Achieving Equitable Fares using Account-Based Systems

Whitepaper

As cities and transit agencies strive to increase ridership and address equity, account-based fare systems have emerged as a viable solution. These systems not only enhance operational efficiency but also offer various equitable fare practices, making public transit more accessible for all riders. 

The Shift to Account-Based Systems

Zero-fare policies have been proposed as a means to increase ridership and promote equity. However, they often lead to operational challenges such as funding gaps and security concerns. In contrast, account-based fare systems offer innovative strategies to manage fares more equitably while maintaining service quality and financial sustainability. This white paper discusses the benefits of account-based systems and examines how transit agencies are leveraging these systems to implement equitable fare practices.

Features such as fare capping (the practice of capping fares after the cost of a daily or monthly pass have been met), income-based discounts, and targeted free services help address financial barriers for riders. For instance, Metrolink in Los Angeles allows the use of Electronic Benefit Transfer (EBT) cards at ticket vending machines for discounted fares, ensuring affordable transportation for individuals on public assistance.

By streamlining boarding processes and reducing transaction times, account-based systems improve operational efficiency.  The Pinellas Suncoast Transit Authority (PSTA) in Florida has integrated Cash App into its fare system, allowing riders to easily pay for transit using their smartphones or a free, contactless physical card, which enhances both efficiency and accessibility.

The Rhode Island Public Transportation Authority (RIPTA) has implemented a geofenced free-fare zone, using an account-based fare system. Riders in the densely populated Central Falls area...

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