Port Authority has reached an agreement to continue free light-rail service between North Side Station and Downtown Pittsburgh and continues working on finding a sponsor for free rides to and from Allegheny Station.
The Pittsburgh Stadium Authority and Alco Parking will pay nearly $1.2 million over the next five years to continue free T service from the North Side Station. Stadium Authority board members voted 5-0 on Wednesday to approve the new agreement. The free service has helped to fill North Shore surface parking lots and the West General Robinson Street garage.
The agreement, which will take effect April 1, was negotiated after the Port Authority declined to exercise a two-year option in the existing five-year agreement. It would have paid the transit agency $175,000 this year and $180,000 in 2016.
Instead, Alco and the Stadium Authority will pay $205,000 for this year, with the annual amount increasing by $15,000 in each of the succeeding four years. The deal does not including advertising or naming rights.
Mary Conturo, the Stadium Authority’s executive director, said the costs of the new deal will be shared by the agency and Alco. The revenue is generated from parking on the North Shore.
Before the North Shore Connector opened in 2012, the authority and Alco used a shuttle bus to get commuters from North Shore parking facilities to Downtown.
‘‘This is a much more efficient way to get people from the parking lots into the city, and we think it makes a lot of sense [to continue it],’’ Ms. Conturo said.
Alco’s president, Merrill Stabile, said: “For us it’s something that makes a lot of sense, encouraging people to park on the fringe of the city. It was a no-brainer for us. It’s worth it, and it provides a good service to Downtown.”
Before the connector debuted, rides on the T were free within Downtown. Extending the free-fare zone to the North Shore “has been a tremendous success, benefiting riders, businesses, commuters and special event-goers for the last three years,” said Ellen McLean, Port Authority CEO.
The Steelers and Rivers Casino have paid for free rides from Allegheny Station, the other new station on the North Shore, since 2012. The Steelers recently ended negotiations to extend the agreement, which expires March 31. The casino has expressed an interest in continuing to underwrite the free service.
Port Authority spokesman Jim Ritchie said it will continue to provide free rides from Allegheny Station while it works out a new deal. Several parties have expressed interest in paying for the free rides or buying advertising or naming rights for the station, he said.
Also on Wednesday, the Stadium Authority board approved an increase in the monthly lease rate for North Shore Lots 1, 2, 3, 4 and 5A from $120 to $140 to match the West General Robinson Street garage.
The board also approved a new hourly rate structure for Lots 1 and 2. Rates will be $5 for up to two hours, $7 for two to four hours, and $10 for more than four hours. The new rates, effective June 1, will apply only to Lot 2 for now. Ms. Conturo said the hourly rate is designed for those who park in Lot 2 to eat at nearby restaurants.
Board members also approved a $3.8 million budget that includes $1.9 million in preliminary costs related to construction of a new garage on the North Shore.
First Published: March 18, 2015, 3:26 p.m.
Updated: March 19, 2015, 2:47 a.m.