Transit Information Center
Impact of fares, federal, state and local assistance on operating funding
Data sources:
The National Transit Database > Monthly Module Adjusted data - August 2008 (http://204.68.195.57/ntdprogram/data.htm)
InflationData.com > The Consumer Price Index > Historical CPI data (http://inflationdata.com/inflation/Inflation_Rate/HistoricalInflation.aspx)
Funds applied to operations increased by 20% between 2002 and 2007 (constant dollars). During the same period, fare revenues and other funds generated by transit agencies such as advertising revenues increased 12% indicating that in recent years transit operations relied more heavily on public assistance to pay for growing operating costs.
State assistance increased by 12% pointing to a decrease in the role of state assistance as a funding source. Federal assistance played a marginal role in operating funding while local assistance increased 31%, well above the total increase in funding.
It should be expected that due to the current financial turmoil experienced by most states, the pressure to raise fares and obtain more local assistance should increase in the near future.