MARION AREA TRANSIT’S 2026 BUDGET INCREASES OVER 2025, DESPITE CITY’S FISCAL CAUTION STATUSReading Mode


Here’s a breakdown of actual expenses for Marion Area Transit (MAT) between 2023 and 2025, alongside the projected expenses for the first 2026 budget that was proposed on 11/17/2025 and the most recent revised 2026 budget (version #4 if you’re keeping track) that is up for consideration by council.

As you can see, despite the mayor’s directive for all departments to cut 2026’s budget by a target of 10%, MAT’s budget actually increases with this latest version by over $174,000.

Most of that increase–more than $115,000– is in salaries and benefits, of course.

On the revenue side of the ledger, MAT is projected to require $187,000 in subsidies from the city’s General Fund in 2026.

As an Enterprise Fund and a business-like activity engaged in by local government, this should NOT happen. It should be generating sufficient revenues from state and federal grants, along with charges for services (i.e. fares) to operate at a break-even point each year.

Unfortunately, MAT has never operated as it should.

Between 2022 and 2025, Marion taxpayers had to give it nearly $500,000 to keep its books balanced.

I did another analysis on the waste that is MAT a few months ago. I’ll reshare that on this page, so be sure to check it out.

Suffice it to say, MAT is NOT operating efficiently and needs to be restructured to an appropriate size, scale and scope of operations if it is to continue in service.

If it cannot operate at a break-even point as required, it needs to increase its fares, increase its grant receipts, or cut its services to the point that it can operate without needing to be bailed out by the General Fund each and every year.

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