Transit Funding

One of the country's leading financial ratings agencies is warning that if America doesn't change how it invests in transit, the whole economy could suffer.

This week kicked off with news that Speaker Sheldon Silver would remove Governor Andrew Cuomo's $40 million transit raid from the Assembly's budget plan. Today comes word [PDF] that the State Senate has followed suit, rejecting the transit raid in its own budget resolution.

The MTA capital program, which funds maintenance and expansion of the transit system, is on the final year of its five-year cycle. A new plan is being developed, and the big question is how the state is going to pay for it. At a hearing of the Assembly Committee on Corporations, Authorities and Commissions, state legislators got briefed on the need to plug the enormous funding gap in the next capital program. At the same time, one State Senator is trying to create a new tax incentive to drive.

After a presentation on regional transit ridership trends at NYU's Rudin Center this morning, William Wheeler, the MTA's planning director, said the city's next mayor needs to firmly support the reallocation of street space for dedicated bus lanes, and should not back down in the face of opposition to changes that take away real estate from cars.

Rasmussen Reports, the polling firm that got the 2012 election completely wrong, asked 1,000 Americans last week how they feel about public transportation [PDF]. The takeaway they reported was this: “74% Rarely or Never Use Mass Transit.”

The 2009 MTA funding package passed by Albany included a plan to increase fares and tolls every other year. The most recent of those fare hikes, implemented in March, increased fares 8.4 percent, with the MTA anticipating another increase in 2015. If this pattern continued for the next decade, fares would rise 50 percent, to $3.75 per ride, according to an analysis by the city's Independent Budget Office requested by NYPIRG's Straphangers Campaign [PDF]. Unless city and state leadership act, fares will drastically outpace the inflation rate, even as crossing the East River bridges and driving to the most congested, transit-rich part of the city remains toll-free.

Believe it or not, in many U.S. states one of the biggest obstacles to active transportation is in the constitution.

The next mayor will have to take the lead on transportation funding challenges that, while difficult to address in campaign speeches, are critical to the city's future, former lieutenant governor and MTA chairman Richard Ravitch said today at a Fordham University infrastructure forum.

The consequences of the near-certain sequester for aviation have been well publicized by Transportation Secretary Ray LaHood's recent media blitz, but less well-known are the effects for surface transportation.