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2019 Annual Report to the Governor

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2019 Annual Report to the Governor Metropolitan Transportation Authority 2019 Annual Report to the Governor Pursuant to New York State Public Authorities Law §2800 MTA 2019 ANNUAL REPORT NARRATIVE Pursuant to New York Public Authorities Law Sections 2800 (1)(a)(1), (6), (11), (13), and (17) Section 1—Operations and Performance Performance 1 NYC Transit (Subways and Buses) Long Island Rail Road ▪ Metro-North Railroad ▪ MTA Bus Company ▪ Bridges and Tunnels Section 2—Accomplishments and Initiatives Customer Service Initiatives 17 Interagency ▪ NYC Transit (Subways) ▪ MTA Bus Operations (NYCT Department of Buses, MTA Bus Company) ▪ Long Island Rail Road ▪ Metro-North Railroad ▪ Bridges and Tunnels Operations/Technology Initiatives 27 Interagency ▪ NYC Transit (Subways) ▪ MTA Bus Operations (NYCT Department of Buses, MTA Bus Company) ▪ Long Island Rail Road ▪ Metro-North Railroad ▪ Bridges and Tunnels Sustainability/Transit-Oriented Development (TOD) Initiatives 35 Interagency ▪ NYC Transit (Subways) ▪ MTA Bus Operations (NYCT Department of Buses, MTA Bus Company) ▪ Long Island Rail Road ▪ Metro-North Railroad ▪ Bridges and Tunnels Safety/Security Initiatives 42 Interagency: MTA Police Department ▪ NYC Transit (Subways) ▪ MTA Bus Operations (NYCT Department of Buses, MTA Bus Company) ▪ Long Island Rail Road ▪ Metro-North Railroad ▪ Bridges and Tunnels Cost-Cutting/Revenue Initiatives 54 Interagency ▪ NYC Transit (Subways) ▪ MTA Bus Operations (NYCT Department of Buses, MTA Bus Company) ▪ Long Island Rail Road ▪ Metro-North Railroad ▪ Bridges and Tunnels Section 3—Capital Projects Commitments/Completions The MTA Capital Programs 60 Capital Program Progress 61 Funding Received Through December 31, 2019 ▪ Capital Program Progress, 1982-2019 ▪ Capital Program Progress, 2019 New York City Transit (Subways) 63 Major 2019 Commitments ▪ Major 2019 Completions MTA Bus Operations (NYCT Dept. of Buses, MTA Bus Company) 69 Major 2019 Commitments ▪ Major 2019 Completions Long Island Rail Road 71 Major 2019 Commitments ▪ Major 2019 Completions Metro-North Railroad 78 Major 2019 Commitments ▪ Major 2019 Completions MTA Bridges and Tunnels 82 Major 2019 Commitments ▪ Major 2019 Completions MTA Construction & Development 85 Fulton Center ▪ Second Avenue Subway ▪7 Line Extension ▪ East Side Access Section 4—Description of the MTA and the MTA Board Structure Description of the MTA and the MTA Board Structure 88 Numbers of Employees ▪ Basic Organizational Structure of MTA Operations ▪ Governance of the MTA ▪ Board Members and Committee Assignments ▪ Board Members’ Attendance Section 5—Material Pending Litigation Report Material Pending Litigation Report 97 General Note ▪ The MTA ▪ Transit System ▪ Commuter System ▪ MTA Bridges and Tunnels ▪ MTA Bus ▪ MTA Long Island Bus Accompanying 2019 Documents 96 The Following Reports and/or Documents Are Attached Financial Reports ▪ All- Agency and Board Codes of Ethics ▪ Asset and Service Report 2019 ▪ Compensation Schedule and Biographical Information Reports ▪Bond Rating Reports ▪ Consolidated Financial Statements ▪ Governance Principles and By-Laws ▪ Grant Report 2019 ▪ MTA Legislation ▪ Mission Statement and Measurement Report ▪ Management Assessment of the Effectiveness of Internal Controls ▪ Real and Personal Property Reports with Guidelines ▪ Board Self- Assessment Report 2019 ANNUAL REPORT—SECTION 1 Operations and Performance Performance This section of the Metropolitan Transportation Authority (MTA) Annual Report to the Governor, pursuant to PAL §2800, summarizes ridership and other performance data for the 12-month period ending December 31, 2019. (See also the “2019 Mission Statement, Measurement, and Performance Indicator Report,” PAL §1269-f and §2824-a.) Total ridership on the subways, buses, and railroads of the MTA was 2.56 billion rides in 2019. This is roughly the same as the previous year, stabilizing a three-year decline in transit ridership. Subway volume rose by 17 million rides, up about 1 percent, while combined bus volume continued to fall, albeit at a slower rate of decline, by about 13 million riders or 2 percent. Paratransit rides jumped by 1 million rides or just over 10 percent. Meanwhile, LIRR hit yet another record high of 91.1 million rides in 2019, while Metro-North declined slightly to 87.2 million rides. To place these data in historical context, total MTA volume has declined by about 5.8 percent from its peak of 2.72 billion rides in 2015—which was, in turn, the highest ridership since the 1940s. Final 2019 estimates put the MTA’s total farebox revenue for the year at around $6.3 billion. MTA Bridges and Tunnels, now in its second year of cashless tolling, hit another record high of 329.4 million paid crossings, generating $1.13 billion in funding support for transit. A Watershed Year for the MTA Responding to several years of well-publicized fiscal and performance challenges, the MTA undertook a slate of unprecedented initiatives in 2019. Crucially, the NYCT Subway Action Plan (SAP) and Save Safe Seconds campaign continued to rack up steady performance gains in 2019, winning back riders and the confidence of the MTA’s partners and stakeholders. For the first time in six years, the average weekday on-time performance (OTP) for subways exceeded 80 percent, MTA 2019 Annual Report to the Governor, PAL §2800 1 a 20 percent leap over the prior year. The number of weekday delays fell 40 percent year over year, and the number of major incidents per month dropped by nearly a third. In a further boost to subway performance, the MTA completed the installation of Communications Based Train Control (CBTC) signaling on the 7 Line, pushing up weekday OTP to as high as 92 percent. Work has begun on resignaling the A/C/E lines, which are saddled with some of the oldest signals in the subway system. The railroads too chalked up big performance gains, with OTP at LIRR up 2 percent in 2019 to a three-year high of 92.4 percent. The railroad had 44 percent fewer cancellations, 29 percent fewer delayed trains, and a 4.3 percent improvement in mean distance between failures (MDBF). Metro- North boosted OTP by 4.3 percent to 94.4 percent, while also recording 55 percent fewer cancellations, 41 percent fewer delayed trains, and a 64 percent rise in MDBF. This improved performance came even as both railroads advanced their federally mandated Positive Train Control (PTC) programs. Both met their 2019 requirements and are on schedule to achieve PTC implementation by their December 2020 deadlines. Modernization Efforts Launched Several historic initiatives are now building on this steady turnaround, aiming to position the MTA for the 21st century. The most visible of these is the highly successful launch of the OMNY contactless fare payment system, the first new fare payments system since the MetroCard began replacing tokens in 1993. By the end of 2019, OMNY readers had logged over 5 million “taps,” far exceeding initial projections. Installations approached 150 stations and numerous buses in 2019 and are continuing on schedule. The OMNY contactless payments system will encompass the entire MTA transit and rail network by 2023 with technology leapfrogging most older contactless transit fare systems. In another revenue-related breakthrough, the MTA achieved a major victory in 2019 with legislative approval of Central Business District Tolling (CBDT), which authorizes the imposition of tolls on vehicles entering or remaining in New York City’s Central Business District (CBD), defined as Manhattan below and inclusive of 60th Street. The district excludes the FDR Drive and the West MTA 2019 Annual Report to the Governor, PAL §2800 2 Side Highway, as well as the Battery Park Underpass and any surface roadway portion of the Hugh L. Carey Tunnel connecting to West Street. The first of its kind in North America, the CBDT plan intends to reduce congestion and provide a $15 billion dedicated revenue stream for mass transit. It is also expected to help improve air quality, reduce surface transit delays, and increase mobility in one of the nation’s most congested urban centers. Under the management of MTA Bridges and Tunnels, a system provider and operator has been approved, and CBDT program design is underway. Restructuring and Capital Investment The two most significant MTA initiatives launched in 2019 are the historic MTA Transformation Plan and the Board-approved 2020-2024 Capital Program. The Transformation Plan entails a comprehensive reorganization of the MTA, as authorized by the New York State Assembly and the MTA Board. It is the first top-to-bottom restructuring of the authority since its formation in 1967. Designed to eliminate systemwide shortcomings and redundancies, the plan is being managed by the newly staffed Transformation Management Office (TMO), which reports directly to the Board. Its mission is to centralize, streamline, and modernize nonoperational functions, supporting improved transportation operations and, ultimately, the delivery of more value to customers. A big step in this transformation came with the 2019 establishment of the MTA Construction & Development (MTA C&D), which is assuming and expanding on the responsibilities of the former MTA Capital Construction. By placing most MTA contracts and projects under a specialized team, MTA C&D provides critical support to the transportation agencies, while delivering construction projects faster, better, and more cost efficiently than ever before. This focused oversight is especially advantageous in light of the MTA’s unprecedented 2020-2024 Capital Program, which
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