(The following story by Judy Rife appeared on the Times herald-Record website on September 18, 2010.)
NEWARK — NJ Transit has suspended any new spending on Access to the Region’s Core, its $8.7 billion tunnel to Midtown, pending a review of projected costs.
The project, a joint venture with the Port Authority, has been under construction for the past year. Another major tunneling contract – for roughly $500 million – is about to be awarded.
James Weinstein, NJ Transit’s executive director, ordered the suspension following talks with the Federal Transit Administration about the project’s budget and the FTA’s formal commitment to provide $3 billion toward it.
The FTA has already had NJ Transit and the Port Authority add a $1 billion contingency fund, but cost overruns and delays with two tunneling projects at the Metropolitan Transportation Authority prompted the federal agency to re-examine ARC’s budget.
The suspension alarmed some of New Jersey’s state and federal legislators, as well as transportation advocates, who fear the move could signal a loss of support from the new governor, Chris Christie.