L.A. Subway Funds Face Cancellation

The Reagan Administration wants to spend fewer federal dollars on transportation, and will ask Congress to eliminate money already voted for the Los Angeles subway and other urban mass transit systems.

“Los Angeles has asked federal taxpayers to pay $2 billion for its proposed 18.6-mile subway system,” said the budget document. “Its total cost is approximately $180 million per mile--much more expensive than any other subway system.” The budget proposes that Congress cancel $225 million already voted for the Los Angeles system.

However, under the proposed new block grant, in which all transportation money, whether raised from gasoline taxes or by congressional appropriation, would be distributed in a lump sum to the state and local governments, California and Los Angeles might decide to use some of the money to finance the subway project.