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McGreevey Opts To Forgo Increase In Transit Fares

Laptop Battery Despite the state's financial problems, Gov. James E. McGreevey has decided not to impose a previously approved fare increase on NJ Transit's 380,000 daily bus and train riders, administration officials said yesterday.

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Thinkpad State officials said NJ Transit's executive director, George Warrington, has been able to come up with enough savings in his budget to avoid a fare increase this year.

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Microsoft For months, mass transit advocates have been looking for clues on whether McGreevey would resort to a fare increase, which had been provided for under a financial plan adopted early last year.

laptop computers is driving strong sales for notebook computers, according to the latest quarterly sales figures from the research firm IDC, which reported a 37% computer sales for the second quarter, compared with a year earlier. In the U.S., laptop sales grew 17.7%, while sales of desktop computers and servers fell 4%. The New York Times ( 10), CNET ( 10)

Laptop Computers "There were so many levels of possibilities you didn't know which way they might go. I'm pleasantly surprised," said Leonard Resto, president of the New Jersey Association of Railroad Passengers.

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Laptop Computer "I wasn't sure which way it was going to go, but I thought he was preparing for an increase. I thought he was leaving himself plenty of room for it," said Janine Bauer, executive director of the Tri-State Transportation Campaign.

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Desktop Computer In conjunction with last year's 10-percent average increase, NJ Transit at that time also approved a plan to raise fares at the rate of inflation for each of the next five years. But as a concession to transit activist groups, the agency agreed to hold additional hearings and vote again before those subsequent increases could take effect.

Notebooks McGreevey, who has veto power over the agency, has basically told NJ Transit not to try to increase fees this year, officials said.

Lenovo "Raising transit fares will not be a first resort, it will only be done on an as-needed basis," said an administration official. "It will not be done this year."

Hard Drive "That's good news with the economy the way it is," said James Greller, executive transportation planner at New Jersey Institute of Technology and a former NJ Transit official. "The last thing people needed right now was a fare increase."

Travelstar Last year, the state provided NJ Transit with $260 million for its operating expenses. Another $548 million came from fares and $260 million was obtained by shifting money from major capital projects. The agency's overall budget is $1.22 billion.

Gateway Officials said the governor's budget, which will be unveiled today, likely will increase the agency's subsidy to about $270 million.

Laptop Parts Last November, Warrington announced almost $30 million worth of cutbacks, including $15 million in savings by eliminating 170 administrative and non-union jobs. In addition, the agency is picking up an extra $20 million through equipment leases.

Software Mass transit advocates say the state ought to revise its transportation funding system before it thinks about increasing fares. They have strongly supported an increase in the state's gasoline tax.

Hard Drives "Without a funding mechanism in place, it would be unfair to talk about a fare increase," Resto said.

Electronics By Joe Malinconico
Star-Ledger - 2/4/2003

Topic: Transportation

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