Transit agencies struggle financially

Gas prices, state woes main factors

The agencies that run local trolleys, buses and commuter trains are scrambling to absorb the latest cuts in state operating money.

Riders can expect service cuts and fare increases or adjustments starting within a few months, in light of the state budget mess in Sacramento.

“The tenor up there right now with respect to the budget is very grim,” said Paul Jablonski, chief executive officer with the Metropolitan Transit System. “That's an understatement.”

MTS and the North County Transit District are also getting pinched on the fuel front. Spiking diesel, compressed natural gas and gasoline prices are cutting into operating funds.

Together, the agencies operate more than 120 bus routes, carrying 62 million passengers annually. MTS also runs the San Diego trolley; NCTD operates the Coaster and Sprinter rail lines.

MTS officials estimate that every one-cent uptick in the price of gas costs them an added $9,000 over a year. The agency's annual energy costs are up 7 percent.

The agency raised bus fares and ended free transfers in January to help deal with a $9.2 million shortfall in state funding.

MTS is now bracing for an additional $6.5 million in state cuts, the third round of operating reductions since the start of 2007. The cuts are tied to a decline in state tax receipts and a move in Sacramento to shift voter-approved mass transit funds into non-transit programs.

To bridge the funding gap, the agency may cut staff, reduce weekend and holiday service on several bus routes and adjust trolley fares on the 53-mile rail system.

Fares range from $1.25 to $3 per one-way trolley trip, depending on the number of stations traveled.

The MTS board is considering charging a flat $2.50 fare, regardless of length. Trolley trips within downtown San Diego would cost $1.75.

Transit officials said the new fare structure would boost annual revenue by nearly $2 million.

Some riders see the possible changes as the latest blow to the working poor and other commuters who have no other way to get around.

“They just raised bus fares. Now they want to mess with the trolley?” said Monica Daniels of Mission Valley, a trolley regular. “Why can't they give us a break?”

Fare changes require the approval of the transit agencies and the San Diego Association of Governments, or SANDAG, the region's long-range planning group.

Jablonski sees any fare adjustments or service changes as a last resort. He said the agency plans to cover the bulk of the funding gap through staff cuts and hiring freezes. MTS also intends to cap the merit pay pool for 276 non-union employees, including managers.

Officials also hope to boost advertising revenue at transit stops. A growing number of trolley cars are covered with wraparound ads.

In North County, the NCTD is weighing a $1 fare increase for its Coaster commuter trains, along with a 50-cent increase in its bus and Sprinter light-rail day passes.

Nearly a dozen bus routes are targeted for possible elimination, with reductions to others, according to agency spokesman Tom Kelleher. NCTD plans a May 12 public hearing on the issue at Escondido City Hall.

The rising price of diesel is eating into NCTD operating funds. About half of the agency's fixed-route buses run on diesel, the rest on natural gas.

Most MTS fixed-route buses are powered by natural gas. A majority of the agency's Access vans, which offer door-to-door service for the disabled, run on gasoline.

The agency's annual fuel budget is expected to swell to $30 million in the fiscal year that begins July 1, up from $28 million this year.

On a related note, transit officials say the rising price of gasoline may encourage more San Diegans to use mass transit instead of commuting by car each day.

Ridership on the trolley and MTS buses is down so far this year, due in part to recent bus fare increases and the elimination of transfers.

In recent weeks, however, SANDAG has seen a sizable jump in the number of people inquiring about the agency's van pool and car pool programs.

“While we can't say without a doubt that the increase is tied to the increase of gas prices, that is believed to be the case,” SANDAG spokeswoman Colleen Windsor said.

San Diego City Councilwoman Toni Atkins, a member of the MTS board, said state officials are in a tough spot because they have to weigh cuts in transit funding at the same time they are trying to stave off more cuts to schools and other programs.

She said state lawmakers need to be reminded that public transit serves as a lifeline for those without vehicles.

Gov. Schwarzenegger predicted last week that California would face a budget deficit of more than $10 billion in the fiscal year that starts July 1. 

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