Port Authority Releases Revised Plans for $10 Billion Bus Terminal Overhaul

A complete remodeling of the Port Authority of New York and New Jersey’s Midtown Bus Terminal came one step closer to reality on Feb. 1, as the agency released a revised project plan for the overhaul. The Authority also announced the Federal Transit Authority’s publication of their submitted draft environmental impact statement for the project, triggering a 45-day public comment period.

According to the Authority, the project would be undertaken over two four-year periods, with an intended completion date of 2032. The project would include a 2.1 million sq. ft main terminal, a storage and staging building, and two new ramps leading to the Lincoln Tunnel.

It would reportedly permanently close a chunk of 41st St. between 8th and 9th Ave., in order to create an entrance for a new multi-story indoor atrium. On the environmental front, 3.5 acres of green public space are being touted, not to mention electric bus charging stations.

The Port Authority says the project will create 6,000 union jobs.

The staging building would be built first and used as a temporary terminal, in order for the current 73 year-old terminal to be demolished and replaced. The Lincoln Tunnel ramps would also be built as part of the first phase.

Eminent domain will reportedly not need to be invoked over the course of the project, as it will occur on property already owned by the Port Authority.

The Authority hopes to secure federal funding for the project by securing a Transportation Infrastructure Finance and Innovation Act (TIFIA) loan, which they say they are “well along” in the application process for.

They also intend on using a financing vehicle known as “payments in lieu of taxes” (PILOTs), which would be related to commercial development “above” the bus terminal. The Authority is currently in negotiations with city officials over this program, which was involved in the funding of Moynihan Train Hall at Penn Station.

At 1.9 million sq. ft., today’s Midtown Bus Terminal is the United States’s largest such facility, and accommodates 98,000 average weekday passengers as of 2023. It was also built in 1950, leading the Authority to deem it “obsolete” and “rundown.” This is a sentiment that seems to be shared by large chunks of the community, including political officials.

At a press conference unveiling the revised plan, State Senator Brad Hoylman-Sigal directly referred to such an ancient construction date: “1950. That was a long time ago. Bing Crosby was at the top of the music charts, and “I Love Lucy” was the most popular TV show. This terminal has been the subject of a lot of mockery since then.”

However, he optimistically claimed that “we’re gonna change that, with community participation and the engagement that we’ve come to expect from the Port Authority.”

Council Member Erik Bottcher was no more sparing in his assessment of the worn facility. “If the happiest place on earth is Disneyland, then the least-happy place on earth might possibly be the Port Authority Bus Terminal,” he said.

“I don’t think most New Yorkers know that this is happening, I think New Yorkers are gonna be thrilled when they hear that the Port Authority is being totally replaced,” he added.

The revised plan even briefly saw New York and New Jersey on the same page when it comes to public transportation, considering that they’ve been bitterly feuding over incoming congestion pricing tolls recently.

In a statement, NJ Governor Phil Murphy said that “today marks an important milestone in our work to modernize our region’s transportation infrastructure. The Midtown Bus Terminal is a fixture in many New Jerseyans’ daily lives, helping them get into or out of New York City.”

NY Governor Kathy Hochul noted that “millions of New Yorkers rely on the Midtown Bus Terminal every year, and this plan reflects a bold vision to make this facility a world-class transit hub.”