NJ Transit Board approves funding measures for FY22

    July 26, 2021
    The board adopted a 2021 update to the Five-Year Capital Plan to continue the advancement of critical projects, along with authorizing funding for FY22 local and community transportation programs.
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    Funding for Fiscal Year 2022 for capital projects and local transportation programs was approved by the New Jersey Transit (NJ Transit) Board of Directors.  

    The board adopted the 2021 update to A Five-Year Capital Plan along with the FY22 authorization to secure funding. A Five-Year Capital Plan is an unconstrained vision of projects to demonstrate opportunities for safety, service, reliability, resiliency, sustainability and other improvements critical to NJ Transit. 

    “The Capital Plan is a comprehensive roadmap to building the next generation transportation system in New Jersey while maintaining current services,” said NJ Transit Board Chair Diane Gutierrez-Scaccetti. “It is critical that we make these investments in our infrastructure to power the future of sustainable transportation and deliver the world-class service that our customers expect and deserve.” 

    NJ Transit President and CEO Kevin Corbett added, “The Capital Plan update approved by our board represents another significant step forward for NJ Transit customers and the entire state of New Jersey. NJ Transit will build on the momentum of the [p]ast year to continue advancing projects that are transforming our system for our customers. In addition to the benefits to safety, reliability and the customer experience, the many advancing projects in our Capital Plan will be integral to the state’s economic recovery as we come out of the pandemic.” 

    The Capital Plan funds continue state-of-good-repair investments in transit stations and infrastructure, new and upgraded infrastructure, investments in the Northeast Corridor, fare modernization, safety initiatives, bus and rail car purchases.   

    The Capital Program continues to prioritize investments in infrastructure to maintain an overall state-of-good repair, enhance reliability, safety, and resiliency, as well as improve the overall customer experience on the system.  

    A Five-Year Capital Plan contains two sets of projects – the first set includes projects already funded by existing or expected resources. The second set identifies proposed projects for which funding has yet to be identified but vital to NJ Transit’s service delivery. 

    NJ Transit says it continues to aggressively advance its zero-emissions bus program with the release of its plan to meet a 100 percent zero-emission bus fleet by 2040 earlier this year. The plan is highlighted by several key efforts, including the release of a Request for Proposals (RFP) from qualified consulting firms for the Bus Garage Modernization Program and the grant award for $5.15 million in federal funding to acquire up to four additional battery electric buses to be used in the Newark region. NJ Transit also remains on track to award a contract for the purchase of eight electric buses in Camden by the end of this year. 

    Two notable milestones were reached in FY21. NJ Transit achieved certification of its Positive Train Control (PTC) system by the Federal Railroad Administration ahead of the federally mandated Dec. 31, 2021, deadline. NJ Transit also executed a Full Funding Grant Agreement (FFGA) in the amount of $766.5 million with the Federal Transit Administration (FTA) to fund a critical $1.897 billion mega-project to build a new, fixed, two-track railroad bridge across the Hackensack River. 

    Capital construction activity continues at a brisk pace with two major construction projects: The Long Slip Fill and Rail Enhancement Project (total project cost $195 million) and the Raritan River Bridge Replacement project (total cost $595 million).   

    Other major active construction projects underway include the Elizabeth Station project (total cost $71 million), the Lyndhurst Station project (total cost $31.6 million), the Market Street Bus Garage (total cost $27 million) and the Bus Operations Control Center (total cost $18 million). Other rehabilitation projects – Perth Amboy Station Improvements (total cost $47 million), Lackawanna Cut-off (total cost $62 million) and Hoboken Yard Signal/Wayside Power Repair (total cost $93.9 million) are scheduled for award during this current fiscal year. 

    Funding for FY22 local transportation programs approved 

    The board also authorized the expenditure of $49.7 million in federal and state funds to implement local transportation programs for FY22, providing critical services for senior citizens, persons with disabilities, the economically disadvantaged and rural residents. Each of the programs extends or complements existing NJ Transit services. 

    “NJ Transit is grateful for the approval of this vital funding, which will allow local transportation service providers to better serve seniors, people with disabilities, working families and those who are transit-dependent across our state,” said Corbett. “These funds provide access to invaluable public transit options for New Jersey’s most vulnerable residents, allowing them to get to jobs, doctor’s appointments and everywhere they need to go.” 

    NJ Transit partners with all 21 New Jersey counties to fund community transportation programs. These programs assist a variety of private non-profit organizations, counties, municipalities, county improvement authorities and NJ Transit in meeting the mobility needs of New Jerseyans who depend on public transportation. 

    These programs include the following:  

    • $22.3 million from the Casino Revenue Fund to operate the Senior Citizen and Disabled Resident Transportation Assistance Program (SCDRTAP). 
    • $9.6 million for FTA Section 5310 programs, which provide federal funds for operating expenses as well as the purchase of vehicles and related equipment by private, non-profit agencies and designated public entities. This includes $1.7 million in state funding to support local matching fund requirements. 
    • $5.5 million for FTA Section 5311 programs, which provide federal funds for capital, administrative and operating assistance for public transportation services in and between small urban and rural areas of New Jersey. This includes $2 million in state funding to support local matching fund requirements. 
    • $132,157 in federal funding for the Rural Transit Assistance Program, which provides training and technical assistance for small transit operators receiving funding through NJ Transit’s Local Programs. 
    • $666,969 for FTA Section 5311 Rural Intercity Bus Transportation Program 
    • $5.5 million for the New Jersey Jobs Access and Reverse Commute (NJ-JARC) Program under which counties provide public transportation services to help residents obtain community transportation to employment opportunities. 
    • $6 million in other funds passed through to sub-recipients.