MTA Faces Rising Tide of Bus Fare Evasion, Financial Instability Looms

The Metropolitan Transportation Authority (MTA) faces a big challenge as nearly half of New York City’s bus riders are skipping fares. 

MTA data reveals that nearly 47% of the 2 million bus passengers failed to pay the $2.90 fare during the first quarter of 2024, a stark increase from about 20% before the COVID-19 pandemic.

MTA Chair and CEO Janno Lieber attributes this trend to habits formed during the pandemic when bus fares were temporarily suspended. 

“The problem is that habit of not paying for the buses, which got into people during COVID, has not left,” Lieber stated at a Wednesday press conference. 

He added, “We do need to do something to reestablish the principle that we’ve all gotta pay, we’ve all gotta be respectful of each other.”

However, the issue has steadily worsened since fare collection resumed, with evasion rates climbing each quarter. This trend is expected to cost the MTA up to $800 million annually in lost revenue over the coming years.

While the MTA has implemented various strategies to combat fare evasion in the subway system, including increased police presence and turnstile modifications, addressing the problem on buses presents unique challenges. 

The MTA is now collaborating with the New York Police Department (NYPD) to develop strategies for curbing fare evasion. 

However, the sheer scale of the bus network, with over 5,800 buses making thousands of stops daily, presents a significant challenge.

Lieber stated, “We’ve gotta be strategic because we cannot put a cop or an Eagle team member on every bus. So it has to be effective enough to get the message across.”

The fare evasion problem compounds other financial pressures facing the MTA, including lower-than-expected real estate tax revenues and potential losses from the paused congestion pricing plan.

These factors contribute to projected annual deficits exceeding $400 million starting in 2027.