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Bus drivers in Pittsburgh say they're heading down a different road than the 5,300 drivers on strike in Philadelphia, even though the labor disputes -- over medical benefits and pensions -- are similar.

Port Authority of Allegheny County and the union representing its 2,200 drivers and maintenance employees are expected to exchange contract proposals Thursday.

Both sides expressed optimism about settling the biggest issue: the authority's proposal for employee co-payments on health insurance. Other issues include wage increases, pension contributions and whether to privatize some bus routes and bus maintenance. Neither side would disclose specifics.

"We remain hopeful of reaching an agreement at the bargaining table," said Port Authority spokesman Bob Grove.

Pat McMahon, president of the union's Local 85 office, said he remains positive about tomorrow's meeting. But he said union employees who have been working without a contract since June 30 are mindful of the three-day-old strike by Southeastern Pennsylvania Transportation Authority employees.

In Philadelphia, SEPTA officials said talks broke off because union leaders rejected the agency's health-care offer, which would have required employees to pay 5 percent of the premium. Workers currently pay nothing, SEPTA said. Other issues include wages, pension contributions and work rules.

Port Authority has said it needs to cut at least $19 million from employee benefits to balance its $320 million budget for the fiscal year that started July 1.

Port Authority workers last went on strike for 28 days in March and April 1992. Local riders say a repeat transit strike in Pittsburgh would be miserable.

Betty Bonner, of the North Side, rode a bus to the Cedar Avenue Giant Eagle, North Side, yesterday and later to a doctor's appointment. She also rides the bus daily to and from work.

"I'd have to pay a jitney $15 one way if they went on strike," she said. "It'd be devastating."

SEPTA's strike has stalled Philadelphia and its suburbs. About 5,300 Transport Workers Union and United Transportation Union workers walked off the job early Monday. Many commuters stayed home; others walked, pedaled bicycles and hitched rides to work and school after the city's buses, subways and trolleys halted.

SEPTA is the fifth largest transit system in the U.S., serving 460,000 riders daily in a five-county region. Port Authority ranks 15th, with 228,000 riders daily in Allegheny County and portions of four surrounding counties.

One in three Philadelphia households, or 36 percent of the population, relies on public transportation, similar to Pittsburgh's 31 percent, according to a U.S. Census-based report by Bikes at Work Inc., a Washington, D.C., manufacturer.

The Port Authority and union officials in September rejected a state mediator's recommendations for resolving the contract dispute. McMahon since has said he believes a compromise is possible after having positive meetings later that month with acting Port Authority CEO Dennis Veraldi.

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