D.C.: Metro's Funding Needs Run Up Against Local Budget Realities

[marmar]

Metro’s pay-as-you-go approach — the result of having no dedicated funding source — is running into trouble as the transit authority prepares to unveil its next budget to its board of directors on Thursday.

The problem: Metro’s operating expenses are increasing while its revenues are not, largely the result of declining rail ridership. So Metro will ask its jurisdictions in Washington, Virginia, and Maryland for more money to fill a potentially large hole in its proposed $1.8 billion operating budget for fiscal year 2016, which starts next July.

But Metro’s request for a 10 percent increase in the annual subsidy paid by its jurisdictions will run into harsh budget realities in the Washington suburbs. Municipalities and counties are facing their own fiscal crunches, possibly forcing Metro to further tighten its own belt — including the possibility of rail service cuts — even during rush hour.

This request for cash is happening at the same time Metro needs its jurisdictions to come up with hundreds of millions of dollars to fund the expansion of its rail car fleet so the transit authority may run all eight-car trains during rush hour. ..............(more)

The complete piece is at: http://www.wnyc.org/story/metros-proposed-funding-increase-runs-against-local-budget-realities/