Abstract
The COVID-19 pandemic and its aftermath have caused significant financial uncertainty and distress for most transit operators in California (and, indeed, nationwide). Emergency measures taken early on to protect drivers and passengers meant increased operating costs at the same time that ridership and revenues — especially from fares — plummeted.In the face of this crisis, the federal government provided transit agencies with unprecedented operating support through three pandemic stimulus bills, which proved essential in fi lling budgetary gaps, stabilizing finances, preventing layoffs, and maintaining service. Other transit subsidies such as local option sales taxes (LOSTs) bounced back robustly after an initial decline.Yet ridership has returned only slowly and unevenly on most systems. In 2023, as some agencies spend down the last of their federal relief funds, financial shortfalls loom at formerly high farebox recovery and commuter-focused systems. Meanwhile, protracted labor shortages of vehicle operators and mechanics are preventing many systems from providing desired levels of service.To explore these issues, the research team surveyed transit agencies in California and across the country, conducted interviews with agency management, and analyzed financial and ridership data.
