MCTS, The Hop fare evasion 'rampant;' FTA demands reports

Milwaukee County Transit System (MCTS); The Hop streetcar

The Federal Transit Administration is requesting reports from Milwaukee city and county transit officials as part of a push to address "rampant" fare evasion and public safety concerns nationwide.

Federal request

What they're saying:

FTA Administrator Marc Molinaro sent letters to the interim director of the Milwaukee County Department of Transportation and the system manager of the Milwaukee Streetcar System calling for "immediate action."

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Those letters demanded written reports that do two things, according to the administration:

  • Identify what actions and plans are being taken to reduce crime and fare evasion on their systems, including trends and previous actions.
  • Summarize all sources of funds to improve passenger and worker security, including fiscal year 2025 budgeted and fiscal year 2026 planned allocations, and comparison to prior years, and information about funds from other Federal agencies, including any Department of Homeland Security funds.

MCTS bus riders skip paying fares 8 million times a year

More than 8 million riders per year are boarding Milwaukee County Transit System (MCTS) buses without paying the required fare, according to a FOX6 Investigators analysis of MCTS data.

"Each time a rider steps onto a bus without paying, it erodes the public's trust in the system, discourages responsible riders, and normalizes disorder," Molinaro said. "These aren’t isolated annoyances. They’re signals of a system abandoned by its leaders."

What's next:

The FTA said the letters must be submitted by Dec. 22. The administration said its request is the latest in a series of U.S. Department of Transportation efforts urging action and transparency from public transit systems.

In a statement, a spokesperson on behalf of the Milwaukee County DOT and MCTS said:

"The Milwaukee County Department of Transportation and MCTS will continue to collaborate to help improve the safety of our riders and operators. 

"The 2026 Milwaukee County Adopted Budget dedicates new resources to both enhance safety and target fare evasion on MCTS buses. We look forward to working with our partners at the Federal Transit Administration and the U.S. Department of Transportation to ensure they have the information about these, and other safety and security efforts at MCTS, within the timeline they have requested."

FOX6 News also reached out to The Hop for comment but did not immediately hear back.

Budget deficits

The backstory:

MCTS will run out of $192 million in federal pandemic relief funds, and transit system officials earlier this year said it left a $14 million gap. It has since increased fares for 2026.

A FOX6 investigation also found 33% of MCTS passengers did not pay their fares in the first five months of 2025. That's an estimated eight million free rides and $10 million in uncollected fares per year.

Milwaukee streetcar deficit, alderman seeks federal grant forgiveness

A new fight is trying to stop The Hop: A Milwaukee alderman is taking his opposition to the streetcar to the Trump administration.

For years now, tax dollars have paid for Milwaukee's streetcar. The Hop offers free rides and is running in the red with a yearly deficit of $4 million. 

The city promised the federal government it would run the streetcar for decades. It unlocked federal money to help fund The Hop, but if the city stopped running the streetcar, it would be on the hook to pay back $48 million.

Editor's note: This story was updated to include a statement from the Milwaukee County Department of Transportation.

The Source: FOX6 News received information from the Federal Transit Administration and referenced prior coverage of the MCTS budget deficit, fare evasion, union negotiations and The Hop.

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