As the transit agency reaches the mid-point of its fiscal year, executive director Lawrence Meckler says the Metro system is running a budget deficit as much as $3 million.

The deficit comes even though Metro Bus and Rail ridership is at record levels. As the price of gasoline rose this year, many people are now turning to public transportation to save money. But Meckler says the increased ridership is not offsetting the higher costs of operation.

Fares were last raised in 2003. This increase, if it's approved by NFTA commissioners, would raise fares to $1.75.

Meckler stresses there will be no cut in service this time. The fare increase proposal will come before the board in October. Two public hearings will then be held before a final vote sometime in December. © Copyright 2009, WBFO