What UTA's proposed fare hike could mean for transit riders
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The Utah Transit Authority is considering a base fare hike that would bring the cost of a ride in line with New York City's.
Why it matters: It would be the transit agency's first fare hike since 2013 and could impact daily riders already facing cost-of-living challenges.
By the numbers: UTA is proposing a 20% increase, which would raise the base fare from $2.50 to $3.
- The fare change would apply to local buses, TRAX, FrontRunner and UTA on demand.
- In 2011, UTA approved increasing fares over two years, bringing them from $2 to $2.50 by 2013.
- New York City raised subway and bus fares from $2.90 to $3 in January.
What they're saying: "Our proposed base fare adjustment really reflects the overall rising costs," Gavin Gustafson, a spokesperson for UTA, tells Axios. "It's the cost of steel for rails. It's the cost of a new AC unit for a TRAX train. It's labor."
- The fare increase would help support reliable service and continued investment in the transit system, he adds.
- Fares make up about 4% of UTA's revenue. Gustafson says the hike would generate an additional $10 million a year in revenue for operating costs.
Driving the news: UTA leadership is weighing the proposal after a public comment period that ran from August through September.
- Gustafson says feedback has been mixed, with some riders understanding the need for the hike and others opposing it.
- "We're taking all the feedback into account right now," he says.
Yes, but: Gustafson says comparing UTA's base fare with those of other major cities, like New York City and Seattle, is an "apples to oranges" comparison.
- Other transit systems may rely on different revenue structures to fund operations, he notes.
- The majority of UTA's revenue comes from sales tax. The capital budget for expansion is largely supported by federal grants.
Between the lines: Legislation to make UTA fare-free has been proposed on Capitol Hill, but has gained minimal traction.
Reality check: UTA has not publicly provided an estimate of how much ridership would decline, but an industry rule of thumb suggests that for every 3% fare increase, ridership drops by about 1%.
The big picture: About 40 million passengers rode UTA's system last year, with the majority using bus and light rail services.
What's next: Gustafson expects a decision in early 2027.
- If approved, the fare change would take effect in April.