Port Authority to consider 37% $300m toll increase on Hudson River crossings
Posted Wed, 2007-10-31 21:37
Local reports suggest that the Port Authority New York New Jersey (PANYNJ) will consider toll increases after next week's New Jersey elections. The authority which operates six northern New Jersey-New York City crossings hasn't had a toll increase for six years.
The Newark Star Ledger ran the story this morning. They say the PANYNJ is after an increase in toll revenue of around $300m a year. That would be a 38% increase on the $799m of 2006 and about 37% more than this year's toll revenues of around $810m.
It is unclear how the authority will allocate toll increases.
A 37% increase in the cash toll for cars would take it from $6.00 to $8.22 or rounded to $8.25. Nearly 80% of transactions are with transponders (brand E-ZPass) and the present rates are $5.00 in peakhours and $4.00 offpeak.
These are the most sensitive politically.
A 37% increase in the peakhour transponder toll would take it from $5.00 to $6.85 and the offpeak toll from $4.00 to $5.48.
Given that the cash toll is paid only by occasional users the proposal may be to raise it to a round $9 or even $10. Then transponder tolls could be raised somewhat less - maybe to $5.25 offpeak and $6.50 peak for cars.
Trucks constitute about 6% of the traffic but nearly a fifth of the revenue with per axle charges of between $3.50 overnight and $5 daytime offpeak with a $6 charge for a transponder in peakhours and for cash payment all hours. Those rates if evenly distributed would go to $4.80, $6.85 and $8.22. The cash payment needs to be rounded to say $8.25/axle but electronic toll rates don't need to be.
BACKGROUND:Â PANYNJ is a bistate authority equally controlled by the governments of New York and New Jersey. It does ports, airports, rail transit, a bus terminal, the World Trade Center and toll crossings - the last being the most profitable.
The George Washington Bridge and the Lincoln and Holland Tunnels provide 24 travel lanes across the Hudson River between New Jersey and Manhattan, while the three other bridges provide 12 travel lanes between New Jersey and Staten Island NY.
Traffic in 2006 for the first time exceeded levels before the 9/11/2001 attacks at an average daily of 348k in the eastbound tolling direction.
The George Washington bridge is the big money spinner. Last year it brought in $330m in tolls and after allocating costs it netted $176m.
The Lincoln Tunnel brought in $117m in tolls but lost $13m after costs were attributed, depreciation, amortization and interest expenses looming large.
The Holland Tunnel with $88m tolls also loses a small amount, as does the lightly trafficked Bayonne Bridge with $22m tolls.
However the old Goethals Bridge and the Outerbridge both make money. The Goethals with $78m in tolls nets $45m, and the Outerbridge on Staten Island tolls $84m and nets $48m.
Staff at the Tunnels Bridges & Terminals division has dropped from 1,126 in 1997 to 938 in 2006, about one sixth decline - attributable to reduced toll collectors as electronic tolling has become the dominant collection mode.
PANYNJ is examining abolition of cash collection and a move to all electronic tolling. Its major new capacity project is replacement of the 1922 Goethals bridge with its four ancient 3m (10 foot) wide lanes that so poorly link the New Jersey Turnpike and the Staten Island Expressway (I-278).
TOLLROADSnews 2007-10-31
Local reports suggest that the Port Authority New York New Jersey (PANYNJ) will consider toll increases after next week's New Jersey elections. The authority which operates six northern New Jersey-New York City crossings hasn't had a toll increase for six years.The Newark Star Ledger ran the story this morning. They say the PANYNJ is after an increase in toll revenue of around $300m a year. That would be a 38% increase on the $799m of 2006 and about 37% more than this year's toll revenues of around $810m.
It is unclear how the authority will allocate toll increases.
A 37% increase in the cash toll for cars would take it from $6.00 to $8.22 or rounded to $8.25. Nearly 80% of transactions are with transponders (brand E-ZPass) and the present rates are $5.00 in peakhours and $4.00 offpeak.
These are the most sensitive politically.
A 37% increase in the peakhour transponder toll would take it from $5.00 to $6.85 and the offpeak toll from $4.00 to $5.48.
Given that the cash toll is paid only by occasional users the proposal may be to raise it to a round $9 or even $10. Then transponder tolls could be raised somewhat less - maybe to $5.25 offpeak and $6.50 peak for cars.
Trucks constitute about 6% of the traffic but nearly a fifth of the revenue with per axle charges of between $3.50 overnight and $5 daytime offpeak with a $6 charge for a transponder in peakhours and for cash payment all hours. Those rates if evenly distributed would go to $4.80, $6.85 and $8.22. The cash payment needs to be rounded to say $8.25/axle but electronic toll rates don't need to be.
BACKGROUND:Â PANYNJ is a bistate authority equally controlled by the governments of New York and New Jersey. It does ports, airports, rail transit, a bus terminal, the World Trade Center and toll crossings - the last being the most profitable.
The George Washington Bridge and the Lincoln and Holland Tunnels provide 24 travel lanes across the Hudson River between New Jersey and Manhattan, while the three other bridges provide 12 travel lanes between New Jersey and Staten Island NY.
Traffic in 2006 for the first time exceeded levels before the 9/11/2001 attacks at an average daily of 348k in the eastbound tolling direction.
The George Washington bridge is the big money spinner. Last year it brought in $330m in tolls and after allocating costs it netted $176m.
The Lincoln Tunnel brought in $117m in tolls but lost $13m after costs were attributed, depreciation, amortization and interest expenses looming large. The Holland Tunnel with $88m tolls also loses a small amount, as does the lightly trafficked Bayonne Bridge with $22m tolls.
However the old Goethals Bridge and the Outerbridge both make money. The Goethals with $78m in tolls nets $45m, and the Outerbridge on Staten Island tolls $84m and nets $48m.
Staff at the Tunnels Bridges & Terminals division has dropped from 1,126 in 1997 to 938 in 2006, about one sixth decline - attributable to reduced toll collectors as electronic tolling has become the dominant collection mode.
PANYNJ is examining abolition of cash collection and a move to all electronic tolling. Its major new capacity project is replacement of the 1922 Goethals bridge with its four ancient 3m (10 foot) wide lanes that so poorly link the New Jersey Turnpike and the Staten Island Expressway (I-278).
TOLLROADSnews 2007-10-31