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Senate reaches tentative deal for MTA bailout

Long Island?s Democratic state senators are making sure their opposition to part of Gov. David Paterson?s MTA bailout plan is heard even as legislators prepare to pass the measure. The state Senate reached

News 12 Staff

May 6, 2009, 12:09 AM

Updated 5,708 days ago

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Long Island?s Democratic state senators are making sure their opposition to part of Gov. David Paterson?s MTA bailout plan is heard even as legislators prepare to pass the measure.
The state Senate reached a tentative deal to pass the bailout plan Monday night, but Senators Brian Foley (D-Brentwood) and Craig Johnson (D-Port Washington) staunchly oppose the payroll tax included in the bill. They say a tax on employers is the last thing struggling Long Island businesses need.
However, Foley and Johnson say they'll give Majority Leader Malcolm Smith their votes if school districts are guaranteed they'd be exempt from the payroll tax.
?In addition to preserving mass transit, we need to protect the taxpayers, and you know the school district tax burden is a significant one,? Johnson tell News 12 Long Island.
Revenues from the payroll tax will be used to give a break to commuters, according to the plan. Fares that were set to go up as much as 30 percent will be scaled back to 8 percent. The Senate plan also includes higher fees to register a car, get a driver's license and a 50 cent surcharge on each taxi trip. The bailout plan is meant to rescue the public from the massive fare hikes and service cuts called for in the MTA?s doomsday budget.
Paterson wants lawmakers to pass the bailout by Wednesday. A spokesman for the democratically controlled Assembly says legislators are "prepared to act immediately.?