Public transit banks on flex funds in new budget

By DAVEEN RAE KURUTZ

For Port Authority, it’s all about the flex funds.

Following several years of uncertainty,… For Port Authority, it’s all about the flex funds.

Following several years of uncertainty, Port Authority announced that flex funds — money set aside for various transportation-related uses — will keep the public transportation system financially afloat for a third consecutive year.

After predicting devastating cuts in an effort to balance Port Authority’s budget last fall, executives designed this year’s budget around several assumptions, none of which involve increasing fares or cutting service.

Pitt students can rest assured that they will have bus service this fall. Last summer’s three-year contract will stand, no matter what cuts or budget changes the transit system undergoes. That means no increase in transportation fees for Pitt students, either.

The budget’s biggest assumption is based on a flex of $45 million in supplemental highway funds. Other cost-cutting measures include a salary freeze that excludes union members, health care and pension saving measures, and reduction in marketing, advertising and other administrative expenses.

“A business and organizational review conducted by management and financial experts confirmed Port Authority’s cost-saving measures, lean administrative staff and overall fiscal prudence,” said Guy Mattola, Port Authority’s board vice chairman.

“This board pledges to our customers and to the taxpayers that [Port Authority] will continue to do its part by keeping expenses under control. It is time, however, for our state elected officials to do their part and enact a dedicated funding source for transit.”

Dedicated funding has been the catchword of the past several years for the transit system and its supporters.

Several bills have been presented in the state legislature that would re-delegate funds, but none have managed to satisfy both the representatives and senators from transit-dependent areas. Funding for public transit has also been at odds with legislation that promotes highway projects.

Critics such as Stephen Donahue and David Ginns, of Save Our Transit, have said that relying on funds that are not set aside specifically for transit is not a viable solution.

Each time flex funds are “flexed,” they must be approved by the Southwestern Pennsylvania Commission.