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SANTA BARBARA – Santa Barbara MTD has kicked off a public outreach process seeking input from the public on a proposed adjustment to MTD’s bus fare structure. MTD’s fares have been unchanged for the past 16 years, but rising operational costs have necessitated an update to keep bus service sustainable and dependable in the future.

Operating costs have increased by more than 10 percent since Fiscal Year 2019, and fares only account for roughly 20 percent of MTD’s annual operating budget. The District’s major revenue sources are fares, Federal Transit Administration (FTA) operating assistance, and sales tax. With the FTA classifying Santa Barbara as a large urbanized area (UZA) due to the population growth confirmed by the 2020 Census, MTD is no longer eligible for FTA Small Transit Intensive Cities (STIC) funding of approximately $3.0 million per year, thus eliminating that funding source. In the absence of sufficient funding, MTD would be forced to make cuts to bus service.

In order to generate additional revenue of approximately $1.5 million to help fill that gap, MTD has put together two proposed alternative scenarios, shown in the table below. Alternative 1 consists of a $2.25 cash fare with moderately discounted passes, while Alternative 2 consists of a $2.50 cash fare with a greater discount on passes.

MTD will be hosting several open house style public meetings over the next month to discuss details and take input from community members. These meetings will have English-Spanish interpretation available and will be held as follows:

The outreach and survey period will run through mid-February, and the public is invited to visit https://sbmtd.gov/farechange to review the proposed alternatives and to complete a short survey. The survey is available in English and Spanish, and will also be available in paper form at the Transit Center and onboard MTD buses.

Any fare change would go into effect with MTD’s annual service changes on August 18, 2025.

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