MA: EDITORIAL: Stake MBTA's fare-free bus bid with surtax cash

Like a high-stakes poker player, the MBTA wants to go all in.

But only if it has the chips to make this calculated gamble work.

If the MBTA wants to increase the number of fare-free bus routes, the best approach would be to eliminate rider costs across the entire network rather than in a handful of locations, T staff concluded.

Top MBTA officials wrote in a report to state lawmakers that short-term, route-specific pilot programs running certain buses without fares are "unsustainable and not recommended."

Instead, they said making the full bus system fare-free has potential to provide "several material benefits," including better accessibility and higher ridership — as long as the agency can secure a dedicated funding stream to cover the tens of millions of dollars annually that such a landmark shift would cost.

"The report, filed with the Legislature earlier this month, features a new cost estimate for eliminating MBTA bus fares that's a bit lower than prior projections. Based on the latest ridership data, T officials now expect fare-free buses would cost between $72 million and $121 million per year, plus up to $9 million in additional vehicle capital costs.

The MBTA bus system operates over 150 routes in the Boston metropolitan area, connecting various neighborhoods, cities, and towns. These routes, many of which follow old streetcar lines, link to MBTA subways, commuter rail lines, and other bus services. The system includes local bus routes, express routes, and the Silver Line bus rapid transit service.

Though lost fare revenue constitutes the main cost factor, T staff noted that some bus riders with mixed commutes would still get charged once they transfer to a train — and added paratransit service.

However, the MBTA has dealt with lower fare revenue since the onset of COVID, so in effect this additional cost would just be adding to an already ongoing subsidy.

In fiscal 2025, MBTA bus receipts are expected to generate about 15% of its total operating revenue, with fares covering approximately $403 million. This contrasts with fiscal 2021, when the MBTA generated just 10.2% of its operating funds from fare revenue, a significant decrease from 33.5% in fiscal 2020 and 42.7% in fiscal 2019.

The MBTA relies on a mix of funding sources including state sales tax, federal grants, state appropriations, and local assessments.

The T already has a few fare-free bus options in place. The Silver Line 1, or SL1, runs free to passengers from Logan International Airport, funded by the Massachusetts Port Authority to incentivize public transit and ease riders into the T's system.

Three bus routes in Boston — the 28 from Mattapan Station to Ruggles, the 23 from Ashmont to Ruggles, and the 29 from Mattapan Station to Jackson Square — have also been running without fares for more than three years.

That pilot has been funded by the city of Boston, mostly through American Rescue Plan Act dollars, with a timeline through February 2026.

Reports have found that the fare-free options increased ridership on the bus routes, jumping above pre-COVID numbers, and that roughly four in 10 users saved money as a result.

Under the Americans with Disabilities Act, the T would be required to offer a free paratransit service if it made the bus network free. Officials expect running the RIDE without fares would lead to a surge in demand.

Given those added costs "and the limited funding sources" available, MBTA analysts stressed that "any additional expansions of fare-free bus service should be accompanied by permanent, dedicated funding that avoids the risk of leaving the MBTA with unfunded service commitments in the future."

That's what the governor did when she funded a limited free ride program for the state's regional transit authorities, leading to a significant growth in ridership.

In October 2024, the Healey-Driscoll Administration announced $30 million in grants to 13 regional transit authorities to provide year-round, fare-free public transportation services, with initial funding covering the Dec. 1, 2024 to September 2025 timeframe.

The funding reflects the results of successful two-year pilot programs.

On average, fares contribute about 13% of the operating funding for regional transit authorities. Other sources of funding include state grants (39%), federal grants (24%), local funds (20%), and other revenue sources (4%).

Working together, 13 RTAs submitted a joint application to disburse the $30 million made available.

The Lowell Regional Transit Authority received $1,170,257 in funding, while the Fitchburg-based Montachusett Area Regional Transit was awarded $1,095,279.

The RTAs had been offering fare free service in recent years using federal and state funds. Now, this service has acquired a permanent state funding source.

Healey and the House are moving in the upcoming budget process to boost state support for the T significantly, though neither plan envisions money specifically to cover fare-free buses.

The governor's fiscal 2026 spending plan includes $1.9 billion in millionaires' surtax money for transportation and education infrastructure upgrades.

Since that now appears to be a reliable revenue stream, it seems the obvious choice to fund a fare-free MBTA bus system.

© 2025 Sentinel & Enterprise, Fitchburg, Mass.
Visit www.sentinelandenterprise.com.
Distributed by Tribune Content Agency, LLC.