PUBLIC TESTIMONY
Testimony by Sean Campion, Director of Housing and Economic Development Studies at Citizens Budget Commission
2:16:37
·
135 sec
Sean Campion from the Citizens Budget Commission presents an analysis of the NYC Ferry system's finances and the impact of the Ferry Forward plan. While acknowledging improvements in reducing subsidies and increasing ridership, he highlights ongoing financial concerns and recommends further actions.
- CBC recommends a higher fare for non-commuter rides, potentially matching the $7 MTA Express bus fare.
- The full subsidy per ride, including debt service, is estimated at $12.50.
- CBC advises that the City Council should require a full fiscal impact statement before approving any system expansion.
Sean Campion
2:16:37
Good morning.
2:16:38
I'm Sean Campy.
2:16:39
I'm Director of Housing And Economic Development Studies of the Citizens Budget Commission.
2:16:43
Thank you.
2:16:44
Jared for the opportunity to testify.
2:16:45
So our full testimony, which is made online, has a a new analysis from CBC on New York City Ferry's finances and EDC's finances and the improvements in shortcomings in the system.
2:16:54
So I was gonna get a few highlights.
2:16:57
When the ferry forward plans first proposed, CBC testified for the council that that success should be evaluated based on whether and how much a subsidy per ride in in total would be reduced.
2:17:07
And in its 1st year for which we have data, it's clear that ferry Ford has steered New York City ferry's finances in the right direction.
2:17:13
As we heard today, EDC reduced the ferry the ferry subsidy both per ride in total, thanks to fair increases more efficient operations.
2:17:21
And, importantly, it didn't decrease ridership.
2:17:23
You know, the fact they hit record ridership levels, even accounting for the addition of new routes.
2:17:28
And also worth knowing that it allowed ETC to balance this 2023 budget and start replenishing which reserves after having to draw down on those even before the pandemic.
2:17:36
And we appreciate these successes.
2:17:39
But while, you know, very forward has provided an effective course correction, the financial outlook isn't as boring as up here.
2:17:46
Aaron, the the ferry remains one of the most heavily subsidized transit options in the city, and its $56,000,000 subsea still diverts substantial resources from EDC's core mission of, you know, of advancing the Sea's economy or porting economic development.
2:18:01
Accordingly, CBC Steelwork men's a higher fare from the 9 community rides, potentially matching the MTA Express bus service, which is $7 fair, to offset some of the high operating costs in free up funds for EDC.
2:18:12
And it's also worth noting too that the the official subsidy figure doesn't include CD expenditures on debt service for New York City Ferry Capital costs, which add about almost $4 a trip, which make the full rough subsidy ride 12.50.
2:18:27
If Desiree was on its budget, Desiree would be about 25% of its operating cost, which would be considered to be an unaffordable amount.
2:18:34
And finally, I just wanna say that in line with CDC's recommendations to the Charter Vision Commission, we believe that the council shouldn't be, let us to expand it without a full fiscal impact statement that looks at the impacts of the cost both on the sea's operating capital budgets and on EDC's budgets, and how to accommodate those costs within both their financial plans.
2:18:52
Thank you.
