EVERETT – Community Transit bus riders could face higher fares, fewer choices or both in the second half of 2010.

Faced with a $5 million budget deficit for the year, Community Transit is considering raising fares 25 cents on all routes and eliminating all service on Sundays and holidays beginning in June.

The county’s largest transit agency also is looking at shortening or reducing stops on other routes and cutting early morning and late night service.

Community Transit staff presented the plan to its board of directors on Thursday. A public hearing is scheduled for Feb. 4 and the board could approve the changes March 4, spokesman Martin Munguia said.

If approved, the fare increases would take effect June 1 and the service cuts June 13.

The nine-member board of directors, made up of elected officials from around the county, directed the agency’s staff to find ways to fill the projected $5 million hole in the agency’s $112.2 million budget for 2010, Munguia said.

Sales tax revenues, which fuel the agency’s operations, were down 18 percent in 2009 compared to 2007 and are expected to continue that trend, Munguia said. This amounts to about $1.5 million a month, he said.

The fare increase would raise prices for adults from $1.50 to $1.75, youth fares from $1 to $1.25 and senior fares from 50 cents to 75.

The fare hikes also would affect Dial-a-Ride Transit, or DART, which is administered by Community Transit. These rates would rise from$1.50 to $1.75 for all riders.

The service cuts were proposed because they’re considered less onerous than other alternatives, he said.

“What we really wanted to do was to preserve the core weekday service,” Munguia said.

About 35,000 rides are taken on Community Transit buses on an average weekday, he said. On Sunday, the lowest ridership day of the week, the figure is 8,700. For holidays, it is 6,700.

The early morning service cuts would primarily affect Boeing employees, Munguia said. Community Transit-organized vanpools could be a good option for many of these commuters, he said.

Fare increases are expected to generate about $250,000, Munguia said. Sunday and holiday cuts are expected to save about $2.5 million, shortening and straightening routes more than $2 million, with the early-morning and late night cuts filling in the rest.

Bill Sheets: 425-339-3439; sheets@heraldnet.com.