Wu, Essaibi-George clash on MBTA ‘fiscal calamity’ heading inbound
The city’s two mayoral finalists are on opposite tracks when it comes to running the MBTA — as one watchdog group warns the transit system is heading for “fiscal calamity” in fiscal 2024.
Michelle Wu says the T should be free, adding “public transit should be a public good — just like libraries or parks.”
Annissa Essaibi-George, however, argues that making public transit free will only worsen the crisis.
“We can’t save a crucial transit system from the brink of ‘fiscal calamity’ by making everything free,” she said in a statement, adding the city instead needs a more “thoughtful” approach.
Wu added in her statement to the Herald that Boston needs “federal, state and local investments in transit improvements at the same time as we fight for a fare-free T to supercharge neighborhood economies and connect our communities.”
A report from the Massachusetts Taxpayers Foundation projects that the MBTA will face a budget gap of nearly $200 million in fiscal 2024, which could balloon up to $500 million in fiscal 2026, “leaving the Authority with few options other than layoffs and service cuts,” the report states. It noted that increased calls for reduced fares could worsen the situation.
The report notes that the pandemic has deepened an existing revenue crisis for the MBTA by sharply decreasing fare revenues while maintaining the same service and operating costs.
On top of this, the report mentions the competing needs for capital funds for basic maintenance, $25 billion over the next 10 years, along with the costs of addressing the growing threats of climate change, with a $7 billion price tag.
Although nearly $2 billion in federal aid allowed the MBTA to balance its operating budgets for now, the report says, “the MBTA will soon hit insurmountable operating gaps that expand each year as expenses continue to outpace revenue growth.”
An MBTA spokesperson acknowledged the MBTA’s financial challenges and said it’ll invest “billions” into infrastructure upgrades and new vehicles to make the T more reliable and draw people back.