The MBTA Board has approved an FY10 budget that is balanced only if additional revenues are found. Without revenues, other actions such as service reductions and fare increases would be necessary. The Governor's reform plan dedicates 6 cents of the gas tax to maintain existing T services.
From the Budget Summary:
"The fiscal 2010 budget, although balanced, relies on an additional dedicated revenue source from the Commonwealth of $160 million. The Authority has already begun making contingency plans for a combination of a fare increase and service cuts for the next fiscal year in the event of there being insufficient dedicated revenues."
Read the budget summary.
The T hopes to avoid the unfortunate reality in other cities, as shown here.