NJ TRANSIT AUTHORITY SAYS DRIVE THROUGH BUDGET IS ‘BOTTOMLESS’ WITH NO COOPERATION WITH EXECUTIVE COMMISSION
NJ TRANSit Authority Executive Director Joseph Cone Jr. said Friday that the state agency is considering legal options over the fate of a $2 billion contract to build the nation’s largest commuter rail system.
The New Jersey Transit Authority board voted unanimously on Tuesday to recommend that it cancel the contract.
Cone said the agency is working with its legal counsel and legal department to find a legal avenue to challenge the contract, but the process is still ongoing.
“The contract has not been renewed and I don’t think that the agency has an obligation to give up this contract,” Cone told Fox Business Network on Friday.
The agency has spent about $3.3 billion over the past two years on the project, which is expected to create 1,200 jobs and more than $1 billion in revenue.
Coney said the transit authority is not planning to use the contract to fund other transportation needs.
“We’re not in the business of building a tunnel and having a tunnel on every road in the state.
This is a project that is going to bring hundreds of millions of dollars in economic benefits and will create thousands of jobs,” Coney told Fox.
The NJ TRANS is currently building a new rail line between Newark and Philadelphia, but has not started construction on a commuter rail line in New Jersey.
CTA President Forrest Claypool said in February that the contract should be canceled because the agency had no plans to pay for the project.
“It’s just a top-down process,” Claypool told The New York Times.
“I think we should just get out of it.
We’re going to be very, very, thorough.”
The board has scheduled a public hearing for May 7 to discuss the contract and the transit agency’s future.