The San Francisco Municipal Transportation Agency is already trying to tackle a $23 million annual budget deficit, according to local press reports.
The agency’s new director, Ed Reiskin, said all fiscal measures are on the table except fare increases to fill the gap, according to the San Francisco Examiner.
The projected deficit is only 3% of the transit system’s $780 million budget.
The newspaper said payroll expenditures are expected to exceed projections by $14.5 million.
Reiskin, who started last month, said he hoped the SFMTA could avoid service cuts. It reduced service 10% last year to deal with its tight budget, the paper reported.
Voters gave the transportation agency the power to issue bonds in 2007, but it is just now moving forward. It has some outstanding debt tied to several parking garages that was issued through nonprofit corporations.
The agency oversees the light-rail and bus services provided by the San Francisco Municipal Railway, known as Muni, plus the Division of Parking and Traffic and the Division of Taxis and Accessible Services.
The Muni is the seventh largest public transit agency in the country and includes light rail, buses, and streetcars.
DPT manages 40 city-owned garages and metered parking lots and handles the city’s traffic functions.
