Despite news reports last week, NJDOT officials told MTR last week that there are no plans to cut local aid in the fiscal 2006 transportation capital program.  However, transportation watchdogs note that the 2007 capital program could see major cuts if the Transportation Trust Fund is not renewed at current or increased funding levels. NJDOT will not release the official proposal for next year’s capital program until March 15.

Nonetheless, news reports today noted that aid to municipalities would decline $16-17 million under the budget Acting Governor Codey announced today. But it is unclear whether these funds cut from transportation or some other area. In 2005, about $290 million in state and federal dollars was spent on transportation local aid.

  Amid the various signals, NJDOT continued its solid, if underfunded, work with municipalities. The department designated two new transit villages (MTR #491), a program funded through $1 million in local aid money.  Local projects such as bicycle and pedestrian facilities, local street repair, safety improvements, transportation studies and the popular "Safe Streets to Schools" program are all funded through DOT’s local aid program. 

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