Alex Goldmark is the senior producer of New Tech City, a storytelling show about how technology is changing society. Subscribe here to get New Tech City shows delivered right to your devices. Follow him on Twitter @alexgoldmark.
Breaking: ARC Tunnel Cost $4 Billion Lower Than Thought
Friday, October 22, 2010 - 12:20 AM
(Alex Goldmark, Transportation Nation) The AP is reporting federal estimates for the ARC transit tunnel are considerably lower than those cited by New Jersey Governor Chris Christie when he pulled his support for the transit project citing cost concerns. According to AP reports, three government officials familiar with the transit project—the largest currently underway in the United States—confirm federal estimates for the tunnel are $9.77 billion, about $4 billion lower than the worst case scenario, $14 billion, cited by Governor Christie.
Just under $9 billion in funds are currently dedicated to the project including $3 billion from the federal government, $3 billion from the Port Authority of New York and New Jersey. The State of New Jersey would be responsible for the rest, including any cost overruns, a liability that led Governor Christie to oppose the project. New York City and New York State are not paying any money for the tunnel.
Governor Christie pulled his support for the project two weeks ago, effectively canceling it. After meeting with U.S. Transportation Secretary Ray LaHood, he agreed to a two week reprieve, which ends on Friday. His office would not comment on the newly released figures cited by the AP.