The bill outlines the Massachusetts Bay Transportation Authority's (MBTA) implementation of the Income-Eligible Reduced Fares (IERF) program, which provides reduced fare options for income-eligible riders across all transportation modes, including The RIDE paratransit service. Launched in September 2024, the program allows Massachusetts residents with incomes up to 200% of the Federal Poverty Level to access fares that are at least 50% off the standard price, supported by a $5 million allocation from the FY 2024 budget and a $20 million allocation from the FY 2025 budget. As of March 31, 2025, over 21,736 riders have enrolled, with a high satisfaction rate reported among participants. The program aims to reduce transportation barriers for low-income individuals and enhance access to essential services.
The bill also addresses the operational costs and service obligations of the MBTA regarding The RIDE paratransit service, emphasizing the unique cost structure influenced by ridership demand. The projected annual cost to meet the increased demand from the reduced fares is estimated between $16 to $21 million, with paratransit operational costs being the largest expense in the program's initial phase. The MBTA is analyzing data related to RIDE costs and passenger demand to understand the financial implications better and is committed to equity in public transportation. The agency is also working on initiatives to enhance service for paratransit customers while developing a methodology for accurately determining cost allocations for increasing paratransit expenses in future budgets.