Statement from State Comptroller Thomas P. DiNapoli on the MTA’s financial plan

New York State Comptroller Thomas P. DiNapoli today released the following statement on the MTA’s February Financial Plan:

“The MTA’s February financial plan underscores the seriousness of the situation the authority — and the state and city — face in dealing with upcoming fiscal challenges. The plan recognizes that each of the next three years will be balanced with the use of one-time federal relief and, more worryingly, in 2025, with deficit financing. The idea that it will be years before the MTA needs to find a solution to its structural imbalance is troubling.

“Better-than-expected tax revenues will further stretch one-time federal assistance and reduce the expected reliance on deficit financing during the fiscal plan. Despite this, the plan still relies on an average of $1.8 billion in one-time funds used each year through 2025, obscuring a structural fiscal imbalance that will persist even after federal aid runs out.

“The gaps that will be exposed in 2026, which are expected to exceed $2 billion based on today’s discussion, remain even if the MTA succeeds in implementing its current plan to increase fares in 2023 and 2025. , and $150 million in annual savings generated by its transformation. plan. The MTA must regularly report on the progress of these initiatives, the receipt of federal assistance, risks, and its response when initiatives fall behind expectations.

“While continued economic uncertainty will create volatility in the MTA’s fiscal rebound, information on the trajectory of the return of goodwill and its impact on the MTA’s finances should be regularly reported and discussed so that the MTA and its board of directors understand how they can move forward while minimizing the impact on rider safety and improving system reliability.