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New Jersey Plans To Raise Transit Fares 10%

Laptop Battery Faced with a daunting deficit and falling government aid, New Jersey Transit today proposed its first fare increases in more than a decade.

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Thinkpad The state-run agency, apparently reversing a long reluctance in Trenton to raise fares, wants riders on its buses, commuter trains and the Newark subway to pay a 10 percent increase in the coming year, and additional increases pegged to inflation in each of the five years after that.

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Microsoft The proposal comes less than a week after New York's comptroller, H. Carl McCall, warned that the Metropolitan Transportation Authority might have to raise subway and bus fares by 50 cents in 2003 to help close a budget gap. The M.T.A. said such talk was premature, though it could not rule out an increase.

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Laptop Computers New Jersey Transit's board of directors is to hold six public hearings on Jan. 2 on the fare proposal and is expected to disclose the locations at its meeting Wednesday, said James Weinstein, the state transportation commissioner and the agency's board chairman. If the board approves the increases, they will be the first since 1990 for the statewide system, supplementing fare revenues that have declined 29 percent in real dollars over the last decade while costs have risen 67 percent.

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Laptop Computer Exempted from the initial increase is the recently inaugurated Hudson-Bergen light rail system, since the fare structure there reflects current real costs, Mr. Weinstein said. After the first year of the fare increase, that line and all others would be subject to the inflation-driven increases, which would be automatic and not require approval by the board.

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Desktop Computer "It is no secret that N.J. Transit is facing a budget crisis," Mr. Weinstein said. "I believe this is the right time to advance this fare policy initiative."

Notebooks Some mass transit advocates and state officials noted today that the timing of the proposal at the close of Acting Gov. Donald T. DiFrancesco's administration and before a new Legislature and Governor- elect James E. McGreevey take office was likely to diffuse political blame for the fare increases and make their adoption more likely.

Lenovo A spokeswoman for Mr. McGreevey declined comment tonight on the fare proposal. "We have not received any information from New Jersey Transit, and we have not reviewed the proposal," said the spokeswoman, Jo Astrid Glading.

Hard Drive Many New Jersey commuters, who often find standing room only on crowded trains and buses, are already angry about the level of service and can be expected to be vocal in the hearings.

Travelstar Few rider advocates or others familiar with mass transit in the state question the agency's need for higher fares and increased aid to operate the nation's third- largest public transportation system. Fares have not budged as state and federal operating assistance to the agency has either stalled or declined in recent years. The result is an annual operating deficit of $500 million, said Martin E. Robins, principal writer of a report saying last month that the agency was mired in a "financial morass."

Gateway "This is a reasonable first step," said Mr. Robins, who heads the Alan E. Voorhees Transportation Center at Rutgers University. "But the next administration needs to create a blue-ribbon commission to look at transportation funding overall."

Laptop Parts Jennifer Jaroski, New Jersey coordinator for the Tri-State Transportation Campaign, a mass transit advocacy group, agreed that a fare increase was needed, but as part of a balanced plan that also raises the gasoline tax, which finances highways. Revenues from drivers and from mass transit fares have to be balanced to keep one from siphoning off funds from the other, she said.

Software "But I think this should be pushed back until McGreevey is in office," she added. "He did campaign as a pro-transit candidate, and it is his administration, after all, which will be stuck with the decision."

Hard Drives Ranking members of transportation committees in both legislative houses today welcomed the fare proposal, which they said should mute some of the agency's requests for subsidies. It should also enable some of the state's private bus lines to increase fares without feeling that they are putting themselves at a competitive disadvantage, said State Senator Andrew R. Ciesla, a Republican and chairman of the Senate transportation committee. "But I don't think that the automatic inflation increases in the other years are fair," he said. "There needs to be some analysis of the marketplace to see if it is necessary."

Electronics If adopted, the 10 percent fare increase would mean an additional $44 million for the agency, which has an annual budget of $1.138 billion. Mr. Robins said that the figure was just a small fraction of the agency's deficit, and that continued state subsidies would be necessary.

Canon In recent years, according to his study, New Jersey Transit has made up for the lack of increases in subsidies and fares by using federal and state funds intended for long-term capital investments to meet some annual operating costs.

Desktop Pc This has been done, he said, with the willing assistance of elected officials, who saw this approach as a way of avoiding pressure on the state's general fund that might lead to tax increases or less financing for other politically popular programs.

Desktop Computers By Ronald Smothers
New York Times - 12/12/2001

Topic: Transportation

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