Rep. Steil Wants to Ban Free Bus Rides

MCTS Bus. Photo by Jeramey Jannene.

Rep. Bryan Steil is pushing federal legislation banning free bus rides, citing a Milwaukee County Transit System (MCTS) budget deficit and the agency’s reported struggle with fare evasion.

The bill is called the “No Free Rides Act.” It prohibits transit agencies from implementing a “universal fare free policy,” unless there is a non-federal dedicated source of funding for the system. The bill also allows free-fare exceptions for seniors, students and low-income riders. Transit agencies with free fare policies in violation of the bill would lose access to federal grants, according to a statement released by Steil’s office.

“MCTS policy does not offer universal free rides. Rather, MCTS is committed to using data-driven fare collection strategies and processes that comply with state and federal guidance,” a spokesperson for MCTS said. “Fare evasion is a complex challenge faced by transit systems nationwide. While safety remains MCTS’ top priority, we realize that our policies must balance safety and equity with fiscal sustainability.”

Since 2022, MCTS has instructed bus operators not to ask passengers for fares. The policy was implemented to reduce assaults on bus operators.

In recent months, Steil has taken an interest in MCTS operations after the system announced an unexpected $10.9 million budget deficit in June and revealed that an estimated 33% of riders are not paying a fare. In September, Steil requested greater federal oversight and accountability from the U.S. Department of Transportation, and changes to Federal Transit Administration (FTA) guidance for fare collection.

The 2025 deficit is not directly caused by fare evasion. It is largely driven by overtime costs, an over-budget private contractor and rising maintenance costs. However, MCTS has also estimated that fare evasion leads to $4 million in lost revenue annually.

Steil’s congressional district includes some of southern Milwaukee County and communities like St. Francis, South Milwaukee, Cudahy, Oak Creek, Franklin and Hales Corners. But, despite his interest in transit policy, the congressman has yet to meet with, or speak with, Milwaukee transit officials. The congressman’s office did not respond to a request for comment as of publishing.

“Federal funds are intended to strengthen and sustain public transportation, not give free rides to people who cheat the system,” Steil said in a statement. “Whether it’s refusing to simply request fare from riders, or eliminating fares entirely, these policies not only push local transit agencies like MCTS toward insolvency, but are fundamentally unfair to the hardworking families who rely on public transportation, follow the rules, and pay their fares.”

MCTS implemented the 2022 fare policy because fare disputes were the primary cause of assaults. The same is true for transit agencies across the country, according to national level data.

Amalgamated Transit Union Local 998 (ATU) leaders have pushed MCTS for years to address fare evasion. ATU President Bruce Freeman, and past president Donnell Shorter, have both said the current policy is worsening fare evasion. The union has also long advocated for improved security for bus operators.

In September 2024, the Federal Transit Administration issued a general directive related to transit security suggesting transit agencies tell operators to only ask for fare once, and to not attempt to enforce a fare policy.

“MCTS is actively updating our fare collection policy,” according to a spokesperson. “We are committed to the sustainability of our system and will collaborate with all stakeholders, including state and federal officials, the Milwaukee County Board, and local ATU 998, as we work to find solutions.”

Legislation Link - Urban Milwaukee members see direct links to legislation mentioned in this article. Join today