Transit Funding Disaster: A Hard Look at What Happens When Money Is Tight
March 8, 2010 | Posted by Carrie Denning in Federal Transportation Policy, Jobs, Transit That Works, Transportation and Behavior, Transportation and Climate Change, Travel Choice

Chicago Transit Authority has laid off 1,067 workers and has drastically cut service. Photo courtesy of Flickr user: TheeErin
Over the last several months, we’ve written occasionally about the need to solve the impending transit funding crisis. For longer than that, we’ve worked around the country, but especially in California and New York, to find new and innovative ways to advance transit service. Lately, we’ve also implored Congress to provide emergency funding to keep drivers employed as legislators have considered jobs bills.
So far, our efforts as well as the work of our allies, to keep drivers driving, mechanics working, the transit system available—and ultimately keep some of the worst tailpipe emissions in check—have been frustratingly unsuccessful.
New York, Chicago, San Francisco, Washington, D.C., and countless other metropolitan regions are facing a transit disaster. Grappling with huge budget deficits as a result of public funding cuts, transit agencies are slashing service, laying off workers, and raising fares.
- In New York City, the Metropolitan Transportation Agency, which operates the city’s buses and subways, as well as suburban rail lines, bridges and tunnels, is facing an $800 million deficit as a result of cuts in state aid and low payroll tax revenues. They expect to layoff 1,130 employees (out of their 70,000 person staff), including 500 station agents. The MTA has ended free fares for students and has reduced salaries by 10%.
- In Chicago, the Chicago Transit Authority has laid off 1,067 employees in order to balance a $300 million deficit.
- In San Francisco, the city expects to see a second fare increase in 4 months in order to balance a $12.1 million deficit, with additional service cuts. SFMTA plans to lay off 230 employees, 175 of which are bus and Muni metro drivers.
- In Washington, D.C., where trains are bursting during rush hour, WMATA plans to lay off 60 employees and eliminate another 90 positions that are not filled. They also expect service cuts and fare increases to fill their $40 million budget gap.
- Just this weekend, in Sacramento, CA, the local newspaper reported that the regional transit agency is planning to put 300 workers on notice that they’ll likely be laid off as the agency grapples with a two-year $25 million deficit. Service after 8pm and on weekends could be cut as well. This deficit has been made worse as a result of state policymakers’ decision last year to shift the state fuel tax, designated for transit operations, to other important state services, which have been jeopardized by the overall state budget crisis.
And here’s an example of how these cuts add up, changing people’s commuting choices. Quoted from the San Francisco Chronicle, San Francisco resident MPR Howard, who has lived in San Francisco and ridden Muni for 28 years, will now be back behind the wheel:
I will not be renewing my Muni disabled pass…. I will be putting my 45-year-old car (a 1965 Dodge Dart) back on the road. She may not be pretty or environmentally clean, but at least she gets me from point A to point B in a reasonable amount of time. I’ve given up on Muni.
Confirmed U.S. Public Transportation Industry Layoffs, 2009-2010
| City | Transit System | Layoffs |
| Alameda, CA | Central Contra Costra | 38 |
| Lodi, CA | Grapeline (MV) | 10 |
| Orange County, CA | OCTA | 93 |
| Roseville, CA | Roseville Transit (MV) | 5 |
| Riverside, CA | Riverside Transit | 26 |
| San Jose, CA | SCVTA | 70 |
| San Mateo, CA | Sam Trans | 45 |
| Washington, DC | WMATA | 40 |
| Chicago, IL | CTA | 1,067 |
| Boston, MA | MBTA | 75 |
| Detroit, MI | DDOT | 113 |
| St. Cloud, MN | * New Flyer Bus Plant | 320 |
| St. Louis, MO | Metro | **550 |
| Charlotte, NC | CATS | 50 |
| Manchester, NH | MTA | 4 |
| Hornell, NY | *Alstom Rail Car Plant | 500 |
| Binghamton, NY | *Westcode (supplier of heating and cooling systems for New York City subway cars) | 45 |
| Cincinnati, OH | SORTA | 137 |
| Memphis, TN | MATA | 20 |
| Austin, TX | Startran | 21 |
| TOTALS | 20 | 3,219 |
* = Transit Manufacturer
** = Rescinded after passage of 10% provision in supplemental appropriations bill
Projected Upcoming Layoffs
| City | Transit System | Upcoming Layoffs |
| Fresno, CA | FAX | ? |
| Orange County, CA | OCTA | 127 |
| Sacramento, CA | RT | 240 |
| San Francisco, CA | BART | 19 |
| San Francisco, CA | Muni | 230 |
| Colorado Springs, CO | Springs Transit | “Dozens” |
| Atlanta, GA | MARTA | 1,500 |
| Jonesboro, GA | C-Tran | System to shut down Spring 2010 |
| Norcross, GA | Gwinett County Transit (Veolia) | 22 (December 2009) |
| Des Moines, IA | RTA | 24 |
| Louisville, KY | TARC | More than 50 |
| Baton Rouge, LA | CATS | 12 |
| New York, NY | NY MTA | 1,130 |
| Cleveland, OH | RTA | 219 |
| Tulsa, OK | Tulsa Transit | 15 |
| Lynwood, WA | Community Transit | 10% |
| TOTALS | 17 | Over 3,600 |
Prepared by the Amalgamated Transit Union (ATU) Legislative Department. Updated March 1, 2010. For more information, contact Jeff Rosenberg at jeffr@atu.org, courtesty of Scott Bogren at the Community Transportation Association of America (bogren@ctaa.org).

9 Responses
Comment from Steven Higashide
March 9th, 2010 at 7:58 am
New Jersey Transit is also laying off 200 workers – http://www.nj.com/news/index.ssf/2010/03/nj_transit_announces_emergency.html
Comment from CTA Gray Line Project
March 9th, 2010 at 10:14 pm
In reference to the transit funding crisis, could someone do a chart like the
ones above on how much annual financing major cities in the US (and worldwide)
contribute to the operation of their municipal transit systems – a few of which
offer varying degrees and extent of free transit service.
Comment from tyre changers
March 13th, 2010 at 3:37 pm
I guess it’s one big effect of the past economic crisis. I hope everything will be solved and keep the employees working.
Comment from Metro rider
March 14th, 2010 at 6:39 pm
It shows St. Louis has “**550″ layoffs coming – the ** is never defined. What does it mean?
Comment from Carrie Denning
March 15th, 2010 at 11:54 am
Good observation- see the new edit. These layoffs never happened because of legislation that provided additional funding for transit.
Comment from chiropractic westchester
March 19th, 2010 at 4:52 pm
It is said that courtesy costs nothing but brings a lot. One can easily win the heart of others by being courteous.
Comment from Cheapest International Calls
April 3rd, 2010 at 11:33 am
nice blog article about this topic. this makes me think of a question though, so i dont really understand the relation of this topic and your entire website. it just doesnt go together. But nontheless i found it very helpful. Cheers, Rizwan
Comment from Panasonic Lumix
April 4th, 2010 at 1:54 pm
A thoughtful opinion and ideas I will use on my blog. You’ve obviously spent some time on this. Thank you!
Comment from Chiropractors Oklahoma City
April 5th, 2010 at 9:19 am
Many cities are indeed facing transit disasters. While traveling throughout many of the major cities here in the US, I have seen first hand how bad some of these systems really are. Thanks for bringing this topic to the forefront for discussion.
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