare-collection boxes. Fares accounted for 2% of the total transportation budget in Olympia, and when compared to the cost of installing and maintaining the fare-collectors, city officials realized they would only be breaking even. Why even collect fares if you end up with no gain? Is it really “diverting money” when the high cost of implementing the tools to collect fares costs as much or more than you will gain from fares?
Local Olympia Newspaper on Olympia dropping fares in 2019: www.theolympian.com/news/…/article237257744.html
Those fares net less than 2 percent of IT’s operating revenue. Meanwhile, IT’s fare collection boxes need to be replaced. The agency says it looked at switching to a card-based payment system but most cost at least $1 million to introduce.
It would cost about that for IT to start using ORCA, the payment system used on buses in King and Pierce counties and elsewhere in the region.
“It basically is a wash in terms of what we collect and what we would have to pay for the capital investment and for the operational investment to collect money. Because it costs a lot of money to collect money,” said Ann Freeman-Manzanares, IT’s general manager. “And if at the end it’s pretty much a wash, why are we doing it when we have all these incredible benefits to gain?”
Those include a potential increase in ridership, speeding up service, and attracting businesses to the area with the promise of “free” transit.
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