MTA: More Deficits Loom

The Metropolitan Transportation Authority says the economy is looking so bad, the agency will have a $621 million deficit this year, and a $1 billion deficit next year. But Chief Financial Officer Gary Dellaverson told MTA board members there are currently no plans for additional service cuts or fare hikes this year, beyond the ones already scheduled for next month.

DELLAVERSON: Simply it would be a mistake. It's simply not the way you would want to run an organization of this size.

In order to comply with a legal requirement that it keep its budget balanced, the MTA has decided to create an 18-month budget, effective July 1st. That way, it won't have to make more service cuts and fare increases this year. But agency officials warn that those measures will likely be taken next year. CEO Lee Sander says they would go "beyond Doomsday."