Financial settlement represents "new era" for Amtrak and NJ Transit

A financial settlement between New Jersey Transit and Amtrak establishes a "new era" in the partnership between the two companies that will usher in improvements in infrastructure, safety and customer service. 

New Jersey Gov. Phil Murphy, Amtrak Board Chairman Tony Coscia and NJ TRANSIT Executive Director Kevin Corbett held a press conference at New York Penn Station on Feb. 13 to announce the finalization of the settlement, which takes care of NJ Transit's $182-million debt to Amtrak, which includes contributions to operations and capital as required by the Passenger Rail Investment and Improvement Act of 2008. NJ Transit will pay Amtrak $7 million per month and that money will be used to enhance and maintain mutually beneficial projects along the Northeast Corridor. 

“Investing in our infrastructure, improving customer experience, and enhancing the safety of the traveling public are among the highest priorities of our administration,” said Gov. Murphy. “The announcement today establishes a partnership that will achieve these goals now, and lays the financial foundation for continued improvements into the future. After eight years of disinvestment in, and mismanagement of, NJ Transit, collaborative partnerships like the one we are announcing today will go a long way to restoring the agency to its former preeminence.”

Amtrak and NJ Transit have jointly agreed to reinvest all of the funds that came from this – and other – agreements into existing and future joint Northeast Corridor infrastructure projects that benefit both Amtrak and NJ Transit, as well as the safety and travel experience of their customers. That includes the Portal Bridge, as both organizations also highlighted that they are ready to begin full construction on Portal North as soon as federal funding is secured.

“We’re excited to announce that Amtrak and NJ Transit, through our strong and cooperative relationship, have come to a financial agreement that paves the path to further improving the infrastructure, customer experience, and safety of our customers,” said Coscia. “Thanks to Gov. Murphy and NJ Transit Executive Director Corbett’s leadership, partnership, and joint commitment to collaboration and the traveling public, the future is bright for Amtrak and NJ Transit customers due to the power in partnership.”

Amtrak and NJ Transit also announced their plan for joint facility improvements, including the redesign of the Main (8th Avenue) Concourse, targeted for after Amtrak’s relocation of major passenger-facing facilities to Moynihan Train Hall in 2021, to provide expanded passenger facilities and customer amenities, a refreshed ticketed waiting room, better platform access, and improved street level entrances. Amtrak explains that as the owner and steward of New York Penn Station, the railroad is 100 percent committed to its revitalization and future development, including continuing its efforts to enhance the passenger experience.

“This agreement represents a clean slate and a new era in our relationship with Amtrak,” said Corbett. “In addition to continued infrastructure improvements and enhancing safety, this significant investment and strengthened partnership allows long-stalled major capital projects along the Northeast Corridor like County Yard and the Elizabeth Station Reconstruction project to advance. NJ Transit will also have more input in the coordination and prioritization of these vital projects that will have a direct impact on improving the customer experience.”