A $65 million insurance request from IreneBy
The MTA drew criticism last year for being overly cautious when it shut down subway service in the face of Hurricane Irene. While New York City Transit was spared the brunt of the storm a year ago, Metro-North’s Port Jervis line suffered a wash-out, and the agency incurred significant planning costs. Yesterday, the MTA announced that it has submitted a $65 million claim to FEMA for reimbursement of these expenses.
So far, the MTA has recovered approximately $27.7 million in insurance proceeds and is targeting around $50 million as its total recovery. Of the $65 million, $21million will cove repairs of the Metro-North washouts west of the Hudson River, and New York City Transit has submitted a request for $22 million. That breaks down as $8 million in overtime costs for storm preparedness and $14 million in lost revenue when the subway system shut down for the first time in its history.
Meanwhile, as the one-year anniversary of the storm comes and goes, it’s tough to say that the MTA is any better prepared long-term for shifting ocean levels, major weather catastrophes and a changing environment. A request to FEMA to cover last year’s expenses helps the budget, but comprehensive long-term planning will help avoid shutdowns in the future.