NEW YORK CITY-In the second consecutive transportation announcement this week, former New York City deputy mayor Joseph J. Lhota has been tapped Governor Andrew Cuomo to head the Metropolitan Transportation Authority. The governor has also chosen Nuria Fernandez, the current senior vice president of engineering and construction firm CH2M Hill, to serve as COO of the MTA, as well as Karen Rae, the deputy administrator of the Federal Railroad Administration, to serve as the deputy secretary of transportation in Cuomo’s office. The positions await approval by the State Senate.
Lhota will succeed Jay Walder, who has served as CEO of the MTA since 2009. In his new role, Lhota will inherit a mixed-bag of transportation issues, including a $10-billion budget gap, maintaining the MTA’s remaining $24-billion capital budget plan and ensuring fare affordability despite growing debt.
Lhota currently serves as the executive vice president for the Madison Square Garden Co., where he is responsible for the development and execution of companywide human resources strategies, government affairs, information technology and an array of corporate services. His previous private sector experience includes serving as executive vice president of corporate administration for Cablevision, the director of public finance for First Boston and the managing director of the Municipal Securities Group for PaineWebber Incorporated.
On the public sector side, Lhota supervised city agencies and managed the city’s $36 billion operating budget and $45 billion capital budget under Mayor Rudolph Giuliani. He has also served as a board member of the MTA and the commissioner of finance for the city.
The commercial real estate community reacted favorably to the announcement. Bill Rudin, chairman of the Association for a Better New York, says in a statement: “As an experienced manager and public servant, Lhota will work every day to keep costs down and revitalize vital infrastructure, while keeping straphangers as a priority. The MTA is relied on each day by millions of New Yorkers, and together with Gov. Cuomo and Lhota, we will continue to improve public transportation here in New York.”
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