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Richmond bus riders got good news this spring when the GRTC Transit System announced that buses would remain fare-free through July 2026 despite a short-lived funding panic. But conspicuously absent, or greatly reduced, from its Zero Fare program funding were two stalwart sources.
The $6.8 million budget for Zero Fare, approved in June, comes from last year’s GRTC budget surplus, a federal grant for projects that mitigate congestion and improve air quality, money from ad revenue and local donations, and a small contribution from Virginia Commonwealth University.
However, VCU, which had contributed just over $1 million in previous years to Zero Fare, signed on for only $100,000 plus a tentative $75,000 through the public transit provider’s ad program. And the Virginia Department of Rail and Public Transportation, which had funded the lion’s share of the program since its creation, contributed nothing. What changed?
For one, support from DRPT was designed to expire.
In 2022, GRTC received a $24 million grant from DRPT through the state’s Transit Ridership Incentive Program, which stipulated that, over time, funding for Zero Fare would decrease as local contributions increased. All TRIP grants work on a step-down schedule, and it was always the plan that 2025 would conclude funding for the fare-free program. GRTC will still receive funds from DRPT for operating costs and capital projects such as bus stop improvements.
As for VCU, when the Pulse line began running up and down Broad Street in 2018, all riders were charged for their fares. At the time, the school agreed to cover student and employee fares based on estimated VCU ridership. That contract was also set to expire in 2025.
A spokesperson for the university says that because no bus riders are charged under Zero Fare, VCU-affiliated or otherwise, VCU would no longer contribute to the program. It will explore advertising with GRTC and, if funding for the program changes, “VCU may consider contributing alongside other public and private contributors in support of zero-fare service.”
Despite the changes, GRTC plans to keep Zero Fare going in the future through revenue from ads sold on buses, state grants, and tax-deductible donations from local businesses and individuals.
