City Council members today are expected to review the findings of a panel looking into new ways of raising money for the Metropolitan Transportation Authority.

The Transportation and Finance Committees are meeting to take up a report by the Ravitch Commission, headed by former MTA Chief Executive Officer Richard Ravitch.

The report called for new payroll taxes, smaller fare hikes, and new tolls on the East River and Harlem River bridges.

This comes a day after the MTA's Finance Committee approved the agency's "doomsday" budget plan, which includes a massive fare hike and deep service cuts. However, there is a sliver of good news.

Under the plan approved by an MTA board subcommittee, express bus fares would go from $5 a ride to $6.25, compared to the $7.50 first proposed.

MTA officials say they are hoping to scale back cuts and fare hikes if the state acts on the Ravitch Commission's suggestions.

"No one sitting around this table likes this, no one. And I'm sure no politician likes it either. But the reality is that we have a budget deficit that's at least a $1.2 billion," said MTA Chairman Dale Hemmerdinger. "This is the fairest way that we can figure out to deal with that problem."

"If the Legislature does not act, we have to be in a position to implement this," said MTA CEO and Executive Director Elliot "Lee" Sander. "Obviously, our greatest hope is that that's not the case."

The full MTA board will take up the budget proposal at its meeting tomorrow morning.