Skip to Content
Streetsblog New York City home
Streetsblog New York City home
Log In
Federal Funding

Recession Forcing Cutbacks at Nearly 80 Percent of U.S. Transit Agencies

How bad have the past two years been for transit agencies in the United States? In a word: bad. In two words: very bad.

false

In survey results released today [PDF], the American Public Transportation Association reports that 51 percent of transit agencies have either raised fares or reduced service since last year. Meanwhile, 79 percent said they are planning to, or considering, doing so in the near future. Worse, 40 percent of agencies that have made cuts are still facing budget shortfalls in the coming year.

“Public transportation systems are currently experiencing decreases in their funding during a time when many are serving an increased number of riders,” said APTA President William Millar. “Systems are forced to continue to freeze positions and lay off workers, which makes providing necessary transit service even more difficult.”

For the 117 agencies surveyed, funding cuts at every level are leaving little choice but to scale back. Local and regional funding has been flat or decreasing for 73 percent of agencies. Meanwhile, 83 percent saw reduced or stagnant state support.

Capital funding is also declining across the board, forcing agencies to delay maintenance and threatening their long-term financial health. Almost every agency (85 percent) is experiencing some loss in capital dollars, APTA reports.

Funding woes have been particularly hard on larger transit systems. APTA reports 63 percent of larger agencies approved hiring freezes in 2011. Of those agencies, 74 percent are reducing the number of positions, while 46 percent are imposing layoffs.

Millar said the crisis at local agencies could be compounded by the House transportation bill put forward by Rep. John Mica, which would impose a 37 percent reduction in federal funding for transit. Such draconian cuts would surely result in a new round of service reductions and fare hikes that could have a chilling impact on job creation, APTA officials warned.

"Clearly, local and state governments will not be able to make up the difference as these needs increase,” Millar said.

Stay in touch

Sign up for our free newsletter

More from Streetsblog New York City

New Bill Would Block Apps From Deactivating Workers Without Cause

A Brooklyn Council member wants delivery app companies to be more human and less robot.

July 18, 2025

Friday Video: Is Berlin a Great Biking City?

Have recent moves by anti-bike, pro-car legislators ruined the experience in the capital of a unified Germany? Sort of!

July 18, 2025

Eyes on the Street: Meeker Avenue Bike Lane Is a Failure

The Department of Transportation still hasn't finished a critical bike lane under the Brooklyn-Queens Expressway that the agency has been stalling for over four years even after identifying the strip's danger and lack of proper signals.

July 18, 2025

Friday’s Headlines: Cuomo’s Road Rage Edition

Why does Andrew Cuomo drive so recklessly? Plus other news.

July 18, 2025

Fixing Third Ave. Was Once ‘Top of List’ For Eric Adams — But as Mayor He Backed Off

Mayor Adams has delayed a redesign of Brooklyn's Third Avenue despite once saying safety fixes there should be "at the top of our list."

July 17, 2025

Thursday’s Headlines: Jerry Nadler Edition

U.S. Rep. Jerry Nadler faced off with Sean Duffy on Capitol Hill. Plus more news.

July 17, 2025
See all posts