Transit

When the state of New York announced in December that it would slice $143 million from the MTA operating budget, it may have seemed like a belt-tightening measure for lean times. But the truth of the matter -- which often goes unstated, unreported, and unappreciated -- is more insidious.

Tucked into an otherwise bleak state budget, there's one piece of good news for transit riders. One of Governor Paterson's amendments to the state budget would authorize New York City to keep its bus lanes clear of traffic with camera enforcement. 

The MTA roadshow is in full swing, with raucous public hearings on service cuts drawing hundreds in Queens and Staten Island last night. Some press outlets are questioning whether the hearings actually get anything accomplished. It's a good question to chew on, since the MTA Board's options are limited by the agency's massive budget gap.

On Friday we noted that Assembly Member Richard Brodsky's latest anti-transit argument -- that "the actual cost of free and discounted student fares is close to zero" -- doesn't hold water. A letter from Brodsky addressed to MTA CEO Jay Walder calls for reinstating student MetroCards, laying blame for the program's potential elimination at the MTA's feet while neglecting to mention Albany's leading role in reducing funds for student transport. 

So it's come to this. With transit revenues plummeting to the point where the MTA has to deal with a $400 million shortfall on top of an austerity plan that already calls for deep cuts in service, Governor Paterson yesterday proposed shifting the burden of the MTA payroll tax to fall heavily on New York City businesses. The idea is to tax city payrolls at .54 percent and suburban payrolls at .17 percent, skewing the flat .34 percent rate established last spring.

When Albany slapped a Band-Aid over the MTA budget hole last spring, no one except the architects of the plan pretended that the transit system was actually on sound financial footing. As yet another day of reckoning approaches, lawmakers continue to go to bizarre extremes to avoid admitting that their slipshod funding package has failed.

Hat tip to Ben Kabak at Second Avenue Sagas for plucking this graph from yesterday's urgent session of the MTA finance committee. It charts where the money comes from for New York City's free and discount student transit passes -- of which there are more than half a million. And it says a lot about the transit funding mess we're in today.

After omitting bridge tolls from last spring's transit funding package, then raiding the "piggy bank" to the tune of $143 million, Albany's neglect of the MTA has left millions of transit-dependent New Yorkers in the lurch. Yet lawmakers have shown no inclination to get to work patching the agency's ever-widening budget hole, much less coming up with a viable long-term fiscal solution. Quite the opposite.

Is 2010 the year of bridge tolls? Or will it be 2011 or 2012? If the editorial boards and political insiders are even half right, New York State appears to be back on the brink of an epic fiscal crisis. Lieutenant Governor Richard Ravitch said today that the state faces a deficit of $9 billion to $18 billion next year.