An agreement was struck for the state to only have to pay back about half of the ARC Tunnel money that the state was required to. Gov. Chris Christie called that a “nice start” on Thursday. Christie cancelled the ARC Tunnel because of cost overruns that the state would pick up. The federal government said the state had to pay back $271 million in funding for the project. The governor said he looked forward to talking to Transportation Secretary Ray LaHood to work out the situation. U.S. Senator Frank Lautenberg worked out the initial agreement.