Waiting for Federal Bailout: MTA Postpones Vote on How to Reconcile $4.7 Billion Debt

By Yehudit Garmaise

   The vote originally planned by the Metropolitan Transportation Authority (MTA) on whether the agency would have to slash service in half and terminate 9,000 workers to balance its budget, which is $4.7 billion in debt, has been postponed until after the new year, perhaps as the agency waits for federal aid.

   As the beleaguered agency officials wrung their hands over how to trim the MTA’s budget and changing the prices of fares and tolls by raising them to generate income or lowering them to increase ridership, Mayor Bill de Blasio told BoroPark24 that only federal aid can help the MTA to get back on its feet.

   But now sources have told the New York Post that the MTA is increasingly optimistic about soon receiving federal support that would drastically changing the agency’s budgeting allocations and decisions.

   “They’re going to vote on a budget that assumes federal funding,” said one source with inside knowledge of the MTA’s plans.

    If the funding falls short, however, service cuts, job reductions, and fare hikes will be back on the table, but they won’t be voted on until January.

(Marc A. Hermann / MTA New York City Transit)