As gas costs rise, so does use of public transit

updated 3:44 p.m. ET June 20, 2006

PEORIA, Ill. - Hobbled by artificial knees, Tom Mahoney doesn’t drive but says he still feels the pinch of high gasoline prices nearly every day on buses that offer dollar-a-trip rides around this central Illinois city.

“Before they were very seldom full, now sometimes you have to stand. You never used to see that,” said Mahoney, 52, of Peoria.

Ridership surged 15 percent in April compared with the same period a year ago on Peoria’s Citylink buses, among many across Illinois and the nation hauling bigger loads as pump prices hover near $3 a gallon with no relief in sight.

Fuel costs are just one factor driving up boardings, according to transportation officials. They say expanded hours and routes, fleet upgrades and jobs created by improving local economies also have helped fill once-empty seats.

Still, they say it’s likely no coincidence that ridership jumped last fall after Gulf Coast hurricanes tightened gasoline supplies and again as prices soared about 60 cents a gallon since March and stayed there.

“It’s one of those things that’s hard to tell unless you go out and survey people. But if I were a guessing woman, I would certainly guess that,” said Jennifer Garrity, spokeswoman for Rock Island, Ill.-based MetroLINK. The system’s weekday ridership through eight Illinois cities near the Iowa border was up 15 percent in April compared with a year ago.

Peter Weber, general manager of the Bloomington-Normal Public Transit System, agrees.

“Trying to sort out exactly how much is attributed to this versus that is hard to say. But I think common sense tells most people that gas prices have had an impact,” said Weber, whose buses have seen 9 percent more riders through April.

Nationally, bus ridership rose less than half a percent last year, though some transit systems posted bigger gains, including a 14.5 percent increase in Minneapolis, 7.5 percent in Dallas and 7.4 percent on the Pace system in suburban Chicago.

But transportation officials note that ridership jumped 2.5 percent in the third quarter of 2005, when gasoline prices spiked briefly in the wake of hurricanes Katrina and Rita, and they expect a similar rise in response to this spring’s higher fuel prices, which are expected to linger at least through summer.

“High gas prices are causing people to take a second look at buses and other public transportation. They may have decided against it when it cost $20 to fill the tank, but now that it’s $40 or $45 or more, they’re looking at what their options are,” said William Millar, president of the Washington-based American Public Transportation Association.

High fuel prices also have a downside for bus systems, which are dealing with hefty cost overruns for their largely diesel-power fleets. Many say extra money in fare boxes is offsetting the added expense, but Springfield is considering a Sept. 1 fare increase from 75 cents to $1 to counter fuel costs running about 45 percent ahead of last year.

MORE FROM U.S. BUSINESS

U.S. business Section Front

Government says no bailout for lender CIT   Madoff accountant may be cutting plea deal Paulson defends response to economic crisis L.A. leads the list of most congested cities Goldman Sachs’ winning formula works again Madoff admitted to North Carolina prison Goldman posts bigger-than-expected profit Exxon makes first big biofuel investment NYT: Meth lab homes harm new owners SEC says it will ‘adapt its ways’ post-Madoff U.S. business Section Front   Add U.S. business headlines to your news reader: