SAN DIEGO (KGTV) — San Diego's Metropolitan Transit System is facing a massive budget deficit exceeding $500 million over the next four years, prompting officials to consider the first major fare increase since 2009.
MTS has been exploring ways to close the financial gap, including rate increases that could generate $90 million during that timeframe. The transit agency is weighing fare hikes against potential service cuts as it works to avoid what officials describe as a fiscal cliff.
"As we all know, cost of doing business, cost of our household budgets, everything else has gone up, and it's gone up for transit too," said Mark Olson, MTS Director of Marketing and Communications.
The agency has been gathering community feedback through surveys and public workshops to gauge rider preferences. The input has been clear.
"People just don't want service levels to get cut, so certainly what we've been hearing is that people prioritize service over the cost to ride," Olson said.
Price hikes would be one way for MTS to buy some time and extend the budget deficit out to 2030.
“That will allow us to possibly look at other sources of long-term sustainable revenue that we can find either from the state government, through some different funding mechanisms or possible ballot measure in 2028 for a dedicated source of funding for transit," Olson said.
Two fare increase packages are currently under consideration, with particular focus on the Adult Monthly Pass, which accounts for 88% of MTS revenue according to Olson.
The monthly pass currently costs $72. Package A would increase the monthly pass to $90, while Package B would raise it to $100.
Those proposals are currently being presented to the members of the community, with the third of five workshops coming Wednesday evening at the National City Adult School.
The goal is to get feedback from riders like Ryan Schmahl, who treats the metro as his main form of transportation.
"Don't feel the need to own a car because it gets me where I need to go whenever I need to be there," Schmahl said.
However, he worries about the impact on low-income riders.
"Seeing a three-digit number attached to what they're currently paying $72 a month for is going to come as a swing to the head for a lot of people, especially a lot of low-income people that use the service," Schmahl said.
MTS reports that about 60% of its riders make less than $50,000 a year, and about 20% earn less than $15,000 annually.
While the exact fare amounts remain under discussion, some form of increase appears inevitable as MTS works to address its budget challenges.
The MTS Board of Directors, along with guidance from SANDAG, will make the final decision on fare increases. Even some of its members are not backing the potential changes.
“I can’t support it because I think it will add additional pressure to working families,” said Monica Montgomery Steppe, San Diego County Supervisor for District 4 and MTS board member. “I’m not continuing to do this on the backs of poor people. I just won’t be able to do it.”
If approved, higher fares would not take effect until July 1 at the earliest, with implementation more likely occurring in the fall.
In the meantime, the next two community workshops are scheduled for Wednesday, Feb. 25, at the El Cajon Branch Library and Thursday, Mar. 5, at the Jackie Robinson YMCA.
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