Port Authority Approves $40M for New Terminal A at Newark Airport

On Jul 23, 2015

Plans for a new Terminal A at Newark Liberty International Airport advanced today with a $40-million authorization by the Port Authority Board of Commissioners for initial program management, design plans and early construction work for a new terminal to replace the current 42-year-old outmoded facility.

The resulting designs for Terminal A’s replacement will be included in a comprehensive plan to be developed for the full modernization of Newark Liberty, beginning with outreach to key stakeholders in the coming months.  Newark Liberty served 35.6 million passengers at its three terminals in 2014.  The authorized early work includes construction of an access bridge connecting the central terminal area roadway network to Carson Road, utility relocations and electrical repairs, in addition to program management and design services that are prerequisites to construction of a new terminal.

“Today’s Board action reflects the Port Authority’s ongoing commitment to modernizing the facilities at all of our region’s major airports,’’ said Port Authority Chairman John Degnan. “Our airports are huge economic engines for New York and New Jersey, and are the gateway to our region for millions of travelers each year, so we will continue to invest in upgrading these vital resources in the years to come.”

“The Port Authority’s airports are critical to the region’s economic growth and the region deserves modern airports that can meet the demands of the 21st century economy,” said Port Authority Vice Chairman Scott Rechler.

Of the total $40 million authorized by board today, an estimated $25 million will go toward construction of the bridge, utility relocation and electrical work with the remaining $15 million for design services and other related components. The authorization also clears the way for the submission of a Port Authority application to recover expenditures for up to $40 million in federal Passenger Facility Charges (PFCs).  Airports use these fees to pay for FAA-approved projects that enhance safety, security or capacity, reduce noise or increase air carrier competition.  Newark Liberty’s existing Terminal A first opened for air passenger traffic in 1973.  More than 40 years later, however, increased passenger volume and larger planes have led to congestion both on the airfield and inside the terminal. These older facilities impede the airport’s ability to accommodate modern airline fleets, meet future passenger demand, reduce delays or provide top-rate customer services and amenities.

Terminal A’s overall redevelopment is expected to generate roughly 9,000 jobs, $600 million in wages and $3.3 billion in economic activity over the life of the project.

 

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