Keep The Ferry Free?

With the city's economy taking a major beating from lost banking taxes (10% of the city's revenues come from Wall Street), some are suggesting that it's time to start charging for the Staten Island Ferry again. Currently the city is giving about 20 million "free" rides a year.

Taxpayers shelled out a record $5.69 last year for every "free" ride on the Staten Island Ferry, as soaring fuel costs drove up the annual operating tab to $112 million, according to newly released data. The latest Mayor's Management Report shows ridership on the ferry shot up from 19 million to 19.8 million from fiscal 2007 to fiscal 2008. During that same period, the average cost of each ride jumped 23.2 percent, from $4.62 to $5.69. Officials blamed unpredictable fuel costs.

Via Gothamist:

The Independent Budget Office has been suggesting for years that reinstating a fare to the ferry (which stopped charging 50¢ a ride in 1997) could bring in $4.3 million to a city budget that's ailing. This year's report pointed out that allowing Staten Islanders to continue to ride free and just making tourists pay for one of the best views of the city would net $3.4 million alone.

While the ferry is easily the best (and some say, most romantic) Gotham bargain, obviously city leaders will start looking for ways to shore up revenues in light of Wall Street's meltdown. Thanks in part to Bloomberg's fiscal shrewdness, NYC entered FY09 with a $6.5B budget surplus. Last week he said that the city will withstand a huge loss of Wall Street tax revenue, but that "adjustments' will have to be made - adjustments like the 7% property tax increase he proposed today.

Some congestion pricing proponents have suggested selling the East River bridges to the MTA, who would then charge tolls. Others want a new payroll tax that would go directly to transit. Those plans come up every now and then, but with things the way they are, I'm thinking that envious eyes will fall on those millions in lost ferry revenue. Pity.