there are no fair hikes in the nearly 2.9 billion dollar budget and a transits board voted to approve last night but there's bad news for commuters on the horizon the Transit Agency is expected to face a nearly billion dollar shortfall in the coming years as Federal funding dries up and all options are on the table to make up that deficit including Fair hikes and service Cuts meanwhile agency officials are responding to criticism over a controversial decision to sign a costly lease agreement for their new headquarters senior correspondent Brenda Flanagan reports Vice chair Carson yes motion carry with a unanimous vote and no comment NJ transit's board approved a new 2.86 billion dollar operating budget that doesn't raise fares but also doesn't offer a way to keep the agency from falling off a looming billion dollar fiscal cliff in a couple years critics many calling in foresee crippling damage and inevitable Fair hikes let's not wait until the prices have passed and let's be clear let's not balance this Budget on the backs of lawyers because they cannot do that you got a billion dollar fiscal clip going on you're not muting you're not speaking up you're not lobbying you're not working with us but if the budget crisis continues to be ignored rise it will inevitably be safe with Fair Heights and service Cuts we desperately need stable funding for public transit service if we hope to provide workers and samples with a reliable way to move about the region Advocates question the agency's funding strategies among its Revenue sources this spending plan Burns through NJ transit's remaining 800 million dollars in federal pandemic Aid creating an automatic shortfall next year the budget relies on ridership increasing to 76 percent of pre-covered levels yielding 776 million in fairbox revenues but that estimate's been over optimistic in the past CEO Kevin Corbett admitted commuters aren't all back yet overall weekday rail ridership remains at approximately 65 percent of Sleepover levels are still frustrating between 65 and 75 plus depending on the day of the week so to help make ends meet NJ Transit again will rob Peter to pay Paul transferring 70 million from the clean energy fund and 362 million from its capital budget to keep the wheels turning finally it relies on 440 million in New Jersey Turnpike funds and 142 million in state aid critics deplore the lack of stable State support the issue is that NJ Transit does not get enough State funding and it's the only agency of its size in the country without a stable and dedicated Revenue source and if lawmakers don't provide more funding soon Riders are going to be looking at drastic service cuts and fair Heights in a statement Corbett insisted this new budget will ensure the continued safety and reliability of our system deliver a high quality experience for our customers and improve our overall service without imposing any Fair increases in April NJ Transit said it's studying ways to better tailor transit services to Rider needs but one speaker told the board Services already unreliable making him late for last night's meeting there was no training this is a major flaw in your system because a lot of people depend on that others question the agency's decision to move its headquarters from its current location which needs about 120 million in renovations to offices at two Gateway in Newark owned by Onyx which has political connections to the governor the new 25-year lease costs 440 million even as NJ transits facing a fiscal meltdown you choose to sign a massive lead for the most expensive project of the ones proposed for more space than originally requested even worse of the Optics of the building owner being a political donor regardless of whatever the reality is in this pay-to-play state that raises suspicion and unfortunately you know New Jersey Transit has not been transparent in this process Senate minority leader Anthony Buco has sent NJ Transit a letter requesting information about bids negotiations and financials connected to this deal and once legislative hearings to determine if it's the best choice I understand Onyx has come out and answered some questions and talked about you know some of the benefits of this lease the taxpayers and the ridership of New Jersey Transit have a right to know what's going on in the state of New Jersey the new budget took effect July 1st I'm Brenda Flanagan and J Spotlight news [Music] [Music]