• Report: MTA to Run Out of Money by August

  • This forum will be for issues that don't belong specifically to one NYC area transit agency, but several. For instance, intra-MTA proposals or MTA-wide issues, which may involve both Metro-North Railroad (MNRR) and the Long Island Railroad (LIRR). Other intra-agency examples: through running such as the now discontinued MNRR-NJT Meadowlands special. Topics which only concern one operating agency should remain in their respective forums.
This forum will be for issues that don't belong specifically to one NYC area transit agency, but several. For instance, intra-MTA proposals or MTA-wide issues, which may involve both Metro-North Railroad (MNRR) and the Long Island Railroad (LIRR). Other intra-agency examples: through running such as the now discontinued MNRR-NJT Meadowlands special. Topics which only concern one operating agency should remain in their respective forums.

Moderators: GirlOnTheTrain, nomis, FL9AC, Jeff Smith

  by Pensyfan19
 
This could be critical to completing funding for not only many of the projects listed in this forum, but as well as continued funding for the LIRR, metro North and Subways. :(

https://www.railwayage.com/news/report- ... annel=news
According to a report on Bloomberg.com, New York’s Metropolitan Transportation Authority (MTA) will run out of money in August if the U.S. Senate does not approve the economic stimulus measure that would provide about $3.9 billion to the agency, Chairman Patrick Foye said.
“We’re in a dire financial situation,” Foye said during a Bloomberg Television interview, as the city prepared to enter a second phase of reopening. “It is absolutely critical that the MTA receive that money.”
The $3 trillion measure passed by the Democrat-controlled House of Representatives would provide about $1 trillion to state and local governments being battered by the shutdowns. The amount the MTA would receive could carry it through the rest of the year, Foye said.
Earlier this year, the system received $3.8 billion with the enactment of the $2 trillion stimulus package in March. That money will fund the system through August, Foye said.
MTA runs the city’s buses and subways, regional commuter rail systems, and several bridges and tunnels. Its revenue since the COVID-19 lockdown began in March plummeted along with a 90% drop in subway and bus ridership, while costs increased as crews disinfect its train cars and stations daily, Foye said. Retired Federal Transit Administration Region 2 official and frequent Railway Age contributor Larry Penner (left), “The Federal Transit Man,” comments:
“During the AM New York MTA NYC Transit and NYC’s Reopening transportation webinar in response to a question about plans for any fare increase as a result of COVID-19, New York Metropolitan Transportation Authority Chairman Pat Foye said in no uncertain terms there is no consideration toward imposing a fare hike in the worst-case scenario due to the COVID-19 ridership loss. What he failed to mention is the previous plan agreed upon by both New York State Governor Andrew Cuomo and New York City Mayor Bill de Blasio; it included both congestion pricing and fare increases as part of a funding package to support the $51 billion MTA 2020 – 2024 Five Year Capital Plan. This plan includes fare increases no greater than 2% per year. The MTA and State Legislature committed to fare increases occurring every two years. With a fare increase in 2019, the next would be in 2021. The MTA currently faces financial shortfalls in the billions for both capital and operating expenses. Any fare increase for NYC Transit local, express and select bus service, subway, Staten Island Railway, MTA Bus along with Long Island and Metro North Rail Roads could be up to 4%. There is still no guarantee that Congestion Pricing will begin any time in 2021. Due to the economic recession as a result of COVID-19, billions anticipated from congestion pricing, real estate transfer, Internet sales, along with other city and state taxes, will be lost. The result could be a larger fare increase in 2021. The alternative could be reductions in the level of service, frequency of maintenance along with delays to capital projects and programs to minimize any fare increases.”
  by Pensyfan19
 
Here's the original article from Bloomberg in case if anyone is wondering:

https://www.bloomberg.com/news/articles ... -by-august
New York’s Metropolitan Transportation Authority will run out of money in August if the U.S. Senate does not approve the economic stimulus measure that would provide about $3.9 billion to the agency, Chairman Patrick Foye said.


“We’re in a dire financial situation,” Foye said during a Bloomberg Television interview Monday, as the city prepared to enter a second phase of reopening, with about 300,000 more workers expected to occupy offices, open air restaurants and small businesses such as barber shops. “It is absolutely critical that the MTA receive that money.”


The $3 trillion measure passed by the Democrat-controlled House of Representatives would provide about $1 trillion to state and local governments being battered by the shutdowns. The amount the MTA would receive could carry it through the rest of the year, Foye said.


Earlier this year, the system received $3.8 billion with the enactment of the $2 trillion stimulus package in March.


Agency officials expect to need the remainder of its available funds to cover losses in July, said spokesman Tim Minton. Those funds will be distributed to the agency in August.

The transit agency, critical to a region that contributes about 8% of the U.S. economy, runs the city’s buses and subways, regional commuter rail systems and several bridges and tunnels. Its revenue since the Covid-19 lockdown began in March plummeted along with a 90% drop in subway and bus ridership, while costs increased as crews disinfect its train cars and stations daily, Foye said.
  by GirlOnTheTrain
 
Yet there's somehow 100k to blow on studying how other agencies have responded to coronavirus... *insert kermit sipping tea meme here*

Always wasting money on the wrong things.

Farebox recovery is never going to be stellar, but on the transit side when you're just outright not collecting fares on buses and losing who knows how much in stations with malfunctioning MVMs (even more than normal since station agents are not allowed to do transactions period, end of story) and not selling reduced fares...they could maybe try to apply pressure to the hemorrhaging wound by reinstating fare collection on all buses (which most surrounding systems have done) and bringing cash back to the stations.

The article is misleading though, to date they have only gotten $500m of the $3.9 billion from the first round of the stimulus.

One positive I saw somewhere earlier today, ridership has rebounded somewhat at slightly less than a million trips a day. I can attest from personal experience that there is a lot more ridership since NYC entered phase 1 than there had been previously, and in the 48 hours since NYC entered phase 2, there is even more of an uptick.