Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request


Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.


Financial Products

Enterprise Products


Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000


Industry Products

Media Services

Follow Us

New Jersey May Divert Funds for Hudson River Tunnel

New Jersey officials are discussing the possibility of diverting money for the Hudson River rail tunnel toward other transportation projects.

James Weinstein, executive director of New Jersey Transit, said there have been talks in Governor Chris Christie’s administration of using $2.5 billion in state money earmarked for the project for replenishing the Transportation Trust Fund, which finances road and rail work.

“There have been those discussions, but there have been no decisions,” Weinstein said today at an Assembly transportation committee hearing in Trenton.

New Jersey Transit last week froze new spending on an $8.7 billion rail tunnel into Manhattan for a month after the federal government estimated the project may run $1 billion over budget.

“There’s now fear that’s there’s going to be significant higher costs,” Christie, 48, said in a radio interview today on “Bloomberg Surveillance” with Tom Keene. “If it’s going to be that expensive, we’re going to have to go in another direction.”

Trust Fund

New Jersey’s Transportation Trust Fund will run out of money to pay for anything other than debt service on its $12 billion of bonds outstanding by mid-2011. Christie, a Republican who took office in January, said this month he would soon present a plan for replenishing the fund.

Michael Drewniak, a spokesman for Christie, declined to comment on the possible diversion of tunnel money. Weinstein, after the committee hearing, declined to tell reporters whether he supported a diversion of the tunnel money.

“You talk about a range of things,’ Weinstein said. “In the end the governor will make the decision.”

New Jersey broke ground in June on the tunnel to carry trains under the Hudson River in and out of Manhattan, a passageway that officials said would help ease delays for hundreds of thousands of commuters. The decision to suspend new spending follows a five-month review to finalize the federal government’s $3 billion contribution to the project.

Diverting the tunnel money would be an “economic disaster for New Jersey,” Assemblyman John Wisniewski, chairman of the transportation committee, said in a statement.

The tunnel would create 6,000 jobs and take 22,000 cars off New Jersey’s congested roads daily, Wisniewski said. The project is “too valuable to be tossed aside,” he said.

“The idea that Governor Christie and his administration would even consider halting this tunnel project so he could avoid making the tough decision to come up with a transportation funding plan is as inexplicable as it is irresponsible,” Wisniewski said.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.