Issue 348 January 14, 2002
NJ Fare Increase: Public Process Survives

Advocates and riders have staved off the worst elements of NJ Transit's fare policy change. The measure approved by Transit's board last Monday preserves basic aspects of public process - public hearings and approval by the Governor - in the event of further fare increases. The agency had sought the power to unilaterally raise fares at the rate of inflation for the next five years, and to classify weekly and monthly pass discounts as "promotions" that could be rescinded at any time.

Unfortunately, NJ Transit did not agree to withhold the large percentage increase it pushed for Newark-NYC fares until after the lower Manhattan PATH line is restored. The hike will likely push even more riders into the jammed 33rd St. PATH line.

The NJT press release that accompanied the board decision said, "The top three issues raised by our riders - retaining the round-trip excursion fare for off peak travel, retaining a 55% discount for senior citizens and people with disabilities and holding additional public hearings for possible inflationary fare increases over the next five years - have all been satisfied in the final version of the fare policy initiative." 

Here is a summary of what will be implemented as of April 1, 2002:

  • 10% fare hike on buses, trains and the Newark subway, but not the Hudson Bergen Light Rail line;
  • A 25% discount for excursion rail tickets will remain in effect, but riders will be barred from using the ticket during peak hours, when presumably, the $5.00 surcharge will be in effect;
  • The surcharge for buying a rail ticket with cash on board the train will jump to $5.00, but the effect of this punitive charge will be considered after 1 year;
  • Unused monthly, weekly and ten trip rail tickets will still be refunded if unused, but other tickets will not be refunded past a standard expiry period.
  • NJT is authorized to set fares for new services (such as Montclair-Midtown, South Jersey Light Rail line, etc.) and to include them in the five year fare plan;
  • The #126 Hoboken-New York City bus fare will be restored to standard interstate rate;
  • Price of a one-way rail ticket between Newark Penn and NYC Penn rises to $3.30 to match the Broad StNewark price, and the round trip ticket for both locations will jump to $5.00. 
The fine print in the board's approval stated that: "Any and all services operated or acquired by NJTransit will be subject to average annual or cumulative fare increases from FY 2003-FY 2007, consistent with the Zone of Rate Freedom (ZORF)." The Resolution that the Board passed also stated that the "a five year FY 2003-FY2007 fare increase policy is adopted. Average fare increases over this period, calculated before rounding of specific fares, will be authorized consistent with the ZORF index." 

Despite repeated requests, transit advocates have not been given the cryptic ZORF index, and do not know who keeps it, makes it, or the basis for it. The ZORF was reportedly created when private bus carriers were deregulated to allow them to charge whatever the market would bear. It is reportedly administered by the NJ Div. of Motor Vehicles. But public hearings would be held before any ZORF-related fare increase is put into effect. 

What will not be implemented as part of the original NJTransit fare plan:

  • Senior citizens and disabled people will retain their 55% discount.
  • One- and two-fare bus zones will remain and will not be combined into a single zone; The Board asked NJT staff to continue studying this proposal and report back in Jan. 2003.
  • One-way fares were not formalized as the established fare on all routes, discounted fares remain in effect and are not considered promotional or subject to change.

MTR #348 portable document format (PDF) file version
(requires Adobe Acrobat).


Related Articles and Links

NJ Transit's Holiday Hearings Can't Keep Riders Away (Jan. 7, 2002)\

NJ Transit Pushes Lame Duck Fare Hike (Dec. 17, 2001)

Tri-State Campain's  press release and testimony for the NJ Transit hearings


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