The Board of Directors of NJ TRANSIT has adopted a Fiscal Year 2018 (FY 2018) operating budget of $2.218 billion and a capital program of $1.367 billion, continuing investments in infrastructure and equipment to maintain the system in a state of good repair.
“NJ TRANSIT is moving forward with a balanced budget that reflects a laser-like look at individual business lines in order to maximize efficiencies and maintain a safe transportation system,” remarked Steven H. Santoro, NJ TRANSIT executive director. “As transit professionals, we owe our customers and stakeholders a solid plan that has the least impact on our riders. After much hard work, I am confident we delivered on that.”
Approximately 61 percent of the operating budget is slated for labor and fringe benefits costs. Materials, supplies and purchased transportation equal 25 percent of the operating budget. Almost half of the revenue in the operating budget comes from passenger revenue ($1.014 billion), supported by state and federal program reimbursements ($947.7 million) with the balance from a combination of commercial revenues ($115.2 million) and state operating assistance ($140.9 million).
The FY 2018 capital program continues to invest in railroad bridge rehabilitation, track replacement, signal upgrades, repairs to overhead power lines and electric substations as well as investments into the state-of-good-repair of the Northeast Corridor and installing Positive Train Control.
Approximately 53 percent of the program funds the basic improvements needed to maintain and improve the transit system, including $201 million in rail infrastructure needs and $109 million in rail rolling stock improvements. The program also includes $47 million in rail station improvements. It also supports a $168 million investment in bus and light rail infrastructure improvements, including $99 million for replacement vehicles, and $11 million for the Capital Asset Replacement Programs for both the Newark Light Rail and Hudson-Bergen Light Rail systems.
The transit agency will also invest $86 million in system-wide improvements, including $9 million in technology improvements, $6 million for safety improvements and $33 million in system expansion improvements.