"I'm asking for a $20 million additional cut in another area to move into giving the riders a break in services they need," said MTA board member Allen Cappelli. "We need to show the riders that we are listening."
STATEN ISLAND, N.Y. -- The Metropolitan Transportation Authority board of directors passed its $12.6 billion operating budget for 2012, but it voted down a $20 million amendment that would have restored some services for Staten Islanders.
The 4-6 vote to kill the amendment came this morning at the board's regular public meeting where financial officials and board members voting against the amendment described the present budget as "fragile" but "manageable."
"The reduction in projected subsidies underscores the fragility of the MTA's current fiscal stability," said Executive Director Joseph Lhota. "It also indicates how important it is for the MTA to continue its recent efforts to reduce costs, even as we work to improve services."
Board members Mitch Pally and Allen Cappelli proposed the amendment weeks ago, which they contend would not add costs to the MTA's customers or the operating budget as the money -- less than two tenths of a percent of the entire budget -- could be cut from another area.
"For those of us fighting the fight to protect riders in the service area, I think we have an obligation to push the institution to do more with less," Cappelli said. "We are not asking here for a single dollar to be added to this budget; we are seeking to re-prioritize."
Although Cappelli later characterized the vote as a "numerical defeat," he felt that a consensus is being built around the board to restore services.
"This is not going to go away," Cappelli said. "It's the creation of a significant movement."
Members voting against the amendment cited the uncertainty of next year's fiscal climate, with a portion of the budget coming from taxes, those revenues could be down, which would negatively impact the budget based on projections and assumptions.
"We have cut millions of dollars out of the expense budget through consolidations," Cappelli added. "I'm asking for a $20 million additional cut in another area to move into giving the riders a break in services they need. We need to show the riders that we are listening."
The approved operating budget already was hit with an $87 million reduction in projected revenues generated from the Metropolitan Mass Transportation Operating Assistance -- a collection of taxes dedicated to public transportation.
This reduction in tax dollars opened a $68 million deficit for 2012 that the MTA will close with $35 million in reduced internal expenses and releasing $33 million from general reserves funds, the agency said.
Risks and uncertainty facing the agency include the possibility of a worsening economy, additional reductions in state subsidies and taxes, labor settlements falling short and the pending approval of the 2012- 2014 capital program, the MTA said.