Blue Bus Gears Up for Rate Hikes

By Olin Ericksen
Staff Writer

May 16 -- Facing their first short-term deficit since service began in 1928, Big Blue Bus officials are proposing rate hikes for students, seniors and the disabled to combat spiraling fuel costs.

To ensure the bus service remains in the black, City officials will ask City Council members to green-light increased rates for the select groups that make up roughly 20 percent of Big Blue Bus ridership and have not seen a rate hike in 15 years.

While no date has been set for a council hearing, the proposed rates would tack a dime onto senior and disabled passengers’ current fares of 25 cents and double fares for students to 50 cents. The college card pass would also be increased to 50 cents from 40 cents.

Rate hikes – as well as other changes – will be necessary as the price of diesel continues to climb, said Big Blue Bus officials, who added that they were leery of suggesting higher fares for regular adult riders, who saw a hike to 75 cents from 50 cents in 2002.

“The bottom line is the cost of providing the service we currently provide is going up exponentially,” said Dan Dawson, acting customer relations manager for the Big Blue Bus. “If we don’t (increase fares for students, seniors and the disabled), we’ll need to do a regular adult fare increase,” he said.

He noted that the transit system’s 2006 to 2007 budget is currently short by approximately $2.1 million.

At the end of April, the local bus agency -- which is heavily subsidized -- had spent nearly $3.65 million on diesel, up nearly $750,000 since December, Dawson said.

The proposed fares for seniors are still lower than the .45 cents that the elderly pay to ride the Metropolitan Transportation Authority (MTA) buses and represent only a moderate increase over the current fares, said Dawson.

“It’s really only a 10 cent difference for seniors,” he said.

Other proposed changes include eliminating all local Big Blue Bus transfers and increasing the cost of an Inter Agency Transfer to 50 cents.

To offset the impacts of the fare hikes and increased transfer fees, Big Blue Bus officials also plan to ask the City Council to institute the first ever Day pass program, Dawson said.

Under the proposed plan, students, seniors and disabled could take unlimited trips all day for $1.25, while adults would pay $2.50, unless they ride an express bus for a cost of $3.50.

While the Big Blue Bus has often projected deficits for long-term budgets, this is the first time the agency has projected a shortfall during a current budget year, according to agency director Stephanie Negriff.

The projected deficit is “almost entirely due to the increase in the cost of gas,” she said, adding that the agency, like other transit services throughout California, have seen jumps in fuel prices of nearly 30 percent each year for the past four years.

While the rising gas costs are not “serious” for the Big Blue Bus, Negriff said she has been meeting with City Manager Lamont Ewell to talk about a “list of strategies” to combat the rising fuel costs.

In response, Big Blue Bus officials have decided not to staff a handful of open administrative positions and are contemplating asking for additional subsidies from the County and City (although the money would not come from the general fund).

Big Blue Bus officials are also continuing to move towards equipping the entire local bus fleet to run on liquefied natural gas (LNG). Currently 60 percent of the fleet is LGN equipped

While those changes may help, Negriff said the proposed rate changes “are absolutely needed” to maintain service at its current levels.

The proposed changes are as follows:

• Seniors (62 and over) and disabled LOCAL cash fare, 35 cents,
• Seniors (62 and over) and disabled EXPRESS Line 10 fare, 50 cents (reduced from 60 cents for seniors),
• Little Blue Card STUDENT (K through 12th grade) LOCAL fare, 50 cents,
• Little Blue Card College (18 through 20 years of age) LOCAL fare, 50 cents,
• Inter Agency Transfer, 50 cents
• LOCAL transfers from Big Blue Bus to Big Blue Bus eliminated,
• DAY PASS—Adult LOCAL fare $2.50
• DAY PASS – LOCAL & EXPRESS Line 10 Seniors & Disabled, $1.25
• DAY PASS – LOCAL Students K age 4 through 20 years of age, $1.25
• DAY PASS – EXPRESS Line 10 Adults and students, $3.50 and
• ADULT fare would remain the same for LOCAL and EXPRESS Line 10 for cash and Little Blue Card.

The public hearing before Santa Monica City Council was scheduled for June 13, but the item was pulled from the agenda at the request of the City Manager’s office.