The MTA has been facing an enormous financial setback due to COVID-19, and without serious help, it will likely be forced to change public transportation as we know it — especially subway service in NYC.
The organization revealed their 2021 budget plan on Wednesday, November 19, assuming they receive no additional federal emergency relief.
“The MTA continues to face a once-in-100-year fiscal tsunami and this is without a doubt one of the most difficult and devastating budgets in agency history,” said MTA Chairman and CEO Patrick J. Foye said as it was announced. “No one at the MTA wants to undertake these horrific cuts but with federal relief nowhere in sight there is no other option. As I have said, we cannot cut our way out of this crisis – we are facing a blow to our ridership greater than that experienced during the Great Depression. We are once again urging Washington to take immediate action and provide the full $12 billion to the MTA.”
The plan is a “worst-case 2021 spending plan,” if the organization does not get any help from the federal government in the coming weeks and months, these are the measures they will have to take. This includes:
- Reductions of 40% Across Subways, Buses and Staten Island Railroad
- Reductions of 50% Across Long Island Rail Road, Metro-North Railroad
- Reduction in MTA Workforce by Nearly 9,400 Positions
- Reducing overtime, consulting contracts, and other non-personnel expenses
And even if they did all of these things, it still wouldn’t been enough to close COVID-Era deficits. With all the cuts, the MTA’s projected deficits will be $15.9 billion through 2024.
The MTA board will be asked to vote to enact a new budget in December. If they do indeed receive federal funding for 2021, they say they will make budget adjustments.
You can read more and see the formal budget presentation to the MTA board here.
featured image source: MTA