NJ-NAIOP Supports Findings and Recommendations of RPA Report By Michael McGuinness
New Brunswick, N. J. (PRWEB) September 29, 2005
New Jersey is less than one year away from a transportation standstill. Unfortunately, many people do not fully understand the severity or urgency of the current transportation funding shortage.
When the New Jersey Chapter of the National Association of Industrial and Office Properties (NJ-NAIOP) decided to help fund the RPA study, we did so because of the critical role of transportation in the health of our stateÂ’s residents and economy. The Chapter now strongly endorses the findings and recommendations of the report released by RPA this summer, which fairly and accurately captures the issues and represents a logical approach to addressing our stateÂ’s transportation financing crisis.
The State created the Transportation Trust Fund (TTF) in 1984 as a predictable source of transportation investment. Unfortunately, state government reduced the appropriate amount of operating assistance to transportation in the past two decades and borrowed from the Trust FundÂ’s revenues, helping to deplete its resources.
Now, NJ-NAIOP urges state lawmakers to make substantial efforts to identify and secure alternate revenue sources to supplement funds and eliminate expenses in the areas we can all agree are unnecessary. They must make long-term investments to ease the taxpayerÂ’s burden. Our 500 members are stakeholders in many ways: They are on the front lines of economic development in New Jersey and are ambassadors for attracting new business.
Our concern goes beyond the business and real estate industry: Most members live in New Jersey, and we are experiencing congestion that negatively affects the environment and the lives of everyone here. The total annual cost of traffic congestion in New Jersey in lost time, operating expenses and fuel consumption has reached $4.9 billion according to a report issued by the National Center for Transportation and Industrial Productivity at the New Jersey Institute of Technology in February 2000. People traveling longer to and from jobs experience higher levels of stress, which leads to increased health care costs and decreased labor productivity. Congestion translates into higher costs of truck freight operation also through driver wages and has a negative impact on the manufacturing industry and the service sector. If left unchecked, congestion will erode New Jersey's competitive advantage by obstructing the movement of people and goods, thereby weakening our efforts at business retention and attraction.
New Jersey’s roadways must be maintained and expanded to handle the traffic now and in the future – roads such as the New Jersey Turnpike, Route 78 and Routes 1 and 9. Additionally, newly created distribution and warehouse facilities in port areas will ease mobility issues, generate jobs and keep much of the distribution business in New Jersey instead of sending these jobs to Pennsylvania.
We must also consider the ongoing development and impact of the current dredging of our channels to 50 feet and future expansion of Port activity. This will generate increased cargo shipping from overseas that will inundate the Port neighborhoods and roadways, which are already sorely lacking good roadways and access. Without sufficient and reliable transportation infrastructure in the Port areas, the New Jersey economy stands to lose thousands of current and future jobs as carriers choose alternate ports for their import business.
Transportation finance must be a priority. NJ-NAIOP is advocating a stable, dedicated and broad-based source of funding for maintenance, repair and expansion of the stateÂ’s transportation infrastructure that includes highways, county and local roads and transit networks. If we choose to ignore the problem, roads will deteriorate and burden future generations. We support adherence by the TTF to strict financial standards; increased revenue for NJ Transit operations; improved efficiency, advancement of smart growth and the incorporation of best practices to maximize investments; and public accountability to prevent future insolvency of the TTF.
NJ-NAIOPÂ’s position supports investment in all modes of our transportation infrastructure and an increase in our mobility options, to be implemented as effectively and as soon as possible.
The State of New Jersey is highly dependent on transportation; the way people experience the transportation system is critical to the future progress of the state and region. We need better roads and bridges, less congestion, more buses and trains, cleaner facilities and a safer system overall. We need to reform our current transportation finance structure along the guidelines of the RPAÂ’s recommendations.
Our leaders must be able to face difficult decisions and show discipline to identify revenues that maximize our mobility and that provide the most benefits for New Jersey taxpayers. Finally, fixing the Trust Fund now will help to restore the publicÂ’s trust, which has been eroded by New JerseyÂ’s past priorities and past government practices. Raising the gas tax alone would still leave the TTF bankrupt, and motorists are already driving on substandard roads. The time to act is now.
Michael McGuinness is the executive director of the New Jersey Chapter of the National Association of Industrial and Office Properties (NJ-NAIOP), which is the trade association for developers, owners, investors and other professionals active in the industrial, office and commercial real estate industry. Founded in 1970, the New Jersey Chapter is comprised of 500 members who benefit from a variety of business and networking opportunities, education and professional development programs, research on trends and innovations and strong legislative and public affairs representation. The New Jersey Chapter is part of the larger NAIOP organization founded in 1967, which is comprised of more than 12,000 members in 50 chapters throughout North America.
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