As nationwide fuel prices surge to record-high levels, public transportation must handle costly increases in operating budgets.

Bob Bourne, CyRide director of transportation, said lower student enrollment, combined with higher diesel fuel prices, has tightened CyRide’s operating budget. As a result, CyRide fees will be increased and services will be cut to reflect the rising cost of fuel.

“Fuel is a worldwide commodity. As countries like China modernize, there will be a higher demand for fuel,” Bourne said. “We will pay the price for it in the long term.”

The cost of diesel fuel has increased 50 percent during the past nine months, he said. During the past two weeks alone, CyRide’s diesel prices jumped 16 cents per gallon, Bourne said.

CyRide’s budgeted price for diesel fuel through the end of 2006 is $1.55 per gallon. Because CyRide purchases diesel fuel in bulk quantity, it most recently paid $1.40 per gallon. If it were to buy diesel fuel today, CyRide would pay $1.56 per gallon, Bourne said.

Tom Davenport, CyRide administrative assistant, said CyRide purchases diesel fuel in 7,500 gallon loads every eight to 10 days. The bus service uses an average of 6,500 gallons of diesel fuel every week, he said.

“We play the reality game, not the ‘what if’ game,” Bourne said, referring to budgeting fuel prices.

Davenport said CyRide examines historical trends along with current market conditions when calculating its annual fuel budget.

Bourne said CyRide pays less for diesel fuel than the public because it is exempt from fuel taxes. According to the American Automobile Association Web site, the average nationwide pump price for a gallon of diesel fuel is $2.16, 54 cents higher than one year ago.

If diesel prices continue to climb above budget, there is an emergency reserve fund to handle potential financial disparities, Bourne said. The fund is $500,000, which is 10 percent of CyRide’s operating budget of $5 million.

Although increased fuel prices have tightened CyRide’s budget, Bourne said there is no plan to directly charge students each time they ride the bus. He said the Student Fee Committee approved a $3 per student increase to student fees for CyRide funding, which will take effect in fall 2005. The new fee will be $48.50 for full-time students per semester. The fee increase mainly reflects lower enrollment, Bourne said.

In order to further reduce costs, Bourne said CyRide is reducing bus service on some of its lower traffic routes, cutting operating hours on some routes and canceling others.

Although fuel costs have dramatically risen for motorists and CyRide alike, Bourne said there has not been significant increases in bus usage. Any figures that would show increased ridership would be affected by lower enrollment, he said. Bourne said he thinks gasoline prices have not increased enough for the majority of the public to drastically change their driving habits.

Katie Rudy, freshman in liberal arts and sciences-open option, said higher gas prices have affected how much she drives her car.

“I don’t just drive around for the fun of it anymore,” Rudy said.