Chapel Hill Transit braces for cuts in federal and state funding

Chapel Hill’s bus system is unlike almost any other in the United States, but it’s not immune to financial problems that plague transit systems everywhere.

Two qualities set Chapel Hill Transit apart: the service operates without charging fares to passengers, and it’s a three-way financial and planning partnership among Chapel Hill, Carrboro and UNC .

After federal and state budget changes over the past few years, Chapel Hill Transit might reconsider charging fares for the first time since 2002 . Alternatively, UNC’s financial contribution to Chapel Hill Transit could increase — meaning an increase in student fees.

Chapel Hill Transit has never set aside a capital budget, which would provide money for new buses, park-and-ride buildings and bus shelters, said Assistant Transit Director Brian Litchfield .

Litchfield said that’s because up until a few years ago, Chapel Hill Transit could fund capital projects with federal earmarks and grants that could be negotiated through Congress, but those are no longer available as a result of changes in policy and the recent economic recession.

“There have been a number of changes both at the federal and state level that have made it more challenging for transit systems throughout the country to fund projects,” he said.

The Chapel Hill public transit committee recently hired a financial consulting firm to develop a new budget plan for the next decade. Discussions about the plan will include potential sources of funding as well as long-term improvements of Chapel Hill Transit.

Possible impacts of charging fares might be slower buses and a less efficient system overall, said Daniel Rodriguez , a professor in UNC’s Department of City and Regional Planning.

“Every passenger getting on and paying for the bus — that would take three to five seconds more per passenger,” he said.

School of Dentistry student Elise Rich said she only rides the bus when the weather is bad.

“Right now I would never ride if there were a fare, because I live in biking and walking distance,” she said.

Litchfield said all three partners are committed to keeping Chapel Hill Transit fare-free. He said before the switch to fare-free in 2002, fares accounted for only about 10 percent of the budget, which might not be worth losing the perks of the fare-free system.

“There’s an overall benefit to the community — it doesn’t matter how much money you make or have in your pocket, you have access to transportation in Chapel Hill and Carrboro,” he said.

Whether the money comes from new fares or taxes, the department will have to find new funding sources next year.

Prior to Chapel Hill Transit’s inception in 1974 , UNC operated its own small shuttle service.

“Duke runs its own transit system, but that ridership that they have is not benefiting the Durham transit system as they’re reporting their federal and state statistics to get money,” he said.

Since UNC contributes so many riders to Chapel Hill Transit, the system can apply for more state and federal funding. In return, Chapel Hill Transit caters its services to students, though UNC must shoulder some of those costs.

“The routes that exist that would not exist if not for the University — the U, RU, NU, for example — the University pays 100 percent of that cost,” Litchfield said.

As for other routes that still benefit UNC students but extend into town, the three partners pay into Chapel Hill Transit based on their populations. Litchfield said UNC pays between 30 and 40 percent of the system’s local revenue.

Thirty-five percent of the money UNC pays to Chapel Hill Transit comes from the student transit fee, said Randy Young, spokesman for the Department of Public Safety.

The transit fee for the 2013–2014 academic year amounted to $145.74 per student, Young said in an email. Chapel Hill Transit received $110.35, and the remainder went to P2P, Safe Ride and other services.

“If you think about it, $150 provides you with unlimited access to transit service year-round,” Litchfield said. “That’s a fantastic deal.”

Before the fare-free system, Young said students paid $250 per year for transit alone.

He said UNC will consider changes to the fee if Chapel Hill Transit makes significant changes to its budget. DPS has requested several transit fee hikes in the past few years, but they have been met with resistance from students.

In the short term, Litchfield said his main priority is to gauge what improvements residents would like to see.

“We see a need for additional Saturday service, for weekend and evening service, and a need for more peak hour bus service,” he said.

Litchfield said riders have reported crowded buses on the RU and A routes in the morning and early evening.

“There’s also a big interest in improving our bus stops — we’ve got shelters without lights, with broken benches,” he said.

C hapel Hill resident Lashon da Hurt works Monday through Friday in Chapel Hill and uses the buses to get to her job. She said Chapel Hill Transit is very convenient — except on the weekends.

“With fares, they would have to make it run all the time — all the buses, not just certain buses,” she said. “They only accommodate to the students. This is a town. Everybody has to be everywhere, everybody doesn’t have a car.”

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