Sunday, July 29, 2007

Fare Hike?

Despite a current budget surplus, the MTA is proposing the possibility of a 6.5 percent fare increase, which will be decided on in December and would take effect in February-March 2008 time frame. This would make up for a [forecast] $320 million dollar shortfall and looming increasing debt service payments.

The 6.5% supposedly "represents an increase designed to keep pace with inflation."

Personally, I would really like to see the MTA tighten their belt a little more before they come to ask us for an increase. Several areas for cost savings should be looked at including consolidating operations and reducing benefits and compensation to their very well paid LIRR workforce.

It is something we in the private sector face every day in the name of 'profits.'

So why can't we apply these same rules to LIRR employees in the name of 'service?'

I would agree to an increase of say 3% if the LIRR/MTA can come up with cost savings of at least $150 million. Again, this is something that occurs in the private sector quite frequently.

The only problem is the genuine lack of political will on the part of LIRR/MTA leadership. They are absolutely afraid to ask union members for 'concessions.'

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