Future Financing

The Transportation Trust Fund Authority's (TTFA) financial planning includes short, medium, and long range elements. Planning for the Authority's next bond sale usually begins two to three months ahead of the planned bond sale date. The Authority works with the Office of Public Finance and the Office of the Attorney General to develop a detailed plan for sizing and structuring the pending bond sale. If it is determined it is in the best interest of the State to sell bonds on negotiated basis, the Authority also seeks sizing and structuring guidance from its assigned underwriter. On March 1 each year, the Authority must submit a Financial Plan to the Legislature that shows how the Authority intends to finance the NJDOT/NJ TRANSIT Capital Program for the upcoming FY. This annual financial plan includes estimated appropriation revenue, bond proceeds, investment earnings, and expenditures. The Authority also develops a multi-year projection model to determine the Trust Fund long-range financing capacity.
  

Annual Financial Plan

The Authority submitted a FY 2024 Financial Plan to the Legislature which outlines how it will finance NJDOT/NJ TRANSIT’s requested $2.0 billion capital improvement program.

TTFA FY 2024 Financial Plan

Long-Term Financing Capacity

The Authority issues long term bonds with maturities up to 31 years and structures the debt service on its bonds to provide reasonable assurance that its long-term revenue stream will satisfy debt service payments over the life of its bonds.

The Authority must not only consider its own debt service schedule but also the debt service payments made by NJ TRANSIT from Transportation Capital Program appropriations. These payments must be financed with the TTFA's appropriation revenue. The Authority must compare the sum of its own debt service and NJ TRANSIT's Economic Development Authority (EDA) on NJ Transit's behalf with the dedicated appropriation stream in order to determine long-term financing capacity.