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Funding approved for new Hudson rail tunnels. Will tolls go up?

Lincoln Tunnel

By Larry Higgs | NJ Advance Media for
on October 20, 2016 at 5:58 PM, updated October 20, 2016 at 5:59 PM

Tolls on the Port Authority’s bridges and tunnels will not be increased to help fund construction of new Hudson River rail tunnels, officials said Thursday after approving a financing plan for the Gateway Project.

Authority officials will discuss revising the agency’s 10-year capital plan next month to include Gateway, building a new Port Authority Bus Terminal and replacing the aging Newark Airport Monorail, said John Degnan, the board chairman.

Both Foye and Degnan said revising the capital plan won’t include a toll hike. The last toll hike took place last December as part of an increase that was phased-in over five years.

“The two governors said the Port Authority will take the lead for a financing plan,” Degnan said. “We’re not accepting that the Port Authority will pick-up the entire (local share of costs).”

The federal government and both states have agreed to a 50-50 financing plan for Gateway, but New York and New Jersey officials said they would turn to the Port Authority for some of that funding and to create a development corporation to apply for financing.