COVID-19 UPDATE 33
NJ TURNPIKE AUTHORITY AND SOUTH JERSEY TRANSPORTATION AUTHORITIES APPROVE TOLL INCREASES TO FUND ANNUAL CAPITAL PROGRAMS TOTALING $1.65 BILLION
The New Jersey Turnpike Authority and the South Jersey Transportation Authority each voted today to raise their user tolls to fund annual capital construction programs totaling $1.65 billion per year. Included with the toll increase is an annual CPI increase that will be capped at 3% with a bottom of 1%. These toll increases will generate over $75.5 billion in economic activity, earnings, and tax revenues to New Jersey over a 10-year period. This economic boost comes at a time when the State’s economy is in a severe recession caused by the COVID-19 pandemic.
The toll increases will fund an increasing $1 billion annual capital construction program for the New Jersey Turnpike, an additional $400 million annually for NJ Transit’s capital program and $250 million annually for the South Jersey Transportation Authority.
UTCA funded an economic study that was distributed to the Murphy Administration and the media that identifies the vast economic benefits to New Jersey that will virtually be 40% funded and paid for by out-of-state drivers! The State will gain additional tax revenues, increasing from $1.9 billion in 2020 to $2.4 billion in 2030. The investment will support an average of 18,856 jobs per year throughout all sectors of the economy. This grows from 16,354 jobs in 2020 to 21,090 supported jobs in 2030. Most of those jobs—54 percent—are outside of the construction industry. These workers will earn an estimated $10.3 billion, with average annual wages growing from $896 million in 2020 to $1.2 billion in 2030.
During the comment period, UTCA member firms generated approximately 1,200 email comments to the Authorities in support of the toll increases.
You can review UTCA’s economic study by clicking
here
.
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If anyone has questions concerning this notice, please contact us at the UTCA office 732-292-4300.
