The Trump administration on Wednesday paid the remaining portion it owed to the Gateway rail tunnel project, and then some, paving the way for construction to resume next week.
New York Gov. Kathy Hochul, a Democrat, said on X that the administration sent over the remaining installment of money owed to the $16 billion project that spans New York and New Jersey. She called the development a “major win for workers and commuters.”
The announcement comes after a federal judge ordered Transportation Secretary Sean Duffy and President Donald Trump to turn the funding spigot back on. An appeal from the administration is expected to be heard next week in the U.S. Court of Appeals for the 2nd Circuit.
Over the course of three installments, the Trump administration paid Gateway a total of $235 million. That includes the $205 million the federal government was in arrears to Gateway, along with $30 million stemming from reimbursements associated with construction costs over the month of January. Funding for the project dried up Feb. 6, halting construction.
