By: Richard L. Smith
According to NJ TRANSIT officials, the agency’s Board of Directors has approved a contract appointing ACI-Herzog JV as the new operator for the Hudson-Bergen Light Rail (HBLR) system.
This marks only the second time a new operator has been designated for HBLR since its launch in 2000.
The contract covers not only the system’s operational needs but also maintenance for vehicles, infrastructure, and the right-of-way.
NJ TRANSIT President & CEO Kevin S. Corbett highlighted the significance of the new contract, saying it stresses NJ TRANSIT’s dedication to upholding the high standard of service HBLR customers have come to expect.
"With this new contract, NJ TRANSIT reaffirms its focus on maintaining the highest standard of service our HBLR customers have come to expect, while supporting the continued growth of Hudson County," Corbett stated.
The newly approved contract includes an initial 15-year term, with options for two additional five-year extensions.
According to officials, the total cost is not to exceed $1.52 billion, contingent upon funding availability.
This contract will ensure that ACI-Herzog assumes responsibility for both the operational and maintenance aspects of HBLR by September 15, 2025.
Since the HBLR's inception, it has operated under a design-build-operate-maintain (DBOM) contract structure, with construction completed and service beginning in 2000.
According to NJ TRANSIT, the current DBOM contract is set to expire in 2025, at which time the transition to ACI-Herzog will be completed.
The Hudson-Bergen Light Rail currently serves 24 stations, covering a 20.6-mile stretch along the Hudson River waterfront in Hudson County, with over 48,000 daily weekday riders relying on its services.
This new contract aims to ensure that HBLR continues to meet the transportation needs of its community for years to come, according to NJ TRANSIT officials.