IMMEDIATE RELEASE                                                                            Contact:  Jean Leier (704) 432-0496

METROPOLITAN TRANSIT COMMISSION VOTES ON FY2009 BUDGET
Proposed Fare Increase To Offset Fuel Costs 
 
Charlotte, N.C., April 23, 2008 - The Metropolitan Transit Commission (MTC), the policy board for the Charlotte Area Transit System (CATS), tonight approved the recommended FY2009 budget.  The MTC also instructed CATS staff to conduct a public hearing regarding increasing fares by 20 cents due to rapidly rising fuel costs.  “CATS is not immune to the high fuel prices that all of us are experiencing,” said Keith Parker, Chief Executive Officer of CATS.   “In the last four months, fuel prices to operate CATS services jumped 29 percent and 66 percent since 2006.  A major cost component of providing public transportation is fuel prices and in order to accommodate such rapid increases, we need to consider increasing fares.”

During the current fiscal year, FY2008, CATS budgeted fuel prices to average $2.25 a gallon. Currently the average cost is $2.60 a gallon year-to-date.  As automobile drivers are finding when they fill up their vehicles, the cost for a gallon of fuel has skyrocketed.  CATS is now paying $3.58 a gallon and is predicting over a $4 million shortfall in the fuel budget next year due to increased prices without a fare increase.

A joint public hearing of the MTC and the Transit Services Advisory Committee (TSAC) on the proposed fare increase is scheduled for May 28 at the Charlotte-Government Center, located at 600 East Fourth Street.

The MTC also voted on the revised Capital Program for FY2009-2013.  This five-year program includes the purchasing of 12 new and 136 replacement buses to maintain the quality and dependability of CATS services, five new neighborhood transit facilities to make getting around Charlotte easier for passengers and five new CATS owned and operated park and ride lots for commuters.  More than 200 new benches and shelters are also planned to be installed over the next five years.
 
Ridership for the year is up 13.2 percent with a 20.7 percent increase in March.  System wide daily ridership has surpassed 80,000 daily trips.  The regional express bus services continue to see double digit increases of over 13 percent year-to-date.  The LYNX Blue Line had its highest ridership month carrying over 400,000 riders in March.  The average daily ridership on light rail was over 14,800.  Saturday ridership averaged over 13,000 per day.

To learn more about CATS and its services, call 704-336-RIDE or visit us on the web at www.ridetransit.org.