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City staff: Put brakes on bus fare increase

JANESVILLE — Janesville city staff recommends the city council delay a scheduled bus fare increase.

The 25-cent increase would disproportionately hurt low-income people who depend on the bus during these tough economic times, according to a memo from Jennifer Petruzzello, neighborhood services director.

The basic fare is $1.25, and a 25-cent increase was scheduled for July 1. Other fares would have increased proportionately.

"Given the current economic conditions, the department is sympathetic to the financial needs of our riders, many of whom live at or below the poverty line," Petruzzello wrote in a memo.

Eliminating the increase is the most equitable means to address their needs, she said.

The estimated revenue loss of $10,000 could be made in other ways, such as reducing spending. Diesel fuel likely will cost less than budgeted.

Staff suggests the council review a possible increase in October.

Council President Amy Loasching and residents Tim Cullen and Larry Barton requested the review of the impending fare increase.

They suggested the city provide charitable organizations a reduced bus token price of 35 cents rather than the current $1. Charitable organizations buy bus tokens at a 20 percent discount—10 tokens for $10—a rate available to everybody.

That is recommended by the administration only if the number of tokens available is capped. Staff said it would be hard to decide who should get the discount; requests could easily exceed availability, and the new program would create more work for staff.

The department also wouldn't have to spend money advertising the increase and reprinting materials.

About 13 percent of transit revenue comes from passenger fares.

Federal, state and city tax dollars cover 75 to 80 percent of the cost of a bus ride. The city's general fund subsidy to the bus service in 2009 is $718,000.

A majority of bus riders in Janesville are "transit dependent," which includes low-income people without vehicles, people without licenses and disabled people unable to drive, according to the memo.

In 2005—the latest survey taken—42 percent of bus riders had family incomes under $10,000 and 85 percent had incomes under $35,000.