April 23, 2003

The riding public has been had by the MTA.

The Straphangers Campaign is outraged by the findings of State and City Comptrollers Alan Hevesi and William Thompson on the MTA’s finances. The comptrollers have concluded that the Metropolitan Transportation Authority did not level with riders about their finances when the agency called for a whopping fare hike in 2003, due to take effect on Sunday, May 4th.

The Straphangers Campaign is deeply troubled by the Comptrollers’ report that the MTA had two sets of books and moved hundreds of millions around in support of their call for a $2 subway and bus fare, which would be the highest base fare in the nation. The MTA’s withholding information on the choices it made on when and how to spend public resources makes a sham of the ten public hearings held by the agency on fare increases in February.

The MTA faces its worst crisis of public confidence in the agency’s 35-year history, following months of controversy about its finances. During last year, the MTA provided at least three different projections of its budget deficit, along with monthly financial statements showing out-of-context surpluses for MTA New York City Transit. Serious questions have also been raised about the independence and vigor of the MTA Inspector General.

It’s critical that the MTA’s credibility be restored. The MTA will need public support next year to win billions of dollars for a fifth five-year plan to keep rebuilding the system, support decent levels of service and hold fares at affordable levels. The MTA does serious financial choices and is currently facing huge cuts in aid proposed by Mayor Bloomberg.

The Straphangers Campaign calls on Governor Pataki, Mayor Bloomberg, the state legislature and the MTA to take immediate action to restore the MTA’s credibility.

We call on the Governor Pataki to appoint an independent blue ribbon panel ó known as a ìMoreland Actî commission ó with subpoena power and a mandate to investigate the MTA’s budgeting and finances, as well charges of corruption in the agency’s contracting.

We call on Mayor Bloomberg to use the city’s considerable resources to audit the MTA’s finances and to call off his proposals to cut hundreds of millions of dollars in support from the MTA pending a review.

We call on the MTA to delay its planned May 4th fare increase, release more complete information on its fare options and hold a new round of public hearings.

We call on the state legislature to enact laws that will make the MTA more accountable to it and to riders.

The riding public owes a debt of gratitude to both Comptroller Hevesi and Comptroller Thompson. The Straphangers Campaign supports Comptroller Hevesi in his plan to have his office be responsible for certifying the MTA’s budgets, as well as to closely monitor the finances and accountability of the state’s public authorities.

For more information, contact: Gene Russianoff (212) 349-6460

To see State Comptroller Hevesi's report, go to: www.osc.state.ny.us/press/releases/apr03/042303.htm