MTR 43, NY Groups Assail Pending U.S. Transit Cuts

Mobilizing the Region
Issue 43 July 20, 1995

NY Groups Assail Pending U.S. Transit Cuts

Bus and subway systems around New York State would suffer a 44% loss in federal aid if the U.S. House of Representatives votes for a pending budget proposal, the Tri-State Transportation Campaign and the Straphangers Campaign charged this week. The cut -- totaling more than $45 million -- would severely impact the ability of New York transit systems to maintain essential service without raising fares. "If Newt Gingrich and the leaders in Congress vote to slash transit aid, they will be hurting transit riders across the state, from Buffalo to New York City and its suburbs," said Gene Russianoff, staff attorney with the Straphangers Campaign. Last week, the Poughkeepsie Journal called the proposed cuts "a foolish mistake."

The cuts could force major transit fare increases in Albany (13%), Buffalo (12%) and Syracuse (14%), and on some systems increases as high as 81% (Glens Falls), 62% (Poughkeepsie) or 51% (Rome). They would affect transit operating budgets in the metropolitan area only marginally. The price of a NYC subway and bus token would have to increase 2%, or 2.5 cents, to cover the federal cuts. MTA Long Island Bus and LIRR would likewise need 2% fare hikes, Metro-North 1% and NYC DOT bus services, 3%.

But the much larger budget hits to upstate systems have transit supporters in New York City worried. Governor Pataki's budget gives every NY transit system more state transit aid than it received last year, with the exception of NYC Transit. NYC subways and buses will receive $86 million less direct aid and $64 million less for transporting school children. "Big federal cuts to upstate transit systems could make the competition for scarce state transit dollars even tougher," Russianoff said. Under Governor Pataki's budget, NYC subways and buses get only 63.2% of state transit funding, although they carry 80.9% of NY transit passengers.

The full House of Representatives could take up the Appropriations bill on Friday, July 21 or early next week. An amendment to be introduced by Representatives Jon Fox (R-PA) and Tom Foglietta (D-PA) would restore $135 million in transit operating funds to the federal budget, reducing potential fare impacts around the country. The current appropriations bill increases overall federal spending on highways. Washington transit advocates say NY Congressional representatives from affected areas like Susan Molinari, Rick Lazio, Peter King, Sue Kelly, Daniel Frisa, James Walsh, and Jack Quinn will play a critical role in determining the fate of the Fox/Foglietta amendment.

New Jersey Transit relies on federal assistance for almost 5% of its annual operating budget. The recently approved NJ Transportation Trust Fund legislation contains funding provisions to fill gaps created by federal cuts, but use of this money to cover shortfalls created by Congress means less to build the many promising transit projects now being planned in NJ. The Trust Fund relaxed spending barriers between operating and capital expenses.