USING RESERVES, MTA APPROVES $3 BILLION BUDGET.

Byline: RACHEL URANGA Staff Writer

Despite a looming financial crisis, Metropolitan Transportation Authority directors approved a $3 billion budget Thursday, expanding bus services and continuing construction of the Metro Gold Line.

The board held the line on fares by covering its $110 million deficit with dwindling reserves.

On an 11-2 vote, the board agreed to return within the month to trim at least $10 million from the budget and find new revenue sources, including expanded advertising. It also agreed to cut 13 nonunion positions and put off the purchase of 40 hybrid cars for staff use, saving about $2 million.

``We have more service out there than we can afford,'' warned MTA CEO Roger Snoble.

As the board debated the budget, about two dozen members of the Bus Riders Union held signs calling for increased bus service, slowing rail construction and adding more service hours.

``We are worried about what the future holds for us,'' Manuel Criollo, leading organizer for the bus riders, told the board. The union, which forced a 10-year consent decree that expanded bus services for the poor and kept fare rates low, expressed concern that the budget crisis will lead the MTA to eventually shrink bus service and raise fares. ``This is a temporary victory.''

So far the board has declined to increase fares, but some say a hike is inevitable.

In a last-ditch effort to reduce the deficit, Snoble proposed a $10 million cut in the agency's $60 million police contract with the Los Angeles County Sheriff's Department.

The department's 551-person transit police protect the MTA's subways and buses.

Though the board rejected Snoble's initial proposal, members agreed to take a closer look at the security budget to see what areas can be pared without compromising safety.

``It was a back-door attempt to balance their budget on the back of public safety,'' said Supervisor Michael Antonovich, who voted against the budget. ``They need a fare increase and they are attempting to bypass it.''

Antonovich said he feared that voting for the budget with the caveat the agency will cut an additional $10 million later would open the door to slashing the security budget.

Snoble contends the sheriff's administrative costs are too high but sheriff's officials say a reduction would force them to eliminate 53 patrol officers.

``I don't think it's realistic,'' said Supervisor Zev Yaroslavsky, who also voted against the budget. ``We are in a post-Madrid, post-London era ... the security is important here. We have tunnels, subways and light-rail line that are vulnerable to hanky panky.''

Under this year's budget, the MTA will continue plans design a Mid-City light-rail project and finish the Ventura Freeway overcross at the San Diego Freeway.

Additionally, seven Metro Rapid lines will be opened over the next year, including one through San Fernando Road and Lankershim Boulevard.

rachel.uranga(at)dailynews.com

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