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Mass Transit Being Squeezed From Stimulus Plan
By Adam Klasfeld
January 27, 2009
Bad news recently came to the Ravitch Commission and those who favor its recent funding proposals for the Metropolitan Transportation Authority.
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| Mysore Nagaraja |
The U.S. House Appropriations Committee just whittled down President Barack Obama’s transportation stimulus package to pave the way for more tax cuts.
Rep. Jim Oberstar (D-MN), chairman of the House transportation panel recently told reporters that stimulus spending on public transport was recently reduced because “the tax cut initiative that had to be paid for in some way.”
The news was a blow to members of the Ravitch Commission, a group of New York business and political leaders which was assembled by New York Governor David Paterson to propose long-term solutions to the MTA’s financial woes.
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| MTA projects like the $7.2 billion East Side Access line could feel the pinch from Congress’ latest changes to President Obama’s stimulus package. |
“I hope the administration will reconsider it,” said Mysore Nagaraja, the former head of the MTA’s construction arm.
If not, he warns, “The situation will be going back to the 1970s, which I don’t think anybody wants to see.” He believes that, without more funds, New Yorkers will see the return of widespread layoffs and service delays.
New York Construction recently spoke to New York State Senator John Flanagan (R-Suffolk County), who serves as Chair of the Committee on Corporations, Authorities and Commissions, about the Ravitch proposals, which at the time he said were unnecessary because the stimulus package would take care of the MTA’s financial woes.
Flanagan did not return calls seeking comment for this report.
Meanwhile, Nagaraja worries that time may be running out, and he urges people to press for political action.
“The construction industry and the transportation industry need to go to the representatives and congressmen and tell them how important it is,” he said. “It gives freedom to people, which stimulates the economy more than just tax cuts.”
Although it looks like congress is moving in the direction of tax cuts, Nagaraja hopes to convince state legislators that approving the Mobility Tax – which would require employers to pay 33 cents for every $100 of payroll and create a cashless tolling system on all East River and Harlem River Bridges – will help the economy.
“The major benefits of the Ravitch recommendations are that it increases the number of jobs created, it improves the economy by getting people to work, and it improves the environment by reducing our reliance on foreign oil,” he says. “I think this should be considered before [the legislators] say no.”
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