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New York Transit Provider Eyes AI, Hybrid-Electric Vehicles

The Capital District Transportation Authority, which serves six New York state counties, is looking to integrate green energy buses, and is exploring AI-enabled cameras to identify maintenance needs.

In this piece of conceptual art, a white bus stopped near a red-tipped hedge has a blue "electric bus" graphic on its side.
Alexander Filon
(TNS) — The Capital District Transportation Authority plans to spend 2026 integrating hybrid-electric vehicles into its fleet, exploring more service options and dipping its toe into the use of artificial intelligence.

In his first State of CDTA address as CEO on Wednesday, Frank Annicaro outlined his vision for the transit authority, highlighting potential expanded services and new technology initiatives.

"CDTA is strong and moving forward with purpose," Annicaro said. "Our focus is simple: listen to our employees and customers, act and deliver results that make a real difference in the communities we serve."

Annicaro joined CDTA last May, replacing longtime CEO Carm Basile. He joined CDTA at a time when the organization faced a budget deficit of around $2.7 million. As a result, CDTA changed the schedules for a number of bus lines last year.

In an interview with the Times Union Thursday, Annicaro said CDTA currently faces uncertainty for the year ahead as it awaits a finalized state budget. CDTA's fiscal year follows the state budget year, which concludes at the end of March, Annicaro said.

"It's too early to speak to any upcoming changes," Annicaro said. "It would be great if there's additional money, because there's never enough to go around."

CDTA heavily relies on state transit operating assistance, Annicaro said. State operating assistance accounts for 52% of CDTA's operating budget, said Chief of Staff Jaime Kazlo.

In the wake of the coronavirus pandemic, CDTA, along with transportation agencies across the country, received federal assistance to support operations. That money has been exhausted, Annicaro said.

CDTA has seen ridership grow in the past few years. Its Special Transit Available Request, or STAR, paratransit service — available for people who are unable to use the CDTA fixed-route bus system because of a disability or impairment — recorded one of its highest ridership months ever in October 2025 with more than 36,000 riders, according to a CDTA news release. Its regional bike-share program, CDPHP Cycle!, also recorded its highest ridership year in 2025 with more than 100,000 rides.

Looking ahead, CDTA plans to explore opportunities to expand its FLEX On Demand microtransit service, which provides connections to destinations in Guilderland, southern Saratoga County and most recently, Saratoga Springs, according to the news release. It is also interested in redeveloping the Daily Gazette building on Maxon Road Extension in Schenectady into a modern bus facility and training center.

CDTA also looks to kick-start the integration of buses fueled by green energy into its diesel-fueled fleet. This includes utilizing a $32 million grant from the Federal Transit Administration that will be, in part, used to purchase around 20 hybrid-electric buses that will replace end-of-life diesel buses over the next few years, Annicaro said.

Riders can expect to start seeing the buses in early 2027, Annicaro said. They'll join a fleet of over 400 buses and vehicles, which Kazlo said includes 10 all-electric buses, with seven more to come this year.

"I'm excited about this because we continue to move toward our climate goals with more efficient, cleaner hybrid buses," Annicaro said. "We're able to create green zones with these buses. We can pick and choose whether they're running or not running with emissions."

Annicaro said 40% of the hybrid-electric buses' components will be built in New York, which he said further contributes to the local economy.

"Cities that are focused around transit-oriented development are more vibrant," Annicaro added. "The environment, the economy and public health are tenets of sustainable mobility."

As for the use of new technologies, Annicaro said CDTA is exploring the use of artificial intelligence-enabled cameras to identify shelter maintenance needs, which would be reported to CDTA in real time. Kazlo said CDTA currently has the cameras installed on two buses, which are being tested in a "proof of concept phase."

Once a finalized state budget is rolled out, Annicaro and CDTA will be announcing more changes.

"Stay tuned. Let's see what the state budget brings," Annicaro said.

©2026 the Times Union, Distributed by Tribune Content Agency, LLC.