A report [pdf] released by the nonpartisan Government Accountability Office reveals that "straight-shooting" New Jersey Governor was more Dick Cheney than Annie Oakley when talking about how much the scrapped Hudson River tunnel project would have cost his state. Despite Christie's warnings of ARC costing as much as $14 billion, the report states that the actual cost according to state transportation officials, would have been no higher than $10 billion. And though the governor stated that New Jersey was shouldering 70 percent of the cost, the GAO report put it at 14.4 percent.
Chris Christie Exaggerated Cost Of The Killed Hudson Tunnel Project
Chris Christie Caves, Jersey Will Repay Federal Tunnel Funds
Chris Christie is flip flopping left and right this week. Not only is he seemingly reconsidering his definitive statements against running for President but today he also has capitulated to the US Department of Transportation. Though earlier this year he was adamant that New Jersey would not be paying back the federal government any of the funds it had taken for the Trans-Hudson ARC tunnel he nixed (citing its high cost), today he agreed to pay back $95 million of the $271 million in federal dollars spent by the state on the project (in addition to agreeing to spending some of the funds it received on USDOT-approved projects).
Christie Taking Feds To Court Over $271 Million ARC Debt
New Jersey Governor Chris Christie announced plans to take the Obama administration to court to fight repaying the feds $271 million it was given to complete the ARC tunnel project, which Christie cancelled because it was too expensive. Apparently Christie didn't understand Transportation Secretary Ray LaHood when he said, "The law is clear on this matter. After the initial contract was entered into and later expanded at Governor Christie’s request, the state of New Jersey broke the terms." Christie said yesterday, "I ain't paying them. We're going to go to court. We're going before an impartial judge and let the judge decide." Who else read that in a Yosemite Sam voice?
Christie Still Won't Give Up NJ's ARC Debt
Over the weekend, Transportation Secretary Ray LaHood ordered New Jersey to repay the $271 million (plus interest) they owe the federal government after canceling the Trans-Hudson ARC tunnel project. But Christie isn't budging, saying, “This is about whether that money will stay in New Jersey and be used for road projects in this state, or the federal government so it can go to another state.” New Jersey will be charged $52,000 a week in interest for failing to repay. But if he just ignores the feds they'll go away, right?
Christie: "We're Not Paying For ARC," Feds: "Yes You Are"
After scrapping the plan for the Trans-Hudson ARC tunnel (because it was too expensive), Governor Chris Christie said in no way is New Jersey paying back the $271 million owed to the federal government. But yesterday, Transportation Secretary Ray LaHood rejected the state's arguments and ordered them to repay the debt, on which interest is already growing. LaHood said he traveled to New Jersey to salvage the project after Christie cancelled it, and wrote, "The purpose of my efforts was to avoid the very circumstance in which we now find ourselves: No jobs, no congestion relief and an enduring debt whereby New Jersey must return $271 million to the nation's taxpayers."
Surprise! Christie Likes the New Trans-Hudson Tunnel Plan
Yesterday Frank Lautenberg and Robert Menendez, the senators from New Jersey, teamed up with Amtrak to announce their vision of a new tunnel from Jersey to the city to replace the late trans-Hudson ARC project and what do you know—even though the new project will take longer to complete, cost more, and offer less service than the scraped project—New Jersey Governor Chris Christie seems to like it. But what about that 7 extension to Jersey?
The Unbuilt NJ/NYC Tunnel is So Hot Right Now
Left for dead not months ago, the proposed trans-Hudson ARC tunnel is all the rage these days. Last week came word that NYC was dropping a quarter-million bucks to investigate further the idea of extending the 7 line to Secaucus and today the two senators from Jersey are breaking with Governor Christie and announcing another proposal to get more rails running from Jersey into the Empire State.
7 Train To Jersey Idea Is Alive! Alive!
Remember the hot minute when it looked like the derailed ARC tunnel project connecting Jersey and the city was going to be replaced by a 7 train extension? The dream isn't dead yet! The Daily News is reporting that the city has given a quarter-million dollar no-bid contract to an engineering firm to look at the idea. And the decision if this is a good idea or not should come in "a matter of months, not years," according to Deputy Mayor Robert Steel.
Christie: We Are Not Paying The Tunnel Money Back
Chris Christie really doesn't want to give back that $271 million in funding for the ARC Trans-Hudson Express tunnel he canceled in October. Like, at all. "We are not paying the money back," he announced yesterday on a radio call-in show on the deadline for Jersey to pay back the Federal Transit Administration.
Schumer Still Bitter About Death Of ARC Tunnel
Even though it was widely thought to be one of the worst economic decisions in the tri-state area, we were willing to leave New Jersey Governor Chris Christie's choice not to move forward with the ARC trans-Hudson tunnel in 2010 and start the year fresh. But Senator Chuck Schumer just can't let go! At a Crain's Breakfast forum he blasted the Governor for his "terrible, terrible decision" and for "sacrificing the growth of region's future for the exigencies of the moment." He said:
This Lady Helped Kill Trans-Hudson ARC Tunnel Project
As the feds await NJ Transit to repay the $271 million in federal assistance funds sunk into the now-cancelled Trans-Hudson ARC Tunnel project, NJ Governor Chris Christie explained who convinced him to kill the huge infrastructure plan: His wife. Christie said, "The lobbying to me on this one was from [the first lady]... She's, like, 'So this thing's going 10 stories under Macy's, [and] then I gotta go back up and I gotta walk over to Penn Station. I get on a subway...' She said, 'This is crazy. This doesn't make any sense.'" But was Mary Pat Christie wrong?
Feds Would Like Their Tunnel Money Back, Please
New Jersey Governor Chris Christie called his cancellation of the Trans-Hudson ARC tunnel project a "dollars and sense issue," as New Jersey couldn't afford the cost of $2.7 billion plus any overruns for the project. But now that he's cancelled it, the Federal Transit Administration is asking for the state to refund the cash they put in. In a letter written to NJ Transit head James Weinstein, the FTA says, “NJT must immediately repay all the Federal financial assistance expended for ARC under the [work agreement] which is currently estimated to be $271.091 million, plus reasonable interest and penalty charges that will be determined by FTA." Who wants to bet on when NJ Transit raises their fares?
Jersey's ARC Money To Fund Second Avenue Subway?
Earlier in the week, New Jersey's Governor Chris Christie kiboshed the trans-Hudson ARC tunnel, saying the state couldn't afford to pay more than the $600 million they had already put into the project. But what of the billions of dollars of federal money set aside for the project? Well, Senator Kirsten Gillibrand thinks the money would do a lot here in New York, where it could pay for things like the Second Avenue Subway or the East Side Access project. Or at least a few more hot plates for that one building.

