LANSING, Mich. – Increasing the state’s investment in public transit would create jobs vital to Michigan’s economic turnaround and give commuters reprieve from skyrocketing gas prices, members of the state’s largest public transit group said today.
At a press conference in Lansing, representatives from the Michigan Public Transit Association (MPTA) along with a group of bipartisan state legislators, launched a new online tool, www.gasolinepain.com. Citizens can go to the site to learn more about their local transit agency, get connected with their local legislator and compute their commute – a new online tool that calculates how much money citizens can save by utilizing public transportation.
“Michigan citizens depend on public transportation to get to and from their jobs, school and downtown areas,” said Clark Harder, executive director of MPTA. “With the skyrocketing gas prices, agencies across the state are seeing an uptick in their ridership. Residents can now compute their commute at gasolinepain.com and learn how they can protect their pocketbooks in these tough times.”
Job creation is one reason for increasing investment in public transit. Transit operations employed about 9,200 workers and contributed $1 billion to the state economy in 2008, according to a study released by MPTA and the Michigan Department of Transportation last year. The same study showed that each dollar spent on bus service results in an economic benefit of nearly $1.50, and that every 10 jobs created in public transit generate an additional six jobs elsewhere in the economy. Additionally, the money passengers save by taking the bus adds up to $264.4 million annually, which they can spend in other parts of the economy.
“Demand for public transit has never been greater in Grand Rapids and across Michigan – so it’s unthinkable that the state would disinvest in its transit systems,” said Jennifer Kalczuk, external relations manager for The Rapid. “We appreciate the bold vision of Governor Snyder, who recommended the largest increase for public transportation funding in a decade, a significant first step to address the state’s transportation funding crisis.”
All state revenues for public transportation come from the Comprehensive Transportation Fund (CTF). There are no general fund dollars, or funds from other revenue sources, going to support public transit. The CTF is comprised of two main sources: a portion of gas tax revenues, which are constitutionally protected, and revenue from auto and auto-related sales taxes, which are not. Revenues from the gas tax have decreased by more than $100 million in the last 10 years, while concrete and other materials have increased, slashing purchasing power by more than half. Despite the increase in demand for transit, Michigan lawmakers have devastated public transportation funding over the last 10 years.
“Public transit creates jobs and helps fuel the state’s economy – which is why I fully support the governor’s reasonable transit funding recommendation,” said Rep. Wayne Schmidt (R-Traverse City). “Those hit hardest by Michigan’s struggling economy often depend on public transportation in their daily lives, we can’t pull that rug out from under them.”
Governor Snyder actually proposed an increase to the CTF, $8.0 million for FY2012 (a doubling to $16 million of bus capital match from $8.0 million in 2011) – and proposing zero cuts to bus operating. House Republicans have proposed cutting $20 million ($10m from operating, $10m from bus capital) to the CTF from Governor Snyder’s budget recommendation, a devastating slash to public transportation in Michigan. Senate Republicans have proposed $15 million to CTF (all from bus capital match), redirecting this money to the general fund.
“Transit gives people choices and opens up opportunities for citizens who need to get to school or work,” said Rep. Brandon Dillon (D-Grand Rapids). “Cutting public transportation funding would have a ripple effect on citizens’ ability to provide for their families in these tough times.”
In addition to the launch of the new website, the pro-transit group unveiled a series of billboards this week, along capital city highways to alert legislators to the transportation funding crisis issue and gas pains campaign.
To learn more about coping with high gas prices and the economic impact of public transportation, visit: www.gasolinepain.com
The Michigan Public Transit Association is a nonprofit statewide association. Members range from the largest urban public transit system providers in Michigan to a majority of the smaller rural demand‐response systems. For more information please visit www.mptaonline.org.