NY MTA Faces $3 Billion Hole in 2025 on Slow Subway Rebound

  • Transit officials seek additional state and city funding
  • MTA struggles to boost ridership and farebox collections

A conductor checks for commuters at a subway station in New York. 

Photographer: Mark Kauzlarich/Bloomberg
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New York’s Metropolitan Transportation Authority needs to boost fares above its expected 4% hike and may be forced to cut service and implement layoffs if state and city lawmakers fail to direct more aid to the system to help fix an estimated $3 billion deficit in 2025, agency officials warned Wednesday.

Ridership has yet to match pre-pandemic levels, creating budget gaps for the MTA, the largest mass-transit provider in the US. The projected $3 billion budget deficit has increased by $382 million from an earlier estimate in July because of higher pension costs, Kevin Willens, the MTA’s chief financial officer, said during the agency’s monthly board meeting.