MTA Dollar Matters: Hikes, Raises, Job Elimination

Let's go over some of the major money-related MTA stories:

- MTA Chairman Peter Kalikow says a Metricard fare hike is necessary. The last we remember, the fare hike would affect discounted Metrocards (yes, your unlimited weekly and monthly cards), but the article says the hike would increase fares by 14%...maybe that's in the discounted card revenue. Anyway, the MTA is still planning for the Second Avenue Subway, East Side Access, and No 7. Expansion. Gothamist also likes this fact about what shape the MTA's budget is in:

Over 22 years, the MTA's budget deficit has grown from $3 billion to more than $11 billion, while direct state aid has dropped from 19 percent to zero, according to reports by the Regional Plan Association and the state Comptroller's office. Next year, the MTA faces a $436-million budget deficit that is projected to balloon past $2 billion in 2008.

However, no matter how crazy these numbers are, we have to agree the state should be chipping in more. And the Straphangers agree that the MTA can't borrow anymore (they already borrowed $22 billion last year). Gothamist has visions of Chairman Kalikow knocking on the door of the Governor's mansion,

- Six MTA executives received raises last year, leading the Post to call them "fat cats" and bemoan the fact that the riders are going to get served with fare hikes. Now, raises of 25% aren't really a good thing when you're talking about a deficit of hundreds of millions of dollars, but Gothamist could perhaps understand these raises if these executives are figuring out ways to keep the fare hikes down. But...

- ...this news is less great in light of 600 token booth clerks losing their jobs, as the MTA continues to find ways to cut costs. The Daily News reports that 49 round-the-clock and 115 part-time booths will be closed. The MTA says that stations where booths have been closed have not seen any jumps in crime, but the NYC Transit Rider Council says, "People feel less safe when they don't see a token person there. Whether it is perception or reality, that's the way they feel."

Learn more about the MTA's Capital Construction plans, such as East Side Access (Grand Central to Long Island), the Second Avenue Subway, and the 7 train extension, plus the Fulton Transit Center and outh Ferry Terminal

Contact the author of this article or email tips@gothamist.com with further questions, comments or tips.

By Jen Chung in News on September 28, 2004 9:37 AM

Comments [rss]

Bruno

This is especially annoying since they just published an article in the NYT a couple weeks ago about how the MTA blew more than 300 million on their headquarters construction. They used a double-mobbed construction guy (gambina and genovese)and he did NOTHING for them for five years. For that these losers deserve raises? Five years and no one noticed? Gimme a break!

Jason

600 token booth clerks fired so that 6 executives can get a raise and Ratner can get an entire rail yard? This isn't a good way to run an economy!

Couldn't the state pump in all that tax revenue and federal aid they're getting to fix such a vital resource? Oh, never mind.

Dirk

Once again, screwed over by the MTA. Since the last fare hike, I have a noticed a very big decline in service (stalled trains, service disruptions, more homeless people sleeping on the trains, etc). It would be one thing to have my unlimited card increase in price if they were actually improving something. But it seems we're paying more for less. Is there any recourse? Or is this basically a done deal?

Hilton

Stories like this make me ask: is NYC really worth it? I mean, as I get older and look to save just a teency-weency bit of money, or raise my assets (e.g., buy a house), I have to ask that question. Having lived outside NY for my fourth year now in DC and Boston, I have planned to return to NY since I left it for schooling, i.e, next year. But with tax rates up the wazoo, prices for basic necessities (shelter, food) rising to near astronomical prices, non-basic-but-still necessities like transport rising too, is NY becoming so unaffordable as to increasingly make it a mere playground for the very young and very rich, a cliche it already holds? And don't think that the financial situation is going to get better soon. With crude oil prices above $50/barrel, it's going to be a damn expensive winter, which only makes everything in the economy that much more expensive.

I have to say, I am beginning to fear for the Big Apple.

chris

don't forget the $28 million to that SVA student who leaned in front of the subway train. all straphangers have to pay for her too.

nyker

metricard, eh? i prefer to use a metrocard.

woodyb

So if the MTA is so strapped for cash why are Pataki and Bloomberg still talking about giving away the Atlantic Yards to Bruce Ratner? Kalikow says the yards could fetch over $1.2 billion!