Senate Republican Caucus United in Opposition to Toll Revenue Diversion

October 6, 2008

Contact: Bill Murray / 609-292-5199
Senator Leonard Lance (R-23), Senator Tom Kean (R-21)

Caucus Asks for Bipartisan Support in Opposition to Clearly Illegal Diversion

Senate Republican Leader Tom Kean and Senate Republican Budget Officer Leonard Lance introduced a Concurrent Resolution today that begins the process of invalidating the New Jersey Turnpike Authorities’ attempt to illegally divert toll road revenue to the new trans-Hudson rail tunnel. All seventeen Republican members in the Senate have signed onto the legislation.

“I have introduced a resolution today, as required by the State Constitution, that declares that the diversion of toll road revenue to the construction of the new trans-Hudson rail tunnel is not consistent with the intent of the Legislature,” Kean stated. “This resolution begins the constitutionally required process of nullifying the toll revenue diversion.” (See Attachment)

“Testimony from the former commissioner of transportation on the language contained in the 2003 Turnpike consolidation legislation has raised serious questions about the legality of using tolls to finance a rail tunnel into Manhattan,” Lance said. “When the Turnpike consolidation law was being debated, the commissioner repeatedly assured legislators that the legislation banned spending tolls on anything but the Turnpike and Parkway. Moreover, the commissioner frequently said that the consolidation of the two authorities was designed to lower tolls, not raise them. Legislators relied upon these statements when they voted on the consolidation legislation, and it is extremely disturbing to discover five years after the fact, the Executive Branch has decided that those reassurances were meaningless.”

“The legislative intent of the statute is clear and supported by the testimony and public statements of the responsible officials of the Executive Branch, as well as the sponsors of the legislation,” Lance said. “Toll revenues cannot be used for non-highway projects, even a project as worthy as the trans-Hudson tunnel. The Governor isn’t the only one who can veto this proposal. The Legislature, as a co-equal branch of government, can as well.”

“Republicans support a well-funded and safely maintained transportation system, including the trans-Hudson tunnel,” Kean continued. “We do not support raising tolls to pay for projects that the people have demanded are financed with existing revenue. The Governor can’t get a gas tax increase through the Legislature. So rather than cut unnecessary spending as the public demands, he’s pushing through a toll increase to get around the opposition.

“Unelected state officials are holding illegal secret meetings, at the Governor’s request, to push these toll hikes through. We ask our Democratic colleagues to join us in our fight to make our state more affordable and protect New Jersey’s poor and middle class families,” Lance concluded.
The procedure for exercise of legislative review and veto of Executive Branch agency and independent authority rules and regulations is set forth in Article V, Section IV, Paragraph 6 of the New Jersey Constitution. A Concurrent Resolution, which does not require the Governor’s signature, must be adopted by both houses stating the Legislature’s finding that a rule or regulation is inconsistent with the legislative intent. The Constitution provides the agency or authority 30 days to withdraw or amend the rule or regulation. Then a public hearing must be held if the executive branch agency fails to amend or withdraw the rule or regulation. Finally, a second Concurrent Resolution must be adopted by both Houses to invalidate or prohibit the rule or regulation.

N.J.S.A. 27:23-5(g) provides:

In the exercise of its powers, by resolution to fix and revise from time to time and charge and collect tolls, fees, licenses, rents, concession charges, and other charges for each transportation project or any part thereof constructed or acquired by it. No toll revenue derived from the New Jersey Turnpike or Garden State Parkway shall be used or available for any transportation project other than a highway project and all transportation projects other than highway projects shall be self-sustaining: provided however that such toll revenues may be used to finance or support the costs of non-highway transportation projects on an interim basis according to such terms, with or without interest, as the authority shall establish. (Emphasis added)

Link to Post:

http://www.senatenj.com/index.php/tomkean/senate-republican-caucus-united-in-opposition-to-toll-revenue-diversion/1274