{"id":136844,"date":"2026-02-18T00:21:11","date_gmt":"2026-02-18T00:21:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/us-ny\/136844\/"},"modified":"2026-02-18T00:21:11","modified_gmt":"2026-02-18T00:21:11","slug":"ny-nj-gateway-work-to-restart-next-week-once-funds-restored","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us-ny\/136844\/","title":{"rendered":"NY-NJ Gateway work to restart next week once funds restored"},"content":{"rendered":"

NEW YORK (BLOOMBERG) \u2014 Construction work on a $16 billion rail tunnel under the Hudson River will restart as soon as next week once the project receives the full $205 million of federal funding that the Trump administration halted, according to people familiar with the process.<\/p>\n

The Gateway Development Commission, which is building the new tunnel between New Jersey and Manhattan, has already received about half of the frozen money but needs the remaining $98 million to begin restarting the work. The commission anticipates receiving the money by Feb. 18, which will allow work to resume next week, according to the people, who declined to speak publicly about the potential restart.<\/p>\n

Gateway halted work on the new tunnel between New Jersey and Manhattan earlier this month. A federal judge last week directed the Trump administration to send the funds to Gateway. The federal government expects Gateway to receive the full $205 million of reimbursement payments by Thursday at the latest, according to a letter dated Tuesday that the US Department of Justice filed to the court on the same day.<\/p>\n

\u201cGateway Development Commission has received an additional disbursement of $77 million from the federal government, and we expect to receive the full $205 million in reimbursement funds owed to the project for costs GDC incurred since federal funding for the Hudson Tunnel Project was paused on October 1, 2025,\u201d the GDC said in a statement Tuesday. \u201cConstruction remains paused for now, and we continue to work with our contractors to plan how to deploy these funds in the most effective way and get workers back on the job to resume some construction as soon as possible.\u201d<\/p>\n

Last week, Gateway said it had received\u00a0$30 million<\/a>\u00a0of the frozen funds.<\/p>\n

Getting work going again on Gateway will benefit thousands of New Jersey Transit and Amtrak commuters. The existing tunnel is more than a century old and needs rehabilitation. Gateway construction is expected to finish in 2035, which will allow renovations to begin on the existing tunnel.<\/p>\n

\u201cThe Gateway Tunnel project is an economic lifeline for New York, New Jersey, and the nation,\u201d Senate Minority Leader Chuck Schumer, a New York Democrat, said in a statement Tuesday. \u201cAnother $77 million in previously cut-off federal funds is now in the bank, and more must follow to get 1,000 workers back on the job. These funds were approved by Congress and committed by contract between the feds and the states, and they never should have been frozen in the first place.\u201d<\/p>\n

Gateway was forced to stop construction earlier this month after its funding and credit lines dried up. It\u2019s been negotiating with the US Department of Transportation since October to show that it\u2019s in compliance with a new rule that prohibits contracting requirements based on race or gender.<\/p>\n

\"Hochul,<\/p>\n

Hochul, center, greets workers at the Gateway construction site in New York on Tuesday.<\/p>\n

Photo credit Bloomberg<\/p>\n

New York Governor Kathy Hochul is concerned the project is at risk of future work stoppages unless the federal government releases all of the funding, she said Tuesday during a press conference at a Gateway construction site in Manhattan. About 1,000 construction workers were let go when work paused.<\/p>\n

Hochul said she spoke with President Donald Trump on Monday after he posted a message on social media disparaging the Gateway project. She urged the president to free up the federal funds to help bring back about 1,000 construction workers who were let go during the suspension. New Jersey and New York earlier this month sued the federal government to release the funds after Gateway filed a similar suit.<\/p>\n

Hochul acknowledged that the resumption of funds will get people back to work, but said that she\u2019s going to stay focused on this as the project needs to get done.<\/p>\n

\u201cIt should not come to us having to spend taxpayer dollars on litigation literally every day of the week to stop things that they know they shouldn\u2019t be doing,\u201d Hochul said during the press conference. \u201cIt is illegal for them to withhold the money.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"NEW YORK (BLOOMBERG) \u2014 Construction work on a $16 billion rail tunnel under the Hudson River will restart…\n","protected":false},"author":2,"featured_media":136845,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[37],"tags":[9,24,63,122,124,123],"class_list":["post-136844","post","type-post","status-publish","format-standard","has-post-thumbnail","category-queens","tag-new-york","tag-new-york-city","tag-nyc","tag-queens","tag-queens-headlines","tag-queens-news"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/136844","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/comments?post=136844"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/posts\/136844\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media\/136845"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/media?parent=136844"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/categories?post=136844"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us-ny\/wp-json\/wp\/v2\/tags?post=136844"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}