October 21, 2016
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NJ Ends Transportation Funding Impasse with 23-Cent Tax Hike

Republican New Jersey Gov. Chris Christie signed legislation Oct. 14 that revised the New Jersey Transportation Trust Fund Authority Act and issued an executive order that rescinded previous orders to freeze construction and rail projects statewide.

The signing followed Christie and Democratic leaders reaching a bipartisan agreement for funding transportation initiatives by raising the state’s gas tax by 23 cents a gallon, the first time it has been raised since 1988. The new revenue will replenish the state’s Transportation Trust Fund and will finance a wide-ranging, multiyear $16 billion transportation program that Christie previously said will strengthen the state’s infrastructure and economy.

The gas tax increase is partially offset by reductions in the sales tax and other tax-related changes.

In addition, Christie encouraged voters to support a November ballot measure to dedicate all new gas tax funds to transportation projects.
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