Debt from Big Dig hampers MBTA (Massachusetts Bay Transit Authority)

AP via Boston Herald ^ | Sunday, April 8, 2012

[Olog-hai]

For nearly a decade, traffic has been zipping through Boston’s Big Dig tunnels, the nation’s costliest highway project that has also left a gaping financial hole in the state’s transportation budget that isn’t likely to be filled anytime soon.

"Big Dig debt" has lately become one of the most frequently used—if not fully understood—terms in Massachusetts government. It was at the forefront of a tumultuous public debate over the MBTA’s finances that ultimately produced an average 23 percent fare hike and modest service cuts, but no permanent solutions for the chronically underfunded transit system.

Next year, it could spark a debate over whether to raise taxes to fix not only the T but deteriorating roads and bridges across the state. …

State debt associated with the $15 billion project is spread among a variety of agencies and funded by several revenue sources, making it difficult to pinpoint the state’s exact obligations. The Patrick administration has requested $101.5 million in the next fiscal year to pay debt service on special bonds issued for Central Artery/Tunnel—the official name of the Big Dig—but officials estimate the state’s total annual debt burden related to the project at about $417 million. …

The system’s Big Dig debt service is estimated to cost about $125 million in the next fiscal year, a sizable chunk of the $159 million operating deficit that the T’s board voted to close last week with the mix of fare hikes, service cuts and one-time revenues. …

[Gay State Conservative]

The only thing that Barney Frank ever said that I agree with is when he said,as the Big Dig was being debated,"it would be cheaper to raise the city than than to lower the highway".

He was obviously right.

[SamAdams76]

I used to ride the MBTA back in the 1970s when I was still not wealthy enough to own a car and drive to work. Back then, the MBTA was a sign that you were in the lower classes of society. Sure, Mike Dukakis rode the train but it was only a few stops from Brookline to the State House and he only rode it occasionally for photo-ops. Most days, he was driven to work by the State Police.

I took my kids on the MBTA a few years ago as a "novelty" - more to give them a taste of how the other half lives than anything else. They were not impressed at all.

[Right Wing Assault]

chronically underfunded transit system

That term is redundant.

[Gay State Conservative]

I used to ride the MBTA back in the 1970s when I was still not wealthy enough to own a car and drive to work. Back then, the MBTA was a sign that you were in the lower classes of society.

I've never been lower class,having grown up middle class and remaining so to this day.Between the tolls,the traffic,the difficulty finding a parking space and the expense when you *do* find one I never drive into the city.Of course I very seldom *go* into the city...health care,airport and a good computer store in Cambridge is about it.

[Opinionated Blowhard]

no permanent solutions for the chronically underfunded transit system.

Here we go again. "Underfunded". Why is it underfunded? What was the level of spending in, say, 1970 and 1980 and 1990 vs. today? Has it gone up? Have worker wages gone up? Have projects gone wildly over budget? Is the real reason that there is a gap between funds and the budget is because of wild overspending?

I'd be willing to bet the farm that the problem is "wild overspending" rather that "chronic underfunding."

[Olog-hai]

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I'd be willing to bet the farm that the problem is "wild overspending" rather that "chronic underfunding."

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Been the case with every type of government takeover. NYC's subway system was deliberately bankrupted by the city, who forbade the two private companies to raise fares and even created an "independent" city-owned subway to "compete" against them. Once the city had all of the subway lines, things just got worse from there.

[Gay State Conservative]

I took my kids on the MBTA a few years ago as a "novelty" - more to give them a taste of how the other half lives than anything else.

And BTW,if you wanna teach your kids to be *really* grateful take them on the 6 train in NYC.Get on at 125th Street...

[Erasmus]

Historically, input to public services increases, while net output of those services (societal positive contribution minus societal burden) decreases to zero, or some negative value.

Of course, it won't go on indefinitely; never has, never will, can't.