Archive for December, 2010

The Federal Transit Administration, as I reported earlier this week, is demanding $271 million in ARC Tunnel money in the wake of Gov. Chris Christie’s decision to cancel the project, and New Jersey isn’t happy with the request. Right now, the state and its elected officials are looking at two possible outs. On the one hand, New Jersey’s federal representatives are looking to reduce the amount owed. “We have to talk to the FTA to mitigate that amount,” Senator Robert Menendez said. “We find that the governor made a decision, and we’re told to go and fix it. We’ll do the best we can.”

On the other hand, the state will authorize New Jersey Transit to file suit against the feds. New Jersey, reports Jason Method, “plans to argue that the federal government is using selective enforcement in attempting to recoup the money.” Said a Christie spokesman, “The governor will fight to make sure that New Jersey and its taxpayers are treated fairly by the federal government on this issue.”

In requesting payment, the FTA cited Section 5309(g)(3)(B)(iv) of Title 49 of the U.S. Code. That law governs FTA grants and reads, “If an applicant does not carry out the project for reasons within the control of the applicant, the applicant shall repay all Government payments made under the work agreement plus reasonable interest and penalty charges the Secretary establishes in the agreement.” If a suit is filed, the feds will argue that since New Jersey agreed to cover cost overruns, Christie’s decision to cancel the project due to concerns over cost is “within the control of the applicant.” Clearly, this drama is far from over.

Categories : ARC Tunnel, Asides
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Jay Walder fields questions while standing in front of the Second Avenue Subway tunnel boring machine. (Photo by Benjamin Kabak)

On day one, Jay Walder, MTA CEO and Chair, and I talked about the fiscal state of the authority. On day two, I presented his views on labor relations and alternate revenue sources. Today, we start with a topic near and dear to my heart: the Second Ave. Subway.

We all know the story of the Second Ave. Subway. Eight decades in the making, the MTA is finally building part of the badly-needed line. Phase 1 of the SAS, one of the MTA’s three ongoing megaprojects, is due to be completed at the end of 2016 and at a cost of $4.5 billion. I quizzed Walder on the future of the rest of the project. Today’s is a longer segment so let’s dive right in.

Second Ave. Sagas: One of the main thrusts of my site is the Second Ave. Subway and the capital expansion plans. I know there’s still some funding needed for Phase One, but I have to assume it’s too far along for the plug to be pulled. The political ramifications from Washington, from the City, from the MTA would just be too great to stop the project. What do you see as the future of the Second Ave. Subway? Do you realistically see a Phase 2, Phase 3, Phase 4? How long should we expect that to take?

Jay Walder: My focus almost exclusively has been on the fact that we have three megaprojects that we’re doing right now. These are the first megaprojects that we have been doing for a generation — we’re really talking about 70 years depending upon how you count the stuff that has happened. My focus has been on ensuring that we’re able to deliver these projects on the budget and the schedule that we’ve laid out. As you note, our capital program is not funded with all of the money necessary to complete these projects right now, and that remains a concern. We need to find a way to ensure that we are completing these projects.

At the same time, my other concern is that the mantra of this organization has been that we have to bring our existing system back to good repair, and we need to keep it in that condition. There’s much to be proud of in that regard. I started in this organization in 1983. When I started, the mean distance between breakdowns on subway trains was 7000 miles. It’s about 150,000 miles today. That’s a startling difference. You go around and you look at our station environment, and your jaw drops. Some of the station work is so nice and it’s been brought back — either bringing back the existing stuff and some of the artwork we’ve put in, and other things like that.

But in fact, what this system is is a huge system that in essence is composed of lots of unseen hidden infrastructure that’s depreciating and deteriorating all the time. We need to continue to invest in that. The scarier thing is not the trains and the station. The scarier things are the signals and the pumps and the track and the shops and the other things that continue to need huge amounts of investment.

We have a subway system today that has one line — exactly one line — that has modern technology for signals. The L train is the only line on which we’re using communications-based train control. We’ve now awarded a contract for the second line on the Flushing Line. But really, this is the type of technology that we need to be using across our system now. We are fortunate that we don’t have the red tags and the track problems and the other things that were going on in the late 1970s and early 1980s but we don’t have that because we invest hundreds of millions of dollars every year in the normal replacement of tracks. So that’s where I’ve been focused so far.

If you look at the Second Ave. Subway piece, to their credit, the planners with the way they set this up are achieving a very usable segment of a railway so that when it opens in 2016, you will have something that will connect into the rest of the system, is a usable railway and will make an immediate difference in what happens. You’re well-placed point is that if we don’t stop there, where do we go from here? The intent is that it goes south from there, and funding-available, that is exactly what everyone’s objective will be. We also have pieces of preexisting tunnel north so you may well have the opportunity to pick up both ends of that.

Will future sections of the Second Avenue Subway see the light of a day? (Click to enlarge the map)

Second Ave. Sagas: The people I’ve spoken of say Phase 2 would be easier to build out than the other phases, but they wonder what the appetite for a project that’s taken longer than initial thought, that costs more than initial thought. Where will the money come from or the will and drive to see it through? Read More→

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