Bus fares in the Bay of Plenty will be free for anyone aged 18 or under from July 1.

Currently, buses are free for children five and under and free for 6 to 18 year olds between 7am to 9am and 3pm to 5pm weekdays in Tauranga, Whakatāne, and Rotorua.

The decision to change the fare structure was made at an Extraordinary Bay of Plenty Regional Council meeting on Friday last week.

It was in response to the Government's budget announcement in May to provide funding for free public transport for children under 13, and half-price fares for people under 25.

The councillors were presented with two options. Option 1 was to align with the government announcement which would remove the free peak fares for 13 to 18-year olds instead making them half price at all times, from July 1.

While option 2 provided free fares for anyone aged 18 and under at all times. Both options provided half price fares for people aged 19-24.

The council's public transport director Mike Seabourne told the councillors staff were recommending option 1 because it was easier to implement within the government's expected start date of July 1.

He said the financial implications for both options were 'generally positive”. The government funding enabled the council to claim a subsidy from Waka Kotahi NZ Transport Agency and the council could claim more under option 1, said Seabourne.

This additional funding would be around $2 million, said his report to the council.

The current free fares were being paid for through targeted public transport rates from Tauranga, Whakatāne and Rotorua ratepayers.

Option 1 would mean a reduction in revenue for the council from bus fares of $400,000 and option 2 would result in a $600,000 reduction in revenue, said the report.

The reduction in targeted rates under option 1 was $1.6 million and $1.4m under option 2.

Despite the extra funding, ratepayers would still see an increase in the targeted public transport rate because the council elected to use $500,000 of it to replenish the forecast deficit on the Tauranga Public Transport Targeted Reserve.

This increase was less than forecast in the 2023/24 Annual Plan because of the extra funding.

Tauranga ratepayers would now pay an extra $21.98 for the public transport rate $5 less than originally planned.

For Rotorua ratepayers, the targeted rate will be $9.53 more than the last financial year, but $2 less than planned.

In Whakatāne ratepayers will pay $6.53 more for the public transport rate which is $2.21 less than planned.

Councillors were divided over which option to select.

Councillor Andrew von Dadelszen. Photo: John Borren/SunLive.

Chairperson of the Public Transport Committee Andrew von Dadelszen supported option 1 and said there was 'widespread support” throughout regional councils around the country to be 'proactive and help facilitate” the initiative.

'If we go for option 2, my personal concern is we make ourselves an outlier.”

The free fares for school aged children was a trial that began in Tauranga in 2020 and was extended to Whakatāne, and Rotorua in 2022, said von Dadelszen.

The trial was set to end in December 2023.

'Option 1 gives added support to the five to 12 year olds. They were only getting travel before going to and from school, and I think this is the age group that we most want to support,” he said.

Western Bay of Plenty constituency councillor Ken Shirley said he 'strongly supported” option 1.

'The simplicity of it is important, the consistency of it with government policy and what other regions will inevitably do.”

Councillor Kat Macmillan said she liked "the simplicity of anyone school age gets to ride for free.” Photo: John Borren/SunLive.

Tauranga constituency councillor Kat Macmillan said: 'For me, my values can't go with option 1 because I'm thinking about our rangatahi, our teenagers, for parents it's the most expensive time.

'When you've got teenagers, they eat a lot, they move around a lot, they go to sports, and if you've got teenagers you may just be tempted to now jump in the car rather than tot up your half price fair.

'I like the simplicity of anyone school age gets to ride for free.”

Councillor and Public Transport Committee member Jane Nees said she did not want to reduce the level of service to those aged 13 to 18.

'I think we've made amazing gain getting more traction with our public transport network across the region with that group, and I really do not want to see that go backwards.”

Tauranga constituency councillor Paula Thompson said the free fares for 13 to 18-year olds was the result of 'two very significant public consultation processes”.

Ending that fare structure would create a 'real credibility issue” for the council, she said.

Recent bus patronage data 'spoke for itself” said Thompson, who is also a Public Transport Committee member.

'To me it [the data] reflected that the trials, particularly for our younger people, have been a roaring success.

'For me, I'm not prepared to go anything less than the current system.”

Councillor Jane Nees said the council had made "amazing gains" getting people onto public transport through the free fares. Photo: John Borren/SunLive.

Nees agreed with Thompson and said: 'I do not want to risk some reputational backlash for our council who have consulted and have been providing free fares for 13 to 18 year olds.”

von Dadelszen moved to adopt Option 1 and it was seconded by Shirley, but this was voted down.

Nees moved option 2, which was seconded by Thompson. This passed by a majority vote of seven votes to four. Three of the 14 councillors were not in attendance.

How they voted:

Option 2 - free fares for 5 to 18-year-olds
For:
Jane Nees
Paula Thompson
Kat Macmillan
Matemoana McDonald
Te Taru White
Kevin Winters
Lyall Thurston
Against:
Andrew von Dadelszen
Doug Leeder
Stuart Crosby
Ken Shirely
Absent:
Ron Scott
Toi Kai Rākau Iti
Malcolm Campbell

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