NYC Council Proposes Free Transit for 1M+ Residents

Fair Fares Expansion Proposed

The New York City Council is seeking to eliminate subway and bus fares for over one million New Yorkers earning at or below 150% of the federal poverty level. This proposal represents a significant expansion of the existing Fair Fares program.

Budget Context and Timeline

City Council Speaker Julie Menin will unveil the revamped Fair Fares plan on Wednesday morning, as part of the legislature’s Fiscal Year 2027 Budget Response to Mayor Zohran Mamdani’s preliminary budget released in February. The proposal comes amidst a projected $5.9 billion budget deficit for the city, according to the Independent Budget Office.

Program Details and Cost

Currently, individuals earning up to 150% of the federal poverty level pay half price for fares under the Fair Fares program. The Council’s proposal would reduce those fares to zero. According to the Speaker’s office, the expansion is estimated to cost $130 million annually. However, the Permanent Citizens Advisory Committee to the MTA (PCAC) projects the cost to be between $150 and $170 million.

Eligibility Criteria

The federal poverty level thresholds used for eligibility include an annual income of $23,475 for an individual and $48,225 for a four-person household. The Council is also exploring options to increase program participation, including automatic enrollment.

Negotiations and MTA Response

While the Council’s budget response focuses on expanding Fair Fares to the lowest income bracket, it leaves open the possibility of negotiating half-priced fares for those earning between 150% and 300% of the federal poverty level. MTA Chair and CEO Janno Lieber has previously advocated for building on the existing Fair Fares program rather than expanding it significantly, citing the current budget deficit.

Menin's Statement

Julie Menin stated that Fair Fares has been a “lifeline for working New Yorkers,” and that expanding it is the “best” way to improve transit accessibility for those who need it most. She emphasized the Council’s commitment to a fiscally responsible budget that directly invests in New Yorkers.