Committee Hears About Port Authority Reforms

NJ Spotlight News | June 22, 2015 | Politics

By Brenda Flanagan
Correspondent

After spending a year as its chairman, John Degnan outlined reforms already happening now at the Port Authority — like increased transparency, quarterly financial reports and more public input.

“Believe it or not, we now listen to the public’s comments before, rather than after we vote. It’s a little embarrassing to admit that,” Degnan said.

“A great number of our constituents have a degree of cynicism and disbelief that the agency is being run for the proper reasons, being run efficiently,” said Assemblyman John Wisniewski.

And members of the Transportation and Independent Authorities Committee noted they share that cynicism.

Degnan agreed — tension still racks the bi-state agency and politics still influence its operations. While both sides of the river work on reform legislation, Degnan’s been tackling problems administratively.

“I do believe that the organizational structure of the Port Authority is dysfunctional; that the executive director and the deputy executive director positions — which were appointed by the governors of the respective states — are a clumsy, dysfunctional way to run an organization that spends $7 billion a year,” Degnan said.

Degnan’s top priority: hiring a Port Authority CEO who’s not politically connected. It’s a key feature of New York Gov. Andrew Cuomo’s reform plan — introduced suddenly and without public hearings last week, and supported by Gov. Chris Christie. But it’d require passage by both state legislatures and New Jersey lawmakers aren’t convinced it protects Jersey — interests like rebuilding the Helix and the Port Authority Bus Terminal.

“Is it possible that there are projects that are being talked about today that in the future may not continue to go forward?” Wisniewski asked.

“Any agency as large as this one would have to review on an ongoing basis every significant project and make determinations,” Degnan said.

Legislators also expressed dismay at the agency’s continued investment in billions of dollars worth of property, saying transportation — not real estate — should be the authority’s main function.

“Have you actually implemented a plan to start to prioritize the selling of some of these assets? Because I certainly am concerned about the kind of money that’s tied up in these assets when we have infrastructure that is absolutely crumbling,” said Assemblywoman Linda Stender.

Degnan said there’s a group working on that and he urged lawmakers here to pass Cuomo’s reform bill. While lawmakers here welcomed Degnan’s candor, they’re worried his successor might not be as eager to answer questions, and they’re deeply suspicious of the New York proposal.

“The whole section of our bill calling for legislative oversight has been eliminated. What we saw today was a perfect example of the kind of legislative oversight we think needs to be in place,” said Sen. Bob Gordon.

“We are very concerned that if John Degnan is not the chairperson of the Port Authority we will have lost a major voice,” said Sen. Loretta Weinberg.

So New York’s Port Authority reform proposal seems headed for summertime tweaking here in New Jersey. And not on a fast track.