Kathy Hochul is proposing giving the MTA an extra $1.3 billion a year via higher payroll taxes on downstate businesses and revenue from new casinos.

From our reporter Jimmy Vielkind:

>The MTA proposals would generate enough cash to help cover a budget gap caused by a loss in fare revenue from lower ridership since the Covid-19 pandemic began in 2020, officials said. The new funding also would help foot the bill for additional police patrols on the subway system that started in October amid concerns about crime.
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>MTA Chairman and Chief Executive Janno Lieber, who has been lobbying lawmakers for additional funding, said in an interview that the governor’s proposal would allow the authority to avoid service cuts but not a 5.5% fare hike that the MTA assumed in its 2023 budget.
...Under Ms. Hochul’s proposal, that tax would increase to 0.5%, generating around $800 million a year in additional revenue. For example, an employer would pay an additional $160 a year for each employee with a $100,000 annual salary.

-mc