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Steve Cohen

10/02/2024 | Press release | Distributed by Public on 10/02/2024 15:51

Congressman Cohen Expresses Concerns Over MATA’s Financial Challenges and Urges Federal Action

MEMPHIS - Congressman Steve Cohen, a senior member of the Transportation and Infrastructure Committee and its Subcommittee on Highways and Transit, today wrote to Department of Transportation Secretary Pete Buttigieg, the Deputy Secretary of Transportation, Polly Trottenberg, and the Acting Administrator of the Federal Transit Administration, Veronica Vanterpool, expressing his deep concerns regarding the Memphis Area Transit Authority's (MATA) severe financial challenges. The Congressman highlighted the urgent need for federal assistance to help stabilize MATA and ensure that it continues to provide reliable transportation services to the residents of Memphis.

Congressman Cohen cited MATA's $60 million deficit, massive layoffs, route reductions and suspension of the trolley service, despite his success in securing historic levels of investment in recent years in major capital upgrades, including electrification of buses and a new bus rapid transit service.

The letter reads in part:

"The operational and fiscal crisis MATA faces, including a $60 million deficit in the prior fiscal year and persistent deficits over several years, paints a troubling picture of an underfunded and overstretched transit system. This funding gap has already led to dire consequences: layoffs of more than 200 employees and a reduction in fixed routes. These cuts will disproportionately impact low-income and vulnerable populations who rely on MATA as their primary means of transportation. Without immediate intervention, further service reductions could devastate the mobility and economic security of many in the Memphis community…

"I am eager to explore how the Department of Transportation (DOT) and the Federal Transit Administration (FTA) can assist MATA and other similarly challenged transit systems in cities like Memphis. I would appreciate any recommendations on how we can strengthen MATA's funding sources through existing federal programs or new initiatives. Given your extensive experience as the former Commissioner of the New York City Department of Transportation, Deputy Secretary Trottenberg, I would also greatly value your insights on innovative solutions and best practices that could help improve the sustainability and efficiency of MATA's operations.

"It is particularly disheartening to learn of MATA's financial struggles after helping secure the most significant federal investment in its nearly 50-year history. This includes $54 million for a new operations and maintenance facility, $22 million for clean electric buses and charging stations, and nearly $64 million for the Memphis Innovation Corridor Bus Rapid Transit project."

See the entire letter here.

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