A410

An Act concerning certain increases implemented by the New Jersey Turnpike Authority and the South Jersey Transportation Authority and amending P.L.1977, c.230 and P.L.1991, c.252.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. Section 1 of P.L.1977, c.230 (C.27:23-5.10) is amended to read as follows:

1. a. The authority shall, whenever it desires to increase any existing toll or establish any new toll for the use of any highway project and the different parts or sections thereof, hold a public hearing on [such] the proposed toll at least 45 days prior to the date on which [such] the toll is proposed to become effective.

b. Prior to the implementation of any toll increase, including an automatic toll increase, the chair and the executive director of the authority, and any staff of the authority deemed necessary by the chair or executive director of the authority, shall appear before the Senate Transportation Committee and Assembly Transportation and Independent Authorities Committee, or any successor committees, to provide a detailed explanation of the reasons for the toll increase including, but not limited to:

(1) the financial need or justification for the toll increase;

(2) the impact of the toll increase on commuters, businesses, and the general public;

(3) how the authority plans to use the revenue generated from the toll increase; and

(4) any alternatives that the authority considered to avoid or minimize the toll increase.

The authority shall provide to the Legislature a written, detailed explanation of the reasons for the toll increase including all the information required pursuant to this subsection at least two days prior to appearing before a legislative committee as required pursuant to this subsection.

c. The authority shall not implement a toll increase, including an automatic toll increase, including an automatic toll increase, that exceeds two percent during any five-year period.

d. As used in this section, “automatic toll increase” means an increase in tolls that occurs after a period of time has elapsed, provided that the authority adopted the toll increase as part of a plan to increase tolls periodically after certain periods of time have elapsed.

(cf: P.L.2003, c.79, s.16)

2. Section 20 of P.L.1991, c.252 (C.27:25A-20) is amended to read as follows:

20. The authority may increase any existing toll, fare or facility or other charge or establish any new toll, fare or charge for the use of any project and the different parts or sections thereof.

a. The authority shall hold at least three public hearings, each in a different county, on a proposed toll, fare, or charge for any expressway project the latter of which shall be held at least 45 days prior to the date on which the toll, fare, or charge is proposed to become effective. The authority shall publish a notice of the hearing at least 10 days prior to each hearing in at least five newspapers with the largest daily circulation in South Jersey and in at least one newspaper with the largest daily circulation in this State.

b. The authority shall hold at least two public hearings, each in a different location in Atlantic County, on a proposed toll, fare, or charge related to any project operated pursuant to section 22 of [this act] P.L.1991, c.252 (C.27:25A-22) at least 45 days prior to the date on which the toll, fare, or charge is proposed to become effective. The authority shall publish a notice of the hearing at least 10 days prior to each hearing in at least five newspapers with the largest daily circulation in South Jersey and in at least one newspaper with the largest daily circulation in this State.

c. Prior to the implementation of any increase in toll, fare, or charge for use of any project or the different parts or sections thereof, including an automatic increase, the chairperson and executive director of the authority, and any staff of the authority deemed necessary by the chairperson or executive director of the authority, shall appear before the Senate Transportation Committee and Assembly Transportation and Independent Authorities Committee, or any successor committees to provide a detailed explanation of the reasons for the increase including, but not limited to:

(1) the financial need or justification for the increase;

(2) the impact of the increase on commuters, businesses, and the general public;

(3) how the authority plans to use the revenue generated from the increase; and

(4) any alternatives that the authority considered to avoid or minimize the increase.

The authority shall provide to the Legislature a written, detailed explanation of the reasons for the increase including all the information required pursuant to this subsection at least two days prior to appearing before a legislative committee as required pursuant to this subsection.

d. The authority shall not implement an increase in a toll, fare, or charge, including an automatic toll increase, that exceeds two percent during any five-year period.

e. As used in this section, “automatic increase” means an increase in a toll, fare, or charge that occurs after a period of time has elapsed, provided that the authority adopted the increase as part of a plan to increase the toll, fare, or charge periodically after certain periods of time have elapsed.

(cf: P.L.1991, c.252, s.20)

3. This act shall take effect immediately.

STATEMENT

This bill requires the New Jersey Turnpike Authority (NJTA) and the South Jersey Transportation Authority (SJTA) to appear before the Senate Transportation Committee and Assembly Transportation and Independent Authorities Committee prior to increasing tolls or other charges, as applicable, including any automatic increases. Specifically, the bill requires the NJTA and the SJTA to provide the committees with a detailed explanation of the reasons for the increase, including, but not limited to: (1) the financial need or justification for the increase; (2) the impact of the increase on commuters, businesses, and the general public; (3) how the authority plans to use the revenue generated from the increase; and (4) any alternatives that the authority considered to avoid or minimize the increase. In addition, the bill prohibits the NJTA and the SJTA from implementing an increase in a toll or other charge, as applicable, including an automatic toll increase that exceeds two percent of the current toll rate during any five-year period.