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Commission grants five-year franchise to RiverNorth Transit; city to move to microtransit model amid rising per-ride costs
Summary
After staff described declining ridership and rising per-ride costs under the fixed-route system, the commission authorized a new contract to transition Springfield’s public transportation to a microtransit provider (RiverNorth Transit/Via) with an operational model intended to stabilize costs and expand point-to-point service.
The Springfield City Commission voted on June 30 to grant authority to RiverNorth Transit LLC to operate the city’s public transportation system under a new contract structured around a microtransit model.
Staff and transit contractors told commissioners that Springfield’s historical fixed-route system has seen ridership fall from about 280,000 annual rides in 2014 to roughly 120,000 in 2023 while the full cost per ride rose from about $6.83 to roughly $18. With city contributions rising from about $200,000 annually to nearly $400,000, staff said the fixed-route model had become financially unsustainable for the city without a redesigned service model or larger local subsidies.
Transit staff said they sought bids through an RFP process, reissued after initial interest but no bids; three vendors later submitted proposals and evaluation teams recommended Via (operating under the RiverNorth Transit arrangement) as the most affordable and sustainable operator. The new model uses point‑to‑point on‑demand vans (microtransit) rather than large diesel buses and maintains a $1 base fare (with a $2 typical trip cost for riders who transfer under the old model), paratransit service and discounted bulk pass options. Staff said typical new vehicles carry up to six passengers and the initial fleet would be about 16 vehicles; software-driven routing will dynamically match riders and enable data-driven service adjustments.
Commissioners and public commenters raised concerns about communication with existing riders, potential wait times, how veterans and riders with disabilities will be accommodated, and whether private employers could partner to buy bulk passes for employee commutes. Staff said bulk pass and discount options will continue, that paratransit and mobility‑device transport will be supported, and that Via’s software allows ongoing adjustments to hours and fleet deployment based on ridership data. Staff also said about 80% of operating funding historically comes from the Federal Transit Administration (FTA), and noted federal funding uncertainty could affect long‑term cost assumptions.
The ordinance granting the franchise passed by roll call. Staff emphasized the vote authorizes the operational transition; contract execution and subsequent service launch depend on negotiated terms and implementation steps.
