MTA's Budget Crisis Means More Fare Hikes, Service Cuts

Gov. Paterson is proposing cutting $60 million from the MTA's $10 billion operating budget. That's less than 1%, but further decreases in real estate revenues could make an even larger dent in the budget. According to the New York Post, real estate revenues were off $31 million this month, which could add up to hundreds of millions of dollars annually. The effect on riders will not make many happy: possible service cuts and another fare hike in the near future.

Those are bitter pills to swallow for transit riders who just are getting used to a recently enacted fare hike that affected regular riders, but left single-trip fares alone. Money from the fare hike was promised to be earmarked for service improvements, but recently the MTA backtracked from that commitment, citing budget concerns.

Richard Brodsky, a state assemblyman representing Westchester told The Daily News "A fare hike next year is inevitable." He then added that service cuts with a fare hike, in addition to Paterson's new support of Mayor Bloomberg's congestion pricing fee was completely unfair. "They are beating the hell out of the middle class."

Untitled photo of metrocard machine, by [phil h] at flickr

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

By Dave Hogarty in News on March 29, 2008 11:15 AM

Comments [rss]

twelveicat

How about instead of cutting service and raising prices they fire the ones that sit and collect their fat 6-figure salaries for less work than it takes to spit to the third rail?

There's an obscene amount of mismanaged funds here. The MTA's top officials spend more time visiting local coffee shops then they do at their desks.

Why not fire 500 or so bloated salaried people? Why not when there's a service crew doing track work only send the ones that are actually required to do the work, not their friends as well?

What ever happened to working for your pay?

Goomba

Where does all the money go? It is like the MTA is some sorta ponzi scam, but legal cause they are the government.

monsur

Three years ago it was a surprise budget surplus from the real estate market:

http://gothamist.com/2005/09/27/trust_the_mta_with_money_ha.php

Instead of reinvesting it into the system, it was to be used to buy more property.

Why is the MTA so dependent on real estate?

yttrx

There is no middle class here, and there hasn't been in some time. I wouldn't mind seeing the SUVs that blow their horns behind garbage trucks at 6am right under my window on 18th street get charged a thousand bucks each for the privilege of even BEING in NYC. 1000 bucks and a punch in the face. That's what it should be.

nivek

#4

No, because they want to steal as much money as they can from us.

Dan Dickinson

I don't suppose the MTA has ever considered, I don't know, reducing some of their legendarily huge administrative overhead?

SleepyM

oops, sorry. Wish we could edit or delete our own posts.

SleepyM

This is ridiculous. I'd love it if there was a day where no one took the subway or bus in protest. I know it won't happen but imagine the message it would send it if did.