Port Authority pledges $3.5B to bus terminal redevelopment

After months of infighting, the Port Authority of New York and New Jersey has agreed on a capital plan that sets aside $3.5 billion for the reconstruction of the ailing Port Authority Bus Terminal. The preliminary budget draft will now enter public review, with final approvals slated for February, Crain’s notes. While the agreement is a major step forward in the bungled process of redeveloping the bus terminal, the capital works plan can still be vetoed by governors Chris Christie and Andrew Cuomo (h/t WSJ).

One of the major points of contention for the governors has been whose state should shoulder the burden of the cost, given that the terminal is in New York but primarily serves New Jersey passengers. According to the drafted capital plan, New Jersey has agreed to pay two-thirds of the $3.5 billion, while New York will pay the remainder. In early December, a spokesperson for Cuomo said that the governor would only agree to the plan if New Jersey payed majority of the redevelopment cost.

In all, the redevelopment of Port Authority Bus Terminal is expected to cost $10 billion over a 10-year period. The agency expects that the feds will step in to provide additional funding for the project.

Port Authority’s $32 billion capital plan also sets aside funds for the redevelopment of LaGuardia and John F. Kennedy airports, the latter of which was announced just this week.

• Port Authority Approves $32 Billion to Improve Bus Terminal, Airports [WSJ]
• Port Authority approves long-stalled capital plan [Crain’s]
• Port Authority infighting continues to stymie bus terminal redesign [Curbed]
• All Port Authority coverage [Curbed]