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Manhattan Institute

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New Report Breaks Down Seven Ways the MTA Can Save $10 Billion

press release

New Report Breaks Down Seven Ways the MTA Can Save $10 Billion

July 23, 2019

NEW YORK, NY — As the beleaguered MTA anticipates a board vote on its “transformation plan,” a new issue brief by the Manhattan Institute’s Nicole Gelinas details an expansive vision for how to fix the authority’s finances and improve its performance. Beyond the $500 million in savings suggested by the current plan, Gelinas identifies seven key areas where the MTA can realize $10 billion of savings over a decade.

As it rethinks its approach to capital spending, the MTA has many ways to save and raise funds. According to Gelinas’s calculations, the potential for savings is especially large in the following areas:

  1. Prevailing wages and
  2. Work rules: $2 billion;
  3. Procurement: $1.4 billion;
  4. Materials costs: $3.7 billion;
  5. Productivity gains: $1.3 billion;
  6. Health care $1.3 billion; and
  7. Commercial revenue generation: $300 million

Total: $10 billion

Click here to read the full report.

CONTACT

Abigail Salvatore
Director, Media Relations
(646) 839-3335
asalvatore@manhattan-institute.org

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