Project Financing and Implementation
| NYNJ Link's financing sources for the Goethals Bridge Replacement Project include a combination of its own equity, debt and milestone payments from the Port Authority. The company is contributing $107 million in cash equity at risk and is borrowing a total of $935 million. This includes a $474 million loan (plus $31.6 million in capitalized interest) from a federal credit program called TIFIA, which provides low cost, flexible loans to transportation projects of national and regional significance. It is also raising $461 million in tax-exempt Private Activity Bonds, or "PABs," including $7.6 million in premiums. PABs allow private developers of transportation projects to lower their interest costs by gaining access to the tax-free municipal debt market. Federal approval is required before PABs may be issued. The final component of NYNJ Link's financing package is $150 million in milestone payments to be received as work on the project progresses. | Goethals Bridge Replacement
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Upon opening, the developer will receive monthly availability payments from the Port Authority. These payments will be drawn from the agency's consolidated revenues and are not tied to the use of the new Goethals Bridge. The Port Authority also expects to incur $303 million in costs for the project's planning and engineering, site acquisition, contingencies, and other costs.