Though last year New York Governor Kathy Hochul announced a new federal infrastructure bill resulting in no fare increases in 2021, we can’t say the same for this year after the MTA recently released their proposed 2023 budget.
In an attempt to reduce the structural deficit from $2.6 billion to $600 million in 2023, the budget proposes ways to preserve transit service and funding shortfalls. One solution being a possible 5.5% increase in fare by 2023, shares MTA officials.
Though an MTA official said the fare increases may not impact the cost of a single subway ride and rather be distributed across the transit system, this could bring single-ride fares from their current $2.75 price up to $2.90 by 2023.
The fare hike comes from the biennial toll/fare increase which is 4%, in addition to a proposed 1.5% fare increase included in the budget, which totals to 5.5%.
The recurring fare and toll increases in the 2023 budget proposal could bring in $373 million in additional annual revenue, states the press release.
Acting Metropolitan Transportation Authority Chief Financial Officer Kevin Willens said the “proposed budget and financial plan further demonstrates the need for new, dedicated sources of funding which, combined with MTA actions to find savings without limiting service, can greatly reduce the fiscal cliff and protect mass transit for the region.”
No final decisions will be made until December when the board will reconvene to consider and approve the 2023 budget. If the budget were to be approved, public hearings would take place “no earlier than February,” shared MTA CEO Janno Lieber. “The budget proposed [on November 30] puts us in a position to continue delivering the essential transit services that customers rely on while also prioritizing long-term fiscal responsibility.”