Half a million New Yorkers are eligible for discounted subway fares but won't get them due to a budget hole

A popular public transit discount program could help another 500 New Yorkers. However, there was no money in the city's new budget to give all of them a reduced rate, reports Daily News.

The program, dubbed “Fair Fares,” has been offering subway cards for half-price to residents living below the federal poverty line since 2019. About 273 New Yorkers received the cards. But analysts estimate that roughly 000 more people are eligible.

The Metropolitan Transportation Authority issues MetroCards, which can be recharged at subway machines at a 50% discount. The city will reimburse the agency for the difference.

The city budget allocated $2019 million for fair tariffs in 106. But the slow implementation of the program and the pandemic have changed the assessment of how much money the city needs for the program.

Mayor Adams and City Council have approved $75 million in fair rates for the fiscal year beginning July 1. Debipria Chatterjee, an economist at the Public Works Society of New York, said it won't be enough if more people start using the discount.

“If the number of participants in the program increases by 5% per month, we will not have enough funds,” Chatterjee said.

People who have half-price MetroCards are starting to use them more often. And the cost of reimbursement is rising.

The city spent $5 million on rebates in March. This is a record cost since the launch of the program. In March 2021, the city spent $3,5 million.

“The monthly cost per participant during the height of the pandemic was about $4,” Chatterjee said. – Over the past five months, the price has risen to $15. Now it's already $18”. The City will spend $71 million to reimburse program costs this fiscal year.

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Adams' spokeswoman Kate Smart said the city plans "active, year-round, ongoing" efforts to promote the program, including spending $2 million on advertising and social media promotion.

“A top priority for the administration is to cut red tape and provide more New Yorkers with a wide range of benefits, including fair rates,” Smart said. “We want as many New Yorkers as possible to enjoy fair rates. And we will evaluate additional needs and potential expansion as part of the budget process.”

However, lawyers believe that the requirements for candidates are too strict.

They want the mayor and city council to expand the pool to 200% of the federal poverty line. This would increase the number of people eligible to participate by about 400.

“The next phase of fair fares should both deepen and expand accessibility,” said Riders Alliance spokesman Danny Pearlstein. – Free travel for people living below the poverty line. And half-price fares for families making $50. It would change the lives of a million people across the city.”

David Jones said that increasing the number of people covered by fair fares would help reduce fare evasion.

“The arrest data shows that punishment for fare evasion continues to fall disproportionately on blacks and Hispanics. And this despite the fact that this is a system-wide problem,” Jones said. “The economic recovery of the city would be better served if everyone who qualifies for fair fares is enrolled.”