Transit: Increase of tariffs may be less lead recipes

By Richard Masoner

In spite of the increase in the rate of 25%, bus service revenue drops 8 %
I realize that the title of this post is the little economic rocket science, but its value consider transit agencies continue to seek rate increases to try to fill the gaps in budget.lorsque transit agencies increased their rates, fewer people rouler.La customer drop can lead to a net zero gain the collection rate, even if the price is increased.

Santa Cruz Metro route 17 Express Bus
The district of transit for the Metro Santa Cruz (SCMTD) recently released their numbers August 2010.Last July, Metro Santa Cruz stimulated rates 25% on the 17 road Express provides service between Santa Cruz and San Jose, California with 26 round-trip every day of the week.Santa Cruz Metro has also worked to save money by changing and removing routes into their system entier.Tarifs for all shifts in Santa Cruz County remain unchanged.

System wide, Santa Cruz Metro saw an increase of 2% over August 2009 customer.For the service of Highway 17, however, customer dropped 14 %.SCMTD part of the loss of customer attributes gasoline price stability and continued high levels of unemployment.

Santa Cruz Metro recognizes as "a portion of this loss is due to a decrease in anticipated customer after an increase of 25% of Highway 17 express fares."
August 2010, boxes of perception & pass revenue was $74, 261.Les additional revenue SJSU and Amtrak, Highway 17A $85, $154,228 operating 153.Frais total income makes recovery at 55%, which is fantastic for a transit bus operation.

Compared with August 2009: boxes of perception & pass revenue was $82, 581.Amtrak and SJSU brings total revenues to $93, 221.Avec a slightly lower than last year's operating cost $148,122, recovery of costs last year was a very good 63%.

25% Price increase is not chute.Actuellement customer, it is impossible to determine what impact higher tariffs have been client - more rigorous statistical analysis must do, and there is more data to a single month - but this can be important when transit districts are attempting to improve their financial situation by increasing prices.


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