New York Lawmakers Strike Deal to Save NYC Subway’s Finances

A tentative deal between New York Governor Kathy Hochul and legislative leaders will help fix the Metropolitan Transportation Authority’s budget gaps as the cash-strapped agency is still luring back riders from the pandemic-era drop-off.

Hochul and state lawmakers agreed to increase the payroll tax on the largest businesses within New York City to 0.6% to help fund the MTA, the nation’s biggest transit system, Hochul announced late Thursday. That tax increase will bring in about $1.1 billion and Albany will also direct $300 million in one-time state aid for the agency.

The deal includes New York City providing $165 million ...