High Fuel Prices Prompt Transit Leaders to Call For Increased Aid

ALBANY, NY (06/04/2008)(readMedia)-- The New York Public Transit Association (NYPTA) and local transit supporters called upon Governor Paterson and the Legislature today to release supplemental state transit operating assistance to counter the effects of rapidly rising fuel prices and to help maintain affordable fares. NYPTA President Scott Sopczyk reported that transit ridership is rising sharply throughout the state as motorists seek lower cost mobility options. For the first four months of 2008, transit ridership is up almost 9% compared with the same period in 2007, and transit systems report year-to-year ridership increases ranging from 4% to 17% for the first four months of the year. But a recent NYPTA survey revealed that gasoline and diesel fuel costs are rising even faster than ridership, consuming all new farebox revenue and creating budget deficits.

“Public transit is one of the few remaining affordable transportation options for the average New Yorker,” said Sopczyk, the Transportation Director of Greater Glens Falls Transit. “Now is the time for New York State and its public transit systems to commit to keeping fares as low as possible.” NYPTA leaders requested that the state release $6,272,000 in already appropriated supplemental transit operating assistance to help transit systems cope with fuel costs. The Association also asked that a $35 million appropriation be enacted from dedicated transportation revenues to support the MTA’s New York City Transit’s fuel budget. High Fuel Prices Prompt Transit Leaders to Call for Increased Aid-page 2

“New York State has been a consistently strong supporter of public transit service through its transit operating assistance program,” said Ray Melleady, Executive Director of the Capital District Transportation Authority and a member of NYPTA’s Executive Committee. “More people are turning to transit to escape the cost of gas, and transit systems are struggling to absorb rapidly rising fuel costs. In order to keep mobility affordable, especially for workers, students, the elderly and the poor, the State and its public transit systems need to partner to ease high operational costs,” continued Melleady.

“With the exception of systems with long-term pricing arrangements, most systems are seeing diesel fuel price increases ranging from 71.3% to 128.3%,”said Frank Kobliski, Executive Director of the Central New York Regional Transportation Authority and NYPTA’s Immediate Past President. “The budgetary impact of these increases ranges from manageable to disastrous.” A survey of NYPTA’s members confirmed that ridership is increasing steadily across the state as motorists seek to blunt the impact of gasoline prices on household budgets. Some systems note that major routes are at or above capacity during morning and evening peak periods. At the same time, the survey revealed that, over the last 18 months, the price of diesel fuel has nearly doubled for many of the state’s transit systems.

To illustrate the bottom line impact of the survey’s findings, Sopczyk noted that a 250 bus system experiencing the average ridership and fuel cost increases reported in the survey would be looking at the prospect of a 25% fare increase to maintain a balanced budget. “The last thing we want – and the last thing the State should want – is to increase the cost of transportation when supplemental state aid is available to help keep fares affordable,” Sopczyk said. “Pump prices threaten transit fares.” To see survey findings, go to www.nytransit.com.

NYPTA is a not-for-profit association representing transit systems across New York State from the MTA, the largest public transportation system in the nation, to the transportation systems that serve rural, upstate New York communities. In addition, NYPTA is comprised of more than 65 private sector manufacturers, consultants and state government agencies. Members provide nearly all of the public transportation services in New York State and nearly 40% of the public transportation services in the nation, employing more than 60,000 New Yorkers. -30-