An anticipated 5.5% fare hike on New York City subways, buses and commuter rail lines is delayed until July or August as the state’s overdue budget is holding up implementing the new charges.
(Bloomberg) — An anticipated 5.5% fare hike on New York City subways, buses and commuter rail lines is delayed until July or August as the state’s overdue budget is holding up implementing the new charges.
The state-run Metropolitan Transportation Authority, which oversees New York City’s transit network, must wait for lawmakers in Albany to finalize the state’s fiscal 2024 budget before boosting fares as planned. The MTA needs the state to provide additional funding to help close a $600 million deficit this year that’s projected to grow to $3 billion in 2025.
The MTA initially planned a 5.5% fare and toll increase in June but will need to postpone that to later in the summer, an official said during a finance committee meeting on Monday. The transit provider’s finances are caught up in the delayed state budget as lawmakers negotiate over changes to a bail law and Governor Kathy Hochul’s housing plan.
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“Originally we had a June implementation for the fare and toll increases,” Jai Patel, the MTA’s deputy chief financial officer, said during Monday’s committee meeting. “Obviously that’s not gonna happen. So it’ll be a fluid sort of process, so maybe July, August would be the timeline.”
The MTA is the largest transit system in the nation. It’s looking to the state to boost funding sources as farebox revenue has yet to match pre-pandemic collections. With more employees working from home, ridership has suffered. While the subway served 4 million rides on Thursday, a post-pandemic record, that’s still below the 2019 weekday average of 5.5 million rides.
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