Thursday, September 17, 2009
Smart Way gets support for proposed rate increase
A proposed fare increase on the Smart Way bus system that connects the Roanoke and New River valleys drew a small measure of support Wednesday.
Charles Tubman of Christiansburg, the only speaker at a public hearing on the proposal, said go ahead and raise rates. He rides Smart Way three times a week, he said.
The final decision rests with the board of the Greater Roanoke Transit Co., operator of the Smart Way and Valley Metro. The matter is scheduled for a vote Oct. 22.
The transit company has ordered four 57-seat motor coaches to replace its aging Smart Way fleet and wants riders to pay part of the cost.
"We're asking the riders to help us out here," said Carl Palmer, bus system general manager.
The proposal would increase the one-way fare to $4 from $3. A monthly pass that allows unlimited riding would rise to $120 from $100.
The new buses are scheduled to pick up the first passenger Jan. 4, the same day of the proposed fee increase would take effect if approved.
Because of federal and state support, four new buses, for which Motor Coach Industries charges $489,000 apiece, are expected to cost the Roanoke and New River valleys a total of $278,000, Palmer said. The brunt of the local costs will be paid by five entities that created Smart Way -- Montgomery County, Blacksburg, Christiansburg, Virginia Tech and Roanoke, Palmer said.
Without a fare increase, Smart Way will still get new buses and dip into reserves, Palmer said.
"We have what we call retained earnings here, kind of a savings account," he said.
Palmer said ridership totals about 64,000 a year, with the total for fiscal year 2009, which ended June 30, about 1.2 percent higher than for fiscal 2008. Ridership has fallen during April through July, he added. August numbers are not yet out.






