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You could pay more for NJ Transit starting this summer

The transit agency's board approved a fare increase of up to 15% to address a $106.6 million operating gap in the coming fiscal year.

NJ Transit train shown at 30th Street Station in Philadelphia in 2019.
NJ Transit train shown at 30th Street Station in Philadelphia in 2019.Read moreJOSE F. MORENO / Staff Photograp

Commuting with NJ Transit just got more expensive.

On Wednesday, the transit agency’s board authorized increasing fares up to 15% starting on July 1, with annual increases up to 3% starting in July 2025.

“While a fare increase is always an option of last resort, and we recognize the impact an increase of any size has on all our customers, I remain strongly committed to ensure that the overall service levels are not reduced through” fiscal year 2025, said Kevin Corbett, president and CEO of NJ Transit at the agency’s board meeting this week.

Taking NJ Transit rail from Philadelphia to Pennsauken will increase from $4.25 to $4.85, and a one-zone local bus ticket will raise from $1.60 to $1.80, according to fare increase proposals.

NJ Transit is facing a $106.6 million gap in its operating budget, Corbett said Wednesday. The fare increase, along with other savings, would allow NJ Transit to avoid cuts in service in the forthcoming fiscal year, according to agency documents.

Some commuters pushed back on the increase, and Hoboken Mayor Ravi Bhalla asked board members to vote against it at Wednesday’s meeting.

“What this fare increase is essentially in my view is a backdoor tax on working families,” he said.

Like many big transit agencies, including SEPTA, NJ Transit has struggled to get ridership back to pre-pandemic levels, and the agency is running out of pandemic aid. NJ Transit has also faced inflation and increased operating costs among other financial strains.

In addition to raising fares, the agency aims to “solve a long-term funding need” through New Jersey Gov. Phil Murphy’s proposed “corporate transit fee,” Corbett said. The fee would be a surcharge on top of an existing state corporate income tax on companies with profits of $10 million or more. The tax could provide a “dedicated funding stream” for NJ Transit, Murphy has said.

NJ Transit serves 5,325 square miles across New York, New Jersey and Pennsylvania. The agency increased fares by about 10% in 2007 and by about 9% in 2015.