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Committee asks LADOT for detailed cost and revenue data to analyze fare-free DASH option
Summary
The Transportation Committee voted to analyze which DASH fare-collection costs could be eliminated under a fare-free operation; LADOT told the committee it currently spends about $370,000 a year on fare collection and that fare enforcement paused in 2020.
On Jan. 22 the Los Angeles City Council Transportation Committee, chaired by Councilwoman Heather Hutt, directed the Los Angeles Department of Transportation to provide a detailed analysis of which fare-collection costs could be eliminated if DASH buses moved to a fare-free operation. The committee adopted the motion after a staff briefing and a request for additional financial and advertising revenue data.
A LADOT representative told the committee the department operates several fare-subsidy programs and provided a first estimate of current fare-collection costs. The representative described a state-funded “Dash to Class” program that provides free rides to students, a U-Pass program for university students such as USC, and a LIFE program based on household income that can make transit services free for eligible low-income riders. The representative said, “it costs around for all of our services around $370,000 a year, which includes bank fees, and those folks that have to collect and bag those, you know, fares.”
LADOT staff said fare enforcement ceased in 2020 during the COVID-19 pandemic: “We stopped using collecting fares, in 2020 when the pandemic.” The department also reported that fare-collection equipment such as tap machines remains installed on DASH buses and would only need to be reactivated to resume fare collection. LADOT said MB Transportation currently collects fares for some services and that the department can provide a breakdown of advertising revenue generated through bus advertising contracts (the department said it contracts with an advertising firm and receives a share of revenue).
Committee members requested that LADOT return with the following details: (1) an itemized annual operating cost for DASH fare systems, including cash-handling and bank fees; (2) revenue totals from bus advertising and the city’s share under the current contract; and (3) clarification about which contracted services currently collect fares. The LADOT representative committed to providing those figures to the committee.
During the meeting the committee recorded Chair Hutt voting yes and Council Member Park absent. Council Member Edlundis recorded a yes vote when the motion to request the analysis was adopted. The motion carried and LADOT will report back with the requested cost and revenue details for committee consideration.
The requested analysis is intended to inform a larger discussion about fare policy, ridership equity and operating costs; the committee did not adopt a fare-free policy at this meeting and no changes to fare policy will occur until the committee and full Council review LADOT’s report.
