On Third Day Of NJ Transit Fare Hike Hearings, Advocates Call on NJ Transit, Gov. Murphy & Legislature To Roll Back Fare Increase As Part of Broader Dedicated NJ Transit Funding

Trenton – At the fifth hearing for NJ Transit’s 10-county rolling 15% fare hike hearings, a broad set of advocates came out to call for Governor Murphy, legislative leaders and NJ Transit to move forward on stable dedicated funding for NJ Transit that would include rolling back the NJ Transit fare hikes as part of the dedicated corporate transit fee. Last week, Governor Murphy during his FY25 budget address in Trenton announced his proposal for a dedicated source of funding for NJ Transit through a scaled-down corporate business tax surcharge to generate more than $800 million.

“We shouldn’t work to balance the budget of NJ Transit over the backs of train and bus riders. Governor Murphy has stepped up with his FY25 budget proposal to take the first step to provide dedicated funding through a modified corporate transit fee. NJ Transit’s fiscal state is dire enough that we need to maintain FY24 state funding and increased funding from the NJ Turnpike Authority to provide increased dollars to NJ Transit to stop this year’s fare hikes, future stealth annual fare hikes and FlexPass abolishment and end a legacy of budget raids,” said Doug O’Malley, Director of Environment New Jersey. “Ending the fiscal cliff still leaves NJ Transit with the same legacy of an underfunded fleet of trains and buses, and perpetual raids on capital and clean energy funds. This is the beginning of the path to achieve dedicated funding, but we need Gov. Murphy and the Legislature to work closely in the next three months to pass dedicated funding and stop the fare hikes for NJ Transit riders.”

NJ Transit, which would be facing close to a $1 billion fiscal cliff next year because of expiring federal funds, has never had dedicated funding. But the Governor’s plan still won’t avoid his proposed 15% fare hike on all bus and rail riders, including a stealth annual 3% fare hike every future year, as well as the elimination of the widely popular FlexPass, which could result in fare hikes of more than 40% for riders.

“When these fare hikes were first proposed, NJ Transit was facing a dire budget shortfall with no promise of additional state aid. Now that the governor has identified a new source of funding for the agency, there’s no need to rush through a drastic fare hike that could do more harm than good,” said Alex Ambrose, Policy Analyst at New Jersey Policy Perspective (NJPP). “A double-digit fare hike could price out low-income residents, harming the state’s economy and leading to a further drop in ridership. The agency’s long-term future looks very different than it did in January, and the agency has every reason to reevaluate this proposal so NJ Transit’s budget isn’t balanced on the backs of riders.”

Transit advocates and coalition partners started weighing in at the first hearings on Monday. And they were then joined last night by former Senate Majority Leader Loretta Weinberg and long-time transit champion and Asw. Shama Haider at the Hackensack hearing.

“Governor Murphy made public commitments to significantly reduce climate emissions in the transportation sector and fix NJ Transit if it kills him. But to the contrary, he is raising fares every year without a known plan to improve service or prioritize capital investment in the electrification of transit buses and corresponding infrastructure as required by law. At the same time, he is moving full steam ahead on a $10+ billion turnpike expansion that could be better put to improving public transit thereby reducing traffic congestion and keeping local neighborhoods intact and with less air pollution in every breath,” stated Amy Goldsmith, NJ State Director, Clean Water Action. “Climate, economic and environmental justice requires an aggressive commitment to transit affordability and reliable service for all riders whether they ride the bus or the rails. Governor Murphy, no fare hikes. Full stop!”

The full list of remaining hearings is below – which  unfortunately don’t have a virtual option  – which are in the morning and evening across Central and North Jersey. The final hearing will be this a Friday night, March 8 at 6 p.m. at the NJ Transit Headquarters right across from Newark Penn Station. The hearing won’t have a virtual option even though the room is set up for virtual testimony during regular NJ Transit Board meetings.

“While it is a relief to see a transit funding proposal included in the Governor’s budget, we are incredibly disappointed to see that the administration does not plan to reduce the double-digit fare hikes proposed earlier this month, especially for local bus,” said Zoe Baldwin, New Jersey director for the Regional Plan Association. “Small and predictable fare increases make sense to offset rising costs, but the proposed double-digit increase will cause unnecessary pain for families already struggling with a skyrocketing cost of living. Similarly, many riders’ wages do not increase 3% each year and the agency should considering lowering this annual increase, especially as service levels remain stagnant. NJ Transit is an economic driver, not a financial liability and it’s high time New Jersey leverage this vital asset to make our state more equitable, more sustainable, and less car-dependent.”

Advocates also highlighted the inequity in spending more than $10.7 billion on expanding the Turnpike Extension while socking it to NJ Transit bus and rail riders with a fare hike, which was reiterated during a protest of the NJ Turnpike Authority’s open house on the expansion project last week in Newark.

“NJ Sierra Club strongly opposes these fare hikes and urges NJ Transit to prioritize equity and accessibility above all to not further burden people that need mass transit the most. Fare hikes are not sustainable in the long run and should be a last resort, not the first solution,” said Anjuli Ramos-Busot, NJ Sierra Club Director.

Even after this week of hearings, the issue of NJ Transit funding will ultimately be decided by the Legislature and Gov. Murphy, despite a requirement for NJ Transit to finalize their next fiscal year budget by April 1.

“We’re glad Governor Murphy recognized the need for new, dedicated funding for NJ Transit in his budget. Long-term funding can’t be double digit fare hikes on the backs of riders who simply can’t afford it,” said Ed Potosnak, Executive Director, New Jersey LCV. “A vibrant, electrified public transit system is critical to fight climate change and keep New Jersey economically competitive. Raising fares on those who rely on public transportation at a time when NJ Transit ridership is trying to recover from the COVID-19 pandemic is a huge mistake.”

“New Jerseyans can’t afford the quadruple whammy of fare, toll, electric vehicle and gas tax hikes that the Murphy Administration and some legislators have just proposed. That’s an unfair burden to wallets, pocketbooks and lungs that will just result in more traffic, congestion, and pollution. With NJ Transit essential to getting people to work, growing the economy, fighting climate change, and stopping the poisoning of our bodies, there are far superior alternatives than this quadruple whammy — for starters increasing the corporate mega-millionaire’s tax and shelving the $10 billion with a ‘B’ boondoggle Turnpike expansion for just 10 miles of road,” said David Pringle of the Empower NJ steering committee.

“Public transportation, especially when it is powered by clean energy and reliable, can lower emissions and power our state’s economy by allowing thousands of New Jerseyans to get to work and complete daily tasks,” said Debra Coyle, Executive Director of NJ Work Environment Council. “We commend the Governor for proposing to establish a dedicated funding source and recognize the very real fiscal cliff New Jersey Transit is facing. That said, we have to find another way to balance the budget other than to raise fares for riders who are already having to make their hard-earned dollars stretch further.”

NJ Transit is accepting public comments until 11:59 p.m. this Friday March 8th. Here is the full list of scheduled in-person hearings for the rest of the week:

• Wednesday, March 6, 2024 6:00pm – 8:00pm; Belmar Municipal Building– Council Chambers, 601 Main St., Belmar, NJ 07719
• Thursday, March 7, 2024 10:00am – 12:00pm; Berkeley College Woodbridge Campus Student Center, 430 Rahway Ave., Woodbridge, NJ 07095
• Thursday, March 7, 2024 6:00pm – 8:00pm; Kean University– North Avenue Academic Building, Conference Center, Room 606, 6th Floor, 1000 Morris Ave., Union, NJ 07083
• Friday, March 8, 2024 10:00am – 12:00pm; Frank R. Lautenberg Station at Secaucus Junction– Long Hallway, County Road & County Avenue, Secaucus, NJ 07094
• Friday, March 8, 2024 6:00pm – 8:00pm; NJ TRANSIT Headquarters – Boardroom, One Penn Plaza East, Newark, NJ 07105

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