Latest news with #RhodeIslandPublicTransitAuthority
Yahoo
13-06-2025
- Business
- Yahoo
'It is essential': Riders and advocates plea for a lifeline for RIPTA
PROVIDENCE - Public transportation advocates are making a final push for state lawmakers to rescue the Rhode Island Public Transit Authority from a looming budget crisis that, if unaddressed, could slash bus service across the state. They came to the House Finance Committee in support of a slate of bills that would close or partly close a projected $33 million RIPTA budget deficit for the year starting July 1, protecting bus routes and transportation for the disabled. Jean Ann Giuliano of East Greenwich said RIPTA service had been a "game changer" for her 28-year-old autistic son, allowing him to live independently and ride it to his job at CVS. "RIPTA for him is a lifeline. It is not a convenience for James, it is a necessity. It is essential," Giuliano said at a May 21 House Finance Committee meeting. "Last year, the bus he takes was on the chopping block ... fortunately it was saved. This year it is probably going to be on the chopping block again and for us it is panic time." Amy Jo Glidden, co-chair of Rhode Island Transit Riders, said the cuts to bus service that would be required without money budgeted for transit would result in layoffs at RIPTA, routes cut or made less frequent, and lost jobs across the state by people who are no longer able to get to work. "This issue is personal for me. I do not own a car and rely on the bus to get around," Glidden said. "If RIPTA does not get the $32 million, catastrophe awaits." RIPTA's budget woes have reached this crisis point over the course of many years, but like most transit agencies in the United States, accelerated during the COVID pandemic. The pandemic cratered ridership and sent costs spiraling, but for four years federal aid plugged the revenue gap. Gov. Dan McKee has not suggested any new funding ideas for RIPTA. The "Save RIPTA" alliance has backed seven different public transit funding bills and it is not clear which have the best chance of passing. They include: Appropriating $32 million in the state budget Borrowing $100 million for transit Shifting more gas tax collections to RIPTA Dedicating taxes collected from ride-hailing companies such as Uber to transit Using every year of inflation to calculate the every-two-year gas tax increase (currently only the most recent year is counted.) Last year, the General Assembly provided $15 million − the other half of the deficit was plugged with the last remaining COVID funds − but made no move toward funding the agency long term. The one string attached to the $15 million was a requirement that RIPTA conduct an "efficiency study" by March that would search for ways to run the bus system at lower cost or in a way that generates more revenue. But last year was also a time of turmoil at RIPTA and, after the ouster of former CEO Scott Avedisian, the bus system's board of directors opted to give new CEO Chris Durand's team and consultants more time to search for efficiencies. On Thursday, May 22, Durand told the RIPTA board that the study was still being finished and he expected more documents from it to be available next week. RIPTA did send a "best practices review" of other similar-sized transit agencies from study consultant WSP to lawmakers May 16. It recommended, among other things, eliminating underperforming routes, increasing eligibility verification for paratransit service and shifting some service to "microtransit." On the revenue side, the report said agencies could look for more advertising opportunities. House Speaker K. Joseph Shekarchi said May 22 he has more requests for spending than the state has revenue and he expects RIPTA to find efficiencies. "They have to right the ship," he said about RIPTA. "The reality is they have to change. Public transit is important, for the economy and environment ... We gave them an extra $15 million and all I asked for is an efficiency study that's behind schedule." The only bill in the Save RIPTA package that McKee's administration has weighed in on is a proposal to shift some gas tax proceeds from highway projects to transit. Transportation Secretary Peter Alviti Jr., who is also the RIPTA board chairman, wrote to lawmakers that the Department of Transportation opposes the bill because it would "result in an annual loss of approximately $7 million, significantly impacting our capital program." Liza Burkin, board president of the Providence Streets Coalition, argued at the Finance Committee meeting that it is past time state leaders start making long-term decisions about RIPTA. "It is very sad we are still in the same place. We have studied this over and over and over and over," Burkin said. "The Save RIPTA campaign has chosen seven different ways of funding RIPTA. They are diverse, different ways. It is up to you all to decide. Just choose one or two." This article originally appeared on The Providence Journal: RIPTA is heading toward a crisis. Riders are begging for a lifeline.
Yahoo
11-06-2025
- Business
- Yahoo
Living on a prayer? House budget gets RIPTA almost halfway there in plugging $32.6 million deficit.
Public transit advocates fear service cuts may be inevitable with the Rhode Island Public Transit Authority still facing a significant deficit in the Rhode Island House's proposed fiscal 2026 budget. (Photo by Christopher Shea/Rhode Island Current) Motorists were already facing a penny increase in the tax they pay for every gallon of gasoline on July 1, 2025. But now they face the possibility of paying more in order to cut the Rhode Island Public Transit Authority's (RIPTA) looming budget deficit. Under the House of Representative's version of the fiscal 2026 budget released late Tuesday night, the state's gas tax — now slated to rise from 37 cents per gallon to 38 cents on July 1 — would rise by another two cents to 40 cents, with that bump directed toward the RIPTA. The move would generate $8.7 million for the cash-strapped agency according to a summary of the proposed House budget. The House's budget also ups RIPTA's share of Highway Maintenance Account funding by $5.9 million, plugging the agency's budget gap by nearly $15 million. Revenue for the fund comes from vehicle registration fees. The total of $14.6 million helps to plug a $32.6 million deficit the agency faced in the governor's budget released in January. RIPTA CEO Christopher Durand expressed gratitude to House lawmakers for recognizing the urgent need to find more revenue for the agency in a statement Wednesday. 'The agency has long needed a consistent funding stream to allow us to better support getting Rhode Islanders to work, school and healthcare,' Durand said. 'The last time the agency saw a permanent change in its funding structure was over ten years ago.' But the remaining $18 million gap could mean RIPTA may have to lay off drivers and reduce or eliminate bus routes. Durand said the agency's staff is still analyzing the full impact that the new budget gap could have on RIPTA's services. Rhode Island's gas tax is the highest among New England states, according to January 2025 data from the U.S. Energy Information Administration. Motorists who buy gas in Vermont now pay 32 cents per gallon while the tax is 30 cents in Maine, 27 cents in Massachusetts, 25 cents in Connecticut and 24 cents in New Hampshire. But there are no complaints about the increased tax from AAA Northeast, which puts out weekly updates on the average cost of gas in Rhode Island. As of Monday, Rhode Island drivers paid an average of $2.97 per gallon. 'AAA Northeast generally supports gas taxes that help fund and improve broader transportation infrastructure, from roads and bridges to mass transit,' spokesperson Mark Schieldrop said in an emailed statement. 'Funding for public transportation can lead to increased use and ultimately, less traffic congestion for drivers.' The gas tax on every gallon of motor fuel purchased in Rhode Island is adjusted every two years based on inflation to comply with a 2014 law. John Flaherty, a senior adviser for GrowSmart RI, called the nearly $15 million revenue infusion 'a step in the right direction,' but still worries it's not enough to keep RIPTA's operations at existing levels. 'Until we commit to building a system that's going to work for more people in this state, we're going to continue to deal with this issue,' Flaherty said in an interview. 'It seems inevitable that there will be some service cuts.' Providence Streets Coalition Board President Liza Burkin estimates RIPTA could see 160 layoffs and significant service cuts, including paratransit service for riders with disabilities. But House Speaker K. Joseph Shekarchi told reporters Tuesday night that the paratransit program will remain untouched and that he did not see other service cuts as inevitable. Shekarchi pointed to an overdue efficiency study lawmakers mandated in the fiscal 2025 budget as a way the agency can save costs on staff, operations and equipment. 'I think they need to look at everything,' Shekarchi said. RIPTA's board of directors commissioned WSP to do the efficiency study on March 27 at a cost of $412,346. The study is being completed in three phases. An initial 19-page memo from Canadian-headquartered engineering consulting firm WSP was thin on details in comparing RIPTA with five peer agencies across the country. It did point to an agency's pursuit of 'universal access agreements,' defined as partnerships where employers pay an annual fee to cover their workers' fares to commute. RIPTA entered such an agreement with Amazon and through partially subsidized fares for Omni Providence Hotel employees. In a 20-page draft report issued May 30, WSP recommended investing in routes that are already high performing, potentially eliminating underperforming routes, and expanding commuter programs. Low scoring routes in the report include the 88 bus, which travels in the morning and afternoon from Simmons Village in Cranston to the Walmart off Plainfield Pike; Route 69, which connects the University of Rhode Island to the Port of Galilee; and the 59X express route in North Smithfield and Lincoln. But transit advocates want all routes to be maintained, arguing that low ridership routes often provide a vital service for the state's most vulnerable residents. They add that RIPTA is already an efficient agency. 'I have no confidence that another efficiency study is going to reveal some big savings that's going to enable us to get on with building a system that gets more people where they're going in a reasonable amount of time,' Flaherty said. Zack Mezera, Rhode Island organizer for the Working Families Party, expressed concern that lawmakers chose to raise the gas tax instead of enacting a higher income tax on Rhode Islanders earning over $625,000 a year. 'Throughout this session, Rhode Islanders have been at the State House week after week, imploring state leaders to increase revenue by having the 1% pay their fair share this year, because we can't afford to let the losses pile up,' Mezera said. The House released its proposed budget on the same evening the Rhode Island Senate unanimously confirmed Bernard Georges to join RIPTA's board of directors. Georges told Rhode Island Current he was aware of the agency's financial woes, but still needs to get up to speed. 'I need to give myself a full insight about the operations of the organization,' he said. Rhode Island Department of Transportation Director Peter Alviti Jr., the chair of RIPTA's board of directors, said the eight-member panel will be meeting on how the agency can move forward on whatever final budget is provided. 'As the Speaker said, our decisions will be informed by the efficiency study,' Alviti said in a statement Wednesday afternoon. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Yahoo
11-06-2025
- Health
- Yahoo
Every RIPTA route tells a story. Is the General Assembly listening?
The RIPTA 40 bus serves stops in the Providence area between Butler Hospital and Kennedy Plaza. The route's low score in a new efficiency report fails to represent its vital role in helping passengers access psychiatric care and outpatient mental health and substance abuse programs, public transit advocates say. (Photo by Dylan Giles) A new study for the Rhode Island Public Transit Authority (RIPTA) is supposed to identify possibilities for cutting overhead costs in the name of 'efficiency.' A recently released chapter of the report attempts to classify the impact of bus routes using a composite route score that factors in impact, efficiency and equity. This efficiency study was ordered in 2024 by the governor and the General Assembly as a condition of granting RIPTA the $15 million it needed to continue operating without service cuts. But Gov. Dan McKee's proposed budget released in January left RIPTA facing a $32.6 million budget deficit because of cost increases due to inflation, COVID relief money running out, and finally paying drivers a living wage. Health care and RIPTA prevail in lawmakers' revised fiscal 2026 budget The House version of the fiscal 2026 budget released Tuesday night includes an estimated $15 million in annual funding for RIPTA, about half of what the agency needs to maintain current service. This all but guarantees that the results of the efficiency study will be used to guide route cancellations and service reductions. While the additional revenue will help, the agency cannot 'fat-trim' its way out of what now is a $17 million hole. Riders who rely on routes that scored lowest in the new study are likely to be most at risk. Consider the 40 bus, which received low scores, especially on impact. The 40 serves Butler Hospital, connecting riders with not only urgent psychiatric care, but also many outpatient mental health and substance abuse programs. How is this not one of the most impactful routes? Likewise, the 66 bus received an even lower score than the 40, but it provides vital service to students and staff of CCRI and URI, not to mention being a one-seat ride to the airport. Yet another example is the 73, even lower on the list, one of the only buses that serves Central Falls, the most densely populated area in our state with the largest percentage of people without driver's licenses. The data points do not tell these stories. To their credit, the writers of the report go out of their way to acknowledge that the data does not account for the real-world impact of low scoring routes. 'Some routes may perform lower in terms of ridership,' the report states, 'yet still benefit the network as a whole by feeding passengers into other routes, serving vulnerable populations and providing service coverage in transit-dependent neighborhoods.' The report attempts to strike an unachievable balance, ranking routes like they are players to be cut or traded, while calling low performing routes 'lifelines' and highlighting how any cuts to service will undoubtedly harm individual users. It even suggests maintaining service on the lowest scoring route, the 88, which links subsidized housing for the elderly at Simmons Village with the Cranston Walmart, because it connects people to vital services. Reducing service would also undermine RIPTA's progress on the Transit Master Plan. For example, the plan calls for more crosstown and rural routes, yet many of these routes receive low scores in the efficiency study draft. For example, Pawtucket's crosstown routes received lower scores, as well as some of the express (X) buses, like the 59X in North Smithfield and Lincoln. Yet the report also noted the importance of the route as it connects commuters to employment centers. Furthermore, park-and-ride users are often 'choice' riders, who can choose to drive or take the bus. One rider noted that choice riders have a larger impact on climate change since most of their trips would otherwise be made by driving. The report attempts to strike an unachievable balance, ranking routes like they are players to be cut or traded. The report also highlights how important the fixed-route service is in achieving our climate goals. It states that fixed route service lowered statewide vehicle trips by 11.5 million trips and vehicle miles traveled by over 43 million miles. Furthermore, emissions of volatile organic compounds were reduced by 96% and greenhouse gas emissions by 25%. These numbers show how RIPTA is essential to reduction in carbon emissions required by the Act on Climate. Any reductions of fixed route service would lower the environmental impact of RIPTA and increase vehicle trips and emissions. Any reductions on fixed route service will also impact service for people with disabilities, known as RIDE. Federal law mandates that RIDE service must be offered to disabled people within ¾ mile of a bus route. However, if that fixed route service is cut, all of the RIDE service along the route will be cut as well. The RIDE service also aids in our climate goals, further lowering statewide vehicle trips by 69,400 and reduction of vehicle miles traveled by over 1.7 million RIDE participant of the 'RIDE anywhere' pilot program noted, 'Up until the program began, I was housebound for 5 years.' The data points in the report tell one story. Yet the underlying message of the report actually illustrates the importance of the totality of the services that RIPTA provides. Its narrative is that we should provide RIPTA with the full $32.6 million that covers each and every one of the routes. In order to achieve our economic and climate goals, we must fully fund RIPTA and provide them with a sustainable funding source for the future, so they are not underfunded year after year. Funding RIPTA will ensure that the routes in 37 out of 39 municipalities in Rhode Island will continue along with vital service for those with disabilities, students and commuters. Otherwise, we face service cuts that will devastate rural and suburban service and cut off transportation access for those with disabilities. Cutting service in the name of efficiency abandons the very people transit is meant to serve. To build a fair, connected Rhode Island, we must fully fund RIPTA's $32.6 million shortfall and commit to equity as a guiding principle — not a secondary goal. Public transit isn't just about numbers; it's about people. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
Boston Globe
11-06-2025
- Business
- Boston Globe
New taxes, money for primary care: Here's what's in the revised $14.3 billion R.I. state budget
Reimbursement rates for primary care doctors Shekarchi, a Warwick Democrat, said the House budget adds $45 million to boost Medicaid reimbursement rates for Get Rhode Map A weekday briefing from veteran Rhode Island reporters, focused on the things that matter most in the Ocean State. Enter Email Sign Up 'We are facing a primary care crisis in the state of Rhode Island,' Shekarchi said, noting that his own doctor retired and he does not have a primary care physician. He said legislators had heard from constituents that they are struggling to find primary care doctors. Advertisement 'There is a real problem,' Shekarchi said. 'And we can't afford to just study it another year or two. We need to take action.' The budget also provides an additional $38 million for hospitals and invests $12 million more in nursing homes. 'We recognized health care is important to our constituencies,' Shekarchi said. 'Taylor Swift' tax and other tax changes The revised budget creates a new tax on non-owner occupied homes worth more than $1 million, which has been dubbed the 'Taylor Swift tax' in the past because the megastar singer owns a $20 million home in Westerly. Advertisement The tax would be assessed at a rate of $2.50 for every $500 of the assessed value in excess of $1 million. The House has not yet calculated how much revenue the new tax will generate, but Shekarchi said the money will be committed to producing housing and addressing homelessness. The budget also would increase the hotel tax from 1 percent to 2 percent and includes McKee's proposal to impose a 5 percent tax on short-term rentals of entire homes, which are common on platforms such as AirBnB. The budget also would increase the real estate conveyance tax. The new budget bill also extends the 7 percent sales tax to parking, a request by Providence Mayor Brett Smiley. The budget does not include McKee's proposal to hike the cigarette tax by 50 cents to $5 per pack. No new income tax on the rich The budget would not raise incomes taxes on the rich. With the Trump administration slashing key programs and the state facing a budget deficit, advocates were calling for lawmakers to As the — Edward Fitzpatrick (@FitzProv) Advocates cited the example of Massachusetts, which has generated $2.6 billion in revenue this fiscal year with a voter-approved millionaires tax. Opponents warned the tax hike would hamper Rhode Island's ability to compete for businesses, hurt pass-through corporations, and drive the rich to tax-friendly states. Shekarchi said, " We don't know what changes are going to be made in the federal tax code. We felt comfortable enough to do the non-owner-occupied taxes over a million dollars at this time, and we will revisit that (tax the rich) issue when we have more clarity from Washington." Advertisement Gas tax increased to fuel RIPTA The budget would raise the state gas tax by 2 cents per gallon to fund the Rhode Island Public Transit Authority. Shekarchi said this is not a one-time infusion of revenue such as the $15 million in federal COVID aid the legislature provided RIPTA last year Shekarchi said public transportation is necessary for many Rhode Islanders, and he said the budget ensures the agency will not cut the Transit Tax relief for Superman The amended budget bill incorporates the sales tax relief requested by the owners of the Advertisement Washington Bridge money Lawmakers plan to reallocate $22 million in Rhode Island capital funds toward the Washington Bridge, now that McKee has laid out a Truck tolls Despite no public plan to turn them back on, the budget includes $10 million from resuming truck tolls, which had been halted after a In December, a federal appeals court ruled that the state can resume the tolls as long as it removes caps for in-state trucks. The tolls had been generating $40 million a year before they were stopped. Shekarchi said the Department of Transportation has not provided a date for reinstating the tolls. No new tax on digital advertising McKee proposed a new 10 percent tax on digital advertising revenues in the state, which would only apply to media companies with more than $1 billion in global revenues. But the administration quickly reversed course and said the proposal would exclude news media outlets. And the budget includes no revenue from that proposal. 'Honestly, it was just too speculative,' Shekarchi said. 'There's only one state in the union that's doing that. That's Maryland, and they're currently in two lawsuits. I did not feel comfortable putting that into the budget.' No Citizens Bank building The budget provided no money for McKee's proposal to purchase and renovate a 210,000-square-foot building from Citizens Bank in East Providence and move 800 state employees there. Advertisement Education and child care Lawmakers increased funding to special education in the state's funding formula, which Majority Leader Christopher R. Blazejewski said would result in $16.5 million more for school districts compared to McKee's proposal. The total amount of education spending for public school districts and charter schools is $1.3 billion. The revised budget also makes a change to how child care is funded, separating infant and toddler rates so that child-care centers can get a 20 percent higher subsidy for infant rooms, which are the most expensive to run because of mandatory teacher-to-infant ratios. The high costs have been Electric vehicle and hybrid car owners zapped with higher fees McKee had proposed to increase registration fees for electric vehicles, and lawmakers opted to raise those fees even higher. The electric vehicle registration fee would be $200 per year, plug-in hybrid registrations would cost $100, and hybrid vehicles would cost $50 a year. Edward Fitzpatrick can be reached at
Yahoo
29-05-2025
- Business
- Yahoo
RIPTA's efficiency study is a third of the way there
A Rhode Island Public Transit Authority bus is seen parked outside the State House on April 29, 2025. (Photo by Christopher Shea/Rhode Island Current) The state's legislative leaders don't yet have the efficiency study they asked for from the cash-strapped Rhode Island Public Transit Authority (RIPTA), but for the past two weeks, they've had a 19-page report. That puts the state's public transit agency a third of the way done with an overdue study lawmakers mandated RIPTA deliver to them by March 1. The efficiency study was requested by Gov. Dan McKee and the General Assembly as a condition in last year's state budget to plug the agency's deficit. RIPTA now faces a $32.6 million shortfall heading into the fiscal year beginning July 1. House Speaker K. Joseph Shekarchi, who has made clear there is no extra money to fill RIPTA's deficit now that federal pandemic aid has dried up, confirmed Wednesday that he had received the report. 'I received an embargoed synopsis that I have not fully reviewed yet,' Shekarchi said in a statement. 'However, I look forward to hearing from RIPTA on how they plan to change their management practices.' Senate President Valarie Lawson said she too plans to review the memo sent by RIPTA. 'This is an issue that has been a top concern of many members of the Senate,' she said in a statement. 'A robust public transit system is vital to our economy and quality of life.' RIPTA's board of directors commissioned Canadian-headquartered engineering consulting firm WSP to do the efficiency study on March 27 at a cost of $412,346. The scope outlined in RIPTA's request for proposals called on the contractor to deliver a memo within 30 business days detailing best practices among public transit agencies, a performance assessment of transit operations within 45 days, and a review of the state's long-term transit strategy and its implementation within 75 days. 'We're working rapidly to get all reports coming out of the study to the General Assembly as soon as possible to inform the state budget,' agency spokesperson Cristy Raposo Perry said in an email to Rhode Island Current. 'We will update you when the next product is complete.' WSP completed the first phase on May 16, a report that looked at five other similar-sized transit agencies. The peer comparison report confirmed that RIPTA is not alone in facing a post-pandemic deficit. The other agencies were Hampton Roads Transit based out of Norfolk, Virginia; Regional Transit Service, which services Rochester, New York; Capital District Transit Authority, which serves Albany; Delaware Transit Corp.; and the Kansas City Area Transportation Authority. The report found per capita spending ranged from $23 to $145 among the five while administrative cost per service hour ranged from $21 to $48. Other data points included advertising revenue and passenger trips per service hour and fare revenue per trip. But no corresponding figures for RIPTA are provided in WSP's memo. 'Recognizing the timing constraints related to the state budget process concluding in June, we have structured the scope of work to prioritize delivering critical information as quickly as possible,' Raposo Perry said. 'This includes sharing draft deliverables such as this. The final report will include those figures.' A man who answered the phone at a Connecticut number for WSP said he could not answer questions about the report and then hung up. A spokesperson for the firm in Montreal did not immediately respond to an email requesting comment. 'Many agencies are facing a drop in funding due to expiring pandemic funding and rising costs due to inflation,' the WSP report states. WSP pointed to a 'novel approach' of one agency's pursuit of 'universal access agreements,' defined as partnerships where employers pay an annual fee to cover their workers' fares to commute. But the report does not specify which of the five agencies had embraced these initiatives. RIPTA has already been coordinating with area employers to boost revenue. In January, RIPTA extended its 10x and 28 routes to align with shift schedules at the new Amazon Fulfillment Center off Route 6 in Johnston. In return, Amazon agreed to pay $90,000 annually over the next decade to cover employee fares. On Wednesday, RIPTA announced that the Omni Providence Hotel First Hotel Group had agreed to partially subsidize fares for 216 employees who work at Rhode Island's largest hotel. Passes for the general public cost $70 but the pass costs $65 for participants in the 'Wave to Work' program. Raposo Perry said the hotel will pay $45 per monthly pass, while hotel employees pay the remaining $20 balance for unlimited bus rides. Legislators have proposed their own measures to close RIPTA's deficit. That includes legislation that would put a $100 million transit bond on the 2026 ballot, upping the agency's share of the gas tax, and added rideshare fees that would go directly toward funding mass transit. Transit advocates have also pointed to resolutions introduced in the House and Senate in late February that would appropriate the full $32.6 million to keep the agency afloat for another year. But the Rhode Island General Assembly is facing significant challenges with a budget deficit and potentially devastating federal funding cuts with just weeks to go before the end of the 2025 legislative session. Among them, a $17.8 million budget shortfall for the state's homelessness services and an additional $15 million to cover proposed pay raises for state troopers and correctional officers.. The state will also have to make up a $24 million shortfall in education aid to local school districts in its fiscal 2025 and 26 budgets after a correction was made to data on the number of students in poverty. SUBSCRIBE: GET THE MORNING HEADLINES DELIVERED TO YOUR INBOX
