Name: Efforts to get dedicated funding for NJ Transit stall as coronavirus upends budget process
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Efforts to get dedicated funding for NJ Transit stall as coronavirus upends budget process

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NorthJersey.comView CommentsThe country's largest statewide transportation agency finally seemed on track&nbsp;to receive a dedicated state source of funding this year.But then the coronavirus brought that progress to a grinding halt.Before the region was shaken by the deadly pandemic this spring, monthly hearings had been taking place since November among a select committee of senators to and how to create a more reliable funding pot.The hearings were , but that didn't happen, as stay-at-home orders were put in place and the Legislature began conducting its business virtually, passing emergency legislation to combat the coronavirus.Now it seems the legislative effort to create a dedicated funding source will be pushed back another year — or longer.Asked whether there would be a chance for this issue to be picked up during this unusual budget season, Sen. Loretta Weinberg, D-Bergen, seemed uncertain.“I think the quotes around 'unusual budget season' is very appropriate,” said Weinberg, a member of the select committee who helped outline an NJ Transit funding proposal in February with Senate President Steve Sweeney, D-Gloucester.“No, we haven’t given up hope, but I think because of all the financial pressure that no one could have foreseen, it’s going to be more difficult," she said. "But we have until Sept. 30 to work on these issues. I can’t predict what the final outcome will be.”Sweeney, in large part to come up with a funding solution, was not&nbsp;available for an interview, but said in a statement that he is still committed to following through on this goal.“The pandemic has changed everything for at least the next year with regard to NJ&nbsp;Transit's budget needs," the statement said.The state fiscal year was extended to Sept. 30 as officials scramble to figure out how to cover ballooning costs amid depleted tax coffers as the state economy has largely been placed on pause. Elizabeth Maher Muoio, the state treasurer, , including holding off on a $114 million state subsidy to NJ Transit until October or the next fiscal year.NJ Transit is, however, from the CARES Act that should help cover a variety of expenses, including costs of hand sanitizer or cleaning products, money spent on salaries for cleaners, leaves of absence for sick employees and fare box revenue deficits. Ridership on NJ Transit — whose fares make up about 40% of the agency’s revenue —&nbsp;has decreased about 90% system-wide."Clearly, when this federal money goes away, we are going to need to push forward to provide NJ Transit with dedicated operating funding it can count on —&nbsp;like other transit agencies around the country," Sweeney's statement continued.Janna Chernetz, New Jersey deputy director for the nonprofit advocacy group Tri-State Transportation Campaign, of revenue for NJ Transit.“It looked like we were on the path to do something other than the status quo,” she said, but now she fears it will get sidelined again.Coronavirus:“Obviously, it would have been nice to have a dedicated funding source going into this, but it’s certainly exposing NJ Transit’s vulnerabilities in terms of their funding,” Chernetz said. “Right now, NJ Transit is looking to the federal government to help, to take pressure off the state, but again, it’s going to be a temporary fix and eventually we’re going to go back to the same problem.”Chernetz, who was before for unknown reasons several weeks ago, said the uncertainty of commuter patterns, business decisions about working from home and other travel shifts makes this issue more complicated now.Transit agencies around the country often receive state funds through&nbsp;dedicating certain taxes, tolls or funds to help plug budget gaps.But NJ Transit’s state funding has undulated, . Since the late-1980s, the agency has raided the fund intended for capital projects to cover operating expenses, but back then it was in the single-digit millions. This year, the agency was anticipating having to transfer about $460.8 million from capital to operating, according to a preliminary budget plan in March.Sweeney and Weinberg proposed legislation in February that would deliver $500 million to the agency from three sources:In the past, Gov. Phil Murphy’s administration has raised the idea of increasing the sales tax to 7% and contributing some of that to NJ Transit. Jerrell Harvey, a spokesman for the governor, declined to comment on where the matter stands now.View Comments

NorthJersey.comView CommentsThe country's largest statewide transportation agency finally seemed on track&nbsp;to receive a dedicated state source of funding this year.But then the coronavirus brought that progress to a grinding halt.Before the region was shaken by the deadly pandemic this spring, monthly hearings had been taking place since November among a select committee of senators to and how to create a more reliable funding pot.The hearings were , but that didn't happen, as stay-at-home orders were put in place and the Legislature began conducting its business virtually, passing...

Efforts to get dedicated funding for NJ Transit stall as coronavirus upends budget process

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