Legislature OKs $2.26B NYC transit system bailout

The AP reports:

The state Legislature on Wednesday approved a $2.26 billion bailout of New York City's mass transit system, helping to limit subway and bus fare increases to only a quarter.

The bailout package allows the Metropolitan Transportation Authority, which runs the system, to hike fares by only about 10 percent, from $2 a ride to $2.25.

The MTA had been threatening an increase of up to 30 percent to help cover massive budget deficits.

The bailout also softens the increase on the cost of a monthly fare pass, from $81 to $89, and adds a 50-cent charge for taxi rides, among other fees. The plan includes a payroll tax on businesses but no new tolls.

Plus:

The bills were passed just over 24 hours after a closed-door deal among Democratic leaders because Gov. David Paterson suspended the usual three-day waiting period designed to give lawmakers and the public time to review proposed legislation.