New York Region Execs Tout Progress in Long-Term Infrastructure Investment, Face New Realities
Long-term infrastructure expansions and improvements advance across the New York metropolitan region to provide needed power, mobility, water supply and climate change protection amid new and accelerating constraints, agency executives said Sept. 15 at the ENR NY/NJ Infrastructure Forum held in Manhattan.
Executives of key transportation agencies updated attendees on the challenges ahead in delivering billions in new and updated rail program infrastructure. "Our portfolio and capital delivery is about 220 projects and we're aiming to invest about $5.2 billion in fiscal 2025," Jim Short, Amtrak acting senior vice president of capital delivery, told the forum.
The $16-billion Gateway program to replace and upgrade 115-year-old Northeast Corridor rail tunnels under the Hudson River between New Jersey and New York City is progressing. The first new tunnel will enter service in 2035, with both new tunnels and upgrades to the existing twin tunnels completed by 2038, said Jim Starace, chief of program delivery for the Gateway Development Commission. He said five of the fully funded tunnel project's 10 construction packages are active and awarded, with the first set to be completed this fall. Tunnel boring is on track to start in 2026 from the Tonnelle Ave. tunnel in New Jersey. "There's a lot of economic activity that will come out of the Hudson tunnel project, and it is our goal is to share that with small businesses," said Starace. "We have a goal of DBE participation and we take that seriously."
Innovative technology will be key to keep infrastructure resilient and secure. "We're also looking to AI for enhancing this whole asset performance," said Short. "We're in the early days of that, but the progress that we're making in asset management to improve resilience has been phenomenal."
Also embarking on the next phase of a multiyear expansion and upgrade is Newark Liberty International Airport, under its EWR Vision strategic plan, said Ralph D'Apuzzo, senior program director of the airport's redevelopment for the Port Authority of NY and NJ.
The continuing effort to modernize the 1970s-era airport follows the 2023 debut of its $2.7-billion Terminal A replacement project, which provided over 1 million sq ft and was one of the largest design builds in New Jersey and "very well received by both our passengers and our airline partners." said D'ApuzzoIt. "It set a benchmark on how we approach development projects, redefining world-class design, sustainability and inclusivity."
EWR Vision sets the course for Newark Airport's continued redevelopment to 2065, and a major lynchpin is replacing Terminal B, which opened in 1973 and has reached the end of its useful life, he noted. By 2030, the airport will have a rebuilt $3.5-billion air train system that will include: three new stations, an elevated guideway and a refreshed train fleet to replace the existing one in operation since 1999. It will provide service to Terminal A, the future Terminal B and other proposed airport layout changes. "But getting to this stage involved instituting a multi-contract procurement strategy that really was innovated out of lessons learned from industry," said D'Apuzzo, noting the change from too costly bids received under the original single design-build-operate-maintain package strategy.
By taking lessons learned from the multibillion-dollar Second Avenue Subway Phase 1 and applying some value engineering, the Metropolitan Transportation Authority has already identified $1.3 billion in savings for Phase 2 of the project, Saqib Rizwan, senior vice president at MTA and project CEO, told attendees, He addressed concerns over the costs of subway construction, saying that the best way to look at it is not the cost per mile, but per rider. Phase 2 is expected to serve an average of 110,000 daily riders, on top of the 200,000 riders using Phase 1 each day. Phase 2 is expected to have a lower cost-per-rider than other U.S. underground rail projects such as the BART extension in San Jose, Calif., and the Los Angeles Purple Line, as well as international projects such as the London Crossrail.
The building team anticipates saving $500 million alone by using a tunnel segment constructed in the 1970s for an abandoned project. That segment will become the 106th Street station, although it was never intended as such, but it's "in remarkably good condition," according to Rizwan. The contract package for the station is in procurement, and MTA received submissions from four qualified bidders. The agency will issue an RFP to them this month.
Even with 94 years of experience in building statewide power infrastructure from canals to hydroelectric facilities to solar generation, the New York Power Authority (NYPA) now faces a challenge in building nuclear power plants -- a new mission added to its plate in recent months by Gov. Kathy Hochul (D).
New York expects to boost its energy supply by up to 90% to support growth, Patricia Lombardi, the agency's senior vice president for project delivery, told attendees. "We're anticipating an added 12,000 MW of load ... looking to interconnect onto our transmission system, and with renewables, [data center] hyperscalers and nuclear projects ahead, that will only increase. NYPA is really investing in our existing assets and new assets."
Hochul directed NYPA to develop and construct an advanced nuclear power project of at least 1 GW in upstate New York to support a reliable and affordable electric grid, "either alone or partnering with the private sector," Lombardi said. "We're in the very early stages" of filling key leadership roles to determine facility location, technology and partner, she added, and working with stakeholders "to help us engage with the community and determine next steps." Lombardi said NYPA has hired a consultant but did not share detail on the person or firm selected.
"We remain invested in our commitments in other renewable technologies, but we really need an all of the above approach, and nuclear does provide firm base load power that some other technologies do not offer," Lombardi noted. She predicted the authority would issue "early next year" requests to seek design and construction, as well as financial, partners. "We'll continue to publicize more information once we have a better handle on the timeline, risks and permitting," she said.
"NYPA is going to ... really find a way to make New York the best example of how to do nuclear because I'm imagining this is probably not [going to be] the last nuclear plant to be built," said Lombardi. "We're trying to really be smart and sharp about the way we're doing it."
The agency also aims to boost its utility-scale renewable energy and battery storage capacity by 7 GW, as outlined its current draft strategic plan, "to drive New York further forward in our clean energy goals," Lombardi said. These include the statutory goal for 70% renewable power delivery by 2030.
Also on its plate are major projects to boost aging generation facilities and add new transmission capacity. "Smart Path Connect, which was jointly developed and now in execution with our partner, National Grid, is a billion-dollar-plus project that will bring an additional 1,000 MW of transfer capability," she said. "We're also deploying a significant amount of new technology. Our three new substations will all have digital technology, really a deviation from our conventional substation architecture."
The authority also has projects ahead to boost decarbonization projects in state agency buildings and to upgrade infrastructure that supports the state's 524-mile canal system that includes 57 locks and 17 lift bridges. "Over the next four years, the authority estimates a capital portfolio of over $4 billion," said Lombardi.
The New York City Dept. of Environmental Protection is halfway through a 20-year process to build a new water tunnel. The coming Kensico-Eastview Connection will run two miles between the Kensico Reservoir and Eastview, N.Y. to the Catskill-Delaware Ultraviolet Light Disinfection Facility. Construction of the tunnel, along with its connecting shafts, chambers, and other modifications to the DEP properties, will move forward in five separate contracts. All the work will add up to about $2 billion evenly split between above and below-ground work.
The broader project also includes three new chambers built under one contract that the department will hopefully advertise later this year or early next. A connection chamber will go into the Eastview end of operations, while a new screen chamber will be built near the Kensico Reservoir. The contractors will also modify the facility's upper effluent chamber. Built in 1910, the facility went offline in 2012. To reuse the site, the DEP has to drastically increase its capacity: The connection is expected to carry 2.6 billion gallons of water a day, roughly three to four times as the capacity of the older chamber.
Progressive design-build efforts are now underway to safeguard Lower Manhattan from climate-driven flooding and storm surges said Kimberlae Saul, vice president of planning and Design at the Battery Park City Authority. She highlighted two projects -- the Battery Park City South and North/West resilience projects -- as part of the broader Lower Manhattan Coastal Resilience Program supported by more than $1.7 billion in city, state and federal funding.
The authority awarded the progressive design-build contract for the North/West project to a joint venture of Turner Construction Co. and E.E. Cruz & Co. Inc., with Arcadis, Bjarke Ingels Group, Scape Landscape Architecture and WSP. Saul said her agency is negotiating the guaranteed maximum price with the contractors, which are now conducting buyouts and plan to present the guaranteed maximum price soon to the agency board. "Fingers crossed everybody approves it," she said, adding that the agency has no plans to exercise an "offramp" option to convert the project to design-bid-build.