SENATE TRANSPORTATION COMMITTEE
STATEMENT TO
SENATE, No. 3410
STATE OF NEW JERSEY
DATED: FEBRUARY 7, 2019
The Senate Transportation Committee reports favorably Senate Bill No. 3410.
As reported, this bill establishes in conjunction with the State of New York, the Gateway Development Commission (commission). The commission is a new bi-state entity that is created to, in part, facilitate the completion of passenger rail transportation projects known as the Gateway Program (project) and to coordinate cooperation among various entities. The commission is to be comprised of three commissioners, with one to be appointed by the Commissioner of the New York State Department of Transportation, one to be appointed by the Board of Directors of the New Jersey Transit Corporation, and one to be appointed by the National Railroad Passenger Corporation (Amtrak). However, individuals currently serving as trustees of the Gateway Program Development Corporation are to be the initial commissioners of the commission. The initial commissioners and those appointed thereafter are to serve three-year terms. A commissioner, including an initial commissioner may be reappointed for a successive three-year term. The commissioners from the State of New Jersey and the State of New York are indemnified by their respective state to the same extent that the state indemnifies a public officer for any claim or judgement arising out of the public officer’s official duties.
The commissioner who was serving as the chairperson of the board of trustees of the Gateway Program Development Corporation is to serve as the first chairperson of the commission and is to serve until the date on which the commissioner’s term as the Gateway Program Development Corporation chairperson would have expired or the date on which the commissioner is otherwise terminated as a commissioner, whichever occurs first. Thereafter, the commissioner appointed by the state that did not appoint the initial chairperson is to be the next chairperson of the commission. The position of chairperson then alternates between the commissioners appointed by each of the state transportation entities. The chairperson is to hold office for one year. The commissioner appointed by Amtrak is to serve as the vice-chairperson of the commission. The commission is to meet regularly and the powers of the commission are to be exercised by the commissioners at a meeting where a quorum is present, except in certain circumstances. Action may be taken and motions and resolutions adopted by unanimous affirmative vote of the commissioners. The commission is authorized to request the assistance and services of certain employees and agents to carry out its duties and to employ professional, technical, and clerical staff and consultants. The commission is to adopt bylaws, rules, and regulations concerning the right of the public to be present at meetings of the commission and to obtain records of the activities of the commission. The bill includes provisions detailing the duties and powers of the commission
The commission is not required to pay any taxes or assessments levied by either state or local government of either state on any property used for the facilitation of the project or any income or revenue from facilitation of the project. The commission is authorized to enter into a voluntary agreement with any local government to pay, in lieu of taxes, an annual sum for any real property acquired and owned by the commission and to provide a rental payment by any person occupying any portion of the real property. However, the voluntary agreement is not to provide for payment of an amount in excess of the amount last paid as taxes upon the real property prior to the time the commission acquired the real property.
The commission is required to conform to the construction, maintenance, and health and fire protection requirements of the state or local government where the project is located in so far as the commission finds it practicable to do so. The commission is also required to submit copies of plans and specifications for buildings and structures to the appropriate state and local government officials and is to receive their comments and suggestions. However, the commission is to make the final determination as to which of those comments and suggestions to accept.
The bill includes a provision whereby New Jersey and New York consent to suits, actions, or proceedings against the commission except in certain situations as described in the bill. The bill provides that the commission is immune from liability in New Jersey in the same manner that the State is immune under the provisions of the “New Jersey Tort Claims Act” and the “New Jersey Contractual Liability Act.”
The commission is to dissolve following a joint determination by the governors of New Jersey and New York that the project has been completed or should be transferred to another agency, instrumentality, or entity. The commission is not to dissolve unless any debt incurred for project purposes has been repaid or arrangements have been made to ensure full repayment without impairment of creditworthiness, and Amtrak is not unduly prejudiced by the dissolution.
The bill requires the New Jersey Commissioner of Transportation to acquire, by eminent domain, certain property interests located in the State which are necessary or appropriate for the construction, reconstruction, development, redevelopment, use, occupancy, operation, and maintenance of passenger rail transportation facilities and ancillary facilities between Newark Penn Station and the State’s Hudson River boundary line. The acquisition of property interests is to be contingent upon an agreement with the Gateway Development Commission and the Gateway Development Commission agreeing to pay the costs to acquire the property interests.