By JAMES FINK
jfink@bizjournals.com | 716-541-1611

On the eve of a new fiscal year, the Niagara Frontier Transportation Authority's board of commissioners approved a 2011-12 budget that holds the line of fares for its bus and Metro Rail riders while maintaining its current work force and operations.

"It is a fair budget," said Kim Minkel, executive director.

The $192.7 million budget includes $42 million in state aid pledged to the authority. She said the level of state aid between fiscal 2010-11 and 2011-12 remained level.

"We're happy with that," she said.

However, while commissioners approved the NFTA's new budget, which takes effect April 1, they also are preparing for uncertainty looking forward.

The five-year plan will address a myriad of factors ranging from changes in ridership or those using either the Buffalo Niagara International Airport and Niagara Falls International Airport to rising operational costs and cuts in public-sector aid.

Also being considered are annual salary increases, as dictated by existing union contracts, and yearly health insurance increases. Also, rising costs for transit fuel and other supplies.

"The ensuing years look like they are going to be an enormous challenge," said Henry Sloma, NFTA interim chairman.

The five-year plan will serve as an operational blueprint for the NFTA, he said. It will also be fluid to allow for unforeseen changes.