N.Y., N.J. Projects Make Bush Budget

President George Bush's proposed FY 2006 budget earmarks funding for several mass transit projects in New York and New Jersey. They are among four new projects and 16 previously committed projects the administration is proposing to fund in fiscal year 2006.

In its largest new commitment, the Federal Transit Administration would dedicate $390 million to East Side Access, a $7.7 billion, 3.5-mile project linking the Long Island Rail Road to a new passenger concourse at Grand Central Station. It would use an existing rail tunnel under the East River as the connection and ease congestion at Pennsylvania Station, the commuter line's only existing stop in Manhattan.

Under a continuing funding agreement, the budget would dedicate $100 million to New Jersey Transit's $1.21 billion, 5.1-mile, six-station extension of the Hudson-Bergen Waterfront Light Rail Transit System. The total federal share of the project along the Hudson River waterfront would rise to $500 million. Meanwhile, as a project under consideration for funding, the proposed $12 billion Second Avenue subway in Manhattan would be eligible for $158 million for a 2.3-mile segment.

Relegated to a category of projects deemed not ready for funding is the New Britain-Hartford Busway, a $337 million bus rapid transit system proposed by the Connecticut Department of Transportation. The 12-station, 9.6-mile project would run primarily through an abandoned railroad right of way.

Shortly after the budget's unveiling, a bipartisan group in the U.S. House of Representatives introduced a long-awaited reauthorization bill for highway and transit funding. The $283 billion plan, dubbed the Transportation Equity Act: A Legacy for Users (TEA LU), would run through 2009.

Delta Modernizes Terminals

A spring kickoff is set for a four-year, $300 million modernization of the Delta Air Lines terminals at John F. Kennedy International Airport in Queens. Turner Construction's New York office will lead the renovation of 1 million sq. ft. of Delta's Terminals 2 and 3. Turner will also add 100,000 sq. ft. under its $220 million contract with the airline.

Designed by Manhattan-based Corgan Associates, the upgrade will streamline baggage handling, security, and air conditioning systems, among other improvements. Completion of the multiple-phase job is scheduled for 2009.

N.J. Fights for "Pay-to-Play" Ban

Despite federal government pressure that forced New Jersey to dilute a ban on "pay-to-play" contract bidding, the state is trying to reinstate the measure.

The U.S. Federal Highway Administration had threatened to freeze up to $800 million in federal funds in response to an executive order issued last September by former Gov. James McGreevey. The order, an attempt to end the perceived corrupting influence of political contributions, prohibited contract awards worth more than $17,500 to any firm making a reportable donation during certain periods to a governor, gubernatorial candidate, or state or county party committee.

The order ran into a roadblock earlier this year when the highway administration told the state that the ban conflicts with federal regulations. The agency warned that it would withhold funds unless the governor exempted federally funded contracts from the order.

After a federal district court refused to issue a restraining order the state had sought, Acting Gov. Richard Codey announced he was modifying the order to avoid stalling 19 current projects valued at $250 million. But Codey also promised to appeal the court ruling and asked the state's delegation to the U.S. Congress for corrective legislation.

Cruise Projects Leave Dock

Starting this fall, cruise ship passengers will be able to set sail from a new $30 million cruise terminal on the Brooklyn waterfront. Earlier this year, the New York City Economic Development Corp. struck a deal to lease 28 acres from the Port Authority of New York and New Jersey, including Pier 11, Pier 12, an upland area, and the Atlantic Basin.

The new facility will serve growing demand. In 2003, nearly 900,000 passengers came through the New York Cruise Terminal on Manhattan's West Side, double the 1990s average of about 400,000. New York will be the sole northeastern port for the Norwegian and Carnival cruise lines until at least 2017.

Designed by Miami-based Bermello, Ajamil & Partners, the 185,000-sq.-ft.-terminal will be located on Pier 12. Turner Construction, the construction manager, is scheduled to have the one-story building ready for ships to call in September and to complete the terminal by April 2006. The project will also add 400 parking spaces.

The Brooklyn terminal is part of a master plan that includes a phased $170 million upgrade of the New York Cruise Terminal on 12th Avenue between 46th and 54th streets. Scheduled for completion in 2009, the program will add separate arrival and departure levels to minimize congestion. Adjustable gangways and expanded pier aprons will accommodate larger ships. The upgrade will also enhance security measures, add passenger drop-off facilities, and expand parking.

Deal Sparks Plant Upgrades

Six coal-fired power plants in upstate New York will get emissions controls under agreements recently announced between the state and the plants' operators. NRG Energy of Princeton, N.J. will install controls at two plants: Dunkirk Station, a four-unit, 600-Mw facility 55 miles southwest of Buffalo; and Huntley Station, a six-unit, 760-Mw plant three miles north of the city. NRG will also switch Huntley to low-sulfur fuel and retire four units.

The deal settles a 2002 state lawsuit charging that the plants' previous owner, Niagara Mohawk Power, made major modifications without installing upgraded emissions controls required by the federal Clean Air Act.

In a separate agreement, AES of Arlington, Va., pledged to shut down or install new controls at plants in Corning, Johnson City, and Bainbridge, N.Y. The company will also install innovative clean coal technology at its plant in Torrey. In 2000, the state identified violations at the Johnson City and Torrey plants, formerly owned by New York State Electric and Gas, but utility and state officials reached a settlement without a lawsuit.