LOS ANGELES COUNTY : Transit Agency Reports Savings of $100 Million

Metropolitan Transportation Authority officials said Tuesday that the cash-strapped county agency has cut its costs in outside professional services by nearly two-thirds over two years, saving an estimated $100 million.

The savings are in large part a result of streamlining after the MTA was created last year by merging the Los Angeles County Transportation Commission and the Southern California Rapid Transit District. Officials of the new agency credit an aggressive campaign to get rid of duplicate services and to perform more tasks in-house.

The number of contracts awarded to outside agencies for such services as printing and accounting dropped from a combined 675 by the two agencies in fiscal year 1992 to a projected 340 at the end of this fiscal year. During that same time period, costs for these services dipped from $146 million to $46 million, officials said.

“Our budget is tight, (so) we’re being much more careful” about securing outside services, MTA chief Franklin White said.

However, White said, the savings have already been accounted for in this year’s budget and will have no impact on the $126-million deficit the MTA expects to incur next year. Also, he said, other outside costs, such as design contracts, are expected to increase.