The SamTrans board on Wednesday agreed to participate in a regional pilot program offering 50% discounted fares to low-income riders for at least one year starting in January 2021.
Dubbed Clipper Smart, the program is administered by the Metropolitan Transportation Association. Caltrain, Golden Gate Transit/Ferry and Muni are offering a 50% discount through the program while BART is offering a 20% discount.
More than 15 other transit agencies are tentatively set to participate in the program, including AC Transit, WETA, Marin Transit and others.
The discount is for single-ride fares and eligible riders must be adults earning less than 200% of the federal poverty household income level. An individual would have to earn less than $25,520 in a year and a family of four would have to earn less than $52,400 to be eligible for the program.
Participation in the program is expected to cost SamTrans between $448,000 and $1.3 million in lost revenue at a time when finances are strained due to the pandemic. A 20% discount would have cost the agency between $123,000 and $372,000.
Board members acknowledged the challenging financial circumstances facing SamTrans and all transit agencies, but did not hesitate to approve the deeper discount.
“Yes transit agencies are under severe economic duress right now and yes there is a bit of a reduction in revenue. But the folks who ride — especially the folks who ride the bus — are probably under more financial distress than we are,” said Board Member Peter Ratto. “Our riders tend to be folks that can’t work from home so I definitely think we should give them as great a level of support as we possibly can.”
Ratto also noted the 50% discount makes SamTrans consistent with Caltrain and BART.
Board Member Charles Stone, also Belmont’s vice mayor, praised Measure W, the half-cent sales tax for SamTrans approved in 2018, for allowing the board to approve the discount.
“[Measure W] allows us to have a lot more leeway when we want to do things like this,” he said. Stone’s vision is for the bus to ultimately be free to all.
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“There’s a philosophical question. ... Our fare box recovery is so low that at some point I think we need to ask the question how do we get to zero and make it so people can just get on and off the bus?” he said. “This is a move in that direction.”
A speaker during the public comment period of the meeting said the program helps compensate for regressive sales taxes, which are often used to fund transit agencies.
“Sales taxes are an easy way to pass a great big public benefit but it also falls more heavily on those folks with even less income,” said Stewart Hyland, organizing director with the Housing Leadership Council. “The Clipper START program is a way to sort of equalize and mitigate that effect.”
Board Member Dave Pine, also a San Mateo County supervisor, felt the income threshold of the program ought to be higher, but such a change would be up to MTC.
“Eligibility levels for a family of four you have to make less than $52,400 which in San Mateo County is like half of what you need to live,” he said. It was also noted during the meeting an estimated 50% of SamTrans’ current adult riders would qualify for the program.
On the subject of discounts, Pine said some of the ones currently being offered ought to be revisited in the future.
“We have discounts for youth and we have discounts for seniors and people with disabilities and I don’t think any of those are means-based and maybe they should be,” he said. “If you’re a senior and you have the ability to pay are we really asking that much to pay?”
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