The MTA now says a plan to cut back weekend subway service can be avoided, if Albany lawmakers act on a plan to shore up the agency’s $1.2 billion budget gap.

Last week, the MTA said it was moving forward with plans to reduce the scheduled frequency of weekend subway service on most of the lettered lines, beginning in June.

But the agency has since reversed course and now says it will drop the plan, if lawmakers come through with a rescue plan for the cash-strapped agency.

While there is still no deal in place, MTA staff met Wednesday with representatives of the Senate, Assembly and Governor Paterson.

In a released statement, the MTA said, “Significant progress was made today. We have agreed to do additional analysis and reconvene in Albany tomorrow morning for further discussions.”

It now appears unlikely lawmakers will take action by the end of this week, as had been hoped, but state leaders are still optimistic a deal will get done.

“Our desire and I believe the senate’s desire is to make sure that the actions of the board of directors, of the MTA, in putting forth their doomsday budget never happen,” said Assembly Speaker Sheldon Silver.

The MTA says it will move forward with plans to raise fares and cut service unless Albany acts by March 25.

(Source: NY1)