MTA may address budget crisis in Wed. meeting

A train arrives to the Astor Place station early Friday, Dec. 16, 2005 in New York. (AP Photo/ Dima Gavrysh)

April 28, 2010 4:09:50 AM PDT
These are bitter days for the MTA and its customers. The authority just got through gutting bus and subway service.

Now the MTA says it got the numbers wrong, and so did Albany.

Things are worse than anyone dreamed.

Two months ago, the MTA said a new payroll tax would help fix the budget shortfall, but now that revenue is coming in millions behind the initial forecast.

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Years of plans for the city's mass transit seem to be in trouble. The MTA is expected to approve a list of projects with no guarantee that they can pay for them.

The new payroll tax designed to prop up the MTA is running more than $41 million behind the revenue forecast made just two months ago.

That shortfall is going to widen the budget gap that is already at $400 million.

The Mayor says his idea to raise money through congestion pricing for driving in Manhattan is still sound. But Albany says they continue to look for other ideas.

"We went to Albany with (an idea) they said no, they had a better idea, and (we) are still trying to balance a budget with a better idea, hopefully they will come up with one," said Bloomberg.

The full MTA board is meeting Wednesday, but some board members say they won't talk about the financial squeeze. They say they're putting off that discussion until July. If things still look bad then, the board will consider more service cuts and possibly a fare hike.


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