Fox signs agreement allowing
deepening of Port Jersey Channel

Supports development of former MOTBY site in Bayonne

"The port facilities in New Jersey and New York comprise the third largest container port in the United States and is the largest port complex on North America's East Coast. In 2000, nearly 79 million tons of cargo flowed through the port's terminals," Commissioner Fox said. "The deepening of the Port Jersey Channel and development of the MOTBY site are critical for the economic and environmental sustainability of the port region."

The Project Cooperation Agreement permits the deepening of the Port Jersey Channel to 41 feet. The Port Jersey Channel is located between Jersey City and Bayonne and is New Jersey's eastern most port of call with direct access to the harbor's main entrance channel. The Channel will ultimately be deepened to 50 feet in concert with other deepening projects in New York Harbor.

The total cost of the deepening project is $118 million. New Jersey's share of the project is $41.5 million, which comes from bonds authorized by the 1996 Port Revitalization Bond Act. The remainder will come from the Army Corps of Engineers.

Fox said the channel is being deepened in support of the development of the former Military Ocean Terminal Bayonne (MOTBY), which is being coordinated with the City of Bayonne. The City of Bayonne has negotiated with the Department of the Army the transfer of the 437 acres comprising the former MOTBY site.

The Bayonne Redevelopment Authority has proposed a mixed-use facility, the Peninsula at Bayonne Harbor, which will include residential areas, recreational facilities and commercial opportunities. Of particular interest to the State of New Jersey is the development of a container terminal at the site. NJDOT's Office of Maritime Resources is helping Bayonne secure the necessary funds and permits to support the development.