Federal funding for the $16 billion Gateway rail tunnel project between New York and New Jersey will be turned back on, at least for now, as the Trump administration continues to press its case to block the money.
On Thursday, a federal appeals judge, Sarah Merriam, scheduled a hearing “as early as the week of” Feb. 23 to consider an appeal by Transportation Secretary Sean Duffy. But until then, the approximately $200 million in reimbursement funds that Gateway needs from the federal government to continue work are expected to be paid out.
“This is good news for the Hudson Tunnel Project, and we anticipate receiving the $205 million in reimbursement funds from the federal government,” Molly Beckhardt, a spokesperson for the Gateway Development Commission said in a statement. “While this is a positive step, we need consistent, reliable access to the Hudson Tunnel Project’s federal funding moving forward.”
Beckhardt added that Gateway will continue pursuing its separate lawsuit in the Court of Federal Claims. DOT declined comment. The White House did not immediately respond to a request for comment.