Gothamist reports, on Christmas Eve, the Metropolitan Transportation Authority (MTA) was notified that New York State legislative leaders rejected the agency’s proposed five-year (2025-2029) capital plan. The notice came one day before the $65-billion-plus plan proposed by MTA directors last September would have lapsed into approval under state law. The decision likely interrupts MTA’s implementation of crucial repair and restoration projects and introduces new uncertainty into the authority’s financial future.
“The lawmakers cited a hefty funding gap as the reason for the rejection.” They added that they plan to negotiate over MTA funding as part of the 2025 state budget process. The authority has the right to respond to the legislature within 10 days. If its response doesn’t convince lawmakers to withdraw the rejection, MTA management must submit a new plan.
In a statement on the rejection issued by her office, Governor Kathy Hochul (D) said she expects the legislature to identify revenue streams that will eliminate the capital funding shortfall or recommend a reprioritization of crucial infrastructure upgrade projects.