NJ-NY Tunnel Work to Halt Unless White House Unfreezes Funds (2)

Jan. 27, 2026, 6:27 PM UTC

Construction on a new $16 billion rail tunnel project connecting New Jersey and Manhattan will stop as soon as next week unless the federal government unlocks funds tied to the development.

Work on the massive infrastructure project under the Hudson River — called Gateway — will be halted by Feb. 6 if the US Department of Transportation fails to release the dollars, according to Tom Prendergast, chief executive officer of the Gateway Development Commission.

Senate Minority Leader Chuck Schumer attends a Gateway Commission board meeting in New York on Jan. 27.
Photographer: Michelle Kaske/Bloomberg

The Trump administration froze $18 billion in New York City-area infrastructure funding in October, citing concerns over diversity and inclusion practices. Gateway, one of ...

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