The bond before voters would approve financing for a series of Queens projects. The Cost of Doing Business Despite the upside of the projects, the Bond Act would add to a ballooning level of debt in New York State that some officials are insisting has grown too large already. The $2.9 billion that voters must approve will be on top of an additional $13.2 billion that the state has borrowed through public authorities, thereby circumventing the need to ask taxpayers, a policy called “back door borrowing,” according to the Citizens Budget Commission, a non-partisan good-government group that deals with city financial issues. New York State already has $46.7 billion in outstanding debt, more than any state other than California. An analysis conducted by the CBC found that when New York’s assets are compared to its debt, it ranks the six worst state in terms of fiscal health. Pointing to these statistics, last month the CBC officially opposed the Bond Act. “The vote on the Act is the only opportunity that the public will have to oppose increasing the State’s already high debt burden,” said Charles Brecher, executive vice president of the CBC. “It is also the best way of the voters to register their dissatisfaction with the amount of debt that is being incurred in their names, and for which they and their children will have to pay higher taxes.” The CBC and a similar organization, Independent Budget Office, which has not taken a position on the subject, have both advocated for using additional sources of revenue beside issuing bonds, such as raising highway user fees and spending tax dollars more productively. Weinshall said the current proposal was fiscally prudent, however, because it funds long-term capital projects, rather than day-to-day operating expenses. The Bond Act also, “offers citizens a direct voice in how their tax dollars are spent,” she said. Not So Easy Pass But before public transportation officials can spend a nickel, they must overcome one substantial hurdle: The Voters. The last attempt at a similar $3.8 billion bond came in 2000, but it failed despite winning support from 73 percent of voters in New York City. With public confidence in the MTA dwindling after several instances of dubious management – including the sudden appearance of a nearly $1 billion surplus after raising fares – passing the Act remains to guarantee, some officials say. “There’s been increased concern about the MTA’s ability to effectively use public funds already provided to operate our mass transit system,” Liu said. “What is the MTA doing to shore up the public’s confidence? Or, is the MTA still toeing the line stated in previous hearings that the upcoming vote is a piece of cake?” The MTA launched an advertising campaign to explain the advantages of the Bond Act to voters, and officials have been meeting with citizens inside and outside the City to sell the proposal, said Chris Boylan, MTA deputy executive director. “Sometimes perceptions do become reality you have to deal with every day, but here it doesn’t mirror what the MTA has been able to do,” Boylan said. “In the last few years we have made great strides to make ourselves more transparent in terms of documentation.” If the Act does not pass, the entire proposal would have to be reworked with the new financial constraints, officials said. It would also become more difficult to obtain Federal matching funds. Recent polls show the public supporting the Bond Act. The proposal also picked up a key endorsement Tuesday from popular incumbent mayor Michael Bloomberg. Groups such as the New York Straphangers and the New York League of Conservation Voters also support its passage. “Today, our City’s economy is getting stronger in all five boroughs, and we’ve got to keep it growing with transportation infrastructure investments that are critical to our future,” Bloomberg said. The Bond Act will be the second question on the Nov. 8 ballot in the General Election.

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