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The Metropolitan Transportation Authority of Harris County, Texas (METRO) recently adopted a $650 million fiscal-year 2007 budget.

The $288 million operating budget, up $14 million compared with FY2006, includes funds to hire 20 more police officers and increase bus service.

The $363 million capital budget — up $203 million compared with FY2006 — includes funds to conduct engineering and design work for the METRO Solutions Phase 2 light-rail system extension. The board recently selected a preferred route for the Southeast Corridor, which will run from downtown Houston south along Wheeler and Martin Luther King Blvd. METRO now can begin working on the final environmental impact statement and final design for the six-mile corridor.

In addition, the board approved a plan to restructure fares. Base ticket prices will still cost $1, but some discounts will be eliminated and METRO will offer an incentive program that gives passengers five free trips for every 50 paid fares.