MTA postpones $30M in upgrades

Says economic outlook 'gloomy'
March 25, 2008 7:38:18 PM PDT
The MTA is postponing a $30 million package of service improvements it had promised to riders slammed by new fare increases.The MTA says that the money it receives from taxes on real estate transactions fell for the past two months.

MTA Chief Financial Officer Gary Dellaverson calls the economic outlook "gloomy" and "frightening."

New fares went into effect at the beginning of the month. The MTA had said that it would in turn improve service on the G, B and W subway lines and add or extend bus routes.

But the officials had said also as they announced the upgrades that they could only be implemented if the financial outlook was healthy.