Another factor was that the authority pledged its fare revenues to pay back the bonds, he said.

If no other money is available besides fare revenues, the fare would have to rise to $1.40 to cover the deficit.

Backers of the project estimate 884,000 riders per year, with a fare revenue of $2.4 million.

In addition, Federal moneys are available to supplement fare revenues and passenger facility charges.

The company took in no fare revenue but kept incurring expenses, one of the largest being payroll.

A driver now taking in $100 in fare revenues would earn $50 for the shift, minus the cost of gasoline.

The fare revenue was $49,026,000, making the farebox recovery ratio 51.3%.

It is expected to come from several sources, including increased fare revenue and dedicated taxes.

Almost all transit systems operate at a deficit, requiring fare revenue, advertising and subsidies to cover costs.

CATS estimates between 4 and 5 percent of total fare revenue is lost from passengers who ride without paying.