Transit Service Cuts, Fare Hikes Proposed

The county’s two major transit agencies should initiate across-the-board hiring freezes, restructure fares, reduce service and slash administrative costs to make up a $59.2-million budget deficit, a task force recommended Thursday.

Rising costs and decreasing ridership have led to the shortfall, according to the task force appointed by Los Angeles Mayor Tom Bradley. The panel estimated that the deficit could reach $1.2 billion in five years unless the Los Angeles County Transportation Commission and the Southern California Rapid Transit District take measures to reduce it.

The two agencies froze most hiring in June. The task force, composed of representatives from five transit systems and consulting firms, recommended that the freeze be extended to all positions for a saving of $11.6 million to $17.4 million. The RTD and the LACTC have about 460 unfilled positions, officials said.

RTD Planning Director Gary Spivack said fares could be restructured to raise $40 million to $50 million in additional revenue. He outlined three fare alternatives to generate the funds:

* Eliminate transfers and set fares for each bus ride at 80 cents.

* Set transfers at 25 cents and raise fares 10 cents, to $1.20.

* Raise fares to $1.35 and transfers to 35 cents.

Prices for monthly passes, if they are retained, may also be raised, or passengers may be required pay a quarter each time they use passes, Spivack said.

RTD board member Antonio Villaraigosa said the fare increases may affect low-income passengers who usually pay cash. Cash fares account for 27% of the RTD’s ridership but make up 53% of its revenue.

“We should review the structure and provide more equity,” Villaraigosa said.

The task force recommended that 50,000 hours of bus service be eliminated for a saving of about $2 million. Cutting some routes with low ridership could save another $2 million.

Administrative cost-cutting at the two transit agencies could save another $1 million, according to the task force. If necessary, the LACTC may also tap $48 million of Proposition C special transit funds generated by an increase in state sales taxes.

The LACTC board will consider the recommendations at an October meeting.