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

After Dismissing Streetsblog’s Reporting, FDNY Simplifies Rules for E-Bike Charging Stations … That Streetsblog Exposed

The FDNY changed its guidelines in the middle of a City Council hearing where it faced questions about delays to the program.

October 29, 2025

Unfinished Astoria Bike Lane Languishes As Judge Delays Lawsuit Ruling

The completion of Astoria's 31st Street protected bike lane may get pushed to next year if Judge Cheree Buggs doesn't make up her mind soon.

October 29, 2025

Coke Ain’t It! Streetsblog Editor Snorts in Protest As Fed Agents Seize Bike Lane Again

What do we have to do to get rid of DEA officers' cars from the bike lane? Shoot heroin? Hmmm...

October 29, 2025

Wednesday’s Headlines: Another Dick in a Car Edition

Car drivers always have some bizarre excuse for breaking the law. Plus other news.

October 29, 2025
See all posts