PANYNJ Board of Commissioners endorses special panel’s overhaul of agency

Written by Jenifer Nunez, assistant editor

The Port Authority of New York and New Jersey (PANYNJ) Board of Commissioners voted unanimously in support of the core structural and strategic recommendations of the bistate special panel on the future of the port authority.

 

The special panel’s December 26, 2014, report, Keeping the Region Moving, recommended both a comprehensive overhaul of the governance of the agency, with a single chief executive officer selected by and accountable to the board replacing the current executive director and deputy executive director and a recommitment to the agency’s core transportation mission as its role in the redevelopment of the World Trade Center nears completion.

Endorsed by New Jersey Gov. Chris Christie and New York Gov. Andrew Cuomo in a joint statement late last year, the report’s recommendations range from a renewed commitment to the modernization of the region’s airports to a call for PANYNJ leadership and regional coordination in the effort to expand cross-Hudson transit capacity for the region’s commuters and businesses.

The board noted in its resolution, however, that it would determine whether individual operational suggestions also contained in the report were the best means to pursue the recommended reforms.

The board also established a special panel implementation office within the agency to coordinate implementation of the special panel’s recommendations. The office, which will be overseen by the chairman and vice chairman, will submit a work plan and schedule for each element of the reform agenda to the board for approval at its March meeting. The board will then receive a progress report on the individual implementation initiatives at each monthly board meeting.

“The Governors made it clear that nothing less than transformative change would be acceptable and we believe the recommendations offered by the special panel and endorsed by the board today represent a historic step forward for the port authority,” said PANYNJ Chairman John Degnan. “These reforms will enable the agency to tackle the many challenges facing our regional transportation system in the years ahead with an efficient leadership structure and a clear strategic focus.”

The specific recommendations of the panel include:
• Replacing the executive director and deputy executive director with a single chief executive officer selected by and accountable to the board of commissioners
• Replacing the chair and vice chair with rotating chairs from each state
• Creating a new chief ethics and compliance officer
• Issuing a new Port Authority Code of Conduct for employees, commissioners and vendors
• Adopting a new mission statement to refocus the authority on its core mission of developing and overseeing regional transportation infrastructure
• Reinstating PANYNJ’s regional leadership role by initiating a comprehensive planning effort in 2015 with a strategic vision focused on expanding and developing new regional transportation capacity by bringing 21st century airports to the region; addressing the growing Trans-Hudson transportation crises and ensuring that ports remain the premier destination for the nation’s freight.
• Redeploying $600 million in unallocated regional development funds to addressing the transportation needs of the region
• Revitalizing PANYNJ’s core transportation assets, including LaGuardia, Kennedy and Newark Liberty airports, the Bus Terminal, Port Commerce and the Port Authority Trans Hudson divesting from the non-core real estate and development, including the World Trade Center
• Employing more innovative and flexible financing techniques, such as updating the PANYNJ’s consolidated bond resolution, public private partnerships, exploring innovative financing tools, such as variable rate financing and retaining a global investment advisory firm.

 

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