Federal funding for the $16 billion Gateway rail tunnel between New York City and New Jersey, which had been suspended for more than four months, began to flow again in February, after lawyers for the Trump administration agreed to comply with a federal judge’s orders. The suspension forced a halt to work on the project, which meant about 1,000 union workers were laid off.
The federal government had pledged more than $11 billion toward the tunnel project, but at the end of September, officials said they would stop the flow of funding while reviewing the project’s contracts for compliance with revised federal regulations. Pres. Trump suggested he would release the funds if two transportation hubs were renamed after him: Washington Dulles International Airport in Virginia and Pennsylvania Station in Manhattan. This idea was rejected.
New York and New Jersey sued the U.S. Department of Transportation, arguing they had been harmed by the layoffs and disruption. Judge Jeannette Vargas of the Southern District of New York ordered an end to the suspension by Feb. 12, but the Gateway Development Commission (GDC) and Democratic elected officials complained that funding had not resumed by the established date. Days later, $30 million was released, with an additional $77 million released shortly thereafter.
Sources: The New York Times, Reuters
