Transportation industry

Citing a worsening revenue outlook, the board of New York's Metropolitan Transportation Authority voted against restoring $20 million in bus and subway service cuts for fiscal 2012.

The North Carolina Department of Transportation closes on a $145.5 million deal believed to be the first of its kind to use stand-alone, grant anticipation revenue vehicle bonds as interim financing.

Former Maine Turnpike Authority executive director Paul Violette has settled a civil lawsuit over allegations that he used agency funds for personal benefit, agreeing along with two surety bonding providers to pay back damages totaling $430,000.

A task force last week proposed a local income tax rate increase in the Indianapolis region to finance a $1.3 billion rail and bus system over the next 10 years.

The Illinois State Toll Highway Authority board has adopted a $609 million budget for 2012 that anticipates $200 million in toll-backed borrowing as the agency embarks on its $12 billion, 15-year capital program to maintain and expand the 286-mile system.

The Arkansas Department of Highways and Transportation will focus initially on improving traffic flow along Interstate 30 if voters approve $1.3 billion of general obligation bonds for roadwork next year.

Rhode Island wants to put tolls on a stretch of Interstate 95 near the Connecticut border in a story that resonates beyond the nation's smallest state and its neighbors.

Two lawmakers representing Northeastern states are sponsoring legislation to give the federal government more control over bridge and tunnel tolls, a proposition that has won the backing of commercial truckers and motorist advocacy groups but could also put pressure on some bond issuers.

Having already assigned a negative outlook to Garvees, Fitch Ratings said downgrades could occur for such bonds without a backup pledge of revenues if lawmakers don't approve a longer-term reauthorization of highway and other surface transportation programs by March 31.

Republicans complained about the skyrocketing cost and lack of administrative transparency surrounding the construction of the California high-speed rail project, while Democrats and regulators steadfastly defended the partially bond-financed project as an antidote to gridlock and a way to create jobs.

The Santa Rosa Bay Bridge Authority's new board learned Wednesday night that its defaulted bonds, sold to build the Garcon Point Bridge in north Florida, may be repaid without losses to investors.

The U.S. Department of Transportation awarded $511 million of grants to 46 transportation projects in 33 states and Puerto Rico under a third round of its popular TIGER program.

For the second year in a row, Virginia Gov. Bob McDonnell plans an aggressive strategy to keep the state's transportation projects moving forward at a fast clip.

Dallas Area Rapid Transit has awarded a design-build contract for the final segment in its $1.5 billion Orange Line project that will connect Dallas-Fort Worth International Airport to the DART light-rail network, officials said.

Dana Levenson jumped at the chance to be chief financial officer of the Massachusetts Department of Transportation.

The Oklahoma Department of Transportation got the go-ahead last week from the Council of Bond Oversight for a $71 million debt issue to finance four highway projects.

With trading active on much of bankrupt American Airlines' $3.2 billion of special facilities revenue bonds, some market participants are sounding a cautionary tone in assessing their value, as bargain hunters eye the airline's discounted bonds secured by collateral.

The Port Authority of New York and New Jersey's Board of Commissioners has approved a preliminary $7.1 billion combined operating and capital budget for fiscal 2012 amid complaints that the agency overspends on World Trade Center redevelopment at the expense of bridge, road and tunnel improvements.

The cancellation of a project to renovate the 70-year-old Brooklyn-Queens Expressway and a connecting portion of the Gowanus Expressway, both part of Interstate 278 in New York City, has prompted calls for a state law allowing public private partnerships.

Fairfield, Conn., opened its third train station, Fairfield Metro, to commuters last week.