Assembly to Reject Cuomo’s $40M Transit Raid; No Word From State Senate

Assembly Speaker Sheldon Silver will look to block Governor Cuomo’s $40 million transit raid, according to the Daily News.

Cuomo’s executive budget proposes to divert $40 million in dedicated transit revenue to pay for MTA bonds the state had pledged to pay off from the general fund. The move could cost the MTA around $350 million over the life of the bonds.

Last week a group of 32 Assembly members called on Silver to restore the funds in the legislative budget, which is scheduled to be voted on Wednesday.

From the News:

The Assembly will reject the governor’s plan in a formal response it unveils this week to Cuomo’s budget proposal, a source close to Speaker Sheldon Silver said.

“These funds could be used to offset fare increases, restore past service cuts or help fund the MTA capital plan,” the source said.

Sources tell Streetsblog there is no word yet from the State Senate. When Cuomo put a $20 million raid in the budget last year, the Senate removed the provision from its budget proposal. The Assembly went along with Cuomo, however, and the cut was enacted.

This is a developing story. We will post updates as we get them.