
An organization that oversees one of the nation’s largest infrastructure initiatives is suing the Trump administration for withholding $15 billion in federal funding, equivalent to nearly 90 percent of the project’s entire cost.
For 11 years, Northeasterners have been patiently waiting for the construction of the Hudson Tunnel, a double-track tunnel connecting Manhattan and New Jersey to solve bottlenecks and delays in the Northeast Corridor, the heaviest trip part of the entire national passenger rail system.
Construction finally began a year ago, with the goal of ending in 2035. But just a few months, President Trump officially stopped all federal funding for the project and will institute an administrative review to determine if any contracts have been awarded based on “DEI.”
Despite the Gateway Development Commission in charge of the project saying that it has answered all the questions from the government and is committed to complying with the anti-DEI requirement, the funding is still not resolved.
On Tuesday, the Commission filed a lawsuit against the Trump administration, claiming a breach of contract.
“DOT’s violation jeopardizes the project, threatens the livelihoods of countless workers working to build it, endangers passengers who must rely on decaying, century-old rail infrastructure, and tarnishes the United States’ reputation as a reliable contracting party,” the lawsuit claim.
The Commission was able to continue construction in the last four months, despite the loss of $205 million set to be received by the federal government, by relying on reserves and a line of credit. But “resources have dwindled,” the Commission said, and if funding does not continue by Friday, the project will be shut down, jeopardizing up to 11,000 jobs.
“The gateway is the nation’s most important infrastructure project, and tens of thousands of unionized workers depend on it to continue,” said Senator Chuck Schumer of New York.
The stoppage of construction “also increases the risk that the 116-year-old North River Tunnel – already a leading cause of delays affecting hundreds of thousands of daily riders – will be closed, severing the nation’s most used passenger rail line and leading to billions of dollars in lost time and productivity,” the Commission said in a press release.
The lawsuit claims that the Department of Transportation failed to identify any specific violations or noncompliance with the project and instead targeted the project for dealing with Democrats.
If the decision is announced in September 2025, first of historic government shutdownThe DOT said the review would take longer “thanks to the Chuck Schumer and Hakeem Jeffries shutdown,” and called it “another unfortunate casualty of radical Democrats’ careless decision to hold the federal government hostage to provide. illegal immigrants benefits.”
But even though the shutdown ended more than two months ago, delays in the review process continue.
Last week, a spokesman for the White House claimed that “Chuck Schumer and Democrats are standing in the way of a deal for the Gateway tunnel project by refusing to negotiate with the Trump administration,” and that the party instead “puts the interests of the American people first over illegal aliens,” according to the lawsuit.
Also, last week, Congressional Democrats blocked a spending package that includes $64.6 billion in funding for the Department of Homeland Security.








