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WMATA FY25 Budget - Fare Increase; Moderate Service Reduction


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#11 CNJRoss

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Posted 12 December 2023 - 09:37 AM

WTOP-FM, Washington, DC 12/12/23

 
Proposed Metro changes would cut stations, bus routes, jobs — and raise fares

 

Millions of Metro riders could see a system with fewer Metro stations and bus routes, longer wait times, and much higher fares, with a massive reduction in service inside Metro General Manager and CEO Randy Clarke’s proposed budget for the next fiscal year.

 

Clarke said the budget contains a “a level of cuts that is hard to imagine.”

 

Clarke said due to lower usage after the pandemic, COVID-19 credits to jurisdictions that use and help fund the system and an increase in inflation, the agency has amassed a $750 million deficit. That amounts to a gap that can’t be filled with just light belt tightening, so drastic measures, including layoffs, would need to be taken, Clarke said.

 

 

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#12 CNJRoss

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Posted 13 December 2023 - 02:08 PM

dcist, 12/12/23

 
Station Closures, Fare Hikes, Layoffs: Metro’s Budget Proposal Outlines Alarming Cuts

 

Metro proposed a budget Tuesday with service cuts officials say would make the transit system “unrecognizable” and have a devastating economic impact on the region.  On the table are across-the-board service cuts, including the closure of 10 Metro stations, earlier station closing times, the elimination of nearly half of all current Metrobus routes, fare hikes, layoffs, and salary and hiring freezes.

 

Metro officials have been sounding the alarm about a looming $750 million budget shortfall and a resulting “transit death spiral” for months, but this is the first budget proposal detailing what a worst case scenario would actually look like.

 

WMATA officials have been calling on regional leaders to address the financial shortfall for the 2025 fiscal year with increased subsidies (the transit agency does not have dedicated funding, and depends on contributions from D.C., Maryland, and Virginia, as well as fare revenue and federal money). Metro now says it is aiming to secure an additional $665 million in subsidies from D.C., Maryland, and Virginia, which represents a 40%-56% increase over previous years.

 

 

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#13 CNJRoss

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Posted 14 December 2023 - 05:16 PM

WMATA press release

 
For immediate release: December 14, 2023
  Facing massive budget shortfall, Metro releases budget proposal that slashes service and increases fares

 

 

Metro this week released a proposed budget for its next fiscal year that, without additional contributions from Metro’s funding partners, would necessitate fare increases and drastic cuts to service and to Metro’s workforce, a worst-case scenario for the region’s economy, quality of life, and environment.

 
Metro faces a $750 million funding gap for Fiscal Year 2025, which begins July 1, 2024. The budget gap is a result of several factors, including lower ridership revenue that is still recovering from the pandemic, the depletion of federal pandemic relief funds, a subsidy credit provided to jurisdictions in 2020, and historic inflation.

 

Metro is unique among transit agencies in the United States in that it was structured without any independent funding and is legally required to pass a balanced budget every year. Despite an exhaustive effort to find internal savings, including $95 million in one-time savings carried over from FY24, $50 million in recurring annual savings and efficiencies, and a hiring and salary freeze, closing a gap of this size to pass a legally-required balanced budget requires drastically reducing rail, bus, and paratransit service, increasing fares, slashing Metro’s workforce, and deferring maintenance and modernization projects, ultimately making the system less safe and reliable. 

 

“Metro is facing an unprecedented, existential crisis that requires our region to rally together if we want to avoid the catastrophic impacts this budget would have on our region,” said Metro General Manager and CEO Randy Clarke. “I’m so proud of Metro and our dedicated workforce that has helped deliver over a dozen recent service improvements and are providing great service for our region all day, seven days a week. We are doing everything in our power to avoid the doomsday scenario outlined in this budget proposal, but we must also be transparent and honest about how devastating these cuts would be if additional funding isn’t secured.” 

 

Beginning in January, Metro will implement a hiring freeze, eliminate wage and salary increases, and issue legally required layoff notices to portions of its workforce alerting them to the potential of layoffs next summer if additional funding is not provided. Due to workforce attrition, customers could see degraded service as early as late winter or early spring. 

 

Other proposals include:

 

Service

 

Metrorail

  • System closure at 10 p.m., seven days a week 
  • Close 10 low-ridership stations 
  • Red Line turn-backs at Grosvenor-Strathmore and Silver Spring stations, reducing train frequencies for end-of-line stations
  • Silver Line turn-back at Stadium-Armory with Silver Line service between Ashburn and Stadium-Armory only, reducing train frequencies to Downtown Largo
  • Decreased service on all Metrorail lines: Reduce the number of trips with 6 minutes or better service from 81 percent in FY24 to 10 percent in FY25FY25-rail-graphic.JPG

 

Metrobus

  • Eliminate service on 67 of 135 Metrobus routes 
  • Reduce Metrobus service on 41 of the remaining Metrobus routes 

 

MetroAccess

  • Service area reduced to align with reduced Metrobus and Metrorail service area, in accordance with federal law 
  • 320,000 annual trips negatively impacted

 

Fares

  • Increase all fares by 20 percent, including Metrorail, Metrobus, MetroAccess, and discounted fare products
  • Customers pay more for much-degraded service 

 

Capital Budget 

Metro’s robust capital improvement program in recent years has improved customer experience and satisfaction across the board, with less frequent infrastructure-related service disruptions, much-improved escalator availability, and modernized stations and customer amenities. 

 

However, Metro is reluctantly proposing to use $193 million more in capital funding to cover operating maintenance expenses to help close the large gap in FY25. This shift is necessary for Metro to be able to provide even the much-reduced service levels proposed in FY25. Such a large transfer of capital funds to operating expenses puts the system’s state of good repair, including safety and reliability, at risk, and threatens to delay, defer, decrease, or cancel several long-term projects to modernize the system, including: 

  • Regular corrective maintenance
  • New railcar maintenance and overhaul facility 
  • 8000-series railcar purchase options and ability to retire oldest, least reliable railcars
  • Better Bus initiative, including goal to transition to 100 percent zero emission buses by 2042

 

Degraded customer experience 

 

The combined effect of service cuts, fare increases, layoffs, and reduced capital spending on infrastructure would lead to a much-degraded customer experience. Impacts would include: 

  • Decreased safety and security due to reduced Metro Transit Police presence, longer police response times, weakened cybersecurity, and other risks
  • Dirtier trains, buses, and stations, and reduced ability to deliver real-time trip information 
  • Reduced reliability across the board, from trains and buses to escalators and elevators 

 

Public Input 

 

Between now and February, Metro staff and the Board of Directors will finalize a budget proposal for the public’s input and comments. Check wmata.com/budget for FAQs and updates on the launch of a public comment period. 

 

 



#14 CNJRoss

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Posted 19 December 2023 - 01:08 PM

Progressive Railroading, 12/19/23

 
WMATA: FY25 shortfall prompts plan for 'drastic' service, job cuts

 

 

The Washington Metropolitan Area Transit Authority (WMATA) last week released its proposed budget for the next fiscal year that, without additional contributions from its funding partners, would necessitate fare increases and drastic service and workforce cuts, agency officials say.

 

WMATA faces a $750 million funding gap for fiscal-year 2025, which begins July 1, 2024. The budget gap is a result of several factors, including lower ridership revenue that is still recovering from the pandemic, the depletion of federal pandemic relief funds, a subsidy credit provided to jurisdictions in 2020 and historic inflation, WMATA officials said in a news release.

 

WMATA is unique among U.S. transit agencies because it's structured without any independent funding and is legally required to pass a balanced budget every year.

 

 

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#15 CNJRoss

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Posted 19 December 2023 - 01:35 PM

FFX Now, Fairfax County, VA 12/18/23

 
N. Va. officials search for path to save Metro from ‘catastrophic’ budget cuts

 

Local and state officials in Virginia say the path to dig Metro out of its looming $750 million deficit is uncertain — but action is necessary to avoid the significant service cuts, systemwide fare hikes, layoffs and station closures laid out in the transit agency’s newly proposed budget.

 

Leaders in Fairfax County — which already faces lean economic times — say they don’t plan to offer up additional funds unless jurisdictional and federal partners can throw some more skin into the game.

 

“What we have said is there’s absolutely no way that local governments can bear the responsibility of that entire bill,” Fairfax County Board of Supervisors Chairman Jeff McKay told FFXnow in an interview before the Washington Metropolitan Area Transit Authority released its official budget proposal.

 

 

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#16 CNJRoss

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Posted 14 January 2024 - 03:54 PM

WJLA-TV (7News On Your Side), Washington, DC 1/12/24

 
Metro considers 25% increase in rail and bus fares, extending weekend hours

 

WASHINGTON (7News) — Members of Metro’s board of directors voted Thursday to consider a 25% increase on Metrobus, Metrorail, and MetroAccess fares starting this summer. If the fare increase is enacted, riders would pay as high as $7.50 for one trip on Metrorail starting July 1.

 

Tracy Hadden Loh, who represents D.C. on the Metro board, introduced the proposal for a 25% increase and said it could help stave off potential cuts elsewhere.

 

“A theme that has consistently emerged is that in our own passenger surveys, and in the industry as a whole, [is that] we generally aren’t hearing passengers ask for lower fares, we’re hearing them ask for frequent, reliable service,” Hadden Loh said.

 

 

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#17 CNJRoss

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Posted 05 February 2024 - 03:19 PM

WJLA-TV (ABC7), Washington, DC, 2/5/24

 
Metro's new budget avoids major service cuts, but still proposes fare increase

 

WASHINGTON, D.C. (7News) — Metro put forward a revised budget proposal Monday morning for the fiscal year beginning this summer that no longer includes huge cuts to service that had previously been proposed but does include more modest cuts and a fare hike that would have some riders paying as much as $6.75 a trip.

 

Metro leaders said proposals for large funding increases that are currently moving through legislative bodies in D.C., Maryland, and Virginia will -- if they are ultimately passed -- help the transit agency avoid massive cuts to bus and rail service that were proposed last year.

 

But although DMV governments are proposing large increases, the numbers are not quite as high as Metro said would be needed to avoid any cuts or price hikes. The revised budget proposes a 12.5% fare increase that would affect all riders.

 

 

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#18 CNJRoss

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Posted 05 February 2024 - 04:18 PM

WLS-TV (NBC4), Washington, DC 2/5/24

 
Metro considers fare hike as it grapples with budget shortfall

 

The Washington Metropolitan Area Transit Authority said that massive cuts were avoided after D.C., Maryland and Virginia offered cash. But Metro’s still looking to fill a budget gap

 

Metro said it’s considering raising fares this summer but is no longer looking at slashing transit service after D.C., Maryland and Virginia offered hundreds of millions of dollars to help the transit system fill a budget shortfall.

 

SNIP

 

However, at a media briefing on Monday, Metro officials said that fares would go up by 12.5% in July 2024 if Clarke’s new budget is approved. The proposed fare increase would impact Metrobus, Metrorail, and MetroAccess.

 

Metro would also start running shorter trains more often, meaning riders would see more trains with six cars instead of eight.

 

 

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#19 CNJRoss

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Posted 12 February 2024 - 09:54 PM

WMATA news release

 
For immediate release: February 12, 2024
  Metro asks for public input on FY25 Budget including service cuts and fare hikes as funding conversations continue

 

 

Facing an unprecedented $750 million budget shortfall in the coming year, Metro is asking the public to provide feedback on the proposed Fiscal Year 2025 (FY25) Budget which includes drastic service cuts, fare increases, layoffs, and other severe cost cutting measures.

 

The $4.5 billion capital and operating budget proposal provides a worst-case scenario; however, Metro’s funding partners are currently working through legislation that may reduce some of the most detrimental fare and service changes proposed.

 

The public is encouraged to review the proposed FY25 budget and provide comments through our online survey tool, or by attending an in-person or virtual public hearing. All comments should be submitted no later than Tuesday, March 5, at 5 p.m.

 

The budget shortfall is the result of several factors, including the end of federal pandemic relief funds, historic inflation pushing costs up, and slower than expected ridership recovery. Metro has taken steps to close the funding gap by reducing administrative costs, using capital funds to cover operating maintenance expenses, and decreasing fare evasion.

 

These steps alone are not enough. Metro is legally required to present a balanced budget each year, and the FY25 budget proposals reflect the significant cuts that would be needed if our local, state, and federal partners are unable to supply the necessary funding.

 

Metro has released a revised FY25 proposed Budget based on public funding commitments that keeps operating spending flat with Fiscal Year 2024 and minimizes service changes. Pending this funding, the FY25 Budget proposal would severely limit service and increase costs for customers. These include:

 

Fares

  • Up to 25 percent fare increase
  • 20 percent parking rate increase

 

Metrobus

  • Eliminate service on 83 of 184 routes
  • Reduce service on 51 of 184 routes
  • Shorten routes with rail service

 

Metrorail

  • Close 10 lower ridership stations
  • Turn back every other Red Line train at Grosvenor-Strathmore and Silver Spring
  • Turn back Silver Line trains at Stadium-Armory
  • Decrease service on all lines – weekdays every 15 minutes, weekends every 20 minutes
  • Decrease Hours of operation: Close the rail system at 10pm; or
  • Keep existing rail system hours and open earlier and close later weekends: open at 6am on Saturdays and Sundays, close at 2am on Fridays and Saturdays

 

MetroAccess

  • Reduced service area due to a reduction in fixed route bus service
  • Approximately 20 percent of MetroAccess trips would no longer be served

 

How to provide feedback

 

Take the Survey

Take the survey and upload documents, letters, and written comments 

 

Public Hearings

Metro will host three in-person and one virtual public hearing. Information about the FY25 Proposed Budget will be available during a "Your Metro" Open House along with staff to answer your questions. The Open House will begin one hour prior to the start of the hearing. 

 

If you're interested in providing in-person testimony at a hearing, pre-registration is strongly encouraged, but not required. Email speak@wmata.com or call 202-962-2511 by 12 p.m. the day of the hearing.

 

Monday, Feb. 26
Open House at 5 p.m. and Public Hearing begins at 6 p.m.

 
Silver Spring Civic Building at Veterans' Plaza 
1 Veterans Pl 
Silver Spring, MD 

 

Nearest rail station: Red Line Silver Spring Station

 

Bus routes: Metrobus Z6, Z8; Ride On 9, 12, 15, and Flash 

 

Tuesday, Feb. 27 at 6 p.m.
Open House at 5 p.m. and Public Hearing begins at 6 p.m.

 

Metro L'Enfant Plaza HQ 
300 7th Street SW 
Washington, DC 

 

Nearest rail station: Blue, Orange, Silver, Green, Yellow lines (L’Enfant Plaza) 

 

Bus routes: Metrobus 32, 36, 52, P6, DC Circulator 

 

Wednesday, Feb. 28 at 6 p.m. 
Open House at 5 p.m. and Public Hearing begins at 6 p.m. 

 

Arlington County Board Room 
Ellen M. Bozman Government Center 
2100 Clarendon Blvd., Ste. #307 
Arlington, VA 

 

Nearest rail station: Orange, Silver lines (Court House) 

 

Bus routes: Metrobus 4B, 38B, ART Bus 41, 77 

 

Thursday, Feb. 29, at 12 p.m.

Virtual only (via telephone or video) on Microsoft Teams*.

 

To provide video testimony, pre-register by emailing your name and organizational affiliation, if any, to speak@wmata.com or calling 202-962-2511 by 5 p.m. the day before the hearing. 

 

To take part by phone, call 206-899-2028 during the hearing and enter meeting code 164 729 013. No advance registration available.  

 

*You do not need to download Teams or have a Microsoft account to join the meetings. 

 

Watch the Public Hearings Live

 

You can watch the Public Hearings live on our YouTube channel.

 

Accommodations

 

Public participation is solicited without regard to race, color, national origin, age, gender, religion, disability, or family status. To request special accommodations under the Americans with Disabilities Act, ASL or other language interpretation services (free of charge), contact the Office of the Board Secretary at 202-962-2511 (TTY: 202-962-2033) or send a message to speak@wmata.com as soon as possible, so Metro can make the necessary arrangements before the public hearing date.

 

For additional information and to view the full public docket go to wmata.com/budget.

 

 



#20 CNJRoss

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Posted 25 February 2024 - 07:47 PM

WTOP-FM, 2/20/24

 
Wrangling in Virginia leaves local funding for Metro stalled — not derailed

 

Metro funding is absent from the Virginia Senate’s budget plan, but the leader of a Washington regional government group is “confident the bills will be paid” and that Metro can “move forward.”

 

Clark Mercer, executive director of the Metropolitan Washington Council of Governments, explained that Virginia’s contribution to Metro would total $130 million — $65 million from localities and $65 million from the Commonwealth.

 

Mercer said the fact that funding for Metro is in the House budget version shows that Virginia’s contribution toward the transit system is “clearly a priority,” but that in the Virginia General Assembly the funding discussion is part of a process that includes “a series of negotiations.”

 

 

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