The great thing about fares is that they automatically scale with ridership, so agencies can borrow money for expansions knowing the resulting increase in fares will allow them to pay it off, and not be at the mercy of voters all the time.
The great thing about fares is that they automatically scale with ridership, so agencies can borrow money for expansions knowing the resulting increase in fares will allow them to pay it off, and not be at the mercy of voters all the time.
Wouldn't taxes provide a more steady revenue stream?
Steady, yes, but the trouble is it doesn’t automatically scale with ridership, so every time you want to expand service you need to raise taxes, which will always be an uphill battle.
None of this is a downside, just challenges of implementation.