The “shared pain” Gov. David Paterson has spoken of lately required yet another aspirin recently as the MTA announced it is a nearly $400 million in the hole.
The state Legislature had already set aside $1.2 billion in its 2009-2010 budget to bail the transportation agency out of its fiscal crisis.
The MTA”™s mobility tax, imposed on 12 counties in the New York area, was supposed to bridge the gap in the agency”™s financial abyss. Apparently, the gap was too wide to close, as the MTA disclosed an additional shortfall on its books on Dec. 15. (The shortfall was reported at either $363 million or $383 million.) The first mobility tax payments were collected Nov. 2, retroactive to April 2009.
“Unfortunately, it seems the MTA can”™t figure out if the payroll tax didn”™t live up to its expectations or if people didn”™t pay into it what was expected,” said Jonathan Drapkin, president of Pattern for Progress, which represents nine Hudson Valley counties, four of which share a single vote on the MTA”™s 17-member board ”“ the so-called Quarter Pounders.
Drapkin said the business climate and today”™s economy “give us a cost of living adjustment of zero; isn”™t it time the MTA go back to its work force and say, ”˜Sorry, zero is the best we can do.”™ It”™s unfortunate it will be forced into pretty substantial increases, which means someone will be paying for it. And that someone is the taxpayer.”
The hardest hit portions of the MTA network will be the New Haven, Hudson and Harlem rail lines, where cuts include fewer cars and consolidations to close the gap. Late-night trains running into Fairfield County, Conn., would be consolidated to cut down on costs, according to Marge Anders, Metro-North”™s spokeswoman, saying those consolidations would be orchestrated to create as little hardship as possible for riders. Riders on the west side of the Hudson, where only 5 percent of the MTA”™s ridership can be found, will not be spared from cuts in service.
Service cuts were then approved Dec. 16.
The $363 million gap is comprised of $100 million in lost revenue from the new payroll tax; $91 million for the 11.5 percent transit wage increase over the next three years decided in arbitration; and a $192 million reduction from the state in fiscal years 2010 and 2011. The proposed changes will take effect on July 1 if approved by the full MTA board.
“Right now, the MTA should be focused on running the trains on time, fixing the infrastructure and curb efforts, which amount to cosmetic improvements,” said Drapkin. “I don”™t understand how Washington, DC”™s system, which was built decades ago, still seems so modern. We can”™t seem to get it right. Even when it came to the governor”™s efforts on Tier V relief for the state”™s pension fund, it will help 30 years down the road, but what is it going to do for us today? I think a harder position is called for in this economic climate.”