Financial Crisis

We can't afford to lose transit banner

Don't Let BART Go Broke!

Read and download our fact sheet.

The COVID-19 pandemic changed how Bay Area residents live, work, and travel. It hit BART and all other public transit systems hard, decimating transit ridership and, along with it, the transit fare revenue we rely on to keep trains running.

We are in an unprecedented moment, with the survival of BART at risk. While many workers, students, and our neighbors who depend on BART continue to ride, others have returned to transit more slowly and less frequently. The Bay Area has the highest work-from-home rates in the nation, and slowest downtown recovery, resulting in fewer commute trips.

BART is now running service using one-time federal emergency funds that will run out in 2025.

 

BART Revenue Sources FY19 vs FY22

Even with belt-tightening, we can’t cut our way out of the crisis. That is because rail has high fixed costs to maintain our infrastructure and low marginal costs driven by changes in service. BART would have to cut service 65-85% to save 20-40%. 

New state budget funds are coming but don't solve the full problem

The 2023 state budget included funds to help transit agencies address their short-term deficits. This money will help bridge the gap until we can secure more sustainable sources of money through a regional transportation measure which is being explored.

In the Bay Area specifically, the MTC will allocate $781 million of state budget money to transit agencies through FY25-26. On October 25, 2023, MTC staff recommended allocating to BART 45% of these Bay Area funds totaling $352M through FY25-26. This money would eliminate BART’s FY25 operating deficit and would reduce the FY26 operating deficit from $307 million to about $35 million, which BART can work to cover. 

Factoring in these new state budget funds, assuming MTC commissioners adopt the staff recommendation in mid-November 2023, BART is facing an annual $300M-$400M structural deficit.  

These state and regional funds are essential for maintaining BART service until we can get to a regional transportation measure in 2026 and a sustainable funding model thereafter.

Long-term and reliable funding source is needed to avoid service cuts

If new on-going funding is not secured, BART is facing devastating cuts that will have serious impacts on the quality of life in the Bay Area. 

BART is responding to the money crisis with these financial stability strategies:

  • Increase revenue and decrease expenses
  • Maximize efficiencies, reduce overtime; improve long term financial planning 
  • Improve service to keep our riders coming back and gain new riders
  • Provide frequent, reliable, safe, and clean service; reduce cancelled trips 
  • Promote taking BART for non-work trips
  • Advocating for new state and federal funding
Graphic of a BART Platform sign reading "Next Train 60 Min"

Consequences of a Fiscal Cliff:

  • 60 minute train frequency 
  • 9pm closure
  • Stations closed
  • Line shutdowns
  • No weekend service
  • Mass layoffs
  • Increased traffic congestion
  • Negative impact on state climate goals
  • Priority populations disproportionately impacted
  • No BART service

For the disabled, elderly, youth, and those unable to afford a personal automobile, BART is undeniably a lifeline; their travel needs will no longer be met. Those who don’t take BART can expect more congestion and longer travel times on our bridges and roadways as former BART riders take to their cars.

June 28, 2023: Statement from BART GM on state budget agreement

Presentations given to the BART Board of Directors

May 7, 2024: Board of Directors Meeting: FY 25 & 26 Budget Sources, Uses and Rail Service Plan 
October 26, 2023: Board Budget Workshop: Financial Context (includes the latest deficit numbers) 
October 26, 2023: Board Budget Workshop: Strategies to Reduce the Deficit
Feb. 23, 2023: Board Workshop: BART's Financial Outlook and Economic Context 
Feb. 23, 2023: Board Workshop: Update on Advocacy Strategy
Jan. 26, 2023: Fiscal Action Plan and Advocacy Strategy
 

Advocacy Letters

November 2022 Transit Agencies Joint Letter to the Pete Buttigieg about Transit Recovery Assistance
January 2023 Transit Operating Coalition letter to the Ca. Legislative Budget Committe Chairs 
March 2023 Transit Operating Coalition letter to Ca. Legislative Budget Subcommittee Chairs
May 2023 Transit Operating Coalition letter to Ca. Legislative leaders

 

Be a Transit Champion

The Bay Area needs safe, clean, and reliable public transit now more than ever to advance the core values of what it means to live and thrive in the region.

  • Think twice about driving and choose transit more often.
  • Talk to your friends and family about riding transit and take trips together.
  • Spread the word about transit in your local community and associations.
Long lens shot of a BART train surrounded by car traffic by Rockridge Station