NEW CONTRACT FOR HUDSON-BERGEN LIGHT RAIL YIELDS SAVINGS FOR NJ TRANSIT

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September 22, 2005

NEWARK, NJ ¿ The NJ TRANSIT Board of Directors today approved $2.4 million for two projects that will improve transportation infrastructure in South Jersey: a $1 million contract to rehabilitate Camden¿s Walter Rand Transportation Center (WRTC) and a $1.4 million contract to rehabilitate the Beach Thorofare Waterway Drawbridge on the Atlantic City Rail Line.

"These projects¿and dozens of others like them around the state¿reflect our commitment to maintain our infrastructure in a state-of-good-repair," said NJ TRANSIT Executive Director George D. Warrington. "We will continue to make the capital investments necessary to keep New Jersey moving."

The Walter Rand contract will address water infiltration at one of South Jersey¿s busiest transportation hubs serving nearly 20,000 customers on bus, River LINE and PATCO services. Since the WRTC opened in 1987, the structure has suffered from deterioration due to water infiltration from the parking deck and stair towers. The work authorized today will repair existing damage and stop further infiltration.

Construction is expected to be completed in approximately 12 months.

Rehabilitation approved for 83-year-old drawbridge

Also today, the Board approved a rehabilitation project for the Beach Drawbridge on the Atlantic City Rail Line. Built in 1922 and last rehabilitated in 1988, the swing bridge carries 35 Atlantic City Rail Line daily trains and 3,000 passenger trips over the Beach Thorofare Waterway in Atlantic County.

The repair work will positively impact NJ TRANSIT customers, as well as marine users of the Beach Thorofare Waterway, by extending the bridge¿s lifespan. Crews will repair underwater concrete piers, remove deteriorated protective timber sheeting and install of new vinyl sheeting below th

September 22, 2005

NEWARK, NJ ¿ The NJ TRANSIT Board of Directors today approved a contract amendment with the operator of the Hudson-Bergen Light Rail (HBLR) system, 21^{st Century Rail Corporation of Lyndhurst, NJ, extending the operating and maintenance portion of the contract by five years and yielding immediate cost savings for NJ TRANSIT when compared to the original contract terms.}

"We are aggressively managing the HBLR operation to ensure every possible business efficiency is achieved," said Rich Sarles, NJ TRANSIT Assistant Executive Director of Capital Programs. "With the benefit of five years of experience, we know where to find cost savings without compromising service quality."

Under the new agreement, 21st Century will operate and maintain the HBLR system through April of 2020¿a five year extension that will include extending the service to Tonnelle Avenue Station this winter. The new contract also reflects changes in HBLR security¿now provided by NJ TRANSIT Police¿and utilities, which are now purchased directly by NJ TRANSIT to achieve greater cost savings.

The estimated cumulative effect of these contract changes will reduce operations and maintenance payments by about $5 million annually to $35 million per year once the new segment opens to Tonnelle Avenue.

NJ TRANSIT is the nation's largest statewide public transportation system providing more than 800,000 daily trips on 240 bus routes, three light rail lines and 11 commuter rail lines. It is the third largest transit system in the country with 162 rail stations, 52 light rail stations and more than 17,000 bus stops linking major points in New Jersey, New York and Philadelphia.

e water line to protect the piers from erosion.

Construction will begin next month with completion expected in December. During the project¿which was scheduled during the "off season" to minimize impact to boaters¿some short, temporary closures of the waterway will be necessary. There will be no impact to NJ TRANSIT service between Atlantic City and Philadelphia.