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MTA: No Money For Raises This Year

Posted by
on April 26th, 2009 at 6:06 pm

Four days ago, I touched on a report in the New York Daily News which talked about how raises for MTA employees were in jeopardy due to their ongoing financial crisis. The prospects of raises looks even bleaker just a few days later as the MTA is preparing to tell workers, they do not have enough money for raises this year. Pete Donohue has more in this followup report:

The cash-strapped MTA will soon tell labor leaders and nonunionized workers it doesn’t have money for raises this year, the Daily News has learned.

Metropolitan Transportation Authority CEO Elliot Sander has invited union officials to meetings next Tuesday to discuss the fiscal crisis that has the authority preparing to raise fares up to 30% and enact deep service cuts.

Sources said Sander will announce the MTA can’t afford to pay even the meager 1.5% raises, totaling about $50 million, included in its austere budget approved in December.

The contract with the largest union – Transport Workers Union Local 100, representing bus and subway workers – expired in January. An arbitration panel is charged with dictating the new terms of a contract.

The MTA wouldn’t reveal if it intends to ask the arbitration panel to maintain the existing pay rates for approximately 36,000 bus and subway workers.

Click here for the complete report.

As I noted a few days ago, the prospects of them getting raises looked bleak. I also noted how they would not win the public sentiment battle considering many industries have passed up on issuing raises during this weak economy. If you add that with the sentiment that the majority of employees are lazy & undeserving, you can see how it is impossible to win that P.R. battle.

Thankfully for these employees, individuals such as myself know that the majority of employees are not like the lazy people exposed in these “investigative reports”. Unfortunately this region is filled with many who have no clue about how things really are & allow their bias to overlook actual facts. With this in mind though, it still does not matter in the end as knowledgeable support is not getting them the raises they deserve.

Lastly I hope the MTA is considering the same scenario for management. If you have no money for the blue collar workers who are the heart & soul of your operation, you should have none for management either.

xoxo Transit Blogger

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MTA Finances
0

Service Diversions 04-24

Posted by
on April 24th, 2009 at 6:18 am

I have just updated the service diversions page with the latest scheduled diversions for the weekend & upcoming week (and beyond in some cases). Don’t forget to check in for any changes to the page. I also suggest printing out a copy of the page to use while riding the system. Have a safe & wonderful weekend!

xoxo Transit Blogger

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2

Jasmina Anema Bone Marrow Drive

Posted by
on April 24th, 2009 at 4:03 am

If you do not know about Jasmina Anema, be prepared to have your heart wrenched by her story. Jasmina is a 6 year old dying from a rare form of Leukemia. Doctors have stated she could die within 2 months unless she received a bone marrow transplant. Celebrities & everyday people have come together hoping to find a match for Jasmina.

The goal of coming together continues as The Conference of Minority Transportation Officials (COMTO) of New York is teaming up with the MTA to hold a bone marrow drive. Here are the complete details courtesy of a press release I received yesterday:

The Conference of Minority Transportation Officials (COMTO) New York is hosting a Bone Marrow Drive in honor of Jasmina Anema on Monday, April 27, 2009 at various MTA facilities and Subway Stations throughout New York City. COMTO – New York will be joined by Jasmina’s mother and other community leaders to help find a donor who could help save her life.

Jasmina Anema is a six year old Harlem girl recently diagnosed with a rare form of Leukemia and has only months to live if a match is not found. Jasmina is adopted so it makes it even more difficult to find a match. Currently, Jasmina has been a patient at NYU Medical Center since she was diagnosed in January of 2009 unable to attend school and play with her friends.

All the potential bone marrow donors will be registered and tested with DKMS, the largest bone marrow donor center in the world. Any healthy donors between the ages 18 to 55 are welcome to participate.

“Little Jasmina has a tremendous battle for her life over the next few months, I feel that it is my obligation to help save her life as well as the lives of so many others who are unable to find a match. It is my understanding that minorities are the least represented as donors due to the lack of organized efforts in our communities,” said Dwayne C. Sampson, President of the COMTO – New York Chapter.

“I encourage everyone both inside and outside the MTA to support this bone marrow drive,” said Elliot G. Sander, Executive Director and CEO of the MTA. “You just might be able to save a life.”

“We are thrilled that COMTO is helping DKMS” said Katharina Harf, Executive Vice President of DKMS Americas. For more information about DKMS www.dkmsamericas.org.

DATE: Monday, April 27, 2009:

MTA NYC Transit Locations For MTA Employee Donations from 10:00AM -1:00PM:
2 Broadway (Manhattan); 130 Livingston Street (Brooklyn); Jamaica Bus Depot (Queens) East New York Bus Depot (Brooklyn) Amsterdam Bus Depot (Manhattan)

MTA NYC Transit Locations For the General Public from 3:00PM – 6:00PM:
Parsons Archer Station E & J Lines, (Queens) East New York Station A, C, L, J Lines (Brooklyn), 148 Lenox Ave #3 Line (Manhattan).

Press Conference at 11:00AM:
2 Broadway, MTA Headquarters, Manhattan

COMTO – New York is the premier advocacy and networking organization for minorities in the transportation industry. To pre-register or volunteer for this event please email bonemarrowdriveforJasmina@comto-ny.org and for more information visit www.comto-ny.org.

I urge all of my NYC & surrounding area readers to participate in this worthy cause if possible. I look forward to doing just that!

xoxo Transit Blogger

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0

MTA Completes Sale Of $1.25B In Bonds

Posted by
on April 24th, 2009 at 1:30 am

Regardless of where you look within the huge agency that is the MTA, bad news is usually the main course when it comes to finances. So it was a breath of fresh air for the agency to here some good news for a change which came in the form of a completed sale of $1.25 billion in bonds. Here are the complete details courtesy of a press release I received yesterday:

The Metropolitan Transportation Authority (MTA) today announced that it has successfully completed the sale of the MTA Dedicated Tax Fund, Series 2009B Bonds (Tax-Exempt) totaling $500 million and the Series 2009C Bonds (Federally Taxable – Issuer Subsidy – Build America Bonds) totaling $750 million. The MTA has elected to treat Series 2009C Bonds as “Build America Bonds” under the American Recovery and Reinvestment Act. Build America Bonds are federally taxable, and the MTA will receive a 35% cash subsidy from the U.S. Treasury.

MTA received very strong retail demand during the pricing for the Series 2009B Bonds, receiving over $200 million in retail orders. MTA also experienced solid investor institutional demand for both the Series 2009B and Series 2009C Bonds. As a result of the strong investor demand the par was increased to $500 million from $400 million for the Series 2009B Bonds and to $750 million from $200 million for the Series 2009C Bonds.

“We are very gratified by the market receptivity and attractive yields that this issue has produced,” said Gary Dellaverson, MTA Chief Financial Officer. “Further, by upsizing the issuance, the MTA was able to lock in these favorable yields for most, if not all, of its borrowing for the remainder of the year. This is important because it will take away much of the uncertainty of the MTA’s debt service budget, and also provide cost savings.”

Yields for the Series 2009B Bonds ranged from 1.80% for the 2011 maturity to 5.10 % for the 2034 maturity. The Series 2009C Bonds were priced at 3.50% plus the 30-year Treasury rate of 3.836%. Yield for the Series 2009C Bonds was 7.336% for the 2039 maturity which is the equivalent tax-exempt yield of 4.768%. The all in TIC for the Series 2009B and Series 2009C Bonds was 4.92%.

Ratings on the MTA Dedicated Tax Fund Bonds are AA from Standard & Poor’s and A+ from Fitch Ratings.

The transaction was led by book-running Senior Manager J.P. Morgan, with M.R. Beal & Co. serving as Co- Senior Manager. Barclays Capital Inc. and Citi serve as Senior Co-Managers. MTA’s financial advisor is Goldman, Sachs & Co., and Nixon Peabody LLP serves as bond counsel.

The new money proceeds of the DTF 2009B Bonds will be used to finance existing approved transit and commuter capital projects operated by MTA’s affiliates and subsidiaries and/or to refinance any outstanding indebtedness issued by MTA. The new money proceeds of the DTF 2009C Bonds will be used to finance existing approved transit and commuter capital projects operated by MTA’s affiliates and subsidiaries.

While this news will not cure their problems or come close to it, the psychological benefits of it will help the morale around the agency. In the end, lets see if Albany will provide the real boost that is so desperately needed.

xoxo Transit Blogger

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1

MetroCard Grace Periods

Posted by
on April 24th, 2009 at 12:07 am

One of the first thoughts that comes to mind for some is to stockpile unlimited MetroCards when fares are raised. Unfortunately this line of thinking never works as the MTA sets up grace periods for cards to be used for the first time by. This is once again the case as the MTA has announced the grace periods for the upcoming fare hike. Here are the details from a press release I received yesterday:

Customers who purchase a 1-Day Fun Pass, 7-Day, 14-Day or 30-Day Unlimited MetroCard prior to the scheduled May 31st fare change, and use them for the first time no later than June 8th, will receive all of the unlimited travel they are entitled to. Pay-Per-Ride MetroCards are not affected and can be used normally after the increase.

1-Day Fun Passes purchased prior to May 31, 2009 will be valid through June 8th. 7-Day unlimited cards will be valid through June 14th, and 14-Day Unlimited Cards will be valid through June 21st. 30-Day Unlimited MetroCards purchased prior to May 31st will be valid through July 7, 2009.

For those customers who use Unlimited-ride cards purchased prior to May 31st for the first time on June 9th or thereafter, and find themselves with unused or partially used cards after July 7th can send in the card for a cash refund. Refunds for partially used cards will be made on a pro-rated basis; unused cards will be refunded in full. Customers can send in their partially or unused cards to MetroCard Customer Claims by picking up a self-addressed, postage-paid business reply envelope at subway station booths.

Customers can also take this opportunity to sign up for the EasyPayXpress MetroCard, the MetroCard that refills itself automatically. The EasyPayXpress MetroCard is good for two years, which eliminates the need for multiple card purchases, and that’s good for the environment. Customers can use their credit card, debit card or pre-tax transportation benefits card to sign up for EasyPayXpress, and choose either the 30-Day Unlimited Ride or Pay-Per-Ride option. All account transactions can be reviewed on line on a secured website. And there’s no loss if the card is lost or stolen.

Customers interested in information about EasyPayXpress can visit www.mta.info for complete details.

Ahh, only if you could get away with stockpiling a ton of unlimited monthly cards. I would have done it in a heartbeat!

xoxo Transit Blogger

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