CORZINE SIGNS LEGISLATION TO REFORM, REPLENISH AND GROW TRANSPORTATION TRUST FUND

TRENTON - Governor Jon S. Corzine today signed into law A-2813/ S-1470, which will revitalize the Transportation Trust Fund (TTF) through financial and structural reforms that will provide resources for critical highway and transit repairs and capacity expansion projects throughout the next five years.
“This legislation will enable the State of New Jersey to once again use the Transportation Trust Fund as a driving force for regional economic growth,� said Governor Corzine. “Funding critical transportation projects and introducing substantial reforms will ensure that New Jersey motorists can enjoy safe roads and mass transit improvements for years to come.�

The legislation, which was sponsored by Assemblymen John S. Wisniewski, Vincent Prieto, and Brian P. Stack and by Senators Raymond J. Lesniak and Joseph V. Doria, will require greater accountability for the fiscal management of the fund. Reforms include freezing the level of TTF funds used for capital maintenance projects and establishing an independent policy oversight board that will ensure compliance with strict guidelines for capital expenditures.

“This law will immediately address the needs of New Jersey's transportation infrastructure,� said Transportation Commissioner Kris Kolluri. “The replenishment of the Transportation Trust Fund will effect the safe, efficient and reliable movement of people and goods throughout the state.�

The legislation creates a robust capital program of $1.6 billion annually over five years that advances transportation projects and supports 100,000 jobs. Revenue sources for the program include the restructuring of approximately $1.8 billion of the State's existing transportation bonds.

Under the new law, additional net revenue enhancements also will come from TTF reforms including dedicating the final 1.5 cents of the existing 10.5-cent gas tax, which historically was diverted to the general fund. That action alone will generate $78 million annually. Another $12 million will be gained by resuming dedication to the TTF of a portion of toll road revenue.

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