The Port Authority of New York and New Jersey’s passage of its largest ever capital plan on Thursday didn’t come without reservations from at least one of its board members.
During a public board meeting at the bistate agency’s lower Manhattan headquarters, Ken Lipper, a Port Authority commissioner appointed by Governor Andrew Cuomo, repeated his opposition to part of the $32 billion plan. At issue was over $3 billion of spending reserved for an extension of the PATH to the AirTrain system serving Newark Airport, as well as a new AirTrain from Willets Point to LaGuardia Airport.
Lipper, who aired pointed criticism for the projects during a board meeting in December, reasserted his concerns that the two rail links would serve only a small group of riders, would be money losers for the Port and potentially damage its credit rating and fiscal health.
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“It will strain the Port Authority,” said Lipper, who in his remarks suggested the two projects together will actually cost $4 billion. “I believe $4 billion could be spent where there’s greater demand for our services and where there’s ridership.”
The Port Authority has not yet conducted definitive ridership studies for the rail links that could confirm or refute Lipper’s criticism, even though both projects have been discussed for years.
“What hasn’t been done—and it should have been done—is an analysis of the ridership and data that would provide a better analytical base for spending the money,” the Port Authority’s New Jersey appointed chairman John Degnan told Crain’s.
But Degnan said the board, including Lipper, ultimately voted unanimously in support for the capital plan because it allows projects to be further reevaluated before they actually break ground and require the agency to spend money.
“There will be several points over the next few years where the board will be called on to advance these projects further and the next time they’ll be revisited there will be more ridership data available and more cost updates and more certainty around the projected costs,” Degnan said. “That’s why all of us were comfortable, including Ken, voting for the capital plan.”
Some transit watchdogs argue that the unproven projects should have been weeded out of the capital plan.
“There are so many issues with PATH right now, we feel the money is better spent elsewhere in the system,” said Janna Chernetz, the director of New Jersey policy for the Tri-State Transportation Campaign.
Chernetz argued that the money for the PATH extension and LaGuardia AirTrain would be better spent extending the platforms at PATH stations to allow PATH trains to be extended to 10 cars from eight.
“PATH trains are running at 95% capacity and if you look at all the large-scale residential development in Jersey City, it’s obvious there’s going to be a huge increase in ridership soon,” Chernetz said.
Chernetz also said she believed more money should be spent on the bus terminal, which received $3 billion of Port Authority funds in the 10-year capital plan and $500 million of federal money.
Another transit group, the Regional Plan Association, conducted a study in 2011 that predicted a large portion of PATH’s eventual ridership would be carried by the extension to the Newark AirTrain, which, coupled with a new parking garage, could allow more riders to drive to the link and commute into Manhattan on that system.
Despite the potential pros and cons of the projects, Degnan pointed out that the PATH extension was a priority of New Jersey Governor Chris Christie and LaGuardia AirTrain a favorite of Gov. Cuomo.
“They’re entitled to ask us to include projects in the capital plan,” Degnan said. “They hold veto power over the budget.”
The Port Authority of New York and New Jersey’s passage of its largest ever capital plan on Thursday didn’t come without reservations from at least one of its board members.
During a public board meeting at the bistate agency’s lower Manhattan headquarters, Ken Lipper, a Port Authority commissioner appointed by Governor Andrew Cuomo, repeated his opposition to part of the $32 billion plan. At issue was over $3 billion of spending reserved for an extension of the PATH to the AirTrain system serving Newark Airport, as well as a new AirTrain from Willets Point to LaGuardia Airport.
Lipper, who aired pointed criticism for the projects during a board meeting in December, reasserted his concerns that the two rail links would serve only a small group of riders, would be money losers for the Port and potentially damage its credit rating and fiscal health.
“It will strain the Port Authority,” said Lipper, who in his remarks suggested the two projects together will actually cost $4 billion. “I believe $4 billion could be spent where there’s greater demand for our services and where there’s ridership.”
The Port Authority has not yet conducted definitive ridership studies for the rail links that could confirm or refute Lipper’s criticism, even though both projects have been discussed for years.
“What hasn’t been done—and it should have been done—is an analysis of the ridership and data that would provide a better analytical base for spending the money,” the Port Authority’s New Jersey appointed chairman John Degnan told Crain’s.
But Degnan said the board, including Lipper, ultimately voted unanimously in support for the capital plan because it allows projects to be further reevaluated before they actually break ground and require the agency to spend money.
“There will be several points over the next few years where the board will be called on to advance these projects further and the next time they’ll be revisited there will be more ridership data available and more cost updates and more certainty around the projected costs,” Degnan said. “That’s why all of us were comfortable, including Ken, voting for the capital plan.”
Some transit watchdogs argue that the unproven projects should have been weeded out of the capital plan.
“There are so many issues with PATH right now, we feel the money is better spent elsewhere in the system,” said Janna Chernetz, the director of New Jersey policy for the Tri-State Transportation Campaign.
Chernetz argued that the money for the PATH extension and LaGuardia AirTrain would be better spent extending the platforms at PATH stations to allow PATH trains to be extended to 10 cars from eight.
“PATH trains are running at 95% capacity and if you look at all the large-scale residential development in Jersey City, it’s obvious there’s going to be a huge increase in ridership soon,” Chernetz said.
Chernetz also said she believed more money should be spent on the bus terminal, which received $3 billion of Port Authority funds in the 10-year capital plan and $500 million of federal money.
Another transit group, the Regional Plan Association, conducted a study in 2011 that predicted a large portion of PATH’s eventual ridership would be carried by the extension to the Newark AirTrain, which, coupled with a new parking garage, could allow more riders to drive to the link and commute into Manhattan on that system.
Despite the potential pros and cons of the projects, Degnan pointed out that the PATH extension was a priority of New Jersey Governor Chris Christie and LaGuardia AirTrain a favorite of Gov. Cuomo.
“They’re entitled to ask us to include projects in the capital plan,” Degnan said. “They hold veto power over the budget.”
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