Log in
E-mail
Password
Remember
Forgot password ?
Become a member for free
Sign up
Sign up
Settings
Settings
Dynamic quotes 
OFFON

MarketScreener Homepage  >  News  >  Economy & Forex  >  All News

News : Economy & Forex
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance ProfessionalsCalendarSectors 
All NewsEconomyCurrencies / ForexCryptocurrenciesEconomic EventsPress releases

Port Authority of New York and New Jersey : STAFF SUBMITS REASSESSMENT OF 10-YEAR CAPITAL PLAN TO BOARD OF COMMISSIONERS

share with twitter share with LinkedIn share with facebook
share via e-mail
0
06/25/2019 | 05:51pm EDT

PORT AUTHORITY STAFF SUBMITS REASSESSMENT OF 10-YEAR CAPITAL PLAN TO BOARD OF COMMISSIONERS

Date: Jun 25, 2019
Press Release Number: 106-2019

Recommends new funding for: new AirTrain Newark; PATH Improvement Plan; and electric vehicle infrastructure

Includes additional funding for AirTrain LGA

Adjusts Capital Plan to take account of prior Board action regarding JFK Redevelopment and Newark Terminal One

Includes incremental funding to plan a new Terminal Two at Newark Liberty International

Vast majority of proposed increases - 94% - would be funded with incremental project revenue

Plan approved in 2017 requires review every two years to evaluate all projects, priorities and capital capacity;

Series of six public hearings (three in New York, three in New Jersey) to solicit input on proposed adjustments

The Port Authority today advanced its biennial reassessment of its 2017-2026 Capital Plan. The proposal will be presented to the Board of Commissioners at its June 27th meeting with the recommendation that the Board publish the proposal for public hearings. The major elements of the reassessment are:

  • A brand new AirTrain Newark and additional dollars for AirTrain LaGuardia, both projected to be funded by incremental project-related revenue
  • Addition of three new projects: PATH Improvement Plan; electric vehicle infrastructure; and planning for a new Newark Liberty Terminal Two
  • Adjustments to the Capital Plan regarding JFK Redevelopment and Newark Terminal One to take account of prior Board actions and funded by incremental project-related revenue

The proposed reassessment also evaluated the state of good repair projects in the agency's portfolio to ensure adequate progress, proper prioritization, and sufficient capital capacity. Of the proposed $4.8 billion increase, approximately $4.5 billion, or 94% of the increase, is projected to be funded by additional project-related revenues, including revenue increases from the following: terminal rents; airline cost recoveries; user fees; anticipated receipt of passenger facility charges; Hurricane Sandy recovery; and airport improvement grants associated with certain projects.

The formal reassessment of its ten-year, 2017-2026 Capital Plan is required every two years by prior Board resolution, adopted at the time the Board approved the Capital Plan.

The table below depicts the main adjustments proposed to the 2017-2026 Capital Plan:

Project
($ in millions)
Increase 2017-2026 Reassessed Capital Plan
Major Projects (projected to be funded by new project revenue):
New AirTrain Newark
JFK Redevelopment
AirTrain LGA
EWR Terminal One Redevelopment

$1,640
1,900
390
350

$2,050
2,900
2,050
2,700
New Projects:
PATH Improvement Plan
Electric Vehicle (EV) Infrastructure
EWR Terminal 2 Redevelopment Planning

200
50
35

200
50
35
Remaining projects in the 2017-2026 Capital Plan 235 27,015
Net Total 2017-2026 Reassessed Capital Plan $4,800 $37,000

The Capital Plan reflects the agency's core transportation mission and commitment to rebuilding the region's aging infrastructure with 21st century facilities designed to dramatically enhance customer experience at a time of continuing record passenger growth. In the first two and a half years since the Plan's adoption, demonstrable progress has been achieved including:

  • Completion and opening of the Goethals Bridge and the Bayonne Bridge, the Port Authority's first new bridges in 87 years
  • Opening of the first new 18-gate concourse as part of the complete rebuilding of LaGuardia Airport, the first new airport to be built in the U.S. in 25 years
  • Groundbreaking for Newark Liberty Airport's new Terminal One to replace the long-outdated Terminal A
  • Opened the new head houses of the Harrison Station over the last 8 months - the first new PATH station in New Jersey in more than two decades

'The Port Authority is committed to delivering real-world results as we rebuild the region's infrastructure at unprecedented levels of investment,' said Port Authority Chairman Kevin O'Toole. 'Our customers expect and deserve 21st century facilities and the proposals before the Board allow for the already tangible progress to continue as we raise the bar at our facilities across the region.'

'The Port Authority's legacy facilities have been subpar for decades. Both the original 2017-2026 Capital Plan and the modifications we are recommending today provide for extraordinary and unprecedented levels of investment needed to replace and upgrade our facilities to meet the standards of 21st century infrastructure,' said Port Authority Executive Director Rick Cotton. 'And the agency is starting to deliver. Everyone can see projects moving forward in the real world. Two brand new bridges - the Goethals and Bayonne - have been completed and opened to the public within the last 10 months. Six months ago, LaGuardia opened a brand new 18 gate concourse, and Newark Airport broke ground on a brand new Terminal One. We are committed to rapid progress on all our critical capital projects to deliver transportation infrastructure that the region deserves. This Capital Plan reassessment is part of that commitment.'

Increases to Major Projects

The proposed increases to major projects are all projected to be funded through additional revenues associated with these projects.

  • New AirTrain Newark ($1.64 billion increase; $2.05 billion total): The reassessed Capital Plan provides for a new AirTrain Newark for $2.05 billion. This represents an entirely new project. The new AirTrain project replaces the planned spending of $300 million to keep the old AirTrain in a state of good repair. The increase is informed by previously authorized planning efforts and will be covered by: airline cost recoveries; rental car fees; future period PFCs; farebox revenue; and $110 million of reduced spending elsewhere in the Aviation Capital Plan. This major new commitment is in direct response to a request from Governor Murphy. The proposal targets a start to construction in late 2020 or early 2021.
  • JFK Redevelopment ($1.9 billion increase; $2.9 billion total): With respect to the already announced JFK Redevelopment Project, this change represents the technical Capital Plan provision catching up with the authorizations made by the Board in October 2018. Approximately $2.9 billion of the $13 billion JFK project will be spent on Port Authority infrastructure, e.g. roadways; airfield improvements; a ground transportation center; and utilities and electrical substations. The original 2017-2026 Capital Plan provided $1 billion for spending on PA infrastructure. This incremental cost of $1.9 billion is projected to be funded from private sector sources - rental revenue from private terminal developers and airline cost recoveries. The contribution from private capital remains at $12 billion of the $13 billion total cost of the redevelopment program, as reflected in the Board's October 2018 approval.
  • AirTrain LGA ($390 million increase; $2.05 billion total): The reassessed Capital Plan provides for a $2.05 billion project to build an AirTrain to serve LaGuardia Airport. The current capital plan included $1.5 billion in spending for this project. The revised project cost is informed by the planning efforts and preliminary engineering analysis underway as a result of previously authorized spending by the Board. The increase to the Capital Plan is $390 million, net of $160 million of reduced spending on other Aviation projects. This increase is projected to be covered by multiple sources, including: farebox revenue; airline cost recoveries; and future period PFCs.
  • Newark Liberty Terminal One Redevelopment ($350 million increase; $2.7 billion total): In February 2018 the Board reauthorized this project because the total cost to complete the project increased by $350 million to $2.7 billion due to market conditions increasing construction costs. The additional funds required for this increase are projected to be fully provided by revenues from the new terminal.

Funding New Projects

The reassessment provides funding for the Capital Plan for three key initiatives:

  • PATH Improvement Plan ($200 million): As announced last week, the PATH Improvement Plan includes three core elements: increased capacity on the Newark-WTC line by 40 percent and all other lines by 20 percent by 2022; a six-point plan to reduce system delays; and a series of actions to improve customer experience including full integration with the MTA's new tap-and-go fare payment system, OMNY.
  • Electric Vehicle Infrastructure ($50 million): As the first public transit agency in the country to embrace the Paris Climate Agreement, the Port Authority's commitment to reducing greenhouse gas emissions across its facilities includes the aggressive introduction of all-electric vehicles. These funds will provide the electric charging infrastructure needed to support the electric vehicle initiative, including: 1) infrastructure needed for the conversion of airport shuttle buses to an all-electric fleet; 2) the conversion of 50% of the agency's light vehicle fleet to electric; and 3) charging stations for public use at various parking facilities.
  • Planning for Newark Liberty Airport Terminal Two ($35 million): Just as Newark Terminal A is currently being replaced by the new Terminal One, the reassessed Capital Plan enables planning to replace the existing Terminal B with a new Terminal Two. This is the next step to increasing capacity, improving passenger experience, and moving Newark Liberty International Airport, consistent with all Port Authority airports, to world class standards.

The 2017-2026 Capital Plan and its proposed reassessment is a blueprint for future spending and does not supplant the Board's authorization process for specific projects and contracts, which includes a rigorous review process that includes consideration of the revenue-generating potential and capital capacity impact of a given capital project, the relative priority of the project and the overall capital capacity of the agency.

The Board is committed to thoroughly soliciting public input as it considers these proposed actions. To ensure the public has ample opportunity to share its views, six public hearings at multiple locations in New York and New Jersey during both the morning and evening hours have been scheduled as follows and will be advertised in local newspapers and promoted via social media channels:

DATE LOCATION ADDRESS
Hearing #1 July 16, 8:00 am 4 WTC 150 Greenwich St, 23rd Floor, New York, NY 10007
Hearing #2 July 17, 8:00 am 2 Montgomery 2 Montgomery St, 3rd Floor, Jersey City, NJ 07302
Hearing #3 July 18, 7:00 pm EWR Terminal One Redevelopment Outreach Office 79 West Jersey St, Elizabeth, NJ 07202
Hearing #4 July 22, 7:00 pm College of Staten Island 2800 Victory Blvd, Williamson Theatre, Staten Island, NY 10314
Hearing #5 July 29, 7:00 pm Hilton Hasbrouck Heights 650 Terrace Ave, Hasbrouck Heights, NJ 07604
Hearing #6 July 30, 7:00 pm JFK Building 14 Building 14, 3rd Floor, Jamaica, NY 11430

Written comments on the proposed actions may be submitted via the Port Authority website through the end of the public comment period on September 13, 2019.

Contact:
The Port Authority of New York and New Jersey
212-435-7777

Founded in 1921, the Port Authority of New York and New Jersey builds, operates, and maintains many of the most important transportation and trade infrastructure assets in the country. The agency's network of aviation, ground, rail, and seaport facilities is among the busiest in the country, supports more than 550,000 regional jobs, and generates more than $23 billion in annual wages and $80 billion in annual economic activity. The Port Authority also owns and manages the 16-acre World Trade Center site, where the 1,776-foot-tall One World Trade Center is now the tallest skyscraper in the Western Hemisphere. The Port Authority receives no tax revenue from either the State of New York or New Jersey or from the City of New York. The agency raises the necessary funds for the improvement, construction or acquisition of its facilities primarily on its own credit. For more information, please visit http://www.panynj.gov.

Disclaimer

The Port Authority of New York and New Jersey published this content on 25 June 2019 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 25 June 2019 21:50:01 UTC

share with twitter share with LinkedIn share with facebook
share via e-mail
0
Latest news "Economy & Forex"
03:01pStarting with Netflix, FANG reports to test Wall Street rally's mettle
RE
02:54pLagarde resigns as IMF chief, starting race for her successor
RE
02:53pU.S. SEC chief says he has not discussed Libra with Facebook
RE
02:50pWICHITA THUNDER HOCKEY : Stukel Signed By Bakersfield
PU
02:45pCapacity Announces Appointments of Josh Krueger as COO and Nick Curattalo as Head of Partnerships
SE
02:43pBoE's Cunliffe says he has not picked up sense of contracting UK economy
RE
02:35pEDA ECONOMIC DEVELOPMENT ADMINISTRATION : U.S. Department of Commerce Invests $2 Million to Help Build a Tribally-Owned Manufacturing and Warehouse Facility in Michigan
PU
02:30pJOHN CORNYN : Cornyn Carbon Capture Bill Passes Committee
PU
02:30pEKITI STATE GOVERNMENT : Trains Trainers From 16 LGAs On Eggs And Livestock Production
PU
02:25pPEMEX PETRÓLEOS MEXICANOS : and its Subsidiary Companies presents its Business Plan 2019-2023
PU
Latest news "Economy & Forex"
Advertisement