New York and New Jersey have filed a lawsuit against the Trump administration, claiming the illegal withholding of $16 billion in federal funding for the Gateway rail tunnel project under the Hudson River.
New York and New Jersey are taking legal action against the Trump administration, alleging that the federal government is unlawfully withholding $16 billion in funding for the Gateway project, a crucial rail tunnel initiative under the Hudson River. The lawsuit, filed in the Southern District of New York, seeks emergency relief to compel the U.S. Department of Transportation (DOT) to release the frozen funds.
The urgency of the lawsuit stems from the fact that construction on the Gateway project is already underway. State officials warn that if the funding is not released promptly, the project could face a shutdown as early as Friday. Such a halt could jeopardize thousands of jobs and impose significant new operating costs on both states.
New York Governor Kathy Hochul expressed her concerns, stating, “Donald Trump’s revenge tour on New York threatens to derail one of the most vital infrastructure projects this nation has built in generations, putting thousands of union jobs and billions of dollars in economic benefits in jeopardy and threatening the commutes of 200,000 riders.” She emphasized New York’s commitment to fighting what she termed an illegal effort by the Trump administration to withhold federal funding.
Hochul’s message was clear: “My message to Donald Trump and Sean Duffy is simple: we’ll see you in court.”
The Gateway project aims to create new rail tunnels and rehabilitate an existing rail crossing between northern New Jersey and New York City. The need for this overhaul is pressing, as the current tunnels are over 115 years old and were severely damaged by saltwater flooding during Hurricane Sandy in 2012. These tunnels are vital, carrying approximately 70,000 New Jersey commuters daily. Amtrak has warned that the failure of just one tunnel could reduce rail traffic into New York City by up to 75%.
Construction on the Gateway project began over a year ago, but the Trump administration’s freeze on federal funding, initiated during the government shutdown last fall, has raised serious concerns. The states argue that this funding freeze jeopardizes the economic future of the Northeast region.
New Jersey Governor Mikie Sherrill also voiced her concerns, stating, “Every time the Trump Administration gets involved, costs go up and working people suffer. The illegal attack on the Gateway Tunnel is yet another example.” She warned that if the project were to stop, it would result in the immediate loss of 1,000 jobs and deprive hundreds of thousands of commuters of reliable train service.
New York Attorney General Letitia James reiterated the potential consequences of halting the Gateway project, stating that it would cost thousands of good-paying jobs and put one of the country’s most heavily used transit corridors at risk. Jennifer Davenport, New Jersey’s acting attorney general, issued a stern warning to the Trump administration, emphasizing the need to protect residents from what she described as attacks on their rights and finances.
“The President’s decision to freeze funding for the Hudson Tunnel Project jeopardizes safe and reliable infrastructure and puts thousands of jobs at risk,” Davenport said. “The Federal Government has left us no choice: we must challenge this illegal action in court and demand emergency relief that will protect us from these unlawful harms.”
A separate lawsuit regarding tunnel funding was filed on Monday by the Gateway Development Commission, which oversees the project. As the legal battle unfolds, both states remain committed to ensuring that the Gateway project continues, highlighting its importance for the region’s infrastructure and economy.
Fox News Digital’s Michael Dorgan and The Associated Press contributed to this report.