When Paul Krugman wrote that New Jersey has the densest population in the United States, did he intend to imply that New Jersey has the densest Governor in the United States?

After hearing more details it seems that the possible overruns are indeed large. It sounds like one of two things: christie is indeed overstating the overruns or the proposed costs were grossly underestimated. If the governor can discover his massive overruns in a few months, why did professional engineers and planners not foresee them in the last ten years of planning? Is the project planning system that backwards?

Whether Christie kills the project or not doesn't change the fact that the ARC is still needed. It's too bad it might not be built now when the economy desperately needs the jobs.

I also hope the construction managers do their jobs and control cost overruns when it does get built.

I am a Civil Engineer in NYC. Generally speaking, all public construction projects "might go over budget". In order to get a project accepted, bureaucrats typically have to undersell a project, no matter how beneficial to the public, to get them accepted into their government budgets. If a project was proposed with a conservative estimated cost that includes contingencies for unanticipated costs, how soon would the proposal last before it was rejected? Layers of red tape force proposed project budgets to be underestimated. This is not necessarily a bad thing as it forces projects to pare themselves. However, it should be common sense on the part of the top layers of the bureaucratic red tape (i.e. the Governor) that a project proposed in this system can easily be expected to overrun the proposed cost. Not only because the proposal process drives estimates low, but because projects commonly run into "unexpected conditions". Anyone who has renovated their home knows about unexpected conditions adding costs to a project. As a matter of fact, many state DOTs will set aside 10% or so in all project budgets.
I believe Christie is playing political games at the expense of the public here. What upsets me most is it seems the public is being played at the expense of the truth as well as common sense.
Ideally, representing the public is where thrush and common sense are the most necessary. As we all know, unfortunately, this is far from the facts.

Christy is incredibly short sited in my view of the tunnel. Creating a new tunnel and station is vital to the long term financial future of our state. And in my 19 years of commuting, NJ transit is very well run.

This is so short-sighted, it's criminal. The chances we will ever get matching funds from the Federal Government and the Port Authority, and if the money is redirected to the transit fund it's only going to partially plug the hole there for about two years. The added rail capacity and more one stop rides to New York would have led to shorter commutes and higher property values to many citizens around the state.

What truly irks me is the very real chance this money will be spent not on just bringing our existing infrastructure back up to good standing, but on highway widening on the Turnpike and Parkway. A move like that will just make for more traffic and more wear and tear on those very roads. It's been proven again and again that increasing roadway capacity leads to more traffic and more sprawl -- two things New Jersey does NOT need more of.

A sad day indeed. Even sadder since we'll be back to trying to fix these very same problems in two years when the Transportation Fund is empty again.

@ Kathy from Maplewood, NJ - You're so right about Christie supporting the true white elephant, Xanadu, but dismissing this opportunity with the ARC tunnel.

First his administration looses $400 million in federal money for education. Then he goes on Oprah to appear to be part of why Newark is getting $100million from the Facebook founder. Now he is willing to walk away from more than $100million and maybe on the hook for what has already been spent or contracted out. This may be carrying fiscal responsibility to a ridiculous place. I cannot help but think this is mainly politically motivated: reject something that is stimulus(Obama), reject something Corzine signed off on, move ever more forward to, not only less government, but certainly less effective government in his case. Is it any wonder that a politician who espouses smaller government is not very good at governing? The man gets out of a limo in four directions at once. At the very least he doesn't seem to respect exisitng contracts (some of this work has already been contracted out according to your guest today) or state law (referring to 18A education).

I'm visiting from abroad to help out a financial services company become competitive but all I see is basic infrastructure so bad its shocking.
How a shelving a new tunnel could even be conceived "in case it overruns its budget" is incredible. Look overseas and see how other countries have invested for their future. When a tunnel is full, don't complain that trains can't run efficiently, build a solution that give the trains a chance of servicing the community.
If you think that projects are "always over budget", pay good project managers to bring it in on budget - or train them in decent universities (but make sure you pay them enough to pay off their debt !)

Peter

Everyone speaks of "roads" - the larger issue is bridges. We are in a crisis situation with our bridges. Plus, they are very LABOR intensive. So the jobs issue is addressed

no more GOP voodoo!

New Jersey absolutely needs public transit between New Brunswick and the Red Bank up Route 206 from Lambertville to Western New Jersey (like Phillipsburg).

Can Penn Station actually take any more trains?, isn't the congestion at the Station as much as the tunnels

I'm a New Yorker who might move to Jersey if the commute improved, but may count it out if not.

Let's hear more specifics about the "cost overruns." Where are the numbers? Who is talking about how to control them? Is this just an excuse so Cristie can do his part to defeat Obama's initiatives?

What we really need is a pass-under tunnel from brooklyn/queens to NJ. Who is with me!

Maybe Christie found out about the "cost over runs" from the same classfied source O'Donnell got her "China is planning to invade the US" information.

The decision to abandon the ARC tunnel shows tragic lack of foresight. Interstates 78, 80, and State Route 22 are PA-NJ-NY arteries that already suffer commuter atherosclerosis. Now, is the time to connect residents in some of PA's and NJ's most environmentally sensitive areas to their places of business via mass transportation.

As Tom Moran said in the StarLedger, Christie's willing to throw away billions just so he can transfer other billions to the highway trust fund...all so he can say he never raised taxes. NJ is in dire need of more trains into NYC and he's going to throw it away.

Christie is playing poker with Obama. He just wants the federal government to pay for the costs overrun... Which I think the fed should..since these kinds of projects are always over budget.

if the problem is with the way the funding is structured rather than with the project itself then the first response should be to try to renegotiate the funding rather than to kill the project.

No vision here. Borrowing from Peter to pay Paul. And short term thinking for electoral gain. These fiscal conservatives constantly reference the burden on our children and grandchildren -- which is legitmate. BUT, they will not thank us for our head in the sands approach to solving problems and forcing these future generations to deal with issues that we would not or could not address.

Christie is already running for re-election. You will not raise any tax, so he can say "look I never raised your taxes". Meanwhile property taxes will go up for local schools and our highways will continue to crumble.

Cristie doesn't want to fund the tunnel but is willing to fund Xanadu, so how can we take his position on the spending of taxpayers dollars seriously?

I am furious with Christi for putting a halt on this project. How short sighted can he be? If he is worried about cost over runs, use his leverage to put strict controls over spending, but for heaven's sake don't cancel a long needed improvement. If he needs more money for roads, raise the gas tax. NJ has the lowest gas tax in the nation. Let's stop being selfish and plan for the future!

I did not vote for Christie but have been impressed by him tackling tough issues. This however is short sighted. Good public transportation adds tremendous value. As resident if Hoboken, I see the value that is added because of convenient public transportation. Move my condo a few miles awayfrom the Path, and it's value drops by half or more.

I’m not a Christie fan, and he keeps doing thing that reaffirms my dislike. We’re shutting down a rapid transit project that will get people off the roads, and building or repairing roads. The project will obviously generate jobs, something Republicans howl about. It will also get people out of their cars, save gas, and make the commute to the City a little more palatable. I realize were in a tight fiscal time, but even if this tunnel goes over budget, the benefits will far outweigh the drawbacks.

This is crazy. We have the lowest gas tax and forced full service. Why not get rid of full service and increase gas tax.

Our country is driving itself off of a cliff. There is absolutely no foresight on any issue. Public transportation will not only create jobs but it will ease traffic congestion, air pollution, and decrease oil dependency. The republicans are so in the pocket of big oil its so blatant. RAISE the gas tax, people need to drive less, sorry but thats a fact. Yes I am talking to all of you SUV drivers......

This is a no brainer from Gov Christie's point of view: people who reside in New Jersey and work in New York pay thebulk of their income tax to New York through the commuter tax: New Jersey sees not one dime, so from Trenton's standpoint, there's really no incentive to facilitate trans-Hudson commuting. It's terribly, terribly cynical, to be sure, but it makes sense.

If the roads need repairing, let's do so with a usage fee ( I wouldn't dare call it a gasoline tax). The goverment has an important role in buidling the future. Build the rail tunnel.

Is Christie simply trying to shake down the Federal govt. for more money on this project? He has no vision or innovative solutions, just a commitment to cut as much as possible since that is what he ran on to the undying love of the Tea Party.

In the end, he probably doesn't care from his upper class, Morristown perspective because he, his wife, and their ilk, when they go into NYC, they simply drive in. Brilliant!

This is an INTERSTATE tunnel. Why is New York State paying nothing toward the construction? Albany, Trenton, PANYNJ, and Washington should all be contributing their share.

The inability to commit to basic infrastructure is why this tunnel wasn't built 20 years ago, when it first became obvious it was needed. Robert Moses killed the 2nd Ave. subway in the '50s with the same short-sighted reasoning. If there are cost overruns, fix it! And fix the cost overruns that have drained the road construction fund too. Don't use it as a lame excuse to grab the money for road work that should be funded by the gas taxes drivers pay.

This is the consequence of NJ electing a Republican governor. A more bone-headed transportation decision cannot be conceived. It is pitifully consistent with Christie appointing a known right-wing crackpot as Education Commission who then lost the state millions.

Gov. Christie only cares about his political future. If it doesn't solely make him look good, he doesn't care about. This project would benefit NYC, NYS, PANYNJ and Democratic leaning North Jersey. So its no surprise Christie doesn't care for it.

Christie is a fraud.

And I didn't know Ohio was part of NJ. Why the heck is he campaigning over there???

Krugman comments on rail:

http://krugman.blogs.nytimes.com/2010/10/06/railing-against-rail/?src=twt&twt=NytimesKrugman

Krugman comments on rail:

http://krugman.blogs.nytimes.com/2010/10/06/railing-against-rail/?src=twt&twt=NytimesKrugman

please explain "cost overruns"

why aren't builders being held to terms of a contract

BTW the ARC is not underfunded and is not over budget. Christie is saying that someday maybe it might go over budget so I'm going to cancel it now.

That tunnel was the only thing keeping us able to rationalize commuting to the city in this beautiful but evermore distant house and community that is far more diverse than UWS and Park Slope, our previous 2 residences.

Raritan Valley Line in NJ gets a commuter from Plainfield to NYC, with delays, figure 70-80 minutes. When I was a kid (80s) It was under 50 minutes. When it was built 150 years ago, 40 minutes.

This new tunnel would eliminate the transfer in Newark for Westfield, Plainfield, Dunellen, Raritan Valley -- and would let this part of Jersey do its job -- nice houses and leafy suburbs for New Yorkers sick of breathing soot. What should be most significant to the GOP is that housing values and quality of life issues would literally skyrocket the day that tunnel began operating. (I'm sure there is a study proving this!!)

Christie didn't combine school districts, the one thing he could have done that would have earned my admiration instantly.

Now he is passing up the chance to create billions in wealth out of nothing more than shortening commute times in communities that are in dire need of exactly this sort of relief.

If the tunnel doesn't pass, we are so out of here. We don't need that problems that started with the one Christie (skipping pension payments) and are seemingly mocked (Xanadu??) by another Christy.

The State of New Jersey should have a plan to fully fund or pay for the projects that it deems necessary or desirable, including this rail project. While losing the project will likely have a detrimental impact on New Jersey's economy in the long-term, as commuting to those higher paying jobs in NYC is limited, takes more time and results in more pollution, without a solid plan to pay for the improvement it may not be worth it.

TRUE or FALSE
NJ has one of the lowest gas taxes in the nation?

Only a politician, and especially a Republican, could look at the hours lost in traffic every day and not see that as a major problem. We need money for roads? What kind of backwards thinking is that? More roads=more traffic=less productivity=lower quality of life.

Ending the ARC project is the height of irresponsibility and would waste the money already spent. New Jersey does not need more roads, it does need more mass transit. These are the consequence of voting Republican. This is a Robert Moses style epic blunder and New Jersey will suffer for years for this.

roads are so 20th century.

republicats never want to invest in american. don't they have faith in US?