Story perspectives

Gateway Tunnel Project Resumes with $205M Federal Funding

2/19/2026

Summary

Hochul Wins Funding

The Gateway Tunnel Project will resume construction next week after U.S. President Donald Trump's administration released over $205 million in withheld federal funding.
The funds were released after a federal court order mandating release of money frozen since October 2025.
New York Governor Kathy Hochul and New Jersey Attorney General Letitia James called the restoration a victory for workers and commuters and highlighted its importance to the Northeast Corridor economy.

Summary

Trump Criticizes Gateway

U.S. President Donald Trump labeled the Gateway Tunnel Project a "boondoggle" and claimed it would exceed budget projections.
The Trump administration previously froze federal funding, which resumed after a court ruling.
New Jersey Governor Mikie Sherrill and Senator Kirsten Gillibrand condemned the remarks, emphasizing jobs.
The Gateway Development Commission reported that construction had paused, affecting 1,000 workers.
Ongoing disputes over funding and project management could hinder completion, impacting regional economies.

History

Historical Context

The Gateway Tunnel Project, essential for enhancing Northeast Corridor connectivity, has faced funding issues similar to the 1970s when Amtrak received $1.5 billion. In 2025, over $205 million in federal funding was frozen, affecting 1,000 workers. A recent court ruling to release funds underscores ongoing federal-state tensions, echoing past infrastructure disputes and highlighting the critical need for investment in transportation infrastructure.

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Hochul Wins Funding

The Gateway Tunnel Project will resume construction next week after U.S. President Donald Trump's administration released over $205 million in withheld federal funding.
The funds were released after a federal court order mandating release of money frozen since October 2025.
New York Governor Kathy Hochul and New Jersey Attorney General Letitia James called the restoration a victory for workers and commuters and highlighted its importance to the Northeast Corridor economy.

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