BOSTON -- Record-high gas prices are giving the Massachusetts Bay Transportation Authority a ridership boost, but fuel costs are also causing problems for the cash-strapped agency.

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On paper, the MBTA appears right on track. For the first time in three years, more than 400,000 people per day are hopping on "T" buses as they look for cheaper ways to get around.

Overall weekday ridership was also up 5 percent in May over the same month last year, and 600,000 fewer vehicles used the Massachusetts Turnpike during the same month.

The number of people riding MBTA commuter rails also increased by 2.6 percent over May 2007, the third straight month it's grown.

But the skyrocketing price of fuel is also costing the MBTA $28 million extra, and it's money that's reportedly not in the budget.

Riders now fear the agency may consider cutting services or will institute another fare hike, according to the Boston Herald.

A member of the T's advisory board said fares only make up 30 percent of the agency's revenue and most of its funds come from the sales tax. The problem is, fuel expenses are just too high right now.

The MBTA's Rider Oversight Committee is also concerned, so much so that it plans to send a letter to the governor and legislators blowing the horn on a possible budget derailment.