Regional Plan Association on June 25 released a report saying NJ Transit provides annual economic benefits up to $13.8 billion statewide.
The report assessed the value of the second-largest public transit system in the country both in specific New Jersey communities and across the state as a whole. The new report, titled “The Value of NJ Transit,” emphasizes the mobility advantages and economic benefits of NJ Transit and what it contributes to the state, its communities, and individual households.
New Jersey residents experienced a brief impact from a disruption of NJ Transit service when train engineers went on a three-day strike in May. It was the first strike against NJ Transit since 1983.
In addition to the statewide benefits projected by the report, the study found that NJ Transit provided $2.5 billion in annual benefits at five municipalities chosen by the RPA – Atlantic City, Bloomfield, Hackensack, Newark, and Union City. The report said that for every household in the communities studied, NJ Transit services supply $10,100 in annual economic benefits.
Regional Plan Association is an independent non-profit organization that conducts research, planning and advocacy to expand economic opportunity, environmental resiliency, improved health, and better quality of life in the New York metropolitan area.
“NJ Transit is chronically underfunded and underappreciated, to better understand the value it provides we analyzed what would happen if the service didn’t exist.” said Rachel Weinberger, co-author of the report and RPA’s Peter Herman Chair for Transportation at RPA. “Without transit New Jersey’s streets would have to handle 2.5 billion more miles of travel every year – the gridlock would be staggering. NJ Transit also reduces air and noise pollution, fatalities, and increases people’s ability to access their jobs and other critical destinations.”
“Our findings clearly show that every investment in NJ Transit is an investment in the strength and stability of the communities it connects,” said Zoe Baldwin, RPA’s vice president, state programs. “Whether in Newark or Atlantic City, transit multiplies opportunity and reduces congestion on our roadways. We can now say with confidence that it also underwrites a major part of our day-to-day economy.”
Among the key findings for the municipalities studied:
- Atlantic City: Every year, NJ Transit services approximately 4.3 million rides into, out of, and within Atlantic City. Public transportation contributes $89.6 million in net benefits to the municipality.
- Bloomfield: Transit services generate net benefits of $97.3 million to Bloomfield’s economy. The eradication of service across Bloomfield Township would severely limit transportation options for residents, many of whom rely on service for their daily work commutes.
- Hackensack: As the most populous city in Bergen County, Hackensack relies on NJ Transit to move nearly 4,000 commuters to and from work daily. NJ Transit contributes a net total of $131.8 million to the municipality.
- Newark: As New Jersey’s largest city, Newark is served with an estimated 51 million bus trips and 7 million rail passenger trips by NJ Transit each year. The transit system contributes net economic benefits of $1.4 billion each year, with bus operations providing 97% of these benefits.
- Union City: In New Jersey’s second-most densely populated municipality, NJ Transit contributes net economic benefits of up to $291.5 million yearly, with the benefits of reduced air and noise pollution, congestion, and road maintenance making up a substantial portion of this estimate.
