NJ TRANSIT ADOPTS FISCAL YEAR 2019 OPERATING, CAPITAL BUDGETS
August 8, 2018
NEWARK, NJ — The NJ TRANSIT Board of Directors today adopted a Fiscal Year 2019 (FY 2019) operating budget and capital program that supports continued investments in personnel, infrastructure and equipment to maintain the system in a state-of-good repair, and enhance the overall customer experience.
“These budgets are the result of the firm commitment from Governor Murphy to investing in and improving public transportation and infrastructure,” said New Jersey Department of Transportation Commissioner and NJ TRANSIT Board of Directors Chairperson Diane Gutierrez-Scaccetti.
The Board adopted a $2.32 billion operating budget and a $1.46 billion capital program for FY 2019.
This budget does not include a fare increase for FY 2019.
“The operating and capital budgets represent balanced, fiscally-sound spending plans, which keep fares stable and allow for long-needed investments as we continue our commitment to safety,” said NJ TRANSIT Executive Director Kevin Corbett. “This budget will allow us to continue to serve the needs of our customers who rely on NJ TRANSIT for life’s everyday commitments.’’
More than 40 percent of the revenue in the FY 2019 operating budget comes from passenger revenue. The remaining amount comes from a combination of state and federal resources. Total operating assistance increases by $167 million, reflecting Governor Phil Murphy’s commitment to providing an adequate funding level that will help meet the operating needs of the agency.
The capital program funds continue state-of-good-repair investments in transit stations and infrastructure, investments in the Northeast Corridor, safety initiatives, Positive Train Control installation, system expansion, and support for local mobility programs.
Operating Budget
Approximately 60 percent of the operating budget is dedicated to costs associated with labor and fringe benefits. Other significant expenses include contracted transportation services and fuel, power, and materials, which together comprise approximately 25 percent of the operating budget. The budget also allows for the expansion of personnel in key areas within bus, rail, light rail, police operations, and strategic administrative support services. These critical positions include training instructors, trainmasters, road foremen, regional supervisors, engineers, and conductors.
Capital Program
The FY 2019 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.
With the FY 2019 capital program, NJ TRANSIT continues its financial commitment to PTC and meeting federal milestones by the end of 2018. The capital budget includes a $23 million installment for NJ TRANSIT’s ongoing efforts to install PTC. Approximately $291 million will be invested in rail Infrastructure Improvement needs, including $17 million for bridges, $3 million for Brielle Drawbridge Replacement Design, $14 million for Portal Bridge North, and $80 million for Passenger Rail Investment and Improvement Act (PRIIA).
The program continues to invest in railroad bridge rehabilitation, track replacement, signal upgrades, repairs to overhead power lines, and electric substations as well as investments into the state-of-good-repair of the Northeast Corridor (NEC),
the agency’s most utilized rail line.
Additional highlights of the capital program include approximately $30 million in rail station improvements: $9 million for Elizabeth Station improvements, $4 million for Perth Amboy Station, and $7 million for other station and terminal improvements, inspections, and repairs.
The program also supports continued investment in rolling stock renewal, with $107 million invested in rail rolling stock improvements which includes $5 million to continue funding for locomotive overhauls to maintain reliability and $102 million for the purchase of 113 Multilevel III and 17 Dual Power Locomotive rail vehicles. Additionally, there will be $151 million invested in bus and light rail infrastructure improvements which comprises $7 million for Access Link Bus Replacement, $7 million in Market Street Garage Rehabilitation work, $9 million for the Capital Asset Replacement Programs for both the Newark Light Rail and Hudson-Bergen Light Rail systems, $6 million on Ferry National Transit Database (NTD) Capital Improvements and $100 million for cruiser bus replacement.
A total of $148 million will be invested in systemwide improvements including $6 million for safety improvements and $11 million for technology improvements. The budget allows for $39 million in system expansion improvements including $34 million for the Hudson-Bergen Light Rail (HBLR) Northern Branch expansion, $2 million for the HBLR Route 440 Improvement, and $3 million for transit rail initiatives.
Also, there will be continued support for local mobility programs. A $40.7 million portion of the budget will provide funding for enhanced mobility services for senior citizens and those with disabilities in both urban and rural areas.
Approximately 54 percent of the capital budget comes from the Transportation Trust Fund (TTF), with 41 percent from the Federal Transit Administration (FTA) and Federal Highway Administration (FHWA) and 5 percent from other sources.
About NJ TRANSIT
NJ TRANSIT is the nation's largest statewide public transportation system providing more than 944,000 weekday trips on 251 bus routes, three light rail lines, 12 commuter rail lines, and through Access Link paratransit service. It is the third largest transit system in the country with 165 rail stations, 62 light rail stations, and more than 18,000 bus stops linking major points in New Jersey, New York, and Philadelphia.
This document and others are available for translation on njtransit.com.