New York – After a month-long public comment period, the Board of Commissioners of the Port Authority of New York-New Jersey has approved the agency’s 2019 budget consisting of $3.3 billion for operating expenses and $3.7 billion for capital expenses. The budget continues the agency’s commitment to provide best-in-class safety and security at its facilities and to improve all the agency’s facilities to create a 21st Century customer experience including the use of new technology to greatly improve customer communications. In addition, the new budget undertakes significant state-of-good-repair work at its legacy facilities and continues to replace aging infrastructure that is past its useful life.
The 2019 $3.3 billion Operating Budget includes an inflation-based 2.2 percent increase of $70 million in core expenses over the 2018 budget. In addition, the budget provides special targeted incremental spending of $23 million required to address necessary safety and security initiatives and to accommodate passengers during upcoming weekend PATH shutdowns needed to complete Superstorm Sandy repairs. The targeted supplemental spending represents an incremental 0.7 percent increase in spending projected for 2019. It is expected that the 2019 rate of increase, where the expense budget edges above inflation with the inclusion of the targeted safety and Sandy spending, is a one-time event and that future increases will return to levels linked to the rate of inflation.
The 2019 $3.7 billion Capital Budget represents a $300 million increase over 2018. It allows the agency to continue multiple major projects to rebuild and replace the agency’s legacy facilities with state-of-the-art infrastructure and undertake a large set of projects to maintain assets in a state of good repair and improve resiliency in the post-Superstorm Sandy era. All spending is within the project levels set in the agency’s 2017-2026 Capital Plan.
“This budget was painstakingly crafted to be fiscally responsible yet still provide the high level of customer experience that the traveling public demands and expects,” said Port Authority Chairman Kevin O’Toole. “In addition to extensive investments in security, major facility upgrades and greatly enhanced customer communication, the budget also benefits the region as a whole with the billions we will invest in our infrastructure, which will create jobs and result in extensive economic benefits.”
“Millions of travelers use our airports, tunnels, bridges and PATH system each year, and we owe it to all of them to provide a first-class experience every time they are in one of our facilities,” said Port Authority Vice Chairman Jeffrey Lynford. “This budget is in line with our mission of investing in projects to rebuild legacy infrastructure and continue to strive to bring all our facilities up to global standards.”
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 visithttp://www.panynj.gov.