City weighs bus fare hike

HONOLULU (KHON2) — It’s been more than three years since Oahu bus riders have seen a fare hike. But now, the city is looking at raising the cost of the bus.

And while officials say it’s necessary to keep the system running, the concern is how to keep transit affordable for those who rely on it the most.

About 120,000 people ride the bus on a daily basis. That’s a slight increase compared to a year ago, but down from pre-COVID highs. It’s one of the most heavily used transit systems per capita in the nation, and bus officials say operating costs, from fuel to maintenance to driver wages, are climbing fast.

Currently, bus fares make up about 14% of the entire bus budget, or about $42 million a year, while expenses are close to $290 million a year. Federal subsidies cover about $21 million.

“We try to keep them low and moderate the best we can, and we try to do some targeting too. So, it’s a small part of the overall subsidy, but I think it’s an important part,” said Roger Morton, Director of the Department of Transportation Services.

The proposal put before the city council’s budget committee would bump the adult single-ride fare from $3 to $3.25, while the monthly cap could rise from $80 to $90.

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Reduced fares for senior citizens, disabled and low-income riders would also increase, but would still be at a 95% discount.

“All of those groups have access to very, very low, deeply, deeply discounted fares, and we’re trying to preserve those low, low fares for special groups like that,” said Morton.

Much of the discussion at today’s meeting was about expanding the eligibility requirements for those who would apply for reduced bus fares, from those who make 30% of the area median income to 50% – a possible revenue loss of about $10 million.

“So while we provide the needed, necessary services to those who are in need of it, making sure that we have the means to do so, and that’s where I think the discussion will continue,” said Val Okimoto, City Council Budget Committee Chair.

Those against a rate hike caution against an opposite outcome to increasing revenue.

“What you’ll get is people will pay as they go, use the service, you’ll actually reduce your revenue stream and overall you’re not going to have what you expect,” said Gregory Misakian, who testified against the proposed hike.

Bus riders we spoke with say they’re not happy about a fare hike, but understand the need.
“It’s not a good thing, but I guess they have to raise it. Just to cover the costs and everything,” said Peter Scheutz.

“The bus driver is the one that keeps us safe, so I really have a lot of respect for them, and think that they should be paid well,” said Judith, a daily bus rider.

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For now, the bill is still making its way through the city council. If approved, the fare hike would take effect as early as January.