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MTA says even worse cuts and hikes will come...


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-Story on Newsday-


Seriously, this is horrendous, confusing and irritating all at once. How can they let this get any worse? It's like people (especially here) said - this sort of thing will make people leave NY in droves. Droves!!!


And what will happen if they do get their expected $49 million surplus at the end of the year? Cry poverty less than a day later? They'll probably find a way to waste any surplus. I'm just extremely irritated right now.

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Sorry buddy I am not sure you aware but this is old news. Mark and I posted this recently as part of road leading to Doomesday II cuts. Here Mark's from last week's AM New York.



The MTA is in an even deeper hole than everyone feared. From AM New York.


The agency's deficit has ballooned by as much as $700 million this year,

possibly pushing the total to $1.9 billion, sources close to the MTA said.


So even if an Albany bailout comes through, straphangers could still be

dealt painful service cuts and even another fare hike beside the increased

already planned.


"Things are going to get worse, because the economy is worse," said Gene Russianoff, of the Straphangers Campaign.


Straphangers recoiled at the news.


"It sucks," said Courtney Gordinier, 27, of the Meatpacking District, when

asked about the upcoming hike and the prospects of another. "I'd rather

take the bus to work, but I'm going to bust out my bike."


The agency is putting through a fare increase of up to 30 percent and dozens

of service cuts, assuming Albany doesn't come up with new cash. Those

measures, however, were sketched out to fill a smaller budget gap of $1.2



Aaron Donovan, an MTA spokesman, declined to confirm the amount on the

deficit, but said officials will discuss ways to fill the additional hole

during its full board meeting next Wednesday.


But an internal memo sent by agency chief Elliot Sander Tuesday alluded to

the MTA's grim financial outlook


"We expect to forecast our revenues and preliminary indications are

certainly not encouraging," Sander wrote to agency heads and board members.


The fare increase, that will push the cost of a monthly MetroCard to $103,

is slated to roll out May 31.


"Of course it's going to impact me," said Sasha Rodriguez, 21, of Washington

Heights. "We don't get paid enough to raise the buses or trains."


Workers are making "progress" toward reprogramming fare boxes, MetroCard

machines and turnstiles, New York City Transit spokesman Paul Fleuranges



Meanwhile, Albany's efforts to rescue the MTA continued to meander yesterday

as the Senate hunted for 32 votes for its proposal. The latest plan would

generate $1.76 billion through an 8 percent fare increase, $1 taxi surcharge

and three new motor vehicle fees.


"The transit system is on the precipice," said Neysa Pranger, spokeswoman for

the Regional Plan Association, an advocacy group. "If Albany can't act,

we're looking at a shrunken transit system [and] ever rising fares."


Assembly Speaker Sheldon Silver (D-Manhattan) gave the plan his blessing yesterday,

according to a published report. But even it clears the Senate, money earned

from the proposal wouldn¹t cover the new deficit.


"In the state with the most transit users, it's an abomination that that we

should be going through this," said Andrew Albert, a nonvoting MTA board



The MTA will officially announce the deficit during the board's finance

committee meeting Monday. Officials had previously said that the MTA is $323

million behind in state and real estate taxes this year.


"The finance committee will not be pretty," Russianoff said.


In his memo, Sander directed agency chiefs to impose a "hard freeze" on

spending, including no new hiring or overtime. Purchases and contractors

must also be sharply curtailed, Sanders wrote

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And mines.


I already posted it before but i do it again for those who did not read it.


Folks more bad news for NYC metro area transit riders. Even if Albany 'bails out' the MTA to save most if not all the planned cuts for this year (2009) the ecomony crisis is hurting the transit agency more than planned. The defecit according to a MTA exce may now hit $3-4 Billion dollars. Here the news from the AP and WABC-TV Ch. 7 in NYC.


Doomesday II Cuts coming for 2010?


ALBANY April 14, 2009--(AP and WABC-TV reports) An official for the Metropolitan Transportation Authority says additional service cuts or fare increases might be needed because of a sharp decline in state tax revenues.

The chief financial officer of the authority, Gary Dellaverson, cited the new projection Monday. He refused to give details of what is being considered, but says to balance the budget, the MTA could make deeper cuts or increase fares a second time before the end of the year.

A state bailout of the authority that is backed by Gov. David Paterson is bogged down in the Legislature.


The MTA released the following statement on the possibility of more cuts and hikes:


"The MTA has been informed that proceeds from state-collected taxes dedicated to the MTA will be approximately $200 million below budget projections in 2009. Plus added expenisves from fuel could make the existing budget defecit reach as high as $4-5 Billion.



This news, combined with continuing declines in real estate taxes, makes it clear that the MTA will have to take additional actions in 2009 to keep its budget in balance, absent action from Albany.


We expect to re-forecast annual projections for a number of revenue sources, including fare and toll revenues and real estate taxes, at the April 27 MTA Board Finance Committee meeting. Specific additional actions needed to balance the budget, above and beyond the fare increases and service cuts already approved, will follow this re-forecast.


In the next set of possible 'doomesday cuts' it is rumored to possiblly include 'worst case' options for 2010 according to unnamed sources, include layoffs of thousands of more MTA workers, ending overnight service on almost all NYC Bus Routes. In addition weekend service on all non-Staten Island express bus routes could end, and overnight subway service would operate every 60 minutes with the closing stations on weekends/overnight periods.


Also on the table for possible doomesday cuts in 2010, is the end of weekend and subway service and the suspension of constructing both the Second Ave subway and LIRR service to Grand Central.


Metro North and LIRR would not be spared either with the end of weekend express and Late evening service and train service on both lines shutting down at around Midnight daily.


MTA officals stress that this is for now only a worst case scenrio for late this year or next year if the ecomony or a bailout does not occur.


(Copyright ©2009 by The Associated Press and WABC-TV news wires stories. All Rights Reserved.)

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