MBTA Control Board’s First Report Shows Urgent Need For Change

The MBTA’s new Fiscal and Management Control Board (FMCB) has just issued its first 60-day report identifying the scope of the challenges facing the T. The GreenLineFMCB has been tasked with identifying and shaping solutions to improve operations and performance. The report is extensive, probing, and extremely candid. The Board members should be congratulated on producing such a clear case for moving from the status quo to a system that is reliable, transparent, and sustainable.

It is no surprise that the some of the underlying problems are even more serious than originally thought. Firstly, the MBTA’s annual operating budget is unsustainable, with expenses increasing at nearly three times the rate of revenue growth. Secondly, annual capital spending on deferred maintenance and capital investment is substantially below the $472 million annual spending needed to prevent the backlog from further increasing. The prolonged under-spending has caused the backlog in capital investment to rise to $7.3 billion. The report states that the management team has committed to ensuring that available capital funds are spent, maintaining the MBTA system at a level that will prevent the backlog from further increasing while improving the overall condition of the system and its facilities as expeditiously as possible.

The FMCB has reported some progress:

• Total Capital spending increased to $740 million in FY2015 and is budgeted to be $1.05 billion in FY2016.
• The MBTA planned, designed, and is executing a Winter Resiliency Plan to better prepare the system to withstand major storms and extended periods of cold.
• The MBTA and Keolis Commuter Services have signed a Performance Improvement Plan and are working to address identified shortfalls in performance.
• The FMCB and MBTA management are developing a strategy to make improvements in the procurement and contracting processes and to review all existing service contracts (e.g., the MBTA issued a Request for Information for the private-sector on some low and moderate ridership bus routes, express bus routes, and late-night bus service).
• The FMCB and MBTA management are focusing on performance metrics to drive improvement in MBTA operational practices and to expand transparency and accountability with the riding public.
• The FMCB and MBTA leadership are also pursuing efforts to increase workforce productivity and to reduce absenteeism among MBTA staff.
• The FMCB is committed to a positive employee engagement program, understanding that morale, sense of mission, clear management and decision-making structures, and workforce investments are all necessary ingredients for any successful organization.

It is very clear to the reader of this report that the work of FMCB has just begun. The goal is to have a transit system that is sustainable and accomplishes its mission. Hopefully, in the not too distant future, the MBTA will be operating efficiently. It will certainly take a lot of work by a dedicated management team and workforce. However, there is no alternative. Businesses, residents, and workers must have an MBTA that is reliable.

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