South Shore fare hikes coming; state aid sought to continue operations
A previously announced 10% fare increase for South Shore Line passengers is expected this year, to be followed by future price hikes to keep up with inflation.
The 10% increase could be approved as soon as the Northern Indiana Commuter Transportation District board's May meeting.
General Manager and President Michael Noland briefed the board Monday on the need to avoid a fiscal cliff after the COVID-19 pandemic decimated the railroad's coffers along with ridership.
'Because of the loss of ridership, there also was a corresponding loss in revenue,' he said.
The railroad is also seeking state assistance as the Indiana General Assembly drafts its biennial budget this month.
'We will get some kind of funding this year' from the state, Noland said, but just how much remains to be seen. The Legislature has an April 29 deadline to complete its work, including passing the 2026-2027 budget.
The 10% fare increase, now going through the approval process, is intended as a way to not just increase revenue but also to show state officials that the railroad is doing its share to improve its bottom line.
Railroad officials have had 'great meetings' with legislative leaders and the governor's office, Noland said. 'I'm cautiously optimistic.'
'We have burned through our rainy day fund,' he said, so a cash infusion is needed to keep operating and begin to rebuild reserves. Before the pandemic, the railroad had enough cash reserves to cover eight to nine months of operating costs, Noland said.
During the pandemic, ridership plummeted during the stay-at-home order. While it's growing again, it hasn't reached pre-pandemic levels.
More than 200,000 riders used the train in January 2019, with about 125,000 riding it in January 2025, according to a chart shared with the board Monday. That's a significant boost over January 2024, when the double-track project still required busing passengers to Gary's Metro Center station.
March data was of course not available Monday, but ridership numbers for the St. Patrick's Day parade and dyeing the Chicago River will show March to be a good month for riders, Director of Capital Investment and Implementation Nicole Barker said. In 2023, the events drew 4,680 riders, growing to 4,930 in 2024 and 11,109 this year. Barker also serves as the railroad's marketing director.
As the railroad improves its on-time performance, Noland looks forward to the railroad being able to boast about its on-time performance.
When the double-track project was completed enough to start putting more trains in service last May, on-time performance was dismal, Noland acknowledged, at around 25% to 30%.
'There was not a single moment of recovery time in the schedule,' he said. The railroad tweaked the schedule and saw on-time performance improve to 55% to 60%.
Since the newest schedule took effect on Feb. 18, performance is even better, often at 100% for rush hour trains, he said.
'We really have come a long way. We're not done,' he said. 'The low-hanging fruit is all gone.'
'Our goal is to be consistently at 90%. We're very close to that,' Noland said.
'It's going to bleed right into increased ridership,' he said.
As the double-track service became operational, Noland communicated often with riders to update them on the railroad's progress and seek public input.
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USA Today
5 hours ago
- USA Today
Peter Malnati gave an epic speech to PGA Tour membership. He walks us through his message
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CNBC
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Business Insider
9 hours ago
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I moved home after graduating from college and worked remotely. I saved thousands, but it came with an emotional cost.
Like many pandemic graduates, my young adult life started not with a bang, but with a whimper. There was no big celebration, just a diploma picked up from the school office and a new job as an associate editor at a Charlotte-based digital media company. I graduated from UNC-Chapel Hill in December 2020. My lease, signed with four housemates, ran until the following summer. For the first half of 2021, I worked remotely in the same house I'd lived in during my first semester of senior year. Professional life wasn't much different from my life as a student, but I was content. When the lease ended, I was faced with three choices: move to Charlotte in anticipation of when my workplace returned to in-person work, find new housing in Chapel Hill, or move back home. At that time, COVID vaccines had been rolled out, but the pandemic wasn't over. I didn't want to move to a new city under those circumstances. With most of my friends leaving Chapel Hill, staying felt pointless. Moving home was the cheapest and easiest option. I took it. The savings added up, but I was languishing I moved into my old room and shared meals with my parents, just like I'd done before college. I worked from home, writing and editing articles about personal finance. My parents didn't charge me for rent or food. But, I helped out around the house and covered any personal expenses, like my phone bill and miscellaneous purchases. With no rent or bills, and student loan payments paused due to COVID, I saved roughly three-quarters of my income. I invested some of that money and kept the rest in a high-yield savings account. But while my savings grew, my personal life languished. My parents were loving but often treated me like the kid I used to be, not the adult I'd become. After four years of independence during college, that was hard for me to adjust to. I was also lonely. St. Louis was my hometown, but I had no community there. My friends were scattered across the country, and pandemic restrictions made it hard to meet new people. I knew I didn't want to stay in St. Louis long-term. Building a life there felt pointless since I planned to leave once the pandemic ended, but I didn't know when that would be. Moving to Charlotte was the fresh start I needed After eight months of limbo, I finally found the motivation to leave home when my workplace reopened for hybrid work. With my parents' support, I moved to Charlotte in February 2022. When I left home, I had about $15,000 saved. That money was invaluable in kickstarting my new life, which came with a surprising amount of upfront costs. I had no problem paying for my apartment's security deposit and first month's rent. When I couldn't find a suitable car due to the 2022 car shortage, I could up my budget and keep the monthly payment manageable with a higher down payment. I felt comfortable buying supplies for the apartment without second-guessing every expense. I even had several thousand dollars left over for an emergency fund. I didn't spend extravagantly, but it was incredibly freeing to know I could pay for the things I needed — now and in the future, thanks to my emergency fund — without going into debt. Starting my young adult life without credit card debt and with a financial buffer made everything less stressful. Was it worth it? I'm incredibly privileged — and grateful to my parents — to have had the choice to return home while working full-time. Not everyone has the chance, and not everyone has the choice. I was also lucky to land a job upon graduation, a privilege many pandemic graduates didn't have. But was moving home worth it? From my personal finance journalist's perspective, unequivocally yes. The money I saved set me up for long-term financial stability and made my first year in Charlotte so much easier. From a personal perspective, it's complicated. Those months at home weren't exactly the happiest time, but I don't regret them. They taught me that in order to build a life that made me happy, I needed to stop taking the cheap and easy way out. The year after I moved to Charlotte was one of the best in my life. My expenses ballooned, but I had freedom, community, and a better relationship with my parents despite the distance — all things worth more to me than money.
