#2 – MTA Hikes

On a day when the MTA voted to raise fares from $2.00 to $2.50, eliminate numerous bus lines, and the cut back off-peak subway service, I suddenly realized how little we know about how our city and state operate. The MTA and transit workers union have been lightning rods of criticism, from sloppy service, to recent strikes, yet, very few people truly know how the MTA is funded, and what it takes to operate our massive transportation system. To save on time and keystrokes, I steer you towards another blogger, http://www.transitblogger.com/mta-finances/mta-funding-editorial.php that provides a concise, yet effective job explaining the MTA’s funding.

I understand that as inflation and costs rise, transportation should be impacted. It is not sound business to provide a service and then lock in revenue streams (in this case fares) without controls for unexpected circumstances that adversely affect the ability to produce said returns. The ability to raise fares must be elastic, so the fact that we might have to pay an extra $0.50 per subway ride is just another reality of city living.

However, in a city where its major governing body voted itself another four years of work, where the recent Governor and Comptroller were shamed out of office, where its financial base (and, for that matter, the country’s financial base) have been pulverized by horrid markets, and where many workers depend on affordable public transportation, I question the wisdom of raising fares now. Now, when times are truly bad people are looking to local government to provide normalcy, and a sense of stability that they are not getting from Washington. Unfortunately, these fare hikes are another serious reminder that things have yet to hit rock bottom.
The 50 cent raise does not impact MATC’s ability to maneuver through the five boroughs; I can easily cut back at the bar or eating out. Its one of the great perks of being a bachelor. This raise, though, hits families and couples especially hard, since they have to move multiple people from place to place. It is adding addition pressures to the very people that make our city great.
It’s not right to say something is wrong and not propose alternatives. Here’s my plan, to help fill in the $500 million dollar gap.

Raise the NYC Commuter Tax
The City should levy a higher tax for those living outside of the five boroughs and make over $100,000. They should be very strict about those big-wigs that have crash pads in the city, yet live in the rolling hills of Westchester or Fairfield County. You work here, make the big bucks, so, you must ante up! We can call it the “Bridge and Tunnel Tax.” If they don’t like it, then work somewhere else. From a preliminary search, it seems like roughly 2 million people commute into the five boroughs to work. If we trust this number, then tack on an extra $100 to their commuter taxes, we can help offset some of these budget numbers.
Total Income: $200 million

Tourists
New York City is the country’s biggest tourist attraction. Just Broadway alone keeps the City on the world’s cultural map. Hit these tourists in the Euro! Or, even better, the Pound! Tack on a foreign gate tax at LaGuardia and on NJ Transit from Newark, and on all taxis coming from the local airports into Manhattan. Add restaurant taxes (say .05%) from 86th street to Wall Street, and at all of the hotels. Make people pay to play, and alleviate the cost of living for the people that actually call this city home. According to the always reliable WikiAnswers, over 44 million people visit New York City as tourist. If we simply charged a “$20 per tourist tax,” that gives the city an addition $800 million in revenue to help offset our MTA problem. I know this is not simple, but if anyone can get another $20 from a tourist, it’s a NEW YORKER!
Total Income: $800 million

Sports Teams
The major sports teams that actually play in the city should get hit hard in their endless wallets. The city did much to push through both baseball stadium projects and, if the Mayor got his way, would have been redeveloping Manhattan’s west side and the Queens coastline in preparation for the Olympic Games. Instead, both baseball franchises got nice deals to put their stadiums on public land, with long-term leases. For time’s sake, lets focus on the Yankees.

The Yankees’ new stadium sits on the historic Macombs Dam Park. Unknown to the average fan, Macombs Dam Park is older than the old Yankee Stadium. Both stadiums now occupy public land, and the Yanks do little for the privilege. Besides not providing much post-season excitement, the Yankees seem to find a way to get out of paying for the lease on the 12 acre plot of public land they occupy. During the early 90s, unabashed Yankee fan Rudy Goooooliani signed a sweetheart deal that basically absolved the Bombers from paying their lease and other taxes to the city.

The City should rip that up, and make all four NYC franchises pay $20 million annually to have the right of wearing the NY logo on the gear. If they want to move to Jersey, let them, they just have to leave the name “New York” here.
Total Income: $80 million

Wow, I just raised over $1 billion for our great city, with minimal impact on the folks that live here. I’m going to keep this locked away for my big run for Mayor…

- MATC