Metro Council approves July public hearings for proposed fare increase

Modest increases would head off shortfall from rising fuel prices, decline in motor vehicle sales

Contact: Bonnie Kollodge
651-602-1357

ST. PAUL--May 14, 2008--The Metropolitan Council today approved public hearings for potential increases in transit fares that, if approved, would go into effect Oct. 1. Details of the proposed fare increases are being developed and will be presented at the upcoming hearings in July.

An increase in fares will be needed to help offset rising fuel costs and lower-than-expected revenues from the Motor Vehicle Sales Tax (MVST), and address a projected shortfall in 2009 and the next biennium.

“Just like everyone else on the roads, Metro Transit and other transit providers are experiencing higher fuel prices,” said Metropolitan Council Chair Peter Bell. “That, along with lower revenues than projected from the sales of motor vehicles, means we need to increase fares by a modest and reasonable amount to help balance the books.”

Without a fare increase the regional transit system, which includes Metro Transit, Metro Mobility, suburban providers and other contracted service, would face a nearly $15 million dollar projected shortfall in fiscal year 2009. Additional fare revenues would also help close the anticipated gap in transit funding in the next biennium.

Public Hearings

Monday, July 7: 5:30 p.m. -- 6:30 p.m.
Northtown Mall, Community Room
398 Northtown Drive, Blaine
Served by Routes 10, 25, 805, 824, 831, 852, 854, 860

Tuesday, July 8: 6:30 --7:30 p.m.
Hopkins Center for the Arts
1111 Main Street, Hopkins
Served by Routes 12, 612

Wednesday, July 9: Noon -- 1:00 p.m.
Minneapolis City Hall – Conference Room 333
350 South Fifth Street, downtown Minneapolis
Served by Routes 3, 5, 7, 9, 14, 16, 19, 22, 24, 50, 55, 94

Wednesday, July 9: – 5:30 – 6:30 p.m.
Burnsville City Hall – Chambers
100 Civic Center Parkway, Burnsville
Served by Routes 426 Shuttle, 465

Thursday, July 10: 6:30 -- 7:30 p.m.
Maplewood Community Center
2100 White Bear Avenue, Maplewood
Served by Routes 64, 80

Monday, July 14: 5:30 – 6:30 p.m.
Eden Prairie City Hall - Heritage Room
8080 Mitchell Road, Eden Prairie
(Note: this meeting was added following approval of the original 6 public hearings.)

Tuesday, July 15: Noon -- 1:00 p.m.
Metropolitan Council – Chambers
390 Robert Street North, downtown St. Paul
Served by Routes 16, 21, 50, 53, 54, 61, 63, 64, 65, 68, 70, 71, 74, 94

Tuesday, July 15: 5:30 p.m.
Seward Square Apartments -- Meeting Room
2121 South 9th Street, Minneapolis
(Note: this meeting was added following approval of the original 6 public hearings.)

Members of the public can also comment by emailing the Regional Data Center at data.center@metrocouncil.org. Comments can be mailed to the Data Center at 390 N. Robert Street, St. Paul 55101 or faxed to 651.602.1464. Recorded phone messages can be directed to 651.602.1500 (TTY 651.291.0904). The public comment period closes July 25.

Fast Facts:

Transit is an environmentally-friendly, convenient, safe and affordable transportation option
Metro Transit, during the first quarter of this year, logged its highest ridership in 24 years, and expects to provide more than 80 million rides in 2008
MVST revenues for FY2009 are forecasted to be $124 million, $16 million less than the Nov. 2007 forecast (in FY08, metro-area transit receives 24 percent of MVST revenues, and when the five-year phase-in is complete in 2012, metro-area transit will receive 36 percent of MVST revenues)
The gross cost of fuel increased 50% from April 2007 to April 2008
The Legislature, in 2008, approved a one-time allocation of $30.8 million from county sales tax receipts to transit operations
The regional transit operating budget in FY2009 is $378.4 million (all transit service, including Metro Mobility, Metro Transit, Suburban Transit Providers, Council contracted routes and dial-a-ride service)
The last fare increase took effect July 1, 2005.

The Metropolitan Council is the regional planning organization for the seven-county Twin Cities area. The Council runs the regional bus and light rail system, collects and treats wastewater, coordinates regional water resources, plans regional parks and administers funds that provide housing opportunities for low- and moderate-income individuals and families. The Council board is appointed by and serves at the pleasure of the governor.

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