Such studies necessarily precede any building project and hence are positive steps forward, but financing for these and other major transit capital projects remains in limbo since the defeat of the 2000 Transportation Bond Act in November blew a hole in the MTA's $17 billion 2000-2004 capital plan. If not patched by the Governor and Legislature in the next budget, the gap is likely to stall progress on projects - like the Upper East Side 2nd Avenue "stubway" segment - programmed for funding in the latter years of the plan. Added to mounting agency bond debt, this reshuffling would push the completion of the 2nd Avenue line and the commencement of other projects even further into the future.

Unfortunately for transit riders, Governor Pataki's January budget proposal did not include any new money for MTA capital projects despite coming up with $250 million for highway projects (MTR #301). If no new money is found the MTA will have a $320 million shortfall this year alone.