(The following story by Raju Chebium appeared on the Courier-Post website on February 13, 2009.)
WASHINGTON, D.C. — The $789 billion compromise economic stimulus measure before Congress contains an unprecedented amount of money for passenger rail and could increase train service in New Jersey.
Also Thursday, the White House estimated the compromise could create or save as many as 100,000 jobs in New Jersey. But that number appeared to be subject to change.
A fiscally stronger Amtrak and faster rail service on the Northeast Corridor could become realities since the bill contains $9.3 billion for rail.
That’s more money than the earlier and costlier Senate and House versions of the stimulus bill allotted for rail — $3.1 billion and $1.3 billion, respectively.
Additionally, the state’s highest priority transportation project — building a second set of rail tunnels under the Hudson River — also is expected to attract a funding commitment from the federal government, though the amount may be about half the $3 billion NJ Transit sought.
“This recovery package provides sorely needed funding to modernize Amtrak, develop high-speed rail and break ground on public works projects, such as the new Hudson River rail tunnel,” said Sen. Frank Lautenberg, D-N.J., who lobbied to include the state’s transportation priorities in the final bill.
“Not only will this package serve as an engine for job creation, but these investments will pay off in the years to come,” he said in a statement Thursday.
The plan also would prevent 1.7 million taxpayers in the state from having to pay the alternative minimum tax for another year. Sen. Robert Menendez, D-N.J., who worked to include the AMT provision in the bill, said the measure’s main focus is on jobs, as it should be.
“We will also help bring economic change that affects the lives of New Jerseyans through relief on their taxes, education for their children and assistance to sustain those who have been laid off,” he said in a statement.
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Supporters such as Rep. Rob Andrews, D-Haddon Heights, cautioned against overly high expectations from the stimulus package.
“No one should believe it will make things better overnight,” he said in a conference call with reporters Thursday, adding it would still help people buy and sell homes, pay for health care while out of work and prevent deeper cuts to state-funded programs and services.
Meanwhile, lawmakers bargained into overtime Thursday on the stimulus legislation, dickering over tax cuts and federal spending before reaching an apparent final agreement more than 24 hours after announcing a deal.
Lingering controversy over school-modernization money, a scaled-back tax break for businesses and other issues forced a delay in final votes on the legislation. But Democratic leaders still hoped for final passage by the weekend.