By PETE DONOHUE
DAILY NEWS STAFF WRITER

* MTA took $500M hit in Wall St. meltdown

The $2 subway-bus fare could be saved if the state adopts the transit rescue package drafted by former MTA Chairman Richard Ravitch, the MTA revealed Monday.

The Metropolitan Transportation Authority has drafted fare-hike proposals in advance of public hearings scheduled for January and February.

If the state Legislature imposes new tolls and a tax on businesses as the Ravitch plan recommends, the MTA could keep the $2 fare for riders as long as they use MetroCards.

Riders paying with coins on buses or buying single-ride tickets would be charged $2.25.

That essentially would create a system similar to E-ZPass where drivers with the electronic tags pay less than drivers paying with cash.

The MTA says it could speed bus travel if more riders used MetroCards as opposed to plunking coins into fareboxes one at a time.

Under the $2 fare scenario, the MTA would eliminate the current 15% bonus offered by the Pay-Per-Ride MetroCards.

The weekly MetroCard would increase to $26 from from the current $25, while the monthly unlimited-ride MetroCard would rise from to $87 from $81.

Those are much smaller increases than what would be required if Albany fails to adopt the transit rescue package.

Failure to act could result in the subway-bus fare rising to $3, a weekly MetroCard hitting $31 and a monthly MetroCard going for $103.

The MTA is projecting a 2009 budget gap of $1.2 billion.

Fare hikes of some shape are scheduled to take effect in June while toll hikes would occur the following month. Service cuts could come as soon as the spring.

The MTA is legally required to submit a balanced budget.
The different proposals

The MTA Monday released examples of how fares and tolls could go up next year – one set assumes there is no state bailout, forcing the MTA to increase fare and toll revenues by 23%. The other set assumes a transit rescue plan put forth by former MTA Chairman Richard Ravitch is adopted, leaving the MTA to increase fare and toll revenues by 8%. Any changes would require another MTA board vote after public hearings next year.

Add some new taxes but don’t have anyone check the MTA books. Are we seeing the real books or are we getting the second set like last time. I bet if I gave the IRS a phony set of books I’d be sitting in some jail cell, but not the MTA money people. I still don’t see the MTA selling any of the 1000′s of real estate holdings they have in the city or moving out of their palace on Madison Ave to cut cost. Now that the Atlantic yards deal has gone bust I don’t see the MTA getting any money from Mr. Ratner or making any attempt to re sell the giant **** they let be dug in the middle of Flatbush Ave. As always the MTA goes to the easiest way of getting the cash and has never tried to think out of the box to help the riding public. Ronnie from Morris Park

greatone_pro Dec 29, 2008 5:49:45 PM Report Offensive Post
The problem is not the MTA’s books as everyone seems to want to claim again and again. The problem is Pataki and Guliani together stopped funding the MTA with city and state dollars for capital projects. Pataki himself told the MTA to use bonds and borrow money wherever needed. Problem is that the chickens are finally coming home to roast as the interest on those loans and bonds have jumped through the roof over the past 13 years and each year individually. The MTA has been left all alone to pay all thanks to Pataki and Guliani. Remember that!

greatone_pro Dec 29, 2008 5:53:53 PM Report Offensive Post
Oh and if the next thing you plan on mentioning is the the surpluses the MTA experienced year after year for several years. A part of the state’s current plan for funding the MTA is to send the tax proceeds for real estate transactions their way. That works very well. Like in the year the MTA offered holiday discounts at the cost of $1 million. Problem is in years like these when real estate transactions are hitting all time lows. That means all time lows in funding for the MTA. The MTA needs a steady stream of funding. Not anything based on a sales tax. If you compromise transit and it’s fare then you compromise the rest of the economy. Pataki missed that thought.

exeter Dec 29, 2008 6:25:50 PM Report Offensive Post
“Robbing Peter to Pay Elliot? Tobacco Raises Concerns over MTA’s Spending Priorities June 17, 2008 Assemblyman Lou Tobacco (R-South Shore) today blasted the Metropolitan Transportation Authority (MTA) for giving MTA CEO Elliot Sanders a $10,000 raise on top of his $340,000 in earnings. The salary increase comes in the wake of the MTA calling for toll increases to shore up the authority’s expected budget gaps.”

tgif Dec 29, 2008 7:53:58 PM Report Offensive Post
No one should trust the crooks in the MTA. Yeah raise the tolls and charge Tolls on all bridges and Tax the rich. Then 2 month later when the Crooks at the MTA dont have enough money to spend on pet and personal projects, guess what? they have to raise the fares lol. What a bunch of Crooks