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CDTA considers layoffs, service cuts to close $10M budget gap
The Business Review by Pam Allen, Reporter
Date: Friday, December 23, 2011, 3:01pm EST

The Capital District Transportation Authority is weighing options to close a $10 million revenue gap in its preliminary 2012-2013 budget.
Carm Basile, CDTA’s executive director, said those options could include layoffs, fewer routes and a possible hike in fares.
Next year’s preliminary budget for is $82.2 million, a 10 percent increase from this year’s $75.2 million budget. CDTA, with a fleet of 280 buses, employs 680 people.
Basile said the organization already eliminated a $120,000-a-year, senior level job, and expects to accomplish a significant number of other staff reductions through attrition.
Even so, there could be layoffs, especially if some under-used bus routes are eliminated, he said.....................>>>>.................>>>>........................http://www.bizjournals.com/albany/news/2011/12/23/cdta-considers-layoffs-service-cuts.html

More smart people running CDTA, like the postoffice.  Not enough people using the service, so lets raise the prices.  These buses, like trains cost almost the same amount of money to go from point A to Z.  If they lowered the prices, the buses and trains would be more full leading to higher revenue.  Again, it is the wages and healthcare.....and REQUIRED GRANT MATCHES.  Didnt they just give a grant to Sche nectady?


From the December 22, 2011 Times Union Article.

ALBANY — Ridership on Capital District Transportation Authority buses is running 6 percent ahead of last year, but that's not enough to close a projected $10 million gap in next year's budget.

Workforce and service reductions, and fare increases, are among the steps the CDTA is considering as it seeks to balance its budget in the 2013 fiscal year, which begins April 1.

Expenses are expected to total $80.3 million, while revenues are expected to total $69.7 million.

While ridership so far this year is up, it's not enough to cover a $3 million drop in mortgage tax revenues and $5 million increase in wages, health care coverage, fuel and required grant matches.
Health benefit costs alone will increase nearly $1 million, according to CDTA projections.

What's unclear is how much state assistance CDTA might receive next year. It's projecting that the funds will remain unchanged from this year's $29.176 million.

Federal support provides nearly $9 million in additional money.

CDTA this fall completed a multi-year restructuring of its route system that spokeswoman Margo Janack said has been well-received. The transit authority also has introduced the first of its bus rapid transit routes, its Route 5 BusPlus service between Albany and Schenectady. And its service to area college campuses continues to expand.

"It's ironic that the need for more services comes as we're facing serious fiscal challenges that could prevent us from supporting the innovations we have introduced," said CDTA Chairwoman Denise Figueroa.

Lately, the year-to-year ridership has increased. In November, for example, ridership was up 10 percent from year-earlier levels.

Gasoline prices, while declining in recent weeks, continue to run about 22 cents per gallon ahead of year-earlier levels for regular unleaded, according to the AAA Fuel Gauge Report.

Janack said seven of every 10 riders are using CDTA to get to work.

Janack said the transit authority would seek to accomplish any workforce reductions through attrition, if possible. CDTA last raised its fares in 2009, when the base fare went to $1.50 from $1.



Read more: http://www.timesunion.com/business/article/CDTA-maps-route-to-budget-fix-2421123.php#ixzz1hkkPlAeW

From the 2009 Budget.....They budget like the City of Schenectady, had a larger than expected in 2009 but then increase it in the budget for 2011.  Now they are saying it is lower than expected.  

Revenue Overview
After a record year, ridership decreased from 15.4 million boardings last fiscal year to about 14
million this fiscal year. As a result we did not meet passenger revenue projections, which included a
fare increase (April 1, 2009). State Operating Assistance (STOA) was reduced on two occasions
during the year, and our expected allocation for next year was reduced further. Fortunately,
Mortgage Recording Tax surpassed projections, which not only helped offset state reductions, but
also allowed us to increase this line in our budget for FY2011. Along with increased MRT, we have
increased the amount of our federal capital allocation used for operations and we will contribute
$1.5 million from our reserve accounts.

They are following the wrong lead. They should take a page from City Hall "leaders". When you are approaching the financial abyss-spend more! Hire more! Add more money losing routes! Buy more buses you can't afford! Refuse to cut anything or lay off anyone. Don't listen to any reason. Then blame State mandates and grub for more taxpayers handouts. Kick the can down the road.