Mayor Eric Adams wants to cut losses on the city’s popular but money-making ferry system by telling would-be operators to come up with new ways to generate revenue — including fares, concessions and advertising.
City Hall issued a “request for proposals” from potential ferry operators on Wednesday that specifically requires them to come up with a “revenue generation plan” that would inject money into city coffers to offset the massive municipal subsidy that currently funds the service.
City taxpayers subsidize ferry rides by up to $14.75 per trip, according to a recent audit by City Comptroller Brad Lander — even though wealthy ferry customers pay just $2.75 per trip.
In July, Adams promised to raise the base ticket price to $4 starting Sept. 12, while offering a 10-ticket package for $27.50.
Hizzoner insisted the ferry is not just for the rich, echoing the claims of his predecessor, Bill de Blasio, who expanded the service and introduced a $2.75 fare to match the cost of a ride on an MTA bus or subway.
Despite becoming mayor on a promise to end the class divide, which he called a “tale of two cities,” de Blasio aggressively promoted the ferry service, which has passengers with median annual incomes between $100,000 and $150,000, The Post exclusively revealed in 2020
Ferry rides previously cost $4 under Mayor Michael Bloomberg.
New York ferry ridership per day was just 11,688 on weekdays and 12,984 on weekends in the first three months of 2022. In the summer, ridership was higher but has just returned to pre-Covid levels -19, according to city officials.
Potential new revenue sources include motion pictures and private events, according to the request for proposals, which does not require cost savings from ferry operations.
City officials and outside experts have warned that too high prices could discourage travel and reduce revenue.
“Operationally, it doesn’t look like it’s going to change much,” said Sean Campion of the Citizens Budget Committee. “They want to run a more financially sustainable ferry system. They’ve dealt with one part of that by raising fares – and now they’re hoping to come up with new revenue ideas and a new private operating model that’s more cost-effective.”
Current ferry operator Hornblower plans to submit a proposal to continue operating the service, the company told non-governmental news outlet The City, which first reported the RFP.
“Today, no other operator is better positioned to build on the system’s early success and realize the vision of creating a more equitable and affordable ferry service to New York,” said Hornblower CEO Kevin Rabbitte.