PROVIDENCE – Gov. Daniel J. McKee and R.I. Public Transit Authority CEO Christopher Durand announced a reworked proposal to get a handle on the agency's $10 million operating deficit, including a one-time infusion of $3 million in state funds and reductions to the frequency of more than 40 "lower-ridership" routes.
On Aug. 7, the RIPTA board of directors tabled a vote on a deficit reduction plan after McKee requested it be redrafted, citing his "duty to every taxpayer footing the bill."
Now, in a joint letter sent Monday to the agency’s board ahead of the Aug. 28 meeting, McKee and Durand are proposing new reforms they called “a responsible path forward," avoiding driver layoffs and aligning with findings from a recently completed efficiency study that showed some routes are costing as much as $80 per passenger trip.
"We recognize that these trends have created a difficult position for the Authority. Our new budget framework is designed to begin realigning the Authority with available resources," McKee and Durand said in the letter.
The draft proposal relies on increasing advertising revenues and federal reimbursements by $2.5 million; elimination or reassignment of administrative positions through "
targeted staffing adjustments,"; and a multiyear plan to increase fares, which have not been raised in 15 years despite ridership falling 25% over the past decade.
Facing a projected $32.6 million budget deficit this fiscal year, the agency had been contemplating cuts to more than 60 routes.
“This framework secures RIPTA’s immediate future, while positioning us to build the kind of transit system Rhode Island deserves,” Durand said.
According to the administration, the $3 million "advance" from the state will be taken from the Congestion Mitigation and Air Quality Improvement program and eventually replaced with a reallocation from RIPTA’s capital budget.
In response, House Speaker K. Joseph Shekarchi said lawmakers will scrutinize the latest proposal and "will continue to work with advocates and hold the administration and the RIPTA board accountable to develop a comprehensive plan that will create a better public transit model for Rhode Island.”
Christopher Allen is a PBN staff writer. You may contact him at Allen@PBN.com.
RIPTA isn’t a troubled agency. It’s simply underfunded. It’s terrible journalism to imply that the current situation is some how it’s own fault.