Solving the MTA's Operating deficit
The MTA's dire fiscal situation that was first enumerated in the 2018 November Financial Plan is getting increasingly worse, with larger deficits forecasted in both the July and November 2019 Financial Plan. As the percent of debt service continues to increase, being paid for with funds from the operating budget, less revenue is available to provide service to riders. The amount of debt the MTA has will only grow in the 2020-2024 Capital Program. The implementation of Congestion Pricing, coupled with improved performance and subsequent increases in ridership, point to the need for expanding service – and a new dedicated revenue stream of operating funds to pay for service.
Similar to the dynamic interactive tool created for Capital Program funding, the Operating Tool below shows funding options for these much needed dedicated operating revenue streams, and how much each raises annually. The 2020 MTA Operating budget is anticipated to be $16.8 billion, according to the July 2019 Financial Plan. With a budget deficit estimated to be nearly $1 billion in 2022, the Tool aims to identify $2 billion in recurring revenues for the operating budget to add the service riders need and to cover the growing deficit. This new revenue must be linked to higher performance standards, increased operational efficiencies, and categories of service increases.
Each color on the graph represents a unique revenue source. Hover over each color block to see the dollar amount in millions each contributes to the goal. In some categories, only one "Funding Option" is feasible (*Select only one where there is more than one choice). Mouse over the names listed in the legend to read the full title. The axis on the left shows the percent of funding reached, and the right axis shows the dollars in millions raised.
Similar to the dynamic interactive tool created for Capital Program funding, the Operating Tool below shows funding options for these much needed dedicated operating revenue streams, and how much each raises annually. The 2020 MTA Operating budget is anticipated to be $16.8 billion, according to the July 2019 Financial Plan. With a budget deficit estimated to be nearly $1 billion in 2022, the Tool aims to identify $2 billion in recurring revenues for the operating budget to add the service riders need and to cover the growing deficit. This new revenue must be linked to higher performance standards, increased operational efficiencies, and categories of service increases.
Each color on the graph represents a unique revenue source. Hover over each color block to see the dollar amount in millions each contributes to the goal. In some categories, only one "Funding Option" is feasible (*Select only one where there is more than one choice). Mouse over the names listed in the legend to read the full title. The axis on the left shows the percent of funding reached, and the right axis shows the dollars in millions raised.
