Many transit agencies, faced with budget shortfalls, must consider increasing fares. This paper analyzes the case of the Alameda-Contra Costa Transit District (AC Transit). In March 2005, AC Transit put forth five alternative fare proposals for public discussion. The proposed fare structures included combinations of fare hikes, base fare reductions, eliminations of free transfers, and discontinuation of periodic passes. Using data from the agency’s 2002 on-board survey, the paper assessed the impacts of the various fare proposals on different subsets of riders and evaluated the equity of...