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Catawba County Transit Grappleswith 12 Million Shortfall Riders Face Potential Changes

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  Published in Automotive and Transportation on Tuesday, August 19th 2025 at 14:57 GMT by Aaron Neefham, WILX-TV
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Catawba County Area Transportation System (CATA) is facing a significant financial hurdle – a projected $12 million shortfall over the next five years. This news, released August 14th, has sparked concern among riders and prompted CATA officials to explore various measures to address the crisis, potentially impacting service frequency, routes, and fare structures.

The core issue stems from a confluence of factors. While ridership rebounded somewhat after pandemic lows, it hasn't fully recovered to pre-2020 levels. This translates to reduced revenue generated through fares, which historically contribute significantly to CATA’s operating budget. Simultaneously, rising operational costs – including fuel prices, maintenance expenses for the aging bus fleet, and increased labor costs – are outpacing any potential revenue gains.

"We're facing a perfect storm," explained CATA General Manager Melissa Smith in an interview with WILX. "Ridership hasn’t returned to where we need it to be to sustain our current level of service, while the cost of providing that service continues to climb." She emphasized that the shortfall isn't due to mismanagement but rather reflects broader economic trends and shifts in transportation patterns.

CATA currently serves a wide geographic area within Catawba County, offering fixed-route bus services, demand-response options (like CATA Access for individuals with disabilities), and paratransit services. The system is vital for many residents, particularly those who lack access to personal vehicles – including low-income individuals, seniors, students, and people with disabilities. A reduction in service could disproportionately impact these vulnerable populations, limiting their ability to reach employment opportunities, healthcare appointments, educational institutions, and essential services.

To mitigate the shortfall, CATA is actively exploring a range of options, none of which are palatable without potential disruption for riders. These include:

• Fare Increases: This is often considered a first resort in transit funding challenges. While modest increases might generate some revenue, they also risk deterring ridership and further exacerbating the problem. CATA officials acknowledge this delicate balance and are carefully analyzing the potential impact of any fare adjustments.
• Route Reductions & Service Cuts: This is arguably the most impactful and controversial option. CATA may need to eliminate less-utilized routes or reduce service frequency on existing lines. The specific routes targeted for cuts haven't been finalized, but officials have indicated that they will prioritize maintaining core services connecting major population centers and employment hubs. A public input process is planned to gather feedback from riders before any route changes are implemented (more details on this process can be found at [ https://www.cata-transit.org/ ]).
• Demand Response Adjustments: CATA Access, the paratransit service for individuals with disabilities, is also under scrutiny. Changes to eligibility requirements or limitations on trip frequency are being considered, though these would be implemented in consultation with disability advocacy groups and with a focus on minimizing impact on those who rely on this critical service.
• Seeking Additional Funding: CATA is actively pursuing grants from state and federal sources, as well as exploring partnerships with local businesses and organizations to secure additional funding. However, securing sufficient external funding remains a significant challenge given the competitive landscape for grant applications.
• Operational Efficiencies: CATA is also examining internal processes to identify areas where costs can be reduced without compromising service quality or safety. This includes optimizing bus routes, improving fuel efficiency, and exploring alternative maintenance strategies.

The severity of the situation necessitates difficult decisions, and CATA officials are committed to transparency throughout the process. A series of public forums and online surveys will be held in the coming weeks to gather input from riders and stakeholders. These sessions will provide opportunities for residents to learn more about the challenges facing CATA and offer suggestions for potential solutions.

The Catawba County Board of Commissioners, which oversees CATA’s operations, is also actively engaged in discussions regarding the budget shortfall. They are working with CATA staff to evaluate all options and develop a sustainable plan that minimizes disruption to riders while ensuring the long-term financial health of the transit system. The board's next meeting on August 28th will include a dedicated discussion about the CATA budget crisis, and public attendance is encouraged (meeting details can be found at [ https://www.catawbacounty.gov/ ]).

Ultimately, the future of Catawba County’s transit system hinges on finding a balance between financial sustainability and providing essential transportation services to the community. The coming months will be crucial as CATA navigates this challenging period and works towards a viable path forward.