The Regional Transportation District unanimously agreed to lower fares on Tuesday for the first time in its history.
RTD initiated a study in 2022 that focused on equity, affordability and simplicity for its customers.
To simplify the fare structure, RTD consolidated its local and regional fare levels, allowing customers to travel longer distances. Also, the transportation district reduced its monthly cap rates from $88 to $27.
“Many comments noted that the lower monthly pass price made transit more cost competitive with driving and parking. Some previous customers indicated that the decrease in fares would encourage them to begin using RTD services again,” RTD’s fare report stated.
RTD also approved to implement a one-year pilot program that would eliminate fares for youths. This program will begin on Sept. 1 to coincide with the return to school and to ensure it does not overlap with the current Zero Fare for Better Air program — which runs through July and August.
Discounted programs such as LiVE and Access-a-Ride will also see reductions in fares. The LiVE program will increase its income threshold from 185% to 205% of the Federal Poverty Level and eliminate the requirement for an in-district address.
RTD expects that its ridership will increase by approximately 11-13% with the introduction of the new fares. However, it also forecasts that fare revenue will decrease by 17-21%.
“The reduction in fare revenue, while significant, would not have a consequential impact on RTD’s budget since only approximately 6% of RTD’s overall budget is derived from fares,” the RTD agenda packet stated, adding that service levels are projected to stay the same.
“The finance side of RTD — which has also been under relatively new leadership — has been doing a lot of work to stabilize the agency … Not only are we lowering fares, but we are in the strongest financial position to do in a long time,” said Erik Davidson, the representative for District I which includes Longmont. “I think we are in a difficult financial time for people personally and I really hope a) this decreases the burden to folks who are riding and b) I hope the simplicity of the fares encourages more people to ride.”
