NJ Transit Executive Director James Weinstein has announced that the statewide transit agency is aggressively confronting current and future budget shortfalls that have arisen due to the severe national recession and the state’s $2.2 billion currentyear budget gap, and $11 billion 2011 budget gap. In a press release,Weinstein called for riders and the public to provide input to NJ Transitwhile the agency develops the proper mix of solutions to balance the budgets while maintaining safe, reliable bus and train service.
Last week Gov. Chris Christie announced an 11 percent subsidy reduction, about $33 million, to NJ Transit’s 2010 state operating subsidy as part of a number of steps the Governor is taking to close the state’s current budget shortfall.
“This reduction is painful, but we understand the challenge the state is facing,” Weinstein said. “We know the Governor appreciates the importance of the transit system to New Jersey’s mobility, but we recognize that difficult measures are required to keep the state budget balanced.”
According to the press release, the budget outlook is even grimmer for fiscal year 2011, which starts July 1 for both the state and for NJ Transit. Weinstein said the state faces an $11 billion deficit next year and is not likely to be able to continue to provide its historic level of NJ Transit operating assistance. NJ Transit also is unable to depend on another round of federal stimulus and other one-time federal transportation funding, which was used to help bolster the operating budget by $150 million.
In addition, NJ Transit is facing inflationary cost increases for things such as fuel and equipment parts, even as ridership declined systemwide by about 4 percent year to date, reducing fare revenue, according to the press release.
Weinstein said NJ Transit will be as inclusive as possible as it studies options to meet the financial shortfalls and will seek input from customers and stakeholders on any fare and service proposals. He said the agency will be reaching out to customers and the public over the coming days to solicit comments and suggestions.
A series of public hearings on the fare and service change proposals will be held. One public hearing will be held in Manalapan on a date to be determined. An extended period of public comment will be available online at njtransit.com beginning in early March.
NJ Transit is the nation’s largest statewide public transportation system providing more than 895,000 weekday trips on 240 bus routes, three light rail lines and 12 commuter rail lines. It is the third largest transit system in the country with 165 rail stations, 60 light rail stations and more than 18,000 bus stops linking major points in New Jersey, New York and Philadelphia.