Fuel prices may spur UTA rate increase

As diesel prices across the country breach the $4-a-gallon mark, the Utah Transit Authority has announced a proposed fuel surcharge that would bump fares across the board on UTA bus, TRAX and FrontRunner services.

The charges would raise the single-ride adult bus/TRAX fare from $1.75 to $2, bring a monthly adult bus/TRAX pass from $58.50 to $66.50 and increase the new FrontRunner monthly transit pass from $145 to $160. Discounted fares for senior and Medicare-dependent riders will also get bumped, with single-ride fares increasing by 15 cents and monthly passes going from $28.50 to $33.50.

UTA spokeswoman Carrie Bohnsack-Ware said the proposal comes as a last resort.

"We've made $2.7 million in cuts ourselves," Bohnsack-Ware said. "We don't want to cut any services ... and we don't want to postpone projects."

Bohnsack-Ware said the surcharge is tied directly to the cost of fuel and that, in the event of gas dropping below $3 a gallon, it would be rescinded.

With fuel prices showing no indication of decline, the more likely scenario is that this could be the first in a series of increased fares.

UTA reported a $3.49 a gallon average fuel cost for the calendar quarter ended March 31st. The surcharge matrix the agency is using calls for additional charges as diesel prices pass whole dollar benchmarks. The current proposed increase covers fuel prices in the $3-3.99 per gallon range. When the next level of $4-$4.99 is reached, an additional surcharge could be assessed. Each increase would add about $200,000 to UTA's monthly revenues.

The U.S. Department of Energy indicates that fuel prices in Utah's Rocky Mountain region have climbed steadily throughout the month of April and were averaging about $4.14 a gallon for the week ended April 28. That's up 3 cents from the previous week and an increase of $1.15 a gallon from a year ago.

Bohnsack-Ware said that UTA quarterly figures were generally available in the month following the end of the quarter, which would mean August could bring another round of surcharge increases.

The scheduled fare increase for the beginning of next year will remain in place, regardless of the fuel surcharge increases.

The increase may not sit well with transit riders, especially those who saw the FrontRunner as a cost-saving measure for their commute.