PANYNJ approves 2026-2035 Capital Plan, 2026 Annual Budget

The Port Authority of New York and New Jersey (PANYNJ) Board of Commissioners approved a $45 billion 2026–2035 Capital Plan, a record budget for the authority. The plan seeks to complete major initiatives from the 2017–2025 Capital Plan and advance a new generation of projects intended to modernize, strengthen and expand the agency’s infrastructure around the region.

The plan will fund both the completion of major projects already underway, including the new Midtown Bus Terminal, the transformations at John F. Kennedy International Airport (JFK) and Newark Liberty International Airport (EWR), and the PATH Forward program, as well as significant PATH service increases, new initiatives such as EWR’s new Terminal B, improved mass transit access to LaGuardia Airport (LGA) and a rebuild of the non-landmarked gate areas of LGA’s Terminal A.

“The board’s approval of this capital plan sets in motion a historic decade of activity for the Port Authority and for the region we serve,” said PANYNJ Board Chair Kevin O’Toole. “We are charting the next phase of a century-old mission defined by dreaming big, solving hard problems and connecting millions of people to opportunity. This plan builds on the trust and momentum earned by delivering complex projects to a world-class standard. Through this visionary plan and the transformative work we continue to do, we are setting a new standard for the region and raising the bar for what public agencies can accomplish.”

The authority says sustained investment in the region’s infrastructure is necessary to ensure it keeps pace with growth, climate resiliency and security needs. PANYNJ notes it is a self-sustaining agency and receives no taxpayer funding from either New York or New Jersey. Two-thirds of its revenues are generated from non-toll and non-fare sources such as landing and dockage fees, lease payments and other charges to businesses operating at its facilities.

Over the past decade, PANYNJ has delivered a wave of projects:

• A new LaGuardia, a new Terminal A at Newark Liberty and a new JFK under construction;
• A new Midtown Bus Terminal is advancing, the George Washington Bridge rehabilitation is more than 60% completed, the Goethals Bridge was rebuilt and the Bayonne Bridge roadway was raised to allow for navigation of next-generation ships to the Port of New York and New Jersey while extending the bridge’s useful life by 100 years;
• Continued growth at the seaport aided in part by investment in intermodal rail connections;
• Continued infrastructure investments to make the 117-year-old PATH system more reliable; and
• Keeping the World Trade Center campus thriving with office space and cultural offerings.

The approved 2026-2035 Capital Plan continues the infrastructure program started in 2017 by delivering:

• A new Midtown Bus Terminal to replace the outdated existing 75-year-old terminal;
• Completion of a new aviation hub at JFK Airport and a major upgrade of the AirTrain JFK system;
• A transformed EWR anchored by a new Terminal B, a new AirTrain Newark and the further implementation of the EWR Vision Plan;
• Preserving LaGuardia Airport’s landmarked Marine Air Terminal while upgrading the attached non-landmarked 1980s-era concourse and boarding area in Terminal A; and
• A new era for PATH, with major service increases: more direct service, more frequency and better reliability.

The approved 2026-2035 Capital Plan provides funding for large capital projects as well as PANYNJ’s $2.7 billion contribution to the Gateway Program and its state-of-good-repair program, including the rehabilitation of the George Washington Bridge and extensive rehabilitations of the Lincoln Tunnel Helix and Outerbridge Crossing. The plan also takes steps in agency initiatives across sustainability, innovation and security— both physical and cyber — to protect agency infrastructure and the public it serves in a challenging, ever-evolving security landscape.

“With this capital plan now officially adopted, the Port Authority enters a new chapter grounded in sustained investment and a proven record of execution,” said PANYNJ Executive Director Rick Cotton. “Over the last decade, this agency has shown what it can deliver, turning ideas into concrete realities such as award-winning terminals, rebuilt bridges, modernized transit hubs and renewed infrastructure serving millions every day. The approved plan builds directly on that momentum. It will advance projects that improve reliability, shorten travel times, elevate the passenger experience and prepare our region for the next century of growth and innovation.”

In addition to approving its capital plan, the PANYNJ Board of Commissioners also approved the agency’s 2026 annual budget, coming in at a total of $10 billion, which includes $4.2 billion for operating expenses; $4 billion in capital spending; $1.7 billion in debt service payments; and a record $1.1 billion allocated to safety and security.

“For more than a century, the Port Authority has been the architect of this region’s most consequential infrastructure, and the 2026–2035 Capital Plan carries that legacy forward with ambition and dedication,” said PANYNJ Board Vice Chair Jeffrey Lynford. “This plan provides the foundation to modernize, expand and protect the facilities that anchor our economy. From airports and bridges to ports and transit systems, these investments will deliver stronger, more resilient, and best-in-class gateways for the millions who rely on them every day.”

Since the COVID-19 pandemic, PANYNJ says it has been navigating one of the most difficult operating environments in its history. The pandemic erased $3 billion in revenue for the agency, forcing it to implement significant capital spending delays and cost-cutting measures. Inflation, supply-chain issues and tariffs drove up the cost of steel, concrete and electrical components, while rising interest rates increased borrowing costs. A lack of federal COVID-19 relief for the PATH system, combined with ridership losses, required the agency to come up with additional funding to sustain operations. Despite these challenges, the agency says it pushed forward the vast majority of its agenda from its previous 10-year capital plan.

Initiatives of the 2026-2035 Capital Plan for PATH include:

The 2026-2035 Capital Plan is designed to drive one of the largest service increases in PATH history. This is set to include more frequent rush hour service, more frequent late-night weekend service and reinstating direct weekend service at: Journal Square-33rd Street, Hoboken-33rd Street and Hoboken-World Trade Center. The plan also funds all new uptown tracks, making infrastructure investments to enable faster and more reliable service and the installation of new fare gates to combat fare evasion.

For the first time in 25 years, all four PATH lines are set to operate seven days a week in 2026. The 2026-2035 Capital Plan funds a series of service increases:

• Significant increase in weekend service to 33rd Street starting in 2026, with additional increases in 2027.
• Direct weekend service on Journal Square-33rd Street and Hoboken-World Trade Center lines by mid-2026.
• Increase in morning rush hour service on Hoboken-World Trade Center line in 2026.
• Doubling Friday late-night service to match Saturday late-night service in mid-2026.
• Additional trains during morning and evening rush hours and weekend daytimes on Newark-World Trade Center line in the first half of 2027.

As part of the 2026-2035 Capital Plan, the agency is committing to take action to prevent fare evasion. The plan also funds technology upgrades, including CCTV and artificial intelligence alongside the new fare gates, to identify patterns of fare evasion and develop targeted strategies to deter evasion and enforce fare payment.

Funding: Fares cover only about 25% of the cost of each ride. To sustain operations and fund major service increases, the 2026-2035 Capital Plan includes a fare increase of $0.25 beginning in summer 2026, with additional $0.25 increases each January from 2027 through 2029.

Approved 2026 annual budget

The PANYNJ Board of Commissioners also approved the agency’s 2026 budget totaling $10 billion. Of that, $4 billion  is capital funding that’s set to begin advancing work outlined in the 2026-2035 Capital Plan. Capital funding in the 2026 budget is 11% above capital funding in the 2025 budget. This includes the ongoing transformation of JFK, a major ramp-up in construction of the new Midtown Bus Terminal, a new entry point to AirTrain Newark’s Airport Train Station opening by the end of 2026, continued work on the new AirTrain Newark, improved reliability of PATH’s railcar fleet and track infrastructure and continued funding for work to keep the agency’s infrastructure in a state-of-good repair.

Operating funds in the 2026 budget total $4.3 billion, funding the day-to-day operations of the system that will include PATH service increases. The agency is projecting increased passenger and cargo volumes in 2026, including a record of over 148 million passengers at its airports, 122.4 million vehicles at its bridge and tunnel crossings, 62 million riders on PATH across the year to reach a new high of 75% of pre-pandemic levels, 8.5 million twenty-foot equivalent units at the seaport and 60 million visitors to the World Trade Center campus. The budget also includes $1.7 billion in debt service payments to meet the Port Authority’s debt obligations.

Additional details on the 2026 budget along with plans for airports, roads and bridges and the seaport can be found on PANYNJ’s website.