May 12, 2008

Rising Gas Prices Drive Commuters to the Rails and Buses
With the price of gas continuing to rise, more commuters are opting to get out of their cars and into trains and buses in cities across the US. The record-breaking level of oil prices (currently at $125.96 a barrel) is making it near-impossible for many to commute to work via automobile - but many mass transit systems are not yet equipped to handle the surge. The NY Times reports that while cities like New York and Boston, which tout long-established mass transit systems, have witnessed considerable increases in ridership, the biggest increases are being seen in smaller municipalities throughout the South and West, where driving culture thrives and public transportation systems are being pushed to their limits.
The NY Times explains:
In Denver, for example, ridership was up 8 percent in the first three months of the year compared with last year, despite a fare increase in January and a slowing economy, which usually means fewer commuters. Several routes on the system have reached capacity, particularly at rush hour, for the first time.
Meeting the greater demand for mass transit is proving difficult. The cost of fuel and power for public transportation is about three times that of four years ago, and the slowing economy means local sales tax receipts are down, so there is less money available for transit services. Higher steel prices are making planned expansions more expensive.
Typically, mass transit systems rely on fares to cover about a third of their costs, so they depend on sales taxes and other government funding. Few states use gas tax revenue for mass transit…
“Nobody believed that people would actually give up their cars to ride public transportation,” said Joseph J. Giulietti, executive director of the authority. “But in the last year, and last several months in particular, we have seen exactly that.”





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