Following the coronavirus crisis, Port Authority of New York and New Jersey recently applied for a new COVID-19 recovery program, in order to stabilize their operations during the pandemic.
In fact, the new program is created by the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), offering assistance to those that face major economic impacts caused by the pandemic.
What is more, the Port Authority reported that lost approximately $3 billion in revenue, as during the lockdown, traffic, in particular passenger traffic, has collapsed.
The Municipal Liquidity Facility is an important and critically valuable short-term backup financial resource as the agency manages its cash flow during this crisis.
…Rick Cotton, Executive Director, noted.
At the moment, Congress is considering additional legislation to provide direct grant support to replace revenues lost by state and local governments as result of the crisis.
In the face of an estimated $3 billion in revenue losses, the Port Authority is exploring every option: a short term loan through the Municipal Liquidity Facility would provide immediate liquidity relief, while direct funds through the next aid package are needed to enable the agency’s capital construction projects to provide vigorous support to a strong economic recovery.
….Kevin O’Toole, Port Authority Chairman concluded.
