Metropolitan Transportation Authority
(MTA) Chairman and Chief Executive Officer Joseph Lhota submitted his letter of resignation, effective Dec. 31, to New York Gov. Andrew Cuomo yesterday.
Lhota has served as MTA's executive director since November 2011, and chairman and CEO since January 2012. New York news media reported that Lhota resigned to consider running for mayor of New York City.
At its regular meeting yesterday, MTA's board elected member Fernando Ferrer to succeed Andrew Saul as vice chairman and serve as acting chairman after Dec. 31 until Lhota's successor is appointed by the governor and confirmed by the New York State Senate. MTA New York City Transit President Thomas Prendergast will serve as interim executive director after Dec. 31.
Also yesterday, MTA's board adopted a 2013 budget and four-year financial plan, which preserves the continuing roll-out of subway, bus and railroad service increases identified in spring, and adopts a fare and toll increase first proposed in October and amended in response to public comments, MTA officials said in a prepared statement.
The 2013 budget is balanced, but the four-year financial plan "remains fragile," they said.
The balance in large part is a result of the agency's "most aggressive internal cost-cutting ever undertaken, resulting in annual recurring savings of $809 million in 2013, which grow to more than $1.2 billion in 2016," MTA officials said.
The budget assumes small cash balances available at the end of 2013 and 2014, despite MTA's estimated $268 million in lost revenue during Hurricane Sandy. Plus, the budget assumes additional operating costs in 2012, resulting in additional debt payments of as much as $62 million attributable to infrastructure losses not recovered from insurance or federal disaster relief.
The fare and toll increases will take effect March 1. The increases vary depending on the service, trip length and time. For MTA Long Island Rail Road
and Metro-North Railroad
, most tickets will increase by an average of 8.2 percent to 9.3 percent.
Browse articles on Metropolitan Transportation Authority on Progressive Railroading
- Amtrak service to Norfolk will provide a much-needed option for Northeast Corridor travelers, Virginia rail department says
- Class I railroads' outlook for 2013 is a smidgen on the optimistic side
- MAP-21 gives transit execs some certainty in 2013
- Rail outlook 2013; reading the rail-car order barometer (Pat Foran, Context, December 2012)
- For Norfolk Southern, a new intermodal initiative is paying off in shorter trains and efficiency gains
- Amtrak reorganization outlined during House Transportation and Infrastructure Committee hearing
- Tracy DeLeon, League of Railway Industry Women's 2012 'woman of the year,' talks career success
- Positive train control a tall order for short line railroads
- U.S. locomotive order activity has slowed, but demand for GenSets is up for some motive power manufacturers
- Rail-car deliveries to drop to 47,000 in 2013 — by Toby Kolstad
- Track inspection equipment and services update
- Domestic container volume up in 3Q, IANA says; plus, freight rail traffic data
- Railroad Contractor Case Studies (advertorial)