The U.S. Transportation Department has granted New Jersey an extension of just over two weeks to pay back the $271 million it owes for a scrapped rail tunnel to New York City.
The extension was granted in a letter dated Monday to lawyers for the law firm that New Jersey Transit hired to fight the debt. The Associated Press obtained the letter Tuesday. The firm, Patton Boggs, had requested the extension in response to a Nov. 24 letter demanding full repayment within 30 days.
Gov. Chris Christie killed the $8.7 billion tunnel project in October because of possible cost overruns. The Federal Transit Authority then demanded repayment of federal money already spent on the project.
Christie did not mention the extension at a bill signing in Wayne on Tuesday, but he did say he has yet to hear from U.S. Transportation Secretary Ray LaHood about an offer to reduce New Jersey's debt.
"They haven't made an offer yet," Christie said. "To this point, I have not gotten a call from Secretary LaHood, and I know he has my number."
http://www.dailyrecord.com/article/20101221/UPDATES01/101221084/1221/COMMUNITIES18/NJ-gets-2-week-extension-on--271M-tunnel-tabWe are SO fucked thanks to this bloated piece of shit.
NJ Transit has asked the North Jersey Transportation Planning Authority for permission to spend $75 million of the money earmarked for the tunnel on 100 new multilevel rail cars.