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Rising Fares at the Turnstile
The entry is becoming the barrier to economic mobility for low-income New Yorkers
Findings from the 2014 Unheard Third survey of New York City residents
March, 2015 www.cssny.org
Being unable to afford subway and bus fares now ranks as
the most-reported hardship among poor New Yorkers.
% of poor reporting hardship on Unheard Third (2014)
www.cssny.org
11%
12%
16%
16%
18%
18%
19%
22%
23%
23%
23%
25%
29%
29%
32%
33%
0% 5% 10% 15% 20% 25% 30% 35%
Received assistance fom charity, religious, or community organization
Been threatened by foreclosure or eviction
Not gotten or postponed medical care or surgery
Moved in with other people
Received free food or meals from a food pantry or soup kitchen
Had gas, electricity, or telephone turned off
Went hungry because there wasn't enough money to buy food
Had hours, wages, or tips reduced
Often skipped meals
Needed to fill a prescription but couldn't
Lost your job
Receieved free food or meals from family or friends
Been without health insurance coverage
Fallen behind in rent or mortgage
Cut back on buying school supplies or clothes
Often unable to afford subway and bus fares
1 out of 3 poor New Yorkers are often unable to afford
subway and bus fares now . . . even before the latest hikes
take effect.
Q: In the last year, have you or any member of your household been often unable to afford subway or bus fares
www.cssny.org
33%
27%
8%
16%
0% 5% 10% 15% 20% 25% 30% 35%
Poor
All Low income
Mod-high
Total
Subway fares are rising more quickly than incomes for
lower-income New York City households.
Median household income for bottom quartile of incomes and subway fares in NYC (2002-2015)
www.cssny.org
$1.50
$2.00
$2.25
$2.50
$2.75
$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
$3.00
$0
$2,000
$4,000
$6,000
$8,000
$10,000
$12,000
$14,000
2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Median household income
Subway fare
Mass transit is becoming unaffordable, especially for
blacks and Latinos.
Over 1/3 of poor Latinos and more than 4 out of 10 poor blacks often have trouble paying for buses
and subways.
Q: In the last year, have you or any member of your household been often unable to afford subway or bus fares?
www.cssny.org
35%
29%
17%
18%
42%
35%
26%
16%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
Black
Latino
White
Asian
Poor
All low-income
Affording mass transit is a big problem for poor families;
4 in 10 often can’t afford the fares.
Q: In the last year, have you or any member of your household been often unable to afford subway or bus fares?
www.cssny.org
44%
37%
25%
16%
0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%
Poor with children
Low income with children
With children
All New Yorkers
MTA allows free entry for up
to 3 children 44 inches tall or
less, with a fare-paying adult
3 out of 10 of the working poor and more than a quarter
of low-income working moms often can’t afford subway
or bus fares.
Q: In the last year, have you or any member of your household been often unable to afford subway or bus fares? (Employed only)
www.cssny.org
31%
26%
25%
8%
13%
0% 5% 10% 15% 20% 25% 30% 35%
Poor
Low-income mothers
Low-income
Mod-high income
All Employed
Working New Yorkers
Low-income blacks and Latinos are more likely than
low-income New Yorkers overall to use the subway or
bus to get to work.
Share of New Yorkers who get to work by subway or bus (Low-income only) (Source: 2013 American Community Survey)
www.cssny.org
69%
64%
52%
48%
60%
56%
0% 10% 20% 30% 40% 50% 60% 70% 80%
Black
Latino
Asian
White
All low-income
All New Yorkers
And low-income black and Latino workers are most likely
to report being unable to afford subway and bus fares.
Q: In the last year, have you or any member of your household been often unable to afford subway or bus fares?
(Low-income workers only)
www.cssny.org
32%
27%
19%
13%
25%
0% 5% 10% 15% 20% 25% 30% 35%
Black
Latino
Asian
White
All low-income employed
Other cities are offering reduced fares for low-income riders.
Examples of low-income discounts offered by other cities:
King County Metro Transit Reduced Fare Program (Seattle, Washington)
•	 Available if household income is below 200% of FPL
•	 Fare is $1.50, a discount from regular fares of $2.25 to $3.00 (based on zones and peak times).
•	 Starts March 1, 2015; accepted by Metro & Kitsap.
Madison, Wisconsin Low-Income Pass
•	 31-day passes available to eligible low-income riders for $27.50 compared to regular price of $58.
•	 Riders who self-certify that income is at or below 150% of FPL issued a 6-month pass.
CARTA (Charleston Area Regional Transportation Authority) Low-Income Fares
•	 Low-income fare discounted to $1/ride from $1.75.
www.cssny.org
Nearly 7 out of 10 New Yorkers favor offering half-price
discounts for low-wage workers; support is especially
strong among low-income New Yorkers.
Q: Do you favor or oppose this step the State could take to help more low-income New Yorkers reach the middle class: Reduce
subway and bus fares to half-price for low-wage workers?
www.cssny.org
72%
43%
55%
83%
58%
69%
8%
22%
16%
13%
36%
26%
-60% -40% -20% 0% 20% 40% 60% 80% 100%
Low income
Mod-high
Total
Favor strong Favor not strong Oppose strong Oppose not strong Unsure
Support for low-income fare discounts crosses party
lines with 71% of Democrats and 65% of Republicans
favoring the idea.
Q: Do you favor or oppose this step the State could take to help more low-income New Yorkers reach the middle class: Reduce
subway and bus fares to half-price for low-wage workers?
www.cssny.org
48%
50%
61%
55%
65%
65%
71%
69%
25%
19%
14%
16%
33%
31%
24%
26%
-40% -20% 0% 20% 40% 60% 80%
Republicans
Independents
Democrats
Total
Favor strong Favor not strong Oppose strong Oppose not strong
Discounts for some don’t have to mean higher fares
for other riders. Revenue sources are needed beyond
the farebox.
www.cssny.org
The MTA relies much more heavily on fares from riders than transit systems in
other cities, as measured by the “farebox recovery ratio” (passenger fare revenue
divided by operating expenses).
Farebox Recovery Ratio, Selected Cities:
58% NYC subways and buses
44% Chicago
38% Boston
36% Philadelphia
Source: NYC Independent Budget Office estimates based on 2011 data from the Federal Transit Administration
How the survey was conducted.
www.cssny.org
The Community Service Society designed this survey in collaboration with Lake Research Partners, who administered the survey by phone
using professional interviewers. The survey was conducted from July 25th to August 21st, 2014.
The survey reached a total of 1,615 New York City residents, age 18 or older, divided into two samples:
•	 1006 low-income residents (up to 200% of federal poverty standards, or FPL) comprise the first sample:
� 537 poor respondents, from households earning at or below 100% FPL
� 459 near-poor respondents, from households earning 101% - 200% FPL
•	 609 moderate- and higher-income residents (above 200% FPL) comprise the second sample:
� 410 moderate-income respondents, from households earning 201% - 400% FPL
� 199 higher-income respondents, from households earning above 400% FPL.
•	 This year’s survey also included an oversample of 400 cell phone interviews among adult residents at up to 400% FPL.
Telephone numbers for the low income sample were drawn using random digit dial (RDD) among exchanges in census tracts with an average
annual income of no more than $40,000. Telephone numbers for the higher income sample were drawn using RDD in exchanges in the re-
maining census tracts. The data were weighted slightly by gender, age, region, immigration status, education and race in order to ensure that
it accurately reflects the demographic configuration of these populations. In the combined totals respondents in the low income sample were
weighted down to reflect their actual proportion among all residents. Also, in the combined totals, the sample is weighted by telephone status.
Interviews were conducted in English, Spanish and Chinese.
In interpreting survey results, all sample surveys are subject to possible sampling error; that is, the results of a survey may differ from those
which would be obtained if the entire population were interviewed. The size of the sampling error depends upon both the total number of
respondents in the survey and the percentage distribution of responses to a particular question. The margin of error for the low income com-
ponent is +/- 3.1%. The margin of error for the higher income component is +/-4.0%.

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Rising Fares at the Turnstile

  • 1. Rising Fares at the Turnstile The entry is becoming the barrier to economic mobility for low-income New Yorkers Findings from the 2014 Unheard Third survey of New York City residents March, 2015 www.cssny.org
  • 2. Being unable to afford subway and bus fares now ranks as the most-reported hardship among poor New Yorkers. % of poor reporting hardship on Unheard Third (2014) www.cssny.org 11% 12% 16% 16% 18% 18% 19% 22% 23% 23% 23% 25% 29% 29% 32% 33% 0% 5% 10% 15% 20% 25% 30% 35% Received assistance fom charity, religious, or community organization Been threatened by foreclosure or eviction Not gotten or postponed medical care or surgery Moved in with other people Received free food or meals from a food pantry or soup kitchen Had gas, electricity, or telephone turned off Went hungry because there wasn't enough money to buy food Had hours, wages, or tips reduced Often skipped meals Needed to fill a prescription but couldn't Lost your job Receieved free food or meals from family or friends Been without health insurance coverage Fallen behind in rent or mortgage Cut back on buying school supplies or clothes Often unable to afford subway and bus fares
  • 3. 1 out of 3 poor New Yorkers are often unable to afford subway and bus fares now . . . even before the latest hikes take effect. Q: In the last year, have you or any member of your household been often unable to afford subway or bus fares www.cssny.org 33% 27% 8% 16% 0% 5% 10% 15% 20% 25% 30% 35% Poor All Low income Mod-high Total
  • 4. Subway fares are rising more quickly than incomes for lower-income New York City households. Median household income for bottom quartile of incomes and subway fares in NYC (2002-2015) www.cssny.org $1.50 $2.00 $2.25 $2.50 $2.75 $0.00 $0.50 $1.00 $1.50 $2.00 $2.50 $3.00 $0 $2,000 $4,000 $6,000 $8,000 $10,000 $12,000 $14,000 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 Median household income Subway fare
  • 5. Mass transit is becoming unaffordable, especially for blacks and Latinos. Over 1/3 of poor Latinos and more than 4 out of 10 poor blacks often have trouble paying for buses and subways. Q: In the last year, have you or any member of your household been often unable to afford subway or bus fares? www.cssny.org 35% 29% 17% 18% 42% 35% 26% 16% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% Black Latino White Asian Poor All low-income
  • 6. Affording mass transit is a big problem for poor families; 4 in 10 often can’t afford the fares. Q: In the last year, have you or any member of your household been often unable to afford subway or bus fares? www.cssny.org 44% 37% 25% 16% 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% Poor with children Low income with children With children All New Yorkers MTA allows free entry for up to 3 children 44 inches tall or less, with a fare-paying adult
  • 7. 3 out of 10 of the working poor and more than a quarter of low-income working moms often can’t afford subway or bus fares. Q: In the last year, have you or any member of your household been often unable to afford subway or bus fares? (Employed only) www.cssny.org 31% 26% 25% 8% 13% 0% 5% 10% 15% 20% 25% 30% 35% Poor Low-income mothers Low-income Mod-high income All Employed Working New Yorkers
  • 8. Low-income blacks and Latinos are more likely than low-income New Yorkers overall to use the subway or bus to get to work. Share of New Yorkers who get to work by subway or bus (Low-income only) (Source: 2013 American Community Survey) www.cssny.org 69% 64% 52% 48% 60% 56% 0% 10% 20% 30% 40% 50% 60% 70% 80% Black Latino Asian White All low-income All New Yorkers
  • 9. And low-income black and Latino workers are most likely to report being unable to afford subway and bus fares. Q: In the last year, have you or any member of your household been often unable to afford subway or bus fares? (Low-income workers only) www.cssny.org 32% 27% 19% 13% 25% 0% 5% 10% 15% 20% 25% 30% 35% Black Latino Asian White All low-income employed
  • 10. Other cities are offering reduced fares for low-income riders. Examples of low-income discounts offered by other cities: King County Metro Transit Reduced Fare Program (Seattle, Washington) • Available if household income is below 200% of FPL • Fare is $1.50, a discount from regular fares of $2.25 to $3.00 (based on zones and peak times). • Starts March 1, 2015; accepted by Metro & Kitsap. Madison, Wisconsin Low-Income Pass • 31-day passes available to eligible low-income riders for $27.50 compared to regular price of $58. • Riders who self-certify that income is at or below 150% of FPL issued a 6-month pass. CARTA (Charleston Area Regional Transportation Authority) Low-Income Fares • Low-income fare discounted to $1/ride from $1.75. www.cssny.org
  • 11. Nearly 7 out of 10 New Yorkers favor offering half-price discounts for low-wage workers; support is especially strong among low-income New Yorkers. Q: Do you favor or oppose this step the State could take to help more low-income New Yorkers reach the middle class: Reduce subway and bus fares to half-price for low-wage workers? www.cssny.org 72% 43% 55% 83% 58% 69% 8% 22% 16% 13% 36% 26% -60% -40% -20% 0% 20% 40% 60% 80% 100% Low income Mod-high Total Favor strong Favor not strong Oppose strong Oppose not strong Unsure
  • 12. Support for low-income fare discounts crosses party lines with 71% of Democrats and 65% of Republicans favoring the idea. Q: Do you favor or oppose this step the State could take to help more low-income New Yorkers reach the middle class: Reduce subway and bus fares to half-price for low-wage workers? www.cssny.org 48% 50% 61% 55% 65% 65% 71% 69% 25% 19% 14% 16% 33% 31% 24% 26% -40% -20% 0% 20% 40% 60% 80% Republicans Independents Democrats Total Favor strong Favor not strong Oppose strong Oppose not strong
  • 13. Discounts for some don’t have to mean higher fares for other riders. Revenue sources are needed beyond the farebox. www.cssny.org The MTA relies much more heavily on fares from riders than transit systems in other cities, as measured by the “farebox recovery ratio” (passenger fare revenue divided by operating expenses). Farebox Recovery Ratio, Selected Cities: 58% NYC subways and buses 44% Chicago 38% Boston 36% Philadelphia Source: NYC Independent Budget Office estimates based on 2011 data from the Federal Transit Administration
  • 14. How the survey was conducted. www.cssny.org The Community Service Society designed this survey in collaboration with Lake Research Partners, who administered the survey by phone using professional interviewers. The survey was conducted from July 25th to August 21st, 2014. The survey reached a total of 1,615 New York City residents, age 18 or older, divided into two samples: • 1006 low-income residents (up to 200% of federal poverty standards, or FPL) comprise the first sample: � 537 poor respondents, from households earning at or below 100% FPL � 459 near-poor respondents, from households earning 101% - 200% FPL • 609 moderate- and higher-income residents (above 200% FPL) comprise the second sample: � 410 moderate-income respondents, from households earning 201% - 400% FPL � 199 higher-income respondents, from households earning above 400% FPL. • This year’s survey also included an oversample of 400 cell phone interviews among adult residents at up to 400% FPL. Telephone numbers for the low income sample were drawn using random digit dial (RDD) among exchanges in census tracts with an average annual income of no more than $40,000. Telephone numbers for the higher income sample were drawn using RDD in exchanges in the re- maining census tracts. The data were weighted slightly by gender, age, region, immigration status, education and race in order to ensure that it accurately reflects the demographic configuration of these populations. In the combined totals respondents in the low income sample were weighted down to reflect their actual proportion among all residents. Also, in the combined totals, the sample is weighted by telephone status. Interviews were conducted in English, Spanish and Chinese. In interpreting survey results, all sample surveys are subject to possible sampling error; that is, the results of a survey may differ from those which would be obtained if the entire population were interviewed. The size of the sampling error depends upon both the total number of respondents in the survey and the percentage distribution of responses to a particular question. The margin of error for the low income com- ponent is +/- 3.1%. The margin of error for the higher income component is +/-4.0%.