MESSAGE
| DATE | 2020-10-14 |
| FROM | Ruben Safir
|
| SUBJECT | Subject: [Hangout - NYLXS] The MTA just never ever has enough money
|
gothamist.com
Without Federal Aid, NY State Comptroller Predicts "End Of Public
Transit As We Have Known It"
By Stephen Nessen, WNYC
4-5 minutes
The state’s fiscal watchdog is in agreement with the MTA that without
$12 billion in federal relief aid, New York’s public transit system will
be devastated. State comptroller Thomas DiNapoli sounded the alarm on
Tuesday, following the release of a bleak report on the MTA’s finances.
“It would mark the end of regional public transit as we have known it,”
DiNapoli warned reporters over a conference call.
The MTA exhausted its last $4 billion in federal relief aid in July, and
is asking for $12 billion to cover farebox and tax revenue losses
through 2021. After the pandemic shut the city down in March, ridership
fell to below 90 percent on subways and buses, and even lower on the
commuter rails. According to the report, it’s not expected to return to
pre-pandemic levels until 2023.
DiNapoli’s report comes as the agency is preparing to present next
year’s budget at a November board meeting. The budget is expected to
include service cuts of up to 50 percent on commuter rails, and 40
percent on subways and buses, with thousands of layoffs, as well as fare
hikes.
According to the MTA, a severe reduction in services is the only way to
keep public transit running in some form.
"The comptroller's report authoritatively confirms that New York riders
face grave danger from federal austerity. Congress must stop doomsday
MTA cuts,” Danny Pearlstein, Policy and Communications Director with
Riders Alliance said. "Our city and state cannot recover from COVID or
economic collapse without a strong public transit system.”
Currently, ridership on subways is still down between 63 to 70 percent
of pre-pandemic levels, while buses are down about 50 percent. Long
Island Railroad is still down 72 percent of what it was before COVID-19
and Metro-North is seeing 75 to 78 percent fewer riders, according to
the latest ridership numbers released last week.
“The Comptroller's report is further independent validation that the MTA
faces fiscal calamity for years to come if the federal government does
not step up to provide the necessary $12 billion in COVID-19 relief
funding we've been aggressively seeking,” MTA Chairman Pat Foye wrote in
a statement. “Massive service and employee cuts, fare hikes, a gutting
of our historic capital plan, and more unsustainable debt, which will
only put future pressure on the fare box, are all on the table without
help from Washington.”
The losses are not just from a drop in ridership.
The state comptroller expects MTA revenue from dedicated taxes and
subsidies will be $5.5 billion lower than expected through the end of 2023.
His office also estimated the extra cleaning costs associated with the
coronavirus and overnight shutdowns will reach an extra $1 billion by
the end of the year.
The MTA Board is currently considering whether to borrow $2.9 billion
from the federal reserve’s Municipal Liquidity Fund program, which would
add to the agency’s debt, but could help stave off cuts for a short time
until there’s help from Washington. DiNapoli agreed it’s a good plan,
but he called it just a “band-aid.”
DiNapoli, like the MTA, Cuomo and de Blasio, believe the only way to get
through the financial crisis is for lawmakers to pass a federal relief
bill in Washington.
DiNapoli said he’s not pinning his hopes on Democrats taking control of
the Senate and the White House after the November election.
“I think we have to look at the situation as we have it,” he said. “Red
states are having some of the same revenue shortfalls that we’re
certainly having in New York City and New York State so I do think that
will increase the pressure overall for there to be a resolution.”
It’s unclear where President Trump will ultimately land on a federal
relief package for states. He seemed to back a relief plan at one point,
before reneging again. But the latest reports show Senate Majority
leader Mitch McConnell is blocking the way forward on any federal relief
deal for states, and the MTA.
--
So many immigrant groups have swept through our town
that Brooklyn, like Atlantis, reaches mythological
proportions in the mind of the world - RI Safir 1998
http://www.mrbrklyn.com
DRM is THEFT - We are the STAKEHOLDERS - RI Safir 2002
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Being so tracked is for FARM ANIMALS and extermination camps,
but incompatible with living as a free human being. -RI Safir 2013
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