TAXI COUPONS A GOOD PROGRAM

With Kelly Transportation seeking a 75-cent increase in the cost of taxi fares, the time seems right for the city to re-examine its taxi coupon program.

The city subsidizes the company through the coupon program, which was established in 1981 and has proven immensely popular among the elderly and handicapped, for whom it was primarily set up. But it also is costly to the city.

The program offers 16 coupons a month for $1 each to the elderly and handicapped and a limited number of coupons at $2 each to the general public. Kelly wants to increase the city's cost per ride to $3.25 from the current $2.50, and city officials don't want to pass the increase on to taxi users. Instead, they are considering a 25 to 30 percent reduction in the number of coupons the city makes available.

An alternative that city officials should consider is making more coupons available to the general public at a higher price and leaving the price of a coupon for the elderly and handicapped -- those who really need the service -- at $1. Because Kelly hasn't asked for an increase in taxi fares since the program began almost 10 years ago, an increase now seems appropriate. But if the price increase is to be passed on to customers, the elderly and handicapped should be spared.