By John A. Charles, Jr.
Recently The Oregonian published a feature about TriMet’s ongoing death spiral.
Since 2015, the agency’s annual revenue from passenger fares has dropped from $117 million to $59 million, while operating expenses have grown. As a result, TriMet’s operating loss last year was $850 million.
TriMet is begging state legislators for a bailout, but we’ve already tried that. The legislature approved payroll tax rate increases in both 2003 and 2009. As a result, TriMet is now almost entirely funded by taxpayers.
TriMet anticipates that it will have to eliminate up to 51 of its bus lines by 2031 if it cannot improve its financial condition. We should probably let that happen. Transit is important only if people choose to use it. Most people in the metro region are making other choices.
Unfortunately, TriMet is in denial about these trends. The agency is planning to expand light rail service to Vancouver and tear up 82nd Avenue to accommodate bus rapid transit.
The TriMet Board is holding a strategic planning retreat this week. The Board should shut down plans for new service and prepare for the retrenchment that the market is demanding.
John A. Charles, Jr. is President and CEO of Cascade Policy Institute, Oregon’s free market public policy research organization.
