Richmond’s zero-fare bus funding could run out soon

By Ian Stewart, Virginia Mercury

During fiscal year 2024, almost 11 million riders rode the bus in Richmond, or used paratransit, or LINK Microtransit services, according to the Greater Richmond Transit Company, an increase of 14% percent over last year. That boost is almost certainly due to GRTC’s zero-fare program that has allowed people to catch rides for free. 

But the program, which started during the pandemic, may be eliminated this summer, if a funding gap isn’t closed.

To spur corporations and the public into action, the non-profit advocacy group RVA Rapid Transit released a report last week at the University of Richmond’s Queally Center. 

Called, “Free to Move: The Role of Zero-Fare Transit in Advancing Health and Justice in Richmond,” the report breaks down the history of zero-fare, the demographics of riders and how the funding gap could damage ridership.

‘The need for accessible transit is urgent’

Faith Walker, executive director of RVA Rapid Transit, said her group spoke to 100 bus riders about how zero fare transit plays a critical role in their lives. Their report shows a funding need of $6.8 million for next year.

“The report clearly outlines the impact of fare free public transit, connecting individuals to jobs, health care, education, and essential services,” she said, “while contributing to reduced carbon emissions and more sustainable urban development. The need for accessible transit is urgent and we must act now to sustain and expand this vital service.”

The need Walker spoke of is a daily reality for Aqiyla McMillan, who has been riding the bus for more than a year, after her car broke down and an injury also sidelined her from driving. 

“I had a surgery, so I had to start getting around, getting to doctor’s appointments, getting to physical therapy, getting the kids to school,” said McMillan. “So I got on the bus one day thinking I had to pay and they were like, ‘Oh, no, the bus is free.’”

McMillan said not having to pay for the bus on a regular basis has been a lifesaver.

“I would have never been able to do that if there was fare on the bus,” she said. 

Where funding comes from 

The transit service gets funding from a variety of sources, including state and federal grants. Separate funding injections come from nearby localities and from the Central Virginia Transit Authority. But these funding sources help cover GRTC’s entire budget, not just the zero-fare program, according to spokesperson Ashley Potter.

A state grant of $8 million from the Virginia Department of Rail & Public Transportation (DRPT) called the Transit Ridership Incentive Program (TRIP) launched GRTC’s zero-fare ridership at the end of 2021. The purpose was to study and implement zero-fare service for a limited time, according to GRTC. Over a three year period, the funding would dwindle to zero.

The net cost for the zero- fare program for that time period was $20.4 million, according to Mass Transit, a trade publication. That’s after removing $1.2 million for fare collection costs. 

With the $8 million TRIP grant in place, other funding sources had to come forward to make the $20 million mark. So Virginia Commonwealth University stepped up to contribute $3.8 million, and GRTC ponied up $8.56 million in funds. The city of Richmond also contributed some funds. 

Knowing the DRPT grant was set to expire, GRTC launched a Transit Access Partnership program in 2023 to seek out other corporate sponsors and individuals to help sustain zero-fare ridership.

“Our focus for zero-fare and our TAP program has been at the forefront of what we’ve been doing over the last couple of months,” said Sheryl Adams, GRTC’s chief executive officer. “So, with the TAP program anyone can contribute. If you’re an organization, you can do a tax write-off through our 501C, which is Ride Finders.”

Torres said to help keep the program afloat, GRTC has also been seeking a variety of new sources.

“We have kind of gone after several paths to keep it sustained for the next year,” said Torres. “We’ve applied for a congestion mitigation air quality grant and that’s $2 million.”

New revenue from an expanded advertising program will also help with zero-fare funding, said Torres, who hopes to get up to two million dollars from it.

“We worked with the city and they did a franchise agreement, which now allows us to do advertising basically in any right of way, so not just at the pole stations, but at bus stops, shelters, poles, benches. We’ve also expanded the ability to advertise on our vehicles,” she said.

Adrienne Torres, the bus company’s chief of staff, said they’ve also been looking through their budget to see where else they can help with funds for the program.“We feel like we’re pretty close. Like I said, we have zero-fare in there for this year, but we still need to continue to have support for it,” she said. “Our grant applications are still pending. So hopefully we’ll know for sure in the next month or two where we are. Our budget’s going to go to the board in May. We have a strategy and a plan that hopefully will come to fruition for FY2026.”

Walker hopes her group’s new report on zero fare encourages everyone, from the members of the public to those with legislative power, to do all they can to help keep the service running. 

“I am calling on elected officials, employers, transit riders, environmentalists and everyday Richmonders to support the future of zero-fare transit through the GRTC Transit Access Partnership Program and their advertisement program,” said Walker. “It’s time to champion tap funding and ensure continued support for zero fare transit services.”

This article first appeared on Virginia Mercury and is republished here with permission. Virginia Mercury is part of States Newsroom, a network of news bureaus supported by grants and a coalition of donors as a 501c(3) public charity. Virginia Mercury maintains editorial independence.