As we reported last week, Mayor Bloomberg’s budget plan would cut aid to mass transit in two forms: 1) by cutting aid for NYC Transit buses and subways by about $100 million, and 2) by handing the city’s seven private bus lines over to the MTA without providing the agency with any operating support. Unfortunately, the story may not end there.

If the city reduces its contribution to NYC Transit, the reduction could snowball into other state and suburban cuts, possibly leaving riders at several systems facing less service and additional fare increases.

The city is required by law to match state "18b" operating funding for NYC Transit. Currently, both the city and state give $158.1 million annually under the provision to NYC Transit’s operating budget (the city’s contribution equals about 5% of NYC Transit’s total operating budget). A city cut here could well trigger an equal state cut. Additionally, following New York City’s lead, what would stop executives in Nassau, Suffolk and Westchester from taking the opportunity to reduce their counties’ troublesome contributions to Long Island Bus, the commuter railroads and the Westchester and Suffolk county bus systems?

The city’s franchise bus system receives $52 million per year in state operating aid, from a fund earmarked for non-MTA systems. It’s unclear what would happen to that funding if the buses are transferred to NYC Transit.

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