The Transportation Trust Fund

Today in the Assembly Transportation Committee, we passed Assembly bill 2813, a bill introduced by my Assembly colleague John Wisniewski, which is designed to prevent the insolvency of New Jersey's Transportation Trust fund.

Although this bill is not a perfect solution, it is the best solution we have under these difficult circumstances. While we consider new revenue sources, this legislation will allow the Transportation Trust Fund to continue to support capital projects. Without action, on June 30 the Fund would become insolvent, and we would lose out on $1.2 billion in annual federal aid, which is the equivalent of an additional 25 cents in gas tax. I know I don't want to see that tax increase, and I'm sure 12th District constituents don't either.

I am most encouraged by the fact that this bill creates oversight over the Fund, which is currently lacking, and which is needed to ensure fiscal discipline so that funding is not siphoned off for other purposes. The bill dedicates the full 10.5 cents of gas tax to transportation infrastructure.

The problems we’re facing with the Transportation Trust Fund came about because of the same types of poor fiscal practices that landed New Jersey in dire straits in every area of our budget. State government under both Democrats and Republicans too often utilized asset sales, financial gimmicks, and debt deferrals to plug budget gaps.

We do not want our children and grandchildren saddled with additional debt we create today, but we also don’t want them on unsafe bridges, or trains that are not maintained.

If you would like to see the text of this bill, visit http://www.njleg.state.nj.us/ and type "A2813" (no dash) in the bill number search field.