The US Department of Transportation has sent the MTA over $6 billion, nearly half of the $14 billion in COVID-19 relief money allocated for the agency in pandemic rescue packages, Sen. Chuck Schumer announced Wednesday.
“The Federal Transit Administration is sending a check for $6 billion to the MTA-LIRR-Metro-North transit system,” Schumer (D-NY) said during a virtual press conference.
New York officials requested the billions of dollars in order to close MTA funding gaps created by severe drops in farebox and tax revenue caused by the pandemic. The money has allowed Gov. Kathy Hochul and transit leaders to stave off fare hikes, service cuts and layoffs for the time being — though the agency still faces future deficits.
“This $6 billion gives them deep, deep liquidity. Now. The bottom line is that without the money that we were able to get, the subway system never would have bounced back,” Schumer said Wednesday.
Transportation Secretary Pete Buttigieg said in a statement that the funding would “keep transit service running, protect transit employees from layoffs, and ensure people can get where they need to go.”
Schumer said the money would help the MTA navigate the financial impact of reduced ridership as the city continues to see high COVID case rates due to the Omicron variant.
He said he agreed with MTA officials that new forms of transit revenue are necessary.
“The farebox pays some of the MTA’s expenses, but I believe it is a public service, and the higher percentage we can get that comes from city, state and federal help, the better,” he said.
The $6 billion payment is separate from the approximately $10 billion the MTA expects to receive from the infrastructure bill signed into law by President Biden in November.
“Our subways, buses and railroads are the secret sauce that keeps the region moving, helping to rebuild New York’s dynamic economy while battling climate change,” Acting MTA Chairman Janno Lieber said in a statement. “This funding helps the MTA continue to provide top-tier service and in the near term avoid fare increases.”