
After a three-year hiatus, the Long Island Rail Road has brought back their “Summer Saturdays” discount. On any given Saturday this summer, a monthly ticket holder can ride anywhere on the railroad with up to two guests for $1 each, at a loss of up to $69 to the LIRR Co. per group. This excludes a few major trains to Montauk and Greenport.
This generous perk is meant to thank riders and promote leisurely use of the railroad this summer. While we all like a good perk and to be thanked for our patronage, one must ask how a company overseen by the MTA, which is staring down a $16.5 billion shortfall after NYC congestion pricing was postponed, is able to pass out free rides. The MTA plans to slash its capital budget by 30% and needed improvements will be temporarily scrapped until more funding can be secured. Meanwhile,
- Fare beating is up—costing the LIRR $1.4 million per year in unpaid fares,
- Monthly ticket prices were not fully restored to their previous price following the COVID-19 pandemic price slash,
- City-zoned Monthly tickets enjoyed an even further price cut recently,
- And, for the first time in memory (other than pandemic Peak 10-Trips, now defunct), Peak rush hour tickets are discounted by 20% in city zones in the form of a City Ticket.
City Tickets are day-of-purchase-only tickets that must be purchased in advance of travel, valid exclusively within city zones 1 and 3. They were recently extended beyond weekends to being available every day of the week.
With all of these new and charitable price cuts and discounts, one would think that the LIRR is highly profitable. In fact, the past decade has seen it slip from its ability to fund itself with its own revenue by at least half. The past few years have seen record inflation, yet there has only been one minor price increase, which didn’t even restore all its fare rates that were discounted during the pandemic. Only some of the decreased revenue might be attributable to a post-pandemic ridership drop.
While a radical fare increase across the board may not be the solution, perhaps a simple cessation of handouts would be a start. What purpose could Summer Saturdays and City Tickets really have? Do they bring more people in to ride the train rather than drive? Certainly not those living in the city utilizing a City Ticket when a mere 45% of NYC households even own a car. The math just doesn’t add up.
New York’s MTA was eager to ask passersby and residents alike to pitch in to fund the MTA via congestion pricing before asking its own riders to pay their share. While congestion pricing would have its pros and cons, it appears a tad hypocritical for the MTA to wallow in dismay over the loss of its potential funding when much of it would have to be used to fund optional discounts to its riders. The reason NYers were so upset by the prospect of congestion pricing is that they knew it wouldn’t discourage most drivers off the road as intended; that it would just be another cost-of-living hike they would have to absorb. Many were going to pay that toll rather than not drive, just as most riders would still pay the standard fare rather than drive.
When analyzed, charity ridership quickly takes on financial significance. Take, for instance, the Port Washington branch, in which nine out of 13 of its stations are in city zones. Assuming eight-car trains seating 85 passengers fully loaded during rush hours and half empty during off-peak hours, losing $4.25 per Peak ticket to City Tickets and $3.25 per Off-Peak ticket, this amounts to a daily weekday loss of $43,000 on this branch alone, or more than $7 million per year if every NYC rider used a City Ticket.
So, while NY’s non-commuters hope to stave off many of the negatives of congestion pricing, the MTA continues to hand out rides for fractions of their worth. Mass transit should, of course, remain affordable to residents, but should they enjoy even greater relief on the backs of non-commuters? It seems to me that the LIRR could tighten up its fare system to maximize its revenue before asking everyone else to pitch in, yet again, to save it.
Be sure to snag yourself a $1 ride with the monthly ticket commuter in your family by August 31, while the LIRR flagrantly misuses its funding and strategically hopes to shore up those losses by dipping into Manhattan toll money.
Jerry Gallo
Manorhaven