Press Mention

10 Burning Questions After Cuomo’s State of the State and Budget

Gotham Gazette

January 19, 2018

In his executive budget, the governor did outline his plan for stabilizing the ailing transit system that serves the New York City area, but the fine print included swelling New York City’s responsibility for the MTA’s capital improvements, as first noted by Politico New York.

Citizens Budget Commission, an independent fiscal watchdog, termed the measures an “unjustified shift” of costs to the city. “The Executive Budget asserts the responsibility for funding New York City subway and bus capital improvements should rest solely with the City of New York, which would require a sevenfold increase in City capital contributions,” said CBC President Carol Kellerman, in a statement on the proposed budget. “In addition, the Metropolitan Transportation Authority (MTA) would be authorized to establish Transportation Improvement Districts within New York City that capture revenues from rising property values - without the City's approval. These proposals are an attempt to impose an onerous cost shift onto New York City residents and businesses, who already pay an estimated 72 percent of MTA dedicated taxes and subsidies.”

An unnamed state official told Politico that the state was reinforcing a 1981 law that already requires the city to fund its subways, a claim that has been called dubious by a number of experts. New York City Mayor Bill de Blasio will no doubt raise the question of MTA funding when he testifies at a legislative budget hearing in Albany on February 5.

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