Christie Administration, Port Authority Face Federal Probe Into $1.8M Fund Diversion

A federal investigation has been launched into the Christie administration-requested shifting of Hudson River toll revenues towards New Jersey road-repair projects, according to media reports.

The Port Authority of New York and New Jersey has spent $1.75 million in legal fees in response to the federal investigation into the shifting of revenue that, by law, is reserved only for Port Authority needs, The Record reported Wednesday.

The decision by the Port Authority and the administration of Gov. Chris Christie to use $1.8 billion in funds to fix the Pulaski Skyway and other local roads has reportedly become the focus of the investigations, according to nj.com.

The Securities and Exchange Commission and the Manhattan District Attorney’s Office is also investigating the bi-state agency to determine if it misled investors, according to the nj.com report.

About $1.8 billion was diverted to projects including the Pulaski Skyway repair project, which Port Authority lawyers justified by saying the span is a feeder to the Port-Authority-managed Lincoln Tunnel - even though the roadways are miles apart and not connected directly, according to the nj.com report.

The $1.8 billion shift to New Jersey roads came out of the Port Authority’s planned contribution to a Hudson rail tunnel - a project that Christie killed early in his first term - and allowed Christie to plug a hole in the state’s budget for road repairs without raising New Jersey’s gas tax, according to The Record report.

Christie, now running for the Republican presidential nomination in 2016, has touted his record on the campaign trail of balancing the New Jersey budget without raising taxes.

Photos: Christie-Patch photo; “Pulaski Skyway bridge from I95 jeh” by Jim.henderson - Own work. Licensed under CC0 via Wikimedia Commons - https://commons.wikimedia.org/wiki/File:Pulaski_Skyway_bridge_from_I95_jeh.jpg#/media/File:Pulaski_Skyway_bridge_from_I95_jeh.jpg