Sadiq Khan Challenger Faces Questions on Free Bus Funding Plan

New York City Mayor-elect Zohran Mamdani’s signature campaign promise of free bus rides throughout the city now faces significant funding hurdles as he prepares to take office, raising questions about the feasibility of implementing this ambitious transportation policy.

During a recent interview with PIX11’s Dan Mannarino, Mamdani was pressed on how he plans to finance the initiative, particularly given New York Governor Kathy Hochul’s stated opposition to tax increases. The mayor-elect outlined his preferred funding mechanisms, suggesting increases to the state’s corporate tax rate or additional income taxes on high earners.

“The clearest ways to obtain the money would be by increasing the state’s corporate tax or through personal income tax on people who earn more than $1 million per year,” Mamdani explained. He emphasized that securing funding, regardless of method, remains his priority: “The most important fact is that we fund it, not the question of how we do it, but that we do it.”

According to campaign documents, Mamdani’s plan proposes raising the top state corporate tax rate to 11.5 percent and implementing a 2 percent New York City income tax on individuals earning over $1 million annually. These tax increases would fund not only free bus service but also other progressive initiatives in his platform.

The policy represents a core component of Mamdani’s transportation agenda, which aims to improve mobility and accessibility throughout the five boroughs. The self-described democratic socialist has framed free public transportation as an economic justice issue that would particularly benefit working-class New Yorkers who rely heavily on public transit.

“Free buses are an investment in our people and our economy—helping workers, small businesses, and every New Yorker who deserves a more connected city,” Mamdani stated in a social media post on Thursday.

However, Governor Hochul has already signaled her opposition to tax increases that would be necessary to fund such an initiative. In previous statements, she firmly rejected the idea of raising taxes, saying she’s “not raising taxes on people at a time when affordability is the big issue.” This stance creates a significant political obstacle for Mamdani’s signature proposal.

The disagreement highlights the complex relationship between city and state governance in New York, where major transit funding decisions often require cooperation between Albany and City Hall. The Metropolitan Transportation Authority (MTA), which operates New York City’s buses, is controlled by the state rather than the city, further complicating Mamdani’s ability to implement his vision without state-level support.

Transit advocates have long argued that fare-free public transportation could increase ridership, reduce traffic congestion, lower emissions, and provide economic relief to low-income residents. Several cities worldwide, including Luxembourg and parts of France, have implemented variations of fare-free public transit, providing potential models for New York City.

Critics, however, point to the substantial ongoing costs of maintaining such a program in a city the size of New York, especially given the MTA’s existing financial challenges. The authority has faced declining ridership since the COVID-19 pandemic and continues to grapple with infrastructure maintenance needs and service reliability issues.

The standoff between Mamdani and Hochul reflects broader tensions in progressive urban politics, where ambitious municipal policy goals often collide with fiscal constraints and the political realities of multi-layered government. As Mamdani prepares for his transition to City Hall, finding alternative funding mechanisms or scaling back his free bus proposal may become necessary compromises.

With his inauguration approaching, Mamdani faces the challenging task of transforming a popular campaign promise into workable policy within New York’s complex political and fiscal landscape. Whether New Yorkers will ultimately ride buses for free under his administration remains an open question dependent on political negotiations, fiscal realities, and potential compromise solutions in the months ahead.