The bill establishes a Fare Free Pilot Program for Regional Transit Authorities (RTAs) in Massachusetts, funded by $15 million from the Fiscal Year 2024 Massachusetts Budget Act. The Massachusetts Department of Transportation (MassDOT) Rail & Transit Division (RTD) will distribute these funds through a competitive grant process aimed at increasing ridership and accessibility for low-income individuals. A joint proposal from fourteen RTAs, known as the Try Transit 2.0 program, has been awarded funding to implement fare-free pilot programs designed to eliminate economic barriers for low-income individuals and attract new customers. The program allows RTAs flexibility in determining the duration of fare-free services, with some programs lasting several months. An additional $30 million in fare-free funding has been allocated for FY25, allowing thirteen RTAs to continue these services and collect further data on their long-term impacts.

The bill also highlights the positive correlation between fare-free services and increased ridership, noting that all fifteen RTAs reported an uptick in ridership compared to the previous fiscal year. It emphasizes the operational benefits of fare-free transit, such as improved customer satisfaction and efficiency, while also acknowledging challenges like confusion over eligibility and capacity concerns due to increased ridership. The report indicates that while fare-free policies can boost ridership, they may negatively impact farebox recovery rates, particularly among RTAs that provided extensive fare-free services. The bill calls for continued analysis in FY25 to better understand the long-term implications of these initiatives and the need for ongoing monitoring of ridership trends and operational impacts.