SCHUMER, GILLIBRAND, BOOKER, KIM, LEAD NY–NJ DELEGATION DEMANDING TRUMP IMMEDIATELY RELEASE WITHHELD GATEWAY TUNNEL FUNDING BEFORE WORK IS FORCED TO STOP NEXT WEEK, LEADING TO[...]

Trump Administration Stalling $6.88B Federal Commitment For Nation's Most Critical Rail Tunnel, With Funding Set To Stop February 6 Despite Signed Agreement, Completed Reviews, And Construction Already Underway

In Bi-State, Bi-Cameral Letter To President Trump, Lawmakers Urge Immediate Release Of Already Appropriated Funds To Prevent Construction Shutdown, Job Losses, And Threats To Northeast Corridor

Today, Senate Democratic Leader Chuck Schumer (D-NY), Senator Kirsten Gillibrand (D-NY), Senator Cory Booker (D-NJ), and Senator Andy Kim (D-NJ) led members of the New York and New Jersey congressional delegations in demanding Donald Trump immediately release the already allocated federal funding for the Gateway Hudson Tunnel Project, the nation's largest and most urgent infrastructure project. The lawmakers warned that continued delays threaten catastrophic disruption to the Northeast Corridor, massive job losses, and serious harm to the regional and national economy, despite the project being fully funded, fully permitted, and already under construction.

"Delaying already approved Gateway funding puts the region and the national economy at serious risk," the lawmakers said. "Withholding these funds threatens catastrophic disruption to the busiest rail corridor in the country, eliminates tens of thousands of good-paying union jobs, and jeopardizes a project that is fully funded, fully permitted, and already under construction."

The existing Hudson River tunnels are more than 115-years old and were significantly damaged by flooding from Superstorm Sandy. Every day, they carry hundreds of thousands of passengers and commuters and serve as a critical, but fragile, bottleneck between New York and New Jersey. With only one track in and one track out of New York Penn Station beneath the Hudson River, failure of either tunnel would have devastating consequences for the New York, New Jersey, and national economy.

The Gateway Hudson Tunnel Project would add urgently needed capacity and resiliency to the region's transportation network. Construction is already underway at five sites in New York, New Jersey, and the Hudson River itself. The project currently employs approximately 1,000 workers and is expected to support up to 95,000 mostly union jobs over its lifetime. Halting construction would immediately put those jobs at risk and forgo billions of dollars in economic multiplier benefits.

In the letter, the lawmakers emphasized that funding for Gateway is fully secured. A Full Funding Grant Agreement between the U.S. Department of Transportation and the Gateway Development Commission finalized a $6.88 billion federal commitment to construct the new tunnels and rehabilitate the existing ones. That commitment is supported by an additional $3.8 billion in Federal Railroad Administration grant funding, $4.4 billion in local support through federal RRIF loans, and $1 billion from Amtrak, totaling a $16.1 billion investment to complete the project by 2035.

Despite these commitments, the Trump administration has frozen funding following an administrative review announced by OMB Director Russell Vought in October 2025. That review was repeatedly described by the U.S. Department of Transportation as a quick administrative review and has since concluded. Correspondence between USDOT and the Gateway Development Commission confirmed that no further action is required.

"All that is needed now is for the administration to reestablish the flow of already appropriated and obligated funds," the lawmakers wrote. "Failure to act in the coming days will force contractors to cease work, put workers out of jobs, and could permanently derail this nationally significant infrastructure project."

The lawmakers said they will continue pressing the administration to immediately release the funding and allow construction to continue, protecting workers, commuters, and the economic backbone of the Northeast Corridor.

In addition to Senator Schumer and Senator Gillibrand the letter was signed by Senators Cory Booker (D-NJ) and Andy Kim (D-NJ); and New York Representatives Yvette Clarke (NY-09), Adriano Espaillat (NY-13), Laura Gillen (NY-04), Daniel Goldman (NY-10), Hakeem Jeffries (NY-08), Timothy Kennedy (NY-26), George Latimer (NY-16), John Mannion (NY-22), Gregory Meeks (NY-05), Grace Meng (NY-06), Joseph Morelle (NY-25), Jerrold Nadler (NY-12), Alexandria Ocasio-Cortez (NY-14), Josh Riley (NY-19), Pat Ryan (NY-18), Thomas Suozzi (NY-03), Paul Tonko (NY-20), Ritchie Torres (NY-15), and Nydia Velázquez (NY-07); and New Jersey Representatives Herbert Conaway (NJ-03), Josh Gottheimer (NJ-05), LaMonica McIver (NJ-10), Robert Menendez (NJ-08), Donald Norcross (NJ-01), Frank Pallone (NJ-06), Nellie Pou (NJ-09), and Bonnie Watson Coleman (NJ-12).

For a full copy of the letter, click here.

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