Thursday, December 25, 2014


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Report: NFTA will incur future deficits without changes

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Buffalo: Report: NFTA will incur future deficits without changes
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BUFFALO, N.Y. -- The New York State Authorities Budget Office has issued a report on the NFTA, saying that unless it improves operations and maximizes revenues, it will continue to incur future deficits.

In the report released this morning, the Authorities Budget Office criticizes the NFTA for employing its own police force for security services when, in most cases, county and local police departments are providing security as well.

It also found that the NFTA employs its own cleaning staff for transit stations and airports at an annual cost of over $3 million, while it contracts out those services at other NFTA properties.

In addition, the report says the NFTA has paid nearly $250,000 to hire retired employees to perform work that is the responsibility of current employees.

Several bus routes are called significantly underutilized, carrying as few as five riders and, in some cases, none at all.

The report listed ways to increase revenue, which included eliminating the fare free zone on the Metro Rail, adjusting discounted rates of its college passes, and eliminating or restricting the use of free passes for staff and retired employees.

In a statement, NFTA Chairman Howard Zemsky said, "I feel the findings of the audit validate the extensive effort put forth by senior staff over the past year to address both short and long term financial efficiencies throughout the authority. We will fully process the audit and staff will completely review the recommendations made by the ABO for future consideration."

We'll have much more on this developing story coming up later on YNN.

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