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Rail News: Rail Industry Trends

Utah Transit Authority to consider fuel surcharge


Record-high gas prices helped the Utah Transit Authority (UTA) post record ridership in September at 142,420 daily passengers. But its own fuel costs are affecting changes at the authority, as well.

Because fuel expenses are projected to skyrocket from $4.9 million in 2003 to $12.5 million in 2006, the UTA board recently directed authority officials to review and develop plans to implement a temporary 25-cent fuel surcharge on rail and bus fares. The additional charge could be implemented in December and help the authority make up a projected $6 million 2006 budget shortfall.

To be implemented for a six-month period, the surcharge would be tied directly to fuel prices. If prices fall below a pre-determined level, the surcharge would be dropped; if prices remain high, the charge would remain in place another six months.

Contact Progressive Railroading editorial staff.

More News from 10/20/2005