MTA 2007 Preliminary Budget July Financial Plan 2007

MTA 2007 Preliminary Budget July Financial Plan 2007 – 2010 DJC July 26, 2006 Metropolitan Transportation Authority July Financial Plan 2007 -2010 1

February Financial Plan Closing Cash Balance Before Policy and Gap-Closing Actions ($ in millions) Metropolitan Transportation Authority July Financial Plan 2007 -2010 2

July Financial Plan Baseline Before Policy and Gap-Closing Actions ($ in millions) Metropolitan Transportation Authority July Financial Plan 2007 -2010 3

July Financial Plan Reasons for Baseline Net Improvements ($ in millions) Metropolitan Transportation Authority July Financial Plan 2007 -2010 4

July Financial Plan Agency Baseline Changes ($ in millions) Metropolitan Transportation Authority July Financial Plan 2007 -2010 5

July Financial Plan Year-to-Year Changes in ‘Uncontrollable’ and ‘Controllable’ Operating Expenses ‘Uncontrollable’ Operating Expenses include Paratransit Service Contracts, Fuel for Buses & Trains, Traction & Propulsion Power, Debt Service, Health & Welfare, Pensions, Insurance, and Claims. ‘Controllable’ Operating Expenses include Payroll, Overtime, Other-Fringe Benefits, Reimbursable Overhead, Maintenance & Other Operating Contracts, Professional Service Contracts, and Materials & Supplies. Metropolitan Transportation Authority July Financial Plan 2007 -2010 6

July Financial Plan With Policy and Gap Closing Actions ($ in millions) Metropolitan Transportation Authority July Financial Plan 2007 -2010 7

July Financial Plan Closing Cash Balance After Policy and Gap-Closing Actions * ($ in millions) * Consistent with prior plans, includes additional 5% revenue increases - September 2007 and January 2009. Metropolitan Transportation Authority July Financial Plan 2007 -2010 8

If the Board Does Not Continue Its Policy of Small Bi-Annual Fare & Toll Increases, Out-Year Deficits Will Increase ($42) ($1, 141) ($1, 626) July Plan Closing Cash Balance, After Policy & Gap-Closing Actions ($1, 986) Additional Gap if 2007 & 2009 Fare & Toll Yields Are Not Increased Metropolitan Transportation Authority July Financial Plan 2007 -2010 9