There would be no operating subsidy from the city.

The measure would also continue the practice of providing operating subsidies for big city transportation programs.

The ships would receive an annual operating subsidy of £75,000 each plus a mail contract worth £68,000.

That would enable the company to meet its deadline of no operating subsidy by 2002.

The route is the only in the country not to receive any operating subsidies.

But the deal has been delayed by negotiations over a future operating subsidy from the county, officials said.

The Administration now wants to eliminate the operating subsidies for large transit systems, which carry nearly all of the nation's riders.

The state share, assuming an operating subsidy of $193.5 million, would drop, to just below 33 percent.

(The authority's operating subsidies might be cut nearly 20 percent.)

Municipalities were not expected to contribute to the capital cost of the projects, but would be responsible for any operating subsidies required.